APPLICATION TO CERTAIN RESERVE FORCE MEMBERS

Marginal note:Regulations

• 3.1 (1) The Governor in Council may make regulations respecting the manner in which and the extent to which any provisions of Parts I, II and III, or of any regulations made under those Parts, apply to members or former members, or classes of members or former members, of the reserve force that are prescribed in those regulations and adapting any of those provisions for the purposes of that application.

• Marginal note:Reserve force members who were deemed re-enrolled in regular force

  (2) For greater certainty, members of the reserve force who, immediately before the coming into force of this section, were deemed to be re-enrolled in the regular force under subsection 41(2) or (3) of this Act as it read immediately before its repeal are members, or classes of members, who may be prescribed by regulations made under subsection (1).

• Marginal note:Reserve force members who were participants under Part II

  (3) For greater certainty, members of the reserve force who, immediately before the coming into force of this section, were participants within the meaning of paragraph (b) of the definition “participant” in subsection 60(1) of this Act as it read immediately before its repeal are members, or classes of members, who may be prescribed by regulations made under subsection (1) for the purposes of the application and adaptation of any provisions of Part II.

• Marginal note:Other pensionable service

  (5) For the purpose of subsections (2) to (4), “other pensionable service” means service, other than service credited under a plan established in accordance with Part I.1, giving rise to a superannuation or pension benefit of a kind specified in the regulations payable

Marginal note:Elective service

• 7. (1) A contributor may, subject to regulations made under subsection (2) and paragraphs 50(1)(b) and (c), elect to pay for any period of service, or part of a period of service, of a kind prescribed in the regulations.

• Marginal note:Regulations

  (2) For the purposes of subsection (1), the Governor in Council may make regulations

  • (a) prescribing periods of service of a kind for which a contributor may elect to pay;

  • (b) prescribing the terms and conditions on which a contributor may elect to pay for periods of service, including terms and conditions on which a contributor may elect to pay for part only of a period of service and on which a contributor may be required to repay an amount that was paid to the contributor in respect of an annuity, annual allowance, pension or gratuity;

  • (c) respecting the manner of determining the amount that a contributor is required to pay for elective service and the terms and conditions of payment for that service, including terms and conditions for payment by instalments and the bases as to mortality and interest on which instalment payments are to be computed; and

  • (d) prescribing the circumstances in which an election made by a contributor is void.

• Marginal note:Payment to Canadian Forces Pension Fund

  (3) Any amount required to be paid by a contributor in respect of any period of service for which they have elected to pay under this Part after the coming into force of this subsection shall be paid into the Canadian Forces Pension Fund.

• Marginal note:Payment in respect of previous elections

  (4) Any amount that is required to be paid by a contributor after the coming into force of this subsection for a period of service for which they have elected to pay under the provisions of this Act as it read immediately before that coming into force shall be paid, in accordance with those provisions, into the Superannuation Account or the Canadian Forces Pension Fund, as the case may be.

Marginal note:Other elective service

• 8. (1) A contributor may, within two years after the coming into force of this section, elect, in accordance with subsection (2) or (3), as the case may be, to pay for any period of service that they would have been entitled to count as elective service under section 6 of this Act as it read immediately before that coming into force if they were a member of the regular force continuously from the day immediately before that coming into force until the day on which they make the election.

• Marginal note:Old rules applicable

  (2) If a contributor makes an election under subsection (1) to pay for a period of service for which they would not have been entitled to make an election under section 7, the provisions of this Act, and the regulations made under it, as they read immediately before the coming into force of this section, apply to an election under that subsection.

• Marginal note:New rules applicable and election regarding cost

  (3) If a contributor makes an election under subsection (1) to pay for a period of service for which they would also have been entitled to make an election under section 7, then subsection 7(3) and the regulations made under subsection 7(2) apply to the election made under subsection (1), except that the contributor may further elect, in accordance with the regulations, for the provisions of this Act, and the regulations made under it, as they read immediately before the coming into force of this section, to apply to the determination of the amount to be paid for the period of service and the terms and conditions applicable to payment for that service.

Marginal note:Election for absence from duty

• 9. (1) If, under any regulations made under paragraph 50(1)(e), a contributor is required to count as pensionable service for the purposes of this Act a period of service that exceeds three months, the contributor may, despite those regulations, elect, in accordance with the regulations, not to count as pensionable service that portion of the period that is in excess of three months.

• Marginal note:Contributions not required

  (2) Despite section 5, a contributor who makes an election under subsection (1) is not required to contribute to the Superannuation Account or the Canadian Forces Pension Fund under that section in respect of the portion of the period to which the election relates.

• Marginal note:Election for period of service before December 1, 1995

  (3) A contributor who makes an election under subsection (1) in respect of a period of service that ended before December 1, 1995 and who has, before that day, made some but not all of the contributions that are required to be made by the contributor to the Superannuation Account in respect of that period shall, at the time the election is made, cease to be required to make any further contributions to the Superannuation Account in respect of that period and shall count as pensionable service for the purposes of this Act such portion of that period as is prescribed by the regulations.

Marginal note:Amendment or revocation of election

9.1 An election under this Part may be amended by the elector, within the time prescribed by the regulations for the making of the election, by increasing the period or periods of service for which they elect to pay, and is otherwise irrevocable except under such circumstances and on such terms and conditions, including payment by the elector to Her Majesty of such amount in respect of any benefit accruing to the elector during the subsistence of the election, as a consequence of their having so elected, as is prescribed by the regulations.

