Eligible Service

• (a) the only lifetime retirement benefits provided under the provision to a member (other than additional lifetime retirement benefits provided to a member because the member is totally and permanently disabled at the time the member’s retirement benefits commence to be paid) are lifetime retirement benefits provided in respect of one or more of the following periods (other than the portion of a period that is after the calendar year in which the member attains 71 years of age), namely,

• (g) the provisions in paragraph (2)(m), Part LXXXIII and subsection 8517(4) that depend on whether the member’s retirement benefits have commenced to be paid apply to past service events, commutations and transfers occurring in the period in which the member’s benefits are suspended as if the member’s benefits had not previously commenced to be paid.

•  

  Definitions

• (16) The following definitions apply in this subsection and in subsections (17) to (23).

  “qualifying period”

  “qualifying period” of a member under a defined benefit provision of a pension plan means a period throughout which the member is employed by an employer who participates in the plan but does not include any period that is before the day that is the first day, on or after the later of the following days, in respect of which retirement benefits are provided under the provision to the member:

  • (a) the day on which retirement benefits first commenced to be paid to the member under the provision; and

  • (b) the member’s specified eligibility day under the provision. (période admissible)

  “specified eligibility day”

  “specified eligibility day” of a member under a defined benefit provision of a pension plan means the earlier of

  • (a) the later of

    • (i) the day on which the member attains 55 years of age, and

    • (ii) the day on which the member attains the earliest age at which payment of the member’s lifetime retirement benefits may commence under the terms of the provision without a reduction computed by reference to the member’s age, duration of service, or both (and without any other similar reduction), otherwise than because of the member being totally and permanently disabled; and

  • (b) the day on which the member attains 60 years of age. (date d’admissibilité)

•  

  Bridging Benefits Payable on a Stand-alone Basis

• (17) The condition in subparagraph (2)(b)(i) that bridging benefits be payable to a member under a defined benefit provision of a pension plan for a period beginning no earlier than the time lifetime retirement benefits commence to be paid under the provision to the member does not apply where the following conditions are satisfied:

  • (a) the bridging benefits do not commence to be paid before the member’s specified eligibility day under the provision;

  • (b) the plan provides that bridging benefits are payable under the provision to the member only for calendar months

    • (i) at any time in which the member is employed by an employer who participates in the plan, or

    • (ii) that begin on or after the time the member’s lifetime retirement benefits under the provision commence to be paid;

  • (c) the member was not, at any time before the time at which the bridging benefits commence to be paid, connected with an employer who participates in the plan; and

  • (d) the plan is not a designated plan.

  Rules of Application

• (18) Where bridging benefits under a defined benefit provision of a pension plan commence to be paid to a member in circumstances to which subsection (17) applies, the following rules apply:

  • (a) if the member dies before lifetime retirement benefits under the provision commence to be paid to the member, subsections (2) and (6) apply in respect of benefits provided under the provision on the death of the member as if the bridging benefits had not commenced to be paid before the member’s death; and

  • (b) the provisions in paragraph (2)(m), Part LXXXIII and subsection 8517(4) that depend on whether the member’s retirement benefits have commenced to be paid apply to past service events, commutations and transfers occurring before lifetime retirement benefits under the provision commence to be paid to the member as if the bridging benefits had not commenced to be paid.

  Benefit Accruals After Pension Commencement

• (19) Paragraph (3)(b) does not apply to retirement benefits (in this subsection and in subsections (20) and (21) referred to as “additional benefits”) provided under a defined benefit provision of a pension plan to a member of the plan if the following conditions are satisfied:

  • (a) the additional benefits are provided in respect of all or part of a qualifying period of the member under the provision;

  • (b) the amount of retirement benefits payable to the member under the provision for each whole calendar month in the qualifying period does not exceed 5% of the amount (expressed on an annualized basis) of retirement benefits that have accrued under the provision to the member to the beginning of the month, determined without a reduction computed by reference to the member’s age, duration of service, or both, and without any other similar reduction (except that, if the plan limits the amount of pensionable service of a member or prohibits the provision of benefits in respect of periods after a member attains a specific age or combination of age and pensionable service, this condition does not apply to any calendar month in respect of which no benefits can be provided to the member because of the limit or prohibition, as the case may be);

  • (c) no part of the additional benefits are provided as a consequence of a past service event, unless the benefits are provided in circumstances to which subsection 8306(1) would apply if no qualifying transfers were made in connection with the past service event;

  • (d) the member was not, at any time before the additional benefits become provided, connected with an employer who participates in the plan; and

  • (e) the plan is not a designated plan.

  Redetermination of Benefits

• (20) Where the amount of retirement benefits payable under a defined benefit provision of a pension plan to a member is redetermined to include additional benefits provided to the member in respect of a qualifying period of the member under the provision, the conditions in paragraph (2)(b) and section 8504 apply in respect of benefits payable under the provision to the member after the redetermination as if the member’s retirement benefits had first commenced to be paid at the time of the redetermination.

  Rules of Application

• (21) Where additional benefits are provided under a defined benefit provision of a pension plan to a member in respect of a qualifying period of the member under the provision, the following rules apply:

  • (a) if the qualifying period ends as a consequence of the member’s death, subsections (2) and (6) apply in respect of benefits provided under the provision on the death of the member as if the member’s retirement benefits had not commenced to be paid before the member’s death; and

  • (b) the provisions in paragraph (2)(m), Part LXXXIII and subsection 8517(4) that depend on whether the member’s retirement benefits have commenced to be paid apply to past service events, commutations and transfers occurring in the qualifying period as if the member’s retirement benefits had not commenced to be paid.

  Anti-avoidance

• (22) Subsections (20) and (21) do not apply where it is reasonable to consider that one of the main reasons for the provision of additional benefits to the member is to obtain the benefit of any of those subsections.

