Effective November 27, 2021, the deferred sales charge and low load sales charge purchase options will no longer be available for purchase on Sun Life Global Investments mutual funds. Switches between funds of the same sales charge purchase option will be permitted.

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Adjusted Cost Basis (ACB) - Deferred annuities

The Adjusted Cost Basis (ACB) is the net of the principal, interest reported on tax slips less all withdrawals. Here is how the ACB is calculated:

The following increases the ACB of the policy:

  • principal at issue
  • if acquired by means of an absolute assignment (transfer of ownership) cash value at the time of an absolute assignment,
  • money deposited by the policyholder into the annuity since issue or since one of the above, and
  • taxable policy gains and accrued income previously reported to the policyholder.

The following decreases the ACB of the policy:

  • proceeds received by the policyholder (i.e. partial and/or automatic withdrawals).