Bill C-47

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C.R.C., c. 566

Brewery Departmental Regulations

141. Section 7 of the Brewery Departmental Regulations is replaced by the following:

7. (1) The return required by section 175 of the Act shall be made

(a) in the case of a licensed brewer authorized by the Minister to make returns for six-month periods under subsection 36.1(2) of the Act, for each six-month period; or

(b) in any other case, for each month.

(2) The return shall set out the following particulars:

(a) the quantity of beer produced;

(b) the quantity of beer exported;

(d) the amount of excise duty paid on beer.

C.R.C., c. 565

Brewery Regulations

142. Section 5 of the Brewery Regulations is replaced by the following:

5. (1) Subject to subsection (2), the duty imposed under the Act in respect of beer produced during a particular month shall be paid not later than the last day of the month following the particular month.

(2) If a licensed brewer is authorized by the Minister to make returns for six-month periods under subsection 36.1(2) of the Act, the duty imposed under the Act in respect of beer produced during a six-month period shall be paid not later than the last day of the month following the period.

SOR/2010-117

New Harmonized Value-added Tax System Regulations

143. Subsection 37(4) of the New Harmonized Value-added Tax System Regulations is replaced by the following:

Request for adjustments

(4) If, with respect to a transaction, a notice of assessment, reassessment or additional assessment involving the application of subsection (2) with respect to the transaction has been sent to a person, any person (other than a person to whom such a notice has been sent) is entitled, within 180 days after the day on which the notice was sent, to request in writing that the Minister make an assessment, a reassessment or an additional assessment, applying subsection (2) with respect to that transaction.

PART 3

AMENDMENTS TO THE FEDERAL-PROVINCIAL FISCAL ARRANGEMENTS ACT IN RESPECT OF INCOME TAX

R.S., c. F-8

Federal-Provincial Fiscal Arrangements Act

144. (1) The Federal-Provincial Fiscal Arrangements Act is amended by adding the following after section 12.01:

PART IV.01

TRANSFER PAYMENTS — TAX IN RESPECT OF STOCK OPTION BENEFIT DEFERRAL UNDER PART I.01 OF THE INCOME TAX ACT

Transfer payments — Consolidated Revenue Fund

12.02 Subject to this Act, the Minister may pay to a province, out of the Consolidated Revenue Fund, at such time as the Minister may determine, an amount equal to 1/3 of the tax payable under subparagraph 180.01(2)(c)(ii) of the Income Tax Act for a taxation year by a taxpayer who is resident in the province on the last day of that taxation year.

Eligibility for payment

12.03 No payment may be made under this Part to a province if, in the opinion of the Minister, the province imposes or purports to impose a tax that is similar to the tax imposed under Part I.01 of the Income Tax Act.

(2) Part IV.01 of the Act, as enacted by subsection (1), is deemed to have come into force on on March 4, 2010.

145. (1) The Act is amended by adding the following after section 12.3:

PART IV.2

TRANSFER PAYMENTS — TAX ON PAYMENTS UNDER REGISTERED EDUCATION SAVINGS PLANS UNDER PART X.5 OF THE INCOME TAX ACT

Transfer payments — Consolidated Revenue Fund

12.4 Subject to this Act, the Minister may pay to a province, out of the Consolidated Revenue Fund, at such time as the Minister may determine, an amount equal to 40% of the tax payable under Part X.5 of the Income Tax Act for a taxation year by a person who is resident in the province on the last day of that taxation year.

Eligibility for payment

12.5 No payment may be made under this Part to a province if, in the opinion of the Minister, the province imposes or purports to impose a tax that is similar to the tax imposed under Part X.5 of the Income Tax Act.

(2) Part IV.2 of the Act, as enacted by subsection (1), applies in respect of the 1998 and subsequent taxation years.

PART 4

AMENDMENTS RELATING TO EXTERNAL COMPLAINTS BODIES

1991, c. 46

Bank Act

146. Section 2 of the Bank Act is amended by adding the following in alphabetical order:

“external complaints body”
« organisme externe de traitement des plaintes »

“external complaints body” means a body corporate approved under subsection 455.01(1) or designated under subsection 455.1(1).

147. The Act is amended by adding the following after section 455:

Approval of external complaints body

455.01 (1) Subject to section 455.1, the Minister may, on the Commissioner’s recommendation and for the purposes of this section, approve a body corporate incorporated under Part II of the Canada Corporations Act or under the Canada Business Corporations Act whose purpose, in the Minister’s view, under its letters patent is dealing with complaints, made by persons having requested or received products or services from its member financial institutions, that have not been resolved to the satisfaction of those persons under procedures established by those financial institutions under paragraph 455(1)(a).

Obligation to be member

(2) A bank must be a member of one body corporate that is approved under subsection (1).

Regulations

(3) The Governor in Council may make regulations respecting the requirements for the approval of a body corporate under subsection (1) and the requirements for a body corporate approved under that subsection for maintaining that approval.

Not an agent

(4) A body corporate approved under subsection (1) is not an agent of Her Majesty.

Approval to be published

(5) An approval given under subsection (1) must be published in the Canada Gazette.

Information, etc.

(6) A body corporate that is seeking an approval under subsection (1) must apply to the Commissioner, and the application must provide, in the form and manner required by the Commissioner, any information, material and evidence that he or she may require.

148. (1) Section 455.1 of the Act is amended by adding the following after subsection (1):

Effect of designation

(1.1) If the Minister makes a designation under subsection (1), any approval given under subsection 455.01(1) is revoked.

Effect of revocation

(1.2) If the Minister makes a designation under subsection (1), the body corporate designated under that subsection must deal with any complaint that was made to a body corporate approved under subsection 455.01(1) and that has not been resolved.

(2) Section 455.1 of the Act is amended by adding the following after subsection (3):

Regulations

(3.1) The Governor in Council may make regulations respecting the requirements to be met by the body corporate designated under subsection (1).

2001, c. 9, s. 125

149. Paragraph 459.5(b) of the Act is replaced by the following:

(b) the persons who request or receive the product or service have access to complaint handling by an external complaints body.

