VIII, s. 851996, c. 21, s. 361997, c. 25, s. 441998, c. 19, ss. 39, 1732003, c. 15, s. 842005, c. 30, s. 112013, c. 34, s. 302, c. 40, s. 64
147.2(1)For a taxation year ending after 1990, there may be deducted in computing the income of a taxpayer who is an employer the total of all amounts each of which is a contribution made by the employer after 1990 and either in the taxation year or within 120 days after the end of the taxation year to a registered pension plan in respect of the employer’s employees or former employees, to the extent that(a)in the case of a contribution in respect of a money purchase provision of a plan, the contribution was made in accordance with the plan as registered and in respect of periods before the end of the taxation year;(b)in the case of a contribution in respect of the defined benefit provisions of a plan (other than a specified multi-employer plan), the contribution(i)is an eligible contribution,(ii)was made to fund benefits provided to employees and former employees of the employer in respect of periods before the end of the taxation year, and(iii)complies with subsection 147.1(10);(c)in the case of a contribution made to a plan that is a specified multi-employer plan, the contribution was made in accordance with the plan as registered and in respect of periods before the end of the taxation year; and(d)the contribution was not deducted in computing the income of the employer for a preceding taxation year.Marginal note:Employer contributions — defined benefit provisions(2)For the purposes of subsection 147.2(1), a contribution made by an employer to a registered pension plan in respect of the defined benefit provisions of the plan is an eligible contribution if it is a prescribed contribution or if it complies with prescribed conditions and is made pursuant to a recommendation by an actuary in whose opinion the contribution is required to be made so that the plan will have sufficient assets to pay benefits under the defined benefit provisions of the plan, as registered, in respect of the employees and former employees of the employer, where(a)the recommendation is based on an actuarial valuation that complies with the following conditions, except the conditions in subparagraphs 147.2(2)(a)(iii) and 147.2(2)(a)(iv) to the extent that they are inconsistent with any other conditions that apply for the purpose of determining whether the contribution is an eligible contribution:(i)the effective date of the valuation is not more than 4 years before the day on which the contribution is made,(ii)actuarial liabilities and current service costs are determined in accordance with an actuarial funding method that produces a reasonable matching of contributions with accruing benefits,(iii)all assumptions made for the purposes of the valuation are reasonable at the time the valuation is prepared and at the time the contribution is made,(iv)the valuation is prepared in accordance with generally accepted actuarial principles,(v)the valuation complies with prescribed conditions, which conditions may include conditions regarding the benefits that may be taken into account for the purposes of the valuation, and(vi)where more than one employer participates in the plan, assets and actuarial liabilities are apportioned in a reasonable manner among participating employers in respect of their employees and former employees, and(b)the recommendation is approved by the Minister in writing,and, for the purposes of this subsection and except as otherwise provided by regulation,(c)the benefits taken into account for the purposes of a recommendation may include anticipated cost-of-living and similar adjustments where the terms of a pension plan do not require that those adjustments be made but it is reasonable to expect that they will be made, and(d)a recommendation with respect to the contributions required to be made by an employer in respect of the defined benefit provisions of a pension plan may be prepared without regard to such portion of the assets of the plan apportioned to the employer in respect of the employer’s employees and former employees as does not exceed the lesser of(i)the amount of actuarial surplus in respect of the employer, and(ii)25% of the amount of actuarial liabilities apportioned to the employer in respect of the employer’s employees and former employees.Marginal note:Filing of actuarial report(3)Where, for the purposes of subsection 147.2(2), a person seeks the Minister’s approval of a recommendation made by an actuary in connection with the contributions to be made by an employer to a registered pension plan in respect of the defined benefit provisions of the plan, the person shall file with the Minister a report prepared by the actuary that contains the recommendation and any other information required by the Minister.Marginal note:Amount of employee’s pension contributions deductible(4)There may be deducted in computing the income of an individual for a taxation year ending after 1990 an amount equal to the total ofMarginal note:Service after 1989(a)the total of all amounts each of which is a contribution (other than a prescribed contribution) made by the individual in the year to a registered pension plan that is in respect of a period after 1989 or that is a prescribed eligible contribution, to the extent that the contribution was made in accordance with the plan as registered,Marginal note:Service before 1990 while not a contributor(b)the least of(i)the amount, if any, by which(A)the total of all amounts each of which is a contribution (other than an additional voluntary contribution or a prescribed contribution) made by the individual in the year or a preceding taxation year and after 1945 to a registered pension plan in respect of a particular year before 1990, if all or any part of the particular year is included in the individual’s eligible service under the plan and if(I)in the case of a contribution that the individual made before March 28, 1988 or was obliged to make under the terms of an agreement in writing entered into before March 28, 1988, the individual was not a contributor to the plan in the particular year, or(II)in any other case, the individual was not a contributor to any registered pension plan in the particular yearexceeds(B)the total of all amounts each of which is an amount deducted, in computing the individual’s income for a preceding taxation year, in respect of contributions included in the total determined in respect of the individual for the year under clause 147.2(4)(b)(i)(A),(ii)$3,500, and(iii)the amount determined by the formula($3,500 × Y) - ZwhereYis the number of calendar years before 1990 each of which is a year(A)all or any part of which is included in the individual’s eligible service under a registered pension plan to which the individual has made a contribution that is included in the total determined under clause 147.2(4)(b)(i)(A) and in which the individual was not a contributor to any registered pension plan, or(B)all or any part of which is included in the individual’s eligible service under a registered pension plan to which the individual has made a contribution(I)that is included in the total determined under clause 147.2(4)(b)(i)(A), and(II)that the individual made before March 28, 1988 or was obliged to make under the terms of an agreement in writing entered into before March 28, 1988, and in which the individual was not a contributor to the plan, andZis the total of all amounts each of which is an amount deducted, in computing the individual’s income for a preceding taxation year,(A)in respect of contributions included in the total determined in respect of the individual for the year under clause 147.2(4)(b)(i)(A), or(B)where the preceding year was before 1987, under subparagraph 8(1)(m)(ii) (as it read in its application to that preceding year) in respect of additional voluntary contributions made in respect of a year that satisfies the conditions in the description of Y, andMarginal note:Service before 1990 while a contributor(c)the lesser of(i)the amount, if any, by which(A)the