GIS Flashcards
What is GIS?
An additional source of income for lower income individuals/families with little or no other income
Non taxable monthly benefit financed though federal government’s tax revenues
Who qualifies for GIS?
Individuals 65 or older
Canadian residents
Receiving OAS
Meets certain requirements
If Mary has the same exact level of income as Ben but she has a higher OAS pension, does she get a higher GIS compared to Ben?
No. They both get the same GIS benefits if they have that same level of income
When do benefits run in the calendar year and are they retroactive?
Run from July to June of the next year.
Retroactive for up to 12 months and CPI increases are reflected in increase every quarter like OAS: Jan, April, July, October.
Mary has an OAS retirement pension and a base income of $8200 in 2021. What is her GIS benefit clawback?
50% of her base income is deducted from the maximum annual GIS amount.
Max monthly GIS amount in 2021 - $923.71
8200/12 = $683.33
$683.33 X 0.50 = $341.67/month
$923.71 - $341.67 = $582.04/month is what she receives
Is OAS pension and it’s benefits included as base income for GIS clawback?
No.
Only: CPP/QPP, pension income or superannuation, foreign pension income, RRSP income, EI benefits, interest income, dividends, capital gains, net rental income, employment/self-employment income and income from other sources like alimony or worker’s compensation
What happens to the GIS benefit if a person leaves Canada?
The benefit is paid for the month of departure and 6 months thereafter (like OAS).
It stops after 6 months and can restart if the person returns to Canada
