Global

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  • Service: Tax, International Corporate Tax, Global Compliance Management Services
  • Type: Regulatory update
  • Date: 12/20/2012

Canada - Remaining 2012 federal budget measures are enacted  

December 20:  Bill C-45—which implements most of the remaining 2012 federal budget measures—received Royal Assent on 14 December 2012, and is now considered enacted for purposes of U.S. GAAP.

The tax measures contained in Bill C-45 were considered substantively enacted for IFRS and ASPE purposes on 18 October 2012, when the bill received first reading in the House of Commons (given that Canada has a majority federal government).


The legislation includes measures to:


  • Change the Scientific Research and Experimental Development (SR&ED) program
  • Amend the thin capitalization rules
  • Introduce the foreign affiliate dumping rules
  • Provide a “section 88 bump” denial limits for partnerships

Read this December 2012 report prepared by the KPMG member firm in Canada: Remaining 2012 Federal Budget Measures Now Enacted




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