Marginal note:Entitlement to benefits to cease on election

9.2 Despite anything in the Public Service Superannuation Act or the Royal Canadian Mounted Police Superannuation Act, on the making of any election under this Act to pay for service that they have to their credit under either of those Acts, the contributor so electing, and any person to whom any benefit might otherwise have become payable under the Public Service Superannuation Act or the Royal Canadian Mounted Police Superannuation Act, as the case may be, in respect of that contributor, cease to be entitled to any benefit under that Act in respect of any service of that contributor to which that election relates.

Marginal note:Regulations

9.3 The Governor in Council may make regulations prescribing the manner of determining the amount to be charged to the account maintained in the accounts of Canada, or the pension fund established pursuant to the Public Service Superannuation Act or the Royal Canadian Mounted Police Superannuation Act, as the case may be, and credited to the Canadian Forces Pension Fund or to the Superannuation Account, as the case may be, in respect of a contributor who elects to pay for a period of service that they were entitled to count for pension purposes under the Public Service Superannuation Act or the Royal Canadian Mounted Police Superannuation Act.

Benefits: Definitions, etc.

Marginal note:Duration of payment, etc., to contributor

• 11. (1) Where an annuity or an annual allowance becomes payable under this Part to a contributor, it shall, subject to the regulations, be paid in equal monthly instalments in arrears and shall continue, subject to this Part, during the lifetime of the contributor and thereafter until the end of the month during which the contributor dies, and any amount in arrears thereof that remains unpaid at any time after their death shall be paid as provided in section 26, in respect of a death benefit.

Marginal note:Revocation of option

12. If a contributor has exercised an option under this Part, the option may be revoked and a new option exercised by the contributor, in accordance with the regulations.

• (b) at the rates established in the regulations made under paragraph 50(1)(j) compounded quarterly, for any period beginning on or after January 1, 2001.

Annuities: How Computed

Benefits Payable to Contributors

Marginal note:Immediate annuity

• 16. (1) A contributor who ceases to be a member of the regular force and who has to their credit two or more years of pensionable service is entitled to an immediate annuity if

  • (a) they have completed not less than 25 years of Canadian Forces service as prescribed by regulations made under paragraph 50(1)(m);

  • (b) they have reached 60 years of age;

  • (c) they have reached 55 years of age and have to their credit not less than 30 years of pensionable service;

  • (d) they are disabled and have to their credit not less than 10 years of pensionable service; or

  • (e) they cease, otherwise than voluntarily, to be a member of the regular force because of a reduction in the maximum number of officers or non-commissioned members of the regular force authorized by the Governor in Council under section 15 of the National Defence Act or they cease, otherwise than voluntarily, to be a member of the regular force in any circumstances specified by the Treasury Board, and

    • (i) they have reached 55 years of age and have to their credit not less than 10 years of pensionable service, or

    • (ii) they have to their credit not less than 20 years of pensionable service.

• Marginal note:Regulations

  (2) Despite paragraph (1)(a), the Governor in Council may make regulations establishing, for officers, according to their rank, a number of years of Canadian Forces service greater than the minimum number of 25 years referred to in that paragraph and providing for that number to be reduced to 25 years over a maximum period of five years from the coming into force of this section, in the case of

  • (a) contributors who are members of the regular force on the coming into force of this section; and

  • (b) contributors who are entitled to an annuity on the coming into force of this section and who are subsequently re-enrolled in the regular force.

Marginal note:Deferred annuity

17. A contributor who ceases to be a member of the regular force, who has to their credit two or more years of pensionable service and who is not entitled to an immediate annuity, is entitled to a deferred annuity.

Marginal note:Annual allowance

• 18. (1) A contributor who is entitled to a deferred annuity may opt, in accordance with the regulations, for an annual allowance in place of the deferred annuity. The allowance is payable to the contributor

  • (a) immediately, if they are 50 or more years of age when they exercise their option; or

  • (b) on their reaching 50 years of age, if they are less than 50 years of age when they exercise their option.

• Marginal note:Amount of allowance

  (2) The amount of the annual allowance is equal to the amount of the deferred annuity, reduced by the product obtained by multiplying five per cent of the amount of that annuity by the number of years by which the contributor’s age in years, to the nearest one-tenth of a year, at the time the allowance is payable is less than 60.

• Marginal note:Alternative amount

  (3) If a contributor is 50 years or more of age when they cease to be a member of the regular force and has not less than 25 years of pensionable service to their credit, the amount of the annual allowance is the greater of

  • (a) the amount calculated under subsection (2), and

  • (b) the amount of the deferred annuity reduced by the product obtained by multiplying five per cent of the amount of that annuity by the greater of

    • (i) 55 minus the contributor’s age in years at the time they exercise their option, to the nearest one-tenth of a year, and

    • (ii) 30 minus the number of years of pensionable service to their credit, to the nearest one-tenth of a year.

• Marginal note:Adjustment

  (4) If a contributor who was receiving an annual allowance payable under subsection (1) re-enrols in the regular force, the amount of any annuity or annual allowance to which that contributor may become entitled under this Part on again ceasing to be a member of the regular force shall be adjusted in accordance with the regulations to take into account the amount of the annual allowance they have received.

Marginal note:Alternative annuity for certain members

• 19. (1) Subject to regulations made under subsection (2), a contributor who ceases to be a member of the regular force, having been a member continuously from the day immediately before the coming into force of this section until the day on which they ceased to be a member, is entitled, at their option, in place of any other benefit under this Part to which they would otherwise be entitled in respect of the pensionable service that they have to their credit, to an annuity, which may be adjusted in accordance with those regulations, payable from the day on which they cease to be a member of the regular force.

• Marginal note:Regulations

  (2) The Governor in Council may make regulations prescribing the circumstances in which a contributor may exercise an option under subsection (1), the manner of and time for exercising an option and the manner in which the amount of an annuity may be adjusted.

