Streamlining of the Québec education savings incentive (QESI)
Rules concerning RESP beneficiaries 16 or 17 years of age
Minimum contribution requirements previously applied to any child 16 or 17 years of age at the end of a given year. Those requirements will be replaced by the requirement that a Canada Education Savings Grant be paid for the year, regarding a contribution made on behalf of the child during the year, to the trust governed by the registered education savings plan (RESP) of which the child is the beneficiary. This change will apply to all contributions made after December 31, 2008.
For more information, see page A.16 in Additional Information on the Budgetary Measures, published by the Ministère des Finances.
Transfer of QESI amounts further to the transfer of all property from one RESP to another
During a given taxation year, a trust governed by an RESP will be able to transfer to a trust governed by another RESP any QESI amount payable to it for a previous taxation year, provided
- the transfer is done at the time of an authorized transfer of all of the property held in the transferring plan to the receiving plan; and
- a QESI participation agreement applies to the receiving plan at the time of the transfer.
This measure will apply to transfers made after March 19, 2009.
For more information, see page A.18 in Additional Information on the Budgetary Measures, published by the Ministère des Finances.
Consequences of late participation by certain RESP providers
The government intends to implement, for 2011, measures to facilitate the transfer of property from a non-participating RESP held by a trust resident in Québec to a participating RESP, so that the QESI may be granted for contributions paid after February 20, 2007, and before January 1, 2011, to a non-participating plan. The details of these measures will be announced at a later date.
For more information, see page A.19 in Additional Information on the Budgetary Measures, published by the Ministère des Finances.