total of all amounts each of which is a contribution (other than an additional voluntary contribution, a prescribed contribution or a contribution included in the total determined in respect of the individual for the year under clause 147.2(4)(b)(i)(A)) made by the individual in the year or a preceding taxation year and after 1962 to a registered pension plan in respect of a particular year before 1990 that is included, in whole or in part, in the individual’s eligible service under the planexceeds(B)the total of all amounts each of which is an amount deducted, in computing the individual’s income for a preceding taxation year, in respect of contributions included in the total determined in respect of the individual for the year under clause 147.2(4)(c)(i)(A), and(ii)the amount, if any, by which $3,500 exceeds the total of the amounts deducted by reason of paragraphs 147.2(4)(a) and 147.2(4)(b) in computing the individual’s income for the year.Marginal note:Teachers(5)For the purpose of determining whether a teacher may deduct an amount contributed by the teacher to a registered pension plan in computing the teacher’s income for a taxation year ending after 1990 and before 1995 during which the teacher was employed by Her Majesty or a person exempt from tax for the year under section 149,(a)clause 147.2(4)(b)(i)(A) shall be read without reference to subclauses 147.2(4)(b)(i)(A)(I) and 147.2(4)(b)(i)(A)(II); and(b)the description of Y in subparagraph 147.2(4)(b)(iii) shall be read as follows:“Yis the number of calendar years before 1990 each of which is a year all or any part of which is included in the individual’s eligible service under a registered pension plan to which the individual has made a contribution that is included in the total determined under clause 147.2(5)(b)(i)(A), and”Marginal note:Deductible contributions when taxpayer dies(6)Where a taxpayer dies in a taxation year, for the purpose of computing the taxpayer’s income for the year and the preceding taxation year,(a)paragraph 147.2(4)(b) shall be read without reference to subparagraph 147.2(6)(a)(ii) and as if the reference to “the least of” were a reference to “the lesser of”; and(b)paragraph 147.2(4)(c) shall be read without reference to subparagraph 147.2(6)(b)(ii) and the words “the lesser of”.Marginal note:Letter of credit(7)For the purposes of this section and any regulations made under subsection 147.1(18) in respect of eligible contributions, an amount paid to a registered pension plan by the issuer of a letter of credit issued in connection with an employer’s funding obligations under a defined benefit provision of the plan is deemed to be an eligible contribution made to the plan in respect of the provision by the employer with respect to the employer’s employees or former employees, if(a)the amount is paid under the letter of credit;(b)the use of the letter of credit is permitted under thePension Benefits Standards Act, 1985or a similar law of a province; and(c)the amount would have been an eligible contribution under subsection (2) if(i)it had been paid to the plan by the employer, and(ii)this section were read without reference to this subsection.Marginal note:Former employee of predecessor employer(8)For the purposes of this section and any regulations made under subsection 147.1(18) in respect of eligible contributions, a former employee of a predecessor employer (as defined by regulation) of a participating employer in relation to a pension plan is deemed to be a former employee of the participating employer in relation to the plan if(a)the former employee would not otherwise be an employee or former employee of the participating employer; and(b)benefits are provided to the former employee under a defined benefit provision of the plan in respect of periods of employment with the predecessor employer.
(a)in the case of a contribution in respect of a money purchase provision of a plan, the contribution was made in accordance with the plan as registered and in respect of periods before the end of the taxation year;(b)in the case of a contribution in respect of the defined benefit provisions of a plan (other than a specified multi-employer plan), the contribution(i)is an eligible contribution,(ii)was made to fund benefits provided to employees and former employees of the employer in respect of periods before the end of the taxation year, and(iii)complies with subsection 147.1(10);(c)in the case of a contribution made to a plan that is a specified multi-employer plan, the contribution was made in accordance with the plan as registered and in respect of periods before the end of the taxation year; and(d)the contribution was not deducted in computing the income of the employer for a preceding taxation year.
(i)is an eligible contribution,(ii)was made to fund benefits provided to employees and former employees of the employer in respect of periods before the end of the taxation year, and(iii)complies with subsection 147.1(10);
(a)the recommendation is based on an actuarial valuation that complies with the following conditions, except the conditions in subparagraphs 147.2(2)(a)(iii) and 147.2(2)(a)(iv) to the extent that they are inconsistent with any other conditions that apply for the purpose of determining whether the contribution is an eligible contribution:(i)the effective date of the valuation is not more than 4 years before the day on which the contribution is made,(ii)actuarial liabilities and current service costs are determined in accordance with an actuarial funding method that produces a reasonable matching of contributions with accruing benefits,(iii)all assumptions made for the purposes of the valuation are reasonable at the time the valuation is prepared and at the time the contribution is made,(iv)the valuation is prepared in accordance with generally accepted actuarial principles,(v)the valuation complies with prescribed conditions, which conditions may include conditions regarding the benefits that may be taken into account for the purposes of the valuation, and(vi)where more than one employer participates in the plan, assets and actuarial liabilities are apportioned in a reasonable manner among participating employers in respect of their employees and former employees, and(b)the recommendation is approved by the Minister in writing,
(i)the effective date of the valuation is not more than 4 years before the day on which the contribution is made,(ii)actuarial liabilities and current service costs are determined in accordance with an actuarial funding method that produces a reasonable matching of contributions with accruing benefits,(iii)all assumptions made for the purposes of the valuation are reasonable at the time the valuation is prepared and at the time the contribution is made,(iv)the valuation is prepared in accordance with generally accepted actuarial principles,(v)the valuation complies with prescribed conditions, which conditions may include conditions regarding the benefits that may be taken into account for the purposes of the valuation, and(vi)where more than one employer participates in the plan, assets and actuarial liabilities are apportioned in a reasonable manner among participating employers in respect of their employees and former employees, and
(c)the benefits taken into account for the purposes of a recommendation may include anticipated cost-of-living and similar adjustments where the terms of a pension plan do not require that those adjustments be made but it is reasonable to expect that they will be made, and(d)a recommendation with respect to the contributions required to be made by an employer in respect of the defined benefit provisions of a pension plan may be prepared without regard to such portion of the assets of the plan apportioned to the employer in respect of the employer’s employees and former employees as does not exceed the lesser of(i)the amount of actuarial surplus in respect of the employer, and(ii)25% of the amount of actuarial liabilities apportioned to the employer in respect of the employer’s employees and former employees.
