US & Canada - Tax
Lily Lo CPA Professional corporation
what is oas pension
The Old Age Security (OAS) pension is a monthly payment available to seniors aged 65 and older who meet the Canadian legal status and residence requirements. You may need to apply to receive it. The OAS program is the Government of Canada's largest pension program, which is funded out of the general tax revenues of the Government of Canada.
If you are living in Canada, you must:
If you are living outside Canada, you must:
If neither of the above scenarios applies to you, you may still qualify for an OAS pension, a pension from another country or from both countries if you have:
You can receive the OAS pension even if you have never worked or are still working, which means your employment history is not a factor in determining eligibility.
deferring your oas pension
You can defer receiving your OAS pension for up to 60 months after the date you become eligible for an OAS pension in exchange for a higher monthly amount - your monthly pension payment will be increased by 0.6 percent for every month you delay receiving it, up to a maximum of 36 percent at age 70.
If you choose to defer receiving your OAS pension, you will not be eligible for the Guaranteed Income Supplement (GIS), and your spouse or common-law partner will not be eligible for the Allowance benefit for the period you are delaying your OAS pension.
what is gis
The Guaranteed Income Supplement (GIS) provides a monthly non-taxable benefit to Old Age Security (OAS) pension recipients who have a low income and are living in Canada.
You have to meet all of the following conditions:
You will be automatically enrolled for the GIS if you are eligible and you were automatically enrolled for the OAS pension.
If you are eligible to be enrolled automatically, Service Canada will send you a notification letter the month after you turn 64. If you did not receive a letter from Service Canada informing you that you were selected for OAS/GIS automatic enrolment, you must apply in writing.
US & Canada Tax - Lily Lo CPA Professional Corporation - Edmonton, Alberta