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GUARANTEED ANNUAL INCOME SYSTEM (GAINS) April 2001 Purpose Since 1974, the Guaranteed Annual Income System (GAINS) program, administered by the Ministry of Finance, has ensured a guaranteed minimum income for Ontario senior citizens by providing monthly payments to qualifying pensioners. Eligibility You are eligible to receive GAINS payments if: a) you are age 65 or older and receive
the full or partial federal Old Age Security b) you are and have been a permanent
resident of Ontario for the past 12 months c) your total income from all sources is below the level guaranteed by the province. Effective July 2000, you are also eligible to receive GAINS payments if you are a recipient of OAS and GIS benefits under the federal International Social Security Agreement (ISSA) program, have ten or more years of Canadian residency and meet requirements b) and c) above. How the program works If you currently receive a full or partial OAS pension plus the GIS, you do not have to apply for GAINS. The specific amount of GAINS benefit is directly linked to the amount of your GIS monthly payments. A GAINS benefit is only paid when total income, including OAS, GIS and all other sources of income, falls below the annual level guaranteed by the province. The GIS and GAINS annual cycles begin in July of each year. Most seniors will automatically have their GIS entitlement renewed from information included in their current income tax and benefit return. In some situations, you may still require a renewal application to inform Human Resources Development Canada (HRDC) of the amount of income which you received in the prior calendar year. For questions regarding OAS or GIS, call HRDC at 1-800-277-9914. Method of GAINS payment A cheque will be mailed to you automatically around the 25th day of each month, or, if you have chosen Direct Deposit into your bank account for OAS/GIS, we will deposit your GAINS payments in the same account. If you do not have Direct Deposit payment but would like the convenience of this method, please telephone HRDC at 1-800-277-9914. Amount of GAINS payment A GAINS payment is based on your reported income as an individual or combined income as a married couple or common-law partnership. The GAINS payment may increase or decrease along with changes to either your income or marital status. GAINS payments range from a minimum of $2.50 to a maximum of $83.00 per month. Moving out of Ontario GAINS may be paid during temporary absences, such as vacation outside Ontario. However, GAINS is discontinued if you are out of the province for more than six months. On your return to Ontario, it will be necessary to re-establish your eligibility by contacting the Ministry of Finance at the numbers listed below. Moving into Ontario from another province Provided that you currently receive both OAS and GIS payments and have lived in Ontario for one full year, you will automatically receive GAINS payments. However, the one full year residency requirement in Ontario is waived if you previously lived in this province for a total of twenty years after the age of eighteen. Objections If you are not satisfied with a decision regarding your GAINS entitlement, you may contact the Income Tax Related Programs Branch for an explanation. If, after contacting the branch, you are still not satisfied, you may make a formal objection by completing a Notice of Objection form available from the Ministry's Tax Appeals Branch, the Income Tax Related Programs Branch, or the nearest Ministry Tax Office. The notice must be returned to the Tax Appeals Branch within 90 days from the day the Ministry's decision was mailed. Enquiries: For more information, or to obtain bulletins on other Ministry of Finance programs, call the Ministry Information Centre toll-free at one of the following numbers: Ontario 1-800-263-7965 OR Use: TAX FAX 1-877-482-9329 Teletypewriter 1-800-263-7776 Ministry of Finance website at www.rev.gov.on.ca
OR Write to: OR Visit the Ministry of Finance's Income Tax Related Programs Branch P.O. Box 624, 33 King Street West Oshawa ON Ll H 8H8 This Information Bulletin is provided as a guide only. It is not intended as a substitute for the Act and Regulations. Version française disponible Queen's Printer for Ontario, 1998 ISBN 0-7794-0981-7 rev. 04101 |