Marginal note:Return of contributions

20. A contributor who ceases to be a member of the regular force and who has to their credit less than two years of pensionable service is entitled to a return of contributions.

Marginal note:Benefit payable in case of disability after retirement

• 21. (1) A contributor who, not having reached 60 years of age but having become entitled under this Part to a deferred annuity or to an annual allowance, becomes entitled to a disability pension under the Canada Pension Plan or a provincial pension plan, ceases to be entitled to that deferred annuity or annual allowance, as the case may be, and becomes entitled to an immediate annuity.

• Marginal note:Adjustment

  (2) If a contributor ceases under subsection (1) to be entitled to an annual allowance, the immediate annuity shall be adjusted in accordance with the regulations to take into account the amount of the annual allowance that the contributor has received.

• Marginal note:Benefit where entitlement to disability pension ceases

  (3) A contributor who, not having reached 60 years of age but having become entitled under subsection (1) to an immediate annuity, has ceased to be entitled to a disability pension under the Canada Pension Plan or a provincial pension plan ceases to be entitled to that immediate annuity and becomes entitled to a deferred annuity or to the annual allowance to which they were originally entitled, as the case may be.

Marginal note:Transfer value

• 22. (1) Despite any other provision of this Act but subject to the regulations, a contributor who has ceased to be a member of the regular force, has to their credit two or more years of pensionable service and is not entitled to an immediate annuity is entitled, in place of any other benefit under this Act to which they would otherwise be entitled in respect of the pensionable service that they have to their credit, to a transfer value that is payable to the contributor in accordance with subsection (2).

• Marginal note:Where transferred

  (2) The payment of a transfer value to which a contributor may be entitled under subsection (1) is effected by transferring it to, at the direction of the contributor,

  • (a) a pension plan selected by the contributor that is registered under the Income Tax Act, if that pension plan so permits;

  • (b) a retirement savings plan or fund for the contributor that is of the kind prescribed by the regulations; or

  • (c) a financial institution authorized to sell immediate or deferred life annuities of the kind prescribed by the regulations, for the purchase from that financial institution of such an annuity for the contributor.

• Marginal note:Election to pay by instalments

  (3) If a contributor who is entitled to a transfer value has elected to pay for a period of pensionable service by means of instalments, the transfer value to be determined in accordance with the regulations shall be determined by reference to the portion of the period of pensionable service that the contributor has paid for at the time prescribed in the regulations.

Marginal note:Period to exercise option under former provisions

• 23. (1) A contributor who ceases to be a member of the regular force before the coming into force of this section and has not exercised their option in favour of a benefit under sections 16 to 22, as those sections read immediately before that coming into force, may, in accordance with the provisions of this Act as it read immediately before that coming into force, exercise that option at any time within one year after the day on which they cease to be a member.

• Marginal note:Failure to exercise option

  (2) If a contributor fails to exercise an option within the period set out in subsection (1), they are deemed to have exercised it in favour of a deferred annuity.

• Marginal note:Becoming a contributor under other Acts

  (3) If a contributor becomes a contributor under the Public Service Superannuation Act or the Royal Canadian Mounted Police Superannuation Act without having exercised, or been deemed to have exercised, an option referred to in subsection (1), they are deemed to have exercised it immediately before becoming a contributor under whichever of those Acts is applicable in favour of a deferred annuity.

Benefits Payable to Survivors, Children and Other Beneficiaries

Marginal note:Benefits payable on death of retired member

• 25. (1) On the death of a contributor who, at the time of their death, was entitled under this Part to an annuity or an annual allowance, the survivor and children of the contributor are entitled to the following allowances, computed on the basis of the product obtained by multiplying the average annual pay received by the contributor during the period specified in subparagraph 15(1)(a)(ii) by the number of years of pensionable service to the contributor’s credit, one one-hundredth of the product so obtained being referred to in this section as the “basic allowance”:

  • (a) in the case of a survivor, an immediate annual allowance equal to the basic allowance; and

  • (b) in the case of each child, an immediate annual allowance equal to one-fifth of the basic allowance or, if the contributor died without leaving a survivor, the survivor is dead or the survivor is not entitled to receive an allowance under this Part, other than an immediate annual allowance under section 25.1, two-fifths of the basic allowance.

• Marginal note:Total child allowance

  (2) The total amount of the allowances paid under paragraph (1)(b) shall not exceed four-fifths of the basic allowance or, if the contributor died without leaving a survivor, the survivor is dead or the survivor is not entitled to receive an allowance under this Part, other than an immediate annual allowance under section 25.1, eight-fifths of the basic allowance.

• Marginal note:Apportionment of total among children

  (3) If, in computing the allowances to which the children of a contributor are entitled under subsections (1) and (2), it is determined that there are more than four children of the contributor entitled to an allowance, the total amount of the allowances shall be apportioned among the children in such shares as the Minister considers just and proper under the circumstances.

• Marginal note:Benefits payable on death of serving member — more than two years

  (4) On the death of a contributor who has to their credit two or more years of pensionable service and was a member of the regular force at the time of death, the survivor and children of the contributor are entitled to the annual allowances to which they would have been entitled under subsections (1), (2) and (3) had the contributor, immediately before death, become entitled under this Part to an annuity or an annual allowance.

• Definition of “child”

  (5) For the purposes of subsections (1) to (4), “child” means a child of the contributor who

  • (a) is less than eighteen years of age; or

  • (b) is eighteen or more years of age but less than twenty-five years of age, and is in full-time attendance at a school or university as defined in the regulations.

• Marginal note:Benefits payable on death of serving member — less than two years

  (6) On the death of a contributor who has to their credit less than two years of pensionable service and was a member of the regular force at the time of death, the survivor and children of the contributor, in any case where the contributor died leaving a survivor or a child less than eighteen years of age, are entitled jointly to a death benefit equal to the greater of

  • (a) a return of contributions, and

  • (b) an amount equal to one month’s pay for each year of pensionable service to the credit of the contributor, computed on the basis of the rate of pay authorized to be paid to them at the time of their death.

