Words and Phrases - "LIRA"
Before going on to indicate that there generally is a taxable employment benefit where the employer pays the fund management fees for a group RRSP plan including locked-in retirement accounts, CRA stated:
“LIRA” has no meaning for the purposes of the Act. As noted in paragraph 22 of Information Circular 78-18R6, an LIRA is an arrangement that meets both the locking-in requirements under pension standards legislation as well as the requirements in the Act for RRSPs. The funds in such an account come from a registered pension plan. For the purposes of the Act, the LIRA is an agreement that meets the requirements for RRSPs. As a result, for the purposes of the Act, an LIRA is simply an RRSP.
|Locations of other summaries||Wordcount|
|Tax Topics - Income Tax Act - Section 6 - Subsection 6(1) - Paragraph 6(1)(a)||taxable benefit on employer payment of RRSP (including LIRA) and TFSA fund management fees but not those of DPSPs or SERPs||66|