• Join our community!

    Do you have questions about celiac disease or the gluten-free diet?

  • Ads by Google:
     




    Get email alerts Subscribe to Celiac.com's FREE weekly eNewsletter

    Ads by Google:



       Get email alertsSubscribe to Celiac.com's FREE weekly eNewsletter

  • Announcements

    • admin

      Frequently Asked Questions About Celiac Disease   09/30/2015

      This Celiac.com FAQ on celiac disease will guide you to all of the basic information you will need to know about the disease, its diagnosis, testing methods, a gluten-free diet, etc.   Subscribe to Celiac.com's FREE weekly eNewsletter   What are the major symptoms of celiac disease? Celiac Disease Symptoms What testing is available for celiac disease?  Celiac Disease Screening Interpretation of Celiac Disease Blood Test Results Can I be tested even though I am eating gluten free? How long must gluten be taken for the serological tests to be meaningful? The Gluten-Free Diet 101 - A Beginner's Guide to Going Gluten-Free Is celiac inherited? Should my children be tested? Ten Facts About Celiac Disease Genetic Testing Is there a link between celiac and other autoimmune diseases? Celiac Disease Research: Associated Diseases and Disorders Is there a list of gluten foods to avoid? Unsafe Gluten-Free Food List (Unsafe Ingredients) Is there a list of gluten free foods? Safe Gluten-Free Food List (Safe Ingredients) Gluten-Free Alcoholic Beverages Distilled Spirits (Grain Alcohols) and Vinegar: Are they Gluten-Free? Where does gluten hide? Additional Things to Beware of to Maintain a 100% Gluten-Free Diet What if my doctor won't listen to me? An Open Letter to Skeptical Health Care Practitioners Gluten-Free recipes: Gluten-Free Recipes
0
Silencio

Gluten Free Tax Refund Help?

Rate this topic

Recommended Posts

So im doing my taxes and im at the Medical Expenses section. I didnt work at all in 2011 and I entered in the total amount of all receipts from 2011. It says "Your non-refundable credits exceed your tax payable. You should carry all or a portion of your medical expenses forward to next year. To carry-forward medical expenses, remove the amounts, and save your receipts for use in a future year." Could someone explain what this means? Maybe I cant do it since I didnt work in 2011?

Share this post


Link to post
Share on other sites
Ads by Google:
Ads by Google:


I'm no tax expert, but here's the gist of most canadian tax-deductions as I understand them.

-you only pay income tax if you make over x dollars a year. This is true for both provincial and federal taxes. X will be different for both, and varies from province to province. You also only start paying money for each dollar ABOVE X.

-tax deductions DO NOT mean you get your total deductable amount back. Rather, they count like a negative income.

Eg1: A student has a tuition deductable of 6k. Their income from working part-time and the summer is 13k. X in this case is 10k. What the tax forms will do, in a convoluted confusing way, is do 13k-6k = 8k. 8k is now the student's income. Since they only have to pay taxes on any income over 10k, they don't have to pay taxes. Unfortunately, the student doesn't get 2k worth of tax money back from the government. You either pay money or don't, then never pay you :-p They do not, however, have to 'lose out' on that 2k of credits...

eg2: Same as example 1, except now X is 14k. Since the student's job income is only 13k, it's already under 14k, so they already don't have to pay taxes. Outwardly, it appears like the credits are wasted. However, the government is kind enough to allow most 'credits', including the healthcare ones apparently, to be used in the years following the actual credit. In this case, the student, who's graduating this year and has a job all lined up where they make 50k a year next year, will be able to use that 6k tuition credit NEXT year, and their overall taxable income will only be 44k, not 50k.

(Note that they don't get 7k worth of credits because not working doesn't count as a deductable...)

-So, to sum all this up to the only answer you really care about, you cannot claim your gluten-free healthcare for this year. What they're telling you, however, is that you are allowed to use it for NEXT years taxes.

