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CRA APPROVED BENEFIT PLAN'S
 
 

HEALTH AND DENTAL BENEFITS
FOR SMALL BUSINESS OWNERS
"ONLY"

FOR THE BUSINESS

  • 100% Tax Deductible
  • No Premiums
  • Revenue Canada Back-up and Support
  • You Decide Range of Options
  • Fast Claims Processing

FOR THE OWNER

  • 100% Coverage of all Health and Dental Costs
  • Tax Free Benefit
  • Can Supplement Existing Coverage
  • You Decide Range of Options
  • Fast Claims Processing

"Let Me Explain How It Works"

 
Ask yourself three questions:
  1. Do you own a corporation?
  2. Do you have medical expenses?
  3. Do you pay tax?
WHAT IS COST PLUS AND HOW DOES IT FIT INTO A GROUP BENEFIT PLAN?

"Cost Plus" is a means of providing tax-free benefits to an employer or an employee if the situation arises. The company incurs an eligible medical expense (under Revenue Canada Guidelines).

FOR EXAMPLE:
A Business Owner purchases glasses for himself and his family at a cost of $1000 out of his own pocket (i.e. after tax dollars). Depending on his personal marginal tax rate, (at 40%) he would have had to make approximately $1675 in gross earnings to buy the glasses.

If the Business Owner wanted to pay for the glasses through his company, he could use "Cost Plus" to make it an eligible deduction for the company.
 
THIS IS HOW IT WORKS:
Cost of glasses
$ 1,000.00
Administration fee of 8%
80.00
Plus GST on admin. fee
4.00
Paid to: Cost Efficient Benefit Plan Ltd.
$ 1,084.00
Cost Efficient Benefit Plan Ltd. would then pay the Business Owner a personal cheque of $1000 for the glasses he purchased and also issue a receipt for $1085.60 to the company, that is fully deductible.

The advantage for the Business Owner is, he had a medical expense taken care of, excluding the high cost of personal income Tax from Revenue Canada. His company has taken the advantage of this total amount paid to become an eligible business deduction. Win/Win Situation.
This program is also eligible for any employee.
 
 
Tax Regulations
HOW IS IT ELIGIBLE UNDER THE TAX REGULATIONS?

Under tax regulations, incorporated businesses can use the services of a third party administrator to "Cost Plus" eligible medical expenses.

TERMS:
1) COVERAGE 4) REPORTING
The plan covers, for the people listed on the enrollment form, all hospital, medical and dental expenses that qualify as such expenses under the Income Tax Act of Canada "ITA" and are not prohibited by law. Within 30 days of the end of each calendar year or within 30 days of a requested year end, the Administrator shall provide a report, effective as of December 31 or at the date requested which will reconcile the Claims received and paid.
2) CLAIM APPROVAL AND SUBMISSION 5) TAX TREATMENT
The Administrator, on receipt of a claim from the employee of the Policy Holder, shall determine whether the claim is for an expense covered by the plan. The characterization of the Claims paid under the ITA is a matter to be assessed by the Policy Holder and the Administrator.
3) CLAIMS AND FEE PAYMENT 6) GENERAL
Upon receipt of an eligible claim, the Administrator shall issue payment for the claim by cheque directly to the individual listed on the enrollment form and shall provide notification of such payment to the Policy Holder if they are not the same. In return the Policy Holder shall issue a cheque for all claims listed plus the administration fees. In essence, switching cheques. This agreement is governed by the laws in force in Alberta. If any provisions of this agreement is changed by the Federal or Provincial Government; this will affect the agreement of this form.
   
   
Once you have established your CRA Trust Account with your company, add Blue Cross plans for you and your employees. These premiums are fully tax deductible and pay initial benefits direct to the practitioner: (plan maximums determined).
Your CRA approved trust can then reimburse the difference on your claim when submitted through the trust.
 
Please click here to view and print the application for Blue Cross. After completing the application please fax it to:
Ogden Financial
403 228-0926
We will reply within 24 hours after recieving your application.
Blue Cross
Blue Cross Application
Current CRA List of Ineligible Expenses:
  • Acupressure
  • Antiseptic diaper service
  • Aromacare
  • Body Talk
  • Books, CDs, Movies, Music, Videos, DVDs, VHS
  • Cord Blood Storage - ineligible as it is not related to an existing medical condition or disease and it not a diagnostic procedure.
  • Electrolysis
  • Fees - for missed appointments, memberships, cancellations, lateness, courses
  • Gratuity (Tips)
  • Hair replacement
  • Health and fitness programs, expenses, therapy, equipment, and/or apparel
  • Heat Pads, Hot/cold gel packs
  • Hot Tubs / Whirlpools
  • Hypnosis
  • Ionic Detox
  • Iridology
  • Laser services (such as hair or tattoo removal)
  • Liposuction
  • Massage Equipment (oils, beds, chairs)
  • Maternity clothes, baby photos
  • Medical expenses for which you have been reimbursed or are entitled to be reimbursed from other plans
  • Nicotine Gum, Nicotine inhalers
  • NLP - neuro-linguistic programming
  • Non-prescription birth control devices
  • Non-prescription reading/sun glasses, sunglass clips
  • Nutripathic Services
  • Nutritional foods and supplements, even when purchased from a Nutritionist or Dietician
  • Over-the-counter medications, supplements and vitamins
  • Payments to a municipality where the municipality employed a Doctor to provide medical services to the residents of the municipality
  • Pedicures, Manicures, Make-up
  • Pillows, Bedding
  • Pre-payments
  • Reiki Treatments
  • Rolfing
  • Saunas, infrared Saunas
  • Scales for weighing food
  • Shoes, Insoles
  • Telephones, Televisions, Movie, Cable Services/Rental
  • Tens Machine
  • Toothpaste, toothbrush, dental floss
  • Tooth whitening procedures, kits and strips
  • Tuina
  • Weight loss products
  • Yoga, Pilates
   
Enrollment Form
(PDF document opens in new window)
 
Personal Work Sheet (PDF document opens in new window)
 
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