Acts and Regulations

91-195 - General

Section 22
Disposition versions

Full text
Transfer to life income fund
22(0.1)The following definition applies in this section.
“RRIF” means a registered retirement income fund established in accordance with the Income Tax Act (Canada).
22(1)The following provisions apply to a contract between an owner and a financial institution acting as a trustee for a life income fund referred to in paragraph 20(b) and, if a conflict exists between this subsection and the terms of a contract, this subsection shall prevail:
(a) the provisions of subsection 21(2) with the necessary modifications;
(b) the owner of the fund shall be paid an income, the amount of which may vary annually, until the day on which the entire balance of the money in the fund is converted into a life annuity;
(c) payment of the income to the owner shall commence not later than the last day of the second fiscal year of the fund;
(d) the fiscal year of the fund shall end at midnight on the thirty-first day of December in each year and shall not exceed twelve months in length;
(e) the amount of income payable during each fiscal year of the fund shall be established by the owner once every year at the beginning of the fiscal year of the fund, or at intervals of greater than one year if
(i) the financial institution that is a party to the contract guarantees the rate of return of the fund during each such interval, and
(ii) such intervals end at the end of a fiscal year of the fund;
(f) the amount of the income payable during a fiscal year of the fund shall be determined in accordance with the provisions contained in subsections (2), (3), (4), (5) and (6) and the contract shall specifically include those provisions;
(g) sections 27 to 33 apply with the necessary modifications to the division of the money in the fund on the breakdown of a marriage or common-law partnership; and
(h) the contract shall specifically provide in writing for the requirements of subsections (6.1), (7), (8) and (9).
22(2)Subject to subsections (3), (4) and (5), the amount of income payable under subsection (1) during a fiscal year of a life income fund shall not be more than “M” or less than the minimum amount prescribed for an RRIF under the Income Tax Act (Canada), where “M” is calculated using the following formula:
M 
 = 
C
F
and where
C =
the balance of money in the fund on the first day of the fiscal year; and
 
F =
the value, on the first day of the fiscal year, of a guaranteed pension, the annual payment of which is one dollar payable on the first day of each fiscal year between the first day of the fiscal year and the thirty-first day of December, inclusive, of the year in which the owner attains the age of ninety years.
22(3)For the purposes of subsection (2), for the first fiscal year of the fund, the minimum amount prescribed for an RRIF under the Income Tax Act (Canada) shall be deemed to be equal to zero.
22(4)If the money in a fund is derived from money transferred directly or indirectly during the first fiscal year of the fund from another life income fund of the owner, “M” shall be equal to zero.
22(5)The value of “F” in a calculation under subsection (2) shall be established by the parties to the contract at the beginning of each fiscal year of the fund using
(a) an interest rate of not more than six per cent per year, or
(b) for the first fifteen years after the valuation of the fund, an interest rate exceeding six per cent per year if that rate does not exceed the interest rate obtained on long-term bonds issued by the government of Canada for the month of November preceding the calendar year in which the calculation is made, as published in the Bank of Canada Review as CANSIM Series B14013 and using an interest rate not exceeding six per cent per year in subsequent years.
22(6)If the amount of income payable to an owner is established under paragraph (1)(e) at intervals that are greater than one year
(a) subsections (2) to (5) apply with the necessary modifications to the establishment of the amount of income payable in each fiscal year in the interval, and
(b) the amount shall be established at the beginning of the first fiscal year in the interval.
22(6.1)Despite subsection (2), an owner and, if applicable, his or her spouse or common-law partner may request that the Superintendent approve the transfer of an amount from a life income fund to a registered retirement income fund as defined in the Income Tax Act (Canada) that is not a life income fund by completing and filing with the Superintendent the forms provided by the Superintendent, and the Superintendent shall approve the transfer if
(a) an amount has never previously been transferred under this subsection on behalf of the owner, and
(b) the amount to be transferred is not greater than the maximum unlocking amount.