  Cross-plan Rules

• (23) Where a member is provided with benefits under two or more associated defined benefit provisions, the determination of whether the conditions in subsections (17) and (19) are satisfied in respect of benefits payable or provided to the member under a particular associated provision shall be made on the basis of the following assumptions:

  • (a) benefits payable to the member under each of the other associated provisions were payable under the particular associated provision;

  • (b) if, before the member’s specified eligi-bility day (determined without reference to this paragraph) under the particular associated provision, the member had commenced to receive retirement benefits under another associated provision on or after the member’s specified eligibility day under that provision, the member’s specified eligibility day under the particular associated provision were the member’s specified eligibility day under that other associated provision; and

  • (c) if one or more of the other associated provisions is in a designated plan, the plan that includes the particular provision were also a designated plan.

  Associated Defined Benefit Provisions

• (24) For the purpose of subsection (23), a defined benefit provision is associated with another defined benefit provision (other than a provision that is not in a registered pension plan) if

  • (a) the provisions are in the same pension plan; or

  • (b) the provisions are in separate pension plans and

    • (i) there is an employer who participates in both plans, or

    • (ii) an employer who participates in one of the plans does not deal at arm’s length with an employer who participates in the other plan.

  Subsection (24) not Applicable

• (25) A particular defined benefit provision of a pension plan is not associated with a defined benefit provision of another pension plan if it is unreasonable to expect the benefits under the particular provision to be coordinated with the benefits under the other provision and the Minister has agreed not to treat the particular provision as being associated with the other provision.

• (2) For the purposes of subsection (1) and paragraph 8505(3)(d), the highest average compensation of a member of a pension plan for the purpose of a defined benefit provision of the plan, indexed to the calendar year (in this subsection referred to as the “year of commencement”) in which the member’s lifetime retirement benefits under the provision commence to be paid, is,

• (vii) no part of the period is after the earlier of

  • (A) the time at which bridging benefits commence to be paid to the individual in circumstances to which subsection 8503(17) applied, and

  • (B) the earliest day in respect of which benefits have been provided to the individual in circumstances to which subsection 8503(19) applied; and

• (a) a debt obligation described in paragraph (a) of the definition “fully exempt interest” in subsection 212(3) of the Act;

• (d) at the time the contribution is made, the plan is not a designated plan.

• (d) at the time the contribution is made, the plan is not a designated plan.

• (e) at the time the contribution is made, the plan is not a designated plan.

PART XCIVPRESCRIBED PROGRAMS OF PHYSICAL ACTIVITY

Interpretation

• 9400. (1) The following definitions apply in this Part.

  “physical activity”

  “physical activity” means a supervised activity suitable for children (other than an activity where a child rides on or in a motorized vehicle as an essential component of the activity) that

  • (a) in the case of a qualifying child in respect of whom an amount is deductible under section 118.3 of the Act in computing any person’s income for the taxation year, results in movement and in an observable expenditure of energy in a recreational context; and

  • (b) in the case of any other child, contributes to cardio-respiratory endurance and to one or more of the following:

    • (i) muscular strength,

    • (ii) muscular endurance,

    • (iii) flexibility, and

    • (iv) balance. (activité physique)

  “qualifying child”

  “qualifying child” has the meaning assigned by subsection 118.03(1) of the Act. (enfant admissible)

•  

  Prescribed Program of Physical Activity

• (2) For the purpose of the definition “eligible fitness expense” in subsection 118.03(1) of the Act, a prescribed program of physical activity is

  • (a) a weekly program, that is not part of a school’s curriculum, of a duration of eight or more consecutive weeks in which all or substantially all of the activities include a significant amount of physical activity;

  • (b) a program, that is not part of a school’s curriculum, of a duration of five or more consecutive days of which more than 50% of the daily activities include a significant amount of physical activity;

  • (c) a program, that is not part of a school’s curriculum, of a duration of eight or more consecutive weeks, offered to children by a club, association or similar organization (in this section referred to as an “organization”) in circumstances where a participant in the program may select amongst a variety of activities if

    • (i) more than 50% of those activities offered to children by the organization are activities that include a significant amount of physical activity, or

    • (ii) more than 50% of the time scheduled for activities offered to children in the program is scheduled for activities that include a significant amount of physical activity; or

  • (d) a membership in an organization, that is not part of a school’s curriculum, of a duration of eight or more consecutive weeks if more than 50% of all the activities offered to children by the organization include a significant amount of physical activity.

  Mixed-use Facility

• (3) For the purpose of the definition “eligible fitness expense” in subsection 118.03(1) of the Act, a prescribed program of physical activity is that portion of a program, which program does not meet the requirements of paragraph (2)(c) and is not part of a school’s curriculum, of a duration of eight or more consecutive weeks, offered to children by an organization in circumstances where a participant in the program may select amongst a variety of activities

  • (a) that is the percentage of those activities offered to children by the organization that are activities that include a significant amount of physical activity; or

  • (b) that is the percentage of the time scheduled for activities in the program that is scheduled for activities that include a significant amount of physical activity.

  Membership

• (4) For the purpose of the definition “eligible fitness expense” in subsection 118.03(1) of the Act, a prescribed program of physical activity is that portion of a membership in an organization, which membership does not meet the requirements of paragraph (2)(d) and is not part of a school’s curriculum, of a duration of eight or more consecutive weeks that is the percentage of all the activities offered to children by the organization that are activities that include a significant amount of physical activity.

  Horseback Riding

• (5) For the purpose of the definition “physical activity” in subsection (1), horseback riding is deemed to be an activity that contributes to cardio-respiratory endurance and to one or more of muscular strength, muscular endurance, flexibility and balance.