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.
Revenu Canada Taxation Head Office
S.U.B.P.
D.I. McLennan
Attention: XXXX
March 2, 1976
Dear Sirs:
Re: XXXX
Your letter to Mr. R.G. McCorkle of our Technical Interpretations Division, dated February 10, 1976, has been referred to this Division for reply.
Employer contributions to an SUB Fund must cease when the total assets of the Fund exceed the "Maximum Funding Level" established by the Plan. As discussed previously, the Department would accept a Maximum Funding Level Provision in the Plan of up to 33 of the maximum benefits that may be paid if all eligible employees were laid off for a maximum period of 52 weeks.
If the SUB Plan provides for it, on cessation of contributions to the SUB Fund, contributions can be paid into a Welfare Fund until such time as they are required for the SUB Fund. However such contributions must be made directly to the Welfare fund and not via the SUB Fund.
Yours truly,
Pension and Profit Sharing Plans Section Department of National Revenue, Taxation DIM/do
All rights reserved. Permission is granted to electronically copy and to print in hard copy for internal use only. No part of this information may be reproduced, modified, transmitted or redistributed in any form or by any means, electronic, mechanical, photocopying, recording or otherwise, or stored in a retrieval system for any purpose other than noted above (including sales), without prior written permission of Canada Revenue Agency, Ottawa, Ontario K1A 0L5
© Her Majesty the Queen in Right of Canada, 1976
Tous droits réservés. Il est permis de copier sous forme électronique ou d'imprimer pour un usage interne seulement. Toutefois, il est interdit de reproduire, de modifier, de transmettre ou de redistributer de l'information, sous quelque forme ou par quelque moyen que ce soit, de facon électronique, méchanique, photocopies ou autre, ou par stockage dans des systèmes d'extraction ou pour tout usage autre que ceux susmentionnés (incluant pour fin commerciale), sans l'autorisation écrite préalable de l'Agence du revenu du Canada, Ottawa, Ontario K1A 0L5.
© Sa Majesté la Reine du Chef du Canada, 1976
Email this Content