22(7)At the beginning of the fiscal year of each life income fund, until the date on which all the money in the fund is converted into a life or deferred life annuity or transferred to another retirement savings arrangement that conforms to the Act and this Regulation or to similar legislation in another jurisdiction, the financial institution that is a party to the contract under which the fund is created shall provide to the owner of the fund a statement indicating
(a) the amount of money deposited, its source, the accumulated earnings of the fund and the withdrawals from the fund during the immediately preceding fiscal year,
(b) any fees deducted since the preparation of the previous such statement and the balance of the money in the fund at the beginning of the fiscal year of the fund,
(c) the maximum amount that may be paid to the owner as income during the fiscal year, and
(d) the minimum amount that must be paid to the owner as income during the fiscal year.
22(8)If the owner of a life income fund dies before the conversion of the balance of the money in the fund into a life annuity, the financial institution that is a party to the contract under which the fund is created shall provide the owner’s spouse, common-law partner, beneficiary, administrator or executor, as the case may be, with a statement containing the information listed in paragraphs (7)(a) and (b), determined as of the date of the owner’s death.
22(9)If the balance of the money in a life income fund is, under a contract, converted to a life or deferred life annuity or transferred to another retirement savings arrangement that conforms to the Act and this Regulation or to similar legislation in another jurisdiction, the financial institution that is a party to the contract under which the life income fund is created shall provide the owner with a statement containing the information listed in paragraphs (7)(a) and (b), determined as of the date of the conversion or transfer.
22(10)A contract under which a life income fund is created shall contain undertakings by the financial institution that is a party to the contract to fulfill the requirements of subsections (7), (8) and (9).
22(11)Subsections 21(4) to (14) apply with the necessary modifications if the commuted value of a deferred pension is to be transferred to a life income fund under the Act.
94-78; 2001-1; 2002, c.12, s.32; 2011-60; 2015-59; 2020-51
Transfer to life income fund
22(1)The following provisions apply to a contract between an owner and a financial institution acting as a trustee for a life income fund referred to in paragraph 20(b) and, if a conflict exists between this subsection and the terms of a contract, this subsection shall prevail:
(a) the provisions of subsection 21(2) with the necessary modifications;
(b) the owner of the fund shall be paid an income, the amount of which may vary annually, until the day on which the entire balance of the money in the fund is converted into a life annuity;
(c) payment of the income to the owner shall commence not later than the last day of the second fiscal year of the fund;
(d) the fiscal year of the fund shall end at midnight on the thirty-first day of December in each year and shall not exceed twelve months in length;
(e) the amount of income payable during each fiscal year of the fund shall be established by the owner once every year at the beginning of the fiscal year of the fund, or at intervals of greater than one year if
(i) the financial institution that is a party to the contract guarantees the rate of return of the fund during each such interval, and
(ii) such intervals end at the end of a fiscal year of the fund;
(f) the amount of the income payable during a fiscal year of the fund shall be determined in accordance with the provisions contained in subsections (2), (3), (4), (5) and (6) and the contract shall specifically include those provisions;
(g) sections 27 to 33 apply with the necessary modifications to the division of the money in the fund on the breakdown of a marriage or common-law partnership; and
(h) the contract shall specifically provide in writing for the requirements of subsections (6.1), (7), (8) and (9).
22(2)Subject to subsections (3), (4) and (5), the amount of income payable under subsection (1) during a fiscal year of a life income fund shall not be more than “M” or less than “m”, where “M” and “m” are calculated using the following formulas:
M 
 = 
C
, and
F
m 
 = 
C
H
and where
C =
the balance of money in the fund on the first day of the fiscal year;
 
F =
the value, on the first day of the fiscal year, of a guaranteed pension, the annual payment of which is one dollar payable on the first day of each fiscal year between the first day of the fiscal year and the thirty-first day of December, inclusive, of the year in which the owner attains the age of ninety years; and
 
H =
the number of years between the first day of January of the year in which the calculation is made and the thirty-first day of December of the year in which the owner attains the age of ninety years, inclusive.
22(3)For the purposes of subsection (2), for the first fiscal year of the fund, “m” shall be equal to zero.
