Defence Services Pension Part V Regulations (SOR/55-416)

31 A requisition for payment of a pension computed in accordance with the provisions of sections 26 to 30 inclusive shall be supported by the certificates required by section 58 of the Act.

• 32 (1) Notwithstanding any of the provisions contained in sections 25 to 31 a pensioner shall be deemed not to have elected to count augmenting service where

  • (a) he ceases to serve on a full-time paid basis in the forces or in the naval, army or air forces of Canada other than the forces prior to completion of a period of augmenting service as described in paragraph (a) of subsection (1) of section 26; or

  • (b) he is not entitled to have his pension computed upon the pensionable term pursuant to subsection (1) of section 30.

• (2) Where the provisions of subsection (1) are applicable, all sums deducted from the pay and allowances of a pensioner or paid by him by reason of the provisions of sections 25 to 31 inclusive shall be refunded to him without interest or shall be applied, where applicable, towards the abatement of any deductions owed by the pensioner, where by reason of the provisions of subsection (1) he becomes subject to deductions pursuant to Deferred Pay Regulations or Part V and regulations relating thereto other than sections 25 to 31 inclusive and his entitlement to pension payments shall be restored retroactively to the date of election as if he had never elected.

Succession Duties

• 33 (1) In this section, pension means an annual pension payable under the Act to a widow or child and includes a compassionate allowance payable to a child.

• (2) For the purposes of this section, where, under the Act, a pension is payable to a child, the widow of the person in respect of whom that pension is payable to that child is presumed, prima facie, to be the guardian of that child.

• (3) Where, upon the death of any person in respect of whom any pension becomes payable under Part V of the Act to a successor, application in writing may be made, by or on behalf of the successor, to the Minister for payment out of the Permanent Services Pension Account in the Consolidated Revenue Fund of the whole or any part of the portion of the succession duties payable by that successor which is attributable to that pension, and where the Minister directs, in accordance with the application, that the whole or any part of the portion of the succession duties so payable shall be paid out of the Permanent Services Pension Account in the Consolidated Revenue Fund, the maximum portion of the succession duties that may be so paid is the proportion which

  • (a) the value of the pension payable to the successor

  is of

  • (b) the value of the whole estate,

  calculated for the purposes of determining the succession duties payable in respect thereof.

• (4) Where the Minister makes a direction in accordance with subsection (3), the pension shall be reduced either for a term, requested by the successor in the application made under subsection (3), or during the entire period for which the pension is payable, if the successor fails to make a request in the application under subsection (3) that the pension be reduced for a term, by one-twelfth of an amount determined by dividing the amount of the succession duties to be paid out of the Permanent Services Pension Account in the Consolidated Revenue Fund, by the value of an annuity of one dollar per annum, payable monthly to a person of the age of the successor at the date of payment of the succession duties out of the Permanent Services Pension Account in the Consolidated Revenue Fund, calculated,

  • (a) in the case of a pension payable to the widow of the person in respect of whose death the pension is payable, in accordance with a(f) Ultimate Table with interest at the rate of four per centum per annum, and

  • (b) in the case of a pension payable to a child of the person in respect of whose death the pension is payable, at an interest rate of four per centum per annum and mortality shall not be taken into account.

• (5) Where the pension of a successor is to be or is being reduced under this section for a term and the successor, being the widow of a former contributor, remarries before the end of the term and the pension is suspended, if at any time the pension is resumed it shall be reduced for a term equal to the term or the balance of the term, as the case may be, during which the pension would have been reduced had it not been suspended and such reduction shall be made to the same extent and in the same manner as the pension was reduced immediately prior to the suspension.

Reinstatement of Widow’s Pension

• 34 (1) Where by reason of the remarriage of a widow the payment of her pension under Part V has been discontinued and she again becomes a widow, application in writing may be made by her or on her behalf to the Minister for resumption of that pension.

• (2) Subject to subsection (4), upon receipt of the application referred to in subsection (1), the Minister may direct that payment of the pension to the widow discontinued by reason of her remarriage shall, to the extent that she is otherwise entitled under Part V to receive the same, be resumed.

• (3) Where a direction is made pursuant to subsection (2), payment of the pension to the widow shall resume with effect from the first day of the month following the month in which the application for resumption of the pension is received by the Minister or from such earlier date as the Minister may direct, provided that she is otherwise entitled to receive the pension from that date.

• (4) Where a pension or annual allowance (referred to herein as “the allowance” becomes payable to a widow under the Act, the Public Service Superannuation Act, or the Royal Canadian Mounted Police Act (except Part IV), and a direction is made by the Minister pursuant to subsection (2) in respect of such widow, that part only of the discontinued pension shall be resumed which is the greater of

  • (a) an amount which, when added to the annual amount of the allowance equals the annual amount of the discontinued pension, or

  • (b) an amount determined by a fraction of the annual amount of the discontinued pension

    • (i) the numerator of which is that number of years of service upon which the discontinued pension is based which, when added to number of years of service or pensionable services upon which the allowance is based, does not exceed in the aggregate thirty-five years, and

    • (ii) the denominator of which is the number of years of service upon which the discontinued pension is based.

