Will the CRA accept a T1-Adj that changes medical expenses in the year-of-death from 12-months to 24-months, or will it be denied as retroactive tax planning?
I am preparing T1-Adjustments for my deceased Mother's 2013, 2014 and 2015 returns.
Her tax preparer did not claim her full-time-care nursing home fees as medical expenses. My T1-Adjustments will correct that oversight.
The CRA permits medical expenses for a 24-month period ending on the date of death. Based on this I’m thinking of filing a T1-Adj reducing her 2014 medical expenses to zero so that they can be included in the 2015 T1-Adj that will include the 24-month claim.
My question... Will the CRA approve the 2014 and 2015 adjustments as described, or are they more likely to disallow them as retroactive tax planning?