Notice #752 – Update to permit spousal requests for education savings incentives and launch the revised Employment and Social Development Canada (ESDC) application form for education savings incentives

Information bulletin

Number: CESP/PCEE-2017/18-009-752

Date: January 2, 2018

Subject: Update to permit spousal requests for education savings incentives and launch the revised Employment and Social Development Canada (ESDC) application form for education savings incentives

Previous bulletin

This information bulletin updates the June 1, 2017, information bulletin CESP/PCEE-2017/18-001-720.

Purpose

The purpose of this information bulletin is to announce the coming into effect of changes to permit spousal requests for education savings incentives and the launch of the revised ESDC application form for education savings incentives (main form and Annex B).

Program changes

Amendments to the Canada Education Savings Act announced in Budget 2017 came into force on January 1, 2018. These amendments will ease access to the additional amount of Canada Education Savings grant (Additional CESG) and the Canada Learning Bond (CLB).

The amendments allow the Additional CESG and the CLB to be paid based on requests made by the cohabiting spouse or common-law partner of a primary caregiver on behalf of an eligible beneficiary of a Registered Education Savings Plan. Previously, these payments could only be made when requested by the primary caregiver.

Promoters may submit requests for the Additional CESG or the CLB made on or after January 1, 2018, by the spouse or common-law partner of the primary caregiver. These requests, which will initially be refused, will be automatically re-adjudicated when the CESP system modifications are complete in fall 2018.

In addition, once the CESP system modifications are operational in fall 2018, promoters will be able to resubmit CLB requests made before January 1, 2018, which were denied with refusal reason ‘L’. The transaction date of resubmitted requests must be on or after January 1, 2018. In fall 2018, ESDC will provide direction and a list of transactions that can be resubmitted.