Canada: Draft beneficial ownership reporting requirements for trusts
Effective for tax years ending after 30 December 2022
Effective for tax years ending after 30 December 2022
The Department of Finance released draft legislation requiring the disclosure of certain information on each trustee, beneficiary, settlor and protector of trusts, subject to limited exceptions—effective for tax years ending after 30 December 2022.
The revised draft legislation is largely similar to previous draft legislation that Finance released earlier this year. Read TaxNewsFlash
However, the revised draft legislation clarifies reporting requirements in cases of certain trusts that have some (but not all) of their units publicly listed and excludes certain additional trusts from the rules, among other changes.
The revised legislation does not include any changes related to bare trusts, which would still be subject to the new rules.
Read an August 2022 report [PDF 189 KB] prepared by the KPMG member firm in Canada
The KPMG name and logo are trademarks used under license by the independent member firms of the KPMG global organization. KPMG International Limited is a private English company limited by guarantee and does not provide services to clients. No member firm has any authority to obligate or bind KPMG International or any other member firm vis-à-vis third parties, nor does KPMG International have any such authority to obligate or bind any member firm. The information contained herein is of a general nature and is not intended to address the circumstances of any particular individual or entity. Although we endeavor 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 on such information without appropriate professional advice after a thorough examination of the particular situation. For more information, contact KPMG's Federal Tax Legislative and Regulatory Services Group at: + 1 202 533 3712, 1801 K Street NW, Washington, DC 20006.