CRA indicates that s. 52(1) applied to give full basis to a member receiving a distribution-in-kind of RPP property

CRA indicated that where surplus from a registered pension plan trust was distributed as an in-kind distribution to a member, the resulting inclusion of the distributed property’s FMV in the member’s income pursuant to s. 56(1)(a)(i) meant that such amount was deemed to be the cost of the property to the individual pursuant to s. 52(1).

Neal Armstrong. Summaries of 22 December 2021 External T.I. 2021-0914081E5 under s. 52(1) and s. 149(1)(o).