Refundable Medical Expense Supplement
The refundable medical expense supplement is available to low income individuals who have paid medical expenses, or disability supports expenses. To be eligible for this supplement, the individual must:
- Have been resident in Canada throughout the tax year, and
- Be 18 or older at the end of the tax year, and
- Have employment or self-employment income (excluding wage-loss replacement income) exceeding $2,919 in 2006.
The maximum supplement is the lesser of $1,000 for 2006, or 25% of both medical expenses (line 332 of the federal tax return) and disability supports expenses (line 215). This is reduced by 5% of combined net income (taxpayer & spouse) in excess of $22,140. It is eliminated when combined net income reaches $42,140.
For more information see the CRA guide for line 452 - Refundable medical expense supplement, and the federal worksheet 5000-D1 which includes the calculation of this refund.