I suspect that many people have had this deduction automatically applied in TurboTax and have already filed not noticing a few extra bucks back from this Tax Credit (depending on the amount of medical expenses).
It seems odd that both TurboTax and Ufile (I saw a post from a UFile user who raised the same issue) automatically apply this deduction for addresses specified as LTC facilities - I would be surprised if both companies got this wrong (and it has not been corrected by now) since they get a lot more detailed tax legislation information in order to update new deduction each year.
It this is an error, it should have been quickly corrected given the approaching tax deadlines. But it is possible that this is not an error. In this case, many people may be losing money on their returns if they followed the advice posted on this forum (and a few others) to turn this credit off in the on-line version. All the articles I have read on this credit didn't know anything more than what is already posted on the Ontario Ministry of Finance site - which has some contradictions.
If I base my decision on the original intent of this program - i.e. to keep seniors longer in their homes, then a LTC facility would obviously not qualify. However, if I base my decision solely on the Eligibility Requirements posted on the Ontario Ministry of Finance site, those in seniors homes or LTCs would meet the posted Eligibility Requirements. More recent comments on other sites indicated that the government also wanted to use this program to get more $ into the hands of low income tax payers who typically pay little or no tax where the Ontario Medical Tax credit doesn't really help them. This credit will give low income tax payers money back against their medical expenses even if they pay no tax to help them with their medical expenses - regardless of where you live. (TBD)
I have documented the contradictions on the Ontario site and how it is being applied by tax preparation software and I am awaiting a response from the Ontario Ministry of Finance to clarify. Once I hear back I will post the response - BUT where are the TurboTax people in this forum who would know the answer based on the tax legislation provided to TurboTax and those who were responsible for programming in the changes for 2022?
