Fall 2023 - NORAH'S Question

“I have celiac disease and am required to follow a gluten-free diet. Is there anything I can claim on my taxes for that?”

With celiac disease, there are a couple things to consider.

1. For CRA purposes, you will need a letter from your medical practitioner certifying the celiac disease diagnosis and that you require a gluten-free diet. This does not have to be sent to CRA but if requested, you will be required to provide a copy so always best to have it in your personal medical file for when that happens.
2. Gluten-free items are eligible to be claimed under the medical expense tax credit. The amount you can claim is the difference spent on gluten-free vs. non-gluten free products. For example, if non-gluten-free bread costs $2/loaf and gluten-free is $10/loaf, you can claim the difference of $8/loaf. This applies to all gluten-free products like flour, pizza, cookies, crackers, etc. If audited by CRA, receipts will be required to support this. Further, the medical expense tax credit is based on 3% of your net income meaning that the total of all eligible medical expenses must exceed 3% of your net income (2023 maximum threshold is $2,635) before the tax credit kicks in. Therefore, if your total medical expenses are $4,000, you can claim the difference of $1,365 ($4,000-$2,635) as a tax credit. If your net income is less than approximately $88,000 (2023), the threshold amount will be lower. As well, if your family net income is below approximately $59,000, you may be eligible for a medical expense supplement with a maximum of $1,399 (2023).
3. The Disability Tax Credit (DTC) is also available to some with celiac disease. Although celiac disease is considered to be a life-long medical condition, it is considered to be manageable through diet. Generally speaking, when there are treatments available, the DTC does not always apply. However, that doesn't mean it won’t. The DTC eligibility is all within the facts of your specific medical condition with this disease (and many others for that matter). My latest blog, “Normal People Are Eligible For The Disability Tax Credit Too”, shares more details on the DTC criteria.

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***This blog is for information only and not to be used as tax advice or planning without first seeking professional advice. Information is subject to change without notice.