Ontario Child Benefit

Ontario Child Benefit
The Ontario Child Benefit (OCB) took effect in July 2008 and has many implications for families on Ontario Works (OW) and Ontario Disability (ODSP). Under the new OCB rules parents receiving the full Child Tax Benefit (CTB), for their children, would no longer receive any basic allowance for their children. Instead they will receive their entire money for their children from their CTB cheque which is $327.66 (maximum) for one child. The children would continue to get a medical card and their shelter allowance and any other benefit they receive from OW such as the special diet but no basic allowance. Furthermore, the Ontario government has canceled the back to school and the winter clothing allowance.

New Maximum Amount of Child Tax Benefit Cheque including the new Ontario Benefit

1 child $327.66
2 children $635.91
3 children $ 944.41

Note: all children 5 and under receive an extra $100.00 for the Universal Child Care Benefit on a separate cheque.

You may be partially or fully ineligible for the Child Tax Benefit and the Ontario Child Benefit if you are a:

  • Family without immigration or refugee status
  • Parent who did not file a 2007 tax return
  • Parent who was not eligible for the Child Tax Benefit cheque because you made too much money to qualify in 2007
  • Parent who made enough money to partially qualify for the Child Tax Benefit cheque
  • Parent who has a new born child and have not yet received the Child Tax Benefit cheque

If you are ineligible for the Child Tax Benefit cheque or you do not receive the full entitlement the Ontario government has created the Transition Child Benefit to supplement the lost income. This new transition benefit will give up to $148 per month per child for four months. But you can usually only get it for up to 4 months

You will be ineligible for the transition benefit if:

  • You are not on social assistance and you are receiving only Assistance for Children with Severe Disabilities (ACSD) financial assistance on behalf of a child;
  • You are a person in receipt of the Extended Health Benefit (EHB); the Transition Health Benefit (THB); or the Extended Employment Health Benefit (EEHB) under Ontario Works;
  • You are a living in an interval and transition home where income support is not calculated under the basic needs and shelter rates tables since you are not maintaining a community residence
  • You are living in an emergency hostel (but you could bet PNA)

If you are ineligible for the transition benefit, you are usually eligible for the child tax benefit so you should apply for it. For example, you may not be eligible for the transition benefit if you are living in a hostel but you are eligible for the Child Tax Benefit and Ontario Child benefit that comes as a part of that cheque. You apply for the Child Tax Benefit when you do your taxes and if you have not done your taxes you can do them at anytime during the year.

You should know that the Transitional Child Benefit is considered to be repayable so if you get the Ontario Child Benefit and they give you back pay, they will take the money you got from the TCB off your cheque.

The Child Tax Benefit/Ontario Benefit and Shared or Joint Custody

If you are in a shared custody situation where you receive the Child Tax Benefit half the year for your children and your ex-partner receives the Benefit the other half of the year. You will receive no basic allowance for your children for the part of the year that you do not receive the Child Tax Benefit. You will continue to get a shelter allowance for your children and any other benefits that you may receive e.g. special diet, but you will not receive any basic allowance and you will not be eligible for the transition benefit. Basically what this means is that you will receive no money for food for your kids for the portion of the year that you do not receive the National Child Tax Benefit.