-I *believe* most tax deductables/credits like tuition and healthcare costs can be carried for a maximum of 10 years before they expire. So if you only manage to make your own money 8 years from now, you are still likely able to claim those same receipts sitting in front of you.

-They're also telling you to keep your gluten-free receipts etc on your person and submit it only when you actually want to use the info. If you accidentally send/sent them already, they will likely keep a record of it regardless, but they would prefer not to.

*important*!!!!

I don't know about gluten-free receipts or regular healthcare costs, but I do know that for claiming tuition costs, you can actually transfer your tuition credits to a parent or caretaker or spouse to use. However, you can only do it that same year. You cannot transfer this credit next year. You can only carry it from year to year if you plan on using it for yourself. Assuming you're not homeless, you could potentially get some form, sign it, and hand over the gluten-free credits to whoever's looking after you.

Transferring money to another person might actually be more beneficial overall, even if you would use those credits for yourself next year or the year after that, etc. How? Well, you know how I said you only pay taxes over X$ in income? Well, that's just for the lowest range of income. At ~50k income, you are in a new tax 'bracket'. There were 3 brackets back when I did my own taxes a few years ago. With each bracket, you have to pay a larger % of your money in taxes. For example, any money you make over 80k or something is taxed at like 40%, money you make from like 12k-50k might only be 18% taxed.

So, back to transferring credits, if your spouse makes a good income, and the tax credits you have from being gluten-free would put him down into a lower tax bracket, he'll actually get more money back than if you, say, only worked for minimum wage the following year. (Obviously the reverse is also true; if your spouse makes minimum wage, but next year you will be making 100k, if you used those credits next year instead of giving them to your spouse this year, overall, you will save more money.)

Again though, I'm not sure you if can transfer gluten-free tax credits like tuition credits or not. You should look it up. Also not sure how many years you can actually 'carry over' the tax credits.

-Note that you may only use credits once. If they are carried over to following years, it is because you didn't use them that year.

-I believe you can also split up the credits between you and the person you would be transferring them to, or only use part of the credits.

-I don't believe you can choose to use your credits in 3 years if you could use them in 2. If you sent this years gluten-free credits in with year 3's taxes and did all the math, they may redo your math as if you had used them for year 2 if they could be used, and alter the taxes accordingly.

If you own your own business, everything gets a lot more complicated.

I find the hotlines are pretty good at answering specific questions. Less good at explaining overall concepts of how income tax works.

Share this post


Link to post
Share on other sites

Silencio, as you know, my husband is a CA and he has been unbelievably busy lately. So, I'll try to help a bit. Have you checked out this info?

http://www.cra-arc.gc.ca/tx/ndvdls/tpcs/ncm-tx/rtrn/cmpltng/ddctns/lns300-350/330/clc-eng.html

You do not need to submit receipts unless they are required - hang on to them. How do you figure out the incremental cost of the food item? All you do is guess an estimate - you can use anything you think is "reasonable". My husband said that they cannot deny anything "reasonable" which can be 10% or 15% or whatever you think. I do a simple spreadsheet on Excel including the date of the receipt, store where product was purchased, what was purchased (or if the entire receipt includes gluten-free products I say "various") and the amount of tax (5%) if charged for that item. The items are usually marked with some letter or other indicator on the receipt. Then I do up the totals. This is the info my husband uses. It is sort of a pain but it did help by a few hundred dollars. And it really is simple to do. BUT I do have a lot of other medical expenses to claim for chiro, massage, physiotherapy, acupuncture and so on for an unrelated injury.

The CRA website says, "You can claim eligible medical expenses paid in any 12-month period ending in 2011 and not claimed for 2010. Your total expenses have to be more than 3% of your net income (line 236) or $2,052 whichever is less."

You will also need to submit a letter from a medical professional stating you do have celiac disease or gluten intolerance.

My husband could explain it so easily and so well. I just wish I could see him more than a few minutes this time of year!

