Owens parents, who are retired, have gifted Owen $2,500 every December since Ellies birth in 2015, which

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Question:

Owen’s parents, who are retired, have gifted Owen $2,500 every December since Ellie’s birth in 2015, which Owen then immediately contributed to an RESP for Ellie before year-end.

i. For tax purposes, it is better for Owen’s parents to gift money to Owen for Ellie’s RESP and have him contribute the amount to her RESP as the subscriber. Why?

ii. In what year will Ellie receive the last of the Canada Education Savings Grant if Owen’s parents continue to gift $2,500 every December and Owen continues to contribute the amount to Ellie’s RESP right away? Please explain