Budget Implementation Act, 2018, No. 1 (S.C. 2018, c. 12)
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Assented to 2018-06-21
PART 6Various Measures (continued)
DIVISION 19R.S., c. C-8Canada Pension Plan (continued)
Amendments to the Act (continued)
381 (1) Subsections 55.2(5.1) to (7) of the Act are replaced by the following:
Marginal note:Division of first additional unadjusted pensionable earnings
(5.1) If there is a division under section 55.1, the first additional unadjusted pensionable earnings for each person subject to the division for the period of cohabitation attributable to first additional contributions made under this Act, determined in the same manner as the total first additional pensionable earnings of a contributor attributable to first additional contributions made under this Act are determined in section 78.1, are to be added and then divided equally, and the first additional unadjusted pensionable earnings so divided are to be attributed to each person.
Marginal note:Division of second additional unadjusted pensionable earnings
(5.2) If there is a division under section 55.1, the second additional unadjusted pensionable earnings for each person subject to the division for the period of cohabitation attributable to second additional contributions made under this Act, determined in the same manner as the total second additional pensionable earnings of a contributor attributable to second additional contributions made under this Act are determined in section 78.2, are to be added and then divided equally, and the second additional unadjusted pensionable earnings so divided are to be attributed to each person.
Marginal note:Effect of division of base unadjusted pensionable earnings
(6) If there is a division of base unadjusted pensionable earnings under section 55.1 and under a provincial pension plan, for the purposes of benefit calculation and payment under this Act, the total base unadjusted pensionable earnings of a contributor for a year of division are the aggregate of their base unadjusted pensionable earnings attributed under subsection (5) and their base unadjusted pensionable earnings attributed under a provincial pension plan.
Marginal note:Effect of division of first additional unadjusted pensionable earnings
(6.1) If there is a division of first additional unadjusted pensionable earnings under section 55.1 and under a provincial pension plan, for the purposes of benefit calculation and payment under this Act, the total first additional unadjusted pensionable earnings of a contributor for a year of division are the aggregate of their first additional unadjusted pensionable earnings attributed under subsection (5.1) and their first additional unadjusted pensionable earnings attributed under a provincial pension plan.
Marginal note:Effect of division of second additional unadjusted pensionable earnings
(6.2) If there is a division of second additional unadjusted pensionable earnings under section 55.1 and under a provincial pension plan, for the purposes of benefit calculation and payment under this Act, the total second additional unadjusted pensionable earnings of a contributor for a year of division are the aggregate of their second additional unadjusted pensionable earnings attributed under subsection (5.2) and their second additional unadjusted pensionable earnings attributed under a provincial pension plan.
Marginal note:Provincial pension plans
(7) No division of unadjusted pensionable earnings under section 55.1 is to be made for any month during which the persons subject to the division cohabited and for which either of them contributed to a provincial pension plan (and, for the purposes of this subsection, months during which the persons cohabited are to be determined in the prescribed manner), unless the unadjusted pensionable earnings attributed to the persons under the provincial pension plan are divided for that month in a manner substantially similar to that described in this section and section 55.1.
(2) Paragraph 55.2(8.1)(c) of the Act is replaced by the following:
(c) for the period in which one of the persons was a beneficiary of a retirement pension under this Act or under a provincial pension plan.
(3) Paragraph 55.2(8.2)(b) of the Act is replaced by the following:
(b) for the period in which one of the persons was a beneficiary of a retirement pension under this Act or under a provincial pension plan.
382 (1) Subsections 57(1) and (1.1) of the Act are replaced by the following:
Marginal note:Amount of death benefit
57 (1) A death benefit payable to the estate or succession of a contributor is a lump sum amount equal to
Marginal note:Maximum in cases of death after December 31, 1997
(1.1) Despite paragraph 57(1)(a), when the contributor’s death occurs after December 31, 1997, the lump sum referred to in that paragraph shall not exceed $2,500.
