5-903525
Dear Sirs:
19(1)
This is in reply to your letter of December 4, 1990 in request of our clarification of the amount deductible by, 19(1) in respect of
Through recent discussions with officials of the Department of Supply and Services, we have clarified that repayments of CFSA pension benefits in these circumstances are made to the CFSA plan and not to the PSSA plan. Accordingly
19(1) For years prior to 1991 the deduction may be claimed in accordance with the provisions of subparagraph 8(1)(m)(iii) of the Income Tax Act (the "Act") and for 1991 and subsequent years it may be made in accordance with paragraph 147.2(4)(c) of the Act. In general, these sections are identical and will allow a deduction, in each year, of the lesser of the contributions made in a year and $3500, less the total of any claims for current or other past service contributions made to the C
FSA, PSSA or any other pension plan in that same year. Any contributions not claimed in the year paid may be carried forward and deducted in a subsequent year subject, however, to the same limitations.
We trust this information is satisfactory to your needs.
Yours truly,
for DirectorFinancial Industries DivisionRulings Directorate