This bill contains measures from the 2019 budget and other previously announced measures
Bill C-97 received first reading on April 8, 2019. The bill contains selected measures announced in the 2019 budget as well as the accelerated CCA measures announced in the Fall Economic Update and other previously announced measures. Notably, it does not include international tax measures announced in the 2019 federal budget, nor does it include the measures related to character conversions or mutual funds. It also does not include any changes related to stock options. The bill also includes changes to the Canada Business Corporations Act announced in the federal budget to make the beneficial ownership information maintained by federally incorporated corporations more readily available to tax authorities and law enforcement.
Since Bill C-97 received first reading on April 8, 2019, the corporate income tax measures that it introduces are considered to be substantively enacted for purposes of IFRS and Accounting Standards for Private Enterprise (ASPE) as of this date (as Canada has a majority government). The measures will be considered enacted for U.S. GAAP purposes on the date the bill receives Royal Assent.
The bill includes tax measures that were first released in a Notice of Ways and Means Motion (NWMM) on April 4, 2019.
What's included in Bill C-97
Corporate income tax measures
Bill C-97 includes corporate income tax measures proposed in the 2019 budget to:
For more details, see TaxNewsFlash No. 2019-09, "2019 Federal Budget Highlights".
Bill C-97 also includes income tax measures proposed in the Fall Economic Update to:
For more details on these measures, which were from the fall 2018 Economic Update, see TaxNewsFlash No. 2018-47, "Canada Announces Enhanced Capital Cost Allowances".
Bill C-97 also includes other previously announced measures to:
Personal tax measures
Personal tax measures from the 2019 federal budget in Bill C-97 include amendments to:
For more details, see TaxNewsFlash No. 2019-09, "2019 Federal Budget Highlights".
Indirect tax measures
The bill does not include significant excise tax changes. It does include changes to the calculation of excise tax on cannabis.
Other measures
The bill amends the Canada Business Corporations Act so that federally incorporated corporations must provide a copy of the corporation's register of individuals with significant control, or disclose specified information that is in that register to tax authorities and law enforcement on request, subject to certain conditions.
What's not included?
Notably, the bill does not include measures from the 2019 federal budget related to:
For more information, contact your KPMG adviser.
Information is current to April 09, 2019. The information contained in this publication is of a general nature and is not intended to address the circumstances of any particular individual or entity. Although we endeavour to provide accurate and timely information, there can be no guarantee that such information is accurate as of the date it is received or that it will continue to be accurate in the future. No one should act upon such information without appropriate professional advice after a thorough examination of the particular situation. For more information, contact KPMG's National Tax Centre at 416.777.8500
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