(2) The portion of subsection 57(2) of the Act before paragraph (a) is replaced by the following:
Marginal note:Calculation of contributor’s retirement pension
(2) The amount of the contributor’s retirement pension to be used for the purposes of paragraph (1)(a) is
383 (1) The portion of paragraph 58(1)(a) of the Act before subparagraph (i) is replaced by the following:
(a) in the case of a survivor who has not reached 65 years of age and to whom no retirement pension is payable under this Act or a provincial pension plan, for any month before January 2019, a basic monthly amount consisting of
(2) Subsection 58(1) of the Act is amended by striking out “and” at the end of paragraph (a) and by adding the following after paragraph (a):
(a.1) in the case of a survivor who has not reached 65 years of age and to whom no retirement pension is payable under this Act or a provincial pension plan, for any month after December 2018, a basic monthly amount consisting of
(3) The portion of subsection 58(1.1) of the Act before paragraph (a) is replaced by the following:
Marginal note:Amount of flat rate benefit
(1.1) The amount of the flat rate benefit referred to in subparagraphs (1)(a)(i) and (a.1)(i) is
(4) Clause 58(2)(a)(i)(A) of the Act is replaced by the following:
(5) Clause 58(6)(a)(i)(A) of the Act is replaced by the following:
(A) the flat rate benefit payable under subparagraph (1)(a)(i) or (a.1)(i), and
(6) Clause 58(6)(a)(ii)(A) of the Act is replaced by the following:
(A) the aggregate of
(I) the greater of
1 the amount that would have been payable under subparagraph (1)(a)(ii) or (a.1)(ii) if the amounts referred to in clauses (1)(a)(ii)(B) and (C) or (a.1)(ii)(B) and (C) had not been included in the calculation made under that subparagraph, and
2 the amount that would have been payable under paragraph 56(1)(b) if the amounts referred to in subparagraphs 56(1)(b)(ii) and (iii) had not been included in the calculation made under that paragraph, and
(II) 60% of the lesser of the amount described in sub-subclause (I)(1) and the amount described in sub-subclause (I)(2), and
(7) Paragraphs 58(6)(b) and (c) of the Act are replaced by the following:
(b) the aggregate of
(i) the greater of
(A) the amount that would have been payable under subparagraph (1)(a)(ii) or (a.1)(ii) if the amounts referred to in clauses (1)(a)(ii)(A) and (C) or (a.1)(ii)(A) and (C) had not been included in the calculation made under that subparagraph, and
(B) the amount that would have been payable under paragraph 56(1)(b) if the amounts referred to in subparagraphs 56(1)(b)(i) and (iii) had not been included in the calculation made under that paragraph, and
(ii) 60% of the lesser of the amount described in subclause (A) and the amount described in subclause (B), and
(c) the aggregate of
(i) the greater of
(A) the amount that would have been payable under subparagraph (1)(a)(ii) or (a.1)(ii) if the amounts referred to in clauses (1)(a)(ii)(A) and (B) or (a.1)(ii)(A) and (B) had not been included in the calculation made under that subparagraph, and
(B) the amount that would have been payable under paragraph 56(1)(b) if the amounts referred to in subparagraphs 56(1)(b)(i) and (ii) had not been included in the calculation made under that paragraph, and
(ii) 60% of the lesser of the amount described in subclause (A) and the amount described in subclause (B).
(8) Subparagraph 58(6.2)(a)(i) of the Act is replaced by the following:
(i) the flat rate benefit payable under subparagraph (1)(a)(i) or (a.1)(i), and
(9) Subparagraph 58(6.2)(b)(i) of the Act is replaced by the following:
(i) the aggregate of the amounts payable under subparagraph (1)(a)(ii) or (a.1)(ii) and paragraph 56(1)(b), and
(10) Paragraphs 58(8)(a) to (c) of the Act are replaced by the following:
(a) the aggregate of
(i) the greater of
(ii) the lesser of
(A) the aggregate of
(I) the greater of
1 the amount that would have been payable under subparagraph (1)(a)(ii) or (a.1)(ii), as the case may be, if the amounts referred to in clauses (1)(a)(ii)(B) and (C) or (a.1)(ii)(B) and (C), as the case may be, had not been included in the calculation made under that subparagraph, and
2 the base portion of the contributor’s retirement pension payable to the survivor under the provincial pension plan in respect of disability, and
(II) 60% of the lesser of the amount described in subclause (I)(1) and the amount described in subclause (I)(2), and
(B) 75% of the amount of a benefit of 25% of 1/12 of the survivor’s Maximum Pensionable Earnings Average for the later of the year in which the survivor first became qualified to receive the survivor’s pension and the year in which the survivor’s disability pension commenced to be payable, adjusted in accordance with subsection 45(2) as if the benefit had commenced to be payable in the later of the year in which the survivor first became qualified to receive the survivor’s pension and the year in which the survivor’s disability pension commenced to be payable,
(b) the aggregate of
(i) the greater of
(A) the amount that would have been payable under subparagraph (1)(a)(ii) or (a.1)(ii), as the case may be, if the amounts referred to in clauses (1)(a)(ii)(A) and (C) or (a.1)(ii)(A) and (C), as the case may be, had not been included in the calculation made under that subparagraph, and
(B) the first additional portion of the contributor’s retirement pension payable to the survivor under the provincial pension plan in respect of disability, and
(ii) 60% of the lesser of the amount described in subclause (A) and the amount described in subclause (B), and
(c) the aggregate of
(i) the greater of
(A) the amount that would have been payable under subparagraph (1)(a)(ii) or (a.1)(ii), as the case may be, if the amounts referred to in clauses (1)(a)(ii)(A) and (B) or (a.1)(ii)(A) and (B), as the case may be, had not been included in the calculation made under that subparagraph, and
(B) the second additional portion of the contributor’s retirement pension payable to the survivor under the provincial pension plan in respect of disability, and
(ii) 60% of the lesser of the amount described in subclause (A) and the amount described in subclause (B).
(11) Subparagraph 58(8.1)(a)(i) of the Act is replaced by the following:
(i) the flat rate benefit payable under subparagraph (1)(a)(i) or (a.1)(i), and
(12) Clause 58(8.1)(b)(i)(A) of the Act is replaced by the following:
(A) the amounts payable under subparagraph (1)(a)(ii) or (a.1)(ii), and
- Date modified: