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Canada Pension Plan (R.S.C., 1985, c. C-8)

Full Document:  

Act current to 2020-09-09 and last amended on 2020-03-01. Previous Versions

PART IContributions (continued)

DIVISION EGeneral

Refunds of Overpayments

Marginal note:Refund of overpayment

  •  (1) If an overpayment has been made by an employee on account of the employee’s contributions under this Act for a year, the Minister must, if application in writing is made to the Minister by the employee not later than four years — or, in the case of an employee who, in respect of a disability pension, is notified after September 1, 2010 of a decision under subsection 60(7) or 81(2), a decision under subsection 82(11) or 83(11) as those subsections read immediately before their repeal or a decision under section 54 or 59 of the Department of Employment and Social Development Act, 10 years — after the end of the year, refund to the employee the amount of the overpayment.

  • Marginal note:Refund after decision on appeal

    (2) If an amount on account of contributions is deducted from the remuneration of an employee or is paid by an employer with respect to an employee, and it is decided by a decision on an appeal made under section 27, 27.1 or 28 that the amount exceeds the amount required by this Act to be deducted or paid, the Minister shall refund the excess if the employee or employer applies for it in writing to the Minister not later than 30 days after the decision is communicated to the employee or employer, as the case may be.

  • Marginal note:Refund of excess — employee

    (3) Despite anything in this Part, if an employee applies to the Minister and satisfies the Minister that, for any year, the amount deducted from the employee’s remuneration exceeds the contributions for the year required of the employee under section 8, the Minister may refund the amount of the excess. The application must be made within four years — or, in the case of an employee who, in respect of a disability pension, is notified after September 1, 2010 of a decision under subsection 60(7) or 81(2), a decision under subsection 82(11) or 83(11) as those subsections read immediately before their repeal or a decision under section 54 or 59 of the Department of Employment and Social Development Act, 10 years — after the end of the year.

  • Marginal note:Refund of amount remitted in excess — employer

    (3.1) Subject to subsection (3.2) but despite any other provision of this Part, if an employer applies to the Minister and satisfies the Minister that, for any year, the amount remitted by the employer as the employer’s contributions with respect to an employee exceeds the contributions for the year required of the employer under section 9 with respect to the employee, the Minister may refund the amount of the excess. The application must be made within four years after the end of the year.

  • Marginal note:No refund of employers’ contributions

    (3.2) No refund may be made of any contribution required to be made as an employer’s contribution under section 9.

  • Marginal note:Refund — section 21.01 amounts

    (3.3) If an amount remitted by an employer is deemed under section 21.01 not to have been deducted, the Minister may refund that amount to the employer if the employer applies to the Minister for the refund within four years after the end of the year for which the amount was remitted.

  • Marginal note:Refund of excess — self-employed person

    (4) If a person has paid, on account of the contributions required to be made by the person for a year in respect of the person’s self-employed earnings, an amount in excess of the contributions, the Minister

    • (a) may refund that part of the amount so paid in excess of the contributions on sending the notice of assessment of the contributions, without any application having been made for the refund; and

    • (b) must make such a refund after sending the notice of assessment, if application is made in writing by the contributor not later than four years — or, in the case of a contributor who, in respect of a disability pension, is notified after September 1, 2010 of a decision under subsection 60(7) or 81(2), a decision under subsection 82(11) or 83(11) as those subsections read immediately before their repeal or a decision under section 54 or 59 of the Department of Employment and Social Development Act, 10 years — after the end of the year.

  • Marginal note:Refund after correction of record of earnings

    (4.1) Where an amount on account of a contribution is paid by a person in respect of self-employed earnings or is deducted from the remuneration of an employee and the Minister determines, taking into consideration an amendment made under section 97 to the Record of Earnings, that the amount paid or deducted is in excess of the amount required by this Act to be paid or deducted, the Minister may refund the excess.

  • Marginal note:Recovery of amount refunded or credited on liability

    (5) If an application under this section has been made to the Minister for a refund of any amount deducted on account of an employee’s contributions for a year and, whether on the basis of incorrect or incomplete information contained in the application or otherwise, the Minister has refunded an amount to the employee, or applied an amount to a liability of the employee to Her Majesty in right of Canada, in excess of the amount that should have been refunded or applied, the amount of the excess may be recovered at any time from the employee as a debt due to Her Majesty.

  • Marginal note:Application of refund to other debts

    (6) Instead of making a refund that might otherwise be made under this section, the Minister may, where the person to whom the refund is payable is liable or about to become liable to make any payment to Her Majesty in right of Canada, apply the amount of the refund to that liability and notify the person of that action.

  • Marginal note:Interest on overpayments

    (7) If an amount in respect of an overpayment is refunded or applied under this Act to any other liability, interest shall be paid or applied on the amount at a prescribed rate per annum under the circumstances and for the period or periods determined as prescribed, except that

    • (a) no interest shall be paid or applied if the amount of the interest is less than one dollar; and

    • (b) no interest shall be paid or applied on an amount that is refundable under subsection (4.1).

  • Marginal note:Non-application — subsection (7)

    (8) Subsection (7) does not apply in respect of an amount referred to in subsection (3.3) that is refunded or applied under this Act to any other liability.

  • R.S., 1985, c. C-8, s. 38
  • 1991, c. 49, s. 214
  • 1997, c. 40, s. 67
  • 2004, c. 22, s. 18
  • 2009, c. 31, s. 30
  • 2010, c. 25, s. 70
  • 2012, c. 19, s. 227
  • 2013, c. 40, s. 236
  • 2016, c. 14, s. 18
  • 2019, c. 29, s. 46

Marginal note:Refund of overpayment in accordance with agreement

  •  (1) Despite anything in this Act, if an overpayment has been made by an employee on account of the employee’s contributions for a year under this Act, the Minister may, in accordance with any agreement that may be entered into by the Minister with the approval of the Governor in Council with the appropriate authority of a province having the administration of the provincial pension plan referred to in subsection 8(2), if application in writing is made to the Minister by the employee not later than four years after the end of the year, refund to the employee the whole amount of the excess referred to in that subsection, in which case the whole of that amount is deemed to be an overpayment made by the employee on account of the employee’s contributions for that year under this Act.

  • Marginal note:Saving

    (2) If, in accordance with any agreement entered into under subsection (1), the appropriate authority of a province has refunded to an employee the whole amount of the excess referred to in subsection 8(2) with respect to that employee, the whole of that amount is deemed to be an overpayment made by the employee on account of the employee’s contributions for that year under the provincial pension plan referred to in that subsection.

  • Marginal note:Provision for making of financial adjustments

    (3) Any agreement entered into under subsection (1) may provide for the making of any financial adjustments required to be made by reason of any payments made to employees in accordance with that agreement and for the crediting or charging of the amount of those adjustments to the Canada Pension Plan Account or the Additional Canada Pension Plan Account, as the case may be.

  • R.S., 1985, c. C-8, s. 39
  • 2016, c. 14, s. 19

Regulations

Marginal note:Regulations

  •  (1) The Governor in Council may make regulations

    • (a) prescribing or providing anything that, by this Part, is to be prescribed or is to be provided by regulations;

    • (b) requiring any class of persons to file information returns respecting any class of information required in connection with contributions under this Act, including information respecting contributions of employees of any such persons identified by the province in which the employees were employed;

    • (c) requiring a person who is, by a regulation made under paragraph (b), required to file an information return to supply a copy of the return or a prescribed portion thereof to the person or persons in respect of whose contributions the return or portion thereof relates;

    • (d) prescribing a penalty not exceeding ten dollars a day for each day of default and not exceeding in all two hundred and fifty dollars to which a person who fails to comply with a regulation made under paragraph (b) or (c) shall be liable;

    • (e) defining the expressions agriculture, agricultural enterprise, employment of a casual nature, forestry, horticulture, fishing, hunting, international organization, logging, lumbering, trapping or working days for the purposes of this Act;

    • (f) respecting the manner in which any provision of this Act that applies or extends to an employer of an employee shall apply or extend to any person by whom the remuneration of an employee in respect of pensionable employment is paid either wholly or in part, and to the employer of any such employee;

    • (f.1) providing for the right of a person to whom a provision of this Act applies or extends by virtue of a regulation made under paragraph (f) to recover from the employer any amounts that the person becomes liable to pay by virtue of that regulation;

    • (g) specifying the circumstances in which and the conditions on which a person shall be deemed to be or have been, or not to be or have been, a member of the Canadian Forces or the Royal Canadian Mounted Police for the purposes of paragraph 6(2)(g);

    • (h) authorizing the Minister on behalf of the Government of Canada to enter into any agreement for giving effect to the provisions of paragraph 6(2)(h) or paragraph 7(1)(e) or (f);

    • (i) regulating the procedure to be followed in the determination by the Minister of questions under this Part;

    • (j) respecting the terms and conditions governing the making of refunds in accordance with any agreement under subsection 39(1) that may be entered into by the Minister on behalf of the Government of Canada; and

    • (k) generally for carrying out the purposes and provisions of this Part.

  • (2) [Repealed, 1998, c. 19, s. 256]

  • Marginal note:Effective date of regulations

    (3) A regulation made under paragraph (1)(a) prescribing rules referred to in subsection 21(1) shall have effect from the day it is published in the Canada Gazette or from such earlier or later day as may be specified in the regulation.

  • Marginal note:Effective date of certain agreements

    (4) Any agreement for giving effect to the provisions of paragraph 6(2)(h) or 7(1)(f) that is entered into by the Minister pursuant to regulations made under paragraph (1)(h) has effect with reference to a period before it was entered into if the agreement provides for that effect.

  • R.S., 1985, c. C-8, s. 40
  • 1991, c. 49, s. 215
  • 1998, c. 19, s. 256
  • 2004, c. 22, s. 19
  • 2018, c. 12, s. 371
 
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