Please note that the following document, although believed to be correct at the time of issue, may not represent the current position of the CRA.
Prenez note que ce document, bien qu'exact au moment émis, peut ne pas représenter la position actuelle de l'ARC.
Please note that the following document, although believed to be correct at the time of issue, may not represent the current position of the Department.
Prenez note que ce document, bien qu'exact au moment émis, peut ne pas représenter la position actuelle du ministère.
Principal Issues: Can an agent of an RRSP’s issuer be a non-resident?
Position: It appears possible.
Reasons: No restrictions under the Act, however may be subject to requirements under any Federal or Provincial Law (per discussions made with Gary Allen and Pat Robusky from Registered Plans Division).
XXXXXXXXXX 5-980896
Fouad Daaboul
Attention: XXXXXXXXXX
August 12, 1998
Dear Sirs:
Re: The issuer’s agent of an RRSP
This is in reply to your letter of April 6, 1998, wherein you requested a general opinion on whether or not a corporation referred to in subclause (b)(i) of the definition of “retirement savings plan” (the “RSP”) in subsection 146(1) of the Income Tax Act (the “Act”), or the “issuer” as defined under subsection 146(1) of the Act, can appoint as its agent a non-resident of Canada. We assume that your question relates to an agent in respect of an RSP.
The term “agent” is not defined under the Act. With regard to a registered retirement savings plan ("RRSP") agency is discussed in Information Circular 72-22R9 under Part I - Approval of an RRSP. Paragraphs 14 and 15 of the said Information Circular discuss the roles and responsibilities of the issuer and its agent under “Agency agreement”.
As discussed in paragraph 15 of the IC 72-22R9 the responsibilities of the issuer under the Act remain unchanged whether or not the issuer utilises an agent for certain purposes and thus the residency of the agent is not an issue for income tax purposes. However, we have been advised by the Registered Plans Division of Revenue Canada that in this context, the residence of an agent may be relevant under other Federal or Provincial legislation or securities regulations.
We trust our comments will be of assistance to you.
Yours truly,
Paul Lynch
for Director
Financial Industries Division
Income Tax Rulings
and Interpretations Directorate
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