Bill C-478
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C-478
Second Session, Fortieth Parliament,
57-58 Elizabeth II, 2009
HOUSE OF COMMONS OF CANADA
BILL C-478
An Act to amend the Canada Pension Plan (arrears of benefits)
first reading, November 5, 2009
Ms. Charlton
402399
SUMMARY
This enactment amends the Canada Pension Plan so that a person who applies for a pension after reaching seventy years of age would in all cases be able to receive retroactive payments starting from their seventieth birthday, rather than the current maximum of twelve months.
The enactment also provides for full retroactive payments of a disability pension, survivor’s pension, disabled contributor’s child’s benefit or orphan’s benefit, rather than the current maximum of fifteen months in the case of a disability pension and twelve months in the case of a survivor’s pension, disabled contributor’s child’s benefit or orphan’s benefit.
The enactment also requires that interest be paid on the arrears.
Also available on the Parliament of Canada Web Site at the following address:
http://www.parl.gc.ca
http://www.parl.gc.ca
2nd Session, 40th Parliament,
57-58 Elizabeth II, 2009
house of commons of canada
BILL C-478
An Act to amend the Canada Pension Plan (arrears of benefits)
Her Majesty, by and with the advice and consent of the Senate and House of Commons of Canada, enacts as follows:
R.S., c. C-8
CANADA PENSION PLAN
1. Paragraph 42(2)(b) of the Canada Pension Plan is replaced by the following:
(b) a person shall be deemed to have become or to have ceased to be disabled at such time as is determined in the prescribed manner to be the time when the person became or ceased to be, as the case may be, disabled.
2. (1) Subsection 63.1(3) of the Act is replaced by the following:
Commencement of survivor’s pension
(3) On approval by the Minister of an application referred to in subsection (2), a survivor’s pension is payable to the applicant for each month commencing with December, 1988.
(2) Section 63.1 of the Act is amended by adding the following after subsection (4):
Interest
(5) Interest is payable at the prescribed rate per annum in respect of an amount owing as arrears of a survivor’s pension, calculated from the day payment is due to the day payment is made and compounded monthly.
3. (1) Paragraph 67(2)(e) of the Act is repealed.
(2) The portion of subsection 67(3) of the Act before paragraph (a) is replaced by the following:
Exception
(3) Where a person who has applied to receive a retirement pension has reached sixty-five years of age but has not reached seventy years of age before the day on which the application is received, the pension is payable commencing with the latest of
(3) Section 67 of the Act is amended by adding the following after subsection (4):
Interest
(5) Interest is payable at the prescribed rate per annum in respect of an amount owing as arrears of a retirement pension, calculated from the day payment is due to the day payment is made and compounded monthly.
4. Section 69 of the Act is replaced by the following:
Commencement of pension
69. (1) Subject to section 62, where payment of a disability pension is approved, the pension is payable for each month commencing with the fourth month following the month in which the applicant became disabled, except that where the applicant was, at any time during the five year period next before the month in which the applicant incurred the disability in respect of which the payment is approved, in receipt of a disability pension payable under this Act or under a provincial pension plan, the pension is payable for each month commencing with the month next following the month in which the applicant incurred the disability in respect of which the payment is approved.
Interest
(2) Interest is payable at the prescribed rate per annum in respect of an amount owing as arrears of a disability pension, calculated from the day payment is due to the day payment is made and compounded monthly.
5. (1) The portion of subsection 72(1) of the Act following paragraph (b) is replaced by the following:
(c) the month in which the survivor reached sixty-five years of age, in the case of a survivor other than a survivor described in paragraph (a) or (b).
(2) Section 72 of the Act is amended by adding the following after subsection (2):
Interest
(3) Interest is payable at the prescribed rate per annum in respect of an amount owing as arrears of a survivor’s pension, calculated from the day payment is due to the day payment is made and compounded monthly.
6. (1) The portion of subsection 74(2) of the Act following subparagraph (b)(i) is replaced by the following:
(ii) the month next following the month in which the child was born.
(2) Section 74 is amended by adding the following after subsection (3.1):
Interest
(4) Interest is payable at the prescribed rate per annum in respect of an amount owing as arrears of a disabled contributor’s child’s benefit or orphan’s benefit, calculated from the day payment is due to the day payment is made and compounded monthly.
TRANSITIONAL PROVISION
Application
7. (1) This section applies to every person who applied for a benefit before the coming into force of this Act.
Arrears payable
(2) For greater certainty, if a person has not received all or any part of a benefit that would have been payable to the person had they applied after the coming into force of this Act, the person is eligible to apply for arrears of the benefit.
Definition of “benefit”
(3) In this section, “benefit” has the meaning assigned by subsection 2(1) of the Canada Pension Plan.
COORDINATING AMENDMENT
Bill C-51
8. (1) Subsections (2) and (3) apply if Bill C-51, introduced in the 2nd session of the 40th Parliament and entitled Economic Recovery Act (stimulus) ( in this section referred to as the “other Act”), receives royal assent.
(2) If section 1 of this Act comes into force before section 31 of the other Act, then that section 31 is repealed.
(3) If section 31 of the other Act comes into force on the same day as section 1 of this Act, then that section 1 is deemed to have come into force before that section 31 and subsection (2) applies as a consequence.
Published under authority of the Speaker of the House of Commons
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