For this purpose, if an exchange has more than one tier of market level on which stock may be separately listed or traded, each of those tiers must be treated as a separate exchange. (marché boursier réglementé)
(a)a retirement or pension account that satisfies the following requirements:(i)the account is(A)subject to regulation as a personal retirement account, or(B)part of a registered or regulated retirement or pension plan for the provision of retirement or pension benefits (including disability or death benefits),(ii)the account is tax-favoured in that(A)contributions to the account that would otherwise be subject to tax are deductible or excluded from the gross income of the account holder or taxed at a reduced rate, or(B)taxation of investment income within the account is deferred or investment income within the account is taxed at a reduced rate,(iii)information reporting to the Minister is required with respect to the account,(iv)withdrawals are(A)conditioned on reaching a specified retirement age, disability or death, or(B)subject to penalties if made before the events specified in clause (A), and(v)after applying the rules in subsection 277(3) to all similar accounts, annual contributions to the account are limited to 50,000 USD or less or there is a maximum lifetime contribution limit to the account of 1,000,000 USD or less (and an account that otherwise satisfies this requirement will not fail to satisfy this requirement solely because the account may receive assets or funds transferred from one or more accounts that meet the requirements of this paragraph or paragraph (b) or from one or more broad participation retirement funds, narrow participation retirement funds or pension funds of a governmental entity, international organization or central bank);(b)an account that satisfies the following requirements:(i)the account is(A)both(I)subject to regulation as an investment vehicle for purposes other than for retirement, and(II)regularly traded on an established securities market, or(B)subject to regulation as a savings vehicle for purposes other than for retirement,(ii)the account is tax-favoured in that(A)contributions to the account that would otherwise be subject to tax are deductible or excluded from the gross income of the account holder or taxed at a reduced rate, or(B)taxation of investment income within the account is deferred or investment income within the account is taxed at a reduced rate,(iii)withdrawals are(A)conditioned on meeting specific criteria related to the purpose of the investment or savings account (including the provision of educational or medical benefits), or(B)subject to penalties if made before the criteria in clause (A) are met, and(iv)annual contributions are, after applying the rules in subsection 277(3) to all similar accounts, limited to 50,000 USD or less (and an account that otherwise satisfies this requirement will not fail to satisfy this requirement solely because the account may receive assets or funds transferred from one or more accounts that meet the requirements of paragraph (a) or this paragraph or from one or more broad participation retirement funds, narrow participation retirement funds or pension funds of a governmental entity, international organization or central bank);(c)a life insurance contract with a coverage period that ends before the insured individual attains age 90, if the contract satisfies the following requirements:(i)periodic premiums, which do not decrease over time, are payable at least annually until the earlier of(A)the end of the period in which the contract is in existence, and(B)the date that the insured attains age 90,(ii)the contract has no contract value that any person can access (by withdrawal, loan or otherwise) without terminating the contract,(iii)the amount (other than a death benefit) payable upon cancellation or termination of the contract must not exceed the amount determined by the formulaA − (B + C)whereAis the aggregate premiums paid for the contract,Bis the total of all mortality, morbidity and expense charges (whether or not actually imposed) for the period or periods of the contract’s existence, andCis the total of all amounts paid prior to the cancellation or termination of the contract, and(iv)the contract has not been acquired by a transferee for value;(d)an account held solely by an estate of a deceased individual, if the documentation for the account includes a copy of the will or death certificate of the individual;(e)an account established in connection with any of the following:(i)a court order or judgement,(ii)a sale, exchange or lease of property, if the account satisfies the following requirements:(A)the account is funded(I)solely with a down payment, earnest money, deposit in an amount appropriate to secure an obligation directly related to the transaction or a similar payment, or(II)with a financial asset that is deposited in the account in connection with the sale, exchange or lease of the property,(B)the account is established and used solely to secure the obligation of(I)the purchaser to pay the purchase price for the property,(II)the seller to pay any contingent liability, or(III)the lessor or lessee to pay for any damages relating to the leased property as agreed under the lease,(C)the assets of the account, including the income earned on the account, will be paid or otherwise distributed for the benefit of the purchaser, seller, lessor or lessee (including to satisfy such person’s obligation) when the property is sold, exchanged or surrendered or the lease terminates,(D)the account is not a margin or similar account established in connection with a sale or exchange of a financial asset, and(E)the account is not associated with an account described in paragraph (f),(iii)an obligation of a financial institution servicing a loan secured by real or immovable property to set aside a portion of a payment solely to facilitate the payment of taxes or insurance related to the property at a later time, or(iv)an obligation of a financial institution solely to facilitate the payment of taxes at a later time;(f)a depository account that satisfies the following requirements:(i)the account exists solely because a customer makes a payment in excess of a balance due with respect to a credit card or other revolving credit facility and the overpayment is not immediately returned to the customer, and(ii)after June 2017, policies and procedures are in effect relating to overpayments (for this purpose, a customer overpayment does not include credit balances to the extent of disputed charges but does include credit balances resulting from merchandise returns) to either(A)prevent a customer from making an overpayment in excess of 50,000 USD, or(B)ensure that any customer overpayment in excess of 50,000 USD is refunded to the customer within 60 days; and(g)a prescribed account. (compte exclu)
(i)the account is(A)subject to regulation as a personal retirement account, or(B)part of a registered or regulated retirement or pension plan for the provision of retirement or pension benefits (including disability or death benefits),(ii)the account is tax-favoured in that(A)contributions to the account that would otherwise be subject to tax are deductible or excluded from the gross income of the account holder or taxed at a reduced rate, or(B)taxation of investment income within the account is deferred or investment income within the account is taxed at a reduced rate,(iii)information reporting to the Minister is required with respect to the account,(iv)withdrawals are(A)conditioned on reaching a specified retirement age, disability or death, or(B)subject to penalties if made before the events specified in clause (A), and(v)after applying the rules in subsection 277(3) to all similar accounts, annual contributions to the account are limited to 50,000 USD or less or there is a maximum lifetime contribution limit to the account of 1,000,000 USD or less (and an account that otherwise satisfies this requirement will not fail to satisfy this requirement solely because the account may receive assets or funds transferred from one or more accounts that meet the requirements of this paragraph or paragraph (b) or from one or more broad participation retirement funds, narrow participation retirement funds or pension funds of a governmental entity, international organization or central bank);
(A)subject to regulation as a personal retirement account, or(B)part of a registered or regulated retirement or pension plan for the provision of retirement or pension benefits (including disability or death benefits),
(A)contributions to the account that would otherwise be subject to tax are deductible or excluded from the gross income of the account holder or taxed at a reduced rate, or(B)taxation of investment income within the account is deferred or investment income within the account is taxed at a reduced rate,
(A)conditioned on reaching a specified retirement age, disability or death, or(B)subject to penalties if made before the events specified in clause (A), and
(i)the account is(A)both(I)subject to regulation as an investment vehicle for purposes other than for retirement, and(II)regularly traded on an established securities market, or(B)subject to regulation as a savings vehicle for purposes other than for retirement,(ii)the account is tax-favoured in that(A)contributions to the account that would otherwise be subject to tax are deductible or excluded from the gross income of the account holder or taxed at a reduced rate, or(B)taxation of investment income within the account is deferred or investment income within the account is taxed at a reduced rate,(iii)withdrawals are(A)conditioned on meeting specific criteria related to the purpose of the investment or savings account (including the provision of educational or medical benefits), or(B)subject to penalties if made before the criteria in clause (A) are met, and(iv)annual contributions are, after applying the rules in subsection 277(3) to all similar accounts, limited to 50,000 USD or less (and an account that otherwise satisfies this requirement will not fail to satisfy this requirement solely because the account may receive assets or funds transferred from one or more accounts that meet the requirements of paragraph (a) or this paragraph or from one or more broad participation retirement funds, narrow participation retirement funds or pension funds of a governmental entity, international organization or central bank);
(A)both(I)subject to regulation as an investment vehicle for purposes other than for retirement, and(II)regularly traded on an established securities market, or(B)subject to regulation as a savings vehicle for purposes other than for retirement,
(I)subject to regulation as an investment vehicle for purposes other than for retirement, and(II)regularly traded on an established securities market, or
(A)contributions to the account that would otherwise be subject to tax are deductible or excluded from the gross income of the account holder or taxed at a reduced rate, or(B)taxation of investment income within the account is deferred or investment income within the account is taxed at a reduced rate,
(A)conditioned on meeting specific criteria related to the purpose of the investment or savings account (including the provision of educational or medical benefits), or(B)subject to penalties if made before the criteria in clause (A) are met, and
(i)periodic premiums, which do not decrease over time, are payable at least annually until the earlier of(A)the end of the period in which the contract is in existence, and(B)the date that the insured attains age 90,(ii)the contract has no contract value that any person can access (by withdrawal, loan or otherwise) without terminating the contract,(iii)the amount (other than a death benefit) payable upon cancellation or termination of the contract must not exceed the amount determined by the formulaA − (B + C)whereAis the aggregate premiums paid for the contract,Bis the total of all mortality, morbidity and expense charges (whether or not actually imposed) for the period or periods of the contract’s existence, andCis the total of all amounts paid prior to the cancellation or termination of the contract, and(iv)the contract has not been acquired by a transferee for value;
(A)the end of the period in which the contract is in existence, and(B)the date that the insured attains age 90,
(i)a court order or judgement,(ii)a sale, exchange or lease of property, if the account satisfies the following requirements:(A)the account is funded(I)solely with a down payment, earnest money, deposit in an amount appropriate to secure an obligation directly related to the transaction or a similar payment, or(II)with a financial asset that is deposited in the account in connection with the sale, exchange or lease of the property,(B)the account is established and used solely to secure the obligation of(I)the purchaser to pay the purchase price for the property,(II)the seller to pay any contingent liability, or(III)the lessor or lessee to pay for any damages relating to the leased property as agreed under the lease,(C)the assets of the account, including the income earned on the account, will be paid or otherwise distributed for the benefit of the purchaser, seller, lessor or lessee (including to satisfy such person’s obligation) when the property is sold, exchanged or surrendered or the lease terminates,(D)the account is not a margin or similar account established in connection with a sale or exchange of a financial asset, and(E)the account is not associated with an account described in paragraph (f),(iii)an obligation of a financial institution servicing a loan secured by real or immovable property to set aside a portion of a payment solely to facilitate the payment of taxes or insurance related to the property at a later time, or(iv)an obligation of a financial institution solely to facilitate the payment of taxes at a later time;
(A)the account is funded(I)solely with a down payment, earnest money, deposit in an amount appropriate to secure an obligation directly related to the transaction or a similar payment, or(II)with a financial asset that is deposited in the account in connection with the sale, exchange or lease of the property,(B)the account is established and used solely to secure the obligation of(I)the purchaser to pay the purchase price for the property,(II)the seller to pay any contingent liability, or(III)the lessor or lessee to pay for any damages relating to the leased property as agreed under the lease,(C)the assets of the account, including the income earned on the account, will be paid or otherwise distributed for the benefit of the purchaser, seller, lessor or lessee (including to satisfy such person’s obligation) when the property is sold, exchanged or surrendered or the lease terminates,(D)the account is not a margin or similar account established in connection with a sale or exchange of a financial asset, and(E)the account is not associated with an account described in paragraph (f),
(I)solely with a down payment, earnest money, deposit in an amount appropriate to secure an obligation directly related to the transaction or a similar payment, or(II)with a financial asset that is deposited in the account in connection with the sale, exchange or lease of the property,
(I)the purchaser to pay the purchase price for the property,(II)the seller to pay any contingent liability, or(III)the lessor or lessee to pay for any damages relating to the leased property as agreed under the lease,
(i)the account exists solely because a customer makes a payment in excess of a balance due with respect to a credit card or other revolving credit facility and the overpayment is not immediately returned to the customer, and(ii)after June 2017, policies and procedures are in effect relating to overpayments (for this purpose, a customer overpayment does not include credit balances to the extent of disputed charges but does include credit balances resulting from merchandise returns) to either(A)prevent a customer from making an overpayment in excess of 50,000 USD, or(B)ensure that any customer overpayment in excess of 50,000 USD is refunded to the customer within 60 days; and
(A)prevent a customer from making an overpayment in excess of 50,000 USD, or(B)ensure that any customer overpayment in excess of 50,000 USD is refunded to the customer within 60 days; and
(a)includes(i)a depository account,(ii)a custodial account,(iii)in the case of an investment entity, any equity or debt interest in the financial institution, except that it does not include any equity or debt interest in an entity that is an investment entity solely because it,(A)renders investment advice to, and acts on behalf of, a customer for the purpose of investing, managing or administering financial assets deposited in the name of the customer with a financial institution other than such entity, or(B)manages portfolios for, and acts on behalf of, a customer for the purpose of investing, managing, or administering financial assets deposited in the name of the customer with a financial institution other than such entity,(iv)any equity or debt interest in the financial institution if one of the purposes of establishing the class of interests was to avoid reporting in accordance with section 271, except that it does not include any equity or debt interest in an entity that is an investment entity solely because it meets the conditions described in clauses (iii)(A) or (B),(v)any cash value insurance contract and any annuity contract issued or maintained by a financial institution, other than a non-investment-linked, non-transferable immediate life annuity that is issued to an individual and monetizes a pension or disability benefit provided under an account that is an excluded account, and(vi)an account that is a client name account maintained by a person or entity that is authorized under provincial legislation to engage in the business of dealing in securities or any other financial instruments, or to provide portfolio management or investment advising services; and(b)despite paragraph (a), does not include an excluded account. (compte financier)
(i)a depository account,(ii)a custodial account,(iii)in the case of an investment entity, any equity or debt interest in the financial institution, except that it does not include any equity or debt interest in an entity that is an investment entity solely because it,(A)renders investment advice to, and acts on behalf of, a customer for the purpose of investing, managing or administering financial assets deposited in the name of the customer with a financial institution other than such entity, or(B)manages portfolios for, and acts on behalf of, a customer for the purpose of investing, managing, or administering financial assets deposited in the name of the customer with a financial institution other than such entity,(iv)any equity or debt interest in the financial institution if one of the purposes of establishing the class of interests was to avoid reporting in accordance with section 271, except that it does not include any equity or debt interest in an entity that is an investment entity solely because it meets the conditions described in clauses (iii)(A) or (B),(v)any cash value insurance contract and any annuity contract issued or maintained by a financial institution, other than a non-investment-linked, non-transferable immediate life annuity that is issued to an individual and monetizes a pension or disability benefit provided under an account that is an excluded account, and(vi)an account that is a client name account maintained by a person or entity that is authorized under provincial legislation to engage in the business of dealing in securities or any other financial instruments, or to provide portfolio management or investment advising services; and
(A)renders investment advice to, and acts on behalf of, a customer for the purpose of investing, managing or administering financial assets deposited in the name of the customer with a financial institution other than such entity, or(B)manages portfolios for, and acts on behalf of, a customer for the purpose of investing, managing, or administering financial assets deposited in the name of the customer with a financial institution other than such entity,
(a)includes(i)a security, such as(A)a share of the capital stock of a corporation,(B)an income or capital interest in a widely held or publicly traded trust, or(C)a note, bond, debenture or other evidence of indebtedness,(ii)a partnership interest,(iii)a commodity,(iv)a swap (such as interest rate swaps, currency swaps, basis swaps, interest rate caps, interest rate floors, commodity swaps, equity swaps, equity index swaps and similar agreements),(v)an insurance contract or annuity contract, and(vi)any interest (including a futures or forward contract or option) in a security, partnership interest, commodity, swap, insurance contract or annuity contract; and(b)does not include a non-debt, direct interest in real or immovable property. (actif financier)
(i)a security, such as(A)a share of the capital stock of a corporation,(B)an income or capital interest in a widely held or publicly traded trust, or(C)a note, bond, debenture or other evidence of indebtedness,(ii)a partnership interest,(iii)a commodity,(iv)a swap (such as interest rate swaps, currency swaps, basis swaps, interest rate caps, interest rate floors, commodity swaps, equity swaps, equity index swaps and similar agreements),(v)an insurance contract or annuity contract, and(vi)any interest (including a futures or forward contract or option) in a security, partnership interest, commodity, swap, insurance contract or annuity contract; and
(A)a share of the capital stock of a corporation,(B)an income or capital interest in a widely held or publicly traded trust, or(C)a note, bond, debenture or other evidence of indebtedness,
(a)an integral part of a jurisdiction means any person, organization, agency, bureau, fund, instrumentality or other body, however designated, that constitutes a governing authority of a jurisdiction and where the net earnings of the governing authority are credited to its own account or to other accounts of the jurisdiction, with no portion inuring to the benefit of any private person, except that an integral part does not include any individual who is a sovereign, official or administrator acting in a private or personal capacity;(b)a controlled entity means an entity that is separate in form from the jurisdiction or that otherwise constitutes a separate juridical entity, provided that(i)the entity is wholly owned and controlled by one or more governmental entities directly or indirectly through one or more controlled entities,(ii)the entity’s net earnings are credited to its own account or to the accounts of one or more governmental entities, with no portion of its income inuring to the benefit of any private person, and(iii)the entity’s assets vest in one or more governmental entities upon liquidation and dissolution; and(c)for the purposes of paragraphs (a) and (b),(i)income is deemed not to inure to the benefit of private persons if such persons are the intended beneficiaries of a governmental program and the program activities are performed for the general public with respect to the common welfare or relate to the administration of government, and(ii)income is deemed to inure to the benefit of private persons if the income is derived from the use of a governmental entity to conduct a commercial business that provides financial services to private persons. (entité gouvernementale)
