Tax savings contributions
 17. (1) Subject to the maximum total set out in subsection 10 (2), beginning in 2018 the employer shall make a contribution to the main pension plans each year in the aggregate amount of, (a) 33.5 per cent of its tax savings for the previous taxation year of the employer until the aggregate amount of $75 million has been contributed under this section; and (b) after that, 16.75 per cent of its tax savings for the taxation year of the employer. (2) The employer’s obligation to contribute under this section shall cease on the earlier of the following: 1. The employer’s first taxation year that ends more than twenty calendar years after the plan implementation date. 2. The employer’s first taxation year in which the aggregate amount of the tax savings is less than $1 million. (3) A contribution required in a year shall be made within 30 days after the employer receives the notice of assessment from the Canada Revenue Agency in respect of its corporate income tax for the previous financial year of the employer and shall be allocated among the main pension plans in accordance with the most recent valuation reports. (4) Each valuation report for a main pension plan with a valuation date up to and including December 31, 2018 shall set out the proportion of the tax savings contribution, if any, that shall be paid into the pension fund of each main pension plan using the formula, B/C in which, “B” is the amount of the adjusted solvency deficiency of the main pension plan as set out in the initial valuation report for that pension plan, and “C” is the aggregate amount of the adjusted solvency deficiency of all of the main pension plans as set out in the initial valuation reports for the pension plans. (5) Each valuation report for a main pension plan with a valuation date on or after December 31, 2019 shall set out the proportion of the tax savings contribution, if any, that shall be paid into the pension fund of each main pension plan using the formula, D/E in which, “D” is the amount of the adjusted solvency deficiency of the main pension plan as set out in the annual report for that pension plan for that year, and “E” is the aggregate amount of the adjusted solvency deficiency of all of the main pension plans as set out in the annual reports for the pension plans for that year. (6) In the formulas set out in subsections (4) and (5), the amounts represented by the expressions “B/C” and “D/E” are to be calculated to eight decimal places. (7) The employer may include contributions made under this section as contributions in transit in the year with respect to which the contribution is made. (8) The amount of the tax savings contribution for a financial year of the employer shall be recalculated if the amount of the employer’s tax savings for the previous financial year changes as a result of a reassessment by the Canada Revenue Agency of the employer’s corporate income tax filing for that previous financial year, and a corresponding adjustment to the amount of the contribution shall be made in accordance with the following rules: 1. In the case of a notice of reassessment that indicates that the employer’s tax savings were higher than indicated in the notice of assessment, the employer shall make a further contribution in the amount of 33.5 per cent or 16.75 per cent of the difference, as applicable. The contribution shall be made within 30 days after receiving the notice of reassessment and shall be allocated among the main pension plans in accordance with the same valuation reports that were used to allocate the tax savings contribution for the year under subsection (3). 2. In the case of a second or subsequent notice of reassessment that indicates that the employer’s tax savings were higher than indicated in the most recent prior notice of assessment or reassessment, as the case may be, paragraph 1 applies except that the comparison shall be made as against the most recent prior notice of reassessment and not as against the original notice of assessment. 3. Subject to paragraph 4, in the case of a notice of reassessment that indicates that the employer’s tax savings were lower than indicated in the notice of assessment, an amount that is equal to 33.5 per cent or 16.75 per cent of the difference, as applicable, shall be treated, at the employer’s discretion, as one of the following two options: i. An overpayment that shall be credited against contributions required under section 10 that are otherwise due or coming due. ii. An additional contribution under section 18. 4. In the case of a notice of reassessment that indicates that the employer’s tax savings were lower than indicated in the notice of assessment and where a main pension plan’s assets exceed its wind up liability, including liability for wind up expenses, an amount that is equal to 33.5 per cent or 16.75 per cent of the difference, as applicable, shall be treated as an overpayment within the meaning of section 62.1 of the Act. (9) Before the later of the following days, the employer shall notify the administrator in writing of which of the two options described in paragraph 3 of subsection (8) the employer has chosen: 1. If the employer appeals the reassessment, the day that is 30 days after the employer receives the final decision from the Canada Revenue Agency indicating that the employer’s tax savings were lower than indicated in the notice of assessment. 2. If the employer does not appeal the reassessment, the day that is 30 days after the employer receives the reassessment. (10) In a case described in paragraph 4 of subsection (8) where the employer applies under subsection 62.1 (3) of the Act for the Chief Executive Officer’s consent to a payment from the pension fund to reimburse the employer for an overpayment and the Chief Executive Officer consents under subsection 62.1 (5) of the Act, the following rules apply: 1. The employer shall make a contribution in the amount of the reimbursement within 30 days after receiving the Chief Executive Officer’s consent. 2. In making the contribution referred to in subsection (1), the employer may do either of the following: i. Credit the amount against any of the required contributions otherwise due or becoming due under this Regulation and allocate in accordance with the applicable allocation formula for those types of contributions. ii. Treat the amount as additional contributions and allocate in accordance with the formula for additional contributions. O. Reg. 255/17, s. 17 (10); O. Reg. 156/19, s. 1 (1), (2). (11) In a case described in paragraph 4 of subsection (8) where the employer does not apply under subsection 62.1 (3) of the Act for the Chief Executive Officer’s consent to a payment from the pension fund to reimburse the employer for an overpayment or where the employer has applied for the Chief Executive Officer’s consent under subsection 62.1 (3) and the Chief Executive Officer does not consent under subsection 62.1 (5) of the Act, the amount of the overpayment shall be treated as an additional contribution to the main pension plan to which the contribution was made. However, the contribution is not subject to the allocation process set out in section 18 with respect to additional contributions. O. Reg. 255/17, s. 17 (11); O. Reg. 156/19, s. 1 (1), (2). (11.1) For the purposes of subsections (10) and (11), the Superintendent’s consent or refusal to consent given under subsection 62.1 (5) of the Act, as it read prior to the day section 1 of Schedule 23 to the Plan for Care and Opportunity Act (Budget Measures), 2018 came into force, is deemed to have been the Chief Executive Officer’s consent or refusal to consent, as the case may be. O. Reg. 156/19, s. 1 (2), 3. (12) In this section, a reference to tax savings means, in respect of a financial year of the employer,
the amount of the employer’s losses or depreciation base, or both, which were claimed, deducted or applied by the employer in that financial year in order to reduce the employer’s taxable income, multiplied by the employer’s applicable combined federal and provincial tax rate.  However, a reference to tax savings only includes amounts that are available in respect of the main pension plans.