(i)the amount of actuarial surplus in respect of the employer, and(ii)25% of the amount of actuarial liabilities apportioned to the employer in respect of the employer’s employees and former employees.
Marginal note:Service after 1989(a)the total of all amounts each of which is a contribution (other than a prescribed contribution) made by the individual in the year to a registered pension plan that is in respect of a period after 1989 or that is a prescribed eligible contribution, to the extent that the contribution was made in accordance with the plan as registered,Marginal note:Service before 1990 while not a contributor(b)the least of(i)the amount, if any, by which(A)the total of all amounts each of which is a contribution (other than an additional voluntary contribution or a prescribed contribution) made by the individual in the year or a preceding taxation year and after 1945 to a registered pension plan in respect of a particular year before 1990, if all or any part of the particular year is included in the individual’s eligible service under the plan and if(I)in the case of a contribution that the individual made before March 28, 1988 or was obliged to make under the terms of an agreement in writing entered into before March 28, 1988, the individual was not a contributor to the plan in the particular year, or(II)in any other case, the individual was not a contributor to any registered pension plan in the particular yearexceeds(B)the total of all amounts each of which is an amount deducted, in computing the individual’s income for a preceding taxation year, in respect of contributions included in the total determined in respect of the individual for the year under clause 147.2(4)(b)(i)(A),(ii)$3,500, and(iii)the amount determined by the formula($3,500 × Y) - ZwhereYis the number of calendar years before 1990 each of which is a year(A)all or any part of which is included in the individual’s eligible service under a registered pension plan to which the individual has made a contribution that is included in the total determined under clause 147.2(4)(b)(i)(A) and in which the individual was not a contributor to any registered pension plan, or(B)all or any part of which is included in the individual’s eligible service under a registered pension plan to which the individual has made a contribution(I)that is included in the total determined under clause 147.2(4)(b)(i)(A), and(II)that the individual made before March 28, 1988 or was obliged to make under the terms of an agreement in writing entered into before March 28, 1988, and in which the individual was not a contributor to the plan, andZis the total of all amounts each of which is an amount deducted, in computing the individual’s income for a preceding taxation year,(A)in respect of contributions included in the total determined in respect of the individual for the year under clause 147.2(4)(b)(i)(A), or(B)where the preceding year was before 1987, under subparagraph 8(1)(m)(ii) (as it read in its application to that preceding year) in respect of additional voluntary contributions made in respect of a year that satisfies the conditions in the description of Y, andMarginal note:Service before 1990 while a contributor(c)the lesser of(i)the amount, if any, by which(A)the total of all amounts each of which is a contribution (other than an additional voluntary contribution, a prescribed contribution or a contribution included in the total determined in respect of the individual for the year under clause 147.2(4)(b)(i)(A)) made by the individual in the year or a preceding taxation year and after 1962 to a registered pension plan in respect of a particular year before 1990 that is included, in whole or in part, in the individual’s eligible service under the planexceeds(B)the total of all amounts each of which is an amount deducted, in computing the individual’s income for a preceding taxation year, in respect of contributions included in the total determined in respect of the individual for the year under clause 147.2(4)(c)(i)(A), and(ii)the amount, if any, by which $3,500 exceeds the total of the amounts deducted by reason of paragraphs 147.2(4)(a) and 147.2(4)(b) in computing the individual’s income for the year.
