Mr. Speaker, I appreciate the informed debate and the different views that have been expressed in the House this afternoon but as well during the course of several weeks of discussion about a very important issue that touches upon the lives of so many Canadians who are reaching out to better their own lives and to participate as full Canadians in a full society.
I would like to acknowledge the hard work of one of the previous speakers, the hon. member for Winnipeg South who has been a passionate leader in speaking out on issues related to those who require assistance, those whose lives have been touched, not only by disabilities but, more important, by abilities.
The level of the discussion we are having today comes from the hard work at the committee level, the people who believe that we have a responsibility to assist people in gaining full access and full control of their own lives. I think this is what the hon. members opposite and hon. members on this side of the House have really been promoting, and it has come through loud and clear in this discussion.
It may be worthwhile to continue on with this informed debate and discussion to outline some important things that all members of the House should continue to reflect on and be aware of.
The federal government does have several tax measures that help with the costs associated with disabilities above and beyond the disability tax credit. Some provide tax assistance to caregivers while others help to reduce barriers to labour force participation for persons with disabilities.
The medical expense tax credit, for example, assists people who face above average medical expenses. In 2002 the tax credit equals 16% of the qualifying medical expenses in excess of about $1,700, or 3% of net income. It also might be worth pointing out that the list of eligible medical expenses is regularly reviewed and expanded to keep pace with new technologies and needs of Canadians. That is an important element of an evolving assistance program.
I would also like to reinforce the fact that the caregiver credit, which this government introduced in 1998, helps the many Canadians who provide in-home care to adult loved ones. For claimants, this measure alone represents an annual tax benefit of almost $600. There is also the tax assistance to individuals who care for an infirmed relative who may live in a separate residence. The amount used for calculating both this and the caregiver credit increased by almost 50% on January 1, 2001, from $2,386 to $3,500.
Perhaps bottom line figures, however, rather than examples, would better illustrate our government's commitment to persons with disabilities through the tax system. The 1996 total federal tax assistance to Canadians with disabilities amounted to some $600 million. Today the total is approximately $1.1 billion. That is an increase of almost 80%.
Clearly that is where the government's priorities are. Since assuming office back in 1993, our government has remained steadfastly committed to helping people with disabilities and using the tax system as an important element to our strategy.
However the federal government provides assistance to persons with disabilities through more than just the $1.1 billion provided through the tax system. Assistance is also provided through direct spending programs.
More than $4 billion in support is provided to Canadians with disabilities through the Canada pension plan and direct spending programs. Some $3 billion is provided annually by the Department of Human Resources Development Canada through the Canada pension plan and key departmental programs such as employability assistance for people with disabilities, the opportunities fund, the Canada study grants and the social development partnerships program.
It is also important not to forget the Department of Veterans Affairs in this role, another key federal player, which provides direct funding totalling over $1 billion annually for veterans with disabilities.
It is clear to me that when we look at the whole picture, instead of focusing on just one aspect of federal assistance to persons with disabilities, a clearer picture emerges.
This brings me directly to the disability tax credit itself. As all hon. members in the House know, the disability tax credit reduces an individual's federal income tax by up to $989 per year. In total it provides approximately $400 million a year in federal tax assistance.
Those who are proposing the motion called on the government to act on the recommendation of the standing committee report entitled “Getting It Right For Canadians: The Disability Tax Credit”, and in particular the recommendations concerning the eligibility requirements of the disability tax credit.
As all hon. members are aware, the government released its official response to the report on August 21 of this year and has indicated that it is indeed taking action on a number of recommendations. While the government' s response is not structured on a recommendation by recommendation basis, it is comprehensive and addresses all recommendations in the committee's report.
Let me highlight three specific principal committee recommendations on which the government is indeed taking firm action. First, the government has agreed to conduct an evaluation of the disability tax credit when key data become available next year.
Second, the Canada Customs and Revenue Agency is already expanding its consultations on improving the application form for the disability tax credit.
Third, the government will continue to consult and assess tax assistance for persons with disabilities on an ongoing basis to ensure its effectiveness.
It is important not to forget, as I mentioned earlier, that the overall tax assistance for persons with disabilities has increased about $1.1 billion per year from $600 million in 1996. Again, this is an increase of 80%. In light of the third recommendation, which I discussed a minute ago, I can assure the House that the government will continue to review tax assistance for persons with disabilities on an ongoing basis to ensure its effectiveness and its appropriateness.
No one can argue that the government has not been responsive to the priorities and needs of persons with disabilities. Think once more of the substantial enhancements to the disability tax credit, to the increased tax assistance for families caring for children with disabilities, to the increased support to caregivers and to the enhancements to the medical expense tax credit and that case is well proved.
We do recognize that there are important contributions that can be made to refine the system. I think that is why the motion from the New Democratic Party is timely and we will be reviewing that in due course.
In addition to federal tax assistance and spending, it is important not to forget that the provincial and territorial governments, as well as the voluntary sector and groups representing persons with disabilities, play an important role in helping to achieve this overall objective.
We should note that in the Speech from the Throne at the end of September the government announced that it would put in place targeted measures for low income families caring for children with severe disabilities.
The evolution continues. The priorities that were outlined in the Speech from the Throne built on the conviction that we must add to the work of our ancestors and leave a better place for future generations. That definitively includes a better place for persons with disabilities, people who have huge contributions to make to each and every one of us and to society. That is a commitment to which the federal government remains steadfast.
I want to say how much I appreciate, not only the input from the members opposite, but the members from this government, members who worked at the committee level who continue to advocate, lobby and express the need for expanded measures that really get to the core of how we ensure the complete integration of persons with disabilities into the community at large. The contribution they make equals the contribution we all make. We all grow as a nation when we have full participants, full Canadians building Canada.