Government respondedElectronice-6683 · Parliament 45

Reform disability application assessments

Petitioners ask the Government of Canada to reform CRA and CPP disability assessments so severe mental illness qualifies people for disability benefits. The government responds that eligibility is based on functional impact and reviewed case-by-case.

Why we would sign this petition

  • Reduces barriers so people with severe mental illnesses can receive income supports, improving financial security and a key social determinant of health.
  • Standardizes assessments to better capture functional impacts of psychological conditions, addressing claimed disparities compared with physiological diagnoses.
  • May reduce downstream harms and costs by connecting vulnerable people to supports earlier, as petitioners argue, potentially lowering addiction and healthcare burdens.

Why we wouldn’t sign this petition

  • Implementation could be complex and costly, requiring legislative changes, retraining of adjudicators, and coordination between CRA and CPP administrators.
  • The government states eligibility already hinges on functional impact and is reviewed case-by-case, so changes may be unnecessary or duplicative.
  • Broad changes risk unintended consequences—such as inconsistent standards or increased contested claims—unless carefully designed, piloted and monitored.

The summary and both sets of reasons are AI-generated from the petition and given equal weight. Claims are the petitioners’ own; consult the official record for the full text.

Official petition

Petition to the Minister of Health Canadian citizens who have been diagnosed with severe mental illnesses such as bipolar disorder and schizophrenia are facing unjust barriers to a leading Social Determinant of Health (SDOH): Income and Social Status; Canadian citizens who are unable to advocate for themselves are being denied CRA Disability Tax Credits and CPP Disability when applying for financial assistance due to these forms inadequately assessing and evaluating the degree of disability afforded to such severe disease; and Canadian citizens are being awarded CRA and CPP disability assistance more readily should they have a diagnosed physiological condition such as mobility disorder and diabetes mellitus and a much more challenging time receiving compensation for severe psychological conditions. We, the undersigned, Citizens of Canada, call upon the Government of Canada to immediately take action to reform canadian agencies that manage disability applications and improve access to financial assistance among some of our most vulnerable persons in Canada. These changes will transform the lives of individuals living with cycling mental health conditions and their families, will ultimately reduce healthcare spending, decrease the incidence of maladaptive coping/concurrent disorders such as addiction, and protect vulnerable persons from all walks of life across this vast Country.

Government response

Response by the Minister of Jobs and Families and Minister responsible for the Federal Economic Development Agency for Northern Ontario Signed by Annie Koutrakis Helping to reduce poverty and increase the financial well-being of low-income persons with disabilities is a key priority in the government’s work to build a fairer Canada.? The focus of Canada Pension Plan (CPP) Disability benefits is to partially replace the earnings of contributors who are unable to work regularly at any job because of a severe and prolonged disability. To qualify for CPP Disability Benefits, applicants must meet specific criteria:?meet the minimum CPP contributory requirements; be under the age of 65; and, have a severe and prolonged mental or physical condition, according to the definition in the CPP legislation. It is important to note that eligibility for CPP Disability benefits is not determined on the basis of a particular disease, diagnosis, or condition alone. A comprehensive medical assessment of the patient's health and its impact on their ability to work is necessary to determine eligibility. Applicants must have a mental or physical disability that prevents them from regularly working at any substantially gainful occupation. The disability must also be long-term and of indefinite duration or likely to result in death. When assessing “severe” and “prolonged”, a person’s ability to perform work-related activities, what is often referred to as their functional capacity, is taken into consideration, as well as personal characteristics, such as the person’s age, education, work experience, and language proficiency. Each case is therefore unique and is carefully analyzed by qualified medical adjudicators. Response by the Minister of Finance and National Revenue Signed by THE HONOURABLE WAYNE LONG The Canada Revenue Agency thanks the petitioners for their interest in the issue raised. The Canada Revenue Agency acknowledges the concerns raised regarding access to disability-related support for individuals living with mental health conditions. Mental and physical disabilities are assessed using the same legislative framework, and eligibility is determined by the extent to which a condition limits a person’s ability to perform essential daily activities, rather than by the type of diagnosis. The Disability Tax Credit and Canada Pension Plan disability benefits are separate programs with different mandates, assessment criteria, and different recourse mechanisms. Canada Pension Plan disability benefits are not administered by the Canada Revenue Agency, therefore it cannot provide information on recourse rights for this program. Note that eligibility for Canada Pension Plan disability is not dependent upon approval of the Disability Tax Credit administered by the Canada Revenue Agency. The Disability Tax Credit helps make taxes fairer for persons with severe and prolonged impairments, and their families, by reducing the amount of tax they owe to reflect the extra costs they cannot avoid due to their disabilities. The Canada Revenue Agency continues to work closely with stakeholders, including the Disability Advisory Committee, Canadian Medical Association and the College of Family Physicians of Canada amongst others. This collaboration ensures that improvements reflect the needs of Canadians with disabilities and the medical professionals who support them. The Canada Revenue Agency evaluates all Disability Tax Credit applications on a case-by-case basis, as required by the Income Tax Act. Eligibility is determined by the impact of an individual’s impairment on their ability to perform basic activities of daily living, rather than solely on their diagnosis. While the Canada Revenue Agency is bound by legislative guidelines, it is committed to ensuring a fair and consistent review process. It is important to note that eligibility criteria for mental functions necessary for everyday life and life-sustaining therapy were updated for 2021 and future tax years. The list of mental functions necessary for everyday life was expanded, and minimum frequency of life-sustaining therapy was reduced. Information regarding Disability Tax Credit mental functions eligibility is available on the Canada.ca website. Based on published statistics available online (Disability Tax Credit Statistics – 2014 to 2023 Calendar Years - Canada.ca), approval rates for the category of mental functions in 2023 was 94.7%. Additionally, the category of mental functions was included on 27.9% of applications for this same year. For individuals who apply for the Disability Tax Credit but are not deemed eligible, there are recourse mechanisms available. For example, for the Disability Tax Credit, if a taxpayer disagrees with a decision on the Notice of Determination related to their application, they have the option to resubmit a request to a tax centre for a second review. This submission must be made within one year from the issuance of the Notice, otherwise a new T2201, Disability Tax Credit Certificate, will be required. Taxpayers can also formally object to the decision by filing a Notice of Objection to the Canada Revenue Agency within 90 days of the date of the Notice of Determination. After considering all the facts, and the eligibility criteria established in the Income Tax Act, the appeals officer will make a final decision about the reassessment. If the appeals officer agrees with the taxpayer in whole or in part, the taxpayer will receive a notice of reassessment or redetermination. The taxpayer may file a notice of objection under section 165 of the Income Tax Act in respect of an assessment or reassessment. Following the Appeals decision, the taxpayer may appeal to the Tax Court of Canada under section 169 of Income Tax Act within 90 days from the date of the reassessment or redetermination. Conversely, if the appeals officer does not agree with the taxpayer’s position, the taxpayer will receive a letter to confirm that the assessment or determination was correct. According to section 169 of the Income Tax Act, the taxpayer has the right to appeal to the Tax Court of Canada within 90 days from the date of the confirmation notice.