Marginal note:Optional survivor benefit

• 25.1 (1) If the person to whom a contributor is married or with whom the contributor is cohabiting in a relationship of a conjugal nature, having so cohabited for a period of at least one year, would not be entitled to an immediate annual allowance under any other provision of this Act in the event of the contributor’s death, the contributor may opt, in accordance with the regulations, to reduce the amount of the annuity or annual allowance to which the contributor is entitled in order that the person could become entitled to an immediate annual allowance under subsection (2).

• Marginal note:Payment

  (2) A person referred to in subsection (1) is entitled to an immediate annual allowance in an amount determined in accordance with the option and the regulations if the contributor dies and the option is not revoked or deemed to have been revoked in accordance with the regulations, and the person was married to the contributor at the time of the contributor’s death, or was cohabiting with the contributor in a relationship of a conjugal nature for a period of at least one year immediately before the contributor’s death.

• Marginal note:No entitlement

  (3) A person who is entitled to receive an annual allowance under section 29 after the contributor’s death is not entitled to an immediate annual allowance under subsection (2) in respect of that contributor.

Marginal note:Lump sum payments

26. If in this Part it is provided that the survivor and children of a contributor are entitled jointly to a death benefit under subsection 25(6), the total amount of that benefit shall be paid to the survivor of the contributor, except that

Marginal note:Minimum benefits

• 40. (1) If, on the death of a contributor who, on ceasing to be a member of the Canadian Forces, was entitled to an immediate annuity or an annual allowance from which a deduction had been made pursuant to subsection 15(2), there is no person to whom an allowance provided in this Part may be paid, or where the persons to whom such allowance may be paid die or cease to be entitled to it and no other amount may be paid to them under this Part, any amount by which the calculated amount, within the meaning of subsection (2), exceeds the aggregate of all amounts paid to those persons and to the contributor under this Part or Part V of the former Act shall be paid

  • (a) as provided in section 38 for amounts payable under that section, if the contributor was not a member of the regular force on or after December 20, 1975; or

  • (b) as provided in section 39 for amounts payable under that section, if the contributor was a member of the regular force on or after December 20, 1975.

• Definition of “calculated amount”

  (2) For the purposes of subsection (1), “calculated amount” means an amount equal to one month’s pay for each year of pensionable service to the credit of the contributor, computed on the basis of the rate of pay authorized to be paid to them at the time they cease to be a member of the regular force, minus an amount equal to the amount by which

  • (a) the total amount the contributor would have been required to contribute to the Superannuation Account or the Canadian Forces Pension Fund up to the time they cease to be a member of the regular force, other than interest or charges for payments by instalments, in respect of service after 1965, if they had contributed on the basis of the rate set out in subsection 5(1) as it read on December 31, 1965,

  exceeds

  • (b) the total amount the contributor was required to contribute to the Superannuation Account or the Canadian Forces Pension Fund up to the time they cease to be a member of the regular force, other than interest or charges for payments by instalments, in respect of service after 1965.

Re-enrolment or Transfer

Marginal note:Persons re-enrolled or transferred

• 41. (1) If a person who has become entitled to an annuity or an annual allowance under this Act or a pension under Part V of the former Act by virtue of having served in the regular force is re-enrolled in or transferred to the regular force and becomes a contributor under this Part, whatever right or claim that they may have had to that annuity, annual allowance or pension (in this section referred to as the “original annuity”) then ceases and the period of service on which the original annuity was based may be counted by them as pensionable service for the purposes of this Part.

• Marginal note:Benefits prescribed by regulations

  (2) If, on subsequently ceasing to be a member of the regular force, a contributor referred to in subsection (1) is entitled to an annuity or annual allowance under this Part the capitalized value of which is less than the capitalized value of the original annuity, the contributor shall be entitled to benefits prescribed in regulations made under subsection (3) in place of any other benefit under this Part and Part III to which they would otherwise be entitled, but in no case shall the capitalized value of the benefits be less than the capitalized value of the original annuity.

• Marginal note:Regulations

  (3) For the purposes of subsection (2), the Governor in Council may make regulations prescribing benefits to which a contributor is entitled and respecting the manner of determining capitalized values, including the manner of taking into account any benefit under Part III.

• Marginal note:Limitation on application

  (5) This section does not apply in the case of a contributor who ceases to be a member of the regular force after the coming into force of this subsection.

Marginal note:Regulations

• 50. (1) The Governor in Council may make regulations

  • (a) prescribing anything that, by this Act, is to be prescribed or is to be determined or regulated by regulation;

  • (b) prescribing the circumstances in which, and the terms and conditions on which, elections may be made and options may be exercised under this Part, except section 19, and respecting the manner of and time for doing so;

  • (c) prescribing the circumstances in which, and the terms and conditions on which, elections under this Part may be revoked or amended, options under this Part revoked, and new elections or options made or exercised, and respecting the manner of and time for doing so;

  • (d) prescribing the terms and conditions on which a person who is retired from the regular force and, within sixty days after their retirement from it, again becomes a member of the regular force is deemed to have continued to be a member of the regular force despite their retirement from it;

  • (e) prescribing the extent to which and the circumstances under which any period of service of a person, whether before or after March 1, 1960, for which no pay was authorized to be paid or for which any forfeiture of pay or deduction from pay in respect of a period of suspension from duty was authorized to be made shall be counted as pensionable service for the purposes of this Act, prescribing the pay that is deemed to have been authorized to be paid to that person and to have been received by that person during that period, and prescribing, despite section 5, the contributions to be made by that person to the Superannuation Account or the Canadian Forces Pension Fund in respect of that pay;

