7-911175
Effective date of paragraph 147.1(11)(d) of the Income Tax Act (the "Act")
This is in reply to your memo of April 18, 1991 wherein you requested our opinion as to whether paragraph 147.1(11) (d) of the Act is currently effective. Paragraph 147.1( 11) of the Act was introduced in December 1989 as part of Bill C-52. It is stated in the Explanatory Notes to Bill C-52 that section 147.1 of the Act is effective for 1989 and subsequent years, except where expressly stated otherwise. The portion of Bill C-52 relating to the Act came into force on June 27, 1990. Accordingly, paragraph 147.1(11) (d) of the Act is currently effective.
As paragraph 147.1(11) (m) states that where paragraph 147.1(11) (d) applies the Minister can revoke the registration of the plan on the date that the condition or requirement imposed by the Minister was not complied with, we are of the opinion that the registration of the pension plan can be revoked retroactively.
We trust the above comments will be of assistance to you.
for DirectorFinancial Industries DivisionRulings Directorate