In order to eliminate or ease the tax impact of receiving an AIP, the subscriber may want to transfer the accumulated income to his or her RRSP or to a spousal RRSP. This helps avoid having to pay taxes on the amount, as long as the subscriber has unused RRSP contribution room and does not exceed the age limit for making RRSP contributions.
When the transfer takes place, the plan is terminated. Any remaining contributions are returned to the subscriber and any remaining grants are returned to the corresponding government. The maximum amount of the accumulated income that is available for transfer is $50,000 per subscriber.