Administration

Payment of Pensions and Gratuities

35 The Chairman of the Service Pension Board and the Judge Advocate General may issue such instructions and prescribe such forms as they may consider necessary to give effect to section 58 of the Act.

36 For the purposes of computing pensions or gratuities total combined service shall be reckoned as follows:

• (a) each complete calendar month shall count as one month; and

• (b) days served during broken periods of calendar months shall be totalled and each thirty days thereof shall be counted as one month, any remaining days amounting to fifteen days or more shall be counted as one additional month, but a period of less than fifteen days shall not be counted.

37 A pension to the widow or child of a contributor shall be payable from the day following the death of the contributor.

38 A pension or gratuity to the children of a contributor shall be paid, for the exclusive benefit of the children, to the widow of the contributor or to the legal guardian if one has been appointed, or to such other person as may be legally entitled to receive monies in trust for the exclusive benefit of the children.

39 If a contributor marries after the coming into force of Part V and if his age exceeds the age of his wife by twenty years or upwards, the pension to such wife under Part V shall be reduced in the proportion that the value of a life annuity as at an age twenty years less than the age of the contributor at the time of his death is of the value of an equal life annuity as at the then actual age of the wife; for the purposes of this section the values of life annuities shall be computed on the basis of the Canadian Life Table No. 2 (1941), Females, and interest at the rate of four per centum per annum.

• 40 (1) A pension shall be payable in full for the month in which the death of the pensioner occurs.

• (2) Payment of a pension to a widow who remarries shall cease as of the day of such remarriage.

• (3) Payment of a pension to a child shall cease as of the date on which the child attains the age of eighteen years.

Debit Balance

41 For the purposes of section 68 of the Act, a debit balance in the pay account of a former member of the forces shall be recovered from

• (a) a gratuity, or return of contributions, in one lump sum, or

• (b) a pension, by monthly instalments in any amount equal to ten per centum of the net pension but in any such case the pensioner may make payments which will liquidate the debit at a date earlier than that which would have occurred had the recovery been made at the rate of ten per centum per month.

Permanent Services Pension Account

• 42 (1) There shall be credited to the Permanent Services Pension Account

  • (a) all contributions made by the contributor under Part V;

  • (b) interest on the last day of each quarter in every fiscal year, namely, on the 30th day of June, on the 30th day of September, on the 31st day of December and on the 31st day of March, respectively, calculated at the rate of one per centum of the balance to the credit of the account on the last day of the preceding quarter;

  • (c) the contribution made by the Government; and

  • (d) all amounts transferred thereto under sections 9 and 12 hereof.

• (2) There shall be charged to the Permanent Services Pension Account

  • (a) all payments of benefits under Part V,

  • (b) all amounts of contributions refunded pursuant to section 5, and

  • (c) amounts of succession duties paid pursuant to section 33.

Payment of Arrears of Contributions during Pension Suspension

• 43 (1) Where by reason or appointment to a position in the public service of Canada, the pension of a pensioner is totally suspended and there are arrears of contributions outstanding with respect to such pension, the pensioner may inform the Chief Treasury Officer in writing and elect to pay such arrears, under the same conditions as if his pension were in payment to him, during that period of appointment.

• (2) The manner and time of making the instalments in payment of the arrears provided for in subsection (1) shall be at the discretion of the Chief Treasury Officer, and the payment of any such instalments shall be credited by the Chief Treasury Officer towards the abatement of arrears outstanding upon the pension but shall be deemed to be payments on account only and shall not necessarily be in full satisfaction of any particular instalment of arrears for any particular period owing upon the pension.

• (3) The election made by the pensioner as provided for in subsection (1) shall be revocable at the discretion of the pensioner upon thirty days’ notice in writing to the Chief Treasury Officer to that effect, and the Chief Treasury Officer shall have the right to refuse to accept any instalment for any reason which to him shall seem to be good and sufficient, and upon the revocation of an election or the refusal to accept any instalment, payment of arrears shall cease until such time as the pensioner again elects, the Chief Treasury Officer accepts an application from the pensioner for reinstatement of his payments or the pension becomes payable in whole or in part to the pensioner.

Payments Otherwise than by Monthly Instalments

44 Where a pensioner or a recipient of a pension requests that a pension be paid otherwise than in equal monthly instalments, or where the Minister is of opinion that the payment of a pension in equal monthly instalments is not practical, he may direct, if such direction does not result in the payment of an aggregate amount greater than the aggregate amount of equal monthly instalments otherwise payable in accordance with section 57 of the Act, that the pension shall be paid in arrears

• (a) in equal instalments quarterly or semi-annually; or

• (b) annually.