Proxies for PIE investors

Proxies for PIE investors are intermediaries through which investors can invest in a PIE. Proxies are not PIEs themselves, but they take on responsibilities as if they were a multi-rate PIE.

Proxies are sometimes referred to as custodians, nominees or wrap accounts.

How to become a PIE investor proxy

You need to meet these 3 requirements to become a PIE investor proxy.

• You must hold an investor interest in a multi-rate PIE for each individual investor.
• You must tell the multi-rate PIE in writing that you are holding the investor interest as a proxy.
• The investment must not be in a listed PIE.

You can invest in listed PIEs outside your role as a PIE investor proxy.

Paying tax

PIE investor proxies need to file PIE periodic returns.

You also file income tax returns for your other income that is not from multi-rate PIEs.

Responsibilities

PIE investor proxies must:

• attribute income or loss and tax credits, and pay PIE tax on investor income for the period
• file PIE returns showing that income or loss, credits and payments
• tell the PIE if its investors may cause the PIE to breach any of its eligibility requirements
• adjust investor interests to reflect the prescribed investor rate on the PIE income.