(i)the entity is wholly owned and controlled by one or more governmental entities directly or indirectly through one or more controlled entities,(ii)the entity’s net earnings are credited to its own account or to the accounts of one or more governmental entities, with no portion of its income inuring to the benefit of any private person, and(iii)the entity’s assets vest in one or more governmental entities upon liquidation and dissolution; and
(i)income is deemed not to inure to the benefit of private persons if such persons are the intended beneficiaries of a governmental program and the program activities are performed for the general public with respect to the common welfare or relate to the administration of government, and(ii)income is deemed to inure to the benefit of private persons if the income is derived from the use of a governmental entity to conduct a commercial business that provides financial services to private persons. (entité gouvernementale)
(a)provides coverage on individuals who are associated through an employer, trade association, labour union or other association or group; and(b)charges a premium for each member of the group (or member of a class within the group) that is determined without regard to the individual health characteristics other than age, gender and smoking habits of the member (or class of members) of the group. (contrat d’assurance de groupe avec valeur de rachat)
(a)that is comprised primarily of governments;(b)that has in effect a headquarters or substantially similar agreement with a jurisdiction; and(c)the income of which does not inure to the benefit of private persons. (organisation internationale)
(a)that primarily carries on as a business one or more of the following activities or operations for or on behalf of a customer:(i)trading in money market instruments (such as cheques, bills, certificates of deposit and derivatives), foreign exchange, transferable securities or commodity futures, exchange, interest rate and index instruments,(ii)individual and collective portfolio management, or(iii)otherwise investing, administering or managing financial assets or money on behalf of other persons; or(b)the gross income of which is primarily attributable to investing, reinvesting or trading in financial assets, if the entity is managed by another entity that is a depository institution, a custodial institution, a specified insurance company or an investment entity described in paragraph (a). (entité d’investissement)
(i)trading in money market instruments (such as cheques, bills, certificates of deposit and derivatives), foreign exchange, transferable securities or commodity futures, exchange, interest rate and index instruments,(ii)individual and collective portfolio management, or(iii)otherwise investing, administering or managing financial assets or money on behalf of other persons; or
(a)the fund has fewer than 50 participants;(b)the fund is sponsored by one or more employers that are not investment entities or passive NFEs;(c)the employee and employer contributions to the fund (other than transfers of assets from retirement and pension accounts described in paragraph (a) of the definitionexcluded account) are limited by reference to the employee’s remuneration;(d)participants that are not resident in Canada are not entitled to more than 20% of the fund’s assets; and(e)the fund is subject to government regulation and provides information reporting to the Minister. (fonds de retraite à participation étroite)
(a)in the case of an entity that is resident in Canada, it is not a Canadian financial institution; and(b)in the case of a non-resident entity, it is not a financial institution. (entité non financièreouENF)
(a)the Bank of Canada;(b)a governmental entity or international organization, other than with respect to a payment that is derived from an obligation held in connection with a commercial financial activity of a type engaged in by a specified insurance company, custodial institution or depository institution;(c)a broad participation retirement fund, a narrow participation retirement fund, a pension fund of a governmental entity, international organization or central bank, or a qualified credit card issuer;(d)an exempt collective investment vehicle;(e)a trust if a trustee of the trust is a reporting financial institution and reports all information required to be reported under this Part with respect to all reportable accounts of the trust; or(f)a prescribed entity. (institution financière non déclarante)
(a)Canada; and(b)each jurisdiction identified as a participating jurisdiction by the Minister on the Internet website of the Canada Revenue Agency or by any other means that the Minister considers appropriate. (juridiction partenaire)
(a)a financial institution that is resident in a participating jurisdiction, but excludes a branch of that financial institution that is located outside a participating jurisdiction; and(b)a branch of a financial institution that is not resident in a participating jurisdiction, if that branch is located in a participating jurisdiction. (institution financière d’une jurisdiction partenaire)
(a)a non-financial entity that is not an active NFE; and(b)an entity that is(i)described in paragraph (b) of the definitioninvestment entity, and(ii)not a participating jurisdiction financial institution. (ENF passive)
(i)described in paragraph (b) of the definitioninvestment entity, and(ii)not a participating jurisdiction financial institution. (ENF passive)
(a)that are current or former employees (or persons designated by those employees); or(b)that are not current or former employees, if the benefits provided to them are in consideration of personal services performed for the governmental entity, international organization or central bank. (fonds de pension désigné)
(a)a financial account maintained by a reporting financial institution on June 30, 2017; and(b)a financial account of an account holder (other than a financial account described in paragraph (a)) maintained by a reporting financial institution if(i)the account holder also holds with the reporting financial institution (or with a related entity within Canada) a financial account that is a preexisting account under paragraph (a),(ii)the reporting financial institution (and, as applicable, the related entity within Canada) treats both of the aforementioned financial accounts, and any other financial accounts of the account holder that are preexisting accounts under this paragraph, as a single financial account for the purposes of(A)satisfying the standards and knowledge requirements set forth under this Part, and(B)determining the balance or value of any of the financial accounts, when applying any of the account thresholds,(iii)with respect to a financial account that is subject to AML/KYC procedures, the reporting financial institution is permitted to satisfy those AML/KYC procedures for the financial account by relying upon the AML/KYC procedures performed for the preexisting account described in paragraph (a), and(iv)the opening of the financial account does not require the provision of new, additional or amended customer information by the account holder other than for purposes of this Part. (compte préexistant)
(i)the account holder also holds with the reporting financial institution (or with a related entity within Canada) a financial account that is a preexisting account under paragraph (a),(ii)the reporting financial institution (and, as applicable, the related entity within Canada) treats both of the aforementioned financial accounts, and any other financial accounts of the account holder that are preexisting accounts under this paragraph, as a single financial account for the purposes of(A)satisfying the standards and knowledge requirements set forth under this Part, and(B)determining the balance or value of any of the financial accounts, when applying any of the account thresholds,(iii)with respect to a financial account that is subject to AML/KYC procedures, the reporting financial institution is permitted to satisfy those AML/KYC procedures for the financial account by relying upon the AML/KYC procedures performed for the preexisting account described in paragraph (a), and(iv)the opening of the financial account does not require the provision of new, additional or amended customer information by the account holder other than for purposes of this Part. (compte préexistant)
(A)satisfying the standards and knowledge requirements set forth under this Part, and(B)determining the balance or value of any of the financial accounts, when applying any of the account thresholds,
(a)the financial institution is a financial institution solely because it is an issuer of credit cards that accepts deposits only when a customer makes a payment in excess of a balance due with respect to the card and the overpayment is not immediately returned to the customer; and(b)the financial institution has policies and procedures either to prevent a customer from making an overpayment in excess of 50,000 USD or to ensure that any customer overpayment in excess of 50,000 USD is refunded to the customer within 60 days, in each case applying the rules set forth in subsection 277(3) for account aggregation, and, for the purposes of this paragraph, a customer overpayment does not refer to credit balances to the extent of disputed charges but does include credit balances resulting from merchandise returns. (émetteur de carte de crédit déterminé)
(a)in the case of a corporation, shares of the capital stock of a corporation that(i)give their holders more than 50% of the votes that could be cast at the annual meeting of the shareholders of the corporation, and(ii)have a fair market value of more than 50% of the fair market value of all the issued and outstanding shares of the capital stock of the corporation;(b)in the case of a partnership, an interest as a member of the partnership that entitles the member to more than 50% of(i)the income or loss of the partnership, or(ii)the assets (net of liabilities) of the partnership if it were to cease to exist; and(c)in the case of a trust, an interest as a beneficiary under the trust with a fair market value that is greater than 50% of the fair market value of all interests as a beneficiary under the trust. (entité liée)
(i)give their holders more than 50% of the votes that could be cast at the annual meeting of the shareholders of the corporation, and(ii)have a fair market value of more than 50% of the fair market value of all the issued and outstanding shares of the capital stock of the corporation;
(i)the income or loss of the partnership, or(ii)the assets (net of liabilities) of the partnership if it were to cease to exist; and
(a)is held by(i)one or more reportable persons, or(ii)by a passive NFE, if one or more controlling persons of the passive NFE is a reportable person; and(b)has been identified as meeting the conditions in paragraph (a) in accordance with the due diligence procedures described in sections 272 to 277. (compte déclarable)
(i)one or more reportable persons, or(ii)by a passive NFE, if one or more controlling persons of the passive NFE is a reportable person; and
(a)a corporation the stock of which is regularly traded on one or more established securities markets;(b)any corporation that is a related entity of a corporation described in paragraph (a);(c)a governmental entity;(d)an international organization;(e)a central bank; or(f)a financial institution. (personne devant faire l’objet d’une déclaration)
(a)the number used by the Minister to identify an individual or entity, including(i)a social insurance number,(ii)a business number, and(iii)an account number issued to a trust; and(b)in respect of a jurisdiction other than Canada, a taxpayer identification number used in that jurisdiction to identify an individual or entity (or a functional equivalent in the absence of a taxpayer identification number). (NIF)
(i)a social insurance number,(ii)a business number, and(iii)an account number issued to a trust; and
(a)the three-year period that ends at the end of the entity’s last fiscal period, and(b)the period during which the entity has been in existence.
(a)an equity interest is deemed to be held by any person treated as a settlor or beneficiary of all or a portion of the trust or any other natural person exercising ultimate effective control over the trust, and(b)a reportable person is treated as a beneficiary of a trust if the reportable person has the right to receive directly or indirectly (such as through a nominee) a mandatory distribution from the trust or may receive, directly or indirectly, a discretionary distribution from the trust.
[NOTE: Application provisions are not included in the consolidated textsee relevant amending Acts and regulations.]2016, c. 12, s. 71
271(1)Subject to subsections (3) and (4), each reporting financial institution must report the following information to the Minister with respect to each of its reportable accounts:(a)the name, address, jurisdiction of residence, TIN and date of birth (in the case of a natural person) of each reportable person that is an account holder of the account;(b)in the case of any entity that is an account holder of the account and that, after applying the due diligence procedures in sections 275 to 277, is identified as having one or more controlling persons that is a reportable person,(i)the name, address, jurisdiction of residence and TIN of the entity, and(ii)the name, address, jurisdiction of residence, TIN and date of birth of each of those controlling persons;(c)the account number (or functional equivalent in the absence of an account number) of the account;(d)the name and identifying number (if any) of the reporting financial institution;(e)the account balance or value (including, in the case of a cash value insurance contract or annuity contract, the cash value or surrender value)(i)at the end of the relevant calendar year or other appropriate reporting period, or(ii)if the account was closed during the relevant calendar year or period, on closure of the account;(f)in the case of any custodial account,(i)the total gross amount of interest, the total gross amount of dividends and the total gross amount of other income generated with respect to the assets held in the account, in each case paid or credited to the account (or with respect to the account) during the calendar year or other appropriate reporting period, and(ii)the total gross proceeds from the sale or redemption of financial assets paid or credited to the account during the calendar year or other appropriate reporting period with respect to which the reporting financial institution acted as a custodian, broker, nominee or otherwise as an agent for the account holder;(g)in the case of any depository account, the total gross amount of interest paid or credited to the account during the calendar year or other appropriate reporting period; and(h)in the case of any account not described in paragraph (f) or (g), the total gross amount paid or credited to the account holder with respect to the account during the calendar year or other appropriate reporting period with respect to which the reporting financial institution is the obligor or debtor, including the aggregate amount of any redemption payments made to the account holder during the calendar year or other appropriate reporting period.Marginal note:Currrency(2)The information reported must identify the currency in which each amount is denominated.Marginal note:TIN and date of birth(3)With respect to each reportable account that is a preexisting account,(a)notwithstanding paragraphs (1)(a) and (b), the TIN or date of birth are not required to be reported if the TIN or the date of birth (as appropriate)(i)are not in the records of the reporting financial institution, and(ii)are not otherwise required to be collected by the reporting financial institution under the Act; and(b)a reporting financial institution is required to use reasonable efforts to obtain the TIN and the date of birth with respect to a preexisting account by the end of the second calendar year following the year in which the preexisting account is identified as a reportable account.Marginal note:Exceptions(4)Notwithstanding paragraphs (1)(a) and (b), a TIN of a reportable person is not required to be reported if(a)the relevant reportable jurisdiction does not issue TINs; or(b)the domestic law of the relevant reportable jurisdiction does not require the collection of the TIN issued by such reportable jurisdiction.
(a)the name, address, jurisdiction of residence, TIN and date of birth (in the case of a natural person) of each reportable person that is an account holder of the account;(b)in the case of any entity that is an account holder of the account and that, after applying the due diligence procedures in sections 275 to 277, is identified as having one or more controlling persons that is a reportable person,(i)the name, address, jurisdiction of residence and TIN of the entity, and(ii)the name, address, jurisdiction of residence, TIN and date of birth of each of those controlling persons;(c)the account number (or functional equivalent in the absence of an account number) of the account;(d)the name and identifying number (if any) of the reporting financial institution;(e)the account balance or value (including, in the case of a cash value insurance contract or annuity contract, the cash value or surrender value)(i)at the end of the relevant calendar year or other appropriate reporting period, or(ii)if the account was closed during the relevant calendar year or period, on closure of the account;(f)in the case of any custodial account,(i)the total gross amount of interest, the total gross amount of dividends and the total gross amount of other income generated with respect to the assets held in the account, in each case paid or credited to the account (or with respect to the account) during the calendar year or other appropriate reporting period, and(ii)the total gross proceeds from the sale or redemption of financial assets paid or credited to the account during the calendar year or other appropriate reporting period with respect to which the reporting financial institution acted as a custodian, broker, nominee or otherwise as an agent for the account holder;(g)in the case of any depository account, the total gross amount of interest paid or credited to the account during the calendar year or other appropriate reporting period; and(h)in the case of any account not described in paragraph (f) or (g), the total gross amount paid or credited to the account holder with respect to the account during the calendar year or other appropriate reporting period with respect to which the reporting financial institution is the obligor or debtor, including the aggregate amount of any redemption payments made to the account holder during the calendar year or other appropriate reporting period.
(i)the name, address, jurisdiction of residence and TIN of the entity, and(ii)the name, address, jurisdiction of residence, TIN and date of birth of each of those controlling persons;
(i)at the end of the relevant calendar year or other appropriate reporting period, or(ii)if the account was closed during the relevant calendar year or period, on closure of the account;
(i)the total gross amount of interest, the total gross amount of dividends and the total gross amount of other income generated with respect to the assets held in the account, in each case paid or credited to the account (or with respect to the account) during the calendar year or other appropriate reporting period, and(ii)the total gross proceeds from the sale or redemption of financial assets paid or credited to the account during the calendar year or other appropriate reporting period with respect to which the reporting financial institution acted as a custodian, broker, nominee or otherwise as an agent for the account holder;
(a)notwithstanding paragraphs (1)(a) and (b), the TIN or date of birth are not required to be reported if the TIN or the date of birth (as appropriate)(i)are not in the records of the reporting financial institution, and(ii)are not otherwise required to be collected by the reporting financial institution under the Act; and(b)a reporting financial institution is required to use reasonable efforts to obtain the TIN and the date of birth with respect to a preexisting account by the end of the second calendar year following the year in which the preexisting account is identified as a reportable account.
(i)are not in the records of the reporting financial institution, and(ii)are not otherwise required to be collected by the reporting financial institution under the Act; and
(a)the relevant reportable jurisdiction does not issue TINs; or(b)the domestic law of the relevant reportable jurisdiction does not require the collection of the TIN issued by such reportable jurisdiction.
[NOTE: Application provisions are not included in the consolidated textsee relevant amending Acts and regulations.]2016, c. 12, s. 71
272(1)An account is treated as a reportable account as of the date it is identified as a reportable account under the due diligence procedures set out in this section and in sections 273 to 277.Marginal note:Timing — determination of balance or value(2)The balance or value of an account is determined on the last day of the calendar year or other appropriate reporting period.Marginal note:Determination — balance or value(3)For the purpose of determining whether the balance or value of an account exceeds a particular threshold on the last day of a calendar year, the balance or value must be determined on the last day of the last reporting period that ends on or before the end of the calendar year.Marginal note:Service provider(4)A reporting financial institution may use service providers to fulfil its reporting and due diligence obligations imposed, but these obligations shall remain the responsibility of the reporting financial institution.Marginal note:Optional due diligence procedures(5)A reporting financial institution may, either with respect to all preexisting accounts or, separately, with respect to any clearly identified group of those accounts, apply the due diligence procedures(a)for new accounts to preexisting accounts (with the other rules for preexisting accounts continuing to apply); and(b)for high value accounts to lower value accounts.Marginal note:Documentation of due diligence procedures(6)Every reporting financial institution shall establish, maintain and document the due diligence procedures set out in this section and sections 273 to 277.
(a)for new accounts to preexisting accounts (with the other rules for preexisting accounts continuing to apply); and(b)for high value accounts to lower value accounts.
