Pooled Registered Pension Plans Regulations — 40
ars of age or in any subsequent calendar year, the funds may be paid to the holder in a lump sum if the holder (i) certifies that the total value of all assets in all locked-in RRSPs, life income funds, restricted locked-in savings plans and restricted life income funds that were created as a result of the transfer, a transfer under the Pension Benefits Standards Act, 1985 or a transfer from another PRPP is not more than 50% of the Year’s Maximum Pensionable Earnings, and (ii) obtains the consent of their spouse or common law partner, if any, and completes and gives a copy of Form 2 and Form 3 of the schedule to the financial institution with whom the contract or arrangement for the restricted life income fund was entered into; (k) provides that the holder of the restricted life income fund may withdraw an amount from that fund up to the lesser of the amount determined by the formula set out in subsection 38(2) and 50% of the Year’s Maximum Pensionable Earnings minus any amount withdrawn in the calendar year under this paragraph or paragraph 38(1)(e), 39(1)(f) or 41(1)(k) (i) if the holder certifies that they have not made a withdrawal in the calendar year under this paragraph or paragraph 38(1)(e), 39(1)(f) or 41(1)(k) other than within the last 30 days before the day on which the certification is made, (ii) if, (A) in the event that the value determined for M in subsection 38(2) is greater than zero, (I) the holder certifies that they expect to make expenditures on a medical or disability-related treatment or adaptive technology during the calendar year in excess of 20% of the holder’s expected income for that calendar year determined in accordance with the Income Tax Act , other than any amount withdrawn in the calendar year under this paragraph or paragraph 38(1)(e), 39(1)(f) or 41(1)(k), and (II) a physician certifies that the medical or disability-related treatment or adaptive technology is required, or (B) the holder’s expected income for the calendar year determined in accordance with the Income Tax Act — other than any amount withdrawn under this paragraph or paragraph 38(1)(e), 39(1)(f) or 41(1)(k) within the last 30 days before the day on which the certification is made — is less than 75% of the Year’s Maximum Pensionable Earnings, and (iii) if the holder obtains the consent of their spouse or common law partner, if any, and completes and gives a copy of Form 1 and Form 2 of the schedule to the financial institution with whom the contract or arrangement for the restricted life income fund was entered into; (l) provides that, if the restricted life income fund is established in the calendar year in which the holder of the fund reaches 55 years of age or in any subsequent calendar year, the holder of the fund may transfer 50% of the funds in that fund to a registered retirement savings plan or a registered retirement income fund within 60 days after the day on which the restricted life income fund is established if (i) the restricted life income fund was created as the result of the transfer, a transfer under the Pension Benefits Standards Act, 1985 , a transfer from another PRPP or a transfer from a locked-in RRSP or a life income fund, and (ii) the holder obtains the consent of their spouse or common law partner, if any, and completes and gives a copy of Form 2 of the schedule to the financial institution with whom the contract or arrangement for the restricted life income fund was entered into; and (m) provides that the holder of the restricted life income fund who has ceased to be a resident of Canada for at least two years may withdraw any amount from that fund. Lump sum (2) The restricted life income fund shall provide that the funds may be paid to the holder in a lump sum if a physician certifies that, owing to mental or physical disability, the holder’s life expectancy is likely to be considerably shortened. SOR/2015-60, s. 59; SOR/2017-145, s. 14