Where your net family income is less than $43,067 and you have claimed medical expenses on your tax return, you may be entitled to a refundable medical expense supplement of up to $1,022. You must be a resident of Canada throughout the year and 18 years of age or older at the end of the year to qualify.
The supplement is calculated as 25 per cent of your net medical expenses eligible for a non-refundable tax credit on Schedule 1 of your return. The amount of the supplement is reduced by 5 per cent of net family income in excess of $22,627.
No supplement is available where your income from employment and/or self-employment is less than $2,984.
The supplement is considered an amount paid on account of your taxes payable for the year. To the extent the deemed payment is not needed to reduce your taxes otherwise payable for the year to zero, it will be refunded to you.
Information for Tax Tips is provided as a public service by the Chartered Accountants of British Columbia.