This enactment amends the Income Tax Act to add a deeming provision in relation to the credit for mental or physical impairment set out in section 118.‍3.

It also amends the Canada Pension Plan to add a deeming provision in relation to disability pensions and benefits.

Preamble

Whereas, in order to be eligible for a disability tax credit for mental or physical impairment, or a disability pension or benefit, an individual has to meet certain criteria and sometimes apply for the disability tax credit, pension or benefit at both the provincial and federal levels;

Whereas having to apply for a disability tax credit, pension or benefit twice for the same impairment causes undue hardship to an individual;

And whereas Parliament considers that it is desirable that an individual who is eligible for a provincial disability tax credit, pension or benefit be deemed to be eligible for the federal disability tax credit, pension or benefit;

Now, therefore, His Majesty, by and with the advice and consent of the Senate and House of Commons of Canada, enacts as follows:

Deeming

(1.‍01) For the purposes of subsection (1), an individual in respect of whom an amount is deductible for mental or physical impairment under the laws of the province in which they reside is deemed to meet the requirements under that subsection and to be an individual in respect of whom an amount is deductible, unless the Minister determines otherwise.

• (a)  Insertion start unless the Minister determines otherwise Insertion end , a person shall be considered to be disabled if

  • (i)  Insertion start the person Insertion end is determined in Insertion start the Insertion end prescribed manner to have a severe and prolonged mental or physical disability, and for the purposes of this paragraph,

    • Insertion start (A) Insertion end  a disability is severe only if by reason thereof the person in respect of whom the determination is made is incapable regularly of pursuing any substantially gainful occupation, and

    • Insertion start (B) Insertion end  a disability is prolonged only if it is determined in Insertion start the Insertion end prescribed manner that the disability is likely to be long continued and of indefinite duration or is likely to result in death,

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    (ii) the person is in receipt of a provincial pension or benefit by reason of disability; and

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