Section 207.62 — Income Tax Act: Tax payable in respect of advantage

A custodian of a retirement compensation arrangement shall pay a tax under this Part for a calendar year if, in the year, an advantage in relation to the arrangement is extended to, or is received or receivable by, an RCA trust under the arrangement, a specified beneficiary of the arrangement or any person who does not deal at arm’s length with the specified beneficiary. The amount of tax payable in respect of an advantage described in subsection (1) is in the case of a benefit, the fair market value of the benefit; in the case of a loan or an indebtedness, the amount of the loan or indebtedness;

and in the case of an RCA strip, the amount of the RCA strip.