  • (f) specifying, for the purposes of subsection 2(4), the employment as a member of the Canadian Forces that is excepted employment;

  • (g) fixing an annual rate of pay for the purposes of subsection 5(6) or prescribing the manner of determining the annual rate of pay;

  • (h) prescribing, for the purposes of subsection 9(3), the portion of the period of service that shall be counted as pensionable service for the purposes of this Act;

  • (i) respecting the manner of determining the amount of a transfer value within the meaning of section 10, the terms and conditions under which a contributor may become entitled to a transfer value and any other matters that the Governor in Council considers necessary for the purposes of carrying out section 22;

  • (j) respecting the manner in which, and the determination of the balances on which, interest is to be calculated under section 13 and respecting the rates of interest for the purposes of paragraph 13(b);

  • (k) prescribing the evidence required to satisfy the Minister that a contributor is not entitled to a disability pension described in paragraph 15(2)(b), the manner in which and the time within which that evidence shall be provided and the form of that evidence;

  • (l) respecting, for the purposes of subsection 15(4), the manner of determining pay that a contributor is deemed to have received;

  • (m) prescribing service in the regular force or in the reserve force that constitutes Canadian Forces service for the purposes of paragraph 16(1)(a);

  • (n) specifying, for the purposes of subsection 18(4), the method by which the amount of any annuity or annual allowance payable to a contributor described in subsection 18(1) shall be adjusted;

  • (o) specifying, for the purposes of subsection 21(2), the method by which the amount of any immediate annuity payable to a contributor described in subsection 21(1) shall be adjusted;

  • (p) defining, for the purposes of subsection 25(5), the expression “full-time attendance at a school or university” as applied to a child of a contributor;

  • (q) respecting the determination of disability for the purposes of this Part and the conditions on which an immediate annuity shall be paid or continue to be paid, including the initial assessment and subsequent periodic or other assessments of that disability;

  • (r) respecting the reduction to be made in the amount of an annuity or annual allowance when an option is exercised under subsection 25.1(1), the amount of the immediate annual allowance to be paid under subsection 25.1(2), the circumstances in which an option is deemed to have been revoked and any other matters that the Governor in Council considers necessary for the purposes of carrying out section 25.1;

  • (s) providing for the continuation in force of any outstanding direction made by the Minister or the Treasury Board under section 62 of the former Act, under the circumstances contemplated by that section and subject to modification or suspension as contemplated by that section;

  • (t) respecting the rates at which interest shall be credited to the Superannuation Account under paragraph 55(1)(b), the manner in which it shall be calculated and the time at which it shall be credited to the Account;

  • (u) respecting the additional information that is required to be included in annual reports referred to in section 57;

  • (v) providing for the payment out of the Superannuation Account or the Canadian Forces Pension Fund, on the death of a contributor and on application to the Minister by or on behalf of a person to whom any annual allowance becomes payable under this Part, of the whole or any part of the portion of the estate, legacy, succession or inheritance duties or taxes that are payable by the person that is determined in accordance with the regulations to be attributable to that allowance, and prescribing the amounts by which and the manner in which any such allowance and any amount payable in any such case under any of sections 38 to 40 shall be reduced; and

  • (w) generally, for carrying into effect the purposes and provisions of this Act.

• Marginal note:Retroactive application of regulations

  (2) Regulations made under this Act may, if they so provide, be retroactive and have effect with respect to any period before they are made.

• (b) may, within that period of thirty days, elect to continue to be a participant under this Part after the expiration of that period, and is, if on ceasing to be a member they are entitled under Part I or under the Defence Services Pension Continuation Act, chapter D-3 of the Revised Statutes of Canada, 1970, to an immediate annuity, immediate annual allowance or pension, as the case may be, deemed so to have elected within that period to continue to be a participant under this Part after the expiration of that period.

Marginal note:When public service participant deemed participant

63. Despite anything in this Part, a participant who becomes a public service participant ceases to be a participant under this Part, but, if on ceasing to be a public service participant they are not entitled to an immediate annuity or an immediate annual allowance under the Public Service Superannuation Act and are entitled under Part I or under the Defence Services Pension Continuation Act, chapter D-3 of the Revised Statutes of Canada, 1970, to an immediate annuity, immediate annual allowance or pension, they are deemed to have elected under subsection 62(1) to continue to be a participant under this Part.

Marginal note:To whom benefits paid

• 67. (1) Subject to section 83, benefits shall be paid as follows:

• (b) an amount that is the greater of

  • (i) an amount, representing an amount sufficient to cover the cost of the benefits that will become chargeable against the Account, as determined in accordance with the regulations, and

  • (ii) the aggregate of

    • (A) one twelfth of the benefit paid in respect of each participant who, at the time of death, was a member of the regular force or of the reserve force, for which benefit contributions under this Part were payable by the participant at that time,

    • (B) one twelfth of the benefit paid in respect of each elective participant who, on ceasing to be a member of the regular force was entitled under Part I or under the Defence Services Pension Continuation Act, chapter D-3 of the Revised Statutes of Canada, 1970, to an immediate annuity or pension, for which benefit contributions under this Part were payable by the participant at the time of death, and

    • (C) the amount of the single premium determined under the schedule in respect of each participant in respect of whom a benefit is payable without contribution under this Part by the participant for that benefit; and

• Marginal note:Minimum guaranteed amount

  (5) Despite subsections (1), (2) and (4) but subject to section 79, the amount of the supplementary benefit that may be paid for a month in any year to a recipient shall not be less than an amount equal to the difference obtained by subtracting the amount of the pension that may be paid to the recipient for that month in that year from the aggregate of the supplementary benefit and the maximum pension that would have been payable to that recipient for that month in that year, otherwise than pursuant to this section, if the retirement month of the retirement year of the recipient had been that month in such year as is determined by

Marginal note:Regulations regarding small benefits

• 81. (1) The Governor in Council may make regulations respecting the terms and conditions under which, the manner in which and the time within which, a person who is entitled to a periodic benefit under this Act, the annual amount of which is less than a prescribed amount, may be required, or may opt, to take a lump sum amount that is determined, in accordance with those regulations, to be the capitalized value of the periodic benefit, which lump sum amount shall be in place of any other benefit under Part I, I.1 or III to which they would otherwise be entitled.

