| May 18, 1990 | |
| VANCOUVER DISTRICT OFFICE | HEAD OFFICE |
| Chief of Source Deductions | Financial Industries Division |
| CPP/UI Rulings | D. Duff |
| (613) 957-3498 | |
| Attention: W.R. Woodgate | |
| File No. 900701 |
SUBJECT: 24(1) Deferred Salary/Leave Plans Canada Pension Plan (CPP) Deductions
This is in reply to your memorandum of May 4, 1990 concerning the letter from 19(1) of the above noted 24(1)
We concur with your proposed response that there is only one employer when the employer also acts as trustee for the deferred amounts. Also it is the Department's position that CPP deductions are to be based on the amount received in the year. Consequently, if the deferred amount is paid in the year following termination, the CPP deductions would be applied to that amount.
We trust this is satisfactory.
Wayne DouglasChiefDeferred Income Plans and Trusts Section Financial Industries DivisionRulings Directorate
c.c. Director Source Deductions Division Collections and Accounting Directorate