CI Financial Inc. announced today it will again pursue its conversion into an income trust, an idea that was shelved last year amid uncertainty about federal taxation.

“While the federal government clarified its stance on conversions in November 2005, Ontario’s 2006 budget as announced yesterday by the Ontario Minister of Finance fails to deliver tax relief that would level the playing field between trusts and corporations,” CEO William Holland said in a release.

“In view of the federal and provincial government positions as they exist today, and after considerable effort and time has been spent evaluating the merits of an income trust structure, CI management continues to believe that the income trust structure is the best structure for CI shareholders.”

CI said its management will recommend a conversion to CI’s board of directors by early April and, if approved by the board, it would submit the transaction to CI’s shareholders for approval at a special meeting of the mutual fund company.