(i)the amount, if any, by which(A)the total of all amounts each of which is a contribution (other than an additional voluntary contribution or a prescribed contribution) made by the individual in the year or a preceding taxation year and after 1945 to a registered pension plan in respect of a particular year before 1990, if all or any part of the particular year is included in the individual’s eligible service under the plan and if(I)in the case of a contribution that the individual made before March 28, 1988 or was obliged to make under the terms of an agreement in writing entered into before March 28, 1988, the individual was not a contributor to the plan in the particular year, or(II)in any other case, the individual was not a contributor to any registered pension plan in the particular yearexceeds(B)the total of all amounts each of which is an amount deducted, in computing the individual’s income for a preceding taxation year, in respect of contributions included in the total determined in respect of the individual for the year under clause 147.2(4)(b)(i)(A),(ii)$3,500, and(iii)the amount determined by the formula($3,500 × Y) - ZwhereYis the number of calendar years before 1990 each of which is a year(A)all or any part of which is included in the individual’s eligible service under a registered pension plan to which the individual has made a contribution that is included in the total determined under clause 147.2(4)(b)(i)(A) and in which the individual was not a contributor to any registered pension plan, or(B)all or any part of which is included in the individual’s eligible service under a registered pension plan to which the individual has made a contribution(I)that is included in the total determined under clause 147.2(4)(b)(i)(A), and(II)that the individual made before March 28, 1988 or was obliged to make under the terms of an agreement in writing entered into before March 28, 1988, and in which the individual was not a contributor to the plan, andZis the total of all amounts each of which is an amount deducted, in computing the individual’s income for a preceding taxation year,(A)in respect of contributions included in the total determined in respect of the individual for the year under clause 147.2(4)(b)(i)(A), or(B)where the preceding year was before 1987, under subparagraph 8(1)(m)(ii) (as it read in its application to that preceding year) in respect of additional voluntary contributions made in respect of a year that satisfies the conditions in the description of Y, and
(A)the total of all amounts each of which is a contribution (other than an additional voluntary contribution or a prescribed contribution) made by the individual in the year or a preceding taxation year and after 1945 to a registered pension plan in respect of a particular year before 1990, if all or any part of the particular year is included in the individual’s eligible service under the plan and if(I)in the case of a contribution that the individual made before March 28, 1988 or was obliged to make under the terms of an agreement in writing entered into before March 28, 1988, the individual was not a contributor to the plan in the particular year, or(II)in any other case, the individual was not a contributor to any registered pension plan in the particular year
(I)in the case of a contribution that the individual made before March 28, 1988 or was obliged to make under the terms of an agreement in writing entered into before March 28, 1988, the individual was not a contributor to the plan in the particular year, or(II)in any other case, the individual was not a contributor to any registered pension plan in the particular year
(B)the total of all amounts each of which is an amount deducted, in computing the individual’s income for a preceding taxation year, in respect of contributions included in the total determined in respect of the individual for the year under clause 147.2(4)(b)(i)(A),
(A)all or any part of which is included in the individual’s eligible service under a registered pension plan to which the individual has made a contribution that is included in the total determined under clause 147.2(4)(b)(i)(A) and in which the individual was not a contributor to any registered pension plan, or(B)all or any part of which is included in the individual’s eligible service under a registered pension plan to which the individual has made a contribution(I)that is included in the total determined under clause 147.2(4)(b)(i)(A), and(II)that the individual made before March 28, 1988 or was obliged to make under the terms of an agreement in writing entered into before March 28, 1988, and in which the individual was not a contributor to the plan, and
(I)that is included in the total determined under clause 147.2(4)(b)(i)(A), and(II)that the individual made before March 28, 1988 or was obliged to make under the terms of an agreement in writing entered into before March 28, 1988, and in which the individual was not a contributor to the plan, and
(A)in respect of contributions included in the total determined in respect of the individual for the year under clause 147.2(4)(b)(i)(A), or(B)where the preceding year was before 1987, under subparagraph 8(1)(m)(ii) (as it read in its application to that preceding year) in respect of additional voluntary contributions made in respect of a year that satisfies the conditions in the description of Y, and
(i)the amount, if any, by which(A)the total of all amounts each of which is a contribution (other than an additional voluntary contribution, a prescribed contribution or a contribution included in the total determined in respect of the individual for the year under clause 147.2(4)(b)(i)(A)) made by the individual in the year or a preceding taxation year and after 1962 to a registered pension plan in respect of a particular year before 1990 that is included, in whole or in part, in the individual’s eligible service under the planexceeds(B)the total of all amounts each of which is an amount deducted, in computing the individual’s income for a preceding taxation year, in respect of contributions included in the total determined in respect of the individual for the year under clause 147.2(4)(c)(i)(A), and(ii)the amount, if any, by which $3,500 exceeds the total of the amounts deducted by reason of paragraphs 147.2(4)(a) and 147.2(4)(b) in computing the individual’s income for the year.
(A)the total of all amounts each of which is a contribution (other than an additional voluntary contribution, a prescribed contribution or a contribution included in the total determined in respect of the individual for the year under clause 147.2(4)(b)(i)(A)) made by the individual in the year or a preceding taxation year and after 1962 to a registered pension plan in respect of a particular year before 1990 that is included, in whole or in part, in the individual’s eligible service under the plan
(B)the total of all amounts each of which is an amount deducted, in computing the individual’s income for a preceding taxation year, in respect of contributions included in the total determined in respect of the individual for the year under clause 147.2(4)(c)(i)(A), and
(a)clause 147.2(4)(b)(i)(A) shall be read without reference to subclauses 147.2(4)(b)(i)(A)(I) and 147.2(4)(b)(i)(A)(II); and(b)the description of Y in subparagraph 147.2(4)(b)(iii) shall be read as follows:“Yis the number of calendar years before 1990 each of which is a year all or any part of which is included in the individual’s eligible service under a registered pension plan to which the individual has made a contribution that is included in the total determined under clause 147.2(5)(b)(i)(A), and”
(a)paragraph 147.2(4)(b) shall be read without reference to subparagraph 147.2(6)(a)(ii) and as if the reference to “the least of” were a reference to “the lesser of”; and(b)paragraph 147.2(4)(c) shall be read without reference to subparagraph 147.2(6)(b)(ii) and the words “the lesser of”.
(a)the amount is paid under the letter of credit;(b)the use of the letter of credit is permitted under thePension Benefits Standards Act, 1985or a similar law of a province; and(c)the amount would have been an eligible contribution under subsection (2) if(i)it had been paid to the plan by the employer, and(ii)this section were read without reference to this subsection.
(i)it had been paid to the plan by the employer, and(ii)this section were read without reference to this subsection.
(a)the former employee would not otherwise be an employee or former employee of the participating employer; and(b)benefits are provided to the former employee under a defined benefit provision of the plan in respect of periods of employment with the predecessor employer.
[NOTE: Application provisions are not included in the consolidated textsee relevant amending Acts and regulations.]R.S., 1985, c. 1 (5th Supp.), s. 147.21998, c. 19, s. 1742001, c. 17, s. 1432007, c. 2, s. 392010, c. 12, s. 182013, c. 34, s. 303
147.3(1)An amount is transferred from a registered pension plan in accordance with this subsection if the amount(a)is a single amount;(b)is transferred on behalf of a member in full or partial satisfaction of the member’s entitlement to benefits under a money purchase provision of the plan as registered; and(c)is transferred directly to(i)another registered pension plan to provide benefits in respect of the member under a money purchase provision of that plan,(ii)a registered retirement savings plan under which the member is the annuitant (within the meaning assigned by subsection 146(1)),(iii)a registered retirement income fund under which the member is the annuitant (within the meaning assigned by subsection 146.3(1)), or(iv)a licensed annuities provider to acquire an advanced life deferred annuity for the benefit of the member.Marginal note:Transfer — money purchase to defined benefit(2)An amount is transferred from a registered pension plan in accordance with this subsection if the amount(a)is a single amount;(b)is transferred on behalf of a member in full or partial satisfaction of the member’s entitlement to benefits under a money purchase provision of the plan as registered; and(c)is transferred directly to another registered pension plan to fund benefits provided in respect of the member under a defined benefit provision of that plan.Marginal note:Transfer — defined benefit to defined benefit(3)An amount is transferred from a registered pension plan (in this subsection referred to as the “transferor plan”) in accordance with this subsection if the amount(a)is a single amount;(b)consists of all or any part of the property held in connection with a defined benefit provision of the transferor plan;(c)is transferred directly to another registered pension plan to be held in connection with a defined benefit provision of the other plan, unless the transfer is to anindividual pension plan(as defined in subsection 8300(1) of theIncome Tax Regulations) and is in respect of benefits that are attributable to employment with a former employer that is not a participating employer (or its predecessor employer); and(d)is transferred as a consequence of benefits becoming provided under the defined benefit provision of the other plan to one or more individuals who were members of the transferor plan.Marginal note:Transfer — defined benefit to money purchase, RRSP or RRIF(4)An amount is transferred from a registered pension plan in accordance with this subsection if the amount(a)is a single amount no portion of which relates to an actuarial surplus;(b)is transferred on behalf of a member in full or partial satisfaction of benefits to which the member is entitled, either absolutely or contingently, under a defined benefit provision of the plan as registered;(c)does not exceed a prescribed amount; and(d)is transferred directly to(i)another registered pension plan and allocated to the member under a money purchase provision of that plan,(ii)a registered retirement savings plan under which the member is the annuitant (within the meaning assigned by subsection 146(1)), or(iii)a registered retirement income fund under which the member is the annuitant (within the meaning assigned by subsection 146.3(1)).Marginal note:Transfer of surplus — defined benefit to money purchase(4.1)An amount is transferred from a registered pension plan in accordance with this subsection if the amount(a)is transferred in respect of the actuarial surplus under a defined benefit provision of the plan; and(b)is transferred directly to another registered pension plan and allocated under a money purchase provision of that plan to one or more members of that plan.Marginal note:Transfer to RPP, RRSP or RRIF for spouse on marriage breakdown(5)An amount is transferred from a registered pension plan in accordance with this subsection if the amount(a)is a single amount no portion of which relates to an actuarial surplus;(b)is transferred on behalf of an individual who is a spouse or common-law partner or former spouse or common-law partner of a member of the plan and who is entitled to the amount under a decree, order or judgment of a competent tribunal, or under a written agreement, relating to a division of property between the member and the individual in settlement of rights arising out of, or on a breakdown of, their marriage or common-law partnership; and(c)is transferred directly to(i)another registered pension plan for the benefit of the individual,(ii)a registered retirement savings plan under which the individual is the annuitant (within the meaning assigned by subsection 146(1)), or(iii)a registered retirement income fund under which the individual is the annuitant (within the meaning assigned by subsection 146.3(1)).Marginal note:Transfer — pre-1991 contributions(6)An amount is transferred from a registered pension plan in accordance with this subsection if the amount(a)is a single amount;(b)is transferred on behalf of a member who is entitled to the amount as a return of contributions made (or deemed by regulation to have been made) by the member under a defined benefit provision of the plan before 1991, or as interest (computed at a rate not exceeding a reasonable rate) in respect of those contributions; and(c)is transferred directly to(i)another registered pension plan for the benefit of the member,(ii)a registered retirement savings plan under which the member is the annuitant (within the meaning assigned by subsection 146(1)), or(iii)a registered retirement income fund under which the member is the annuitant (within the meaning assigned by subsection 146.3(1)).Marginal note:Transfer — lump sum benefits on death(7)An amount is transferred from a registered pension plan in accordance with this subsection if the amount(a)is a single amount no portion of which relates to an actuarial surplus;(b)is transferred on behalf of an individual who is entitled to the amount as a consequence of the death of a member of the plan and who was a spouse or common-law partner or former spouse or common-law partner of the member at the date of the member’s death; and(c)is transferred directly to(i)another registered pension plan for the benefit of the individual,(ii)a registered retirement savings plan under which the individual is the annuitant (within the meaning assigned by subsection 146(1)), or(iii)a registered retirement income fund under which the individual is the annuitant (within the meaning assigned by subsection 146.3(1)).Marginal note:Transfer where money purchase plan replaces money purchase plan(7.1)An amount is transferred from a registered pension plan (in this subsection referred to as the “transferor plan”) in accordance with this subsection if(a)the amount is a single amount;(b)the amount is transferred in respect of the surplus (as defined by regulation) under a money purchase provision (in this subsection referred to as the “former provision”) of the transferor plan;(c)the amount is transferred directly to another registered pension plan to be held in connection with a money purchase provision (in this subsection referred to as the “current provision”) of the other plan;(d)the amount is transferred in conjunction with the transfer of amounts from the former provision to the current provision on behalf of all or a significant number of members of the transferor plan whose benefits under the former provision are replaced by benefits under the current provision; and(e)the transfer is acceptable to the Minister and the Minister has so notified the administrator of the transferor plan in writing.Marginal note:Transfer where money purchase plan replaces defined benefit plan(8)An amount is transferred from a registered pension plan (in this subsection referred to as the “transferor plan”) in accordance with this subsection if(a)the amount is a single amount;(b)the amount is transferred in respect of the actuarial surplus under a defined benefit provision of the transferor plan;(c)the amount is transferred directly to another registered pension plan to be held in connection with a money purchase provision of the other plan;(d)the amount is transferred in conjunction with the transfer of amounts from the defined benefit provision to the money purchase provision on behalf of all or a significant number of members of the transferor plan whose benefits under the defined benefit provision are replaced by benefits under the money purchase provision; and(e)the transfer is acceptable to the Minister and the Minister has so notified the administrator of the transferor plan in writing.Marginal note:Taxation of amount transferred(9)Where an amount is transferred in accordance with any of subsections 147.3(1) to (8),(a)the amount shall not, by reason only of that transfer, be included by reason of subparagraph 56(1)(a)(i) in computing the income of any taxpayer; and(b)no deduction may be made under any provision of this Act in respect of the amount in computing the income of any taxpayer.Marginal note:Idem(10)Where, on behalf of an individual, an amount is transferred from a registered pension plan (in this subsection referred to as the “transferor plan”) to another plan or fund (in this subsection referred to as the “transferee plan”) that is a registered pension plan, a registered retirement savings plan or a registered retirement income fund and the transfer is not in accordance with any of subsections 147.3(1) to (7),(a)the amount is deemed to have been paid from the transferor plan to the individual;(b)subject to paragraph 147.3(10)(c), the individual shall be deemed to have paid the amount as a contribution or premium to the transferee plan; and(c)where the transferee plan is a registered retirement income fund, for the purposes of subsection 146(5) and Part X.1, the individual shall be deemed to have paid the amount at the time of the transfer as a premium under a registered retirement savings plan under which the individual was the annuitant (within the meaning assigned by subsection 146(1)).Marginal note:Division of transferred amount(11)Where an amount is transferred from a registered pension plan to another registered pension plan, to a registered retirement savings plan or to a registered retirement income fund and a portion, but not all, of the amount is transferred in accordance with any of subsections 147.3(1) to (8),(a)subsection 147.3(9) applies with respect to the portion of the amount that is transferred in accordance with any of subsections 147.3(1) to (8); and(b)subsection 147.3(10) applies with respect to the remainder of the amount.Marginal note:Restriction re transfers(12)A registered pension plan becomes a revocable plan at any time that an amount is transferred from the plan to another registered pension plan, to a registered retirement savings plan or to a registered retirement income fund unless(a)the amount is transferred in accordance with any of subsections 147.3(1) to (8); or(b)where the amount is transferred on behalf of an individual,(i)the amount is deductible by the individual under paragraph 60(j) or (j.2), or(ii)thePension Benefits Standards Act, 1985or a similar law of a province prohibits the payment of the amount to the individual.Marginal note:Excess transfer(13)Where(a)the transfer in a calendar year of an amount from a registered pension plan on behalf of a member of the plan would, but for this subsection, be in accordance with subsection 147.3(1) or (2), and(b)the plan becomes, at the end of the year, a revocable plan as a consequence of an excess determined under any of paragraphs 147.1(8)(a) and (b) and (9)(a) and (b) with respect to the member (whether or not such an excess is also determined with respect to any other member),such portion of the amount transferred as may reasonably be considered to derive from amounts allocated or reallocated to the member in the year or from earnings reasonably attributable to those amounts shall, except to the extent otherwise expressly provided in writing by the Minister, be deemed to be an amount that was not transferred in accordance with subsection 147.3(1) or (2), as the case may be.Marginal note:Withdrawal of excessive transfers to RRSPs and RRIFs(13.1)There may be deducted in computing the income of an individual for a taxation year the lesser of(a)the amount, if any, by which(i)the total of all amounts each of which is an amount included under clause 56(1)(a)(i)(C), paragraph 56(1)(z.3), subsections 146(8), (8.3) or (12) or 146.3(5), (5.1) or (11) in computing the individual’s income for the year, to the extent that the amount is not a prescribed withdrawal,exceeds(ii)the total of all amounts each of which is an amount deductible under paragraph 60(l) or subsection 146(8.2) in computing the income of the individual for the year, and(b)the amount, if any, by which(i)the total of all amounts each of which is an amount that was(A)transferred to a registered retirement savings plan or registered retirement income fund under which the individual was the annuitant (within the meaning assigned by subsection 146(1) or 146.3(1), as the case may be),(B)included in computing the income of the individual for the year or a preceding taxation year, and(C)deemed by paragraph 147.3(10)(b) or 147.3(10)(c) to have been paid by the individual as a premium to a registered retirement savings plan,exceeds(ii)the total of all amounts each of which is an amount(A)deductible under this subsection in computing the individual’s income for a preceding taxation year, or(B)deducted under subsection 146(5) in computing the individual’s income for a preceding taxation year, to the extent that the amount can reasonably be considered to be in respect of an amount referred to in subparagraph 147.3(13.1)(b)(i).Marginal note:Deemed transfer(14)For the purposes of this section and the regulations, where property held in connection with a particular pension plan is made available to pay benefits under another pension plan, the property shall be deemed to have been transferred from the particular plan to the other plan.Marginal note:Transfer of property between provisions(14.1)Where property held in connection with a benefit provision of a registered pension plan is made available to pay benefits under another benefit provision of the plan, subsections 147.3(9) to 147.3(11) apply in respect of the transaction by which the property is made so available in the same manner as they would apply if the other benefit provision were in another registered pension plan.(15)[Repealed, 1998, c. 19, s. 175(2)]
(a)is a single amount;(b)is transferred on behalf of a member in full or partial satisfaction of the member’s entitlement to benefits under a money purchase provision of the plan as registered; and(c)is transferred directly to(i)another registered pension plan to provide benefits in respect of the member under a money purchase provision of that plan,(ii)a registered retirement savings plan under which the member is the annuitant (within the meaning assigned by subsection 146(1)),(iii)a registered retirement income fund under which the member is the annuitant (within the meaning assigned by subsection 146.3(1)), or(iv)a licensed annuities provider to acquire an advanced life deferred annuity for the benefit of the member.
(i)another registered pension plan to provide benefits in respect of the member under a money purchase provision of that plan,(ii)a registered retirement savings plan under which the member is the annuitant (within the meaning assigned by subsection 146(1)),(iii)a registered retirement income fund under which the member is the annuitant (within the meaning assigned by subsection 146.3(1)), or(iv)a licensed annuities provider to acquire an advanced life deferred annuity for the benefit of the member.
(a)is a single amount;(b)is transferred on behalf of a member in full or partial satisfaction of the member’s entitlement to benefits under a money purchase provision of the plan as registered; and(c)is transferred directly to another registered pension plan to fund benefits provided in respect of the member under a defined benefit provision of that plan.
(a)is a single amount;(b)consists of all or any part of the property held in connection with a defined benefit provision of the transferor plan;(c)is transferred directly to another registered pension plan to be held in connection with a defined benefit provision of the other plan, unless the transfer is to anindividual pension plan(as defined in subsection 8300(1) of theIncome Tax Regulations) and is in respect of benefits that are attributable to employment with a former employer that is not a participating employer (or its predecessor employer); and(d)is transferred as a consequence of benefits becoming provided under the defined benefit provision of the other plan to one or more individuals who were members of the transferor plan.
(a)is a single amount no portion of which relates to an actuarial surplus;(b)is transferred on behalf of a member in full or partial satisfaction of benefits to which the member is entitled, either absolutely or contingently, under a defined benefit provision of the plan as registered;(c)does not exceed a prescribed amount; and(d)is transferred directly to(i)another registered pension plan and allocated to the member under a money purchase provision of that plan,(ii)a registered retirement savings plan under which the member is the annuitant (within the meaning assigned by subsection 146(1)), or(iii)a registered retirement income fund under which the member is the annuitant (within the meaning assigned by subsection 146.3(1)).
(i)another registered pension plan and allocated to the member under a money purchase provision of that plan,(ii)a registered retirement savings plan under which the member is the annuitant (within the meaning assigned by subsection 146(1)), or(iii)a registered retirement income fund under which the member is the annuitant (within the meaning assigned by subsection 146.3(1)).
(a)is transferred in respect of the actuarial surplus under a defined benefit provision of the plan; and(b)is transferred directly to another registered pension plan and allocated under a money purchase provision of that plan to one or more members of that plan.
(a)is a single amount no portion of which relates to an actuarial surplus;(b)is transferred on behalf of an individual who is a spouse or common-law partner or former spouse or common-law partner of a member of the plan and who is entitled to the amount under a decree, order or judgment of a competent tribunal, or under a written agreement, relating to a division of property between the member and the individual in settlement of rights arising out of, or on a breakdown of, their marriage or common-law partnership; and(c)is transferred directly to(i)another registered pension plan for the benefit of the individual,(ii)a registered retirement savings plan under which the individual is the annuitant (within the meaning assigned by subsection 146(1)), or(iii)a registered retirement income fund under which the individual is the annuitant (within the meaning assigned by subsection 146.3(1)).
(i)another registered pension plan for the benefit of the individual,(ii)a registered retirement savings plan under which the individual is the annuitant (within the meaning assigned by subsection 146(1)), or(iii)a registered retirement income fund under which the individual is the annuitant (within the meaning assigned by subsection 146.3(1)).
(a)is a single amount;(b)is transferred on behalf of a member who is entitled to the amount as a return of contributions made (or deemed by regulation to have been made) by the member under a defined benefit provision of the plan before 1991, or as interest (computed at a rate not exceeding a reasonable rate) in respect of those contributions; and(c)is transferred directly to(i)another registered pension plan for the benefit of the member,(ii)a registered retirement savings plan under which the member is the annuitant (within the meaning assigned by subsection 146(1)), or(iii)a registered retirement income fund under which the member is the annuitant (within the meaning assigned by subsection 146.3(1)).
(i)another registered pension plan for the benefit of the member,(ii)a registered retirement savings plan under which the member is the annuitant (within the meaning assigned by subsection 146(1)), or(iii)a registered retirement income fund under which the member is the annuitant (within the meaning assigned by subsection 146.3(1)).
(a)is a single amount no portion of which relates to an actuarial surplus;(b)is transferred on behalf of an individual who is entitled to the amount as a consequence of the death of a member of the plan and who was a spouse or common-law partner or former spouse or common-law partner of the member at the date of the member’s death; and(c)is transferred directly to(i)another registered pension plan for the benefit of the individual,(ii)a registered retirement savings plan under which the individual is the annuitant (within the meaning assigned by subsection 146(1)), or(iii)a registered retirement income fund under which the individual is the annuitant (within the meaning assigned by subsection 146.3(1)).
(i)another registered pension plan for the benefit of the individual,(ii)a registered retirement savings plan under which the individual is the annuitant (within the meaning assigned by subsection 146(1)), or(iii)a registered retirement income fund under which the individual is the annuitant (within the meaning assigned by subsection 146.3(1)).
(a)the amount is a single amount;(b)the amount is transferred in respect of the surplus (as defined by regulation) under a money purchase provision (in this subsection referred to as the “former provision”) of the transferor plan;(c)the amount is transferred directly to another registered pension plan to be held in connection with a money purchase provision (in this subsection referred to as the “current provision”) of the other plan;(d)the amount is transferred in conjunction with the transfer of amounts from the former provision to the current provision on behalf of all or a significant number of members of the transferor plan whose benefits under the former provision are replaced by benefits under the current provision; and(e)the transfer is acceptable to the Minister and the Minister has so notified the administrator of the transferor plan in writing.
