Revenu Canada Taxation Head Office cipal
W.E. Douglas (613) 995-0051
January 28, 1986
XXXX
This is in reply to your letter of November 22, 1985 concerning qualified investments for self-directed registered retirement savings plans.
Paragraph 146(1)(g) of the Income Tax Act provides, among other things, that an annuity described in paragraph 146(1)(i.1) is a qualified investment for a trust governed by an RRSP. Paragraph 146(1)(i.1) requires that the annuity commence at "maturity" of the plan which is, pursuant to paragraph 146(1)(d), the date fixed under the RRSP for the commencement of retirement income under the plan. It is our view therefore that an annuity whose payments are delayed until such time as the RRSP matures will be a qualified investment provided that the other requirements of 146(1)(g)(iii) and 146(l)(i.1) are satisfied.
With respect to your second enquiry, it is our view that a retirement income fund, registered or otherwise, would not be a qualified investment for an RRSP.
We trust that the above comments are of assistance.
Yours truly,
for Director Financial Industries Division Rulings Directorate