2001, c. 9, s. 156

150. Section 573.1 of the Act is replaced by the following:

Obligation to be member

573.1 An authorized foreign bank must be a member of one external complaints body.

2001, c. 9, s. 183

151. Section 657 of the Act and the headings before it are replaced by the following:

PART XIV

REGULATION OF BANKS AND EXTERNAL COMPLAINTS BODIES — COMMISSIONER

Required information

657. A bank, authorized foreign bank or external complaints body must provide the Commissioner with the information at the times and in the form that he or she may require for the purposes of the administration of the Financial Consumer Agency of Canada Act and the consumer provisions.

2001, c. 9, s. 183

152. Subsection 658(1) of the Act is replaced by the following:

Confidential information

658. (1) Subject to subsection (2), information regarding the business or affairs of a bank, authorized foreign bank or external complaints body or regarding persons dealing with any of them that is obtained by the Commissioner or by any person acting under the Commissioner’s direction, in the course of the exercise or performance of powers, duties and functions referred to in subsection 5(1) of the Financial Consumer Agency of Canada Act, and any information prepared from that information, is confidential and shall be treated accordingly.

2001, c. 9, s. 183

153. (1) Subsection 659(1) of the French version of the Act is replaced by the following:

Examen

659. (1) Afin de s’assurer que la banque, la banque étrangère autorisée ou l’organisme externe de traitement des plaintes se conforme aux dispositions visant les consommateurs applicables, le commissaire, à l’occasion, mais au moins une fois par an, procède ou fait procéder à un examen et à une enquête dont il fait rapport au ministre.

2001, c. 9, s. 183

(2) Paragraph 659(2)(a) of the Act is replaced by the following:

(a) has a right of access to any records, including electronic records, of a bank, authorized foreign bank or external complaints body; and

2001, c. 9, s. 183

(3) Paragraph 659(2)(b) of the English version of the Act is replaced by the following:

(b) may require the directors or officers of a bank, authorized foreign bank or external complaints body to provide information and explanations, to the extent that they are reasonably able to do so, in respect of any matter subject to examination or inquiry under subsection (1).

2001, c. 9, s. 183

154. Section 661 of the Act is replaced by the following:

Compliance agreement

661. The Commissioner may enter into an agreement, called a “compliance agreement”, with a bank, authorized foreign bank or external complaints body for the purposes of implementing any measure that is designed so as to further compliance by it with the consumer provisions.

2001, c. 9, s. 183

155. Section 974 of the Act is replaced by the following:

Not statutory instruments

974. An instrument issued or made under this Act and directed to a single bank, bank holding company, authorized foreign bank or person, other than a regulation made under subsection 455.01(3) or 455.1(3.1) or an order referred to in section 499, is not a statutory instrument for the purposes of the Statutory Instruments Act.

2001, c. 9

Financial Consumer Agency of Canada Act

156. Section 2 of the Financial Consumer Agency of Canada Act is amended by adding the following in alphabetical order:

“external complaints body”
« organisme externe de traitement des plaintes »

“external complaints body” has the same meaning as in section 2 of the Bank Act.

2010, c. 12, s. 1851(1)

157. (1) Paragraphs 3(2)(a) and (b) of the Act are replaced by the following:

(a) supervise financial institutions and external complaints bodies to determine whether the institution or body is in compliance with

(i) the consumer provisions applicable to them, and

(ii) the terms and conditions or undertakings with respect to the protection of customers of financial institutions that the Minister imposes or requires, as the case may be, under an Act listed in Schedule 1 and the directions that the Minister imposes under this Act;

(b) promote the adoption by financial institutions and external complaints bodies of policies and procedures designed to implement the provisions, terms and conditions, undertakings or directions referred to in paragraph (a);

(b.1) promote the adoption by financial institutions of policies and procedures designed to implement

(i) voluntary codes of conduct that are designed to protect the interests of their customers, that are adopted by financial institutions and that are publicly available, and

(ii) any public commitments made by them that are designed to protect the interests of their customers;

2010, c. 12, s. 1851(2)

(2) Paragraph 3(2)(d) of the Act is replaced by the following:

(d) promote consumer awareness about the obligations of financial institutions and of external complaints bodies under consumer provisions applicable to them and about all matters connected with the protection of consumers of financial products and services; and

158. Section 14 of the Act is replaced by the following:

Ownership

14. No Commissioner, person appointed under subsection 4(4) or Deputy Commissioner shall beneficially own, directly or indirectly, any shares of any financial institution, bank holding company, insurance holding company, external complaints body or of any other body corporate, however created, carrying on any business in Canada that is substantially similar to any business carried on by any financial institution or external complaints body.

159. Subsection 16(1) of the Act is replaced by the following:

No grant or gratuity to be made

16. (1) The Commissioner, a person appointed under subsection 4(4), a Deputy Commissioner and any person appointed under section 10 shall not accept or receive, directly or indirectly, any grant or gratuity from a financial institution, bank holding company, insurance holding company, external complaints body, or from a director, officer or employee of any of them, and no such financial institution, bank holding company, insurance holding company, external complaints body, director, officer or employee shall make or give any such grant or gratuity.

2010, c. 12, s. 1854

160. Subsection 17(1) of the Act is replaced by the following:

Confidential information

17. (1) Subject to subsection (2) and except as otherwise provided in this Act, information regarding the business or affairs of a financial institution or external complaints body or regarding persons dealing with one that is obtained by the Commissioner or by any person acting under the Commissioner’s direction, in the course of the exercise or performance of powers, duties and functions referred to in subsections 5(1) and (2) and 5.1(2), and any information prepared from that information, is confidential and shall be treated accordingly.

2010, c. 12, s. 1842(1)

161. (1) Subsection 18(1) of the Act is replaced by the following:

Commissioner to ascertain expenses

18. (1) The Commissioner shall, before December 31 in each year, ascertain the total amount of expenses incurred during the immediately preceding fiscal year for or in connection with the administration of this Act and the consumer provisions — excluding the expenses incurred in connection with the objects described in subsection 3(3) — and the amounts of any prescribed categories of those expenses in relation to any prescribed group of financial institutions and external complaints bodies.

2010, c. 12, s. 1855

(2) Subsection 18(3) of the Act is replaced by the following:

Assessment

(3) As soon as possible after ascertaining the amounts under subsections (1) and (1.1), the Commissioner shall assess a portion of the total amount of expenses against each financial institution and external complaints body to the extent and in the manner that the Governor in Council may, by regulation, prescribe.

