Understanding the New Canada Dental Benefit and Canadian Dental Care Plan

Mark Virgil Lofranco • 5 October 2024

Comprehensive Guide to the New Canadian Dental Benefits: CDCP vs. CDB


Dental care is essential, yet many Canadians face the challenge of covering dental expenses, especially when insurance is lacking. To address this, the Canadian government has introduced new benefits aimed at making dental care more accessible and affordable. This guide provides a detailed look at the Canadian Dental Benefit (CDB) and the Canadian Dental Care Plan (CDCP) to help you understand how these programs can benefit you and your family.


Canada Dental Benefit vs. Canadian Dental Care Plan: A Snapshot

Canada Dental Benefit (CDB) Canadian Dental Care Plan (CDCP)
Purpose Interim financial measure until June 30, 2024, to reduce dental costs
Benefit Period Period 1: October 1, 2022, to June 30, 2023 Period 2: July 1, 2023, to June 30, 2024
Coverage Age Group Children under 12 years of age
Orthodontic Services Covered under the benefit
Benefit Amount Tax-free payment based on AFNI

What is the Canada Dental Benefit (CDB)?


The CDB is a temporary measure designed to help cover dental expenses for children under 12 years of age until June 30, 2024. Eligibility for this benefit requires a lower AFNI and proof of dental expenses for your child. The benefit covers a wide range of dental services, including:


  • Diagnostic Services: Examinations, X-rays
  • Endodontic Services: Root canal treatments
  • Oral Surgery: Extractions
  • Orthodontic Services
  • Periodontic Services: Deep scaling
  • Preventative Services: Cleaning, polishing, sealants, fluoride
  • Prosthodontic Services: Removal of dentures
  • Restorative Services: Fillings


Who Can Apply?


You can apply if:


  • Your child is under 12 as of July 1, 2023.
  • Your child received dental care between July 1, 2023, and June 30, 2024.
  • You have a receipt from a licensed dental provider.
  • Your child does not have private dental insurance.
  • The dental costs are not covered by another government program.
  • You receive the Canada Child Benefit (CCB) for the child.
  • Your AFNI is less than $90,000.


Benefit Amount


The benefit amount depends on your AFNI and whether you have shared custody of the child:

AFNI Full-Custody Amount Shared-Custody Amount
Less than $70,000 $650 $325
$70,000 to $79,999 $390 $195
$80,000 to $89,999 $260 $130
$90,000 or more Not eligible Not eligible

How to Apply



Applications can be submitted through CRA My Account, by phone, or using a teletypewriter. Ensure you have:


  • Provider’s details
  • Appointment date
  • Employment information
  • Receipt or invoice


Is the CDB a Taxable Benefit?


No, the CDB payments are tax-free. However, you can claim dental costs as medical expense deductions on your tax return, but remember to deduct any amount claimed through the CDB.


What is the Canadian Dental Care Plan (CDCP)?


The CDCP is a new insurance program that covers basic dental costs for uninsured Canadians with a household income under $90,000. This plan will eventually provide coverage for all low-income Canadians, starting with seniors.


Eligibility


You are eligible if:


  • You do not have private dental insurance.
  • Your AFNI is less than $90,000.
  • You are a Canadian resident for tax purposes.
  • You filed your T1 Form in the previous year.


When and How to Apply


Applications for the CDCP are being accepted in phases:


  • Seniors aged 87 and above: December 2023
  • Seniors aged 77 to 86: January 2024
  • Seniors aged 72 to 77: February 2024
  • Seniors aged 70 to 71: March 2024
  • Seniors aged 65 to 69: May 2024
  • Adults with a valid disability tax credit certificate: June 2024
  • Children under 18: June 2024
  • All remaining eligible Canadians: Sometime in 2025


Eligible seniors with an AFNI below $70,000 will have their dental costs covered 100%, while those with higher incomes may need to cover a portion of the costs.


Conclusion


With these new dental benefits, maintaining oral health has become more accessible for many Canadians. Make sure to check your eligibility, understand the application process, and take full advantage of these programs to ease your dental care expenses. For any questions or further assistance, consult with a tax professional or visit the official government website.


Key Takeaways


  • The Canada Dental Benefit (CDB) is a temporary financial program available until June 30, 2024, providing coverage for various oral health services for children under 12.
  • The Canadian Dental Care Plan (CDCP) will reimburse a portion of your dental expenses based on your adjusted family net income (AFNI).
  • To qualify for these benefits, your AFNI must be under $90,000, and you must not have private dental insurance.

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