OSAP w/ common law in another city

[Chamilt]

Hi all,

 

I don't know if this has been answered somewhere here but I did quick look and didn't find anything. But if it has please link me to it and shame me at will.

 

First, I am common law and engaged, been living with fiancee for >2 years.

I was using the OSAP aid calculator and filled it out in two different ways.

 

1. As common law relationship and listed her income.

 

2. By myself without her income.

 

But for year one at least she will be living alone in a different city and be covering all her own expenses and I will be doing the same.

 

Anyone ever had a similar situation and know which way OSAP tends to side? As I get significantly less when I include her income and as if we were living together.

 

Any help appreciated!

 

Cheers

[WtsupDoc?]

I have basically the same situation but my permanent address has never been the same as my fiance's. Do you file taxes as common law?

 

 

EDIT: just took a quick look at OSAP's definition of common law:

 

Common-law Relationship

You are living in a common-law relationship if you and your spouse:

 

- have been living together in a conjugal relationship for at least three years, or

- are living together in a conjugal relationship and are raising any children of whom you both are the natural or adoptive parents.

 

Looks like you aren't considered common-law if you have been living together for < 3 years.

[Chamilt]

Thanks for the reply. But I just realized we have actually been living together for 3 years. I stated 2 years because for the prior year we had a roommate.

 

I honestly have no idea how my taxes are filed, my dads an accountant so he does it for me! haha

 

I feel like I should not be treated as common law as we are at different addresses and we are both going to be self-supportive (for the most part). But who knows with the government.

 

Or perhaps it depends on how much income the significant other makes? If she only makes 30 000 I don't think thats fair to say you don't get osap. If the wife is making six figures then I can see the point.

 

I guess we shall see when I apply.

[ellorie]

My understanding was that if you stop living together, you cease to be common law.

 

Why don't you just call and ask?

[schmitty]

My understanding was that if you stop living together, you cease to be common law.

 

Why don't you just call and ask?

 

Not really, there are rules for the length and reason of the separation.

[Satsuma]

If you aren't going to be living together for an entire year, and will have different addresses, then you aren't really common law. So I wouldn't worry about it for the first year.

 

As for your Canadian income taxes - you are required to fill out your forms as common law once you have been living together for 12 months. You would need to share the same address. Also you are responsible for your returns being correct even if you have an accountant fill them out for you. So you should probably try and stay aware of how your taxes are being filed.

 

Since you aren't going to be living together the first year. I think the clock will essentially be reset. If you move in again in year 2, then the clock should start up again. Of course, if you get actually married in that time then you need to inform them of that. They'll ask the date you got married and recalculate everything retrospectively.

 

edit: revenue canada allows a separation period of 2-3 months (?) due to relationship breakdown before "resetting the clock" in respect to the 12 month period.

 

You can discuss with your OSAP counsellor on campus- they can help you out.

[schmitty]

If you aren't going to be living together for an entire year, and will have different addresses, then you aren't really common law. So I wouldn't worry about it for the first year.

 

As for your Canadian income taxes - you are required to fill out your forms as common law once you have been living together for 12 months. You would need to share the same address. Also you are responsible for your returns being correct even if you have an accountant fill them out for you. So you should probably try and stay aware of how your taxes are being filed.

 

Since you aren't going to be living together the first year. I think the clock will essentially be reset. If you move in again in year 2, then the clock should start up again. Of course, if you get actually married in that time then you need to inform them of that. They'll ask the date you got married and recalculate everything retrospectively.

 

edit: revenue canada allows a separation period of 2-3 months (?) due to relationship breakdown before "resetting the clock" in respect to the 12 month period.

 

You can discuss with your OSAP counsellor on campus- they can help you out.

 

This is not really true. From the cdn gov website:

 

Common-law partner

This applies to a person who is not your spouse, with whom you are living in a conjugal relationship, and to whom at least one of the following situations applies. He or she:

 

a) has been living with you in a conjugal relationship for at least 12 continuous months;

 

is the parent of your child by birth or adoption; or

 

c) has custody and control of your child (or had custody and control immediately before the child turned 19 years of age) and your child is wholly dependent on that person for support.

