A youth court judge ordered the 13-year-old boy be released into the care of a cousin. His release comes with conditions, including that he not leave the house unless accompanied by his cousin or her husband.
The boy pleaded guilty in September to criminal negligence causing death in the January 2013 shooting of his 16-year-old brother.
He cannot be identified because he was 12 years old at the time.
His sentencing was delayed pending the completion of a psychological report.
The teen's defence lawyers had asked for him to spend the holidays at home on humanitarian grounds as he awaited sentencing.
The Crown argued the boy is still a risk to society and nothing has changed since the last time the judge ruled against his release.
Sentencing arguments are set to resume at the end of January.