• Marginal note:Manner of payment

  (2) A lump sum amount referred to in subsection (1) shall be payable directly to the person entitled if that amount is equal to or less than an amount prescribed. If the lump sum amount is more than that amount prescribed, it shall be payable in accordance with subsection 22(2) as if it were a transfer value, with any modifications that the circumstances require.

Marginal note:Regulations — recovery, etc., of amounts

82. The Governor in Council may make regulations respecting the manner in which amounts referred to in sections 86 to 89 may be reserved, recovered or retained, as the case may be, from any benefit payable under this Act.

Marginal note:Benefits not assignable, etc.

83. Subject to Part II of the Garnishment, Attachment and Pension Diversion Act and to the Pension Benefits Division Act,

• (a) a benefit under this Act is not capable of being assigned, charged, anticipated or given as security and any transaction that purports to assign, charge, anticipate or give as security any such benefit is void;

• (b) a benefit to which a person is entitled under Part I, I.1 or III is not capable of being surrendered or commuted during the lifetime of that person except under section 22, subsection 29(3) or section 81 or under regulations made under section 59.1, and any other transaction that purports to so surrender or commute any such benefit is void; and

• (c) a benefit under this Act is exempt from attachment, seizure and execution, either at law or in equity.

Marginal note:Presumption of death

• 84. (1) If a person who is required to contribute under this Act, or who is entitled to a benefit under this Act or the former Act, has, either before or after the coming into force of this subsection, disappeared under circumstances that, in the opinion of the Minister, raise beyond a reasonable doubt a presumption that the person is dead, the Minister may determine the date for the purposes of this Act and the former Act on which that person’s death is presumed to have occurred, and that person is deemed for all purposes of this Act and the former Act to have died on that date.

• Marginal note:Change of date

  (2) If, after the date of a person’s death is determined by the Minister under subsection (1), new information or evidence is received by the Minister that the date of death is different, the Minister may determine a different date of death, in which case the person is deemed for all purposes of this Act and the former Act to have died on that different date.

Marginal note:Allowances paid to children

85. When a child is entitled to an annual allowance or other amount under this Act, payment of it shall, if the child is less than eighteen years of age, be made to the person having custody and control of the child, or, if there is no person having custody and control of the child, to the person whom the Minister may direct.

Marginal note:Reservation of unpaid instalments for elective service

86. If a person who has elected under this Act or Part V of the former Act to pay for any period of service and has undertaken to pay for that period of service in instalments ceases to be a member of the regular force or the reserve force, as the case may be, before all the instalments have been paid, the unpaid instalments may be reserved, in accordance with the regulations, from any amount payable to them by Her Majesty in right of Canada, including any periodic benefit payable to them under this Act, until such time as all the instalments have been paid, or the person dies, whichever occurs first.

Marginal note:Recovery of amounts due at time of death

87. When an amount payable by a person into the Superannuation Account, the Canadian Forces Pension Fund or a fund established under regulations made under section 59.1 by reservation from salary or otherwise has become due, but remains unpaid at the time of death, that amount, with interest at four per cent per annum from the time when it became due, may be recovered, in accordance with the regulations, from any allowance payable under this Act to the survivor or children of that person, without prejudice to any other recourse available to Her Majesty with respect to the recovery of it. Any amount so recovered shall be credited to the Superannuation Account or paid into the Canadian Forces Pension Fund or the fund established under regulations made under section 59.1, as the case may be, and is deemed to have been paid into the Superannuation Account, the Canadian Forces Pension Fund or the fund established under regulations made under section 59.1, as the case may be, by that person.

Marginal note:Retention of amount paid in error

88. If any amount has been paid in error under Part I, I.1 or III on account of any periodic benefit, the Minister may retain by way of deduction from any subsequent payment of that benefit, in accordance with the regulations, an amount equal to the amount paid in error, without prejudice to any other recourse available to Her Majesty with respect to the recovery of the amount paid in error.

Marginal note:Recovery of debit balance in pay account of former member

• 89. (1) Any debit balance in the pay account of a former member of the regular force or of the reserve force, as the case may be, may be recovered from any benefit to which they are entitled under this Act or from any amount that becomes payable under this Act to their service estate, whether the debit balance existed at the time of their retirement or was ascertained after that time.

• Marginal note:Manner of recovery

  (2) Recovery of a debit balance pursuant to this section shall be effected in the manner and to the extent that may be prescribed by the regulations, but, in the case of any benefit to which a former member of the regular force or of the reserve force, as the case may be, is entitled under this Act, such recovery shall not be effected unless notice of the existence of the debit balance and the amount of it has been given to them, or has been forwarded by registered mail addressed to them at their latest known address.

Marginal note:Diversion of payments to satisfy financial support order

• 90. (1) When any court in Canada of competent jurisdiction has made an order requiring a recipient to pay financial support, amounts payable under Part I, I.1 or III to that recipient are subject to being diverted to the person named in the order in accordance with Part II of the Garnishment, Attachment and Pension Diversion Act.