22(4)If the money in a fund is derived from money transferred directly or indirectly during the first fiscal year of the fund from another life income fund of the owner, “M” shall be equal to zero.
22(5)The value of “F” in a calculation under subsection (2) shall be established by the parties to the contract at the beginning of each fiscal year of the fund using
(a) an interest rate of not more than six per cent per year, or
(b) for the first fifteen years after the valuation of the fund, an interest rate exceeding six per cent per year if that rate does not exceed the interest rate obtained on long-term bonds issued by the government of Canada for the month of November preceding the calendar year in which the calculation is made, as published in the Bank of Canada Review as CANSIM Series B14013 and using an interest rate not exceeding six per cent per year in subsequent years.
22(6)If the amount of income payable to an owner is established under paragraph (1)(e) at intervals that are greater than one year
(a) subsections (2) to (5) apply with the necessary modifications to the establishment of the amount of income payable in each fiscal year in the interval, and
(b) the amount shall be established at the beginning of the first fiscal year in the interval.
22(6.1)Despite subsection (2), an owner and, if applicable, his or her spouse or common-law partner may request that the Superintendent approve the transfer of an amount from a life income fund to a registered retirement income fund as defined in the Income Tax Act (Canada) that is not a life income fund by completing and filing with the Superintendent the forms provided by the Superintendent, and the Superintendent shall approve the transfer if
(a) an amount has never previously been transferred under this subsection on behalf of the owner, and
(b) the amount to be transferred is not greater than the maximum unlocking amount.
22(7)At the beginning of the fiscal year of each life income fund, until the date on which all the money in the fund is converted into a life or deferred life annuity or transferred to another retirement savings arrangement that conforms to the Act and this Regulation or to similar legislation in another jurisdiction, the financial institution that is a party to the contract under which the fund is created shall provide to the owner of the fund a statement indicating
(a) the amount of money deposited, its source, the accumulated earnings of the fund and the withdrawals from the fund during the immediately preceding fiscal year,
(b) any fees deducted since the preparation of the previous such statement and the balance of the money in the fund at the beginning of the fiscal year of the fund,
(c) the maximum amount that may be paid to the owner as income during the fiscal year, and
(d) the minimum amount that must be paid to the owner as income during the fiscal year.
22(8)If the owner of a life income fund dies before the conversion of the balance of the money in the fund into a life annuity, the financial institution that is a party to the contract under which the fund is created shall provide the owner’s spouse, common-law partner, beneficiary, administrator or executor, as the case may be, with a statement containing the information listed in paragraphs (7)(a) and (b), determined as of the date of the owner’s death.
22(9)If the balance of the money in a life income fund is, under a contract, converted to a life or deferred life annuity or transferred to another retirement savings arrangement that conforms to the Act and this Regulation or to similar legislation in another jurisdiction, the financial institution that is a party to the contract under which the life income fund is created shall provide the owner with a statement containing the information listed in paragraphs (7)(a) and (b), determined as of the date of the conversion or transfer.
22(10)A contract under which a life income fund is created shall contain undertakings by the financial institution that is a party to the contract to fulfill the requirements of subsections (7), (8) and (9).
22(11)Subsections 21(4) to (14) apply with the necessary modifications if the commuted value of a deferred pension is to be transferred to a life income fund under the Act.
