FSRA releases final Guidance on requirements to take certain actions to avoid deregistration under the Income Tax Act
The Financial Services Regulatory Authority of Ontario (FSRA) releases final Guidance that clearly identifies the documents, timeframes and information that are required under exemptions from the Pension Benefits Act to avoid a plan’s deregistration under the Income Tax Act (ITA). Maintaining ITA registration permits the plan and its members to continue to receive tax deferrals on benefits accrued in the plan.
This action will help protect the rights of pension plan members across Ontario.
The Guidance sets out specific actions including:
- Providing written notice to FSRA
- Pension plan member communication
- Other considerations, such as certification, exemptions and requests for more information
FSRA will accept an optional, special approach for multi-employer pension plans addressing certain overcontributions that would otherwise make the plan revocable under the Income Tax Act.
FSRA would like to thank all stakeholders who provided comments on the proposed Guidance. Based on feedback received during the consultation, FSRA made minor changes which clarify the purpose and intent of the Guidance.
FSRA continues to work on behalf of all stakeholders, including consumers and pension plan members, to ensure financial safety, fairness, and choice for everyone.
Learn more at www.fsrao.ca.
For media inquiries:
Sr. Media Relations and Digital Officer
Financial Services Regulatory Authority
Email: [email protected]