Manulife Financial Tax and Estate Planning experts ‘write the book’ on tax planning impacts of life insurance

Carswell publishes reference text for lawyers, accountants, financial advisors

WATERLOO, ON, Jan. 15 – Canada’s key financial advisors can
now turn to a single reference tool for comprehensive information on how taxation of life
insurance can affect their personal and business financial planning.

The 500-page softcover book, Canadian Taxation of Life
Insurance, is published by Canada’s leading specialized information publishing house,
Toronto-based Carswell, and is available through Carswell’s Web site at

“The use of life insurance for personal, business and
estate planning is a complex area that’s experiencing unprecedented attention and
growth,” said Florence Marino, Assistant Vice President of Manulife’s Tax and Estate
Planning Group, and co-editor of the book.

“We became aware that there was a real need for a
single reference guide on how life insurance policies and annuities are taxed and the tax
implications of their use in various planning contexts – so we set out to pull it
together,” added co-editor Joel Cuperfain, a Tax and Estate Planning Consultant in
Manulife’s Toronto regional office. “We wanted to create a comprehensive guide to key
tax issues facing many individuals and businesses as they accumulate wealth through their
life insurance coverage and annuities.”

Important tool for advisors

When Manulife approached Carswell about the book, the
publisher was immediately receptive given the Tax and Estate Planning Group’s strong
reputation in the Canadian insurance industry. “We believe this will be a valuable
tool for lawyers, accountants, and insurance advisors involved in providing advice,” added Ms. Marino.

Manulife has 18 specialists – primarily lawyers and
accountants – in the Tax and Estate Planning Group, based in various locations in Canada.
The group’s mandate is to assist advisors to develop insurance solutions for their clients
seeking tax-advantaged wealth accumulation.

An understanding of the tax impact on life insurance can
assist tax and financial advisors to better evaluate how life insurance can be used in
estate and business planning, Ms. Marino said.

“Client and professional advisors play an important
role in helping Canadians make better financial decisions and this reference book is
designed to help them to know the implications of their coverage and annuity
investments,” added Mr. Cuperfain.

About Carswell

Carswell is Canada’s leading provider of specialized
information and electronic research solutions. A Thomson business, Carswell operates
within the legal, finance and human resources sectors, providing integrated information in
formats including books, looseleaf services, journals and newsletters, CD-ROMs and online.
For more information, visit the Carswell Web site at

About The Thomson Corporation

The Thomson Corporation, with 2000 revenues of
approximately $6.0 billion, is a leading provider of integrated information solutions to
business and professional markets worldwide. The Corporation’s common shares are listed on
the Toronto and London stock exchanges. For more information, visit The Thomson
Corporation at

About Manulife Financial

Manulife Financial is a leading Canadian-based financial
services company operating in 15 countries and territories worldwide. Through its
extensive network of employees, agents and distribution partners, Manulife Financial
offers clients a diverse range of financial protection products and wealth management
services. Funds under management by Manulife Financial (Manulife Financial Corporation and
its affiliated companies) were Cdn$134.6 billion as at September 30, 2001.

Manulife Financial Corporation trades as ‘MFC’ on the TSE,
NYSE and PSE, and under ‘0945’ on the SEHK. Manulife Financial can be found on the
Internet at

About the Book: Canadian Taxation of Life Insurance


Canadian Taxation of Life Insurance is written by the Tax
and Estate Planning Group of Manulife Financial. All contributors are professionals who
draw on extensive experience in developing innovative and tax-effective life insurance
strategies as they apply to complex estate planning situations.

The Editors:

Joel Cuperfain is Regional Consultant in the Tax and Estate
Planning Group, Toronto, of Manulife Financial since 1995. His responsibilities include
developing and implementing advanced tax and estate planning strategies and providing
consulting support. He specializes in creating tax-effective life insurance strategies.
Prior to joining Manulife Financial, Joel worked with two prominent Toronto law firms,
with a concentration on personal and corporate tax and estate planning and administration.

Mr. Cuperfain is a frequent speaker and lecturer within the
life insurance industry, the academic community, and for professional bodies, including
the Canadian Tax Foundation and CAIFA.

Florence Marino is Assistant Vice President, Tax and Estate
Planning Group, Waterloo, of Manulife Financial since 1989. Her responsibilities include
the provision of consulting services to agents and Manulife offices relating to complex
estate and business planning for individuals and small businesses. Prior to joining
Manulife, Florence was a tax lawyer with a leading Toronto law firm.

Ms Marino is a frequent speaker and lecturer within the
life insurance industry, the academic community, and for professional bodies including the
Conference for Advanced Life Underwriting and Canadian Association of Financial Planners.

Product Description:

Canadian Taxation of Life Insurance is a comprehensive
reference text on the taxation of life insurance policies including annuity contracts. The
income tax rules applicable to life insurance policies are discussed from a current and
historical perspective. An understanding of the tax regime associated with life insurance
products can assist the tax and financial advisor to better evaluate the use of life
insurance in estate and business planning contexts and to maximize the potential product benefits.

The book discusses in detail the use of life insurance in
estate and business planning contexts and the resulting tax consequences associated with
these uses. In addition to the tax consequences of life insurance in the corporate,
partnership or personal contexts, this book also discusses the accounting consequences
associated with certain of these contexts.

The tax consequences associated with common transactions
involving life insurance policies, for example, transfers of ownership or other
dispositions of a policy, are also discussed in depth.

Topics include:

  • History of life insurance policy taxation

  • Description of life insurance products

  • Taxation of life insurance policies, and valuation issues

  • Personal life insurance needs and applications

  • Business insurance needs

  • Split-dollar insurance arrangements

  • Trusts and life insurance

  • International issues

  • Life insurance and partnerships

  • Insurance and charitable giving

  • Annuities and segregated funds

  • Annuities: contracts, deferred annuities, planned giving, insured

  • Taxation of structured settlements

  • Segregated funds

This unique, comprehensive book is a valuable tool for lawyers, accountants, and financial
and insurance advisors involved in providing business or personal tax and estate planning advice.