C-290
Second Session, Fortieth Parliament,
57 Elizabeth II, 2009
HOUSE OF COMMONS OF CANADA
BILL C-290
An Act to amend the Income Tax Act (tax credit for loss of retirement income)
first reading, February 5, 2009
Mr. Bellavance
402082
SUMMARY
This enactment amends the Income Tax Act to provide a refundable tax credit to an individual whose employer, and certain employees of that employer, failed to make the contributions required to be made to a registered pension plan.
Also available on the Parliament of Canada Web Site at the following address:http://www.parl.gc.ca
2nd Session, 40th Parliament,
57 Elizabeth II, 2009
house of commons of canada
BILL C-290
An Act to amend the Income Tax Act (tax credit for loss of retirement income)
R.S., c.1 (5th Supp.)
Her Majesty, by and with the advice and consent of the Senate and the House of Commons of Canada, enacts as follows:
1. The Income Tax Act is amended by adding the following after section 122.51:
Definitions
122.52 (1) The definitions in this subsection apply in this section.
“defined benefit provision”« disposition à prestations déterminées »
“defined benefit provision” has the meaning assigned by subsection 147.1(1).
“eligible individual”« particulier admissible »
“eligible individual” for a taxation year means an individual (other than a trust) who was entitled for the year, under a registered pension plan, to
(a) benefits under the defined benefit provisions of the plan;
(b) benefits under the money purchase provisions of the plan if the employer had made the contributions required to be made by the employer in respect of those money purchase provisions; or
(c) benefits referred to in paragraphs (a) and (b).
“money purchase provision”« disposition à cotisations déterminées »
“money purchase provision” has the meaning assigned by subsection 147.1(1).
Deemed payment on account of tax
(2) Where a return of income is filed in respect of an eligible individual for a particular taxation year that ends at the end of a calendar year, there is deemed to be paid at the end of the particular year on account of the individual's tax payable under this Part for the particular year the amount determined by the formula
22% x (A - B)
where
A      is the sum of
(a) the total of all benefits payable to the individual in the taxation year that ends at the end of a calendar year in respect of the defined benefit provisions of a registered pension plan, and
(b) the total of all benefits that would have been payable to the individual in the taxation year that ends at the end of a calendar year in respect of the money purchase provisions of a registered pension plan if the employer and the employees had made the contributions required to be made by them in respect of the money purchase provisions of the plan; and 
B      is the amount included in computing the income of the taxpayer for the taxation year under paragraph 56(1)(x) or (z) or subsection 70(2).
2. (1) Paragraph 152(1)(b) of the Act is replaced by the following: 
(b) the amount of tax, if any, deemed by subsection 120(2) or (2.2), 122.5(3), 122.51(2), 122.52, 122.7(2) or (3), 125.4(3), 125.5(3), 127.1(1), 127.41(3) or 210.2(3) or (4) to be paid on account of the taxpayer’s tax payable under this Part for the year.
(2) Paragraph 152(4.2)(b) of the Act is replaced by the following:
(b) redetermine the amount, if any, deemed by subsection 120(2) or (2.2), 122.5(3), 122.51(2), 122.52, 122.7(2) or (3), 127.1(1), 127.41(3) or 210.2(3) or (4) to be paid on account of the taxpayer’s tax payable under this Part for the year or deemed by subsection 122.61(1) to be an overpayment on account of the taxpayer’s liability under this Part for the year.
Published under authority of the Speaker of the House of CommonsAvailable from:Publishing and Depository ServicesPublic Works and Government Services Canada