Term Certain Annuity
What is a term certain annuity?
This type of annuity provides income for a specified period of time, chosen at the time of purchase. Once the last payment is made, the contract expires and no further payments are made.
A non-registered life annuity is tax-efficient because only the interest portion is taxable.
Pension Income Tax Credit
The interest element of a non-registered annuity, both prescribed and non-prescribed, is eligible for tax credits if the annuitant is 65 years of age or older.