(3) Subsections 18(4) and (5) of the Act are replaced by the following:

Interim assessment

(4) The Commissioner may, during each fiscal year, prepare an interim assessment against any financial institution or external complaints body.

Assessment is binding

(5) Every assessment and interim assessment is final and conclusive and binding on the financial institution or external complaints body against which it is made.

2010, c. 12, s. 1848

162. The portion of section 34 of the Act before paragraph (b) is replaced by the following:

Annual report

34. The Minister shall cause to be laid before each House of Parliament, not later than the fifth sitting day of that House after September 30 next after the end of each fiscal year, a report showing the Agency’s operations for that year and describing

(a) in aggregate form, its conclusions on the compliance, in that year, of financial institutions and external complaints bodies with the consumer provisions applicable to them; and

Coordinating Amendments

2009, c. 23

163. On the first day on which both section 306 of the Canada Not-for-profit Corporations Act and section 146 of this Act are in force, subsection 455.01(1) of the Bank Act is replaced by the following:

Approval of external complaints body

455.01 (1) Subject to section 455.1, the Minister may, on the Commissioner’s recommendation and for the purposes of this section, approve a body corporate incorporated under the Canada Not-for-profit Corporations Act or under the Canada Business Corporations Act whose purpose, in the Minister’s view, under its letters patent is dealing with complaints, made by persons having requested or received products or services from its member financial institutions, that have not been resolved to the satisfaction of those persons under procedures established by those financial institutions under paragraph 455(1)(a).

2010, c. 12

164. (1) In this section, “other Act” means the Jobs and Economic Growth Act.

(2) If section 2116 of the other Act comes into force before section 158 of this Act, then that section 158 is replaced by the following:

158. Subsection 14(1) of the Act is replaced by the following:

Ownership

14. (1) No Commissioner, person appointed under subsection 4(4) or Deputy Commissioner shall beneficially own, directly or indirectly, any shares of any financial institution, bank holding company, insurance holding company, external complaints body or of any other body corporate, however created, carrying on any business in Canada that is substantially similar to any business carried on by any financial institution or external complaints body.

(3) If section 2116 of the other Act and section 158 of this Act come into force on the same day, then that section 158 is deemed to have come into force before that section 2116.

Coming into Force

Order in council

165. This Part, other than sections 163 and 164, comes into force on a day to be fixed by order of the Governor in Council.

PART 5

2007, c. 35, s. 136

CANADA DISABILITY SAVINGS ACT

Amendments to the Act

2010, c. 12, s. 26(3)

166. Paragraph 2(2)(b) of the Canada Disability Savings Act is replaced by the following:

(b) the expressions “contribution”, “designated provincial program”, “DTC-eligible individual”, “holder”, “issuer” and “registered disability savings plan” have the same meanings as in section 146.4 of that Act; and

167. (1) Section 6 of the Act is amended by adding the following after subsection (2):

Deemed year of contribution

(2.1) For the purposes of subsection (2), a contribution allocated to a year under subsection (2.2) is deemed to have been made in that year.

Allocation of contribution

(2.2) The Minister may allocate a contribution made to the beneficiary’s registered disability savings plan in a year after 2010, in parts — to the year in which it is actually made and to each of the previous 10 years that is after 2007 — in the following order:

(a) up to $500 to each year in which the beneficiary is one referred to in paragraph (2)(a), beginning with the earliest year, less any contributions allocated to the year in question;

(b) up to $1500 to each year in which the beneficiary is one referred to in paragraph (2)(a), beginning with the earliest year, less any contributions allocated to the year in question including those so allocated under paragraph (a); and

(c) up to $1000 to each year in which the beneficiary is not one referred to in paragraph (2)(a), beginning with the earliest year, less any contributions allocated to the year in question.

Residency and DTC-eligibility

(2.3) No contribution made to the plan in a year may be allocated to a previous year unless, during that previous year, the beneficiary was resident in Canada and a DTC-eligible individ- ual.

Limit

(2.4) The Minister may allocate only the portion of contributions made to the plan in a year in respect of which, in accordance with subsection (2), a Canada Disability Savings Grant of up to $10,500 may be paid into the plan in that year.

Contributions made before 2011

(2.5) For the purposes of determining the contributions allocated to the year in question under any of paragraphs (2.2)(a) to (c), contributions made to the plan in 2008, 2009 or 2010 are considered to have been allocated to the year in which they were actually made.

(2) Section 6 of the Act is amended by adding the following after subsection (7):

Annual cap

(8) Not more than $10,500 in Canada Disability Savings Grants may be paid in respect of a beneficiary in a year.

Annual statement to plan holders

(9) Once a year, the Minister shall cause each holder of a registered disability savings plan to be provided with a statement that sets out the amount of Canada Disability Savings Grants that may be paid for particular years on the basis of future contributions.

168. Subsection 7(1) of the Act is replaced by the following:

Canada Disability Savings Bonds

7. (1) Subject to this Act and the regulations, on application, the Minister may pay a Canada Disability Savings Bond into a registered disability savings plan of a beneficiary

(a) for each year after the year in which the plan is entered into; and

(b) for the year in which the plan is entered into and for each of the previous 10 years

(i) that is after 2007,

(ii) during which the beneficiary was resident in Canada, and

(iii) for which a Canada Disability Savings Bond has not previously been paid.

Terms and conditions

(1.1) A Canada Disability Savings Bond is to be paid on any terms and conditions that the Minister may specify by agreement between the Minister and the issuer of the plan.

Transitional Provisions

Canada Disability Savings Grant for 2008

169. For the purposes of calculating the amount of a Canada Disability Savings Grant that may be paid for 2008 under section 6 of the Canada Disability Savings Act, subparagraphs 6(2)(a)(i) and (ii) and subsection 6(6) of that Act are to be read as they did on December 31, 2008.

Canada Disability Savings Bond for 2008

170. For the purposes of calculating the amount of a Canada Disability Savings Bond that may be paid for 2008 under section 7 of the Canada Disability Savings Act, subparagraphs 7(2)(a)(i) and (ii) and (b)(i) and (ii), the descriptions of B and C in subsection 7(4) and subsection 7(8) of that Act are to be read as they did on December 31, 2008.

