amandasblack
Returning Member

Transfer of child DTC to parent

Turbox tax "automatically claim the disability amount transferred from your dependant on the spouse with the highest income (after deductions)".  However, you must have the spouse claim the income who is listed as the DTC applicant claim the credit, which in our case is not the parent with the highest income. How can I get the software to apply it to the lower income spouse and not the highest?

Troubleshooting

Hi @amandasblack !

 

This is a great question. We have a FAQ that should help you here:

https://turbotax.community.intuit.ca/turbotax-support/en-ca/help-article/medical-tax-credits-deducti...

 

Hope that helps, and happy filing!

mtanner98
Returning Member

Troubleshooting

turbo tax is still making the DTC transfer from dependent (child) go to the higher income parent even though CRA has it recorded to lower income spouse.  How can I override this in turbo tax so the deduction goes on lower income parent

thx, 

Troubleshooting

@mtanner98 Are you using TurboTax CD/Download or TurboTax Online?

mtanner98
Returning Member

Troubleshooting

turbo tax online

Troubleshooting

Has the DTC been claimed by the other parent in past years? The Disability Tax Credit transfer can only be claimed by the parent who's name is accepted on the original DTC form/claim on file. The software may be picking this up from a past return. If this is not the case and you still require help with this, we believe your best option is to contact our telephone support team for further assistance, as they have the option to view your screen to help resolve the issue. To contact them, please follow this link: Contact Us. When asked if you wish to receive an email say NO then say "speak to a representative" then hold the line.

​​​​​​​Thank you for choosing TurboTax.

mtanner98
Returning Member

Troubleshooting

Turbo tax says I have to apply to spouse with higher income; I cannot see this indicated in CRA website anywhere so now I am on phone with CRA.   Has anyone applied the DTC transfer to spouse with lower income?

Troubleshooting

@mtanner98 Unfortunately, if you are using TurboTax Online, there is no way to change who gets the Disability transfer from a dependant. You can file the returns without the transfer and submit an adjustment to add the transfer later. Or redo the returns separately, so you can put the transfer on the right return without the software moving it to the wrong spouse.