Income Tax Regulations — 8308
8308 (1) For the purposes of this Part and subsection 147.1(10) of the Act, benefits that became provided under a defined benefit provision of a pension plan before the day as of which the plan becomes a registered pension plan shall be deemed to have become provided as a consequence of an event occurring on that day and not to have been provided before that day. Prescribed Amount for Connected Persons (2) Where (a) at any particular time in a calendar year after 1990, (i) an individual becomes a member of a registered pension plan, or (ii) lifetime retirement benefits commence to accrue to the individual under a defined benefit provision of a registered pension plan following a period in which lifetime retirement benefits did not accrue to the individual, (b) the individual is connected at the particular time, or was connected at any time after 1989, with an employer who participates in the plan for the benefit of the individual, (c) the individual did not have a pension adjustment for 1990 that was greater than nil, and (d) this subsection did not apply before the particular time to prescribe an amount with respect to the individual, an amount equal to the lesser of $11,500 and 18% of the individual’s earned income (as defined in subsection 146(1) of the Act) for 1990 is prescribed with respect to the individual for the calendar year that includes the particular time for the purposes of the descriptions of B in the definitions RRSP deduction limit and unused RRSP deduction room in subsection 146(1) of the Act and the description of B in paragraph 204.2(1.1)(b) of the Act. Remuneration for Prior Years (3) Where an individual who is entitled to benefits under a defined benefit provision of a registered pension plan receives remuneration at a particular time in a particular calendar year no part of which is pensionable service of the individual under the provision and the remuneration is treated for the purpose of determining benefits under the provision as if it were remuneration received in one or more calendar years preceding the particular calendar year for services rendered in those preceding years, the following rules apply: (a) such portion of the remuneration as is treated under the provision as if it were remuneration received in a preceding calendar year for services rendered in that preceding year shall be deemed, for the purpose of determining, as of the particular time and any subsequent time, a redetermined benefit entitlement of the individual under the provision, to have been received in that preceding year for services rendered in that preceding year; and (b) the pension credit of the individual for the particular year under the provision with respect to an employer is the aggregate of (i) the amount that would otherwise be the individual’s pension credit for the particular year, and (ii) the amount that would, if the payment of the remuneration were a past service event, be the provisional PSPA (or a reasonable estimate thereof determined in a manner acceptable to the Minister) of the individual with respect to the employer that is associated with the payment of the remuneration. Period of Reduced Services — Retroactive Benefits (4) Where, (a) as a consequence of a past service event, retirement benefits (in this subsection referred to as “retroactive benefits”) become provided under a defined benefit provision of a registered pension plan (other than a plan that is a specified multi-employer plan) to an individual in respect of a period of reduced services of the individual, (b) the period of reduced services was not, before the past service event, pensionable service of the individual under the provision, and (c) the past service event occurs on or before April 30 of the year immediately following the calendar year in which ends the complete period of reduced services of the individual that includes the period of reduced services, the following rules apply: (d) each pension adjustment of the individual with