Coming into Force

January 1, 2011

171. This Part comes into force, or is deemed to have come into force, on January 1, 2011.

PART 6

R.S. c. 1 (2nd Supp.)

CUSTOMS ACT

172. Section 11.1 of the Customs Act is amended by adding the following after subsection (3):

User Fees Act

(4) The User Fees Act does not apply to a fee for an authorization issued under this section if it is a reciprocal fee under an international arrangement.

PART 7

R.S., c. F-8; 1995, c.17, s. 45(1)

FEDERAL-PROVINCIAL FISCAL ARRANGEMENTS ACT

R.S., c. 11 (3rd Supp.), ss. 5(1), (4) and (6)(F); 1995, c. 17, ss. 47(1) and (2); 1999, c. 11, s. 3(3), c. 31, s. 235; 2005, c. 7, ss. 2(1) to (6)

173. (1) Subsections 6(1) to (6) of the Federal-Provincial Fiscal Arrangements Act are replaced by the following:

Computation of payments

6. (1) Subject to subsections (8) to (10), the fiscal stabilization payment that may be paid to a province for a fiscal year is the amount determined by the formula

(0.95 × A) – B + (C × D) – (E × F)

where

A is the non-natural resource revenue of the province for the preceding fiscal year;

B is the non-natural resource revenue of the province for the fiscal year;

C is equal to

(a) 95%, if the natural resource revenue of the province for the fiscal year is greater than the natural resource revenue of the province for the preceding fiscal year,

(b) 50%, if the natural resource revenue of the province for the fiscal year is less than one half of the natural resource revenue of the province for the preceding fiscal year, or

D is the natural resource revenue of the province for the preceding fiscal year;

E is equal to

(a) one, if the natural resource revenue of the province for the fiscal year is either greater than the natural resource revenue of the province for the preceding fiscal year or less than one half of the natural resource revenue of the province for the preceding fiscal year, or

(b) zero, in any other case; and

F is the natural resource revenue of the province for the fiscal year.

Adjustment

(2) For the purposes of determining the amount under subsection (1), the Minister may adjust, in the prescribed manner, the natural resource revenue and the non-natural resource revenue of a province for the fiscal year to offset the amount, as determined by the Minister, of any change in either of those revenues for the fiscal year resulting from changes made by the province in the rates or structure of provincial taxes or of other means of raising the revenue of the province from the rates or structures in effect in the preceding fiscal year.

Interpretation

(2.1) If a province has entered into a tax collection agreement respecting personal income tax or corporation income tax, a change to the Income Tax Act affecting the province’s Common Tax Base as defined in Chapter 2 or 3, as the case may be, of the tax collection agreement is deemed to be a change in the rates or in the structures of provincial taxes for the purposes of subsection (2).

Natural resource revenue

(3) For the purposes of determining the amount under subsection (1), the natural resource revenue of a province for a fiscal year is the aggregate of the total revenue, as determined by the Minister, derived by the province for the fiscal year from the revenue sources described in paragraphs (l) to (w) of the definition “revenue source” in subsection 3.9(1) and from the revenue sources described in paragraph (z.5) of that definition that relate to natural resources.

Non-natural resource revenue

(4) For the purposes of determining the amount under subsection (1), the non-natural resource revenue of a province for a fiscal year is equal to

(a) the aggregate of

(i) the total revenue, as determined by the Minister, derived by the province for the fiscal year from the revenue sources described in paragraphs (a) to (k), (x), (y) and (z.1) to (z.3) of the definition “revenue source” in subsection 3.9(1),

(ii) the total revenue, as determined by the Minister, derived by the province for the fiscal year from the revenue sources described in paragraph (z.5) of that definition that do not relate to natural resources,

(iii) the fiscal equalization payment made to the province for the fiscal year under Part I, and

(iv) the additional cash payment made to the province for the fiscal year under section 24.703,

minus

(b) despite subsection (5), the aggregate of

(i) the total equalized tax transfer appli- cable to the province as if, for that fiscal year, the transfer were determined in the manner described in subsection 24.7(1.22), and

(ii) the value of the additional tax abatement units as determined in accordance with subsection 27(2).

Non-natural resource revenue

(5) For the purposes of determining the non-natural resource revenue of a province for a fiscal year,

(a) subsection 3.9(2) applies, with any modifications that the circumstances require, in determining the revenue derived by the province for the fiscal year from personal income taxes, described in paragraph (a) of the definition “revenue source” in subsection 3.9(1), except that no deduction may be made in respect of the tax abatement units referred to in subsection 27(2);

(b) the province’s revenue for the fiscal year derived from personal income taxes, described in paragraph (a) of the definition “revenue source” in subsection 3.9(1), is deemed to be

(i) the total amount, determined in the prescribed manner, of the provincial personal income taxes assessed or reassessed, not later than 24 months after the end of the fiscal year, in respect of the taxation year ending in the fiscal year,

minus

(ii) the total amount, determined in the prescribed manner, of the tax credits and rebates claimed by taxpayers in the prov- ince against provincial personal income taxes for that taxation year that have been deducted from those assessed or reassessed provincial personal income taxes; and

(c) the province’s revenue for the fiscal year derived from that part of the revenue source described in paragraph (b) of the definition “revenue source” in subsection 3.9(1) that consists of corporation income taxes is deemed to be

(i) the total amount, determined in the prescribed manner, of the provincial corporation income taxes assessed or reassessed, not later than 24 months after the end of the fiscal year, in respect of the taxation year of corporations ending in the calendar year that ends in the fiscal year,

minus

(ii) the total amount, determined in the prescribed manner, of the tax credits and rebates claimed by taxpayers in the prov- ince against provincial corporation income taxes for that taxation year that have been deducted from those assessed or reassessed provincial corporation income taxes.

Fiscal year 2011–2012

(6) Despite subsection (4), for the purposes of determining the amount under subsection (1) for the fiscal year that begins on April 1, 2011, the payment under section 3.12 and the additional cash payment under section 24.703 are not included in the province’s non-natural resource revenue.

2005, c. 7, s. 2(7)

(2) Subsection 6(11) of the Act is repealed.

PART 8

R.S., c. 18, Part I (3rd Supp.)

OFFICE OF THE SUPERINTENDENT OF FINANCIAL INSTITUTIONS ACT

Amendments to the Act

174. The heading before section 23 of the Office of the Superintendent of Financial Institutions Act is replaced by the following:

ASSESSMENT

1997, c. 15, s. 339

175. (1) Subsection 23(2) of the Act is replaced by the following:

Expenses — pension plans

(1.1) In every fiscal year, the Superintendent shall

(a) estimate the total amount of expenses to be incurred by the Office during the following fiscal year for or in connection with the administration of the Pension Benefits Stand- ards Act, 1985; and

(b) ascertain the total amount of expenses incurred by the Office during the preceding fiscal year for or in connection with the administration of the Pension Benefits Stand- ards Act, 1985.

Amount conclusive

(2) Any amount ascertained or estimated by the Superintendent under subsection (1) or (1.1), as the case may be, is final and conclusive for the purposes of this section.

(2) Section 23 of the Act is amended by adding the following after subsection (4):

Assessment — pension plans

(5) In every fiscal year, the Superintendent shall assess, in the prescribed manner, an amount against the administrator of a pension plan. The amount is to be determined as prescribed.

Determination of amount assessed

(6) The determination of the amount referred to in subsection (5) shall take into account the amounts referred to in subsection (1.1).

2001, c. 9, s. 476

176. The portion of subsection 24(1) of the Act before the definition “entity” is replaced by the following:

Definitions

24. (1) The following definitions apply in this section and in sections 25 to 37.2.

177. The Act is amended by adding the following after section 37:

REMISSION AND WRITE-OFF

Remission

37.1 (1) The Superintendent may remit all or part of any assessment or interim assessment made under section 23 or 23.1 or any penalty imposed under this Act, including any interest on that assessment, interim assessment or penalty.

Conditions

(2) A remission may be conditional or unconditional.

Debt write-off

37.2 (1) The Superintendent may write off from the accounts of the Office all or part of any debt referred to in subsection 23.2(2) or 31(1) that has been determined to be uncollectible or for which further administrative expense or other costs of collecting the debt are not justifiable in relation to the amount of the debt or the probability of collection.

Effect of write-off

(2) The writing-off of any debt does not affect any right of Her Majesty to collect or recover the debt.

Financial Administration Act

(3) The regulations made under subsection 25(1) of the Financial Administration Act do not apply to the writing off of a debt under this section.

Coming into Force

Order in council

178. Sections 174 and 175 come into force on a day to be fixed by order of the Governor in Council.

PART 9

R.S., c. 32 (2nd Supp.)

PENSION BENEFITS STANDARDS ACT, 1985

Amendments to the Act

179. (1) The definition “designated prov- ince” in subsection 2(1) of the Pension Benefits Standards Act, 1985 is replaced by the following:

“designated province”
« province désignée »

“designated province” means a province prescribed as a province in which there is in force pension legislation applicable to private superannuation plans;

(2) Subsection 2(1) of the Act is amended by adding the following in alphabetical order:

“electronic document”
« document électronique »

“electronic document” means any form of representation of information or of concepts fixed in any medium by electronic, optical or other similar means that can be read or perceived by a person or by any means;

“information system”
« système d’information »

“information system” means a system used to generate, send, receive, store or otherwise process an electronic document;

“multilateral agreement”
« accord multilatéral »

“multilateral agreement” means an agreement entered into under subsection 6.1(1);

“negotiated contribution plan”
« régime à cotisations négociées »

“negotiated contribution plan” means a multi-employer pension plan that includes at least one defined benefit provision and under which a participating employer’s contributions are limited to an amount determined in accordance with an agreement entered into by the participating employers or a collective agreement, statute or regulation, and which amount does not vary as a function of the prescribed tests and standards for solvency referred to in subsection 9(1);

(3) Section 2 of the Act is amended by adding the following after subsection (4):

Negotiated contribution plan

(5) Even though a pension plan — established as a negotiated contribution plan — is no longer a negotiated contribution plan because it has only one participating employer or more than 95% of its members are employed by participating employers who are incorporated and are affiliates within the meaning of the Canada Business Corporations Act, that pension plan is deemed to be a negotiated contribution plan for a period of one year after the day it is no longer a negotiated contribution plan, or for any longer period that may be specified by the Superintendent.

180. Subsection 5(2) of the Act is amended by striking out “and” at the end of paragraph (b), by adding “and’’ at the end of paragraph (c) and by adding the following after paragraph (c):

(d) collect information from a pension supervisory authority of a designated province and disclose information to that authority for the purposes of implementing a multilateral agreement.

1998, c. 12, s. 4

181. Section 6 of the Act and the heading before it are replaced by the following:

AGREEMENTS

Bilateral agreement

6. The Minister may, with the approval of the Governor in Council, enter into a bilateral agreement with a designated province to

(a) authorize the pension supervisory authority of that province to exercise any of the Superintendent’s powers under this Act; and

(b) authorize the Superintendent to exercise any powers of that pension supervisory authority.

Multilateral agreement

6.1 (1) The Minister may, with the approval of the Governor in Council, enter into an agreement with two or more designated prov- inces respecting any matter relating to pension plans that are subject to the pension legislation of at least one designated province that is a party to the agreement.

Content of agreement

(2) A multilateral agreement may, among other things,

(a) limit the application of the pension legislation of a designated province that is a party to the agreement to a pension plan and adapt that legislation to that pension plan;

(b) limit the application of this Act and the regulations to a pension plan and adapt them to that pension plan;

(c) exempt a pension plan from the application of this Act and the regulations or the pension legislation of a designated province that is a party to the agreement;

(d) provide for the administration and enforcement of this Act, the regulations and the pension legislation of a designated province that is a party to the agreement;

(e) authorize a pension supervisory authority of a designated province that is a party to the agreement or the association referred to in section 6.4 to exercise any of the Superintendent’s powers under this Act;

(f) authorize the Superintendent to exercise any powers of a pension supervisory authority of a designated province that is a party to the agreement or the association referred to in section 6.4;

(g) establish requirements — in addition to any other requirements under this Act, the regulations and the pension legislation of a designated province that is a party to the agreement — with respect to a pension plan, administrator or employer; and

(h) confer powers on the Superintendent.

