CANADA - Canada is to permit income splitting for pensioners beginning next year as it bids to strengthen its social security system, Jim Flaherty, Minister of Finance, announced yesterday.
"This will significantly enhance the incentives to save and invest for retirement security," said Flaherty, who made the announcement as part of the government’s Tax Fairness Plan.
Flaherty said Canada was "out of step" in its treatment of income trusts, with the US and Australia having already shut down similar structures.
"This situation is not right and it is not fair," he said. "The Tax Fairness Plan I am announcing today... is a significant step forward in the strengthening of our social security system for pensioners and seniors."
The Brunel Pension Partnership has become the fourth local authority pool to receive the green light from the regulator.
Defined benefit (DB) schemes are to be offered a new consolidator as the former chief of the Pension Protection Fund (PPF) launches 'The Pension SuperFund'.
Martin Freeman has been hired as head of technology product and development at Smart Pension, to support the 'growing' technology product side of the business.
Tim Sharp says the government has missed some big opportunities to help workers in the DB white paper.