Ottawa, October 24, 2012
Archived - Government of Canada Moves to Implement Outstanding Tax Amendments
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- Notice of Ways and Means Motion to amend the Income Tax Act, the Excise Tax Act and related legislation and explanatory notes
The Honourable Jim Flaherty, Minister of Finance, today tabled in the House of Commons a detailed Notice of Ways and Means Motion to implement outstanding technical tax amendments.
“The last comprehensive package of technical income tax legislation was passed by Parliament in 2001. This has led to a significant backlog of outstanding measures,” said Minister Flaherty. “Today’s Notice of Ways and Means Motion will begin the process of addressing the backlog.”
The Notice of Ways and Means Motion tabled today includes proposals to implement a number of income tax and sales tax amendments, the majority of which have been previously released for public consultation:
- Various technical income tax amendments released on July 16, 2010, November 5, 2010 and October 31, 2011.
- Technical income tax amendments relating to the taxation of Canadian multinational corporations with foreign affiliates, in accordance with proposals released on December 18, 2009 and August 19, 2011.
- Income tax measures proposed in Budget 2010 and released for comment on May 7, 2010 and August 27, 2010 relating to:
- the taxation of non-resident trusts and their beneficiaries and of Canadian taxpayers who hold interests in offshore investment fund property;
- specified leasing property;
- conversions of specified investment flow-through trusts and partnerships into corporations;
- foreign tax credit generators; and
- a regime for information reporting of tax avoidance transactions.
- Previously announced income tax amendments relating to:
- the Apprenticeship Completion Grant announced on January 27, 2009;
- the Atlantic investment tax credit, released on May 3, 2010;
- Employment Insurance for the self-employed, released on August 27, 2010;
- real estate investment trusts, released on December 16, 2010; and
- the deductibility of contingent amounts, withholding tax applicable to certain interest payments made to non-residents, and certain life insurance corporation reserves, released on March 16, 2011.
- Other technical income tax measures relating to:
- labour-sponsored venture capital corporations; and
- the allocation, among provinces and territories, of the taxable income of airline corporations.
- Technical amendments to the Excise Tax Act, which include relieving the Goods and Services Tax and the Harmonized Sales Tax (GST/HST) on the administrative service of collecting and distributing the levy on blank media imposed under the Copyright Act announced on October 31, 2011.
More details on these measures can be found in the attached Notice of Ways and Means Motion and detailed explanatory notes. References to “Announcement Date” in the Notice of Ways and Means Motion and explanatory notes refer to today’s date.
For further information, media may contact:
Office of the Minister of Finance
Department of Finance