I-3 - Taxation Act

Section 965.0.17.2 Disposition versions

2022-06-08

965.0.17.2. For the purposes of this Part, the rules provided in the second paragraph apply where at any time an individual acquires, in full or partial satisfaction of the individual’s entitlement to benefits under a registered pension plan, an interest in an annuity contract (other than an advanced life deferred annuity) purchased from a licensed annuities provider and

(a)  the rights provided for under the contract are not materially different from those provided for under the plan as registered;

(b)  the contract does not permit premiums to be paid at or after that time, other than a premium paid at that time out of or under the plan to purchase the contract;

(c)  either the plan is not a plan in respect of which the Minister of Revenue of Canada may, under subsection 11 of section 147.1 of the Income Tax Act (R.S.C. 1985, c. 1 (5th Suppl.)), give a notice of intent to revoke the registration of the plan or the Minister of Revenue of Canada waves the application of paragraph d of subsection 1 of section 147.4 of that Act with respect to the contract and so notifies the administrator of the plan in writing; and

(d)  the individual has not acquired the interest in the contract as a consequence of a transfer of property from the plan to a registered retirement savings plan or a registered retirement income fund.

The rules to which the first paragraph refers are as follows:

(a)  the individual is deemed not to have received an amount out of or under the registered pension plan as a consequence of acquiring the interest in the annuity contract; and

(b)  except for the purposes of sections 965.0.5 to 965.0.17.1, any amount received at or after the time referred to in the first paragraph by any individual under the contract is deemed to have been received under the registered pension plan.

2000, c. 5, s. 224; 2022, c. 23, s. 85.

2006-03-01

965.0.17.2. For the purposes of this Part, the rules provided in the second paragraph apply where at any time an individual acquires, in full or partial satisfaction of the individual’s entitlement to benefits under a registered pension plan, an interest in an annuity contract purchased from a licensed annuities provider and

(a)  the rights provided for under the contract are not materially different from those provided for under the plan as registered;

(b)  the contract does not permit premiums to be paid at or after that time, other than a premium paid at that time out of or under the plan to purchase the contract;

(c)  either the plan is not a plan in respect of which the Minister of Revenue of Canada may, under subsection 11 of section 147.1 of the Income Tax Act (Revised Statutes of Canada, 1985, chapter 1, 5th Supplement), give a notice of intent to revoke the registration of the plan or the Minister of Revenue of Canada waves the application of paragraph d of subsection 1 of section 147.4 of that Act with respect to the contract and so notifies the administrator of the plan in writing; and

(d)  the individual has not acquired the interest in the contract as a consequence of a transfer of property from the plan to a registered retirement savings plan or a registered retirement income fund.

The rules to which the first paragraph refers are as follows:

(a)  the individual is deemed not to have received an amount out of or under the registered pension plan as a consequence of acquiring the interest in the annuity contract; and

(b)  except for the purposes of sections 965.0.5 to 965.0.17.1, any amount received at or after the time referred to in the first paragraph by any individual under the contract is deemed to have been received under the registered pension plan.

2000, c. 5, s. 224.