94-78; 2001-1; 2002, c.12, s.32; 2011-60; 2015-59
Transfer to life income fund
22(1)The following provisions apply to a contract between an owner and a financial institution acting as a trustee for a life income fund referred to in paragraph 20(b) and, if a conflict exists between this subsection and the terms of a contract, this subsection shall prevail:
(a) the provisions of subsection 21(2) with the necessary modifications;
(b) the owner of the fund shall be paid an income, the amount of which may vary annually, until the day on which the entire balance of the money in the fund is converted into a life annuity;
(c) payment of the income to the owner shall commence not later than the last day of the second fiscal year of the fund;
(d) the fiscal year of the fund shall end at midnight on the thirty-first day of December in each year and shall not exceed twelve months in length;
(e) the amount of income payable during each fiscal year of the fund shall be established by the owner once every year at the beginning of the fiscal year of the fund, or at intervals of greater than one year if
(i) the financial institution that is a party to the contract guarantees the rate of return of the fund during each such interval, and
(ii) such intervals end at the end of a fiscal year of the fund;
(f) the amount of the income payable during a fiscal year of the fund shall be determined in accordance with the provisions contained in subsections (2), (3), (4), (5) and (6) and the contract shall specifically include those provisions;
(g) sections 27 to 33 apply with the necessary modifications to the division of the money in the fund on the breakdown of a marriage or common-law partnership; and
(h) the contract shall specifically provide in writing for the requirements of subsections (6.1), (7), (8) and (9).
22(2)Subject to subsections (3), (4) and (5), the amount of income payable under subsection (1) during a fiscal year of a life income fund shall not be more than “M” or less than “m”, where “M” and “m” are calculated using the following formulas:
M 
 = 
C
, and
F
m 
 = 
C
H
and where
C =
the balance of money in the fund on the first day of the fiscal year;
 
F =
the value, on the first day of the fiscal year, of a guaranteed pension, the annual payment of which is one dollar payable on the first day of each fiscal year between the first day of the fiscal year and the thirty-first day of December, inclusive, of the year in which the owner attains the age of ninety years; and
 
H =
the number of years between the first day of January of the year in which the calculation is made and the thirty-first day of December of the year in which the owner attains the age of ninety years, inclusive.
22(3)For the purposes of subsection (2), for the first fiscal year of the fund, “m” shall be equal to zero.
22(4)If the money in a fund is derived from money transferred directly or indirectly during the first fiscal year of the fund from another life income fund of the owner, “M” shall be equal to zero.
22(5)The value of “F” in a calculation under subsection (2) shall be established by the parties to the contract at the beginning of each fiscal year of the fund using
(a) an interest rate of not more than six per cent per year, or
(b) for the first fifteen years after the valuation of the fund, an interest rate exceeding six per cent per year if that rate does not exceed the interest rate obtained on long-term bonds issued by the government of Canada for the month of November preceding the calendar year in which the calculation is made, as published in the Bank of Canada Review as CANSIM Series B14013 and using an interest rate not exceeding six per cent per year in subsequent years.
22(6)If the amount of income payable to an owner is established under paragraph (1)(e) at intervals that are greater than one year
(a) subsections (2) to (5) apply with the necessary modifications to the establishment of the amount of income payable in each fiscal year in the interval, and
(b) the amount shall be established at the beginning of the first fiscal year in the interval.
22(6.1)Notwithstanding subsection (2), an owner may request that the Superintendent approve the transfer of an amount from a life income fund to a registered retirement income fund as defined in the Income Tax Act (Canada) that is not a life income fund by filing with the Superintendent completed Forms 3.3 and 3.4, and the Superintendent shall approve the transfer if
(a) an amount has never previously been transferred under this subsection on behalf of the owner, and
(b) the amount to be transferred is not greater than the maximum unlocking amount.
22(7)At the beginning of the fiscal year of each life income fund, until the date on which all the money in the fund is converted into a life or deferred life annuity or transferred to another retirement savings arrangement that conforms to the Act and this Regulation or to similar legislation in another jurisdiction, the financial institution that is a party to the contract under which the fund is created shall provide to the owner of the fund a statement indicating
(a) the amount of money deposited, its source, the accumulated earnings of the fund and the withdrawals from the fund during the immediately preceding fiscal year,
(b) any fees deducted since the preparation of the previous such statement and the balance of the money in the fund at the beginning of the fiscal year of the fund,
(c) the maximum amount that may be paid to the owner as income during the fiscal year, and
(d) the minimum amount that must be paid to the owner as income during the fiscal year.
