Joint program made by federal, provincial and territorial governments

Provide families with tax-free monthly payments to help raise children of age 18 or under

On average, CCTB pays $1255 for the first child, and provides more funding for additional children

Must live with the child Be the primary

caretaker Caretaker and/or

spouse must be residents of Canada

Automatically considered for the following programs when approved for CCTB

› National Child Benefit Supplement

› Universal Child Care Benefit› Child Disability Benefit

Objective: Assist children with severe and prolonged impairment living in low income families

Developed in 2003 under the Canada Child Tax Benefit (CCTB)

Tax-free benefit of up to $2,300 per year or $191.66 per month

Child must be under 18 years old and be eligible for the Canadian Child Tax Benefit

Child must be eligible for the “disability amount”

It is a non-refundable tax credit and it reduces the amount of income tax payable.

Qualified practitioner proves that child is markedly or significantly restricted in participating in basic daily activities

Or the child spends at least 14 hours per week on life-sustaining therapy

Impairment expected to last at least 12 months

Must first be eligible for CCTB File a Disability Tax Credit Certificate -

Form T2201› Must be signed by a qualified practitioner

Submit form to nearest tax centre Decision for eligibility made by the

Canada Revenue Agency (CRA)

Calculated according to base income Based on number of children for which

CCTB is received Receive maximum CDB benefit if family

net income is less than base amount for the family size

For tax year 2006-2007Calculations based on family consisting of parents

and1 disabled child with net income below $20,435

Basic CCTB $1,255Plus NCBS $1,945

----------Total $3,200

CDB $2,300Threshold income for CDB is $36,378

Net total $5,500 or $458.33/month

As income goes up, CDB is reduced at the rate of 2% for one qualified child and at 4% for two or more qualified children

Nearly all families with children eligible for CDB will receive this benefit

The government could use the funding for other programs

Families receiving Child Disability Benefit could misuse the funding› Use the money for purpose other than

improving the child’s life › Family may stop working extra hours due

to the extra funding from CDB

Increased maximum annual benefit from $2,300 to $2,351 that a family can receive

Families can use the extra cash to buy medical or health support for the disabled child

CDB eligibility have been extended to middle and higher income families with qualified child.