The recent Supreme Court of Canada decision regarding the distribution of actuarial surplus in the event of a partial pension plan wind up (the Monsanto case) threatens to further destabilize Canada’s private-sector defined benefit (DB) pension system.
The comprehensive Watson Wyatt Discussion Paper on the subject provides food for thought for plan sponsors, regulators and everyone with a stake in the pension system. It places the Monsanto case in context by providing an exhaustive background of the case and by discussing other recent cases that have complicated the DB pension plan landscape.
This second edition, written by Watson Wyatt, will assist
retirement plan sponsors, tax advisers, pension consultants, and other
interested individuals in understanding some of the complex tax rules that
affect how Canadians save for their retirement. It also incorporates revisions
to the Income Tax Act (Canada) and the Regulations to reflect our understanding
of newer policies, rules and practices, at the Canada Customs and Revenue
Agency.