Share this post


Link to post
Share on other sites

Create an account or sign in to comment

You need to be a member in order to leave a comment

Create an account

Sign up for a new account in our community. It's easy!

Register a new account

Sign in

Already have an account? Sign in here.

Sign In Now

0

  • Forum Statistics

    • Total Topics
      108,930
    • Total Posts
      943,574
  • Member Statistics

    • Total Members
      67,216
    • Most Online
      3,093

    Newest Member
    Donna0822
    Joined
  • Popular Now

  • Topics

  • Posts

    • Holy cow! You people are all angels! I have been suffering unbearably with these hot, itchy, and painful bumps on my scalp for a year now. Two doctors had no idea what it was, so I was sent to see a "dermatologist." To my utter shock, he told me I WAS DIRTY! HE TOLD ME TO WASH MY HAIR EVERY DAY with a shampoo called Nizoral, that it would take the itch away. He also prescribed a Vaseline based salve with a steroid in it. Guess what? It did nothing nor did the shampoo, and the more I washed my hair, the worse it gets. It's like torture, and I just can't stop scratching holes into my scalp. Then they scab over, then itch again. I was almost ready to shave my head, until I found this forum. I knew nothing about celiac disease, sensitivity to gluten... I knew nothing. Just so happened that my daughter found a paper talking about celiac during her visit to her GI yesterday. She brought it home for me, and demanded that I read it!  WHAM- a light come on, and I said to her... That IS what I have. I am going to my GP tomorrow to demand that I be tested for ciliac. I am rather terrified, as I am already a type 1 diabetic and have been on insulin for 52 years! I was blaming my diabetes the whole time. I have had a lower left leg amputation, and the last thing I need is to start getting this ungodly rash on my stump!!! Thank you everyone for all of the useful information you have provided in this blog. Maybe I'm not going to die after all! 😉
    • The University of Chicago recommends re-testing 3 to six months after going gluten free and then annually.  Most GIs wisely wait because although you can theoretically heal that fast, it takes TIME to master the gluten free diet.  It can take up to a year or longer for antibodies to come down.  As someone who has more than one autoimmune issue like myself (and only a DGP IgA that has ever been elevated), I think that impacts healing  and how quickly antibodies come down.   My recent endoscopy (5 years post diagnosis) revealed a healed small intestine, yet my DGP IgA was still at 80 (which was over 200 last April when I was somehow exposed to gluten).   Hang in there!  Wait six more months to get retested.  Look for other signs of healing (like anemia resolving, improve gut issues).  
    • Sounds great, one of my dreams is to open a grain free/gluten free food truck.......stone and mortar places would not do well here, but a mobile one able to cater....LOL dream I know, fundraiser has flopped and been running for a year. Hell I had the quotes up, the whole sale contracts setup, the business model and plan. I even tried to get loans, and business partners.....all flopped.
    • Just opened in Cincinnati, Oh: Ma and Pa's Gluten Free Cafe. Dedicated gluten-free restaurant. I had the pizza hoagie and onion rings last night. I forgot just how oily onion rings were. They sat in my stomach like concrete all night long but tasted great. Next time I'm getting the pizza or pulled pork with slaw and fries.  
    • Nope, had the flu and this has happened before when I ate the chili. JMG, I read the deadspin article. It's pretty funny. First, at least we're not bull testicles(Montana), and second, Skyline is the only one claiming to be gluten-free besides Hormel(sucks) and Amy's(sucks) that is Cincinnati style. There are many other local chili's but none are gluten-free. Gold Star is good but they say they're shredded cheese isn't even gluten-free. Like I said, Cincinnati style is the best. It's supposed to have roots from the Mediterranean area. Gold Star is ran by Syrian family, there is one or two others that are ran by Greeks. I kinda agree with the article when it comes to Skyline but I can walk in a store and buy it in a can. I started to thaw so meat yesterday to give it a go but am out of Cumin. No chili today
  • Upcoming Events