Kevin Wark, Michael O'Connor, "The Next Phase of Life Insurance Policyholder Taxation is Nigh", Canadian Tax Journal (2016) 64:4, 705 - 50

Summary Under

Overview/purpose of accumulating fund (p. 709)

The accumulating fund is intended to represent the savings element in the policy and has...

The text of this content is paywalled except for the first five days of each month. Subscribe or log in for unrestricted access.

Summary Under

Shift to one-year pre-test (p. 719)

[T]he rule now requires only a one-year pre-test. This requires the insurance company to project the...

The text of this content is paywalled except for the first five days of each month. Subscribe or log in for unrestricted access.

Summary Under

Example of additional exempt test policy where >8% annual increase in death benefit (p. 720)

Example 1

Assume that a life insurance policy is...

The text of this content is paywalled except for the first five days of each month. Subscribe or log in for unrestricted access.

Summary Under

Redating of exempt test policy where >250% increase in accumulating fund over 3 years (p. 721)

In addition to the so-called 8 percent test,...

The text of this content is paywalled except for the first five days of each month. Subscribe or log in for unrestricted access.

Summary Under

Effect of changes to the calculation of the accumulating fund for future policies (pp. 723-4)

There are significant changes to the calculation of...

The text of this content is paywalled except for the first five days of each month. Subscribe or log in for unrestricted access.

Summary Under

Impact of death benefit on adjusted cost basis of a multi-life policy (pp. 730-1)

New paragraph 148(2)(e)…applies to a situation where an...

The text of this content is paywalled except for the first five days of each month. Subscribe or log in for unrestricted access.

Summary Under

Deeming of partial surrender of policyholder’s interest so as to reduce policy loan to be loan repayment followed by partial surrender (pp....

The text of this content is paywalled except for the first five days of each month. Subscribe or log in for unrestricted access.

Summary Under

Effect of net cost of pure insurance on policy ACB (pp. 733-4)

The NCPI of a policy reduces the ACB of policies last acquired after December 1,...

The text of this content is paywalled except for the first five days of each month. Subscribe or log in for unrestricted access.

You are here