Paul Delean: How do rent and federal dental payments work in Quebec?

In theory, there is a two-year window of eligibility for the federal children’s dental benefit in Quebec. Or is there?

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Ottawa’s new dental and rent payments were some of the topics recently raised by readers. This is what they wanted to know.

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Q: How will the new federal dental benefit for children work in Quebec?

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A: Not as widely as in other provinces. The Canada Dental Benefit will provide up to $650 per child, per year to families with children under the age of 12 who are not covered by a private dental insurance plan. But in Quebec, basic dental services including an annual exam, X-rays, fillings, and tooth extractions are now available for children under 10 through the Régie de l’assurance maladie du Québec (RAMQ). So, in theory, there is only a two-year window of eligibility for the federal benefit in Quebec. Or is there?

RAMQ does not pay for cleaning, fluoride application or orthodontic work. The federal government’s website cryptically states that “children who are already covered by another government dental program may also be eligible if that program does not pay all dental care costs.” So perhaps Canada’s dental benefit is available after all, depending on the service provided.

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The payment amounts to $650 per child for families with family incomes of around $70,000 or less, $390 for families earning between $70,000 and $80,000, and $260 for families with incomes between $80,000 and $90,000. Applicants will need to attest that they will use the benefit for out-of-pocket dental care expenses incurred by the child on or after October 1 of this year, provide employer and dentist information, and retain receipts. False claims can result in fines. You’ll need to apply for the benefit through CRA MyAccount, but the application process won’t start until December.

Q: I live at home, but when I can no longer do so and have to move into a care home, my daughter and her husband will move out and it will become their primary residence. All my assets are bequeathed to her. Will she pay taxes when she moves into the house? It would be difficult for her if that was the case.

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A: You can rest easy on that front. The capital gains tax exemption for the primary residence that now applies to your property may also apply if the home is occupied by one of your children (as long as you are not also claiming the exemption on other property you own) . That means there will be no tax due for any appreciation in value during the time you have owned it. If you want to transfer ownership to him when you move, that’s also a tax-free transaction. It’s a matter of how comfortable you are with the idea of ​​giving up ownership at that point in your life.

Q: Any news on the renter assistance that the federal government talked about earlier this year?

A: If and when Parliament approves it, the additional federal help for renters will take the form of a $500 Canada Housing Benefits check with many strings attached. Applicants cannot have a net income greater than $20,000 (individuals) or $35,000 (families). They must pay at least 30 percent of their income on housing (which disqualifies low-income tenants in subsidized housing in Montreal, for example, since their rent is set at 25 percent of income). You will need to apply to Canada Revenue Agency to receive it and give your consent to allow the CRA to verify the information you provide (including your age, income, and the amount of rent you pay and to whom you pay it). More information about eligibility and how to apply will be available in the coming weeks, the CRA said.

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Incidentally, Quebec has its own housing allowance program, with roughly the same income thresholds. It is aimed at people over the age of 50 or low-income families with at least one dependent child, and also includes homeowners. You must also apply for this, annually, by completing form LEX-165-V (Application for Shelter Assignment). There’s also a housing component to the Quebec Solidarity Tax Credit, but you need to earn less than $54,568 if you’re single (a little more for couples and parents of dependent children) to get it.

The Montreal Gazette invites readers to ask questions about taxes, investing, and personal finance. If you have a query you would like addressed, please email Paul Delean at [email protected].

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