[NOTE: Application provisions are not included in the consolidated textsee relevant amending Acts and regulations.]2016, c. 12, s. 71
273(1)A preexisting individual account that is a cash value insurance contract or an annuity contract is not required to be reviewed, identified or reported, if the reporting financial institution is effectively prevented by law from selling those contracts to residents of a reportable jurisdiction.Marginal note:Lower value accounts(2)The following review procedures apply with respect to lower value accounts that are preexisting individual accounts:(a)if the reporting financial institution has in its records the address of the individual account holder’s current residence (in this section, theircurrent residence address) based on documentary evidence, the reporting financial institution may treat the individual account holder as being a resident for tax purposes of the jurisdiction in which the address is located for purposes of determining whether the individual account holder is a reportable person;(b)if the reporting financial institution does not rely on a current residence address for the individual account holder based on documentary evidence as described in paragraph (a), the reporting financial institution must review electronically searchable data maintained by the reporting financial institution for any of the following indicia and apply paragraphs (c) to (f):(i)identification of the account holder as a resident of a reportable jurisdiction,(ii)current mailing or residence address (including post office box) in a reportable jurisdiction,(iii)one or more telephone numbers in a reportable jurisdiction and no telephone number in the jurisdiction of the reporting financial institution,(iv)standing instructions (other than with respect to a depository account) to transfer funds to an account maintained in a reportable jurisdiction,(v)currently effective power of attorney or signatory authority granted to a person with an address in a reportable jurisdiction, and(vi)a hold mail instruction or in-care-of address in a reportable jurisdiction if the reporting financial institution does not have any other address on file for the account holder;(c)if none of the indicia listed in paragraph (b) are discovered in the electronic search, then no further review is required until the earlier of(i)a change in circumstances that results in one or more of the indicia referred to in paragraph (b) being associated with the account, and(ii)the account becoming a high value account;(d)if any of the indicia listed in subparagraphs (b)(i) to (v) are discovered in the electronic search or if there is a change in circumstances that results in one or more of the indicia in paragraph (b) being associated with the account, then the reporting financial institution must treat the account holder as a resident for tax purposes of each reportable jurisdiction for which an indicium is identified, unless one of the exceptions in paragraph (f) applies with respect to that account;(e)if a hold mail instruction or in-care-of address in a reportable jurisdiction is discovered in the electronic search and no other address and none of the other indicia listed in subparagraphs (b)(i) to (v) are identified for the account holder, then(i)the reporting financial institution must do one (if the relevant information is obtained) or both (in the order most appropriate to the circumstances) of the following:(A)apply the paper record search described in paragraph (3)(b), and(B)seek to obtain from the account holder a self-certification or documentary evidence to establish the residence for tax purposes of the account holder, and(ii)if the paper record search referred to in clause (i)(A) fails to establish an indicium and the attempt to obtain the self-certification or documentary evidence referred to in clause (i)(B) is not successful, then the reporting financial institution must report the account as an undocumented account; and(f)notwithstanding the discovery of indicia under paragraph (b), a reporting financial institution is not required to treat an account holder as a resident of a reportable jurisdiction if(i)both(A)the account holder information contains(I)a current mailing or residence address in the reportable jurisdiction,(II)one or more telephone numbers in the reportable jurisdiction (and no telephone number in the jurisdiction of the reporting financial institution), or(III)standing instructions (with respect to financial accounts other than depository accounts) to transfer funds to an account maintained in a reportable jurisdiction, and(B)the reporting financial institution obtains, or has previously reviewed and currently maintains a record of,(I)a self-certification from the account holder of the jurisdictions of residence of the account holder that does not include the reportable jurisdiction, and(II)documentary evidence establishing the account holder’s non-reportable status in relation to that jurisdiction, or(ii)both(A)the account holder information contains a currently effective power of attorney or signatory authority granted to a person with an address in the reportable jurisdiction, and(B)the reporting financial institution obtains, or has previously reviewed and currently maintains a record of,(I)a self-certification from the account holder of the jurisdictions of residence of the account holder that does not include the reportable jurisdiction, or(II)documentary evidence establishing the account holder’s non-reportable status in relation to that jurisdiction.Marginal note:Enhanced review procedure – high value accounts(3)The following enhanced review procedures apply with respect to high value accounts that are preexisting individual accounts:(a)the reporting financial institution must review electronically searchable data maintained by the reporting financial institution for any of the indicia described in paragraph (2)(b);(b)subject to paragraph (c), the reporting financial institution must review for any of the indicia described in paragraph (2)(b)(i)the current customer master file, and(ii)the following documents associated with the account, and obtained by the reporting financial institution within the last five years, to the extent that they are not contained in the current customer master file:(A)the most recent documentary evidence collected with respect to the account,(B)the most recent account opening contract or documentation,(C)the most recent documentation obtained by the reporting financial institution in accordance with AML/KYC procedures or for other regulatory purposes,(D)any power of attorney or signature authority forms currently in effect, and(E)any standing instructions (other than with respect to a depository account) to transfer funds currently in effect;(c)a reporting financial institution is not required to perform the paper record search described in paragraph (b) to the extent that the reporting financial institution’s electronically searchable information includes the following:(i)the account holder’s residence status,(ii)the account holder’s residence address and mailing address currently on file with the reporting financial institution,(iii)the account holder’s telephone number currently on file, if any, with the reporting financial institution,(iv)in the case of financial accounts other than depository accounts, whether there are standing instructions to transfer funds in the account to another account (including an account at another branch of the reporting financial institution or at another financial institution),(v)whether there is a hold mail instruction or current in-care-of address for the account holder, and(vi)whether there is any power of attorney or signatory authority for the account;(d)in addition to the electronic and paper record searches described in paragraphs (a) to (c), the reporting financial institution must treat as a reportable account any high value account assigned to a relationship manager (including any financial accounts aggregated with that high value account under section 277) if the relationship manager has actual knowledge that the account holder is a reportable person;(e)with respect to the enhanced review of high value accounts described in paragraphs (a) to (d),(i)if none of the indicia listed in paragraph (2)(b) are discovered in the enhanced review and the account is not identified as being held by a reportable person in paragraph (d), then further action is not required until there is a change in circumstances that results in one or more indicia being associated with the account,(ii)if any of the indicia listed in subparagraphs (2)(b)(i) through (v) are discovered in the enhanced review, or if there is a subsequent change in circumstances that results in one or more indicia being associated with the account, then the reporting financial institution must treat the account as a reportable account with respect to each reportable jurisdiction for which an indicium is identified unless one of the exceptions in paragraph (2)(f) applies with respect to that account, and(iii)if a hold mail instruction or in-care-of address is discovered in the enhanced review and no other address or other indicia listed in subparagraphs (2)(b)(i) to (v) are identified for the account holder, then the reporting financial institution must(A)obtain from the account holder a self-certification or documentary evidence to establish the residence for tax purposes of the account holder, and(B)if the reporting financial institution cannot obtain a self-certification or documentary evidence, report the account as an undocumented account;(f)if a preexisting individual account is not a high value account on June 30, 2017, but becomes a high value account as of the last day of a subsequent calendar year,(i)the reporting financial institution must complete the enhanced review procedures described in this subsection with respect to the account within the calendar year following the year in which the account becomes a high value account, and(ii)if the account is identified as a reportable account based on the review in subparagraph (i), the reporting financial institution must report the required information about the account with respect to the year in which it is identified as a reportable account (and subsequent years on an annual basis, unless the account holder ceases to be a reportable person);(g)if a reporting financial institution applies the enhanced review procedures described in this subsection to a high value account in a year, then the reporting financial institution is not required to reapply those procedures – other than the relationship manager inquiry described in paragraph (d) – to the same high value account in any subsequent year unless the account is undocumented, in which case the reporting financial institution must re-apply them annually until the account ceases to be undocumented;(h)if there is a change of circumstances with respect to a high value account that results in one or more indicia described in paragraph (2)(b) being associated with the account, then the reporting financial institution must treat the account as a reportable account with respect to each reportable jurisdiction for which an indicium is identified unless one of the exceptions in paragraph (2)(f) applies with respect to that account; and(i)a reporting financial institution must implement procedures to ensure that a relationship manager identifies any change in circumstances of an account.Marginal note:Timing of review(4)Each preexisting individual account must be reviewed in accordance with subsection (2) or (3) before(a)2019, if the account is a high value account; or(b)2020, if the account is a lower value account.Marginal note:Reportable preexisting individual accounts(5)Any preexisting individual account that has been identified as a reportable account under this section must be treated as a reportable account in all subsequent years, unless the account holder ceases to be a reportable person.
(a)if the reporting financial institution has in its records the address of the individual account holder’s current residence (in this section, theircurrent residence address) based on documentary evidence, the reporting financial institution may treat the individual account holder as being a resident for tax purposes of the jurisdiction in which the address is located for purposes of determining whether the individual account holder is a reportable person;(b)if the reporting financial institution does not rely on a current residence address for the individual account holder based on documentary evidence as described in paragraph (a), the reporting financial institution must review electronically searchable data maintained by the reporting financial institution for any of the following indicia and apply paragraphs (c) to (f):(i)identification of the account holder as a resident of a reportable jurisdiction,(ii)current mailing or residence address (including post office box) in a reportable jurisdiction,(iii)one or more telephone numbers in a reportable jurisdiction and no telephone number in the jurisdiction of the reporting financial institution,(iv)standing instructions (other than with respect to a depository account) to transfer funds to an account maintained in a reportable jurisdiction,(v)currently effective power of attorney or signatory authority granted to a person with an address in a reportable jurisdiction, and(vi)a hold mail instruction or in-care-of address in a reportable jurisdiction if the reporting financial institution does not have any other address on file for the account holder;(c)if none of the indicia listed in paragraph (b) are discovered in the electronic search, then no further review is required until the earlier of(i)a change in circumstances that results in one or more of the indicia referred to in paragraph (b) being associated with the account, and(ii)the account becoming a high value account;(d)if any of the indicia listed in subparagraphs (b)(i) to (v) are discovered in the electronic search or if there is a change in circumstances that results in one or more of the indicia in paragraph (b) being associated with the account, then the reporting financial institution must treat the account holder as a resident for tax purposes of each reportable jurisdiction for which an indicium is identified, unless one of the exceptions in paragraph (f) applies with respect to that account;(e)if a hold mail instruction or in-care-of address in a reportable jurisdiction is discovered in the electronic search and no other address and none of the other indicia listed in subparagraphs (b)(i) to (v) are identified for the account holder, then(i)the reporting financial institution must do one (if the relevant information is obtained) or both (in the order most appropriate to the circumstances) of the following:(A)apply the paper record search described in paragraph (3)(b), and(B)seek to obtain from the account holder a self-certification or documentary evidence to establish the residence for tax purposes of the account holder, and(ii)if the paper record search referred to in clause (i)(A) fails to establish an indicium and the attempt to obtain the self-certification or documentary evidence referred to in clause (i)(B) is not successful, then the reporting financial institution must report the account as an undocumented account; and(f)notwithstanding the discovery of indicia under paragraph (b), a reporting financial institution is not required to treat an account holder as a resident of a reportable jurisdiction if(i)both(A)the account holder information contains(I)a current mailing or residence address in the reportable jurisdiction,(II)one or more telephone numbers in the reportable jurisdiction (and no telephone number in the jurisdiction of the reporting financial institution), or(III)standing instructions (with respect to financial accounts other than depository accounts) to transfer funds to an account maintained in a reportable jurisdiction, and(B)the reporting financial institution obtains, or has previously reviewed and currently maintains a record of,(I)a self-certification from the account holder of the jurisdictions of residence of the account holder that does not include the reportable jurisdiction, and(II)documentary evidence establishing the account holder’s non-reportable status in relation to that jurisdiction, or(ii)both(A)the account holder information contains a currently effective power of attorney or signatory authority granted to a person with an address in the reportable jurisdiction, and(B)the reporting financial institution obtains, or has previously reviewed and currently maintains a record of,(I)a self-certification from the account holder of the jurisdictions of residence of the account holder that does not include the reportable jurisdiction, or(II)documentary evidence establishing the account holder’s non-reportable status in relation to that jurisdiction.
(i)identification of the account holder as a resident of a reportable jurisdiction,(ii)current mailing or residence address (including post office box) in a reportable jurisdiction,(iii)one or more telephone numbers in a reportable jurisdiction and no telephone number in the jurisdiction of the reporting financial institution,(iv)standing instructions (other than with respect to a depository account) to transfer funds to an account maintained in a reportable jurisdiction,(v)currently effective power of attorney or signatory authority granted to a person with an address in a reportable jurisdiction, and(vi)a hold mail instruction or in-care-of address in a reportable jurisdiction if the reporting financial institution does not have any other address on file for the account holder;
(i)a change in circumstances that results in one or more of the indicia referred to in paragraph (b) being associated with the account, and(ii)the account becoming a high value account;
(i)the reporting financial institution must do one (if the relevant information is obtained) or both (in the order most appropriate to the circumstances) of the following:(A)apply the paper record search described in paragraph (3)(b), and(B)seek to obtain from the account holder a self-certification or documentary evidence to establish the residence for tax purposes of the account holder, and(ii)if the paper record search referred to in clause (i)(A) fails to establish an indicium and the attempt to obtain the self-certification or documentary evidence referred to in clause (i)(B) is not successful, then the reporting financial institution must report the account as an undocumented account; and
(A)apply the paper record search described in paragraph (3)(b), and(B)seek to obtain from the account holder a self-certification or documentary evidence to establish the residence for tax purposes of the account holder, and
(i)both(A)the account holder information contains(I)a current mailing or residence address in the reportable jurisdiction,(II)one or more telephone numbers in the reportable jurisdiction (and no telephone number in the jurisdiction of the reporting financial institution), or(III)standing instructions (with respect to financial accounts other than depository accounts) to transfer funds to an account maintained in a reportable jurisdiction, and(B)the reporting financial institution obtains, or has previously reviewed and currently maintains a record of,(I)a self-certification from the account holder of the jurisdictions of residence of the account holder that does not include the reportable jurisdiction, and(II)documentary evidence establishing the account holder’s non-reportable status in relation to that jurisdiction, or(ii)both(A)the account holder information contains a currently effective power of attorney or signatory authority granted to a person with an address in the reportable jurisdiction, and(B)the reporting financial institution obtains, or has previously reviewed and currently maintains a record of,(I)a self-certification from the account holder of the jurisdictions of residence of the account holder that does not include the reportable jurisdiction, or(II)documentary evidence establishing the account holder’s non-reportable status in relation to that jurisdiction.
(A)the account holder information contains(I)a current mailing or residence address in the reportable jurisdiction,(II)one or more telephone numbers in the reportable jurisdiction (and no telephone number in the jurisdiction of the reporting financial institution), or(III)standing instructions (with respect to financial accounts other than depository accounts) to transfer funds to an account maintained in a reportable jurisdiction, and(B)the reporting financial institution obtains, or has previously reviewed and currently maintains a record of,(I)a self-certification from the account holder of the jurisdictions of residence of the account holder that does not include the reportable jurisdiction, and(II)documentary evidence establishing the account holder’s non-reportable status in relation to that jurisdiction, or
(I)a current mailing or residence address in the reportable jurisdiction,(II)one or more telephone numbers in the reportable jurisdiction (and no telephone number in the jurisdiction of the reporting financial institution), or(III)standing instructions (with respect to financial accounts other than depository accounts) to transfer funds to an account maintained in a reportable jurisdiction, and
(I)a self-certification from the account holder of the jurisdictions of residence of the account holder that does not include the reportable jurisdiction, and(II)documentary evidence establishing the account holder’s non-reportable status in relation to that jurisdiction, or
(A)the account holder information contains a currently effective power of attorney or signatory authority granted to a person with an address in the reportable jurisdiction, and(B)the reporting financial institution obtains, or has previously reviewed and currently maintains a record of,(I)a self-certification from the account holder of the jurisdictions of residence of the account holder that does not include the reportable jurisdiction, or(II)documentary evidence establishing the account holder’s non-reportable status in relation to that jurisdiction.
(I)a self-certification from the account holder of the jurisdictions of residence of the account holder that does not include the reportable jurisdiction, or(II)documentary evidence establishing the account holder’s non-reportable status in relation to that jurisdiction.
(a)the reporting financial institution must review electronically searchable data maintained by the reporting financial institution for any of the indicia described in paragraph (2)(b);(b)subject to paragraph (c), the reporting financial institution must review for any of the indicia described in paragraph (2)(b)(i)the current customer master file, and(ii)the following documents associated with the account, and obtained by the reporting financial institution within the last five years, to the extent that they are not contained in the current customer master file:(A)the most recent documentary evidence collected with respect to the account,(B)the most recent account opening contract or documentation,(C)the most recent documentation obtained by the reporting financial institution in accordance with AML/KYC procedures or for other regulatory purposes,(D)any power of attorney or signature authority forms currently in effect, and(E)any standing instructions (other than with respect to a depository account) to transfer funds currently in effect;(c)a reporting financial institution is not required to perform the paper record search described in paragraph (b) to the extent that the reporting financial institution’s electronically searchable information includes the following:(i)the account holder’s residence status,(ii)the account holder’s residence address and mailing address currently on file with the reporting financial institution,(iii)the account holder’s telephone number currently on file, if any, with the reporting financial institution,(iv)in the case of financial accounts other than depository accounts, whether there are standing instructions to transfer funds in the account to another account (including an account at another branch of the reporting financial institution or at another financial institution),(v)whether there is a hold mail instruction or current in-care-of address for the account holder, and(vi)whether there is any power of attorney or signatory authority for the account;(d)in addition to the electronic and paper record searches described in paragraphs (a) to (c), the reporting financial institution must treat as a reportable account any high value account assigned to a relationship manager (including any financial accounts aggregated with that high value account under section 277) if the relationship manager has actual knowledge that the account holder is a reportable person;(e)with respect to the enhanced review of high value accounts described in paragraphs (a) to (d),(i)if none of the indicia listed in paragraph (2)(b) are discovered in the enhanced review and the account is not identified as being held by a reportable person in paragraph (d), then further action is not required until there is a change in circumstances that results in one or more indicia being associated with the account,(ii)if any of the indicia listed in subparagraphs (2)(b)(i) through (v) are discovered in the enhanced review, or if there is a subsequent change in circumstances that results in one or more indicia being associated with the account, then the reporting financial institution must treat the account as a reportable account with respect to each reportable jurisdiction for which an indicium is identified unless one of the exceptions in paragraph (2)(f) applies with respect to that account, and(iii)if a hold mail instruction or in-care-of address is discovered in the enhanced review and no other address or other indicia listed in subparagraphs (2)(b)(i) to (v) are identified for the account holder, then the reporting financial institution must(A)obtain from the account holder a self-certification or documentary evidence to establish the residence for tax purposes of the account holder, and(B)if the reporting financial institution cannot obtain a self-certification or documentary evidence, report the account as an undocumented account;(f)if a preexisting individual account is not a high value account on June 30, 2017, but becomes a high value account as of the last day of a subsequent calendar year,(i)the reporting financial institution must complete the enhanced review procedures described in this subsection with respect to the account within the calendar year following the year in which the account becomes a high value account, and(ii)if the account is identified as a reportable account based on the review in subparagraph (i), the reporting financial institution must report the required information about the account with respect to the year in which it is identified as a reportable account (and subsequent years on an annual basis, unless the account holder ceases to be a reportable person);(g)if a reporting financial institution applies the enhanced review procedures described in this subsection to a high value account in a year, then the reporting financial institution is not required to reapply those procedures – other than the relationship manager inquiry described in paragraph (d) – to the same high value account in any subsequent year unless the account is undocumented, in which case the reporting financial institution must re-apply them annually until the account ceases to be undocumented;(h)if there is a change of circumstances with respect to a high value account that results in one or more indicia described in paragraph (2)(b) being associated with the account, then the reporting financial institution must treat the account as a reportable account with respect to each reportable jurisdiction for which an indicium is identified unless one of the exceptions in paragraph (2)(f) applies with respect to that account; and(i)a reporting financial institution must implement procedures to ensure that a relationship manager identifies any change in circumstances of an account.
