InfoCapsule 8: Canada Disability Savings Bond (CDSB)
From: Employment and Social Development Canada
Disclaimer: RDSP issuers
The information contained on this page is technical in nature and is intended for Registered Disability Savings Plan (RDSP), Canada Disability Savings Grant (CDSG) and Canada Disability Savings Bond (CDSB) issuers. For general information, visit the RDSP section.
Consult this page frequently for newer versions. The following laws and regulations take precedence over information contained in InfoCapsules in the event of discrepancies:
- Income Tax Act
- Canada Disability Savings Act
- Canada Disability Savings Regulations
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Preface
The CDSB is money paid by the Government of Canada into the Registered Disability Savings Plan (RDSP) of eligible beneficiaries with a low- or modest-income.
- No contributions are required
- Based on income
Eligibility criteria
For the CDSB to be paid, the beneficiary must:
- be a resident in Canada
- be eligible for the Disability Tax Credit (DTC)
- have a valid Social Insurance Number (SIN)
The CDSB is paid until December 31 of the calendar year in which the beneficiary turns 49 years of age.
Which income is used to determine CDSB entitlements
- Until the end of the calendar year in which the beneficiary turns 18 years of age:
- The individual primary caregiver’s (PCG) family income
- Beginning the calendar year in which the beneficiary turns 19 years of age:
- The beneficiary’s family income
Note: Beneficiaries should file their income taxes as of age 17.
For a beneficiary in care, the public PCG must receive a payment under the Children’s Special Allowances Act (for at least 1 month of the calendar year).
CDSB payments
| 2022 Family income threshold | Annual limit | Annual limit with carry forward | Lifetime limit |
|---|---|---|---|
| Less than or equal to $32,7971 or public PCG | $1,000 | $11,000 | $20,000 |
| Greater than $32,7971 but less than or equal to $50,1971 | Up to $1,000 based on a formula as identified in the Canada Disability Savings Act (CDSA): $1,000 - [$1,000 x (A-B) / (C-B)] Where:
|
$11,000 | $20,000 |
- 1Family income thresholds are indexed annually by the CRA.
Note: If the Canada Revenue Agency (CRA) does not have information on the income, the CDSB will not be paid.
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