Tabling in Parliament

(3) The Minister must cause to be tabled in each House of Parliament every multilateral agreement.

Publication — Canada Gazette

(4) The Minister must cause to be published in the Canada Gazette

(a) every multilateral agreement and a notice of the date on which the agreement comes into effect with respect to pension plans;

(b) every amendment to a multilateral agreement and a notice of the date on which the amendment comes into effect with respect to pension plans; and

(c) a notice of the effective date of the Government of Canada’s withdrawal from the multilateral agreement or of the effective date of termination of that agreement, whichever comes first.

Publication — other

(5) In addition to the publishing requirements under subsection (4), the Minister must ensure that every multilateral agreement and every amendment to a multilateral agreement is accessible to the public through the Internet or by any other means that the Minister considers appropriate.

Force of law

6.2 (1) The provisions of a multilateral agreement, other than those exempted from the application of this subsection by regulation, have the force of law during the period that the agreement is in effect with respect to pension plans and are enforceable during that period as if those provisions formed part of this Act.

Inconsistency with agreement

(2) The provisions of a multilateral agreement that have the force of law prevail over any provision of this Act and the regulations to the extent of any inconsistency or conflict between them.

Review by Federal Court

6.3 (1) A decision of a pension supervisory authority of a designated province that is made under the authority of a multilateral agreement and that relates to the application of this Act or the regulations is deemed to be a decision of a federal board, commission or other tribunal, as defined in subsection 2(1) of the Federal Courts Act, and is subject to judicial review under that Act.

No review by Federal Court

(2) A decision of the Superintendent that is made under the authority of a multilateral agreement and that relates to the application of the pension legislation of a designated province is deemed to be a decision of the pension supervisory authority of that province and is not subject to judicial review under the Federal Courts Act.

Association of pension supervisory authorities

6.4 The Minister may, with the approval of the Governor in Council, enter into an agreement with a designated province respecting the establishment and operation in Canada of an association of pension supervisory authorities.

1998, c. 12, s. 5

182. Subsection 7.4(3) of the Act is replaced by the following:

Coordinates

(3) The administrator of a pension plan shall, within 30 days after being constituted or becoming the administrator, inform the Superintendent, in the form and manner, if any, that the Superintendent directs, of

(a) the administrator’s name and address; or

(b) the names and addresses of the persons who together constitute the body that is the administrator.

The administrator shall inform the Superintend- ent, in the form and manner, if any, that the Superintendent directs, of any change to that information within 30 days after the change.

183. Section 8 of the Act is amended by adding the following after subsection (4.1):

Investment choices

(4.2) A pension plan may permit a member, former member, survivor or former spouse or former common law partner of a member or former member to make investment choices with respect to their account maintained in respect of a defined contribution provision or with respect to their account maintained for additional voluntary contributions.

Administrator’s duty

(4.3) If a pension plan permits a member, former member, survivor or former spouse or former common law partner of a member or former member to make investment choices, the administrator must offer investment options of varying degrees of risk and expected return that would allow a reasonable and prudent person to create a portfolio of investments that is well adapted to their retirement needs.

Deemed compliance with subsection (4.1)

(4.4) With respect to the account for which an investment choice is made by a member, former member, survivor or former spouse or former common law partner of a member or former member, if an administrator offers investment options in accordance with subsection (4.3) and the regulations, that administrator is deemed to comply with subsection (4.1).

1998, c. 12, s. 9

184. Section 9.1 of the Act is replaced by the following:

Notification of remittance

9.1 (1) The administrator of a pension plan must notify in writing the trustee or custodian of the pension fund of all amounts that are to be remitted to the pension fund and the expected date of the remittance.

Effect of late remittance

(2) If a payment to a pension fund is not remitted within 30 days after the date referred to in subsection (1),

(a) the administrator of the pension plan must immediately notify the Superintendent; and

(b) a trustee or custodian of the pension fund must, if the administrator is the employer, immediately notify the Superintendent.

Content

(3) The Superintendent may direct the form and content of any notice referred to in subsection (2) as well as the manner of providing that notice.

1998, c. 12, s. 9; 2001, c. 34, s. 67(1)(F)

185. (1) Subsection 9.2(4) of the Act is replaced by the following:

Submission to arbitration

(4) Subject to subsection (5), if more than one half but fewer than two thirds of the persons in each of the categories referred to in subsection (3) consented to the proposal, the employer may, or if the whole of the pension plan is terminated shall, submit the proposal to arbitration. The employer shall notify the Superintendent, in the form and manner, if any, that the Superintendent directs, and the persons in those categories if the proposal is to be submitted to arbitration.

2010, c. 12, s. 1796

(2) The portion of subsection 9.2(5) of the Act after paragraph (b) is replaced by the following:

The employer shall notify the Superintendent, in the form and manner, if any, that the Superintendent directs, and the persons in the categories referred to in subsection (3) that the claim is to be submitted to arbitration.

1998, c. 12, s. 10

186. (1) The portion of subsection 10(1) of the Act before paragraph (a) is replaced by the following:

Duty of administrator to file documents

10. (1) The administrator of a pension plan shall file with the Superintendent, within 60 days after the plan is established and in the form and manner, if any, that the Superintendent directs,

1998, c. 12, s. 10

(2) Paragraph 10(1)(c) of the Act is replaced by the following:

1998, c. 12, s. 10

187. Subsection 10.1(1) of the Act is replaced by the following:

Filing of amendments

10.1 (1) The administrator of a pension plan must file with the Superintendent, within 60 days after an amendment is made to any document referred to in subsection 10(1), in the form and manner, if any, that the Superintendent directs, a copy of the amendment and a declaration, signed by the administrator that the plan as amended complies with this Act and the regulations.

2010, c. 12, s. 1798

188. Section 10.11 of the Act is replaced by the following:

Negotiated contribution plans

10.11 The administrator of a negotiated contribution plan may, subject to section 10.1 and despite the terms of the pension plan, make an amendment to any document referred to in paragraph 10(1)(a) or (b) that has the effect of reducing pension benefits or pension benefit credits.