• Marginal note:Where recipient unable to manage own affairs

  (2) If, for any reason, a recipient is unable to manage their own affairs, or where the recipient is incapable of managing their own affairs and there is no person entitled by law to act as the recipient’s committee, the Receiver General may pay to any person designated by the Minister to receive payment on behalf of the recipient any amount that is payable to the recipient under Part I, I.1 or III.

• Marginal note:Payment deemed to be to recipient

  (3) For the purposes of Parts I, I.1 and III, any payment made by the Receiver General pursuant to subsection (1) or (2) is deemed to be a payment to the recipient in respect of whom the payment was made.

• Marginal note:Definition

  (4) For the purposes of this section, “recipient” means a person to whom any amount is or is about to become payable under Part I, I.1 or III.

Marginal note:Remission of overpayments

91. If a person has received or obtained an overpayment and the Minister is satisfied that

• (a) the overpayment cannot be recovered within the reasonably foreseeable future,

• (b) the administrative costs of recovering the overpayment are likely to equal or exceed the amount to be recovered, or

• (c) repayment of the overpayment would cause undue hardship to the person,

the Minister may, unless that person has been convicted of an offence under the Criminal Code in connection with the receiving or obtaining of the overpayment, remit all or any portion of the overpayment.

Marginal note:Remedial action in case of error

92. If the Minister is satisfied that, as a result of erroneous advice or administrative error in the administration of this Act, a person has failed to make an election or exercise an option under this Act, the Minister may take any remedial action that the Minister considers appropriate to permit that person to make that election or exercise that option, as the case may be, on any terms and conditions that the Minister may determine, including as to the time for making the election or exercising the option and any amount payable in respect of the election.

Marginal note:Request for reconsideration

• 93. (1) A person who is dissatisfied with any decision made under this Act that affects their benefits, or their entitlement to benefits, under this Act may, within 90 days after the day on which the dissatisfied party was notified of the decision, or within any longer period that the Minister may either before or after the expiration of those 90 days allow, make a request to the Minister in the form and manner prescribed by regulation for a reconsideration of that decision.

• Marginal note:Reconsideration by Minister

  (2) The Minister shall reconsider any decision referred to in subsection (1) and may confirm or vary it and shall in writing notify the person who made the request under that subsection of the Minister’s decision and of the reasons for it.

• (O) subject to the regulations, any period of service in respect of which payment of a commuted value or a transfer value, as the case may be, to a contributor has been effected in accordance with section 12.1 of this Act, section 22 of the Canadian Forces Superannuation Act or section 13.01 of the Public Service Superannuation Act, if the contributor elects, in accordance with the regulations, to pay for that service, and

Marginal note:Transfer value

• 12.1 (1) Despite any other provision of this Act, except subsection 24.1(6), but subject to the regulations, a contributor who has ceased to be a member of the Force, has served in the Force for a period equal to or greater than the period prescribed by the regulations and is not entitled to an immediate annuity is entitled, in the place of any other benefit under this Act to which the contributor would otherwise be entitled in respect of the pensionable service that the contributor has to their credit, to a transfer value that is payable to the contributor in accordance with subsection (2).

• Marginal note:Where transferred

  (2) The payment of a transfer value to which a contributor may be entitled under subsection (1) is effected by transferring it to, at the direction of the contributor,

  • (a) a pension plan selected by the contributor that is registered under the Income Tax Act, if that pension plan so permits;

  • (b) a retirement savings plan or fund for the contributor that is of the kind prescribed by the regulations; or

  • (c) a financial institution authorized to sell immediate or deferred life annuities of the kind prescribed by the regulations, for the purchase from that financial institution of such an annuity for the contributor.

• Marginal note:Election to pay by instalments

  (3) If a contributor who is entitled to a transfer value has elected to pay for a period of pensionable service by means of instalments, the transfer value shall be determined in accordance with the regulations and by reference to the portion of the period of pensionable service that the contributor has paid for at the time prescribed in the regulations.

• Marginal note:Election

  (4) Once a transfer has been made under subsection (1), a person who is re-appointed or re-enlisted as a member of the Force after the transfer and becomes a contributor may only count as pensionable service the period of service to which the transfer relates if they elect, in accordance with the terms and conditions prescribed by the regulations, to pay the amount prescribed by the regulations at the time and in the manner prescribed by the regulations.

• Marginal note:Payment of difference

  (7) Subject to subsection (8), if the amount paid by the Minister to an eligible employer pursuant to subsection (3) in respect of an employee is less than the transfer value that would be calculated in respect of that employee in accordance with section 12.1, whether or not the employee would otherwise be entitled to the transfer value, the Minister shall pay an amount equal to the amount of the difference to the employee in accordance with subsection 12.1(2).

• Marginal note:Recovery of amounts due at time of death

  (8) When an amount payable by a contributor into the Superannuation Account or the Public Service Pension Fund by reservation from salary or otherwise has become due, but remains unpaid at the time of death, that amount, with interest at four per cent per annum from the time when it became due, may be recovered, in accordance with the regulations, from any allowance payable under this Part to the survivor or children of the contributor, without prejudice to any other recourse available to Her Majesty with respect to the recovery of it, and any amount so recovered shall be credited to the Superannuation Account or paid into the Public Service Pension Fund and is deemed, for the purposes of the definition “return of contributions” in subsection 10(1), to have been paid into that Account or Fund by the contributor.

• (b) in the case of each child, an immediate annual allowance equal to one-fifth of the basic allowance or, if the contributor died without leaving a survivor, the survivor is dead or the survivor is not entitled to receive an allowance under this Part, other than an immediate annual allowance under section 13.1, two-fifths of the basic allowance,

but the total amount of the allowances paid under paragraph (b) shall not exceed four-fifths of the basic allowance or, if the contributor died without leaving a survivor, the survivor is dead or the survivor is not entitled to receive an allowance under this Part, other than an immediate annual allowance under section 13.1, eight-fifths of the basic allowance.

