Under the Employees Provident Fund of Malaysia (“EPF”), which is administered by the Ministry of Finance Malaysia, employees and employers are required to make minimum mandatory contributions, which are deductible under the limits imposed by Malaysian tax law. A member generally is only entitled to withdraw accrued benefits relating to his or her contributions upon retirement at 55, death, incapacity, or emigration. Is an individual who received a lump sum payment from the EPF entitled to contribute that amount to an RRSP on a tax-deferred basis?
Before paraphrasing the requirements under s. 60(1)(j)(i) for such a deduction, CRA stated:
a foreign plan will be considered to be a superannuation or pension plan where contributions are made to the plan by or on behalf of the employer or former employer of an employee in consideration for services rendered by the employee and the contributions are used to provide an annuity or other periodic payment on or after the employee’s retirement.