Principal Issues: 1) Is the offsetting deduction claimed on an individual's tax return equal to the excess amount used to purchase a life annuity? 2) Is Form T2030 used to directly transfer the excess amount? 3) What is the meaning of partial commutation of a life annuity? and 4) What are the revised minimum withdrawal factors announced in the 2015 Budget?
Position: 1) Providing the entire excess amount is transferred an offsetting deduction can be claimed. 2) Yes. 3) Provided general comments on the meaning of partial commutation. 4) Provided an excerpt from the 2015 Budget regarding revised factors.
Reasons: 1) Legislation. 2) Prescribed form. 3) Legislation. 4) Factors stated in 2015 Budget.