21 March 2002 External T.I. 2002-0120075 - MEDICAL EXPENSE - ATV

Please note that the following document, although believed to be correct at the time of issue, may not represent the current position of the CRA.
Prenez note que ce document, bien qu'exact au moment émis, peut ne pas représenter la position actuelle de l'ARC.

Please note that the following document, although believed to be correct at the time of issue, may not represent the current position of the CCRA.

Prenez note que ce document, bien qu'exact au moment émis, peut ne pas représenter la position actuelle de l'ADRC.

Principal Issues: Could an ATV be allowed as a medical expense under 118.2(2)(i)?

Position: No

Reasons: No provision of the Act or policy could accommodate an ATV as a medical expense for the purposes of the Income Tax Act. Also, the ordinary meaning of the term wheelchair could not be extended to include an ATV.

XXXXXXXXXX 2002-012007
Shaun Harkin, CMA
March 21, 2002

Dear XXXXXXXXXX:

Re: Technical Interpretation Request: Medical Expense

This is in reply to your letter of December 11, 2001 wherein you ask whether an all terrain vehicle ("ATV") would be allowed as a medical expense under the policy stated in paragraph 37 of Interpretation Bulletin IT 519R2 (Consolidated) ("IT 519R2 (Consolidated)"), Medical Expense and Disability Tax Credits and Attendant Care Expense Deduction (i.e. paragraph 118.2(2)(i) of the Income Tax Act (the "Act")). You state that in XXXXXXXXXX you became disabled with a disease called XXXXXXXXXX. This disease causes you extreme pain in your lower extremities and makes it very difficult, if not impossible to walk. Your doctor has suggested you purchase a scooter to enable you to be mobile. However, since you live on a small acreage in the country with no paved roads or sidewalks a scooter with small wheels would not be appropriate. In your opinion, an ATV would be more useful.

Our Comments

As described in IT 519R2 (Consolidated), amounts paid for or in respect of a wheelchair (paragraph 35) or a scooter designed for a disabled person (paragraph 37) will qualify as a medical expense for purposes of paragraph 118.2(2)(i) of the Act.

However, it is our position that the ordinary meaning of the term wheelchair cannot be extended to include an ATV. In order for an ATV to qualify as a medical expense legislative amendments to the Act would be required. These are the responsibility of the Department of Finance. If you wish to pursue this matter with the Department of Finance, Tax Policy Branch, they can be contacted at:

L'Esplanade Laurier
140 O'Connor Street
Ottawa ON K1A 0G5

The foregoing comments represent our general views with respect to the subject matter. As indicated in paragraph 22 of Information Circular 70-6R4, the above comments do not constitute an income tax ruling and accordingly are not binding on the Canada Customs and Revenue Agency. Our practice is to make this disclaimer in all instances in which we provide an opinion.

We regret our reply could not be more favourable.

Yours truly,

Steve Tevlin
for Director
Partnerships Section
Business and Partnerships Division
Income Tax Rulings Directorate
Policy and Legislation Branch

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