Retirement Compensation Arrangements Regulations, No. 1

Version of section 20 from 2006-03-22 to 2016-06-16:

  •  (1) Where under this Part an amount has been paid in error, the Minister shall forthwith demand payment from the recipient of an amount equal to the amount paid in error.

  • (2) A person from whom payment of an amount has been demanded by the Minister pursuant to subsection (1) shall, within 30 days after the day on which the demand is made

    • (a) pay that amount to the Minister in one lump sum; or

    • (b) notify the Minister that the person wishes to repay the amount, plus any charges calculated under this paragraph, in approximately equal monthly instalments to be deducted from the person’s benefit for the lesser of

      • (i) the life expectancy of the person, and

      • (ii) the period required to pay that amount and those charges in monthly instalments equal to 10 per cent of the gross monthly amount of the benefit,

      calculated as at the expiration of the 30 day period in accordance with Life Table No. 2 of Vital Statistics Report, No. 4 — Life Tables for Canada and Regions — 1941 and 1931, published by the Department of Trade and Commerce, Dominion Bureau of Statistics, Ottawa, 1947.

  • (3) Where a person referred to in subsection (2) does not pay the amount owing within 30 days after the day on which the demand for payment is made, deductions shall be made from the person’s benefit in the manner set out in paragraph (2)(b).

  • (4) A person in respect of whom deductions are made under this section may, at any time,

    • (a) pay the amount then owing and the charges calculated under paragraph (2)(b), in one lump sum; or

    • (b) arrange to pay the amount then owing and the charges calculated under paragraph (2)(b),

      • (i) by larger monthly instalments, or

      • (ii) by a lump sum payment and monthly instalments payable over the same or a shorter period than that provided under that paragraph.

  • (5) Where deductions are to be made pursuant to paragraph (2)(b), the first deduction shall be made in the month following the month in which the 30 day period referred to in subsection (2) ends.

  • (6) Notwithstanding subsection (2), where the monthly deduction referred to in that subsection would cause financial hardship to the person to whom the benefit is payable, a lesser monthly deduction shall be made in an amount equal to the greater of $1 and 5 per cent of the gross monthly amount of the benefit.

  • (7) Where a person in respect of whom lesser deductions are made pursuant to subsection (6) dies before the amount owing is paid in full, the balance remaining unpaid shall be recovered from any further benefits payable under the retirement compensation arrangement in respect of that person.

  • (8) For the purposes of this section, a demand by the Minister for payment of an amount shall be considered to have been made on the day on which a letter demanding payment and signed by or on behalf of the Minister is mailed.

  • (9) Nothing in this section prohibits a person from paying an amount at any time before that amount becomes payable.

  • SOR/2002-73, s. 32
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