22(8)If the owner of a life income fund dies before the conversion of the balance of the money in the fund into a life annuity, the financial institution that is a party to the contract under which the fund is created shall provide the owner’s spouse, common-law partner, beneficiary, administrator or executor, as the case may be, with a statement containing the information listed in paragraphs (7)(a) and (b), determined as of the date of the owner’s death.
22(9)If the balance of the money in a life income fund is, under a contract, converted to a life or deferred life annuity or transferred to another retirement savings arrangement that conforms to the Act and this Regulation or to similar legislation in another jurisdiction, the financial institution that is a party to the contract under which the life income fund is created shall provide the owner with a statement containing the information listed in paragraphs (7)(a) and (b), determined as of the date of the conversion or transfer.
22(10)A contract under which a life income fund is created shall contain undertakings by the financial institution that is a party to the contract to fulfill the requirements of subsections (7), (8) and (9).
22(11)Subsections 21(4) to (14) apply with the necessary modifications if the commuted value of a deferred pension is to be transferred to a life income fund under the Act.
94-78; 2001-1; 2002, c.12, s.32; 2011-60
Transfer to life income fund
22(1)The following provisions apply to a contract between an owner and a financial institution acting as a trustee for a life income fund referred to in paragraph 20(b) and, if a conflict exists between this subsection and the terms of a contract, this subsection shall prevail:
(a) the provisions of subsection 21(2) with the necessary modifications;
(b) the owner of the fund shall be paid an income, the amount of which may vary annually, until the day on which the entire balance of the money in the fund is converted into a life annuity;
(c) payment of the income to the owner shall commence not later than the last day of the second fiscal year of the fund;
(d) the fiscal year of the fund shall end at midnight on the thirty-first day of December in each year and shall not exceed twelve months in length;
(e) the amount of income payable during each fiscal year of the fund shall be established by the owner once every year at the beginning of the fiscal year of the fund, or at intervals of greater than one year if
(i) the financial institution that is a party to the contract guarantees the rate of return of the fund during each such interval, and
(ii) such intervals end at the end of a fiscal year of the fund;
(f) the amount of the income payable during a fiscal year of the fund shall be determined in accordance with the provisions contained in subsections (2), (3), (4), (5) and (6) and the contract shall specifically include those provisions;
(g) sections 27 to 33 apply with the necessary modifications to the division of the money in the fund on the breakdown of a marriage or common-law partnership; and
(h) the contract shall specifically provide in writing for the requirements of subsections (6.1), (7), (8) and (9).
22(2)Subject to subsections (3), (4) and (5), the amount of income payable under subsection (1) during a fiscal year of a life income fund shall not be more than “M” or less than “m”, where “M” and “m” are calculated using the following formulas:
M 
 = 
C
, and
F
m 
 = 
C
H
and where
C =
the balance of money in the fund on the first day of the fiscal year;
 
F =
the value, on the first day of the fiscal year, of a guaranteed pension, the annual payment of which is one dollar payable on the first day of each fiscal year between the first day of the fiscal year and the thirty-first day of December, inclusive, of the year in which the owner attains the age of ninety years; and
 
H =
the number of years between the first day of January of the year in which the calculation is made and the thirty-first day of December of the year in which the owner attains the age of ninety years, inclusive.
22(3)For the purposes of subsection (2), for the first fiscal year of the fund, “m” shall be equal to zero.
22(4)If the money in a fund is derived from money transferred directly or indirectly during the first fiscal year of the fund from another life income fund of the owner, “M” shall be equal to zero.
22(5)The value of “F” in a calculation under subsection (2) shall be established by the parties to the contract at the beginning of each fiscal year of the fund using
(a) an interest rate of not more than six per cent per year, or
(b) for the first fifteen years after the valuation of the fund, an interest rate exceeding six per cent per year if that rate does not exceed the interest rate obtained on long-term bonds issued by the government of Canada for the month of November preceding the calendar year in which the calculation is made, as published in the Bank of Canada Review as CANSIM Series B14013 and using an interest rate not exceeding six per cent per year in subsequent years.
