| 19(1) | File No. 7-4319 |
| Maureen Shea-DesRosierss | |
| (613) 957-8953 |
October 11, 1989
Dear Sirs:
Re: Transfer of Retiring Allowance payment to Registered Retirement Savings Plan ("RRSP")
This is in reply to your letter of august 31, 1989 addressed to the Toronto District Office which was forwarded to us for reply.
In our telephone conversation 19(1) Shea-DesRosiers) of October 3, 1989, it was explained to you that we could not confirm your request as presented and we could only offer general comments on the application of paragraph 60(j.1) of the Income Tax act since your request would have to be addressed by way of an advance income tax ruling. You advised you were aware of this and our general comments would be sufficient.
It is the Department's position that the "number of years" referred to in subparagraph 60(j.1)(ii) of the Act includes the years the retiree was employed by an employer or a person related to the employer. the latter includes the foreign subsidiary of a Canadian parent company. Accordingly, the ears in which the employee was employed by the foreign subsidiary of the Canadian parent company would be included in determining the amounts under subparagraph 60(j.1)(ii) of the Act.
The above comments are an expression of opinion only. They do not form an advance income tax ruling and are not binding on the Department. We trust, however, that they will be of assistance to you.
Yours truly,
for DirectorFinancial Industries DivisionRulings Directorate