Administrative Policy
2019 Ruling 2019-0803761R3 - New RCA to replace benefits under existing RCA
Background
The Participant, a retired employee of Employerco, is entitled to defined benefits under both a registered pension plan and an existing...
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|---|---|---|
| Tax Topics - Income Tax Act - Section 207.6 - Subsection 207.6(7) | transfer of property from old to new RCA trust with more liberal terms | 72 |
14 May 2012 Internal T.I. 2010-0367831I7 F - Régime de pension étranger. France
Pension contributions paid by an employer on behalf of Canadian resident of French nationality were constructively received by the employee and...
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|---|---|---|
| Tax Topics - Income Tax Act - Section 5 - Subsection 5(1) | contributions paid by employer to voluntary French pension funds for expatriates were constructively received by employee member | 277 |
29 March 2006 Internal T.I. 2006-0171171I7 F - Convention de retraite
A plan set up to provide benefits to officers of a corporation was not a retirement compensation arrangement (RCA) since the benefits to be paid...
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|---|---|---|
| Tax Topics - Income Tax Act - Section 67 | application of a version of the Gabco test | 85 |
4 January 2006 Internal T.I. 2005-0115801I7 F - Convention de retraite
A closely-held corporation that was dividending out all the profits of its business also established a purported retirement compensation...
| Locations of other summaries | Wordcount | |
|---|---|---|
| Tax Topics - Income Tax Act - Section 56 - Subsection 56(2) | contributions to purported RCA that provided excessive benefits to employee/ultimate shareholders were included in the direct shareholders’ income under s. 56(2) | 122 |
| Tax Topics - Income Tax Act - Section 20 - Subsection 20(1) - Paragraph 20(1)(r) | excessive benefits would have resulted in denial under ss. 18(1)(o.2) and 20(1)(r) had the arrangement qualified as an RCA | 206 |
| Tax Topics - Income Tax Act - Section 67 | Petro-Canada applied re determining reasonableness | 264 |
| Tax Topics - Income Tax Act - Section 248 - Subsection 248(1) - Salary Deferral Arrangement | contributions to a purported RCA that contemplated excessive benefits also were not in relation to an SDA because the contributions instead were indirect shareholder appropriations | 108 |
2 February 2005 External T.I. 2004-0104671E5 F - Convention de retraite - Fonds mis de côté
In a general response to a query as to whether a special reserve fund that an employer creates by depositing money with a broker to provide for...
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|---|---|---|
| Tax Topics - Income Tax Act - Section 248 - Subsection 248(1) - Salary Deferral Arrangement | amounts agreed to be paid post-retirement do not create an SDA if they are not reasonably regarded as deferred salary | 107 |
14 January 2004 External T.I. 2003-0046131E5 F - Convention de retraite - dépositaire
Can a life insurance company carrying on business in Canada be a custodian as defined in the definition of "retirement compensation arrangement"...
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|---|---|---|
| Tax Topics - Income Tax Act - Section 207.6 - Subsection 207.6(2) | employer is deemed custodian under s. 207.6(2) | 80 |
16 October 2003 External T.I. 2003-0038315 F - CONVENTION DE RETRAITE
An RCA trust created for the benefit of a managing shareholder and to which the employer contributed $100,000 lends the amount of the...
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|---|---|---|
| Tax Topics - Income Tax Act - Section 20 - Subsection 20(1) - Paragraph 20(1)(c) | reasonableness of interest rate determined re market interest rates | 131 |
May 1998 Conference for Advanced Life Underwriting Round Table, Q. 3, No. 9807000
Where amounts paid to an RCA are returned in some manner to the employer, Revenue Canada "may question whether or not an RCA exists, as...
29 January 1996 External T.I. 9600425 F - LETTER OF CREDIT CONTRIBUTION TO RCA
Discussion of the distinction in the positions taken on letters of credit in question 21 of the 1995 APFF Round Table and question 48 of the 1992...
27 January 1994 T.I. HAA7284-1 (C.T.O. "Pension Plan Wind-up")
A registered pension which is revoked or deregistered will be considered to be a retirement compensation arrangement from the date of revocation...
1 April 1993 T.I. (Tax Window, No. 30, p. 12, ¶2492)
The exclusion in paragraph (m) does not apply where an employer agrees to provide periodic pension payments on retirement or a lump-sum payment on...
22 July 1992 External T.I. 5-921803
If a fund was excluded from the salary deferral arrangement definition by virtue of the exclusion in paragraph (k) thereof for a three-year bonus...
18 June 1992 Income Tax Severed Letter 5-921789 - [920618]
An amalgamation of an employer should not effect the beneficiary of a retirement compensation arrangement.
4 June 1992 Internal T.I. 7-921449
An arrangement under which an employee elects to receive a retiring allowance over a three-year period and advises the employer to place the...
24 January 1992 External T.I. 5-913334
If the custodian to whom money is paid is an agent of the employer and the contributed funds do not become its property, no Part XII.3 tax is...
8 November 1991 T.I. (Tax Window, No. 13, p. 1, ¶1590)
A trust established by a corporation in order to fund any personal liability of directors under various provincial statutes would not constitute a...
6 September 1991 T.I. (Tax Window, No. 10, p. 21, ¶1475)
The setting up of a fund to finance payment of retiring allowances to elected municipal officers who seek to hold office will probably constitute...
19 September 1991 T.I. (Tax Window, No. 9, p. 13, ¶1455)
Any security arrangement can be considered a contribution, including the pledging of property as security for the plan, letters of credit,...
Dath and Fuoco, "Flexible Employee Benefit Arrangements", 1991 Corporate Management Tax Conference Report, c. 6
Discussion of cafeteria plans.
| Locations of other summaries | Wordcount | |
|---|---|---|
| Tax Topics - Income Tax Act - Section 6 - Subsection 6(1) - Paragraph 6(1)(a) | 9 |
16 July 1991 T.I. (Tax Window, No. 6, p. 11, ¶1351)
Discussion of employee thrift plan.
90 C.R. - Q6
There is no retirement compensation arrangement where a major shareholder provides a personal guarantee to an employee in connection with certain...
18 October 89 Meeting with Quebec Accountants, Q.10 (April 90 Access Letter, ¶1166)
An arrangement to fund a leave of absence, where the deferred salary will be paid by the employer to a person other than the taxpayer to be held...
88 C.R. - Q.29
The fair market value of a letter of credit which is acquired by an employer to guarantee the payment of retirement benefits to an employee is a...
Articles
Jim Kahane, Uros Karadzic, Simon Létourneau-Laroche, "A Fresh Look at Retirement Compensation Arrangement: A Flexible Vehicle for Retirement Planning", Canadian Tax Journal (2013) 61:2, 479 – 502.
Meaning of "substantial changes in the services" (p. 481)
CRA... will consider that there has been a substantial change in services for the...
Simon Thompson, "Canada's Income Tax Rules for Non-Registered Plans: Implications for Foreign Pensions", A Journal of International Taxation, Vol. 15, No. 10, October 2004, p. 34.
| Locations of other summaries | Wordcount | |
|---|---|---|
| Tax Topics - Income Tax Act - Section 248 - Subsection 248(1) - Employee Benefit Plan | 0 | |
| Tax Topics - Income Tax Act - Section 248 - Subsection 248(1) - Salary Deferral Arrangement | 0 |