22(6)If the amount of income payable to an owner is established under paragraph (1)(e) at intervals that are greater than one year
(a) subsections (2) to (5) apply with the necessary modifications to the establishment of the amount of income payable in each fiscal year in the interval, and
(b) the amount shall be established at the beginning of the first fiscal year in the interval.
22(6.1)Notwithstanding subsection (2), an owner may request that the Superintendent approve the transfer of an amount from a life income fund to a registered retirement income fund as defined in the Income Tax Act (Canada) that is not a life income fund by filing with the Superintendent completed Forms 3.3 and 3.4, and the Superintendent shall approve the transfer if
(a) an amount has never previously been transferred under this subsection on behalf of the owner, and
(b) the amount to be transferred is not greater than the maximum unlocking amount.
22(7)At the beginning of the fiscal year of each life income fund, until the date on which all the money in the fund is converted into a life or deferred life annuity or transferred to another retirement savings arrangement that conforms to the Act and this Regulation or to similar legislation in another jurisdiction, the financial institution that is a party to the contract under which the fund is created shall provide to the owner of the fund a statement indicating
(a) the amount of money deposited, its source, the accumulated earnings of the fund and the withdrawals from the fund during the immediately preceding fiscal year,
(b) any fees deducted since the preparation of the previous such statement and the balance of the money in the fund at the beginning of the fiscal year of the fund,
(c) the maximum amount that may be paid to the owner as income during the fiscal year, and
(d) the minimum amount that must be paid to the owner as income during the fiscal year.
22(8)If the owner of a life income fund dies before the conversion of the balance of the money in the fund into a life annuity, the financial institution that is a party to the contract under which the fund is created shall provide the owner’s spouse, common-law partner, beneficiary, administrator or executor, as the case may be, with a statement containing the information listed in paragraphs (7)(a) and (b), determined as of the date of the owner’s death.
22(9)If the balance of the money in a life income fund is, under a contract, converted to a life or deferred life annuity or transferred to another retirement savings arrangement that conforms to the Act and this Regulation or to similar legislation in another jurisdiction, the financial institution that is a party to the contract under which the life income fund is created shall provide the owner with a statement containing the information listed in paragraphs (7)(a) and (b), determined as of the date of the conversion or transfer.
22(10)A contract under which a life income fund is created shall contain undertakings by the financial institution that is a party to the contract to fulfill the requirements of subsections (7), (8) and (9).
22(11)Subsections 21(4) to (14) apply with the necessary modifications if the commuted value of a deferred pension is to be transferred to a life income fund under the Act.
94-78; 2001-1; 2002, c.12, s.32; 2011-60
Transfer to life income fund
22(1)The following provisions apply to a contract between an owner and a financial institution acting as a trustee for a life income fund referred to in paragraph 20(b) and, if a conflict exists between this subsection and the terms of a contract, this subsection shall prevail:
(a) the provisions of subsection 21(2) with the necessary modifications;
(b) the owner of the fund shall be paid an income, the amount of which may vary annually, until the day on which the entire balance of the money in the fund is converted into a life annuity;
(c) payment of the income to the owner shall commence not later than the last day of the second fiscal year of the fund;
(d) the fiscal year of the fund shall end at midnight on the thirty-first day of December in each year and shall not exceed twelve months in length;
(e) the amount of income payable during each fiscal year of the fund shall be established by the owner once every year at the beginning of the fiscal year of the fund, or at intervals of greater than one year if
(i) the financial institution that is a party to the contract guarantees the rate of return of the fund during each such interval, and
(ii) such intervals end at the end of a fiscal year of the fund;
(f) the amount of the income payable during a fiscal year of the fund shall be determined in accordance with the provisions contained in subsections (2), (3), (4), (5) and (6) and the contract shall specifically include those provisions;
(g) sections 27 to 33 apply with the necessary modifications to the division on marriage breakdown of the money in the fund; and
(h) the contract shall specifically provide in writing for the requirements of subsections (6.1), (7), (8) and (9).
