Canada Education Savings Grant

Disclaimer: RESP promoters

The information contained on this page is technical in nature and is intended for Registered Education Savings Plan (RESP) and Canada Education Savings Program promoters. For general information, visit the RESP section.

Official title: Revised Income Brackets for Additional CESG

Information Bulletin

Number:
CESP/PCEE-2008-003
Date:
April 18, 2008
Subject:
Notice #299 - Revised Income Brackets for Additional CESG

Previous Bulletin

This Information Bulletin updates the Information Bulletin CESP 2007-001 dated February 26, 2007.

Purpose

The purpose of this Information Bulletin is to inform promoters and trustees that income brackets used to determine the rate of payment for Additional Canada Education Savings Grant (A-CESG) have been indexed for 2008.

Background

Section 5(8) of the Canada Education Savings Act requires that the income brackets established for A-CESG purposes be indexed yearly based on inflation.

The Canada Revenue Agency has recently released the 2008 Indexation Adjustment for Personal Income Taxes. As a result income brackets for A-CESG have now been established for 2008.

Income Brackets to Determine A-CESG

The following table indicates income brackets used to determine the rate of the A-CESG on the first $500 or less of registered education savings plan (RESP) contributions per beneficiary per year.

Income Brackets to Determine A-CESG
In the year... The A-CESG rate is 20% when net family income is... The A-CESG rate is 10% when net family income is more than...
2008 $37,885 or less $37,885 but not more than $75,769
2007 $37,178 or less $37,178 but not more than $74,357
2006 $36,378 or less $36,378 but not more than $72,756

No Change to Basic CESG

Calculations for Basic CESG remain unchanged at 20% of RESP contributions per beneficiary per year.

RESP User Provider Guide

Updated information available for download

InfoCapsules

Updated information available for download

Quick Facts

Updated information available for download

Contact

Questions on this Information Bulletin should be directed to the Canada Education Savings Program by e-mail at cesp-pcee@hrsdc-rhdcc.gc.ca or by calling 1-888-276-3624.

Report a problem or mistake on this page
Please select all that apply:

Thank you for your help!

You will not receive a reply. For enquiries, contact us.

Date modified: