I-3 - Taxation Act

Section 895 Disposition versions

2024-05-07

895. The Minister shall not register for the purposes of this Part any education savings plan of a promoter unless the promoter applies therefor to the Minister in prescribed form containing prescribed information and, in the Minister’s opinion, the following conditions are complied with:

(a)  at the time of the application for registration of the plan by the promoter, not fewer than 150 plans have been entered into with the promoter, each of which complied, at the time it was entered into, with the conditions set out in section 894 and the other conditions set out in this section, as those sections read at that time;

(a.1)  the plan provides that the property of any trust governed by the plan, after the payment of trustee and administration charges, is irrevocably held for any of the purposes described in the definition of “trust” in section 890.15 by a corporation licensed or otherwise authorized under the laws of Canada or a province to carry on in Canada the business of offering its services as a trustee;

(b)  the promoter and each trust governed by the plan are resident in Canada;

(c)  the plan does not allow for any payment before 1 January 1998 to a subscriber, other than the payment of a refund of contributions, unless the subscriber is also the beneficiary under the plan;

(c.1)  subject to section 895.0.1, if the plan allows accumulated income payments, the plan provides that an accumulated income payment is permitted to be made only if

i.  the payment is made to, or on behalf of, a subscriber under the plan who is resident in Canada when the payment is made,

ii.  the payment is not made jointly to, or on behalf of, more than one subscriber, and

iii.  any of the following situations apply:

(1)  the payment is made after the ninth year that follows the year in which the plan was entered into and each individual, other than a deceased individual, who is or was a beneficiary under the plan has attained 21 years of age before the payment is made and is not, when the payment is made, eligible under the plan to receive an educational assistance payment,

(2)  the payment is made in the year in which the plan must be terminated in accordance with paragraph h, or

(3)  each individual who was a beneficiary under the plan is deceased when the payment is made;

(d)  the plan is substantially similar to the plan described in or annexed to the prospectus filed by the promoter with the Autorité des marchés financiers, a securities commission or a similar body in Canada;

(e)  in the event that a trust governed by the plan is terminated, the property held by the trust is to be used for any of the purposes described in the definition of “trust” in section 890.15;

(f)  the plan provides for the payment of educational assistance payments before 1 January 1997 to an individual only if the individual is, at the time the payment is made, in full-time attendance at a prescribed post-secondary educational institution, enrolled in a prescribed educational program at the institution;

(f.1)  the plan provides for the payment of educational assistance payments at any time after 31 December 1996 to or on behalf of an individual only if

i.  (subparagraph repealed),

ii.  the individual is at that time

(1)  enrolled as a student in a prescribed educational program at a prescribed post-secondary educational institution, or

(2)  16 years of age or over and enrolled as a student in a prescribed training program at a prescribed postsecondary educational institution, and

iii.  any of the following situations apply:

(1)  the individual satisfies, at that time, the condition set out in subparagraph 1 of subparagraph ii and has satisfied that condition throughout at least 13 consecutive weeks in the 12-month period that ends at that time, or the total of the payment and all other educational assistance payments made under a registered education savings plan of the promoter to or on behalf of the individual in the 12-month period that ends at that time does not exceed $8,000 or such greater amount as the Minister responsible for the administration of the Canada Education Savings Act (S.C. 2004, c. 26) approves in writing in respect of the individual, or

(2)  the individual satisfies, at that time, the condition set out in subparagraph 2 of subparagraph ii and the total of the payment and all other educational assistance payments made under a registered education savings plan of the promoter to or on behalf of the individual in the 13-week period that ends at that time does not exceed $4,000 or such greater amount as the Minister responsible for the administration of the Canada Education Savings Act approves in writing in respect of the individual;

(f.2)  the plan provides that no contribution to the plan may be made otherwise than by or on behalf of a subscriber under the plan in respect of a beneficiary under the plan or by way of transfer from another plan that is a registered education savings plan;

(f.3)  the plan provides

i.  that an individual is permitted to be designated as a beneficiary under the plan only if

(1)  the individual’s Social Insurance Number is provided to the promoter before the designation is made, and

(2)  the individual is resident in Canada when the designation is made, or the designation is made in conjunction with a transfer of property into the plan from another registered education savings plan under which the individual was a beneficiary immediately before the transfer, and

ii.  that a contribution to the plan in respect of an individual who is a beneficiary under the plan is permitted to be made only if

(1)  the individual’s Social Insurance Number is provided to the promoter before the contribution is made and the individual is resident in Canada when the contribution is made, or

(2)  the contribution is made by means of a transfer from another registered education savings plan under which the individual was a beneficiary immediately before the transfer;

(g)  the plan provides that no contribution, other than a contribution made by way of transfer from another registered education savings plan, may be made into the plan

i.  in the case of a specified plan, after the 35th year following the year in which the plan is entered into, and

ii.  in any other case, after the 31st year following the year in which the plan is entered into;

(h)  the plan provides that it must be terminated on or before the last day of

i.  in the case of a specified plan, the 40th year following the year in which the plan is entered into, and

ii.  in any other case, the 35th year following the year in which the plan is entered into;

(h.1)  where the plan allows accumulated income payments, the plan provides that it must be terminated before 1 March of the year following the year in which the first such payment is made under the plan;

(h.2)  the plan does not allow for the receipt of property by way of direct transfer from another plan that is a registered education savings plan after the other plan has made any accumulated income payment;

(i)  where the plan allows more than one beneficiary under the plan at any one time, the plan provides

i.  that each of the beneficiaries under the plan is required to be connected to each living subscriber under the plan, or to have been connected to a deceased original subscriber under the plan, by blood relationship or adoption, and

ii.  that a contribution to the plan in respect of a beneficiary is permitted to be made only if

(1)  the beneficiary had not attained 31 years of age before the time of the contribution,

(2)  the contribution is made by way of transfer from another plan that is a registered education savings plan that allows more than one beneficiary at any one time, and

(3)  (subparagraph repealed),

iii.  an individual is permitted to become a beneficiary under the plan at any particular time only if

(1)  the individual had not attained 21 years of age before the particular time, or

(2)  the individual was, immediately before the particular time, a beneficiary under another registered education savings plan that allows more than one beneficiary at any one time;

(j)  (paragraph repealed);

(k)  the plan provides that the promoter shall, within 90 days after an individual becomes a beneficiary under the plan, notify in writing the individual or, if the individual is under 19 years of age at that time and either ordinarily resides with a parent of the individual or is maintained by a public primary caregiver of the individual, that parent or public primary caregiver, of the existence of the plan and the name and address of the subscriber in respect of the plan;

(l)  the Minister has no reason to believe that the promoter will not take all reasonable measures to ensure that the plan will continue to comply with the conditions for registration set out in paragraphs a.1, b to c.1 and e to k for the purposes of this Part; and

(m)  the Minister has no reasonable basis to believe that the plan will become revocable.

1975, c. 21, s. 19; 1993, c. 16, s. 306; 1998, c. 16, s. 211; 2000, c. 5, s. 197; 2001, c. 53, s. 183; 2002, c. 45, s. 518; 2003, c. 9, s. 463; 2004, c. 37, s. 90; 2005, c. 38, s. 209; 2006, c. 36, s. 89; 2009, c. 5, s. 380; 2009, c. 15, s. 165; 2011, c. 1, s. 47; 2015, c. 21, s. 334; 2024, c. 11, s. 88.

2015-10-21

895. The Minister shall not register for the purposes of this Part any education savings plan of a promoter unless the promoter applies therefor to the Minister in prescribed form containing prescribed information and, in the Minister’s opinion, the following conditions are complied with:

(a)  at the time of the application for registration of the plan by the promoter, not fewer than 150 plans have been entered into with the promoter, each of which complied, at the time it was entered into, with the conditions set out in section 894 and the other conditions set out in this section, as those sections read at that time;

(a.1)  the plan provides that the property of any trust governed by the plan, after the payment of trustee and administration charges, is irrevocably held for any of the purposes described in the definition of “trust” in section 890.15 by a corporation licensed or otherwise authorized under the laws of Canada or a province to carry on in Canada the business of offering its services as a trustee;

(b)  the promoter and each trust governed by the plan are resident in Canada;

(c)  the plan does not allow for any payment before 1 January 1998 to a subscriber, other than the payment of a refund of contributions, unless the subscriber is also the beneficiary under the plan;

(c.1)  subject to section 895.0.1, if the plan allows accumulated income payments, the plan provides that an accumulated income payment is permitted to be made only if

i.  the payment is made to, or on behalf of, a subscriber under the plan who is resident in Canada when the payment is made,

ii.  the payment is not made jointly to, or on behalf of, more than one subscriber, and

iii.  any of the following situations apply:

(1)  the payment is made after the ninth year that follows the year in which the plan was entered into and each individual, other than a deceased individual, who is or was a beneficiary under the plan has attained 21 years of age before the payment is made and is not, when the payment is made, eligible under the plan to receive an educational assistance payment,

(2)  the payment is made in the year in which the plan must be terminated in accordance with paragraph h, or

(3)  each individual who was a beneficiary under the plan is deceased when the payment is made;

(d)  the plan is substantially similar to the plan described in or annexed to the prospectus filed by the promoter with the Autorité des marchés financiers, a securities commission or a similar body in Canada;

(e)  in the event that a trust governed by the plan is terminated, the property held by the trust is to be used for any of the purposes described in the definition of “trust” in section 890.15;

(f)  the plan provides for the payment of educational assistance payments before 1 January 1997 to an individual only if the individual is, at the time the payment is made, in full-time attendance at a prescribed post-secondary educational institution, enrolled in a prescribed educational program at the institution;

(f.1)  the plan provides for the payment of educational assistance payments at any time after 31 December 1996 to or on behalf of an individual only if

i.  (subparagraph repealed),

ii.  the individual is at that time

(1)  enrolled as a student in a prescribed educational program at a prescribed post-secondary educational institution, or

(2)  16 years of age or over and enrolled as a student in a prescribed training program at a prescribed postsecondary educational institution, and

iii.  any of the following situations apply:

(1)  the individual satisfies, at that time, the condition set out in subparagraph 1 of subparagraph ii and has satisfied that condition throughout at least 13 consecutive weeks in the 12-month period that ends at that time, or the total of the payment and all other educational assistance payments made under a registered education savings plan of the promoter to or on behalf of the individual in the 12-month period that ends at that time does not exceed $5,000 or such greater amount as the Minister responsible for the administration of the Canada Education Savings Act (S.C. 2004, c. 26) approves in writing in respect of the individual, or

(2)  the individual satisfies, at that time, the condition set out in subparagraph 2 of subparagraph ii and the total of the payment and all other educational assistance payments made under a registered education savings plan of the promoter to or on behalf of the individual in the 13-week period that ends at that time does not exceed $2,500 or such greater amount as the Minister responsible for the administration of the Canada Education Savings Act approves in writing in respect of the individual;

(f.2)  the plan provides that no contribution to the plan may be made otherwise than by or on behalf of a subscriber under the plan in respect of a beneficiary under the plan or by way of transfer from another plan that is a registered education savings plan;

(f.3)  the plan provides

i.  that an individual is permitted to be designated as a beneficiary under the plan only if

(1)  the individual’s Social Insurance Number is provided to the promoter before the designation is made, and

(2)  the individual is resident in Canada when the designation is made, or the designation is made in conjunction with a transfer of property into the plan from another registered education savings plan under which the individual was a beneficiary immediately before the transfer, and

ii.  that a contribution to the plan in respect of an individual who is a beneficiary under the plan is permitted to be made only if

(1)  the individual’s Social Insurance Number is provided to the promoter before the contribution is made and the individual is resident in Canada when the contribution is made, or

(2)  the contribution is made by means of a transfer from another registered education savings plan under which the individual was a beneficiary immediately before the transfer;

(g)  the plan provides that no contribution, other than a contribution made by way of transfer from another registered education savings plan, may be made into the plan

i.  in the case of a specified plan, after the 35th year following the year in which the plan is entered into, and

ii.  in any other case, after the 31st year following the year in which the plan is entered into;

(h)  the plan provides that it must be terminated on or before the last day of

i.  in the case of a specified plan, the 40th year following the year in which the plan is entered into, and

ii.  in any other case, the 35th year following the year in which the plan is entered into;

(h.1)  where the plan allows accumulated income payments, the plan provides that it must be terminated before 1 March of the year following the year in which the first such payment is made under the plan;

(h.2)  the plan does not allow for the receipt of property by way of direct transfer from another plan that is a registered education savings plan after the other plan has made any accumulated income payment;

(i)  where the plan allows more than one beneficiary under the plan at any one time, the plan provides

i.  that each of the beneficiaries under the plan is required to be connected to each living subscriber under the plan, or to have been connected to a deceased original subscriber under the plan, by blood relationship or adoption, and

ii.  that a contribution to the plan in respect of a beneficiary is permitted to be made only if

(1)  the beneficiary had not attained 31 years of age before the time of the contribution,

(2)  the contribution is made by way of transfer from another plan that is a registered education savings plan that allows more than one beneficiary at any one time, and

(3)  (subparagraph repealed),

iii.  an individual is permitted to become a beneficiary under the plan at any particular time only if

(1)  the individual had not attained 21 years of age before the particular time, or

(2)  the individual was, immediately before the particular time, a beneficiary under another registered education savings plan that allows more than one beneficiary at any one time;

(j)  (paragraph repealed);

(k)  the plan provides that the promoter shall, within 90 days after an individual becomes a beneficiary under the plan, notify in writing the individual or, if the individual is under 19 years of age at that time and either ordinarily resides with a parent of the individual or is maintained by a public primary caregiver of the individual, that parent or public primary caregiver, of the existence of the plan and the name and address of the subscriber in respect of the plan;

(l)  the Minister has no reason to believe that the promoter will not take all reasonable measures to ensure that the plan will continue to comply with the conditions for registration set out in paragraphs a.1, b to c.1 and e to k for the purposes of this Part; and

(m)  the Minister has no reasonable basis to believe that the plan will become revocable.

1975, c. 21, s. 19; 1993, c. 16, s. 306; 1998, c. 16, s. 211; 2000, c. 5, s. 197; 2001, c. 53, s. 183; 2002, c. 45, s. 518; 2003, c. 9, s. 463; 2004, c. 37, s. 90; 2005, c. 38, s. 209; 2006, c. 36, s. 89; 2009, c. 5, s. 380; 2009, c. 15, s. 165; 2011, c. 1, s. 47; 2015, c. 21, s. 334.

2011-02-17

895. The Minister shall not register for the purposes of this Part any education savings plan of a promoter unless the promoter applies therefor to the Minister in prescribed form containing prescribed information and, in the Minister’s opinion, the following conditions are complied with:

(a)  at the time of the application for registration of the plan by the promoter, not fewer than 150 plans have been entered into with the promoter, each of which complied, at the time it was entered into, with the conditions set out in section 894 and the other conditions set out in this section, as those sections read at that time;

(a.1)  the plan provides that the property of any trust governed by the plan, after the payment of trustee and administration charges, is irrevocably held for any of the purposes described in the definition of “trust” in section 890.15 by a corporation licensed or otherwise authorized under the laws of Canada or a province to carry on in Canada the business of offering its services as a trustee;

(b)  the promoter and each trust governed by the plan are resident in Canada;

(c)  the plan does not allow for any payment before 1 January 1998 to a subscriber, other than the payment of a refund of contributions, unless the subscriber is also the beneficiary under the plan;

(c.1)  subject to section 895.0.1, if the plan allows accumulated income payments, the plan provides that an accumulated income payment is permitted to be made only if

i.  the payment is made to, or on behalf of, a subscriber under the plan who is resident in Canada when the payment is made,

ii.  the payment is not made jointly to, or on behalf of, more than one subscriber, and

iii.  any of the following situations apply:

(1)  the payment is made after the ninth year that follows the year in which the plan was entered into and each individual, other than a deceased individual, who is or was a beneficiary under the plan has attained 21 years of age before the payment is made and is not, when the payment is made, eligible under the plan to receive an educational assistance payment,

(2)  the payment is made in the year in which the plan must be terminated in accordance with paragraph h, or

(3)  each individual who was a beneficiary under the plan is deceased when the payment is made;

(d)  the plan is substantially similar to the plan described in or annexed to the prospectus filed by the promoter with the Autorité des marchés financiers, a securities commission or a similar body in Canada;

(e)  in the event that a trust governed by the plan is terminated, the property held by the trust is to be used for any of the purposes described in the definition of “trust” in section 890.15;

(f)  the plan provides for the payment of educational assistance payments before 1 January 1997 to an individual only if the individual is, at the time the payment is made, in full-time attendance at a prescribed post-secondary educational institution, enrolled in a prescribed educational program at the institution;

(f.1)  the plan provides for the payment of educational assistance payments at any time after 31 December 1996 to or on behalf of an individual only if

i.  (subparagraph repealed),

ii.  the individual is at that time

(1)  enrolled as a student in a prescribed educational program at a prescribed post-secondary educational institution, or

(2)  16 years of age or over and enrolled as a student in a prescribed training program at a prescribed postsecondary educational institution, and

iii.  any of the following situations apply:

(1)  the individual satisfies, at that time, the condition set out in subparagraph 1 of subparagraph ii and has satisfied that condition throughout at least 13 consecutive weeks in the 12-month period that ends at that time, or the total of the payment and all other educational assistance payments made under a registered education savings plan of the promoter to or on behalf of the individual in the 12-month period that ends at that time does not exceed $5,000 or such greater amount as the Minister responsible for the administration of the Canada Education Savings Act (S.C. 2004, c. 26) approves in writing in respect of the individual, or

(2)  the individual satisfies, at that time, the condition set out in subparagraph 2 of subparagraph ii and the total of the payment and all other educational assistance payments made under a registered education savings plan of the promoter to or on behalf of the individual in the 13-week period that ends at that time does not exceed $2,500 or such greater amount as the Minister responsible for the administration of the Canada Education Savings Act approves in writing in respect of the individual;

(f.2)  the plan provides that no contribution to the plan may be made otherwise than by or on behalf of a subscriber under the plan in respect of a beneficiary under the plan or by way of transfer from another plan that is a registered education savings plan;

(f.3)  the plan provides

i.  that an individual is permitted to be designated as a beneficiary under the plan only if

(1)  the individual’s Social Insurance Number is provided to the promoter before the designation is made, and

(2)  the individual is resident in Canada when the designation is made, or the designation is made in conjunction with a transfer of property into the plan from another registered education savings plan under which the individual was a beneficiary immediately before the transfer, and

ii.  that a contribution to the plan in respect of an individual who is a beneficiary under the plan is permitted to be made only if

(1)  the individual’s Social Insurance Number is provided to the promoter before the contribution is made and the individual is resident in Canada when the contribution is made, or

(2)  the contribution is made by means of a transfer from another registered education savings plan under which the individual was a beneficiary immediately before the transfer;

(g)  the plan provides that no contribution, other than a contribution made by way of transfer from another registered education savings plan, may be made into the plan

i.  in the case of a specified plan, after the 35th year following the year in which the plan is entered into, and

ii.  in any other case, after the 31st year following the year in which the plan is entered into;

(h)  the plan provides that it must be terminated on or before the last day of

i.  in the case of a specified plan, the 40th year following the year in which the plan is entered into, and

ii.  in any other case, the 35th year following the year in which the plan is entered into;

(h.1)  where the plan allows accumulated income payments in accordance with paragraph c.1, the plan provides that it must be terminated before 1 March of the year following the year in which the first such payment is made under the plan;

(h.2)  the plan does not allow for the receipt of property by way of direct transfer from another plan that is a registered education savings plan after the other plan has made any accumulated income payment;

(i)  where the plan allows more than one beneficiary under the plan at any one time, the plan provides

i.  that each of the beneficiaries under the plan is required to be connected to each living subscriber under the plan, or to have been connected to a deceased original subscriber under the plan, by blood relationship or adoption, and

ii.  that a contribution to the plan in respect of a beneficiary is permitted to be made only if

(1)  the beneficiary had not attained 31 years of age before the time of the contribution,

(2)  the contribution is made by way of transfer from another plan that is a registered education savings plan that allows more than one beneficiary at any one time, and

(3)  (subparagraph repealed),

iii.  an individual is permitted to become a beneficiary under the plan at any particular time only if

(1)  the individual had not attained 21 years of age before the particular time, or

(2)  the individual was, immediately before the particular time, a beneficiary under another registered education savings plan that allows more than one beneficiary at any one time;

(j)  (paragraph repealed);

(k)  the plan provides that the promoter shall, within 90 days after an individual becomes a beneficiary under the plan, notify in writing the individual or, if the individual is under 19 years of age at that time and either ordinarily resides with a parent of the individual or is maintained by a public primary caregiver of the individual, that parent or public primary caregiver, of the existence of the plan and the name and address of the subscriber in respect of the plan;

(l)  the Minister has no reason to believe that the promoter will not take all reasonable measures to ensure that the plan will continue to comply with the conditions for registration set out in paragraphs a.1, b to c.1 and e to k for the purposes of this Part; and

(m)  the Minister has no reasonable basis to believe that the plan will become revocable.

1975, c. 21, s. 19; 1993, c. 16, s. 306; 1998, c. 16, s. 211; 2000, c. 5, s. 197; 2001, c. 53, s. 183; 2002, c. 45, s. 518; 2003, c. 9, s. 463; 2004, c. 37, s. 90; 2005, c. 38, s. 209; 2006, c. 36, s. 89; 2009, c. 5, s. 380; 2009, c. 15, s. 165; 2011, c. 1, s. 47.

2009-06-04

895. The Minister shall not register for the purposes of this Part any education savings plan of a promoter unless the promoter applies therefor to the Minister in prescribed form containing prescribed information and, in the Minister’s opinion, the following conditions are complied with:

(a)  at the time of the application for registration of the plan by the promoter, not fewer than 150 plans have been entered into with the promoter, each of which complied, at the time it was entered into, with the conditions set out in section 894 and the other conditions set out in this section, as those sections read at that time;

(a.1)  the plan provides that the property of any trust governed by the plan, after the payment of trustee and administration charges, is irrevocably held for any of the purposes described in the definition of “trust” in section 890.15 by a corporation licensed or otherwise authorized under the laws of Canada or a province to carry on in Canada the business of offering its services as a trustee;

(b)  the promoter and each trust governed by the plan are resident in Canada;

(c)  the plan does not allow for any payment before 1 January 1998 to a subscriber, other than the payment of a refund of contributions, unless the subscriber is also the beneficiary under the plan;

(c.1)  subject to section 895.0.1, if the plan allows accumulated income payments, the plan provides that an accumulated income payment is permitted to be made only if

i.  the payment is made to, or on behalf of, a subscriber under the plan who is resident in Canada when the payment is made,

ii.  the payment is not made jointly to, or on behalf of, more than one subscriber, and

iii.  any of the following situations apply:

(1)  the payment is made after the ninth year that follows the year in which the plan was entered into and each individual, other than a deceased individual, who is or was a beneficiary under the plan has attained 21 years of age before the payment is made and is not, when the payment is made, eligible under the plan to receive an educational assistance payment,

(2)  the payment is made in the year in which the plan must be terminated in accordance with paragraph h, or

(3)  each individual who was a beneficiary under the plan is deceased when the payment is made;

(d)  the plan is substantially similar to the plan described in or annexed to the prospectus filed by the promoter with the Autorité des marchés financiers, a securities commission or a similar body in Canada;

(e)  in the event that a trust governed by the plan is terminated, the property held by the trust is to be used for any of the purposes described in the definition of “trust” in section 890.15;

(f)  the plan provides for the payment of educational assistance payments before 1 January 1997 to an individual only if the individual is, at the time the payment is made, in full-time attendance at a prescribed post-secondary educational institution, enrolled in a prescribed educational program at the institution;

(f.1)  the plan provides for the payment of educational assistance payments at any time after 31 December 1996 to or on behalf of an individual only if

i.  (subparagraph repealed),

ii.  the individual is at that time

(1)  enrolled as a student in a prescribed educational program at a prescribed post-secondary educational institution, or