22(2)Subject to subsections (3), (4) and (5), the amount of income payable under subsection (1) during a fiscal year of a life income fund shall not be more than “M” or less than “m”, where “M” and “m” are calculated using the following formulas:
M 
 = 
C
, and
F
m 
 = 
C
H
and where
C =
the balance of money in the fund on the first day of the fiscal year;
 
F =
the value, on the first day of the fiscal year, of a guaranteed pension, the annual payment of which is one dollar payable on the first day of each fiscal year between the first day of the fiscal year and the thirty-first day of December, inclusive, of the year in which the owner attains the age of ninety years; and
 
H =
the number of years between the first day of January of the year in which the calculation is made and the thirty-first day of December of the year in which the owner attains the age of ninety years, inclusive.
22(3)For the purposes of subsection (2), for the first fiscal year of the fund, “m” shall be equal to zero.
22(4)If the money in a fund is derived from money transferred directly or indirectly during the first fiscal year of the fund from another life income fund of the owner, “M” shall be equal to zero.
22(5)The value of “F” in a calculation under subsection (2) shall be established by the parties to the contract at the beginning of each fiscal year of the fund using
(a) an interest rate of not more than six per cent per year, or
(b) for the first fifteen years after the valuation of the fund, an interest rate exceeding six per cent per year if that rate does not exceed the interest rate obtained on long-term bonds issued by the government of Canada for the month of November preceding the calendar year in which the calculation is made, as published in the Bank of Canada Review as CANSIM Series B14013 and using an interest rate not exceeding six per cent per year in subsequent years.
22(6)If the amount of income payable to an owner is established under paragraph (1)(e) at intervals that are greater than one year
(a) subsections (2) to (5) apply with the necessary modifications to the establishment of the amount of income payable in each fiscal year in the interval, and
(b) the amount shall be established at the beginning of the first fiscal year in the interval.
22(6.1)Notwithstanding subsection (2), an owner may request that the Superintendent approve the transfer of an amount from a life income fund to a registered retirement income fund as defined in the Income Tax Act (Canada) that is not a life income fund by filing with the Superintendent completed Forms 3.3 and 3.4, and the Superintendent shall approve the transfer if
(a) an amount has never previously been transferred under this subsection on behalf of the owner, and
(b) the amount to be transferred is not greater than the maximum unlocking amount.
22(7)At the beginning of the fiscal year of each life income fund, until the date on which all the money in the fund is converted into a life or deferred life annuity or transferred to another retirement savings arrangement that conforms to the Act and this Regulation or to similar legislation in another jurisdiction, the financial institution that is a party to the contract under which the fund is created shall provide to the owner of the fund a statement indicating
(a) the amount of money deposited, its source, the accumulated earnings of the fund and the withdrawals from the fund during the immediately preceding fiscal year,
(b) any fees deducted since the preparation of the previous such statement and the balance of the money in the fund at the beginning of the fiscal year of the fund,
(c) the maximum amount that may be paid to the owner as income during the fiscal year, and
(d) the minimum amount that must be paid to the owner as income during the fiscal year.
22(8)If the owner of a life income fund dies before the conversion of the balance of the money in the fund into a life annuity, the financial institution that is a party to the contract under which the fund is created shall provide the owner’s spouse, beneficiary, administrator or executor, as the case may be, with a statement containing the information listed in paragraphs (7)(a) and (b), determined as of the date of the owner’s death.
22(9)If the balance of the money in a life income fund is, under a contract, converted to a life or deferred life annuity or transferred to another retirement savings arrangement that conforms to the Act and this Regulation or to similar legislation in another jurisdiction, the financial institution that is a party to the contract under which the life income fund is created shall provide the owner with a statement containing the information listed in paragraphs (7)(a) and (b), determined as of the date of the conversion or transfer.
22(10)A contract under which a life income fund is created shall contain undertakings by the financial institution that is a party to the contract to fulfill the requirements of subsections (7), (8) and (9).
22(11)Subsections 21(4) to (14) apply with the necessary modifications if the commuted value of a deferred pension is to be transferred to a life income fund under the Act.
94-78; 2001-1; 2002, c.12, s.32