Instructions
Who can use this form?
If you are a DPSP trustee or an RPP administrator, you can use this form to record the direct transfer of a single amount for an applicant.
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As a DPSP trustee, you can make a direct transfer to another DPSP, an RPP, an SPP, an RRSP, a PRPP or a RRIF.
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As an RPP administrator, you can make a direct transfer to another RPP, an RRSP, an SPP, a PRPP or a RRIF.
Note
If you do not use this form to document the transfer, make sure that you, as the transferor, provide the transferee with the information needed
to correctly complete the transfer.
Who completes this form?
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Section I – The plan member or beneficiary (the applicant) requesting the transfer fills out Section I. The applicant then prints and signs four copies of the form and gives
them to the previous DPSP trustee or RPP administrator from which the amount is to be transferred (the transferor).
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Section II – The transferor fills out and signs Section II of all four copies. The transferor keeps one copy and sends the remaining three copies to the new DPSP trustee, the
RPP, SPP or PRPP administrator, RRSP issuer, or RRIF carrier, to which the single amount is to be transferred to (the transferee), along with the property being transferred.
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Section III – The transferee fills out and signs Section III of the remaining three copies. The transferee then returns a copy to the transferor, sends a copy to the plan member
or beneficiary, and keeps one copy for record purposes.
Transfers from a DPSP
As the transferor, you can transfer a single amount for an employee or former employee who participated in the plan as described in subsection 147(19). For that person's benefit, you
can transfer the amount to an RPP, an RRSP, or to a RRIF under which that person is the annuitant or member. You can also transfer the amount to an SPP or PRPP of which that
person is the member. You can also transfer the amount to another DPSP, if it can reasonably be expected that the recipient DPSP will have at least five beneficiaries throughout
the year in which you make the transfer.
Similarly, you can transfer a single amount for the current or former spouse or common-law partner of the employee or former employee, if that person is entitled to the amount for one of
the following reasons:
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the employee or former employee died; or
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the marriage or common-law partnership with the employee or former employee breaks down. In this case, the transfer has to result from a decree, order, or judgment of a
competent tribunal, or from a written separation agreement that relates to a division of property in settlement of rights arising out of, or on the breakdown of, the marriage or
common-law partnership.
Do not include the amount that you transfer under subsection 147(19) in the income of the person for whom you made the transfer. Also, that person cannot deduct the amount
transferred. Do not issue a T4A slip or a receipt for the amount.
Do not withhold income tax from an amount you transfer under subsection 147(19).
Transfers from an RPP
As the transferor, you can transfer a single amount for a plan member to another RPP for the member's benefit, or to the member's RRSP, SPP, PRPP or RRIF.
You can transfer a single amount for the member's current or former spouse or common-law partner, if that person is entitled to the amount for one of the following reasons:
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the member dies; or
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because the marriage or common-law partnership with the member breaks down. In this case, the transfer has to result from a decree, order, or judgment of a competent
tribunal, or from a written separation agreement that relates to a division of property in settlement of rights arising out of, or on the breakdown of, the marriage or common-law
partnership.
In certain cases, the rules in section 147.3 limit the amount that you can transfer without tax consequences. If part of an amount transferred does not meet the rules of the subsection
under which you transfer, that part is considered to have been paid to the applicant as a pension benefit. In such cases, you have to report that part as the applicant's income on a T4A
slip. That part is also considered to have been contributed by the applicant to the RRSP, the SPP, the PRPP, or to the other RPP, whichever applies. The transferee should give the
applicant a receipt for the amount.
Similarly, if you transfer the single amount to a RRIF, the excess part is considered to have been contributed to an RRSP. In such cases, you have to
report the excess part as the applicant's income on a T4A slip. The transferee should give the applicant an RRSP receipt for the excess part.
Do not include the amount that you transfer under any of subsections 147.3(1) to (8) in the income of the person for whom you make the transfer. Also, that person cannot deduct the
amount transferred. Do not issue a T4A slip or a receipt for the amount.
Do not withhold income tax from the amount you transfer under section 147.3.
Definitions
Administrator – the person, organization, or institution that is responsible for administering an RPP, an SPP, or a PRPP.
Annuitant – the person who is entitled to receive payments from an RRSP or a RRIF.
Common-law partner – a person who is not your spouse, with whom you are living in a conjugal relationship, and to whom at least one of the following situations applies. He or she:
a. has been living with you in a conjugal relationship, and this current relationship has lasted at least 12 continuous months;
Note
In this definition, 12 continuous months includes any period you were separated for less than 90 days because of a breakdown in the relationship.
b. is the parent of your child by birth or adoption; or
c. has custody or control of your child (or had custody and control immediately before the child turned 19 years of age).
DPSP trustee – a corporation named as a trustee under the plan, that is resident in Canada, and licensed or otherwise authorized under Canadian law to carry on in Canada the
business of offering to the public its services as a trustee. A DPSP trustee can also mean a group of at least three individuals who are resident in Canada, and who are named as
trustees under the plan.
Individual plan number or individual fund number – the individual account, contract, certificate, or other identifier number that the RRSP issuer, RRIF carrier, or RPP or SPP
administrator assigns.
Member – an individual (other than a trust) who holds an account under the plan and who is entitled to receive payments from an RPP, SPP or PRPP.
PRPP – a retirement savings plan to which you or your participating employer or both can contribute. Any income earned in the PRPP is usually exempt from tax as long as it remains in
the plan.
RRIF carrier – a person described in subsection 146.3(1), with whom an annuitant has an arrangement that is a RRIF.
RRSP issuer – a person described in subsection 146(1), with whom an annuitant has a contract or arrangement that is an RRSP.
Single amount – an amount that is not part of a series of periodic payments.
Spouse – a person with whom you are legally married.
SPP – a pension plan or similar arrangement that has been prescribed under the Income Tax Regulations as a "specified pension plan" for the purposes of the Income Tax Act (currently
the Saskatchewan Pension Plan is the only arrangement prescribed to be a specified pension plan). Many of the rules related to RRSPs also apply to SPPs.
Transferee – the administrator, issuer, or trustee of the plan, or the carrier of the fund to whom the amount is transferred.
Transferor – the administrator or trustee of the plan from whom the amount is transferred.
