Income Tax Act — I-3.3 147.3
ter has so notified the administrator of the transferor plan in writing. Transfer where money purchase plan replaces defined benefit plan (8) An amount is transferred from a registered pension plan (in this subsection referred to as the “transferor plan”) in accordance with this subsection if (a) the amount is a single amount; (b) the amount is transferred in respect of the actuarial surplus under a defined benefit provision of the transferor plan; (c) the amount is transferred directly to another registered pension plan to be held in connection with a money purchase provision of the other plan; (d) the amount is transferred in conjunction with the transfer of amounts from the defined benefit provision to the money purchase provision on behalf of all or a significant number of members of the transferor plan whose benefits under the defined benefit provision are replaced by benefits under the money purchase provision; and (e) the transfer is acceptable to the Minister and the Minister has so notified the administrator of the transferor plan in writing. Taxation of amount transferred (9) Where an amount is transferred in accordance with any of subsections 147.3(1) to (8), (a) the amount shall not, by reason only of that transfer, be included by reason of subparagraph 56(1)(a)(i) in computing the income of any taxpayer; and (b) no deduction may be made under any provision of this Act in respect of the amount in computing the income of any taxpayer. Idem (10) Where, on behalf of an individual, an amount is transferred from a registered pension plan (in this subsection referred to as the “transferor plan”) to another plan or fund (in this subsection referred to as the “transferee plan”) that is a registered pension plan, a registered retirement savings plan or a registered retirement income fund and the transfer is not in accordance with any of subsections 147.3(1) to (7), (a) the amount is deemed to have been paid from the transferor plan to the individual; (b) subject to paragraph 147.3(10)(c), the individual shall be deemed to have paid the amount as a contribution or premium to the transferee plan; and (c) where the transferee plan is a registered retirement income fund, for the purposes of subsection 146(5) and Part X.1, the individual shall be deemed to have paid the amount at the time of the transfer as a premium under a registered retirement savings plan under which the individual was the annuitant (within the meaning assigned by subsection 146(1)). Division of transferred amount (11) Where an amount is transferred from a registered pension plan to another registered pension plan, to a registered retirement savings plan or to a registered retirement income fund and a portion, but not all, of the amount is transferred in accordance with any of subsections 147.3(1) to (8), (a) subsection 147.3(9) applies with respect to the portion of the amount that is transferred in accordance with any of subsections 147.3(1) to (8); and (b) subsection 147.3(10) applies with respect to the remainder of the amount. Restriction re transfers (12) A registered pension plan becomes a revocable plan at any time that an amount is transferred from the plan to another registered pension plan, to a registered retirement savings plan or to a registered retirement income fund unless (a) the amount is transferred in accordance with any of subsections 147.3(1) to (8); or (b) where the amount is transferred on behalf of an individual, (i) the amount is deductible by the individual under paragraph 60(j) or (j.2), or (ii) the Pension Benefits Standards Act, 1985 or a similar law of a province prohibits the payment of the amount to the individual. Excess transfer (13) Where (a) the transfer in a calendar year of an amount from a registered pension plan on behalf of a member of the plan would, but for this subsection, be in accordance with subsection 147.3(1) or (2), and (b) the plan becomes, at the end of the year, a revocable plan as a consequence of an exc