Amendments to the Income Tax Act have already come into effect and hopefully your clients are all now well aware of the changes that have to be made with regards to the taxation of their income disability benefit premiums, as well as the changes to the taxation of disability benefits should there be a claim.

We have also communicated the responses of each of our insurers to these changes but there seems to be some confusion as to the effective date of these changes. Below please find confirmation of these, which should hopefully dispel any uncertainty:

Although references to tax treatment contained herein do not constitute tax, legal or accounting advice and policyholders must secure their own advice to confirm how the tax treatment may apply to them, please do not hesitate to contact us with further queries should you have any and we will do all we can to help you find answers to them.

Yours sincerely,

The TSA Team

You’ll find all back issues of TSA Connect by visiting our blog and you can do that by clicking here. All information provided in TSA Connect newsletters is intended to inform and explain, but please remember to always check the current terms on policies when considering options and advising clients.