Registering and revoking standard contracts for LIRAs and LIFs
Standard contracts for locked-in retirement accounts (LIRAs) and life income funds (LIFs) governed by the Regulation respecting supplemental pension plans, which comes under the Supplemental Pension Plans Act, must be sent to Retraite Québec to be registered. The same applies for amendments to standard contracts.
Standard contracts for LIRAs and LIFs must also meet the tax requirements that apply to a registered retirement savings plan (RRSP) and a registered retirement income fund (RRIF).
LIRA or LIF of a holder
An individual LIRA agreement or an individual LIF contract entered into between a financial institution and a holder must use what is stipulated in the standard contract by adding information related to the person: invested amount, person's age, address of the branch where the account or fund is administered, etc. The written document does not have to be registered with Retraite Québec.
A person who holds an LIRA or an LIF is one of the following three persons:
- a former member of a supplemental pension plan (SPP), including a public-sector pension plan, or a voluntary retirement savings plan (VRSP);
- a member of an SPP or a VRSP;
- the former spouse or spouse of one of the following two persons.
Registration or amendment of a standard contract
Retraite Québec provides financial institutions offering LIRAs or LIFs with a Liste de contrôle pour une demande d'enregistrement d'un contrat type de CRI ou de FRV, ou d'une modification d'un contrat type (General checklist for an application for registration of a standard contract for an LIRA or LIF, or for registration of an amendment to a standard contract; French only).
The list is to ensure that the required documents and information are enclosed with the application for registration.
Fee Schedule
Fees are payable to Retraite Québec:
- for the registration of each standard contract for an LIRA or LIF;
- annually, for each standard contract registered with the application of penalties, if there is a delay, until the standard contract is revoked.
Revocation of a standard contract
Retraite Québec can revoke the registration of a standard contract where a financial institution confirms to it that:
- no individual LIRA agreement or individual LIF contract conforming to the standard contract is in force;
- no individual LIRA agreement or individual LIF contract conforming to the standard contract will be entered into.
Where a standard contract is revoked, the financial institution no longer has to pay annual fees to Retraite Québec. However, the expired and unpaid benefits remain payable.
Legal references