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Archived - Explanatory Notes relating to the Income Tax Act, the Excise Act, the Excise Act, 2001, the Customs Tariff, the Excise Tax Act and other Acts
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Published by
The Honourable James M. Flaherty, P.C., M.P.
Minister of Finance
April 2008
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Related Documents:
- Minister Flaherty Tables Legislation to Implement Budget 2008 Measures and Protect Canada’s Fiscal Framework (News Release 2008-028)
These explanatory notes are provided to assist in an understanding of the relevant amendments. These notes are intended for information purposes only and should not be construed as an official interpretation of the provisions that they describe.
Table of Contents
| Clause in Legislation | Section of the Act Amended | Topic | ||
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| Preface | ||||
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| 1 | Short title | |||
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| Part 1 Amendments related to Income Tax |
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| Income Tax Act | ||||
| 2 | 18 | Prohibited Deductions - TFSA | ||
| 3 | 37 | Scientific Research and Experimental Development | ||
| 4 | 38 | Gifts of Securities | ||
| 5 | 40 | Gains and Losses – Limitations | ||
| 6 | 74.5 | Attribution Rules – Where Sections 74.1 to 74.3 do not apply | ||
| 7 | 75 | Attribution Rules – Trusts - Exceptions | ||
| 8 | 82 | Dividend "Gross-up" | ||
| 9 | 87 | Amalgamations – Shares Deemed Listed | ||
| 10 | 107.4 | Qualifying Disposition | ||
| 11 | 108 | Taxation of Trusts and their Beneficiaries – Definitions | ||
| 12 | 110.1 | Eligible Medical Gift | ||
| 13 | 110.7 | Northern Residents Deduction | ||
| 14 | 116 | Disposition by non-resident person of certain property | ||
| 15 | 118.1 | Direct Designations – RRSPs, RRIFs and TFSAs | ||
| 16 | 118.2 | Medical Expense Tax Credit | ||
| 17 | 121 | Dividend Tax Credit | ||
| 18 | 122 | Tax Payable by inter vivos trust | ||
| 19 | 127 | Investment tax credit: Definitions | ||
| 20 | 128.1 | Changes in Residence - Definitions | ||
| 21 | 132.2 | Mutual Fund Qualifying Exchanges | ||
| 22 | 138.1 | Segregated Funds – Where ss. (1) to (6) do not apply | ||
| 23 | 146.1 | Registered Education Savings Plans | ||
| 24 | 146.2 | Tax-free Savings Accounts | ||
| 25 | 146.4 | Registered Disability Savings Plans | ||
| 26 | 148 | Life Insurance Policies | ||
| 27 | 149 | TFSA Trust | ||
| 28 | 150 | Filing returns of income | ||
| 29 | 153 | Withholding and Remittance | ||
| 30 | 197 | Tax on SIFT Partnership | ||
| 31 | Part XI.01 | Taxes in respect of TFSAs | ||
| 32 | 211 | Tax on Investment Income of Life Insurers – Definitions | ||
| 33 | 227 | Penalty | ||
| 34 | 248 | Definitions | ||
| 35 | 252 | Extended meaning of "spouse" and "former spouse" | ||
| 36 | 253.1 | Investments in Limited Partnerships | ||
| 37 | 259 | Proportional Holdings in Trust Property | ||
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| Canada Pension Plan | ||||
| 38 | 21 | Withholding and Remittances | ||
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| Employment Insurance Act | ||||
| 39 | 82 | Withholding and Remittances | ||
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| Coordinating Amendments | ||||
| 40 to 44 | Bill C-10 | |||
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| Conditional Amendments | ||||
| 45 to 48 | Bill C-253 | |||
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| Part 2 Amendments in respect of Excise Duty on Tobacco Products and Alcohol |
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| Excise Act | ||||
| 49 | 4 | Definition "beer" or "malt liquor" | ||
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| Excise Act, 2001 | ||||
| 50 | 2 | Definition "tobacco manufacturing equipment" | ||
| 51 | 5 | Possession | ||
| 52 | 23 | Licences and registrations | ||
| 53 | 32.1 | Prohibitions — tobacco manufacturing equipment | ||
| 54 | 38 | Delivery of imported tobacco | ||
| 55 | 47 | Duty relieved — reimportation of stamped tobacco by individual | ||
| 56 | 53 | Special duty on imported manufactured tobacco delivered to duty free shop | ||
| 57 | 54 | Exception to the special duty on traveller’s tobacco | ||
| 58 | 180.1 | Refund — imported black stock tobacco | ||
| 59 | 206 | Keeping records — tobacco manufacturing equipment | ||
| 60 | 214 | Unlawful production, sale, etc. of tobacco or alcohol | ||
| 61 | 216 | Penalty | ||
| 62 | 240 | Penalty | ||
| 63 | Sched. 1, s. 2 | Duties on tobacco sticks | ||
| 64 | Sched. 1, s. 3 | Duties on other manufactured tobacco | ||
| 65 | Sched. 3, s. 1 | Special duty on imported manufactured tobacco | ||
| 66 | Sched. 3, s. 2 | Special duty on traveller’s tobacco | ||
| 67 | Sched. 3, para 3(b) | Special duty on unstamped tobacco products | ||
| 68 | Sched. 3, s. 4 | Special duty on stamped tobacco products | ||
| 69 | Sched. 1, paras 2(a) and (b), 3(a) and (b); Sched. 3, paras 1(b) and (c), 2(b) and (c), 3(b), 4(b) and (c) | Application of interest | ||
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| Customs Tariff | ||||
| 70 | 21 | Definition "spirits" | ||
| 71 | 92 | Non-application to stamped manufactured tobacco | ||
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| Part 3 Amendments in respect of the Goods and Services Tax and Harmonized Sales Tax (GST/HST) |
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| Excise Tax Act | ||||
| 72 | 162 | Natural resources | ||
| 73 | 191 | Self-supply of real property | ||
| 74 | 191.1 | Subsidized residential complexes | ||
| 75 | 236.4 | Election for residential complexes | ||
| 76 | 256.1 | Rebate to owner or lessee of land leased for residential purposes | ||
| 77 | 256.2 | New residential rental property rebate | ||
| 78 | V/I/ 6.1 | Lease of real property where exempt re-supply | ||
| 79 | V/I/ 6.11 | Lease of real property where exempt re-supply | ||
| 80 | V/II/5 and 6 | Physicians’ and dentists’ services and nursing services | ||
| 81 | V/II/7 | Practitioners’ services | ||
| 82 | V/II/7.1 and 7.2 | Dietetic services and social workers’ services | ||
| 83 | V/II/10 | Prescribed health care service | ||
| 84 | V/II/14 and 15 | Specially designed training | ||
| 85 | VI/I/1 | Prescription drugs | ||
| 86 | VI/I/2 | Prescription drugs | ||
| 87 | VI/I/3 | Prescription drugs | ||
| 88 | VI/II/1.1 | Medical devices | ||
| 89 | VI/II/6 | Medical devices | ||
| 90 | VI/II/14 and 14.1 | Medical devices | ||
| 91 | VI/II/20 | Medical devices | ||
| 92 | VI/II/33 and 34 | Medical devices | ||
| 93 | VI/II/41 | Medical devices | ||
