• 76. (1) Subject to subsections (2) to (5), the amount of the reduction of a contributor’s immediate annuity or annual allowance, calculated in accordance with section 68, shall be subtracted from the monthly instalment of the immediate annuity or annual allowance payable to the contributor, effective on the first day of the second month after the month in which the election is made.

• (2) Where a contributor is entitled to a deferred annuity and the deferred annuity has not become payable on the day the election is made, the amount of the reduction shall be subtracted from the monthly instalments of the deferred annuity payable to the contributor, effective on the later of

  • (a) the first day of the month after the month in which the annuity becomes payable, and

  • (b) the first day of the second month after the month in which the election is made.

• (3) Where a contributor has revised the level of reduction pursuant to subsection 74(1), the revised amount of the reduction shall be subtracted from the monthly instalments of the annuity or annual allowance payable to the contributor, effective on the first day of the month after the month in which the revision was made.

• (4) In the case of a contributor described in section 70, the revised amount of the reduction becomes effective on the first day of the month after the month in which the immediate annuity or annual allowance becomes payable.

• (5) In the case of a contributor described in section 71, the adjusted amount of the reduction is effective on the first day of the month following the month in which the deferred annuity becomes payable.

77. For the purposes of subsection 13.1(4) of the Act, an election made by a contributor is deemed to be revoked on the day on which the contributor is required to contribute to the Superannuation Account pursuant to subsection 5(1) of the Act.

78. Where an election is revoked pursuant to subsection 74(2), ceases to have effect pursuant to section 75, or is deemed to be revoked pursuant to section 77, the reduction ceases on the first day of the month in which the election is revoked or ceases to have effect.

79. The immediate annual allowance to which a spouse is entitled on the death of the contributor who had made an election, is equal to an amount determined in accordance with clause 68(b)(ii)(B), if paragraph 68(b) were read without reference to supplementary benefits payable under Part III of the Act.

• 80. (1) Notwithstanding clause 13(1)(c)(ii)(C) of the Act, the amount of an annual allowance that becomes payable to a contributor pursuant to that clause shall not exceed the amount calculated according to the formula set out in paragraph 8503(3)(c) of the Income Tax Regulations, as that paragraph read on January 15, 1992.

• (2) The limit set out in subsection (1) applies to the amount of an annual allowance payable to a contributor who ceases to be employed on or after the coming into force of an order, made under paragraph 10(a) of the Special Retirement Arrangements Act in respect of a person referred to in subparagraph 10(a)(i) or (vi) of that Act, providing for the payment of benefits to a contributor who is entitled to an annual allowance under clause 13(1)(c)(ii)(C) of the Act.