(i)the current customer master file, and(ii)the following documents associated with the account, and obtained by the reporting financial institution within the last five years, to the extent that they are not contained in the current customer master file:(A)the most recent documentary evidence collected with respect to the account,(B)the most recent account opening contract or documentation,(C)the most recent documentation obtained by the reporting financial institution in accordance with AML/KYC procedures or for other regulatory purposes,(D)any power of attorney or signature authority forms currently in effect, and(E)any standing instructions (other than with respect to a depository account) to transfer funds currently in effect;
(A)the most recent documentary evidence collected with respect to the account,(B)the most recent account opening contract or documentation,(C)the most recent documentation obtained by the reporting financial institution in accordance with AML/KYC procedures or for other regulatory purposes,(D)any power of attorney or signature authority forms currently in effect, and(E)any standing instructions (other than with respect to a depository account) to transfer funds currently in effect;
(i)the account holder’s residence status,(ii)the account holder’s residence address and mailing address currently on file with the reporting financial institution,(iii)the account holder’s telephone number currently on file, if any, with the reporting financial institution,(iv)in the case of financial accounts other than depository accounts, whether there are standing instructions to transfer funds in the account to another account (including an account at another branch of the reporting financial institution or at another financial institution),(v)whether there is a hold mail instruction or current in-care-of address for the account holder, and(vi)whether there is any power of attorney or signatory authority for the account;
(i)if none of the indicia listed in paragraph (2)(b) are discovered in the enhanced review and the account is not identified as being held by a reportable person in paragraph (d), then further action is not required until there is a change in circumstances that results in one or more indicia being associated with the account,(ii)if any of the indicia listed in subparagraphs (2)(b)(i) through (v) are discovered in the enhanced review, or if there is a subsequent change in circumstances that results in one or more indicia being associated with the account, then the reporting financial institution must treat the account as a reportable account with respect to each reportable jurisdiction for which an indicium is identified unless one of the exceptions in paragraph (2)(f) applies with respect to that account, and(iii)if a hold mail instruction or in-care-of address is discovered in the enhanced review and no other address or other indicia listed in subparagraphs (2)(b)(i) to (v) are identified for the account holder, then the reporting financial institution must(A)obtain from the account holder a self-certification or documentary evidence to establish the residence for tax purposes of the account holder, and(B)if the reporting financial institution cannot obtain a self-certification or documentary evidence, report the account as an undocumented account;
(A)obtain from the account holder a self-certification or documentary evidence to establish the residence for tax purposes of the account holder, and(B)if the reporting financial institution cannot obtain a self-certification or documentary evidence, report the account as an undocumented account;
(i)the reporting financial institution must complete the enhanced review procedures described in this subsection with respect to the account within the calendar year following the year in which the account becomes a high value account, and(ii)if the account is identified as a reportable account based on the review in subparagraph (i), the reporting financial institution must report the required information about the account with respect to the year in which it is identified as a reportable account (and subsequent years on an annual basis, unless the account holder ceases to be a reportable person);
(a)2019, if the account is a high value account; or(b)2020, if the account is a lower value account.
[NOTE: Application provisions are not included in the consolidated textsee relevant amending Acts and regulations.]2016, c. 12, s. 71
274(1)Upon opening a new individual account, the reporting financial institution must obtain a self-certification (which may be a part of the account opening documentation) that allows the reporting financial institution to(a)determine the account holder’s residence for tax purposes; and(b)confirm the reasonableness of the self-certification taking into account information obtained by the reporting financial institution in connection with the opening of the account, including any documentation collected in accordance with the AML/KYC procedures.Marginal note:Determination of reportable account(2)If the self-certification for a new individual account establishes that the account holder is resident for tax purposes in a reportable jurisdiction, then(a)the reporting financial institution must treat the account as a reportable account; and(b)the self-certification must also include the account holder’s TIN with respect to the reportable jurisdiction (subject to subsection 271(4)) and the account holder’s date of birth.Marginal note:Requirement to obtain new self-certification(3)If there is a change in circumstances with respect to a new individual account that causes the reporting financial institution to know, or have reason to know, that the original self-certification is incorrect or unreliable, then the reporting financial institution(a)cannot rely on the original self-certification; and(b)must obtain a valid self-certification that establishes the residence for tax purposes of the account holder.
(a)determine the account holder’s residence for tax purposes; and(b)confirm the reasonableness of the self-certification taking into account information obtained by the reporting financial institution in connection with the opening of the account, including any documentation collected in accordance with the AML/KYC procedures.
(a)the reporting financial institution must treat the account as a reportable account; and(b)the self-certification must also include the account holder’s TIN with respect to the reportable jurisdiction (subject to subsection 271(4)) and the account holder’s date of birth.
(a)cannot rely on the original self-certification; and(b)must obtain a valid self-certification that establishes the residence for tax purposes of the account holder.
[NOTE: Application provisions are not included in the consolidated textsee relevant amending Acts and regulations.]2016, c. 12, s. 71
275(1)Unless the reporting financial institution elects otherwise — either with respect to all preexisting entity accounts or, separately, with respect to any clearly identified group of those accounts — a preexisting entity account with an aggregate account balance or value that does not exceed 250,000 USD on June 30, 2017 is not required to be reviewed, identified or reported as a reportable account until the aggregate account balance or value exceeds 250,000 USD on the last day of any subsequent calendar year.Marginal note:Application of subsection (4)(2)The review procedures set forth in subsection (4) apply to a preexisting entity account if it has an aggregate account balance or value that exceeds 250,000 USD on(a)June 30, 2017; or(b)the last day of any subsequent calendar year.Marginal note:Determination of reportable accounts(3)With respect to preexisting entity accounts described in subsection (2), the only accounts that shall be treated as reportable accounts are accounts that are held by(a)one or more entities that are reportable persons; or(b)passive NFEs with one or more controlling persons who are reportable persons.Marginal note:Review procedures — preexisting entity account(4)If this subsection applies to a preexisting entity account, a reporting financial institution must apply the following review procedures to determine whether the account is held by one or more reportable persons or by passive NFEs with one or more controlling persons who are reportable persons:(a)review information maintained for regulatory or customer relationship purposes (including information collected in accordance with AML/KYC procedures) to determine whether the information indicates that the account holder is resident in a reportable jurisdiction and, if so, the reporting financial institution must treat the account as a reportable account unless it(i)obtains a self-certification from the account holder to establish that the account holder is not a reportable person, or(ii)reasonably determines, based on information in its possession or that is publicly available, that the account holder is not a reportable person; and(b)with respect to an account holder of a preexisting account (including an entity that is a reportable person), the reporting financial institution must determine whether the account holder is a passive NFE with one or more controlling persons who are reportable persons and for the purposes of(i)determining whether the account holder is a passive NFE, the reporting financial institution must obtain a self-certification from the account holder to establish its status, unless it has information in its possession or information is publicly available, based on which it can reasonably determine that the account holder is(A)an active NFE, or(B)a financial institution other than an entity described in paragraph (b) of the definitioninvestment entitythat is not a participating jurisdiction financial institution,(ii)determining the controlling persons of an account holder, a reporting financial institution may rely on information collected and maintained in accordance with AML/KYC procedures, and(iii)determining whether a controlling person of a passive NFE is a reportable person, a reporting financial institution may rely on(A)information collected and maintained in accordance with AML/KYC procedures in the case of a preexisting entity account held by one or more NFEs with an aggregate account balance or value that does not exceed 1 million USD, or(B)a self-certification from the account holder or the controlling person indicating the jurisdiction in which the controlling person is resident for tax purposes.Marginal note:Timing of review(5)Each preexisting entity account must be reviewed in accordance with subsection (4) before(a)2020, if the account has an aggregate account balance or value that exceeds 250,000 USD on June 30, 2017; or(b)the end of the calendar year following the year in which the aggregate account balance or value exceeds 250,000 USD on December 31, if paragraph (a) does not apply.Marginal note:Change of circumstances(6)If there is a change of circumstances with respect to a preexisting entity account that causes the reporting financial institution to know, or have reason to know, that the self-certification or other documentation associated with the account is incorrect or unreliable, the reporting financial institution must redetermine the status of the account in accordance with subsection (4).
(a)June 30, 2017; or(b)the last day of any subsequent calendar year.
(a)one or more entities that are reportable persons; or(b)passive NFEs with one or more controlling persons who are reportable persons.
(a)review information maintained for regulatory or customer relationship purposes (including information collected in accordance with AML/KYC procedures) to determine whether the information indicates that the account holder is resident in a reportable jurisdiction and, if so, the reporting financial institution must treat the account as a reportable account unless it(i)obtains a self-certification from the account holder to establish that the account holder is not a reportable person, or(ii)reasonably determines, based on information in its possession or that is publicly available, that the account holder is not a reportable person; and(b)with respect to an account holder of a preexisting account (including an entity that is a reportable person), the reporting financial institution must determine whether the account holder is a passive NFE with one or more controlling persons who are reportable persons and for the purposes of(i)determining whether the account holder is a passive NFE, the reporting financial institution must obtain a self-certification from the account holder to establish its status, unless it has information in its possession or information is publicly available, based on which it can reasonably determine that the account holder is(A)an active NFE, or(B)a financial institution other than an entity described in paragraph (b) of the definitioninvestment entitythat is not a participating jurisdiction financial institution,(ii)determining the controlling persons of an account holder, a reporting financial institution may rely on information collected and maintained in accordance with AML/KYC procedures, and(iii)determining whether a controlling person of a passive NFE is a reportable person, a reporting financial institution may rely on(A)information collected and maintained in accordance with AML/KYC procedures in the case of a preexisting entity account held by one or more NFEs with an aggregate account balance or value that does not exceed 1 million USD, or(B)a self-certification from the account holder or the controlling person indicating the jurisdiction in which the controlling person is resident for tax purposes.
(i)obtains a self-certification from the account holder to establish that the account holder is not a reportable person, or(ii)reasonably determines, based on information in its possession or that is publicly available, that the account holder is not a reportable person; and
(i)determining whether the account holder is a passive NFE, the reporting financial institution must obtain a self-certification from the account holder to establish its status, unless it has information in its possession or information is publicly available, based on which it can reasonably determine that the account holder is(A)an active NFE, or(B)a financial institution other than an entity described in paragraph (b) of the definitioninvestment entitythat is not a participating jurisdiction financial institution,(ii)determining the controlling persons of an account holder, a reporting financial institution may rely on information collected and maintained in accordance with AML/KYC procedures, and(iii)determining whether a controlling person of a passive NFE is a reportable person, a reporting financial institution may rely on(A)information collected and maintained in accordance with AML/KYC procedures in the case of a preexisting entity account held by one or more NFEs with an aggregate account balance or value that does not exceed 1 million USD, or(B)a self-certification from the account holder or the controlling person indicating the jurisdiction in which the controlling person is resident for tax purposes.
(A)an active NFE, or(B)a financial institution other than an entity described in paragraph (b) of the definitioninvestment entitythat is not a participating jurisdiction financial institution,
(A)information collected and maintained in accordance with AML/KYC procedures in the case of a preexisting entity account held by one or more NFEs with an aggregate account balance or value that does not exceed 1 million USD, or(B)a self-certification from the account holder or the controlling person indicating the jurisdiction in which the controlling person is resident for tax purposes.
(a)2020, if the account has an aggregate account balance or value that exceeds 250,000 USD on June 30, 2017; or(b)the end of the calendar year following the year in which the aggregate account balance or value exceeds 250,000 USD on December 31, if paragraph (a) does not apply.
[NOTE: Application provisions are not included in the consolidated textsee relevant amending Acts and regulations.]2016, c. 12, s. 71
(a)the reporting financial institution must(i)obtain a self-certification (which may be part of the account opening documentation) that allows the reporting financial institution to determine the account holder’s residence for tax purposes and confirm the reasonableness of the self-certification based on the information obtained by the reporting financial institution in connection with the opening of the account, including any documentation collected in accordance with AML/KYC procedures, and(ii)if the self-certification referred to in subparagraph (i) indicates that the account holder is resident in a reportable jurisdiction, treat the account as a reportable account unless it reasonably determines, based on information in its possession or information that is publicly available, that the account holder is not a reportable person with respect to the reportable jurisdiction; and(b)with respect to an account holder of a new entity account (including an entity that is a reportable person), the reporting financial institution must determine whether the account holder is a passive NFE with one or more controlling persons who are reportable persons and, if so, treat the account as a reportable account and, for the purposes of(i)determining whether the account holder is a passive NFE, the reporting financial institution must obtain a self-certification from the account holder to establish its status, unless it has information in its possession or information is publicly available, based on which it can reasonably determine that the account holder is(A)an active NFE, or(B)a financial institution other than an entity that(I)is aninvestment entitybecause of paragraph (b) of that definition, and(II)is not a participating jurisdiction financial institution,(ii)determining the controlling persons of an account holder, a reporting financial institution may rely on information collected and maintained in accordance with AML/KYC procedures, and(iii)determining whether a controlling person of a passive NFE is a reportable person, a reporting financial institution may rely on a self-certification from the account holder or the controlling person.
(i)obtain a self-certification (which may be part of the account opening documentation) that allows the reporting financial institution to determine the account holder’s residence for tax purposes and confirm the reasonableness of the self-certification based on the information obtained by the reporting financial institution in connection with the opening of the account, including any documentation collected in accordance with AML/KYC procedures, and(ii)if the self-certification referred to in subparagraph (i) indicates that the account holder is resident in a reportable jurisdiction, treat the account as a reportable account unless it reasonably determines, based on information in its possession or information that is publicly available, that the account holder is not a reportable person with respect to the reportable jurisdiction; and
(i)determining whether the account holder is a passive NFE, the reporting financial institution must obtain a self-certification from the account holder to establish its status, unless it has information in its possession or information is publicly available, based on which it can reasonably determine that the account holder is(A)an active NFE, or(B)a financial institution other than an entity that(I)is aninvestment entitybecause of paragraph (b) of that definition, and(II)is not a participating jurisdiction financial institution,(ii)determining the controlling persons of an account holder, a reporting financial institution may rely on information collected and maintained in accordance with AML/KYC procedures, and(iii)determining whether a controlling person of a passive NFE is a reportable person, a reporting financial institution may rely on a self-certification from the account holder or the controlling person.
(A)an active NFE, or(B)a financial institution other than an entity that(I)is aninvestment entitybecause of paragraph (b) of that definition, and(II)is not a participating jurisdiction financial institution,
(I)is aninvestment entitybecause of paragraph (b) of that definition, and(II)is not a participating jurisdiction financial institution,
[NOTE: Application provisions are not included in the consolidated textsee relevant amending Acts and regulations.]2016, c. 12, s. 71
277(1)A reporting financial institution may not rely on a self-certification or documentary evidence if the reporting financial institution knows or has reason to know that the self-certification or documentary evidence is incorrect or unreliable.Marginal note:Exception — individual beneficiary receiving death benefit(2)A reporting financial institution may presume that an individual beneficiary (other than the owner) of a cash value insurance contract or an annuity contract receiving a death benefit is not a reportable person and may treat the financial account as other than a reportable account unless it has actual knowledge, or reason to know, that the beneficiary is a reportable person.Marginal note:Aggregation rules(3)For the purposes of(a)determining the aggregate balance or value of financial accounts held by an individual or entity,(i)a reporting financial institution is required to aggregate all financial accounts maintained by the reporting financial institution, or by a related entity, but only to the extent that the reporting financial institution’s computerized systems(A)link the financial accounts by reference to a data element such as a client number or TIN, and(B)allow account balances or values to be aggregated, and(ii)each holder of a jointly held financial account shall be attributed the entire balance or value of the jointly held financial account; and(b)determining the aggregate balance or value of financial accounts held by an individual in order to determine whether a financial account is a high value account, a reporting financial institution is also required — in the case of any financial accounts that a relationship manager knows, or has reason to know, are directly or indirectly owned, controlled or established (other than in a fiduciary capacity) by the same individual — to aggregate all such accounts.Marginal note:Dealer accounts(4)Subsection (5)(a)applies to a reporting financial institution in respect of a client name account maintained by the institution if(i)property recorded in the account is also recorded in a financial account (in this subsection and subsection (5) referred to as therelated account) maintained by a financial institution (in this subsection and subsection (5) referred to as thedealer) that is authorized under provincial legislation(A)to engage in the business of dealing in securities or any other financial instrument, or(B)to provide portfolio management or investment advising services, and(ii)the dealer has advised the institution whether the related account is a reportable account; and(b)does not apply, despite paragraph (a), if it can reasonably be concluded by the institution that the dealer has failed to comply with its obligations under this Part.Marginal note:Dealer accounts(5)If this subsection applies to a reporting financial institution in respect of a client name account,(a)sections 272 to 276 do not apply to the institution in respect of the account; and(b)the institution shall rely on the determination of the dealer in respect of the related account in determining whether the account is a reportable account.Marginal note:Group insurance and annuities(6)A reporting financial institution may treat a financial account that is a member’s interest in a group cash value insurance contract or group annuity contract as a financial account that is not a reportable account until the day on which an amount becomes payable to the employee, certificate holder or beneficiary, if the financial account meets the following requirements:(a)the group cash value insurance contract or group annuity contract is issued to an employer and covers 25 or more employees or certificate holders;(b)the employees or certificate holders are entitled to(i)receive any contract value related to their interest, and(ii)name beneficiaries for the benefit payable upon the employee’s or certificate holder’s death; and(c)the aggregate amount payable to any employee or certificate holder or beneficiary does not exceed 1 million USD.