189. The Act is amended by adding the following after section 10.2:

Designated entity

10.3 (1) The Minister may, with the approval of the Governor in Council, designate an entity, as defined in section 2 of the Bank Act, for the purposes, among others, of receiving and holding the pension benefit credit of any person who cannot be located, as well as the assets of a pension plan relating to that credit, and of disbursing that credit in a lump sum.

Transfer

(2) The administrator of a pension plan may transfer to the designated entity the pension benefit credit of any person who cannot be located, as well as the assets of a pension plan relating to that credit.

If transfer impairs solvency

(3) However, the administrator of a pension plan must obtain the consent of the Superintendent to transfer pension benefit credits and assets to the designated entity if, in the Superintendent’s opinion, the transfer would impair the solvency of the pension fund.

Transfer to Her Majesty

(4) A designated entity that holds, for the prescribed period of time, the assets relating to the pension benefit credit of a person who cannot be located, must transfer those assets to Her Majesty in right of Canada.

Limitation period or prescription

(5) Upon transfer of assets to Her Majesty in right of Canada, a claim to the pension benefit credit associated with those assets can no longer be made.

SEPARATE PENSION PLAN

Establishment of separate pension plan

10.4 (1) The Superintendent may direct the administrator of a pension plan that is subject to the pension legislation of more than one jurisdiction to

(a) establish a separate pension plan for members employed in included employment, former members who were employed in included employment and any survivors of those members or former members; and

(b) transfer assets and liabilities relating to the members and former members of the separate pension plan, as well as to any survivors of those members or former members, from the original pension plan to the separate pension plan.

Comparable plan

(2) A separate pension plan must be compa- rable, in the opinion of the Superintendent, to the original pension plan.

2010, c. 12, s. 1801(1)

190. (1) Subsection 12(1) of the Act is replaced by the following:

Annual reporting requirements

12. (1) The administrator of a pension plan shall file with the Superintendent — annually or at any other intervals or times that the Superintendent directs — an information return relating to that pension plan, containing the prescribed information.

2010, c. 12, s. 1801(2)(F)

(2) Subsection 12(4) of the Act is replaced by the following:

Form and manner of filings and time limit

(4) Every document required to be filed under this section shall be filed in the form and manner, if any, that the Superintendent directs, and unless otherwise directed by the Superintendent, within six months after the end of the plan year to which the document relates.

2000, c. 12, s. 256; 2001, c. 34, s. 69(3)(F)

191. Paragraph 18(2)(c) of the Act is replaced by the following:

(c) that, if the pension benefit credit is less than 20% of the Year’s Maximum Pensionable Earnings for the calendar year in which a member ceases to be a member of the plan or dies, or any other percentage that may be prescribed, the pension benefit credit may be paid to the member or survivor, as the case may be.

192. (1) Section 26 of the Act is amended by adding the following after subsection (2):

Consent

(2.1) The transfer of pension benefit credit, referred to in paragraph (2)(b), may be made by a member only if the member’s spouse or common-law partner notifies the administrator, in the prescribed form, of their consent to the transfer.

2000, c. 12, par. 264(d)

(2) Paragraph 26(3)(a) of the Act is repealed.

193. Subparagraph 28(1)(a)(i) of the Act is replaced by the following:

(i) a written explanation of the provisions of the plan and of any applicable amendments to the plan, within 60 days after the establishment of the plan or after the making of the amendment, as the case may be, and

1998, c. 12, s. 18(1)(E)

194. (1) Subsection 29(4) of the Act is replaced by the following:

Adoption of new plan

(4) If employer contributions to a negotiated contribution plan are suspended or cease as a result of the adoption of a new defined benefit plan, the original plan is deemed not to have been terminated, and the pension benefits and other benefits provided under the original plan are deemed to be benefits provided under the new plan in respect of any period of membership before the adoption of the new plan, whether or not the assets and liabilities of the original plan have been consolidated with those of the new plan.

2010, c. 12, s. 1816(3)

(2) Subsection 29(4.2) of the Act is replaced by the following:

Termination by administrator or employer

(4.2) Subject to subsections (1), (2) and (2.1), the whole of a pension plan is terminated only if the administrator or employer notifies the Superintendent, in writing or in the form and manner, if any, that the Superintendent directs, of their decision to terminate the pension plan and the date of the termination.

2010, c. 12, s. 1816(3)

(3) Subsection 29(5) of the Act is replaced by the following:

Notice of voluntary termination or winding-up

(5) An administrator or employer who terminates or winds up a pension plan shall notify the Superintendent, in writing or in the form and manner, if any, that the Superintendent directs, not less than 60 and not more than 180 days before the date of the termination or winding-up.

(4) Subsection 29(9) of the Act is replaced by the following:

Report to Superintendent

(9) On the termination of a pension plan or part of a plan, the administrator of the plan shall file with the Superintendent, in the form and manner, if any, that the Superintendent directs, a report, prepared by a person having the prescribed qualifications, setting out the nature of the pension benefits and other benefits to be provided under the plan and a description of the methods of allocating and distributing those benefits and deciding the priorities in respect of the payment of full or partial benefits to the members.

195. The Act is amended by adding the following after section 31:

ELECTRONIC COMMUNICATIONS

Consent and other conditions

31.1 (1) Any requirement under this Act to provide a person with information, including information in a document, may be satisfied by the provision of an electronic document if

(a) the addressee has consented and has designated an information system for the receipt of the electronic document;

(b) the electronic document is provided to the designated information system; and

(c) the information in the electronic doc- ument is accessible by the addressee and capable of being retained by the addressee, so as to be usable for subsequent reference.

Revocation of consent

(2) An addressee may revoke the consent referred to in paragraph (1)(a).

Non-application

(3) Subsections (1) and (2) do not apply

(a) to any requirement under this Act to provide the Minister or the Superintendent with information;

(b) to any requirement under this Act, imposed on the Minister or the Superintend- ent, to provide a person with information; or

Communications by Minister or Superintendent

(4) For greater certainty, the Minister and the Superintendent may use electronic means to communicate information, including information in a document, under this Act.

