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Repsheet Canada

C-3

Supporting Vulnerable Seniors and Strengthening Canada's Economy Act

Details

Full Title
An Act to implement certain provisions of the 2011 budget as updated on June 6, 2011
First Reading
June 14, 2011, Parliament 41, Session 1
Type
House Government Bill
Full Content
https://www.parl.ca/legisinfo/en/bill/41-1/c-3

Summary

Bill C-3, also known as the Supporting Vulnerable Seniors and Strengthening Canada’s Economy Act, is a law that puts into action parts of the 2011 budget. It was updated on June 6, 2011, and became law on June 26, 2011.

Part 1 of the law makes changes to the Income Tax Act and related rules. These changes allow people with disabilities to take out more money from their savings plans if they have a short time to live. It also makes sure that everyone can appeal decisions about getting a disability tax credit.

Part 2 of the law changes the Excise Tax Act to give the Royal Canadian Legion money back for the taxes they pay on Remembrance Day poppies and wreaths. It also lets Canada share tax information with other countries that have a tax agreement with Canada.

Part 3 of the law changes the Old Age Security Act to give more money to some people with low incomes who get Old Age Security benefits.

Other parts of the law deal with things like payments to Genome Canada and the Canadian Youth Business Foundation, changes to the Auditor General Act and the Canada Student Financial Assistance Act, rules about mortgage insurance, payments to provinces, rules about insurance companies, and changes to the Canada Shipping Act.

Issues

Economy

  • Inflation and Cost of Living

    This bill includes measures related to the Consumer Price Index (CPI) and its impact on Old Age Security (OAS) benefits. Specifically, it addresses how changes in the CPI affect the calculation of additional amounts that may be paid to pensioners and their spouses or common-law partners. The bill ensures that these additional amounts do not decrease even if the CPI falls, providing a degree of protection against the effects of deflation. These changes are designed to provide more support to vulnerable seniors.

  • Jobs

    Part 4 includes payments to the Canadian Youth Business Foundation. This foundation helps young people start and grow their own businesses. Giving them money could help them create jobs for themselves and others.

  • Taxation

    Part 1 of the bill amends the Income Tax Act to allow beneficiaries of Registered Disability Savings Plans (RDSPs) with shortened life expectancies to withdraw more savings without triggering the 10-year repayment rule, subject to limits. It also amends the Income Tax Act to ensure individuals can appeal determinations concerning their eligibility for the disability tax credit. Part 2 amends the Excise Tax Act to introduce a 100% rebate of the goods and services tax and the harmonized sales tax paid by the Royal Canadian Legion on acquisitions of Remembrance Day poppies and wreaths. This part also amends the Excise Act, 2001 and the Excise Tax Act to allow the sharing of information obtained under these statutes with countries or jurisdictions with which Canada has entered into a tax information exchange agreement.

  • Spending

    Part 4 of the bill authorizes payments from the government's main bank account (Consolidated Revenue Fund) for different things. It allows up to $65 million to be paid to Genome Canada and up to $20 million to the Canadian Youth Business Foundation.

Social Services

  • Seniors and Pensions

    Part 3 of this law changes the Old Age Security Act. It lets the government add extra money to the payments made to some low-income people receiving Old Age Security. The amount of extra money depends on the person's situation and income. The goal is to give more help to seniors who don't have a lot of money.

Social Justice

  • Income Inequality and Poverty

    The bill includes changes to the Old Age Security Act to provide additional support to low-income pensioners and their spouses or common-law partners. It introduces a formula to calculate an additional amount that may be added to the supplement paid under the OAS program, with the goal of increasing benefits for vulnerable seniors with limited incomes. The bill also ensures these additional amounts are protected against decreases due to fluctuations in the Consumer Price Index.