(a)determining the aggregate balance or value of financial accounts held by an individual or entity,(i)a reporting financial institution is required to aggregate all financial accounts maintained by the reporting financial institution, or by a related entity, but only to the extent that the reporting financial institution’s computerized systems(A)link the financial accounts by reference to a data element such as a client number or TIN, and(B)allow account balances or values to be aggregated, and(ii)each holder of a jointly held financial account shall be attributed the entire balance or value of the jointly held financial account; and(b)determining the aggregate balance or value of financial accounts held by an individual in order to determine whether a financial account is a high value account, a reporting financial institution is also required — in the case of any financial accounts that a relationship manager knows, or has reason to know, are directly or indirectly owned, controlled or established (other than in a fiduciary capacity) by the same individual — to aggregate all such accounts.
(i)a reporting financial institution is required to aggregate all financial accounts maintained by the reporting financial institution, or by a related entity, but only to the extent that the reporting financial institution’s computerized systems(A)link the financial accounts by reference to a data element such as a client number or TIN, and(B)allow account balances or values to be aggregated, and(ii)each holder of a jointly held financial account shall be attributed the entire balance or value of the jointly held financial account; and
(A)link the financial accounts by reference to a data element such as a client number or TIN, and(B)allow account balances or values to be aggregated, and
(a)applies to a reporting financial institution in respect of a client name account maintained by the institution if(i)property recorded in the account is also recorded in a financial account (in this subsection and subsection (5) referred to as therelated account) maintained by a financial institution (in this subsection and subsection (5) referred to as thedealer) that is authorized under provincial legislation(A)to engage in the business of dealing in securities or any other financial instrument, or(B)to provide portfolio management or investment advising services, and(ii)the dealer has advised the institution whether the related account is a reportable account; and(b)does not apply, despite paragraph (a), if it can reasonably be concluded by the institution that the dealer has failed to comply with its obligations under this Part.
(i)property recorded in the account is also recorded in a financial account (in this subsection and subsection (5) referred to as therelated account) maintained by a financial institution (in this subsection and subsection (5) referred to as thedealer) that is authorized under provincial legislation(A)to engage in the business of dealing in securities or any other financial instrument, or(B)to provide portfolio management or investment advising services, and(ii)the dealer has advised the institution whether the related account is a reportable account; and
(A)to engage in the business of dealing in securities or any other financial instrument, or(B)to provide portfolio management or investment advising services, and
(a)sections 272 to 276 do not apply to the institution in respect of the account; and(b)the institution shall rely on the determination of the dealer in respect of the related account in determining whether the account is a reportable account.
(a)the group cash value insurance contract or group annuity contract is issued to an employer and covers 25 or more employees or certificate holders;(b)the employees or certificate holders are entitled to(i)receive any contract value related to their interest, and(ii)name beneficiaries for the benefit payable upon the employee’s or certificate holder’s death; and(c)the aggregate amount payable to any employee or certificate holder or beneficiary does not exceed 1 million USD.
(i)receive any contract value related to their interest, and(ii)name beneficiaries for the benefit payable upon the employee’s or certificate holder’s death; and
[NOTE: Application provisions are not included in the consolidated textsee relevant amending Acts and regulations.]2016, c. 12, s. 71
278(1)Every reporting financial institution shall file with the Minister, before May 2 of each calendar year, an information return in prescribed form relating to each reportable account maintained by the institution at any time during the immediately preceding calendar year and after June 30, 2017.Marginal note:Electronic filing(2)The information return required under subsection (1) shall be filed by way of electronic filing.
[NOTE: Application provisions are not included in the consolidated textsee relevant amending Acts and regulations.]2016, c. 12, s. 71
279(1)Every reporting financial institution shall keep, at the institution’s place of business or at such other place as may be designated by the Minister, records that the institution obtains or creates for the purpose of complying with this Part, including self-certifications and records of documentary evidence.Marginal note:Form of records(2)Every reporting financial institution required by this Part to keep records that does so electronically shall retain them in an electronically readable format for the retention period referred to in subsection (3).Marginal note:Retention of records(3)Every reporting financial institution that is required to keep, obtain or create records under this Part shall retain those records for a period of at least six years following(a)in the case of a self-certification, the last day on which a related financial account is open; and(b)in any other case, the end of the last calendar year in respect of which the record is relevant.
(a)in the case of a self-certification, the last day on which a related financial account is open; and(b)in any other case, the end of the last calendar year in respect of which the record is relevant.
[NOTE: Application provisions are not included in the consolidated textsee relevant amending Acts and regulations.]2016, c. 12, s. 71
[NOTE: Application provisions are not included in the consolidated textsee relevant amending Acts and regulations.]2016, c. 12, s. 71
281(1)Every reportable person shall provide their TIN at the request of a reporting financial institution that is required under this Part to make an information return requiring the TIN.Marginal note:Confidentiality of TIN(2)A person required to make an information return referred to in subsection (1) shall not knowingly use, communicate or allow to be communicated, otherwise than as required or authorized under this Act or a regulation, the TIN without the written consent of the reportable person.Marginal note:Penalty for failure to provide TIN(3)Every reportable person who fails to provide on request their TIN to a reporting financial institution that is required under this Part to make an information return requiring the TIN is liable to a penalty of $500 for each such failure, unless(a)an application for the assignment of the TIN is made to the relevant reportable jurisdiction not later than 90 days after the request was made and the TIN is provided to the reporting financial institution that requested it within 15 days after the reportable person received it; or(b)the reportable person is not eligible to obtain a TIN from the relevant reportable jurisdiction (including because the relevant reportable jurisdiction does not issue TINs).Marginal note:Assessment(4)The Minister may at any time assess any amount payable under subsection (3) by any person and, if the Minister sends a notice of assessment to the person, sections 150 to 163, subsections 164(1) and (1.4) to (7), sections 165 to 167 and Division J of Part I apply with such modifications as the circumstances require.
(a)an application for the assignment of the TIN is made to the relevant reportable jurisdiction not later than 90 days after the request was made and the TIN is provided to the reporting financial institution that requested it within 15 days after the reportable person received it; or(b)the reportable person is not eligible to obtain a TIN from the relevant reportable jurisdiction (including because the relevant reportable jurisdiction does not issue TINs).
[NOTE: Application provisions are not included in the consolidated textsee relevant amending Acts and regulations.]2016, c. 12, s. 71
Ally Credit Canada Limited/Ally Crédit Canada LimitéeAmeriCredit Financial Services of Canada Ltd.AVCO Financial Services Quebec LimitedBombardier Capital Ltd.Canaccord Capital Credit Corporation/Corporation de crédit Canaccord capitalCanaccord Financial Holdings Inc./Corporation financière Canaccord Inc.Canadian Cooperative Agricultural Financial ServicesCanadian Home Income Plan CorporationCitibank Canada Investment Funds LimitedCiticapital Commercial Corporation/Citicapital Corporation CommercialeCiti Cards Canada Inc./Cartes Citi Canada Inc.Citi Commerce Solutions of Canada Ltd.CitiFinancial Canada East Corporation/CitiFinancière, corporation du Canada EstCitiFinancial Canada, Inc./CitiFinancière Canada, Inc.Citigroup Finance Canada Inc.Crédit Industriel DesjardinsCU Credit Inc.Ford Credit Canada LimitedGMAC Residential Funding of Canada, LimitedHousehold Commercial Canada Inc.Household Finance Corporation LimitedHousehold Finance Corporation of CanadaHousehold Realty Corporation LimitedHudson’s Bay Company Acceptance LimitedJohn Deere Credit Inc./Crédit John Deere Inc.Merchant Retail Services LimitedPACCAR Financial Ltd./Compagnie Financière Paccar LtéeParadigm Fund Inc./Le Fonds Paradigm Inc.Prêts étudiants Atlantique Inc./Atlantic Student Loans Inc.Principal Fund IncorporatedRT Mortgage-Backed Securities LimitedRT Mortgage-Backed Securities II LimitedState Farm Finance Corporation of Canada/Corporation de Crédit State Farm du CanadaTrans Canada Credit CorporationTrans Canada Retail Services Company/Société de services de détails trans CanadaWells Fargo Financial Canada Corporation
[NOTE: Application provisions are not included in the consolidated textsee relevant amending Acts and regulations.]2013, c. 34, s. 366
Income Tax Act1 -Short Title2 -PART I-Income Tax2 -DIVISION A-Liability for Tax3 -DIVISION B-Computation of Income3 -Basic Rules5 -SUBDIVISION A-Income or Loss from an Office or Employment5 -Basic Rules6 -Inclusions8 -Deductions9 -SUBDIVISION B-Income or Loss from a Business or Property9 -Basic Rules12 -Inclusions18 -Deductions22 -Ceasing to carry on business26 -Special Cases38 -SUBDIVISION C-Taxable Capital Gains and Allowable Capital Losses47.1 -Indexed Security Investment Plans56 -SUBDIVISION D-Other Sources of Income56.4 -Restrictive Covenants60 -SUBDIVISION E-Deductions in Computing Income67 -SUBDIVISION F-Rules Relating to Computation of Income81 -SUBDIVISION G-Amounts Not Included in Computing Income82 -SUBDIVISION H-Corporations Resident in Canada and their Shareholders86.1 -Foreign Spin-offs90 -SUBDIVISION I-Shareholders of Corporations Not Resident in Canada96 -SUBDIVISION J-Partnerships and their Members104 -SUBDIVISION K-Trusts and their Beneficiaries110 -DIVISION C-Computation of Taxable Income110.2 -Lump-sum Payments115 -DIVISION D-Taxable Income Earned in Canada by Non-Residents115.2 -Non-Residents with Canadian Investment Service Providers117 -DIVISION E-Computation of Tax117 -SUBDIVISION A-Rules Applicable to Individuals117.1 -Annual Adjustment of Deductions and Other Amounts120.31 -Lump-sum Payments120.4 -Tax on Split Income122.6 -SUBDIVISION A.1-Canada Child Benefit122.7 -SUBDIVISION A.2-Canada Workers Benefit122.8 -SUBDIVISION A.3-Climate Action Incentive122.9 -SUBDIVISION A.4-School Supplies Tax Credit122.91 -SUBDIVISION A.5-Canada Training Credit122.92 -SUBDIVISION A.6-Multigenerational Home Renovation Tax Credit123 -SUBDIVISION B-Rules Applicable to Corporations123.4 -Corporation Tax Reductions123.6 -Additional Tax on Banks and Life Insurers125.4 -Canadian Film or Video Production Tax Credit125.5 -Film or Video Production Services Tax Credit126 -SUBDIVISION C-Rules Applicable to all Taxpayers127.43 -COVID-19 – Air Quality Improvement Tax Credit127.5 -DIVISION E.1-Minimum Tax128 -DIVISION F-Special Rules Applicable in Certain Circumstances128 -Bankruptcies128.1 -Changes in Residence129 -Private Corporations130 -Investment Corporations130.1 -Mortgage Investment Corporations131 -Mutual Fund Corporations132 -Mutual Fund Trusts133 -Non-Resident-Owned Investment Corporations135 -Patronage Dividends135.1 -Agricultural Cooperatives — Tax-deferred Patronage Dividends135.2 -Continuance of the Canadian Wheat Board136 -Cooperative Corporations137 -Credit Unions, Savings and Credit Unions and Deposit Insurance Corporations138 -Insurance Corporations139.1 -Demutualization of Insurance Corporations142.2 -Financial Institutions142.2 -Interpretation142.3 -Income from Specified Debt Obligations142.4 -Disposition of Specified Debt Obligations142.5 -Mark-to-Market Properties142.6 -Additional Rules142.7 -Conversion of Foreign Bank Affiliate to Branch143 -Communal Organizations143.2 -Cost of Tax Shelter Investments and Limited-recourse Debt in Respect of Gifting Arrangements143.3 -Expenditure — Limitations143.4 -Expenditure — Limit for Contingent Amount144 -DIVISION G-Deferred and Other Special Income Arrangements144 -Employees Profit Sharing Plans144.1 -Employee Life and Health Trust145 -Registered Supplementary Unemployment Benefit Plans146 -Registered Retirement Savings Plans146.01 -Home Buyers’ Plan146.02 -Lifelong Learning Plan146.1 -Registered Education Savings Plans146.2 -Tax-free Savings Accounts146.3 -Registered Retirement Income Funds146.4 -Registered Disability Savings Plan146.5 -Advanced Life Deferred Annuity146.6 -Tax-Free First Home Savings Account147 -Deferred Profit Sharing Plans147.1 -Registered Pension Plans147.5 -Pooled Registered Pension Plans148 -Life Insurance Policies148.1 -Eligible Funeral Arrangements149 -DIVISION H-Exemptions149 -Miscellaneous Exemptions149.1 -Qualified Donees150 -DIVISION I-Returns, Assessments, Payment and Appeals150 -Returns151 -Estimate of Tax152 -Assessment153 -Payment of Tax161 -Interest161.1 -Offset of Refund Interest and Arrears Interest161.3 -Small Amounts Owing162 -Penalties163.2 -Misrepresentation of a Tax Matter by a Third Party164 -Refunds165 -Objections to Assessments166 -General168 -Revocation of Registration of Certain Organizations and Associations168.1 -Designation of Qualified Canadian Journalism Organizations169 -DIVISION J-Appeals to the Tax Court of Canada and the Federal Court of Appeal180.01 -PART I.01-Tax in Respect of Stock Option Benefit Deferral180.1 -PART I.1-Individual Surtax180.2 -PART I.2-Tax on Old Age Security Benefits181 -PART I.3-Tax on Large Corporations182 -PART II-[Repealed, 2017, c. 20, s. 27]183.1 -PART II.1-Tax on Corporate Distributions184 -PART III-Additional Tax on Excessive Elections185.1 -PART III.1-Additional Tax on Excessive Eligible Dividend Designations186 -PART IV-Tax on Taxable Dividends Received by Private Corporations187.1 -PART IV.1-Taxes on Dividends on Certain Preferred Shares Received by Corporations187.7 -PART V-Tax and Penalties in Respect of Qualified Donees190 -PART VI-Tax on Capital of Financial Institutions190.1 -Calculation of Capital Tax190.2 -Administrative Provisions191 -PART VI.1-Tax on Corporations Paying Dividends on Taxable Preferred Shares191.5 -PART VI.2-Canada Recovery Dividend192 -PART VII-Refundable Tax on Corporations Issuing Qualifying Shares194 -PART VIII-Refundable Tax on Corporations in Respect of Scientific Research and Experimental Development Tax Credit196 -PART IX-Tax on Deduction Under Section 66.5197 -PART IX.1-Tax on Sift Partnerships198 -PART X-Taxes on Deferred Profit Sharing Plans and Revoked Plans204.1 -PART X.1-Tax in Respect of Over-contributions to Deferred Income Plans204.4 -PART X.2-Tax in Respect of Registered Investments204.8 -PART X.3-Labour-sponsored Venture Capital Corporations204.9 -PART X.4-Tax in Respect of Overpayments to Registered Education Savings Plans204.94 -PART X.5-Payments Under Registered Education Savings Plans205 -PART XI-Tax in Respect of Advanced Life Deferred Annuity207.01 -PART XI.01-Taxes in Respect of Registered Plans207.1 -PART XI.1-Tax in Respect of Deferred Income Plans and Other Tax Exempt Persons207.3 -PART XI.2-Tax in Respect of Dispositions of Certain Properties207.5 -PART XI.3-Tax in Respect of Retirement Compensation Arrangements207.8 -PART XI.4-Tax on Excess EPSP Amounts207.9 -PART XI.5-Tax in Respect of Employee Life and Health Trust208 -PART XII-Tax in Respect of Certain Royalties, Taxes, Lease Rentals, Etc., Paid to a Government by a Tax Exempt Person209 -PART XII.1-Tax on Carved-out Income210 -PART XII.2-Tax on Designated Income of Certain Trusts211 -PART XII.3-Tax on Investment Income of Life Insurers211.6 -PART XII.4-Tax on Qualifying Environmental Trusts211.7 -PART XII.5-Recovery of Labour-sponsored Funds Tax Credit211.91 -PART XII.6-Tax on Flow-through Shares212 -PART XIII-Tax on Income from Canada of Non-resident Persons218.2 -PART XIII.1-Additional Tax on Authorized Foreign Banks218.3 -PART XIII.2-Non-resident Investors in Canadian Mutual Funds219 -PART XIV-Additional Tax on Non-resident Corporations220 -PART XV-Administration and Enforcement220 -Administration222 -Collection230 -General238 -Offences and Punishment244 -Procedure and Evidence244.1 -PART XV.1-Reporting of Electronic Funds Transfer245 -PART XVI-Tax Avoidance247 -PART XVI.1-Transfer Pricing248 -PART XVII-Interpretation263 -PART XVIII-Enhanced International Information Reporting270 -PART XIX-Common Reporting StandardSCHEDULE- Listed Corporations
1 -Short Title2 -PART I-Income Tax2 -DIVISION A-Liability for Tax3 -DIVISION B-Computation of Income3 -Basic Rules5 -SUBDIVISION A-Income or Loss from an Office or Employment5 -Basic Rules6 -Inclusions8 -Deductions9 -SUBDIVISION B-Income or Loss from a Business or Property9 -Basic Rules12 -Inclusions18 -Deductions22 -Ceasing to carry on business26 -Special Cases38 -SUBDIVISION C-Taxable Capital Gains and Allowable Capital Losses47.1 -Indexed Security Investment Plans56 -SUBDIVISION D-Other Sources of Income56.4 -Restrictive Covenants60 -SUBDIVISION E-Deductions in Computing Income67 -SUBDIVISION F-Rules Relating to Computation of Income81 -SUBDIVISION G-Amounts Not Included in Computing Income82 -SUBDIVISION H-Corporations Resident in Canada and their Shareholders86.1 -Foreign Spin-offs90 -SUBDIVISION I-Shareholders of Corporations Not Resident in Canada96 -SUBDIVISION J-Partnerships and their Members104 -SUBDIVISION K-Trusts and their Beneficiaries110 -DIVISION C-Computation of Taxable Income110.2 -Lump-sum Payments115 -DIVISION D-Taxable Income Earned in Canada by Non-Residents115.2 -Non-Residents with Canadian Investment Service Providers117 -DIVISION E-Computation of Tax117 -SUBDIVISION A-Rules Applicable to Individuals117.1 -Annual Adjustment of Deductions and Other Amounts120.31 -Lump-sum Payments120.4 -Tax on Split Income122.6 -SUBDIVISION A.1-Canada Child Benefit122.7 -SUBDIVISION A.2-Canada Workers Benefit122.8 -SUBDIVISION A.3-Climate Action Incentive122.9 -SUBDIVISION A.4-School Supplies Tax Credit122.91 -SUBDIVISION A.5-Canada Training Credit122.92 -SUBDIVISION A.6-Multigenerational Home Renovation Tax Credit123 -SUBDIVISION B-Rules Applicable to Corporations123.4 -Corporation Tax Reductions123.6 -Additional Tax on Banks and Life Insurers125.4 -Canadian Film or Video Production Tax Credit125.5 -Film or Video Production Services Tax Credit126 -SUBDIVISION C-Rules Applicable to all Taxpayers127.43 -COVID-19 – Air Quality Improvement Tax Credit127.5 -DIVISION E.1-Minimum Tax128 -DIVISION F-Special Rules Applicable in Certain Circumstances128 -Bankruptcies128.1 -Changes in Residence129 -Private Corporations130 -Investment Corporations130.1 -Mortgage Investment Corporations131 -Mutual Fund Corporations132 -Mutual Fund Trusts133 -Non-Resident-Owned Investment Corporations135 -Patronage Dividends135.1 -Agricultural Cooperatives — Tax-deferred Patronage Dividends135.2 -Continuance of the Canadian Wheat Board136 -Cooperative Corporations137 -Credit Unions, Savings and Credit Unions and Deposit Insurance Corporations138 -Insurance Corporations139.1 -Demutualization of Insurance Corporations142.2 -Financial Institutions142.2 -Interpretation142.3 -Income from Specified Debt Obligations142.4 -Disposition of Specified Debt Obligations142.5 -Mark-to-Market Properties142.6 -Additional Rules142.7 -Conversion of Foreign Bank Affiliate to Branch143 -Communal Organizations143.2 -Cost of Tax Shelter Investments and Limited-recourse Debt in Respect of Gifting Arrangements143.3 -Expenditure — Limitations143.4 -Expenditure — Limit for Contingent Amount144 -DIVISION G-Deferred and Other Special Income Arrangements144 -Employees Profit Sharing Plans144.1 -Employee Life and Health Trust145 -Registered Supplementary Unemployment Benefit Plans146 -Registered Retirement Savings Plans146.01 -Home Buyers’ Plan146.02 -Lifelong Learning Plan146.1 -Registered Education Savings Plans146.2 -Tax-free Savings Accounts146.3 -Registered Retirement Income Funds146.4 -Registered Disability Savings Plan146.5 -Advanced Life Deferred Annuity146.6 -Tax-Free First Home Savings Account147 -Deferred Profit Sharing Plans147.1 -Registered Pension Plans147.5 -Pooled Registered Pension Plans148 -Life Insurance Policies148.1 -Eligible Funeral Arrangements149 -DIVISION H-Exemptions149 -Miscellaneous Exemptions149.1 -Qualified Donees150 -DIVISION I-Returns, Assessments, Payment and Appeals150 -Returns151 -Estimate of Tax152 -Assessment153 -Payment of Tax161 -Interest161.1 -Offset of Refund Interest and Arrears Interest161.3 -Small Amounts Owing162 -Penalties163.2 -Misrepresentation of a Tax Matter by a Third Party164 -Refunds165 -Objections to Assessments166 -General168 -Revocation of Registration of Certain Organizations and Associations168.1 -Designation of Qualified Canadian Journalism Organizations169 -DIVISION J-Appeals to the Tax Court of Canada and the Federal Court of Appeal180.01 -PART I.01-Tax in Respect of Stock Option Benefit Deferral180.1 -PART I.1-Individual Surtax180.2 -PART I.2-Tax on Old Age Security Benefits181 -PART I.3-Tax on Large Corporations182 -PART II-[Repealed, 2017, c. 20, s. 27]183.1 -PART II.1-Tax on Corporate Distributions184 -PART III-Additional Tax on Excessive Elections185.1 -PART III.1-Additional Tax on Excessive Eligible Dividend Designations186 -PART IV-Tax on Taxable Dividends Received by Private Corporations187.1 -PART IV.1-Taxes on Dividends on Certain Preferred Shares Received by Corporations187.7 -PART V-Tax and Penalties in Respect of Qualified Donees190 -PART VI-Tax on Capital of Financial Institutions190.1 -Calculation of Capital Tax190.2 -Administrative Provisions191 -PART VI.1-Tax on Corporations Paying Dividends on Taxable Preferred Shares191.5 -PART VI.2-Canada Recovery Dividend192 -PART VII-Refundable Tax on Corporations Issuing Qualifying Shares194 -PART VIII-Refundable Tax on Corporations in Respect of Scientific Research and Experimental Development Tax Credit196 -PART IX-Tax on Deduction Under Section 66.5197 -PART IX.1-Tax on Sift Partnerships198 -PART X-Taxes on Deferred Profit Sharing Plans and Revoked Plans204.1 -PART X.1-Tax in Respect of Over-contributions to Deferred Income Plans204.4 -PART X.2-Tax in Respect of Registered Investments204.8 -PART X.3-Labour-sponsored Venture Capital Corporations204.9 -PART X.4-Tax in Respect of Overpayments to Registered Education Savings Plans204.94 -PART X.5-Payments Under Registered Education Savings Plans205 -PART XI-Tax in Respect of Advanced Life Deferred Annuity207.01 -PART XI.01-Taxes in Respect of Registered Plans207.1 -PART XI.1-Tax in Respect of Deferred Income Plans and Other Tax Exempt Persons207.3 -PART XI.2-Tax in Respect of Dispositions of Certain Properties207.5 -PART XI.3-Tax in Respect of Retirement Compensation Arrangements207.8 -PART XI.4-Tax on Excess EPSP Amounts207.9 -PART XI.5-Tax in Respect of Employee Life and Health Trust208 -PART XII-Tax in Respect of Certain Royalties, Taxes, Lease Rentals, Etc., Paid to a Government by a Tax Exempt Person209 -PART XII.1-Tax on Carved-out Income210 -PART XII.2-Tax on Designated Income of Certain Trusts211 -PART XII.3-Tax on Investment Income of Life Insurers211.6 -PART XII.4-Tax on Qualifying Environmental Trusts211.7 -PART XII.5-Recovery of Labour-sponsored Funds Tax Credit211.91 -PART XII.6-Tax on Flow-through Shares212 -PART XIII-Tax on Income from Canada of Non-resident Persons218.2 -PART XIII.1-Additional Tax on Authorized Foreign Banks218.3 -PART XIII.2-Non-resident Investors in Canadian Mutual Funds219 -PART XIV-Additional Tax on Non-resident Corporations220 -PART XV-Administration and Enforcement220 -Administration222 -Collection230 -General238 -Offences and Punishment244 -Procedure and Evidence244.1 -PART XV.1-Reporting of Electronic Funds Transfer245 -PART XVI-Tax Avoidance247 -PART XVI.1-Transfer Pricing248 -PART XVII-Interpretation263 -PART XVIII-Enhanced International Information Reporting270 -PART XIX-Common Reporting StandardSCHEDULE- Listed Corporations
2 -DIVISION A-Liability for Tax3 -DIVISION B-Computation of Income3 -Basic Rules5 -SUBDIVISION A-Income or Loss from an Office or Employment5 -Basic Rules6 -Inclusions8 -Deductions9 -SUBDIVISION B-Income or Loss from a Business or Property9 -Basic Rules12 -Inclusions18 -Deductions22 -Ceasing to carry on business26 -Special Cases38 -SUBDIVISION C-Taxable Capital Gains and Allowable Capital Losses47.1 -Indexed Security Investment Plans56 -SUBDIVISION D-Other Sources of Income56.4 -Restrictive Covenants60 -SUBDIVISION E-Deductions in Computing Income67 -SUBDIVISION F-Rules Relating to Computation of Income81 -SUBDIVISION G-Amounts Not Included in Computing Income82 -SUBDIVISION H-Corporations Resident in Canada and their Shareholders86.1 -Foreign Spin-offs90 -SUBDIVISION I-Shareholders of Corporations Not Resident in Canada96 -SUBDIVISION J-Partnerships and their Members104 -SUBDIVISION K-Trusts and their Beneficiaries110 -DIVISION C-Computation of Taxable Income110.2 -Lump-sum Payments115 -DIVISION D-Taxable Income Earned in Canada by Non-Residents115.2 -Non-Residents with Canadian Investment Service Providers117 -DIVISION E-Computation of Tax117 -SUBDIVISION A-Rules Applicable to Individuals117.1 -Annual Adjustment of Deductions and Other Amounts120.31 -Lump-sum Payments120.4 -Tax on Split Income122.6 -SUBDIVISION A.1-Canada Child Benefit122.7 -SUBDIVISION A.2-Canada Workers Benefit122.8 -SUBDIVISION A.3-Climate Action Incentive122.9 -SUBDIVISION A.4-School Supplies Tax Credit122.91 -SUBDIVISION A.5-Canada Training Credit122.92 -SUBDIVISION A.6-Multigenerational Home Renovation Tax Credit123 -SUBDIVISION B-Rules Applicable to Corporations123.4 -Corporation Tax Reductions123.6 -Additional Tax on Banks and Life Insurers125.4 -Canadian Film or Video Production Tax Credit125.5 -Film or Video Production Services Tax Credit126 -SUBDIVISION C-Rules Applicable to all Taxpayers127.43 -COVID-19 – Air Quality Improvement Tax Credit127.5 -DIVISION E.1-Minimum Tax128 -DIVISION F-Special Rules Applicable in Certain Circumstances128 -Bankruptcies128.1 -Changes in Residence129 -Private Corporations130 -Investment Corporations130.1 -Mortgage Investment Corporations131 -Mutual Fund Corporations132 -Mutual Fund Trusts133 -Non-Resident-Owned Investment Corporations135 -Patronage Dividends135.1 -Agricultural Cooperatives — Tax-deferred Patronage Dividends135.2 -Continuance of the Canadian Wheat Board136 -Cooperative Corporations137 -Credit Unions, Savings and Credit Unions and Deposit Insurance Corporations138 -Insurance Corporations139.1 -Demutualization of Insurance Corporations142.2 -Financial Institutions142.2 -Interpretation142.3 -Income from Specified Debt Obligations142.4 -Disposition of Specified Debt Obligations142.5 -Mark-to-Market Properties142.6 -Additional Rules142.7 -Conversion of Foreign Bank Affiliate to Branch143 -Communal Organizations143.2 -Cost of Tax Shelter Investments and Limited-recourse Debt in Respect of Gifting Arrangements143.3 -Expenditure — Limitations143.4 -Expenditure — Limit for Contingent Amount144 -DIVISION G-Deferred and Other Special Income Arrangements144 -Employees Profit Sharing Plans144.1 -Employee Life and Health Trust145 -Registered Supplementary Unemployment Benefit Plans146 -Registered Retirement Savings Plans146.01 -Home Buyers’ Plan146.02 -Lifelong Learning Plan146.1 -Registered Education Savings Plans146.2 -Tax-free Savings Accounts146.3 -Registered Retirement Income Funds146.4 -Registered Disability Savings Plan146.5 -Advanced Life Deferred Annuity146.6 -Tax-Free First Home Savings Account147 -Deferred Profit Sharing Plans147.1 -Registered Pension Plans147.5 -Pooled Registered Pension Plans148 -Life Insurance Policies148.1 -Eligible Funeral Arrangements149 -DIVISION H-Exemptions149 -Miscellaneous Exemptions149.1 -Qualified Donees150 -DIVISION I-Returns, Assessments, Payment and Appeals150 -Returns151 -Estimate of Tax152 -Assessment153 -Payment of Tax161 -Interest161.1 -Offset of Refund Interest and Arrears Interest161.3 -Small Amounts Owing162 -Penalties163.2 -Misrepresentation of a Tax Matter by a Third Party164 -Refunds165 -Objections to Assessments166 -General168 -Revocation of Registration of Certain Organizations and Associations168.1 -Designation of Qualified Canadian Journalism Organizations169 -DIVISION J-Appeals to the Tax Court of Canada and the Federal Court of Appeal
3 -Basic Rules5 -SUBDIVISION A-Income or Loss from an Office or Employment5 -Basic Rules6 -Inclusions8 -Deductions9 -SUBDIVISION B-Income or Loss from a Business or Property9 -Basic Rules12 -Inclusions18 -Deductions22 -Ceasing to carry on business26 -Special Cases38 -SUBDIVISION C-Taxable Capital Gains and Allowable Capital Losses47.1 -Indexed Security Investment Plans56 -SUBDIVISION D-Other Sources of Income56.4 -Restrictive Covenants60 -SUBDIVISION E-Deductions in Computing Income67 -SUBDIVISION F-Rules Relating to Computation of Income81 -SUBDIVISION G-Amounts Not Included in Computing Income82 -SUBDIVISION H-Corporations Resident in Canada and their Shareholders86.1 -Foreign Spin-offs90 -SUBDIVISION I-Shareholders of Corporations Not Resident in Canada96 -SUBDIVISION J-Partnerships and their Members104 -SUBDIVISION K-Trusts and their Beneficiaries
5 -Basic Rules6 -Inclusions8 -Deductions
9 -Basic Rules12 -Inclusions18 -Deductions22 -Ceasing to carry on business26 -Special Cases
47.1 -Indexed Security Investment Plans
56.4 -Restrictive Covenants
86.1 -Foreign Spin-offs
110.2 -Lump-sum Payments
115.2 -Non-Residents with Canadian Investment Service Providers
117 -SUBDIVISION A-Rules Applicable to Individuals117.1 -Annual Adjustment of Deductions and Other Amounts120.31 -Lump-sum Payments120.4 -Tax on Split Income122.6 -SUBDIVISION A.1-Canada Child Benefit122.7 -SUBDIVISION A.2-Canada Workers Benefit122.8 -SUBDIVISION A.3-Climate Action Incentive122.9 -SUBDIVISION A.4-School Supplies Tax Credit122.91 -SUBDIVISION A.5-Canada Training Credit122.92 -SUBDIVISION A.6-Multigenerational Home Renovation Tax Credit123 -SUBDIVISION B-Rules Applicable to Corporations123.4 -Corporation Tax Reductions123.6 -Additional Tax on Banks and Life Insurers125.4 -Canadian Film or Video Production Tax Credit125.5 -Film or Video Production Services Tax Credit126 -SUBDIVISION C-Rules Applicable to all Taxpayers127.43 -COVID-19 – Air Quality Improvement Tax Credit
117.1 -Annual Adjustment of Deductions and Other Amounts120.31 -Lump-sum Payments120.4 -Tax on Split Income
123.4 -Corporation Tax Reductions123.6 -Additional Tax on Banks and Life Insurers125.4 -Canadian Film or Video Production Tax Credit125.5 -Film or Video Production Services Tax Credit
127.43 -COVID-19 – Air Quality Improvement Tax Credit
128 -Bankruptcies128.1 -Changes in Residence129 -Private Corporations130 -Investment Corporations130.1 -Mortgage Investment Corporations131 -Mutual Fund Corporations132 -Mutual Fund Trusts133 -Non-Resident-Owned Investment Corporations135 -Patronage Dividends135.1 -Agricultural Cooperatives — Tax-deferred Patronage Dividends135.2 -Continuance of the Canadian Wheat Board136 -Cooperative Corporations137 -Credit Unions, Savings and Credit Unions and Deposit Insurance Corporations138 -Insurance Corporations139.1 -Demutualization of Insurance Corporations142.2 -Financial Institutions142.2 -Interpretation142.3 -Income from Specified Debt Obligations142.4 -Disposition of Specified Debt Obligations142.5 -Mark-to-Market Properties142.6 -Additional Rules142.7 -Conversion of Foreign Bank Affiliate to Branch143 -Communal Organizations143.2 -Cost of Tax Shelter Investments and Limited-recourse Debt in Respect of Gifting Arrangements143.3 -Expenditure — Limitations143.4 -Expenditure — Limit for Contingent Amount
142.2 -Interpretation142.3 -Income from Specified Debt Obligations142.4 -Disposition of Specified Debt Obligations142.5 -Mark-to-Market Properties142.6 -Additional Rules142.7 -Conversion of Foreign Bank Affiliate to Branch143 -Communal Organizations
144 -Employees Profit Sharing Plans144.1 -Employee Life and Health Trust145 -Registered Supplementary Unemployment Benefit Plans146 -Registered Retirement Savings Plans146.01 -Home Buyers’ Plan146.02 -Lifelong Learning Plan146.1 -Registered Education Savings Plans146.2 -Tax-free Savings Accounts146.3 -Registered Retirement Income Funds146.4 -Registered Disability Savings Plan146.5 -Advanced Life Deferred Annuity146.6 -Tax-Free First Home Savings Account147 -Deferred Profit Sharing Plans147.1 -Registered Pension Plans147.5 -Pooled Registered Pension Plans148 -Life Insurance Policies148.1 -Eligible Funeral Arrangements
149 -Miscellaneous Exemptions149.1 -Qualified Donees
150 -Returns151 -Estimate of Tax152 -Assessment153 -Payment of Tax161 -Interest161.1 -Offset of Refund Interest and Arrears Interest161.3 -Small Amounts Owing162 -Penalties163.2 -Misrepresentation of a Tax Matter by a Third Party164 -Refunds165 -Objections to Assessments166 -General168 -Revocation of Registration of Certain Organizations and Associations168.1 -Designation of Qualified Canadian Journalism Organizations
168.1 -Designation of Qualified Canadian Journalism Organizations
190.1 -Calculation of Capital Tax190.2 -Administrative Provisions
220 -Administration222 -Collection230 -General238 -Offences and Punishment244 -Procedure and Evidence
— 2004, c. 24, s. 26, as amended by 2006, c. 1, s. 1Review26Within two years after the coming into force of this section, the committee of the Senate that normally considers electoral matters, and the committee of the House of Commons that normally considers electoral matters, shall each undertake a comprehensive review of the amendments made by this Act and submit a report to its House containing its recommendations concerning those amendments.— 2005, c. 30, s. 66For the purpose of applying section 118.1 of the Act, a gift made by an individual after 2004 and before January 12, 2005 is deemed to have been made by the individual in the individual’s 2004 taxation year and not in the individual’s 2005 taxation year if(a)the individual claims an amount under subsection 118.1(3) of the Act in respect of the gift for the individual’s 2004 taxation year;(b)the gift was made to a registered charity listed under the International Humanitarian Assistance program of the Canadian International Development Agency;(c)the individual directed the charity to apply the gift to the tsunami relief effort; and(d)the gift was in the form of cash or was transferred by way of cheque, credit card or money order.— 2006, c. 4, s. 177(2)177(2)Subsection (1) applies in respect of overpayments that are deemed to arise during months that are after June 2007, and, for overpayments that are deemed to arise during months that are after June 2006 and before July 2007, the description of D in subsection 122.61(1) of the Act is to be read as follows:Dis the product obtained by multiplying $249 by the number of qualified dependants who have attained the age of 6 years before the month and have not attained the age of 7 years before the month and in respect of whom the person is an eligible individual at the beginning of the month, and— 2006, c. 9, s. 108(4.1)Coming into force108(4.1)Sections 63 and 64 come into force or are deemed to have come into force on January 1, 2007, but do not apply in respect of monetary contributions made before that day.— 2007, c. 16, s. 33Sections 1 and 2 apply to taxation years that end after the day on which this Act is assented to.— 2009, c. 2, s. 8181(1)For the purposes of theIncome Tax Actand theCanada Disability Savings Act, specified RDSP events are deemed to have occurred, in the order that they actually occurred, on December 31, 2008 and not on the day or days that they actually occurred.(2)For the purposes of subsection (1),specified RDSP eventmeans an event occurring after 2008 and before March 3, 2009 that(a)establishes adisability savings planas defined in subsection 146.4(1) of theIncome Tax Act;(b)satisfies conditions in subsection 146.4(2) of theIncome Tax Act;(c)establishes aregistered disability savings planas defined in subsection 146.4(1) of theIncome Tax Actfor a beneficiary who is, in respect of the 2008 taxation year, aDTC-eligible individualas defined in subsection 146.4(1) of theIncome Tax Actand who was resident in Canada at the end of that year;(d)is the making of any contribution to the registered disability savings plan;(e)satisfies the requirement in paragraph 3(b) of theCanada Disability Savings Regulations; or(f)is the taking of any other action to ensure that the registered disability savings plan is validly established and contributions to the plan are validly made.— 2020, c. 6, s. 7Consolidated Revenue Fund7For the purpose of subsection 164(1.6) of theIncome Tax Act, the Minister of National Revenue may make payments to a person or partnership out of the Consolidated Revenue Fund, at the times and in the manner that the Minister considers appropriate.— 2020, c. 11, s. 10Payment out of Consolidated Revenue Fund10Any amount payable by the Minister of Employment and Social Development in relation to the administration of a program to provide a one-time payment to persons with disabilities for reasons related to the coronavirus disease 2019 (COVID-19), including any administrative cost, is to be paid out of the Consolidated Revenue Fund.— 2021, c. 23, ss. 24(32.1) and (32.2)(32.1)The Minister of Finance must prepare a report on proposed measures to(a)prevent publicly traded companies and their subsidiaries from paying dividends or repurchasing their own shares while receiving the Canada Emergency Wage Subsidy, for the period that is after the tabling of the report under subsection (32.2); and(b)recover wage subsidy amounts from publicly traded companies and their subsidiaries that paid dividends or repurchased their own shares while receiving the Canada Emergency Wage Subsidy, for the period that is before the tabling of the report under subsection (32.2).(32.2)The Minister of Finance must cause the report to be tabled in each House of Parliament no later than 30 days after the day on which this Act receives royal assent or, if either House is not then sitting, on any of the first 15 days on which that House is sitting.— 2022, c. 10, s. 15(3)(3)Before 2026, the taxpayer may file an election with the Minister of National Revenue to include income that is described in paragraph (b.01) of the definitionearned incomein subsection 146(1) of the Act, and received by the taxpayer after 2010 and before 2021, for the purposes of computing the taxpayer’sRRSP deduction limit(as defined in that subsection) on or after the date the election is filed.
