Income Tax Act — I-3.3 68
68 (1) The definition retirement income fund in subsection 146.3(1) of the Act is replaced by the following: retirement income fund means an arrangement (a) between a carrier and an annuitant under which, in consideration for the transfer to the carrier of property, the carrier undertakes to pay amounts to the annuitant (and, if the annuitant so elects, to the annuitant’s spouse or common-law partner after the annuitant’s death), the total of which is, in each year in which the minimum amount under the arrangement for the year is greater than nil, not less than the minimum amount under the arrangement for that year, but the amount of any such payment does not exceed the value of the property held in connection with the arrangement immediately before the time of the payment, or (b) established at the direction of an unclaimed property authority to receive property from a RRIF, RRSP or registered pension plan in respect of an unlocated individual. ( fonds de revenu de retraite ) (2) The portion of the definition designated benefit in subsection 146.3(1) of the Act before paragraph (a) is replaced by the following: designated benefit of an individual in respect of a RRIF (other than an arrangement described in paragraph (b) of the definition retirement income fund in this subsection) means the total of (3) The portion of the definition carrier in subsection 146.3(1) of the English version of the Act after paragraph (d) is repealed. (4) The portion of the definition émetteur in subsection 146.3(1) of the French version of the Act before paragraph (a) is replaced by the following: émetteur À l’égard d’un fonds de revenu de retraite, l’une des personnes suivantes : (5) Section 146.3 of the Act is amended by adding the following after subsection (1.5): Nil minimum amount (1.6) Despite the definition minimum amount in subsection (1), and subject to subsection (1.7), the minimum amount under a retirement income fund for a year is nil, if at the beginning of the year the fund is held under the direction of an unclaimed property authority in respect of an unlocated individual. Accumulated minimum amount (1.7) If an unclaimed property authority directs a carrier of a retirement income fund to transfer all or part of the property held in connection with the fund to a RRIF of an individual who is entitled to claim the property in accordance with applicable law, (a) despite the definition minimum amount in subsection (1), the minimum amount under the fund for the year that includes the transfer is equal to the total of all amounts each of which is the minimum amount that, in the absence of this subsection and subsection (1.6), would have been the minimum amount under the fund in the year of the transfer or a preceding year to which subsection (1.6) applied; and (b) an amount that is not less than the minimum amount determined under paragraph (a) must be paid directly to the individual from the fund before the first such transfer. (6) Section 146.3 of the Act is amended by adding the following after subsection (2): Idem (2.1) Despite subsection (2), the Minister may accept for registration for the purposes of this Act any arrangement that does not meet the conditions in subsection (2) if the arrangement is described in paragraph (b) of the definition retirement income fund in subsection (1). (7) Subsection 146.3(5) of the Act is amended by striking out “or” at the end of paragraph (c), by adding “or” at the end of paragraph (d) and by adding the following after paragraph (d): (e) an amount that is paid or transferred to an unclaimed property authority in respect of an unlocated individual. (8) Section 146.3 of the Act is amended by adding the following after subsection (15): Unclaimed property authority (16) If an unclaimed property authority has established a RRIF to receive property in respect of an unlocated individual, (a) subsections (6) to (6.4) do not apply to the unlocated individual in respect of the property (or property substituted