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Republic Corporate Tax Incentive Savings Plan

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About the Republic 134(6) (Corporate) Tax Incentive Savings Plan

Republic's Trust & Asset Management Division provides two (2) corporate retirement savings plans that provide benefits to both Employers and Employees. The Republic 134 (6) Tax Incentive Savings Plans are designed under the provisions of the Income Tax Act of Trinidad & Tobago section 134(6). These provisions allow the earnings of an employee, which are categorized as bonus and allowance income to be paid non-taxed, directly by the employer into the plan for the purpose of generating retirement benefits for the employee.

  • Republic 134(6) (Corporate) Tax Incentive Savings Plan (CTISP)
    Employers can contribute directly to this approved plan on behalf of their employees, up to a maximum of 33 1/3 % of the employees’ Annual Chargeable Income or 20% Annual Emolument Income. All contributions made by the employer are fully tax deductible.

  • Republic 134(6) (Corporate) Equity Tax Incentive Savings Plan (CETISP)
    With features similar to the CTISP, the Republic 134(6) CETISP further enhances potential investment returns through a portfolio of primarily equity securities. The Investment Managers at TRAM manage this portfolio taking into consideration prevailing economic and capital market conditions, seeking at all times to optimise returns consistent with the risk profile of the plan.

Plan Objectives

To achieve long-term growth primarily through income and capital appreciation in order to provide investors with returns that will assist in meeting their retirement goals.

Who Manages the Plans?

The Trust & Asset Management Division of Republic Bank Limited manages TISP. We were the first bank to offer this type of retirement investment product in Trinidad and Tobago.

The Trust & Asset Management Division has a knowledgeable investment team with over forty years in investment management experience. The Division manages billions in assets on behalf of individuals and institutional clients.

How do the Republic 134(6) (Corporate) TISP operate?
At Republic we make setting up Republic 134(6) (Corporate) TISP for your executives and employees an easy and affordable goal. We know that many employers do not like the hassle and paperwork associated with traditional pension plans.

With the Republic 134(6) (Corporate) TISP all you do is:
  • Make the decision to set up the plan.
  • Issue monthly cheques to cover the contributions.
We at the Trust & Asset Management Division will complete the rest:
  • Open and maintain all accounts.
  • Obtain approval from BIR for initial certificates.
  • Provide annual statements.
  • Complete all documentation (at your office or ours)
  • Make all investment decisions
  • Provide you with periodic performance updates on your investment

ALL THIS IS ABSOLUTELY FREE TO YOU!

Income
Republic Corporate Tax Incentive Savings Plan
  • Rate declared annually
  • Interest Rate net of all charges
  • Interest is paid retroactively based on the minimum monthly balance of the Account for the previous year.
Republic Corporate Equity Tax Incentive Savings Plan

The price (Net Asset Value) of the fund is calculated daily based on the net asset value of all securities in the portfolio. Income is re-invested in the fund, so that gains are reflected as an increase in the net asset value of the units held.

Benefits to both Employers and Employees
Employers Employees
  • No Administrative Burden

  • Low Cost Plans - All Administrative costs are absorbed by the Plans

  • All contributions are fully tax deductible
 Employees receive the benefit of having tax free contributions made to their pension plan.

  • Tax Free Interest upon Maturity.
    Upon the maturity of the Plan; employees receive 100% TAX-FREE Interest Income/Earnings and 25% of total contributions. The remaining 75% is used to purchase an annuity that provides employees with income for life.

  • Transfer between Republic Plans
    Employees appetite for risk may change as they approach retirement. They can manage the risk in their retirement portfolio by managing exposure to the Republic CTISP and the Republic CETISP.

  • Flexible Maturity Date
    Employees can choose any maturity date between the ages of 50 years and 70 years, when they would need their retirement income most.

  • Select an annuity provider of THEIR choice.
    Upon maturity, employees can select an annuity provider they feel most comfortable with.

  • Plan their Estate
    Employees can appoint a beneficiary at any time throughout the life of the Plan. Should they die prior to the maturity date, the full value of the Plan less any taxes due under the law will be paid to their nominated beneficiary.
How to Apply?

Simply contact any one of our Marketing Officers who will provide additional information and help you open your Republic US$ Fixed Income Security Fund.

Contact us

Interested investors can call 1-868-625-4411 extension 3064, 3316 or 3141 or send an email to trambdo@republictt.com

Documentation Needed

Before visiting our branches, ensure you have:
Two (2) forms of Identification
Copy of recently paid Utility Bill
Copy of recent Payslip
Proof of Board of Inland Revenue Number

Disclaimer

This investment is neither insured with the Deposit Insurance Corporation in Trinidad and Tobago, nor is it guaranteed by any of the parties involved. This investment and any income from in may fluctuate and the investor may not receive the amount originally invested. Past performance is not necessarily a guide to future performance.

The supply of this service is in conformity with the provision of the Code of Banking Practice.

Information on current interest rates, fees and charges applicable to this and any other service is available on request at any branch of the Bank.

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