Social Assistance (SA)
Social Assistance (SA) are payments made to beneficiaries or third parties based on a means, needs, or income test and include payments for food, clothing, and shelter requirements. These payments are shown on a T5007, Statement of Benefits slip, and are usually made to:
- impaired individuals in nursing homes or similar accomodations; and
- elderly individuals (generally over 64 years of age) whether or not they live in nursing homes or similar accomodations.
The social assistance payments amounts are not taxable, but you must include them in your net income. Including the social assistance payments ensures that any benefits that you may be entitled to are calculated properly. These benefits include:
- the Old Age Secuirty (OAS) Supplement,
- the Goods and Services Tax/Harmonized (GST/HST)sales tax credit,
- the Canada Child Tax Benefit (CCTB), as well as;
- certain provincial or territorial tax credits and certain non-refundable tax credits.
However, if you lived with your spouse or common-law partner when the payments were received, the one of you who has the higher net income on line 23600 not including these payments or the deductions on line 21400, child care expenses, or line 23500, social benefits repayment, has to report all of the payments, no matter whose name is on the slip.
If this amount is the same for both of you, the person whose name is on the T5007 slip has to report it.