| 19(1) | File No. 5-8763 |
| F. Francis | |
| (613) 957-3496 |
November 16, 1989
19(1)
This is in reply to your letter of September 19, 1989 wherein you requested our comments in respect of the following situation:
24(1)
As noted in Information Circular 70-6R, we do not give opinions in respect of proposed transactions, other than as a reply to an advance income tax ruling request. Enclosed is a copy of Information Circular 70-6R which sets out the procedures required for requesting a ruling. However, we will offer the following general comments.
Generally, it is our view that the transfer of a RRIF to an intervivos trust would result in the assignment of payments under the RRIF. Pursuant to paragraph 146.3(2)(b) of the Income Tax Act (the "Act"), this is contrary to the registration requirements and would result in the deregistration of the RRIF under subsection 146.34(11) of the Act.
We regret that our reply could not be more favourable.
Yours truly,
for Director Financial Industries DivisionRulings Directorate