There are two elements to that. The Last Post Fund administers that program. If the death of the individual is related to military service in any way—in other words, in effect, if the individual is pensioned at a degree of 48% or higher—the burial is covered automatically and there's no income test. For individuals who have a low income, other sources of funeral assistance, such as the Canada Pension Plan death benefit, would count against the ceiling, if the ceiling is higher than the Canada Pension Plan death benefit.
On April 29th, 2008. See this statement in context.