Income Tax Regulations — 8301
roughout the period beginning on January 1, 1981 and ending on December 31 of a particular calendar year after 1989 and before 2000, there has been subtracted, in determining the amount of lifetime retirement benefits under a defined benefit provision of a registered pension plan (other than a specified multi-employer plan), the amount of lifetime retirement benefits under a money purchase provision of the plan or of another registered pension plan, (b) lifetime retirement benefits under the defined benefit provision are determined, at the end of the particular year, in substantially the same manner as they were determined at the end of 1989, and (c) for each individual and each calendar year before 1990, the amount of employer contributions made under the money purchase provision for the year with respect to the individual did not exceed $3,500, the pension credit of an individual for the particular year with respect to an employer under the defined benefit provision is equal to the amount, if any, by which (d) the amount that would, but for this subsection, be the individual’s pension credit exceeds (e) the lesser of (i) $2,500, and (ii) the amount determined by the formula 1/10 × (A - (B × C)) where A is the balance in the individual’s account under the money purchase provision at the end of 1989, B is the aggregate of all amounts each of which is the duration (measured in years, including any fraction of a year) of a period ending before 1990 that is pensionable service of the individual under the defined benefit provision and that is not part of a longer period ending before 1990 that is pensionable service of the individual under the provision, and C is the amount that would be the individual’s pension credit for 1989 with respect to the employer under the defined benefit provision if subsection (6) were read without reference to the words “if the year is after 1989” in paragraph (6)(a) and without reference to paragraph (6)(b). Timing of Contributions (11) Subject to paragraph (12)(b), for the purposes of this Part, a contribution made by an employer in the first two months of a calendar year to a deferred profit sharing plan, in respect of a money purchase provision of a registered pension plan, or in respect of a defined benefit provision of a registered pension plan that was, in the immediately preceding calendar year, a specified multi-employer plan, shall be deemed to have been made by the employer at the end of the immediately preceding calendar year and not to have been made in the year, to the extent that the contribution can reasonably be considered to relate to a preceding calendar year. Indirect Contributions (12) For the purposes of this Part and Part LXXXIV, where a trade union or association of employers (in this subsection and subsections (13) and (14) referred to as the “contributing entity”) makes contributions to a registered pension plan, (a) such portion of a payment made to the contributing entity by an employer or individual as may reasonably be considered to relate to the plan (determined in accordance with subsection (13), where that subsection is applicable) shall be deemed to be a contribution made to the plan by the employer or individual, as the case may be, at the time the payment was made to the contributing entity; and (b) subsection (11) shall not apply in respect of a contribution deemed by paragraph (a) to have been made to the plan. Apportionment of Payments (13) For the purposes of subsection (12), where employers or individuals make payments in a calendar year to a contributing entity to enable the contributing entity to make contributions to a registered pension plan and the payments are not made solely for the purpose of being contributed to the plan, the contributing entity shall (a) determine, in a manner that is reasonable in the circumstances, the portion of each payment that relates to the plan; (b) make the determination in such a manner that all contributions made by the con