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A round-up of inflation supports and a new benefit for people with disabilities
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Starting July 1, 2023, Ontario Disability Support Program (ODSP) rates increased by 6.5% and will be adjusted yearly based on inflation. And the federal government sent out a Grocery Rebate on July 5 with people’s GST/HST tax credit.
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The federal government has also just passed the Canada Disability Benefit Act, which creates a new benefit for working-age people with disabilities. Over the next year, the government will be working out details like who’ll be eligible and how much the benefit will be. |
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ODSP increase
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ODSP increased by 6.5% on July 1, 2023. The basic ODSP rate for a single person with the maximum shelter allowance is now $1,308 a month. This is up from $1,228.
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The 6.5% raise applies only to the core amounts like:
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- basic needs for singles and families
- shelter maximums for singles and families
- board and lodge amounts for singles and families
- the maximum amount provided for a couple where both have disabilities
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The 6.5% increase does not apply to several other benefits that ODSP recipients often get. This includes the Remote Communities Allowance, Special Diet Allowance, and the Pregnancy and Breastfeeding Nutritional Allowance. |
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ODSP tied to inflation
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ODSP rates are now indexed to the annual inflation rate. This means that once a year, ODSP rates go up by however much inflation went up that year. If there’s no change to inflation or if inflation rates go down, ODSP rates stay the same.
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Inflation is calculated using the Consumer Price Index for Ontario, which measures how much the cost of things like food and housing have gone up or down. |
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New benefit to help Canadians with disabilities
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The Canada Disability Benefit Act is now law. The Act sets out the framework for a new national benefit for working-age people with disabilities who are living on a low income. |
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The benefit will be added to existing federal and provincial disability supports.
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The government has until June 2024 to make the regulations for how the benefit will work, including:
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- who is eligible
- how to apply
- how much the benefit will be
- the appeal process
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While these regulations should be made by June 2024, it will likely take longer before anyone can apply for and start getting the benefit.
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Grocery Rebate
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People do not have to apply for the Grocery Rebate. But they need to have filed their 2021 tax return.
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The amount of the Grocery Rebate is double what someone's GST/HST credit was in January 2023. For example, if someone got $117 as a GST/HST credit in January, their rebate will be $234.
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People get the rebate and the GST/HST credit that they normally get.
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Someone may be eligible for the Grocery Rebate, but not for July's GST/HST credit or the other way around. This is because the Grocery Rebate is based on their 2021 tax return. But the July GST/HST credit is based on their 2022 tax return.
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People do not have to spend their Grocery Rebate on groceries. They can spend the money on whatever they choose.
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Help filling out tax returns
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Related resources
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