Although being a caregiver to a loved one at home can be a rewarding and enriching experience, it can also be a serious challenge for any family—particularly financially.
In 2007, Statistics Canada estimated that more than 2.7 million Canadians were providing eldercare to a friend or family member. Though some caregivers provide all of the support themselves, more than half of them also worked outside the home.
To ease some of the financial strain on families, the federal government recently announced a new family caregiver tax credit (cra.gc.ca/familycaregiver).This credit provides an additional amount of up to $2,000 for each of the following non-refundable tax credits:
• spouse or common-law partner amount;
• amount for an eligible dependant;
• amount for children born in 1995 or later;
• amount for infirm dependants aged 18 or older;
• caregiver amount.
Although no tax credit can help caregivers be in two places at one time, and it does little to ease the demands of caring for a loved one on a day-to-day basis, still the tax breaks are welcome and available.
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