(2)  16 years of age or over and enrolled as a student in a prescribed educational program at a prescribed postsecondary educational institution, and

iii.  any of the following situations apply:

(1)  the individual satisfies, at that time, the condition set out in subparagraph 1 of subparagraph ii and has satisfied that condition throughout at least 13 consecutive weeks in the 12-month period that ends at that time, or the total of the payment and all other educational assistance payments made under a registered education savings plan of the promoter to or on behalf of the individual in the 12-month period that ends at that time does not exceed $5,000 or such greater amount as the Minister responsible for the administration of the Canada Education Savings Act (S.C. 2004, c. 26) approves in writing in respect of the individual, or

(2)  the individual satisfies, at that time, the condition set out in subparagraph 2 of subparagraph ii and the total of the payment and all other educational assistance payments made under a registered education savings plan of the promoter to or on behalf of the individual in the 13-week period that ends at that time does not exceed $2,500 or such greater amount as the Minister responsible for the administration of the Canada Education Savings Act approves in writing in respect of the individual;

(f.2)  the plan provides that no contribution to the plan may be made otherwise than by or on behalf of a subscriber under the plan in respect of a beneficiary under the plan or by way of transfer from another plan that is a registered education savings plan;

(f.3)  the plan provides

i.  that an individual is permitted to be designated as a beneficiary under the plan only if

(1)  the individual’s Social Insurance Number is provided to the promoter before the designation is made, and

(2)  the individual is resident in Canada when the designation is made, or the designation is made in conjunction with a transfer of property into the plan from another registered education savings plan under which the individual was a beneficiary immediately before the transfer, and

ii.  that a contribution to the plan in respect of an individual who is a beneficiary under the plan is permitted to be made only if

(1)  the individual’s Social Insurance Number is provided to the promoter before the contribution is made and the individual is resident in Canada when the contribution is made, or

(2)  the contribution is made by means of a transfer from another registered education savings plan under which the individual was a beneficiary immediately before the transfer;

(g)  the plan provides that no contribution, other than a contribution made by way of transfer from another registered education savings plan, may be made into the plan

i.  in the case of a specified plan, after the 35th year following the year in which the plan is entered into, and

ii.  in any other case, after the 31st year following the year in which the plan is entered into;

(h)  the plan provides that it must be terminated on or before the last day of

i.  in the case of a specified plan, the 40th year following the year in which the plan is entered into, and

ii.  in any other case, the 35th year following the year in which the plan is entered into;

(h.1)  where the plan allows accumulated income payments in accordance with paragraph c.1, the plan provides that it must be terminated before 1 March of the year following the year in which the first such payment is made under the plan;

(h.2)  the plan does not allow for the receipt of property by way of direct transfer from another plan that is a registered education savings plan after the other plan has made any accumulated income payment;

(i)  where the plan allows more than one beneficiary under the plan at any one time, the plan provides

i.  that each of the beneficiaries under the plan is required to be connected to each living subscriber under the plan, or to have been connected to a deceased original subscriber under the plan, by blood relationship or adoption, and

ii.  that a contribution to the plan in respect of a beneficiary is permitted to be made only if

(1)  the beneficiary had not attained 31 years of age before the time of the contribution,

(2)  the contribution is made by way of transfer from another plan that is a registered education savings plan that allows more than one beneficiary at any one time, and

(3)  (subparagraph repealed),

iii.  an individual is permitted to become a beneficiary under the plan at any particular time only if

(1)  the individual had not attained 21 years of age before the particular time, or

(2)  the individual was, immediately before the particular time, a beneficiary under another registered education savings plan that allows more than one beneficiary at any one time;

(j)  (paragraph repealed);

(k)  the plan provides that the promoter shall, within 90 days after an individual becomes a beneficiary under the plan, notify in writing the individual or, if the individual is under 19 years of age at that time and either ordinarily resides with a parent of the individual or is maintained by a public primary caregiver of the individual, that parent or public primary caregiver, of the existence of the plan and the name and address of the subscriber in respect of the plan;

(l)  the Minister has no reason to believe that the promoter will not take all reasonable measures to ensure that the plan will continue to comply with the conditions for registration set out in paragraphs a.1, b to c.1 and e to k for the purposes of this Part; and

(m)  the Minister has no reasonable basis to believe that the plan will become revocable.

1975, c. 21, s. 19; 1993, c. 16, s. 306; 1998, c. 16, s. 211; 2000, c. 5, s. 197; 2001, c. 53, s. 183; 2002, c. 45, s. 518; 2003, c. 9, s. 463; 2004, c. 37, s. 90; 2005, c. 38, s. 209; 2006, c. 36, s. 89; 2009, c. 5, s. 380; 2009, c. 15, s. 165.

2009-05-15

895. The Minister shall not register for the purposes of this Part any education savings plan of a promoter unless the promoter applies therefor to the Minister in prescribed form containing prescribed information and, in the Minister’s opinion, the following conditions are complied with:

(a)  at the time of the application for registration of the plan by the promoter, not fewer than 150 plans have been entered into with the promoter, each of which complied, at the time it was entered into, with the conditions set out in section 894 and the other conditions set out in this section, as those sections read at that time;

(a.1)  the plan provides that the property of any trust governed by the plan, after the payment of trustee and administration charges, is irrevocably held for any of the purposes described in the definition of “trust” in section 890.15 by a corporation licensed or otherwise authorized under the laws of Canada or a province to carry on in Canada the business of offering its services as a trustee;

(b)  the promoter and each trust governed by the plan are resident in Canada;

(c)  the plan does not allow for any payment before 1 January 1998 to a subscriber, other than the payment of a refund of contributions, unless the subscriber is also the beneficiary under the plan;

(c.1)  subject to section 895.0.1, if the plan allows accumulated income payments, the plan provides that an accumulated income payment is permitted to be made only if

i.  the payment is made to, or on behalf of, a subscriber under the plan who is resident in Canada when the payment is made,

ii.  the payment is not made jointly to, or on behalf of, more than one subscriber, and

iii.  any of the following situations apply:

(1)  the payment is made after the ninth year that follows the year in which the plan was entered into and each individual, other than a deceased individual, who is or was a beneficiary under the plan has attained 21 years of age before the payment is made and is not, when the payment is made, eligible under the plan to receive an educational assistance payment,

(2)  the payment is made in the year in which the plan must be terminated in accordance with paragraph h, or

(3)  each individual who was a beneficiary under the plan is deceased when the payment is made;

(d)  the plan is substantially similar to the plan described in or annexed to the prospectus filed by the promoter with the Autorité des marchés financiers, a securities commission or a similar body in Canada;

(e)  in the event that a trust governed by the plan is terminated, the property held by the trust is to be used for any of the purposes described in the definition of “trust” in section 890.15;

(f)  the plan provides for the payment of educational assistance payments before 1 January 1997 to an individual only if the individual is, at the time the payment is made, in full-time attendance at a prescribed post-secondary educational institution, enrolled in a prescribed educational program at the institution;

(f.1)  the plan provides for the payment of educational assistance payments at any time after 31 December 1996 to or on behalf of an individual only if

i.  (subparagraph repealed),

ii.  the individual is at that time

(1)  enrolled as a student in a prescribed educational program at a prescribed post-secondary educational institution, or

(2)  16 years of age or over and enrolled as a student in a prescribed educational program at a prescribed postsecondary educational institution, and

iii.  any of the following situations apply:

(1)  the individual satisfies, at that time, the condition set out in subparagraph 1 of subparagraph ii and has satisfied that condition throughout at least 13 consecutive weeks in the 12-month period that ends at that time, or the total of the payment and all other educational assistance payments made under a registered education savings plan of the promoter to or on behalf of the individual in the 12-month period that ends at that time does not exceed $5,000 or such greater amount as the Minister responsible for the administration of the Canada Education Savings Act (S.C. 2004, c. 26) approves in writing in respect of the individual, or

(2)  the individual satisfies, at that time, the condition set out in subparagraph 2 of subparagraph ii and the total of the payment and all other educational assistance payments made under a registered education savings plan of the promoter to or on behalf of the individual in the 13-week period that ends at that time does not exceed $2,500 or such greater amount as the Minister responsible for the administration of the Canada Education Savings Act approves in writing in respect of the individual;

(f.2)  the plan provides that no contribution to the plan may be made otherwise than by or on behalf of a subscriber under the plan in respect of a beneficiary under the plan or by way of transfer from another plan that is a registered education savings plan;

(g)  the plan provides that no contribution, other than a contribution made by way of transfer from another registered education savings plan, may be made into the plan

i.  in the case of a specified plan, after the 25th year following the year in which the plan is entered into, and

ii.  in any other case, after the twenty-first year following the year in which the plan is entered into;

(h)  the plan provides that it must be terminated on or before the last day of

i.  in the case of a specified plan, the thirtieth year following the year in which the plan is entered into, and

ii.  in any other case, the twenty-fifth year following the year in which the plan is entered into;

(h.1)  where the plan allows accumulated income payments in accordance with paragraph c.1, the plan provides that it must be terminated before 1 March of the year following the year in which the first such payment is made under the plan;

(h.2)  the plan does not allow for the receipt of property by way of direct transfer from another plan that is a registered education savings plan after the other plan has made any accumulated income payment;

(i)  where the plan allows more than one beneficiary under the plan at any one time, the plan provides

i.  that each of the beneficiaries under the plan is required to be connected to each living subscriber under the plan, or to have been connected to a deceased original subscriber under the plan, by blood relationship or adoption, and

ii.  that a contribution to the plan in respect of a beneficiary is permitted to be made only if

(1)  the beneficiary had not attained 21 years of age before the time of the contribution,

(2)  the contribution is made by way of transfer from another plan that is a registered education savings plan that allows more than one beneficiary at any one time, and

(3)  (subparagraph repealed),

iii.  an individual is permitted to become a beneficiary under the plan at any particular time only if

(1)  the individual had not attained 21 years of age before the particular time, or

(2)  the individual was, immediately before the particular time, a beneficiary under another registered education savings plan that allows more than one beneficiary at any one time;

(j)  (paragraph repealed);

(k)  the plan provides that the promoter shall, within 90 days after an individual becomes a beneficiary under the plan, notify in writing the individual or, if the individual is under 19 years of age at that time and either ordinarily resides with a parent of the individual or is maintained by a public primary caregiver of the individual, that parent or public primary caregiver, of the existence of the plan and the name and address of the subscriber in respect of the plan;

(l)  the Minister has no reason to believe that the promoter will not take all reasonable measures to ensure that the plan will continue to comply with the conditions for registration set out in paragraphs a.1, b to c.1 and e to k for the purposes of this Part; and

(m)  the Minister has no reasonable basis to believe that the plan will become revocable.

1975, c. 21, s. 19; 1993, c. 16, s. 306; 1998, c. 16, s. 211; 2000, c. 5, s. 197; 2001, c. 53, s. 183; 2002, c. 45, s. 518; 2003, c. 9, s. 463; 2004, c. 37, s. 90; 2005, c. 38, s. 209; 2006, c. 36, s. 89; 2009, c. 5, s. 380.

2006-12-06

895. The Minister shall not register for the purposes of this Part any education savings plan of a promoter unless the promoter applies therefor to the Minister in prescribed form containing prescribed information and, in the Minister’s opinion, the following conditions are complied with:

(a)  at the time of the application for registration of the plan by the promoter, not fewer than 150 plans have been entered into with the promoter, each of which complied, at the time it was entered into, with the conditions set out in section 894 and the other conditions set out in this section, as those sections read at that time;

(a.1)  the plan provides that the property of any trust governed by the plan, after the payment of trustee and administration charges, is irrevocably held for any of the purposes described in the definition of “trust” in section 890.15 by a corporation licensed or otherwise authorized under the laws of Canada or a province to carry on in Canada the business of offering its services as a trustee;

(b)  the promoter and each trust governed by the plan are resident in Canada;

(c)  the plan does not allow for any payment before 1 January 1998 to a subscriber, other than the payment of a refund of contributions, unless the subscriber is also the beneficiary under the plan;

(c.1)  subject to section 895.0.1, if the plan allows accumulated income payments, the plan provides that an accumulated income payment is permitted to be made only if

i.  the payment is made to, or on behalf of, a subscriber under the plan who is resident in Canada when the payment is made,

ii.  the payment is not made jointly to, or on behalf of, more than one subscriber, and

iii.  any of the following situations apply:

(1)  the payment is made after the ninth year that follows the year in which the plan was entered into and each individual, other than a deceased individual, who is or was a beneficiary under the plan has attained 21 years of age before the payment is made and is not, when the payment is made, eligible under the plan to receive an educational assistance payment,

(2)  the payment is made in the year in which the plan must be terminated in accordance with paragraph h, or

(3)  each individual who was a beneficiary under the plan is deceased when the payment is made;

(d)  the plan is substantially similar to the plan described in or annexed to the prospectus filed by the promoter with the Autorité des marchés financiers, a securities commission or a similar body in Canada;

(e)  in the event that a trust governed by the plan is terminated, the property held by the trust is to be used for any of the purposes described in the definition of “trust” in section 890.15;

(f)  the plan provides for the payment of educational assistance payments before 1 January 1997 to an individual only if the individual is, at the time the payment is made, in full-time attendance at a prescribed post-secondary educational institution, enrolled in a prescribed educational program at the institution;

(f.1)  the plan provides for the payment of educational assistance payments at any time after 31 December 1996 to or on behalf of an individual only if

i.  (subparagraph repealed),

ii.  the individual is at that time

(1)  enrolled in a prescribed educational program as a full-time or part-time student at a prescribed post-secondary educational institution, or

(2)  where the individual has at that time an impairment in mental or physical functions the effects of which on the individual have been certified, by a person described in subparagraph b or b.1 of the first paragraph of section 752.0.14 in relation to the individual’s impairment, to be such that the individual cannot reasonably be expected to be enrolled as a full-time student, enrolled in a prescribed educational program as a student at a prescribed post-secondary educational institution, and

iii.  the individual has satisfied the conditions set out in subparagraphs i and ii throughout at least 13 consecutive weeks in the 12-month period that ends at that time, or the total of the payment and all other educational assistance payments made under a registered educational savings plan of the promoter to or on behalf of the individual in the 12-month period that ends at that time does not exceed $5,000 or such greater amount as the Minister responsible for the administration of the Canada Education Savings Act (Statutes of Canada, 2004, chapter 26) approves in writing in respect of the individual;

(f.2)  the plan provides that no contribution to the plan may be made otherwise than by or on behalf of a subscriber under the plan in respect of a beneficiary under the plan or by way of transfer from another plan that is a registered education savings plan;

(g)  the plan provides that no contribution, other than a contribution made by way of transfer from another registered education savings plan, may be made into the plan

i.  in the case of a specified plan, after the twenty-fifth year following the year in which the plan is entered into, and

ii.  in any other case, after the twenty-first year following the year in which the plan is entered into;

(h)  the plan provides that it must be terminated on or before the last day of

i.  in the case of a specified plan, the thirtieth year following the year in which the plan is entered into, and

ii.  in any other case, the twenty-fifth year following the year in which the plan is entered into;

(h.1)  where the plan allows accumulated income payments in accordance with paragraph c.1, the plan provides that it must be terminated before 1 March of the year following the year in which the first such payment is made under the plan;

(h.2)  the plan does not allow for the receipt of property by way of direct transfer from another plan that is a registered education savings plan after the other plan has made any accumulated income payment;

(i)  where the plan allows more than one beneficiary under the plan at any one time, the plan provides

i.  that each of the beneficiaries under the plan is required to be connected to each living subscriber under the plan, or to have been connected to a deceased original subscriber under the plan, by blood relationship or adoption, and

ii.  that a contribution to the plan in respect of a beneficiary is permitted to be made only if

(1)  the beneficiary had not attained 21 years of age before the time of the contribution,

(2)  the contribution is made by way of transfer from another plan that is a registered education savings plan that allows more than one beneficiary at any one time, and

(3)  (subparagraph repealed),

iii.  an individual is permitted to become a beneficiary under the plan at any particular time only if

(1)  the individual had not attained 21 years of age before the particular time, or

(2)  the individual was, immediately before the particular time, a beneficiary under another registered education savings plan that allows more than one beneficiary at any one time;

(j)  the plan provides that the total of all contributions made by a subscriber to the plan in respect of a beneficiary for a year, other than contributions made by way of transfer from another plan that is a registered education savings plan, shall not exceed

i.  for each of the years 1990 to 1995, $1,500,

ii.  for the year 1996, $2,000, and

iii.  for the year 1997 and each of the following years, $4,000;

(k)  the plan provides that the promoter shall, within 90 days after an individual becomes a beneficiary under the plan, notify in writing the individual or, if the individual is under 19 years of age at that time and either ordinarily resides with a parent of the individual or is maintained by a public primary caregiver of the individual, that parent or public primary caregiver, of the existence of the plan and the name and address of the subscriber in respect of the plan;

(l)  the Minister has no reason to believe that the promoter will not take all reasonable measures to ensure that the plan will continue to comply with the conditions for registration set out in paragraphs a.1, b to c.1 and e to k for the purposes of this Part; and

(m)  the Minister has no reasonable basis to believe that the plan will become revocable.

1975, c. 21, s. 19; 1993, c. 16, s. 306; 1998, c. 16, s. 211; 2000, c. 5, s. 197; 2001, c. 53, s. 183; 2002, c. 45, s. 518; 2003, c. 9, s. 463; 2004, c. 37, s. 90; 2005, c. 38, s. 209; 2006, c. 36, s. 89.

