OTTAWA-
The Liberals’ proposed dental benefit is likely to be fraudulent if verification measures are not put in place, Canada’s Parliamentary Budget Officer Yves Giroux warned on Tuesday as the legislation nears final vote in the House of Commons.
Giroux was on the Senate Finance Committee to answer questions about the cost analysis of the bill, which proposes a dental benefit as well as rent support.
The Parliamentary Budget Officer recently estimated that the dental benefit will cost $703 million, while rent support will cost up to $940 million.
But Giroux told senators that the Parliamentary Budget Officer’s analysis did not take into account the potential for fraudulent claims. He warned that the overall cost could be higher if the government does not take steps to verify that the claims are legitimate.
“The potential for fraud will likely be significant, so it will depend on strong enforcement and verification measures,” Giroux said.
The bill would only require Canadians to certify that they have received or plan to receive dental services and that they are not covered by an insurance program.
The bill includes a new dental benefit for children under 12 in low- and modest-income families and a one-time $500 allowance for low-income renters.
The Liberals fast-tracked Bill C-31 through the health committee on Monday night and are set for a third and final vote in the House of Commons on Thursday.
It must also be passed by the Senate before it can be implemented.
Rent assistance and dental care are both elements of the Liberal-NDP supply and confidence agreement, which saw the Liberals agree to act on some NDP priorities in return for support from this party on key votes.
The dental benefit is meant to be an interim measure while the government works on a more comprehensive dental plan.
Since the benefits will be administered by the Canada Revenue Agency, Giroux also said the government could do more to reach Canadians who do not file taxes but qualify for the benefits.
“More and more benefits depend on the tax system,” said Giroux. “Yet the government is not as proactive as one might think in, say, 2022 to reach out to these people.”
The third part of the Liberals’ plan to help people with the rising cost of living passed last week with all-party support, doubling the GST benefit for the next six months.
This report from The Canadian Press was first published on October 25, 2022.