 

In addition, an individual immediately becomes your common-law partner if you previously lived together in a conjugal relationship for at least 12 continuous months and you have resumed living together in such a relationship. Under proposed changes, this condition will no longer exist. The effect of this proposed change is that a person (other than a person described in or c)) will be your common-law partner only after your current relationship with that person has lasted at least 12 continuous months. This proposed change will apply to 2001 and later years.

 

 

This suggests that you continue to be common law after any period of 12 months of living together, even if you are separated, but for reasons other than a breakdown in the marriage. I.e. if your relationship is ongoing after living together for 12 months, you are common-law.

 

That said, OSAP would ever know unless you are filing taxes together. if you are, they will find out for sure.

[rmorelan]

This is not really true. From the cdn gov website:

 

Common-law partner

This applies to a person who is not your spouse, with whom you are living in a conjugal relationship, and to whom at least one of the following situations applies. He or she:

 

a) has been living with you in a conjugal relationship for at least 12 continuous months;

 

is the parent of your child by birth or adoption; or

 

c) has custody and control of your child (or had custody and control immediately before the child turned 19 years of age) and your child is wholly dependent on that person for support.

 

In addition, an individual immediately becomes your common-law partner if you previously lived together in a conjugal relationship for at least 12 continuous months and you have resumed living together in such a relationship. Under proposed changes, this condition will no longer exist. The effect of this proposed change is that a person (other than a person described in or c)) will be your common-law partner only after your current relationship with that person has lasted at least 12 continuous months. This proposed change will apply to 2001 and later years.

 

 

This suggests that you continue to be common law after any period of 12 months of living together, even if you are separated, but for reasons other than a breakdown in the marriage. I.e. if your relationship is ongoing after living together for 12 months, you are common-law.

 

That said, OSAP would ever know unless you are filing taxes together. if you are, they will find out for sure.

 

Would any of that actually matter though - I mean OSAP has it own rules - as it has for a bunch of other stuff as well. If you obey their rules it doesn't matter how the other government agencies define it as(?)

[schmitty]

Would any of that actually matter though - I mean OSAP has it own rules - as it has for a bunch of other stuff as well. If you obey their rules it doesn't matter how the other government agencies define it as(?)

 

That's true... But it is a good precedent that many organizations adhere to.

 

Best would be to call OSAP of you are worried and honest. If you don't file your taxes as common law, then they will likely never find out if you are at different addresses.

[Chamilt]

Thanks for all the info. And once I get around to actually filling out the application I will likely have to call them. But just at work and trying to kill time, can't really make personal phone calls from here

 

What if I cheat on her? lol Just kidding, we are probably going to plan our wedding for either of the next two summers (after 1st/2nd yr) unless she is cool with waiting until after residency

[WtsupDoc?]

Can you post what you find out? I'm trying to weigh the pro's and con's of changing my address so that my fiance and I are common law... it's such a balancing act, between taxes (we'll get bigger refunds now, when we need it) and optimizing OSAP and other grants. That's definitely factoring into our wedding plans... I thought that we weren't in a rush to get married, but now my partner seems to think sooner is better than later. I thought I had another four years!!

[Chamilt]

Of course. I just have to go to campus and get my OAN because it somehow screwed up when I registered, didn't actually give me my OAN, so my name and SIN are registered. But one of my challenge questions is something I never would have put down. "very special hockey player". I was like WTF.

 

So need to go to the financial office on campus or send in a lengthy form (which I assume would take longer).

[Chamilt]

Can you post what you find out? I'm trying to weigh the pro's and con's of changing my address so that my fiance and I are common law... it's such a balancing act, between taxes (we'll get bigger refunds now, when we need it) and optimizing OSAP and other grants. That's definitely factoring into our wedding plans... I thought that we weren't in a rush to get married, but now my partner seems to think sooner is better than later. I thought I had another four years!!

 

Yes, I was just playing around with the OSAP calculator and putting in different things and the numbers change quite dramatically. This is one are I don't mind trying to play the system as long as it's not illegal!

 

I don't know about your guys situation. But we have practically zero assets (car with 300 000+ kms), no savings, small amount of debt. So these things obviously change the amount as well.

 

From what I understand having the same address would not benefit you at all unless perhaps your SO is still in school as well.