Review26Within two years after the coming into force of this section, the committee of the Senate that normally considers electoral matters, and the committee of the House of Commons that normally considers electoral matters, shall each undertake a comprehensive review of the amendments made by this Act and submit a report to its House containing its recommendations concerning those amendments.
6For the purpose of applying section 118.1 of the Act, a gift made by an individual after 2004 and before January 12, 2005 is deemed to have been made by the individual in the individual’s 2004 taxation year and not in the individual’s 2005 taxation year if(a)the individual claims an amount under subsection 118.1(3) of the Act in respect of the gift for the individual’s 2004 taxation year;(b)the gift was made to a registered charity listed under the International Humanitarian Assistance program of the Canadian International Development Agency;(c)the individual directed the charity to apply the gift to the tsunami relief effort; and(d)the gift was in the form of cash or was transferred by way of cheque, credit card or money order.
(a)the individual claims an amount under subsection 118.1(3) of the Act in respect of the gift for the individual’s 2004 taxation year;(b)the gift was made to a registered charity listed under the International Humanitarian Assistance program of the Canadian International Development Agency;(c)the individual directed the charity to apply the gift to the tsunami relief effort; and(d)the gift was in the form of cash or was transferred by way of cheque, credit card or money order.
177(2)Subsection (1) applies in respect of overpayments that are deemed to arise during months that are after June 2007, and, for overpayments that are deemed to arise during months that are after June 2006 and before July 2007, the description of D in subsection 122.61(1) of the Act is to be read as follows:Dis the product obtained by multiplying $249 by the number of qualified dependants who have attained the age of 6 years before the month and have not attained the age of 7 years before the month and in respect of whom the person is an eligible individual at the beginning of the month, and
177(2)Subsection (1) applies in respect of overpayments that are deemed to arise during months that are after June 2007, and, for overpayments that are deemed to arise during months that are after June 2006 and before July 2007, the description of D in subsection 122.61(1) of the Act is to be read as follows:Dis the product obtained by multiplying $249 by the number of qualified dependants who have attained the age of 6 years before the month and have not attained the age of 7 years before the month and in respect of whom the person is an eligible individual at the beginning of the month, and
Coming into force108(4.1)Sections 63 and 64 come into force or are deemed to have come into force on January 1, 2007, but do not apply in respect of monetary contributions made before that day.
108(4.1)Sections 63 and 64 come into force or are deemed to have come into force on January 1, 2007, but do not apply in respect of monetary contributions made before that day.
3Sections 1 and 2 apply to taxation years that end after the day on which this Act is assented to.
81(1)For the purposes of theIncome Tax Actand theCanada Disability Savings Act, specified RDSP events are deemed to have occurred, in the order that they actually occurred, on December 31, 2008 and not on the day or days that they actually occurred.(2)For the purposes of subsection (1),specified RDSP eventmeans an event occurring after 2008 and before March 3, 2009 that(a)establishes adisability savings planas defined in subsection 146.4(1) of theIncome Tax Act;(b)satisfies conditions in subsection 146.4(2) of theIncome Tax Act;(c)establishes aregistered disability savings planas defined in subsection 146.4(1) of theIncome Tax Actfor a beneficiary who is, in respect of the 2008 taxation year, aDTC-eligible individualas defined in subsection 146.4(1) of theIncome Tax Actand who was resident in Canada at the end of that year;(d)is the making of any contribution to the registered disability savings plan;(e)satisfies the requirement in paragraph 3(b) of theCanada Disability Savings Regulations; or(f)is the taking of any other action to ensure that the registered disability savings plan is validly established and contributions to the plan are validly made.
81(1)For the purposes of theIncome Tax Actand theCanada Disability Savings Act, specified RDSP events are deemed to have occurred, in the order that they actually occurred, on December 31, 2008 and not on the day or days that they actually occurred.(2)For the purposes of subsection (1),specified RDSP eventmeans an event occurring after 2008 and before March 3, 2009 that(a)establishes adisability savings planas defined in subsection 146.4(1) of theIncome Tax Act;(b)satisfies conditions in subsection 146.4(2) of theIncome Tax Act;(c)establishes aregistered disability savings planas defined in subsection 146.4(1) of theIncome Tax Actfor a beneficiary who is, in respect of the 2008 taxation year, aDTC-eligible individualas defined in subsection 146.4(1) of theIncome Tax Actand who was resident in Canada at the end of that year;(d)is the making of any contribution to the registered disability savings plan;(e)satisfies the requirement in paragraph 3(b) of theCanada Disability Savings Regulations; or(f)is the taking of any other action to ensure that the registered disability savings plan is validly established and contributions to the plan are validly made.
(a)establishes adisability savings planas defined in subsection 146.4(1) of theIncome Tax Act;(b)satisfies conditions in subsection 146.4(2) of theIncome Tax Act;(c)establishes aregistered disability savings planas defined in subsection 146.4(1) of theIncome Tax Actfor a beneficiary who is, in respect of the 2008 taxation year, aDTC-eligible individualas defined in subsection 146.4(1) of theIncome Tax Actand who was resident in Canada at the end of that year;(d)is the making of any contribution to the registered disability savings plan;(e)satisfies the requirement in paragraph 3(b) of theCanada Disability Savings Regulations; or(f)is the taking of any other action to ensure that the registered disability savings plan is validly established and contributions to the plan are validly made.
Consolidated Revenue Fund7For the purpose of subsection 164(1.6) of theIncome Tax Act, the Minister of National Revenue may make payments to a person or partnership out of the Consolidated Revenue Fund, at the times and in the manner that the Minister considers appropriate.
Payment out of Consolidated Revenue Fund10Any amount payable by the Minister of Employment and Social Development in relation to the administration of a program to provide a one-time payment to persons with disabilities for reasons related to the coronavirus disease 2019 (COVID-19), including any administrative cost, is to be paid out of the Consolidated Revenue Fund.
(32.1)The Minister of Finance must prepare a report on proposed measures to(a)prevent publicly traded companies and their subsidiaries from paying dividends or repurchasing their own shares while receiving the Canada Emergency Wage Subsidy, for the period that is after the tabling of the report under subsection (32.2); and(b)recover wage subsidy amounts from publicly traded companies and their subsidiaries that paid dividends or repurchased their own shares while receiving the Canada Emergency Wage Subsidy, for the period that is before the tabling of the report under subsection (32.2).(32.2)The Minister of Finance must cause the report to be tabled in each House of Parliament no later than 30 days after the day on which this Act receives royal assent or, if either House is not then sitting, on any of the first 15 days on which that House is sitting.
(32.1)The Minister of Finance must prepare a report on proposed measures to(a)prevent publicly traded companies and their subsidiaries from paying dividends or repurchasing their own shares while receiving the Canada Emergency Wage Subsidy, for the period that is after the tabling of the report under subsection (32.2); and(b)recover wage subsidy amounts from publicly traded companies and their subsidiaries that paid dividends or repurchased their own shares while receiving the Canada Emergency Wage Subsidy, for the period that is before the tabling of the report under subsection (32.2).
(a)prevent publicly traded companies and their subsidiaries from paying dividends or repurchasing their own shares while receiving the Canada Emergency Wage Subsidy, for the period that is after the tabling of the report under subsection (32.2); and(b)recover wage subsidy amounts from publicly traded companies and their subsidiaries that paid dividends or repurchased their own shares while receiving the Canada Emergency Wage Subsidy, for the period that is before the tabling of the report under subsection (32.2).
(32.2)The Minister of Finance must cause the report to be tabled in each House of Parliament no later than 30 days after the day on which this Act receives royal assent or, if either House is not then sitting, on any of the first 15 days on which that House is sitting.
(3)Before 2026, the taxpayer may file an election with the Minister of National Revenue to include income that is described in paragraph (b.01) of the definitionearned incomein subsection 146(1) of the Act, and received by the taxpayer after 2010 and before 2021, for the purposes of computing the taxpayer’sRRSP deduction limit(as defined in that subsection) on or after the date the election is filed.
(3)Before 2026, the taxpayer may file an election with the Minister of National Revenue to include income that is described in paragraph (b.01) of the definitionearned incomein subsection 146(1) of the Act, and received by the taxpayer after 2010 and before 2021, for the purposes of computing the taxpayer’sRRSP deduction limit(as defined in that subsection) on or after the date the election is filed.
— 2017, c. 33, ss. 2(1), (3), (4)2(1)Subsection 10(14) of theIncome Tax Actis repealed.(3)Subsection 10(14.1) of the Act, as enacted by subsection (2), is repealed.(4)Subsections (1) and (3) come into force on January 1, 2024.— 2017, c. 33, ss. 7(2), (4)7(2)Section 34 of the Act, as amended by subsection (1), is repealed.(4)Subsection (2) comes into force on January 1, 2024.— 2022, c. 19, s. 1313(1)Subsection 104(1) of the Act is replaced by the following:Reference to trust or estate104(1)In this Act, a reference to a trust or estate (in this Subdivision referred to as a “trust”) shall, unless the context otherwise requires, be read to include a reference to the trustee, executor, administrator, liquidator of a succession, heir or other legal representative having ownership or control of the trust property, but, except for the purposes of this subsection, subsection (1.1), section 150, subparagraph (b)(v) of the definitiondispositionin subsection 248(1) and paragraph (k) of that definition, a trust is deemed not to include an arrangement under which the trust can reasonably be considered to act as agent for all the beneficiaries under the trust with respect to all dealings with all of the trust’s property unless the trust is described in any of paragraphs (a) to (e.1) of the definitiontrustin subsection 108(1).(2)Subsection (1) applies to taxation years that end after December 30, 2023.— 2022, c. 19, s. 3535(1)The portion of subsection 150(1.1) of the Act before paragraph (a) is replaced by the following:Exception(1.1)Subject to subsection (1.2), subsection (1) does not apply to a taxation year of a taxpayer if(2)Section 150 of the Act is amended by adding the following after subsection (1.1):Exception — trusts(1.2)Subsection (1.1) does not apply to a taxation year of a trust if the trust is resident in Canada and is an express trust, or for civil law purposes a trust other than a trust that is established by law or by judgement, unless the trust(a)had been in existence for less than three months at the end of the year;(b)holds assets with a total fair market value that does not exceed $50,000 throughout the year, if the only assets held by the trust throughout the year are one or more of(i)money,(ii)a debt obligation described in paragraph (a) of the definitionfully exempt interestin subsection 212(3),(iii)a share, debt obligation or right listed on a designated stock exchange,(iv)a share of the capital stock of a mutual fund corporation,(v)a unit of a mutual fund trust,(vi)an interest in a related segregated fund trust (within the meaning assigned by paragraph 138.1(1)(a)), and(vii)an interest as a beneficiary under a trust, all the units of which are listed on a designated stock exchange;(c)is required under the relevant rules of professional conduct or the laws of Canada or a province to hold funds for the purposes of the activity that is regulated under those rules or laws, provided the trust is not maintained as a separate trust for a particular client or clients;(d)is a registered charity;(e)is a club, society or association described in paragraph 149(1)(l);(f)is a mutual fund trust;(g)is, for greater certainty, a related segregated fund trust, within the meaning assigned by paragraph 138.1(1)(a);(h)is a trust, all the units of which are listed on a designated stock exchange;(i)is prescribed to be a master trust;(j)is, for greater certainty, a graduated rate estate;(k)is aqualified disability trust, as defined in subsection 122(3);(l)is an employee life and health trust;(m)is a trust described under paragraph 81(1)(g.3);(n)is a trust under or governed by(i)a deferred profit sharing plan,(ii)a pooled registered pension plan,(iii)a registered disability savings plan,(iv)a registered education savings plan,(v)a registered pension plan,(vi)a registered retirement income fund,(vii)a registered retirement savings plan,(viii)a tax-free savings account,(ix)an employee profit sharing plan,(x)a registered supplementary unemployment benefit plan, or(xi)a first home savings account; or(o)is a cemetery care trust or a trust governed by an eligible funeral arrangement.Bare trusts and arrangements — inclusion(1.3)For the purposes of this section, a trust includes an arrangement under which a trust can reasonably be considered to act as agent for all the beneficiaries under the trust with respect to all dealings with all of the trust’s property.Solicitor-client privilege(1.4)For greater certainty, subsections (1.1) to (1.3) do not require the disclosure of information that is subject to solicitor-client privilege.(3)Subsections (1) and (2) apply to taxation years that end after December 30, 2023.— 2022, c. 19, s. 42False statement or omission — trust return42(1)Section 163 of the Act is amended by adding the following after subsection (4):False statement or omission(5)A person or partnership is liable to a penalty if the person or partnership(a)knowingly or under circumstances amounting to gross negligence(i)makes — or participates in, assents to or acquiesces in, the making of — a false statement or omission in a return of income of a trust that is not subject to one of the exceptions listed in paragraphs 150(1.2)(a) to (o) for a taxation year, or(ii)fails to file a return described in subparagraph (i); or(b)fails to comply with a demand under subsection 150(2) or 231.2(1) to file a return described in subparagraph (a)(i).False statement or omission — trust return(6)The amount of the penalty to which the person or partnership is liable under subsection (5) is equal to the greater of(a)$2,500, and(b)5% of the highest amount at any time in the year that is equal to the total fair market value of all the property held by the trust referred to in subsection (5) at that time.(2)Subsection (1) applies to taxation years that end after December 30, 2023.