2006-03-01

895. The Minister shall not register for the purposes of this Part any education savings plan of a promoter unless the promoter applies therefor to the Minister in prescribed form containing prescribed information and, in the Minister’s opinion, the following conditions are complied with:

(a)  at the time of the application for registration of the plan by the promoter, not fewer than 150 plans have been entered into with the promoter, each of which complied, at the time it was entered into, with the conditions set out in section 894 and the other conditions set out in this section, as those sections read at that time;

(a.1)  the plan provides that the property of any trust governed by the plan, after the payment of trustee and administration charges, is irrevocably held for any of the purposes described in the definition of "trust" in section 890.15 by a corporation licensed or otherwise authorized under the laws of Canada or a province to carry on in Canada the business of offering its services as a trustee;

(b)  the promoter and each trust governed by the plan are resident in Canada;

(c)  the plan does not allow for any payment before 1 January 1998 to a subscriber, other than the payment of a refund of contributions, unless the subscriber is also the beneficiary under the plan;

(c.1)  subject to section 895.0.1, if the plan allows accumulated income payments, the plan provides that an accumulated income payment is permitted to be made only if

i.  the payment is made to, or on behalf of, a subscriber under the plan who is resident in Canada when the payment is made,

ii.  the payment is not made jointly to, or on behalf of, more than one subscriber, and

iii.  any of the following situations apply:

(1)  the payment is made after the ninth year that follows the year in which the plan was entered into and each individual, other than a deceased individual, who is or was a beneficiary under the plan has attained 21 years of age before the payment is made and is not, when the payment is made, eligible under the plan to receive an educational assistance payment,

(2)  the payment is made in the year in which the plan must be terminated in accordance with paragraph h, or

(3)  each individual who was a beneficiary under the plan is deceased when the payment is made;

(d)  the plan is substantially similar to the plan described in or annexed to the prospectus filed by the promoter with the Autorité des marchés financiers, a securities commission or a similar body in Canada;

(e)  in the event that a trust governed by the plan is terminated, the property held by the trust is to be used for any of the purposes described in the definition of "trust" in section 890.15;

(f)  the plan provides for the payment of educational assistance payments before 1 January 1997 to an individual only if the individual is, at the time the payment is made, in full-time attendance at a prescribed post-secondary educational institution, enrolled in a prescribed educational program at the institution;

(f.1)  the plan provides for the payment of educational assistance payments at any time after 31 December 1996 to or on behalf of an individual only if

i.  (subparagraph repealed),

ii.  the individual is at that time

(1)  enrolled in a prescribed educational program as a full-time or part-time student at a prescribed post-secondary educational institution, or

(2)  where the individual has at that time a mental or physical impairment the effects of which on the individual have been certified, by a person described in subparagraph b of the first paragraph of section 752.0.14 in relation to the individual’s impairment, to be such that the individual cannot reasonably be expected to be enrolled as a full-time student, enrolled in a prescribed educational program as a student at a prescribed post-secondary educational institution, and

iii.  the individual has satisfied the conditions set out in subparagraphs i and ii throughout at least 13 consecutive weeks in the 12-month period that ends at that time, or the total of the payment and all other educational assistance payments made under a registered educational savings plan of the promoter to or on behalf of the individual in the 12-month period that ends at that time does not exceed $5,000 or such greater amount as the Minister responsible for the administration of the Canada Education Savings Act (Statutes of Canada, 2004, chapter 26) approves in writing in respect of the individual;

(f.2)  the plan provides that no contribution to the plan may be made otherwise than by or on behalf of a subscriber under the plan in respect of a beneficiary under the plan or by way of transfer from another plan that is a registered education savings plan;

(g)  the plan provides that no contribution, other than a contribution made by way of transfer from another registered education savings plan, may be made into the plan

i.  in the case of a specified plan, after the twenty-fifth year following the year in which the plan is entered into, and

ii.  in any other case, after the twenty-first year following the year in which the plan is entered into;

(h)  the plan provides that it must be terminated on or before the last day of

i.  in the case of a specified plan, the thirtieth year following the year in which the plan is entered into, and

ii.  in any other case, the twenty-fifth year following the year in which the plan is entered into;

(h.1)  where the plan allows accumulated income payments in accordance with paragraph c.1, the plan provides that it must be terminated before 1 March of the year following the year in which the first such payment is made under the plan;

(h.2)  the plan does not allow for the receipt of property by way of direct transfer from another plan that is a registered education savings plan after the other plan has made any accumulated income payment;

(i)  where the plan allows more than one beneficiary under the plan at any one time, the plan provides

i.  that each of the beneficiaries under the plan is required to be connected to each living subscriber under the plan, or to have been connected to a deceased original subscriber under the plan, by blood relationship or adoption, and

ii.  that a contribution to the plan in respect of a beneficiary is permitted to be made only if

(1)  the beneficiary had not attained 21 years of age before the time of the contribution,

(2)  the contribution is made by way of transfer from another plan that is a registered education savings plan that allows more than one beneficiary at any one time, and

iii.  an individual is permitted to become a beneficiary under the plan at any particular time only if

(1)  the individual had not attained 21 years of age before the particular time, or

(2)  the individual was, immediately before the particular time, a beneficiary under another registered education savings plan that allows more than one beneficiary at any one time;

(j)  the plan provides that the total of all contributions made by a subscriber to the plan in respect of a beneficiary for a year, other than contributions made by way of transfer from another plan that is a registered education savings plan, shall not exceed

i.  for each of the years 1990 to 1995, $1,500,

ii.  for the year 1996, $2,000, and

iii.  for the year 1997 and each of the following years, $4,000;

(k)  the plan provides that the promoter shall, within 90 days after an individual becomes a beneficiary under the plan, notify in writing the individual or, if the individual is under 19 years of age at that time and either ordinarily resides with a parent of the individual or is maintained by a public primary caregiver of the individual, that parent or public primary caregiver, of the existence of the plan and the name and address of the subscriber in respect of the plan;

(l)  the Minister has no reason to believe that the promoter will not take all reasonable measures to ensure that the plan will continue to comply with the conditions for registration set out in paragraphs a.1, b to c.1 and e to k for the purposes of this Part; and

(m)  the Minister has no reasonable basis to believe that the plan will become revocable.

1975, c. 21, s. 19; 1993, c. 16, s. 306; 1998, c. 16, s. 211; 2000, c. 5, s. 197; 2001, c. 53, s. 183; 2002, c. 45, s. 518; O.C. 45-2004; 2003, c. 9, s. 463; 2004, c. 37, s. 90; 2005, c. 38, s. 209.