Income Tax Act — I-3.3 147
nt expressly permitted in writing by the Minister, and, for the purposes of this subsection, an amount paid to a trustee of a deferred profit sharing plan in the first two months of a calendar year shall be deemed to have been paid in the immediately preceding year and not to have been paid in the year to the extent that the amount can reasonably be considered to be in respect of the immediately preceding year. No deduction (9.1) Notwithstanding subsection 147(8), no deduction shall be made in computing the income of an employer for a taxation year in respect of an amount paid by the employer for the year to a trustee under a deferred profit sharing plan in respect of a beneficiary who is described in paragraph 147(2)(k.2) in respect of the plan. Amounts received taxable (10) There shall be included in computing the income of a beneficiary under a deferred profit sharing plan for a taxation year the amount, if any, by which (a) the total of all amounts received by the beneficiary in the year from a trustee under the plan (other than as a result of acquiring an annuity described in subparagraph 147(2)(k)(vi) under which the beneficiary is the annuitant) exceeds (b) the total of all amounts each of which is an amount determined for the year under subsection 147(10.1), 147(11) or 147(12) in relation to the plan and in respect of the beneficiary. Single payment on retirement, etc. (10.1) For the purposes of subsections 147(10) and 147(10.2), where a beneficiary under a deferred profit sharing plan has received, in a taxation year and when the beneficiary was resident in Canada, from a trustee under the plan a single payment that included shares of the capital stock of a corporation that was an employer who contributed to the plan or of a corporation with which the employer did not deal at arm’s length on the beneficiary’s withdrawal from the plan or retirement from employment or on the death of an employee or former employee and has made an election in respect thereof in prescribed manner and prescribed form, the amount determined for the year under this subsection in relation to the plan and in respect of the beneficiary is the amount, if any, by which the fair market value of those shares, immediately before the single payment was made, exceeds the cost amount to the plan of those shares at that time. Idem (10.2) Where a trustee under a deferred profit sharing plan has at any time in a taxation year made under the plan a single payment that included shares referred to in subsection 147(10.1) to a beneficiary who was resident in Canada at the time and the beneficiary has made an election under that subsection in respect of that payment, (a) the trustee shall be deemed to have disposed of those shares for proceeds of disposition equal to the cost amount to the trust of those shares immediately before the single payment was made; (b) the cost to the beneficiary of those shares shall be deemed to be their cost amount to the trust immediately before the single payment was made; (c) the cost to the beneficiary of each of those shares shall be deemed to be the amount determined by the formula A × B/C where A is the amount determined under paragraph 147(10.2)(a) in respect of all of those shares, B is the fair market value of that share at the time the single payment was made, and C is the fair market value of all those shares at the time the single payment was made; and (d) for the purposes of paragraph 60(j), the cost to the beneficiary of those shares is an eligible amount in respect of the beneficiary for the year. Amount contributed to or forfeited under a plan (10.3) There shall be included in computing the income for a taxation year of a beneficiary described in paragraph 147(2)(k.2) the total of amounts allocated or reallocated to the beneficiary in the year in respect of (a) any amount contributed after December 1, 1982 by an employer to, or (b) any forfeited amount under a deferred profit sharing plan or a plan the registratio