2(1)Subsection 10(14) of theIncome Tax Actis repealed.(3)Subsection 10(14.1) of the Act, as enacted by subsection (2), is repealed.(4)Subsections (1) and (3) come into force on January 1, 2024.
2(1)Subsection 10(14) of theIncome Tax Actis repealed.(3)Subsection 10(14.1) of the Act, as enacted by subsection (2), is repealed.(4)Subsections (1) and (3) come into force on January 1, 2024.
7(2)Section 34 of the Act, as amended by subsection (1), is repealed.(4)Subsection (2) comes into force on January 1, 2024.
7(2)Section 34 of the Act, as amended by subsection (1), is repealed.(4)Subsection (2) comes into force on January 1, 2024.
13(1)Subsection 104(1) of the Act is replaced by the following:Reference to trust or estate104(1)In this Act, a reference to a trust or estate (in this Subdivision referred to as a “trust”) shall, unless the context otherwise requires, be read to include a reference to the trustee, executor, administrator, liquidator of a succession, heir or other legal representative having ownership or control of the trust property, but, except for the purposes of this subsection, subsection (1.1), section 150, subparagraph (b)(v) of the definitiondispositionin subsection 248(1) and paragraph (k) of that definition, a trust is deemed not to include an arrangement under which the trust can reasonably be considered to act as agent for all the beneficiaries under the trust with respect to all dealings with all of the trust’s property unless the trust is described in any of paragraphs (a) to (e.1) of the definitiontrustin subsection 108(1).(2)Subsection (1) applies to taxation years that end after December 30, 2023.
13(1)Subsection 104(1) of the Act is replaced by the following:Reference to trust or estate104(1)In this Act, a reference to a trust or estate (in this Subdivision referred to as a “trust”) shall, unless the context otherwise requires, be read to include a reference to the trustee, executor, administrator, liquidator of a succession, heir or other legal representative having ownership or control of the trust property, but, except for the purposes of this subsection, subsection (1.1), section 150, subparagraph (b)(v) of the definitiondispositionin subsection 248(1) and paragraph (k) of that definition, a trust is deemed not to include an arrangement under which the trust can reasonably be considered to act as agent for all the beneficiaries under the trust with respect to all dealings with all of the trust’s property unless the trust is described in any of paragraphs (a) to (e.1) of the definitiontrustin subsection 108(1).(2)Subsection (1) applies to taxation years that end after December 30, 2023.
Reference to trust or estate104(1)In this Act, a reference to a trust or estate (in this Subdivision referred to as a “trust”) shall, unless the context otherwise requires, be read to include a reference to the trustee, executor, administrator, liquidator of a succession, heir or other legal representative having ownership or control of the trust property, but, except for the purposes of this subsection, subsection (1.1), section 150, subparagraph (b)(v) of the definitiondispositionin subsection 248(1) and paragraph (k) of that definition, a trust is deemed not to include an arrangement under which the trust can reasonably be considered to act as agent for all the beneficiaries under the trust with respect to all dealings with all of the trust’s property unless the trust is described in any of paragraphs (a) to (e.1) of the definitiontrustin subsection 108(1).
104(1)In this Act, a reference to a trust or estate (in this Subdivision referred to as a “trust”) shall, unless the context otherwise requires, be read to include a reference to the trustee, executor, administrator, liquidator of a succession, heir or other legal representative having ownership or control of the trust property, but, except for the purposes of this subsection, subsection (1.1), section 150, subparagraph (b)(v) of the definitiondispositionin subsection 248(1) and paragraph (k) of that definition, a trust is deemed not to include an arrangement under which the trust can reasonably be considered to act as agent for all the beneficiaries under the trust with respect to all dealings with all of the trust’s property unless the trust is described in any of paragraphs (a) to (e.1) of the definitiontrustin subsection 108(1).
35(1)The portion of subsection 150(1.1) of the Act before paragraph (a) is replaced by the following:Exception(1.1)Subject to subsection (1.2), subsection (1) does not apply to a taxation year of a taxpayer if(2)Section 150 of the Act is amended by adding the following after subsection (1.1):Exception — trusts(1.2)Subsection (1.1) does not apply to a taxation year of a trust if the trust is resident in Canada and is an express trust, or for civil law purposes a trust other than a trust that is established by law or by judgement, unless the trust(a)had been in existence for less than three months at the end of the year;(b)holds assets with a total fair market value that does not exceed $50,000 throughout the year, if the only assets held by the trust throughout the year are one or more of(i)money,(ii)a debt obligation described in paragraph (a) of the definitionfully exempt interestin subsection 212(3),(iii)a share, debt obligation or right listed on a designated stock exchange,(iv)a share of the capital stock of a mutual fund corporation,(v)a unit of a mutual fund trust,(vi)an interest in a related segregated fund trust (within the meaning assigned by paragraph 138.1(1)(a)), and(vii)an interest as a beneficiary under a trust, all the units of which are listed on a designated stock exchange;(c)is required under the relevant rules of professional conduct or the laws of Canada or a province to hold funds for the purposes of the activity that is regulated under those rules or laws, provided the trust is not maintained as a separate trust for a particular client or clients;(d)is a registered charity;(e)is a club, society or association described in paragraph 149(1)(l);(f)is a mutual fund trust;(g)is, for greater certainty, a related segregated fund trust, within the meaning assigned by paragraph 138.1(1)(a);(h)is a trust, all the units of which are listed on a designated stock exchange;(i)is prescribed to be a master trust;(j)is, for greater certainty, a graduated rate estate;(k)is aqualified disability trust, as defined in subsection 122(3);(l)is an employee life and health trust;(m)is a trust described under paragraph 81(1)(g.3);(n)is a trust under or governed by(i)a deferred profit sharing plan,(ii)a pooled registered pension plan,(iii)a registered disability savings plan,(iv)a registered education savings plan,(v)a registered pension plan,(vi)a registered retirement income fund,(vii)a registered retirement savings plan,(viii)a tax-free savings account,(ix)an employee profit sharing plan,(x)a registered supplementary unemployment benefit plan, or(xi)a first home savings account; or(o)is a cemetery care trust or a trust governed by an eligible funeral arrangement.Bare trusts and arrangements — inclusion(1.3)For the purposes of this section, a trust includes an arrangement under which a trust can reasonably be considered to act as agent for all the beneficiaries under the trust with respect to all dealings with all of the trust’s property.Solicitor-client privilege(1.4)For greater certainty, subsections (1.1) to (1.3) do not require the disclosure of information that is subject to solicitor-client privilege.(3)Subsections (1) and (2) apply to taxation years that end after December 30, 2023.
35(1)The portion of subsection 150(1.1) of the Act before paragraph (a) is replaced by the following:Exception(1.1)Subject to subsection (1.2), subsection (1) does not apply to a taxation year of a taxpayer if(2)Section 150 of the Act is amended by adding the following after subsection (1.1):Exception — trusts(1.2)Subsection (1.1) does not apply to a taxation year of a trust if the trust is resident in Canada and is an express trust, or for civil law purposes a trust other than a trust that is established by law or by judgement, unless the trust(a)had been in existence for less than three months at the end of the year;(b)holds assets with a total fair market value that does not exceed $50,000 throughout the year, if the only assets held by the trust throughout the year are one or more of(i)money,(ii)a debt obligation described in paragraph (a) of the definitionfully exempt interestin subsection 212(3),(iii)a share, debt obligation or right listed on a designated stock exchange,(iv)a share of the capital stock of a mutual fund corporation,(v)a unit of a mutual fund trust,(vi)an interest in a related segregated fund trust (within the meaning assigned by paragraph 138.1(1)(a)), and(vii)an interest as a beneficiary under a trust, all the units of which are listed on a designated stock exchange;(c)is required under the relevant rules of professional conduct or the laws of Canada or a province to hold funds for the purposes of the activity that is regulated under those rules or laws, provided the trust is not maintained as a separate trust for a particular client or clients;(d)is a registered charity;(e)is a club, society or association described in paragraph 149(1)(l);(f)is a mutual fund trust;(g)is, for greater certainty, a related segregated fund trust, within the meaning assigned by paragraph 138.1(1)(a);(h)is a trust, all the units of which are listed on a designated stock exchange;(i)is prescribed to be a master trust;(j)is, for greater certainty, a graduated rate estate;(k)is aqualified disability trust, as defined in subsection 122(3);(l)is an employee life and health trust;(m)is a trust described under paragraph 81(1)(g.3);(n)is a trust under or governed by(i)a deferred profit sharing plan,(ii)a pooled registered pension plan,(iii)a registered disability savings plan,(iv)a registered education savings plan,(v)a registered pension plan,(vi)a registered retirement income fund,(vii)a registered retirement savings plan,(viii)a tax-free savings account,(ix)an employee profit sharing plan,(x)a registered supplementary unemployment benefit plan, or(xi)a first home savings account; or(o)is a cemetery care trust or a trust governed by an eligible funeral arrangement.Bare trusts and arrangements — inclusion(1.3)For the purposes of this section, a trust includes an arrangement under which a trust can reasonably be considered to act as agent for all the beneficiaries under the trust with respect to all dealings with all of the trust’s property.Solicitor-client privilege(1.4)For greater certainty, subsections (1.1) to (1.3) do not require the disclosure of information that is subject to solicitor-client privilege.(3)Subsections (1) and (2) apply to taxation years that end after December 30, 2023.
Exception(1.1)Subject to subsection (1.2), subsection (1) does not apply to a taxation year of a taxpayer if
Exception — trusts(1.2)Subsection (1.1) does not apply to a taxation year of a trust if the trust is resident in Canada and is an express trust, or for civil law purposes a trust other than a trust that is established by law or by judgement, unless the trust(a)had been in existence for less than three months at the end of the year;(b)holds assets with a total fair market value that does not exceed $50,000 throughout the year, if the only assets held by the trust throughout the year are one or more of(i)money,(ii)a debt obligation described in paragraph (a) of the definitionfully exempt interestin subsection 212(3),(iii)a share, debt obligation or right listed on a designated stock exchange,(iv)a share of the capital stock of a mutual fund corporation,(v)a unit of a mutual fund trust,(vi)an interest in a related segregated fund trust (within the meaning assigned by paragraph 138.1(1)(a)), and(vii)an interest as a beneficiary under a trust, all the units of which are listed on a designated stock exchange;(c)is required under the relevant rules of professional conduct or the laws of Canada or a province to hold funds for the purposes of the activity that is regulated under those rules or laws, provided the trust is not maintained as a separate trust for a particular client or clients;(d)is a registered charity;(e)is a club, society or association described in paragraph 149(1)(l);(f)is a mutual fund trust;(g)is, for greater certainty, a related segregated fund trust, within the meaning assigned by paragraph 138.1(1)(a);(h)is a trust, all the units of which are listed on a designated stock exchange;(i)is prescribed to be a master trust;(j)is, for greater certainty, a graduated rate estate;(k)is aqualified disability trust, as defined in subsection 122(3);(l)is an employee life and health trust;(m)is a trust described under paragraph 81(1)(g.3);(n)is a trust under or governed by(i)a deferred profit sharing plan,(ii)a pooled registered pension plan,(iii)a registered disability savings plan,(iv)a registered education savings plan,(v)a registered pension plan,(vi)a registered retirement income fund,(vii)a registered retirement savings plan,(viii)a tax-free savings account,(ix)an employee profit sharing plan,(x)a registered supplementary unemployment benefit plan, or(xi)a first home savings account; or(o)is a cemetery care trust or a trust governed by an eligible funeral arrangement.Bare trusts and arrangements — inclusion(1.3)For the purposes of this section, a trust includes an arrangement under which a trust can reasonably be considered to act as agent for all the beneficiaries under the trust with respect to all dealings with all of the trust’s property.Solicitor-client privilege(1.4)For greater certainty, subsections (1.1) to (1.3) do not require the disclosure of information that is subject to solicitor-client privilege.
(a)had been in existence for less than three months at the end of the year;(b)holds assets with a total fair market value that does not exceed $50,000 throughout the year, if the only assets held by the trust throughout the year are one or more of(i)money,(ii)a debt obligation described in paragraph (a) of the definitionfully exempt interestin subsection 212(3),(iii)a share, debt obligation or right listed on a designated stock exchange,(iv)a share of the capital stock of a mutual fund corporation,(v)a unit of a mutual fund trust,(vi)an interest in a related segregated fund trust (within the meaning assigned by paragraph 138.1(1)(a)), and(vii)an interest as a beneficiary under a trust, all the units of which are listed on a designated stock exchange;(c)is required under the relevant rules of professional conduct or the laws of Canada or a province to hold funds for the purposes of the activity that is regulated under those rules or laws, provided the trust is not maintained as a separate trust for a particular client or clients;(d)is a registered charity;(e)is a club, society or association described in paragraph 149(1)(l);(f)is a mutual fund trust;(g)is, for greater certainty, a related segregated fund trust, within the meaning assigned by paragraph 138.1(1)(a);(h)is a trust, all the units of which are listed on a designated stock exchange;(i)is prescribed to be a master trust;(j)is, for greater certainty, a graduated rate estate;(k)is aqualified disability trust, as defined in subsection 122(3);(l)is an employee life and health trust;(m)is a trust described under paragraph 81(1)(g.3);(n)is a trust under or governed by(i)a deferred profit sharing plan,(ii)a pooled registered pension plan,(iii)a registered disability savings plan,(iv)a registered education savings plan,(v)a registered pension plan,(vi)a registered retirement income fund,(vii)a registered retirement savings plan,(viii)a tax-free savings account,(ix)an employee profit sharing plan,(x)a registered supplementary unemployment benefit plan, or(xi)a first home savings account; or(o)is a cemetery care trust or a trust governed by an eligible funeral arrangement.
(i)money,(ii)a debt obligation described in paragraph (a) of the definitionfully exempt interestin subsection 212(3),(iii)a share, debt obligation or right listed on a designated stock exchange,(iv)a share of the capital stock of a mutual fund corporation,(v)a unit of a mutual fund trust,(vi)an interest in a related segregated fund trust (within the meaning assigned by paragraph 138.1(1)(a)), and(vii)an interest as a beneficiary under a trust, all the units of which are listed on a designated stock exchange;
(i)a deferred profit sharing plan,(ii)a pooled registered pension plan,(iii)a registered disability savings plan,(iv)a registered education savings plan,(v)a registered pension plan,(vi)a registered retirement income fund,(vii)a registered retirement savings plan,(viii)a tax-free savings account,(ix)an employee profit sharing plan,(x)a registered supplementary unemployment benefit plan, or(xi)a first home savings account; or
False statement or omission — trust return42(1)Section 163 of the Act is amended by adding the following after subsection (4):False statement or omission(5)A person or partnership is liable to a penalty if the person or partnership(a)knowingly or under circumstances amounting to gross negligence(i)makes — or participates in, assents to or acquiesces in, the making of — a false statement or omission in a return of income of a trust that is not subject to one of the exceptions listed in paragraphs 150(1.2)(a) to (o) for a taxation year, or(ii)fails to file a return described in subparagraph (i); or(b)fails to comply with a demand under subsection 150(2) or 231.2(1) to file a return described in subparagraph (a)(i).False statement or omission — trust return(6)The amount of the penalty to which the person or partnership is liable under subsection (5) is equal to the greater of(a)$2,500, and(b)5% of the highest amount at any time in the year that is equal to the total fair market value of all the property held by the trust referred to in subsection (5) at that time.(2)Subsection (1) applies to taxation years that end after December 30, 2023.
42(1)Section 163 of the Act is amended by adding the following after subsection (4):False statement or omission(5)A person or partnership is liable to a penalty if the person or partnership(a)knowingly or under circumstances amounting to gross negligence(i)makes — or participates in, assents to or acquiesces in, the making of — a false statement or omission in a return of income of a trust that is not subject to one of the exceptions listed in paragraphs 150(1.2)(a) to (o) for a taxation year, or(ii)fails to file a return described in subparagraph (i); or(b)fails to comply with a demand under subsection 150(2) or 231.2(1) to file a return described in subparagraph (a)(i).False statement or omission — trust return(6)The amount of the penalty to which the person or partnership is liable under subsection (5) is equal to the greater of(a)$2,500, and(b)5% of the highest amount at any time in the year that is equal to the total fair market value of all the property held by the trust referred to in subsection (5) at that time.(2)Subsection (1) applies to taxation years that end after December 30, 2023.
False statement or omission(5)A person or partnership is liable to a penalty if the person or partnership(a)knowingly or under circumstances amounting to gross negligence(i)makes — or participates in, assents to or acquiesces in, the making of — a false statement or omission in a return of income of a trust that is not subject to one of the exceptions listed in paragraphs 150(1.2)(a) to (o) for a taxation year, or(ii)fails to file a return described in subparagraph (i); or(b)fails to comply with a demand under subsection 150(2) or 231.2(1) to file a return described in subparagraph (a)(i).False statement or omission — trust return(6)The amount of the penalty to which the person or partnership is liable under subsection (5) is equal to the greater of(a)$2,500, and(b)5% of the highest amount at any time in the year that is equal to the total fair market value of all the property held by the trust referred to in subsection (5) at that time.
(a)knowingly or under circumstances amounting to gross negligence(i)makes — or participates in, assents to or acquiesces in, the making of — a false statement or omission in a return of income of a trust that is not subject to one of the exceptions listed in paragraphs 150(1.2)(a) to (o) for a taxation year, or(ii)fails to file a return described in subparagraph (i); or(b)fails to comply with a demand under subsection 150(2) or 231.2(1) to file a return described in subparagraph (a)(i).
(i)makes — or participates in, assents to or acquiesces in, the making of — a false statement or omission in a return of income of a trust that is not subject to one of the exceptions listed in paragraphs 150(1.2)(a) to (o) for a taxation year, or(ii)fails to file a return described in subparagraph (i); or
(a)$2,500, and(b)5% of the highest amount at any time in the year that is equal to the total fair market value of all the property held by the trust referred to in subsection (5) at that time.
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