What is the Basic CESG?

Effective January 1, 2007, the maximum annual RESP contribution that will
qualify for the 20% CESG was increased to $2,500 from $2,000 for a maximum $500 Basic
CESG. The lifetime maximum of CESG that one beneficiary can receive is $7,200.
In order to be eligible for the Basic CESG, the beneficiary must be a Canadian resident at
the time of the contribution, and the contributions must be made before the calendar year
the beneficiary turns 18. In addition, certain conditions must be met for the beneficiary to
receive Basic CESG in the calendar year the beneficiary turns 16 or 17 years old.