TICO Compensation Fund Transition Assessments and Payment Schedule

On 01FEB 2024, TICO announced a transition to a new funding framework and fee model to take effect as of 01APR 2024.

on 27FEB, TICO advised, "As registrants have year-ends throughout the year, there will be a period of transition as the new fees come into effect."

Compensation Fund assessment will be due based on your company’s year-end.

Registrants with fiscal year-ends between October 1, 2023 and March 31, 2024

• For your current fiscal year-end (up to March 31, 2024), you will continue to calculate Compensation Fund assessments at the current level of $0.25/$1,000 in Ontario Gross Sales based on the last six months.
  • Your 2024 annual registration renewal fee will also be based on the existing fee model. An invoice will be sent to you approximately 60-days prior to the payment due date.
• Starting on April 1, 2024, you will no longer have a mid-year Compensation Fund assessment due.
• In 2025, you will calculate your Compensation Fund assessment for the full year at the new reduced rate of $0.05/$1,000 in Ontario Gross Sales.
  • In 2025, your annual registration renewal fee will be based on the new fee model.
  • Registrants who have branch offices will continue to have an annual registration renewal fee of $300 for each branch office.

Registrants with fiscal year-ends between April 1, 2024 and September 30, 2024

• This group of registrants will continue to pay a mid-year Compensation Fund assessment for their current fiscal year (mid-year ending October 1, 2023 to March 31, 2024) at $0.25/$1,000 in Ontario Gross Sales for the last six months.
• To avoid paying twice on the same assessment period, registrants with year-ends during this timeframe require a transitional adjustment. Your 2024 year-end Compensation Fund assessment will be based on the new fee model of $0.05/$1,000 in Ontario Gross Sales.

• Because of the transition, this year’s assessment will be based on the last six months of this fiscal year (as opposed to 12 months as required under the new fee model) of Ontario Gross Sales.
  • Your 2024 annual registration renewal fee will also be based on the new fee model. An invoice will be sent to you approximately 60-days prior to the payment due date.
  • Registrants who have branch offices will continue to have an annual registration renewal fee of $300 each.
• After your 2024 year-end Compensation Fund assessment, your next Compensation Fund assessment won’t be due for a full year (no more mid-year filings). In 2025, you will calculate your Compensation Fund assessment for the full 12 months of the 2025 fiscal year at the new reduced rate of $0.05/$1,000 in Ontario Gross Sales.

For fiscal year-ends after October 1, 2024 (transition period complete)

• As of October 1, 2024, the transition period to the new fee model will be complete.
• Registrants with year-ends on or after October 1, 2024 will calculate their Compensation Fund assessment for the full year at the new reduced rate of $0.05/$1,000 in Ontario Gross Sales.
  • Annual registration renewal fees will be based on the new fee model. An invoice will be sent to you approximately 60-days prior to the payment due date.
  • Registrants who have branch offices will continue to have an annual registration renewal fee of $300 for each branch office.
• As a burden reduction measure, mid-year filings will be completely phased out – Compensation Fund assessments will only be due once per year.

Questions?
Please email tico@tico.ca or call 1-888-451-TICO (8426).