Signatures

31.2 A requirement under this Act for a signature is satisfied in relation to an electronic document if the prescribed requirements, if any, are met and if the signature results from the use by a person of a technology or a process that permits the following to be proven:

(a) the signature resulting from the use by the person of the technology or process is unique to them;

(b) the technology or process is used by the person to incorporate, attach or associate their signature to the electronic document; and

2001, c. 34, s. 76

196. (1) Paragraph 39(c) of the Act is replaced by the following:

(b.1) respecting the implementation of a multilateral agreement;

(b.2) exempting a multilateral agreement or any provision of that agreement from the application of subsection 6.2(1);

(b.3) respecting transitional matters in the event that the Government of Canada ceases to be a party to a multilateral agreement;

(c) prescribing the conditions under which, on the cessation of a member’s membership in a pension plan or on the termination or winding-up of a pension plan, pension benefit credits may be held in trust by the administrator of the plan, or transferred to the administrator of another pension plan or to a registered retirement savings plan of the prescribed kind;

(c.1) respecting the transfer of pension benefit credit of any person who cannot be located, as well as the assets relating to that credit to the entity designated under section 10.3, including the circumstances and conditions under which that credit and those assets may be transferred to that entity;

(c.2) respecting the entity designated under section 10.3;

(c.3) respecting the holding of pension benefit credit of any person who cannot be located, as well as the assets relating to that credit by the entity designated under section 10.3, the making of claims for that credit and the disbursement of that credit;

(c.4) respecting the transfer to Her Majesty in right of Canada of assets held by the entity designated under section 10.3;

(2) Section 39 of the Act is amended by adding the following after paragraph (i.1):

(i.2) respecting the establishment of a sep- arate pension plan under section 10.4, the determination of assets to be transferred to that plan and the transfer of assets and liabilities to that plan;

(3) Section 39 of the Act is amended by adding the following before paragraph (o):

(n.2) respecting the process by which investment options are offered by an administrator and choices among those options are made;

(n.3) respecting investment options offered by an administrator;

(n.4) prescribing any measure necessary for the purposes of sections 31.1 and 31.2, including the time when and circumstances under which an electronic document is to be considered to have been provided or received and the place where it is considered to have been provided or received;

(n.5) setting out the requirements under this Act to which subsections 31.1(1) and (2) do not apply;

(n.6) authorizing the Superintendent to spec- ify the form of any information — including information in a document — required to be provided to him or her under the regulations, as well as the manner of providing that information;

(n.7) respecting the composition of a board of trustees or other similar body referred to in paragraph 7(1)(a);

Transitional Provision

Adoption of new plan

197. If, as a result of the adoption of a new plan, employer contributions to a pension plan are suspended or cease before the day on which subsection 29(4) of the Pension Benefits Standards Act, 1985, as enacted by subsection 194(1), comes into force, the original plan is deemed not to have been terminated, and the pension benefits and other benefits provided under the original plan are deemed to be benefits provided under the new plan in respect of any period of membership before the adoption of the new plan, regardless of whether the assets and liabilities of the original plan have been consolidated with those of the new plan.

Coordinating Amendments

2010, c. 12

198. (1) In this section, “other Act” means the Jobs and Economic Growth Act.

(2) On the first day on which both section 1804 of the other Act and this section are in force, the Pension Benefits Standards Act, 1985 is amended by adding the following before the heading before section 17:

Cessation

16.5 Before a pension plan ceases to provide for the payment of a variable benefit referred to in subsection 16.2(1), an administrator must offer a former member or survivor who receives that variable benefit the options referred to in subsection 16.4(1).

(3) If subsection 194(1) of this Act comes into force before subsection 1816(2) of the other Act, then subsection 1816(2) and section 1826 of the other Act are repealed.

(4) If subsection 1816(2) of the other Act comes into force before subsection 194(1) of this Act, then section 197 of this Act is replaced by the following:

Adoption of new plan

197. If, as a result of the adoption of a new defined benefit plan, employer contributions to a multi-employer pension plan that is a defined benefit plan are suspended or cease before the day on which subsection 29(4) of the Pension Benefits Standards Act, 1985, as enacted by subsection 194(1), comes into force, the original plan is deemed not to have been terminated, and the pension benefits and other benefits provided under the original plan are deemed to be benefits provided under the new plan in respect of any period of membership before the adoption of the new plan, regardless of whether the assets and liabilities of the original plan have been consolidated with those of the new plan.

(5) If subsection 194(1) of this Act and subsection 1816(2) of the other Act come into force on the same day, then that subsection 194(1) is deemed to have come into force before that subsection 1816(2) and subsection (3) applies as a consequence.

(6) On the first day on which both subsection 1816(5) of the other Act and this section are in force, the Pension Benefits Standards Act, 1985 is amended by replacing subsection 29(6.1) with the following:

Payment by employer of pension benefits

(6.1) If the whole of a pension plan that is not a negotiated contribution plan is terminated, the employer shall pay into the pension fund, in accordance with the regulations, the amount — calculated periodically in accordance with the regulations — that is required to ensure that any obligation of the plan with respect to pension benefits, as they are determined on the date of the termination, is satisfied.

(7) On the first day on which both subsection 1816(7) of the other Act and subsection 194(4) of this Act are in force, the Pension Benefits Standards Act, 1985 is amended by replacing subsection 29(9) with the following:

Actuarial termination report

(9) On the termination of the whole or part of a pension plan, the administrator of the plan shall file with the Superintendent, in the form and manner, if any, that the Superintendent directs, a termination report prepared by a person having the prescribed qualifications, setting out the nature of the pension benefits and other benefits to be provided under the plan and a description of the methods of allocating and distributing those benefits and deciding the priorities in respect of the payment of full or partial benefits to the members. The report must also give the amount referred to in subsection (6.1) — calculated as at the date of termination — and contain any prescribed information.

(8) If subsection 1820(12) of the other Act comes into force before this section, then the references to “39(c)” and “Section 39” in section 196 of this Act are replaced by “39(1)(c)” and “Subsection 39(1)”, respectively.

(9) If subsection 1820(12) of the other Act comes into force after this section comes into force but before subsection 196(3) of this Act comes into force, then, on the coming into force of that subsection 1820(12), that subsection 196(3) is amended by replacing “Section 39” with “Subsection 39(1)”.

Coming into Force

Order in council

199. Subsection 179(1), section 183, subsection 192(1), section 195 and subsection 196(3) come into force on a day or days to be fixed by order of the Governor in Council.

Published under authority of the Speaker of the House of Commons

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