(a)the amount is a single amount;(b)the amount is transferred in respect of the actuarial surplus under a defined benefit provision of the transferor plan;(c)the amount is transferred directly to another registered pension plan to be held in connection with a money purchase provision of the other plan;(d)the amount is transferred in conjunction with the transfer of amounts from the defined benefit provision to the money purchase provision on behalf of all or a significant number of members of the transferor plan whose benefits under the defined benefit provision are replaced by benefits under the money purchase provision; and(e)the transfer is acceptable to the Minister and the Minister has so notified the administrator of the transferor plan in writing.
(a)the amount shall not, by reason only of that transfer, be included by reason of subparagraph 56(1)(a)(i) in computing the income of any taxpayer; and(b)no deduction may be made under any provision of this Act in respect of the amount in computing the income of any taxpayer.
(a)the amount is deemed to have been paid from the transferor plan to the individual;(b)subject to paragraph 147.3(10)(c), the individual shall be deemed to have paid the amount as a contribution or premium to the transferee plan; and(c)where the transferee plan is a registered retirement income fund, for the purposes of subsection 146(5) and Part X.1, the individual shall be deemed to have paid the amount at the time of the transfer as a premium under a registered retirement savings plan under which the individual was the annuitant (within the meaning assigned by subsection 146(1)).
(a)subsection 147.3(9) applies with respect to the portion of the amount that is transferred in accordance with any of subsections 147.3(1) to (8); and(b)subsection 147.3(10) applies with respect to the remainder of the amount.
(a)the amount is transferred in accordance with any of subsections 147.3(1) to (8); or(b)where the amount is transferred on behalf of an individual,(i)the amount is deductible by the individual under paragraph 60(j) or (j.2), or(ii)thePension Benefits Standards Act, 1985or a similar law of a province prohibits the payment of the amount to the individual.
(i)the amount is deductible by the individual under paragraph 60(j) or (j.2), or(ii)thePension Benefits Standards Act, 1985or a similar law of a province prohibits the payment of the amount to the individual.
(a)the transfer in a calendar year of an amount from a registered pension plan on behalf of a member of the plan would, but for this subsection, be in accordance with subsection 147.3(1) or (2), and(b)the plan becomes, at the end of the year, a revocable plan as a consequence of an excess determined under any of paragraphs 147.1(8)(a) and (b) and (9)(a) and (b) with respect to the member (whether or not such an excess is also determined with respect to any other member),
(a)the amount, if any, by which(i)the total of all amounts each of which is an amount included under clause 56(1)(a)(i)(C), paragraph 56(1)(z.3), subsections 146(8), (8.3) or (12) or 146.3(5), (5.1) or (11) in computing the individual’s income for the year, to the extent that the amount is not a prescribed withdrawal,exceeds(ii)the total of all amounts each of which is an amount deductible under paragraph 60(l) or subsection 146(8.2) in computing the income of the individual for the year, and(b)the amount, if any, by which(i)the total of all amounts each of which is an amount that was(A)transferred to a registered retirement savings plan or registered retirement income fund under which the individual was the annuitant (within the meaning assigned by subsection 146(1) or 146.3(1), as the case may be),(B)included in computing the income of the individual for the year or a preceding taxation year, and(C)deemed by paragraph 147.3(10)(b) or 147.3(10)(c) to have been paid by the individual as a premium to a registered retirement savings plan,exceeds(ii)the total of all amounts each of which is an amount(A)deductible under this subsection in computing the individual’s income for a preceding taxation year, or(B)deducted under subsection 146(5) in computing the individual’s income for a preceding taxation year, to the extent that the amount can reasonably be considered to be in respect of an amount referred to in subparagraph 147.3(13.1)(b)(i).
(i)the total of all amounts each of which is an amount included under clause 56(1)(a)(i)(C), paragraph 56(1)(z.3), subsections 146(8), (8.3) or (12) or 146.3(5), (5.1) or (11) in computing the individual’s income for the year, to the extent that the amount is not a prescribed withdrawal,
(ii)the total of all amounts each of which is an amount deductible under paragraph 60(l) or subsection 146(8.2) in computing the income of the individual for the year, and
(i)the total of all amounts each of which is an amount that was(A)transferred to a registered retirement savings plan or registered retirement income fund under which the individual was the annuitant (within the meaning assigned by subsection 146(1) or 146.3(1), as the case may be),(B)included in computing the income of the individual for the year or a preceding taxation year, and(C)deemed by paragraph 147.3(10)(b) or 147.3(10)(c) to have been paid by the individual as a premium to a registered retirement savings plan,
(A)transferred to a registered retirement savings plan or registered retirement income fund under which the individual was the annuitant (within the meaning assigned by subsection 146(1) or 146.3(1), as the case may be),(B)included in computing the income of the individual for the year or a preceding taxation year, and(C)deemed by paragraph 147.3(10)(b) or 147.3(10)(c) to have been paid by the individual as a premium to a registered retirement savings plan,
(ii)the total of all amounts each of which is an amount(A)deductible under this subsection in computing the individual’s income for a preceding taxation year, or(B)deducted under subsection 146(5) in computing the individual’s income for a preceding taxation year, to the extent that the amount can reasonably be considered to be in respect of an amount referred to in subparagraph 147.3(13.1)(b)(i).
(A)deductible under this subsection in computing the individual’s income for a preceding taxation year, or(B)deducted under subsection 146(5) in computing the individual’s income for a preceding taxation year, to the extent that the amount can reasonably be considered to be in respect of an amount referred to in subparagraph 147.3(13.1)(b)(i).
[NOTE: Application provisions are not included in the consolidated textsee relevant amending Acts and regulations.]R.S., 1985, c. 1 (5th Supp.), s. 147.31994, c. 7, Sch