What is Included in the First Phase of Free Dental Care Plan For Low Income Canadians

Low-income Canadians will get up to $650 per year for each child under the age of 12.

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PM Trudeau meets with Jagmeet Singh in West Block. November 14, 2019./ Photo by Adam Scotti (PMO)

In March of 2022, the Liberal Party of Canada and the New Democratic Party entered into an agreement through which the NDP will support Justin Trudeau’s minority government until when Parliament rises in June of 2025.

 

As part of the deal, a new dental care program for low-income Canadians was announced which would be restricted to families with an income of less than $90,000 annually.

Today, the federal government has announced the initial details of the dental plan, Canada Dental Benefit.

The plan will begin for children under the age of 12 years old in 2022 in low-income families with an implementation date of December 1, 2022, pending Parliamentary approval and Royal Assent of enabling legislation. The program would cover expenses retroactively to October 1, 2022.

It will provide families with $650, $390 and $260 respectively for each eligible child if the family’s adjusted net income is under $70,000, between $70,000 and $79,999 and $80,000 and $89,999 respectively.

To avail of the benefit, the families will have to apply directly through Canada Revenue Agency (CRA). As per the news release, the government says Health Canada and the CRA are developing an application platform. Further details will be announced later.

The federal government estimates that 500,000 Canadian children would benefit from this targeted investment of $938 million.

The Trudeau government says they are taking the necessary steps to build a comprehensive national long-term dental care program for Canadians with incomes under $90,000 by 2025.

The government says the Canada Dental Benefit would not reduce other federal income-tested benefits such as the Canada Workers Benefit, the Canada Child Benefit, and the Goods and Services Tax Credit.

The government also announced the doubling of GST credit for six months.

Highlights – Canada Dental Benefit in 2022

 

What: Under the proposed Canada Dental Benefit plan, provide eligible parents or guardians will get direct, up-front tax-free payments to cover dental expenses for their children under 12 years old.

The dental plan will be extended to all low-income Canadians by 2025.

When: The government plans to implement the initial phase by December 1, 2022, pending Royal Assent, and the program would cover expenses retroactive to October 1, 2022.

How Much:

The Canada Dental Benefit would provide payments up to $650 per child per year for families with adjusted net income under $90,000 per year and without dental coverage.

  • $650 would be provided for each eligible child if the family’s adjusted net income is under $70,000.
  • $390 would be provided for each eligible child if the family’s adjusted net income is between $70,000 and $79,999.
  • $260 would be provided for each eligible child if the family’s adjusted net income is between $80,000 and $89,999.

How to apply:

To access the Benefit, parents or guardians of eligible children would need to apply through the Canada Revenue Agency (CRA). In addition, they would need to attest that:

  • Their child does not have access to private dental care coverage;
  • They will have out of pocket dental care expenses for which they will use the Benefit;
  • They understand they will need to provide documentation to verify out of pocket expenses occurred (e.g. show receipts), if required.

Further details on how to apply will be announced later.

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