[WtsupDoc?]

We each have cars (less than 3 years old but not expensive) and he has a house but I won't be living there once school starts. The only benefit to filing taxes as common-law is that I can trasfer my tuition tax credits so that he pays less tax, which will help us stay afloat while I have no income... but it will reduce OSAP/financial aid... and the credits get used eventually, so we are probably further ahead not being common-law/married.

[rmorelan]

We each have cars (less than 3 years old but not expensive) and he has a house but I won't be living there once school starts. The only benefit to filing taxes as common-law is that I can trasfer my tuition tax credits so that he pays less tax, which will help us stay afloat while I have no income... but it will reduce OSAP/financial aid... and the credits get used eventually, so we are probably further ahead not being common-law/married.

 

You almost certainly will get more in grants etc than the 5K x approx 0.20 = 1K a year you are getting in tax credits via the transfer (5K is the max transfer to a spouse or common law partner).

[WtsupDoc?]

You almost certainly will get more in grants etc than the 5K x approx 0.20 = 1K a year you are getting in tax credits via the transfer (5K is the max transfer to a spouse or common law partner).

 

Oh, very true! Thanks RMorelan

[schmitty]

You almost certainly will get more in grants etc than the 5K x approx 0.20 = 1K a year you are getting in tax credits via the transfer (5K is the max transfer to a spouse or common law partner).

 

Definitely! Though it is 5K for federal and around $6K IIRC for provincial, but yeah, it would only workout to around 1K anyway.

[Satsuma]

This is not really true. From the cdn gov website:

 

The effect of this proposed change is that a person (other than a person described in or c)) will be your common-law partner only after your current relationship with that person has lasted at least 12 continuous months. This proposed change will apply to 2001 and later years.

 

 

This suggests that you continue to be common law after any period of 12 months of living together, even if you are separated, but for reasons other than a breakdown in the marriage. I.e. if your relationship is ongoing after living together for 12 months, you are common-law.

 

That said, OSAP would ever know unless you are filing taxes together. if you are, they will find out for sure.

 

Well, I am no lawyer. But I am pretty sure that when it says "only after your current relationship with that person has lasted at least 12 consecutive months, then it means current, not the fact that you lived with that person 2 years ago for 12 months.

 

The only way the OP is going to know how OSAP handles things is to ask them. But if the federal government "resets" things, then possibly OSAP does too.

[Satsuma]

We each have cars (less than 3 years old but not expensive) and he has a house but I won't be living there once school starts. The only benefit to filing taxes as common-law is that I can trasfer my tuition tax credits so that he pays less tax, which will help us stay afloat while I have no income... but it will reduce OSAP/financial aid... and the credits get used eventually, so we are probably further ahead not being common-law/married.

 

You really shouldn't let the amount of OSAP and tax credits you get determine when you will get married.

 

It seems like alot of debt when you are starting out, but you will be able to pay it off fairly quickly once you are staff. And you will also likely be paying some down while a resident. You will be able to use your LOC to cover whatever OSAP doesn't.

 

As for your car, well, the bad news is OSAP deducts the value of the car directly from the total amount they would give you.

[schmitty]

Well, I am no lawyer. But I am pretty sure that when it says "only after your current relationship with that person has lasted at least 12 consecutive months, then it means current, not the fact that you lived with that person 2 years ago for 12 months.

 

The only way the OP is going to know how OSAP handles things is to ask them. But if the federal government "resets" things, then possibly OSAP does too.

 

If that relationship is still ongoing then yes, the fact that you live with somebody for 12 months in a conjugal relationship, even 2 years ago, makes you common-law, according to the CRA

 

Also, I agree with your point that this should not affect whether one should get married or not.

[stevekimble9]

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[Satsuma]

If that relationship is still ongoing then yes, the fact that you live with somebody for 12 months in a conjugal relationship, even 2 years ago, makes you common-law, according to the CRA

 

Also, I agree with your point that this should not affect whether one should get married or not.

 

I think we'll just have to agree that we interpret this differently. lol.

 

But agreed that prior to 2001 someone living together 12 months 2 years ago and resuming living together would be considered common law.

 

But anyway, doesn't really matter much for this conversation.