The government’s landmark legislation, the Canada Disability Benefit Act, created
the legal framework for a direct benefit for low-income working age persons with
disabilities. This benefit fills a gap in the federal government social safety net
between the Canada Child Benefit and the Old Age Security for persons with
disabilities and is intended to supplement, not replace, existing provincial and
territorial income support measures. The federal government is making this new
benefit a reality.
Budget 2024 proposes funding of $6.1 billion over six years, beginning in
2024-25, and $1.4 billion per year ongoing, for a new Canada Disability
Benefit, including costs to deliver the benefit.
Budget 2024 further announces the government would begin providing
payments to eligible Canadians starting in July 2025, following successful
completion of the regulatory process and consultations with persons
with disabilities.
To ensure access to the Canada Disability Benefit for eligible Canadians,
and to address an anticipated significant financial barrier associated with
benefit take-up, Budget 2024 further proposes funding of $243 million
over six years, beginning in 2024-25, and $41 million per year ongoing,
to cover the cost of the medical forms required to apply for the Disability
Tax Credit.
In the spirit of “Nothing Without Us”, through the regulatory process, the
government will provide meaningful and barrier-free opportunities to
collaborate and ensure the benefit is reflective of the needs of those receiving
it. Persons with disabilities will be consulted on key elements of the benefit’s
design, including maximum income thresholds and phase-out rates. The benefit
design will need to fit the investment proposed in Budget 2024.
The government intends for the Canada Disability Benefit Act to come into
force in June 2024 in order for payments to begin in July 2025. The proposed
design is based on a maximum benefit amount of $2,400 per year for low-
income persons with disabilities between the ages of 18 and 64. To deliver the
benefit as quickly as possible and to ensure nation-wide consistency of
eligibility, the proposed Canada Disability Benefit would be available to people
with a valid Disability Tax Credit certificate. As proposed, this benefit is
estimated to increase the financial well-being of over 600,000 low-income
persons with disabilities.
It’ll probably be axed by a Conservative government so don’t get your hopes up.