Marginal note:Transfer value

• 13.01 (1) Despite any other provision of this Act, except subsections 40(7) and 40.2(6), but subject to the regulations, a contributor who has ceased to be employed in the Public Service and is not entitled to an immediate annuity and has to the contributor’s credit two or more years of pensionable service is entitled, in the place of any other benefit under this Act to which the contributor would otherwise be entitled in respect of that period of pensionable service, to a transfer value that is payable to the contributor in accordance with subsection (2).

• (v.4) respecting the manner of determining the amount of a transfer value within the meaning of section 10, the terms and conditions under which a contributor may become entitled to a transfer value and any other matters that the Governor in Council considers necessary for the purposes of carrying out section 13.01;

• Marginal note:When regular force participant deemed participant

  (4) Despite anything in this Part, a participant who becomes a regular force participant ceases to be a participant under this Part, but if on ceasing to be a regular force participant they are not entitled to an immediate annuity or an immediate annual allowance under the Canadian Forces Superannuation Act and are entitled to an immediate annuity or an immediate annual allowance under Part I, they are deemed to have elected under subsection (1) to continue to be a participant under this Part.

• Marginal note:Minimum guaranteed amount

  (6) Despite subsections (1), (2) and (5) but subject to section 70, the amount of the supplementary benefit that may be paid for a month in any year to a recipient shall not be less than an amount equal to the difference obtained by subtracting the amount of the pension that may be paid to the recipient for that month in that year from the aggregate of the supplementary benefit and the maximum pension that would have been payable to that recipient for that month in that year, otherwise than pursuant to this section, if the retirement month of the retirement year of the recipient had been that month in such year as is determined by

Marginal note:Regulations

• 72. (1) The Governor in Council may make regulations respecting the manner in which and the extent to which any provisions of this Act or of any regulations made under this Act apply in respect of any service in the reserve force of the Canadian Forces of a contributor and adapting any of those provisions for the purposes of that application.

• Marginal note:Retroactive application of regulations

  (2) Regulations made under subsection (1) may, if they so provide, be retroactive and have effect with respect to any period before they are made.

• (I) any period of service in respect of which the contributor was entitled to be paid or was granted a return of contributions or other lump sum payment, other than a transfer value or a commuted value, under this Part or under Part V of the former Act, if the contributor elects, within one year after subsequently becoming a contributor under this Part, to pay for that service,

• Marginal note:Application

  (6) Subparagraphs (1)(a)(ii) and (iii), as enacted by subsection 16(1) of the Budget Implementation Act, 1999, apply with respect to benefits payable to or in respect of a person who contributes under section 5 on or after June 17, 1999 but do not apply to a person who became entitled to an annuity before that date, is re-appointed to or re-enlisted in the Force and is a contributor referred to in section 23 and who, on subsequently ceasing to be a member of the Force, is only entitled to a return of contributions.

Marginal note:Benefits payable on death

14. On the death of a contributor who was a member of the Force at the time of death, having to his or her credit a period of pensionable service less than the period prescribed by the regulations, the survivor and children of the contributor, in any case where the contributor died leaving a survivor or a child less than eighteen years of age, are entitled jointly to a death benefit equal to

• (a) if, on subsequently ceasing to be a member of the Force, he or she is not entitled under this Part to any benefit other than a return of contributions, the amount returned shall not include any amount paid into the Superannuation Account or the Royal Canadian Mounted Police Pension Fund to his or her credit at any time before the time of his or her re-appointment to or re-enlistment in the Force, and whatever right or claim that, but for this section, he or she would have had to the original annuity on subsequently ceasing to be a member of the Force shall then be restored to him or her; and

• Marginal note:Minimum guaranteed amount

  (5) Despite subsections (1), (2) and (4) but subject to section 40, the amount of the supplementary benefit that may be paid for a month in any year to a recipient shall not be less than an amount equal to the difference obtained by subtracting the amount of the pension that may be paid to the recipient for that month in that year from the aggregate of the supplementary benefit and the maximum pension that would have been payable to that recipient for that month in that year, otherwise than pursuant to this section, if the retirement month of the retirement year of the recipient had been that month in such year as is determined by

Marginal note:Regulations

• 42. (1) The Governor in Council may make regulations respecting the manner in which and the extent to which any provisions of this Act or of any regulations made under this Act apply in respect of any service in the reserve force of the Canadian Forces of a contributor and adapting any of those provisions for the purposes of that application.

• Marginal note:Retroactive application of regulations

  (2) Regulations made under subsection (1) may, if they so provide, be retroactive and have effect with respect to any period before they are made.

• Marginal note:Powers of Treasury Board

  (3) The Treasury Board may, in addition to the powers conferred on it by paragraph 7(2)(d) of the Financial Administration Act, exercise the powers of the Governor in Council under this section.

• (ii) who is required to contribute to the Canadian Forces Superannuation Account referred to in section 4 of the Canadian Forces Superannuation Act, to the Canadian Forces Pension Fund as defined in subsection 2(1) of that Act or to a fund established under regulations made under section 59.1 of that Act,

• (b) who, on or after that day, is required to contribute to the Canadian Forces Superannuation Account referred to in section 4 of the Canadian Forces Superannuation Act, to the Canadian Forces Pension Fund as defined in subsection 2(1) of that Act or to a fund established under regulations made under section 59.1 of that Act and whose annual rate of pay is greater than the annual rate of pay that is fixed by the regulations made under paragraph 50(1)(g) of that Act or is greater than the annual rate that may be determined in the manner prescribed by those regulations;