Finance committee  It depends on how the chair would like to proceed. I could either do that or provide a brief overview of all the measures in part 1. That would probably take about two or three minutes.

Finance committee  Thank you. Part 1 contains the income tax measures in Bill C-38. What I would propose to do is to essentially follow the summary at the start of Bill C-38, which provides a list of all the measures. The first measure that is listed is to expand the list of medical expenses eli

Finance committee  No trouble. The measure I was discussing was the eligible dividend designation. When dividends are paid to an individual from a corporation, they may be eligible for a dividend tax credit. There are two types of dividend tax credits—enhanced dividend tax credit and a regular div

Finance committee  The clearest way to do that is to say that your salary after tax is a certain amount. The system we had before the budget amendment said, “Your income is exempt from tax. This is your after-tax income”. I think there's been an explicit policy choice to move away from that in orde

Finance committee  Currently under the Income Tax Act, where a person has not yet attained the age of majority the plan holder can be the parent of that individual. Then, when an individual attains majority.... In the normal course when they have contractual competences, it would be the individual

Finance committee  Certainly, I think you're correct that some proponents, and there are strong proponents of the mineral exploration tax credit, favour extending it for further years. I think it has always been analyzed in a particular context. While the proponents are certainly in favour of the

Finance committee  I think the response is essentially the one I've already indicated. There's some question as to how the benefit of the mineral exploration tax credit and the flow-through is divided up between the corporations that actually engage in the exploration and the shareholders who inves

Finance committee  Currently, under the Income Tax Act, when a registered charity makes a gift to another qualified donee, it is deemed to have been made for its own charitable purposes. What the bill does is leave the existing rules, which I think you've alluded to with respect to political activi

Finance committee  The CRA may have some questions. In terms of the way we've crafted the legislation, it talks about the purpose of a gift. It was specifically drafted in a way that was meant to look objectively at the circumstances related to the making of the gift in the first place. It was no

Finance committee  We were referring to an actual gift from the Government of Canada, which is separate from the taxability or the ability to get a charitable donation receipt. Currently, under the Income Tax Act, once a foreign charitable organization has received an actual gift from the Governm

Finance committee  The term “national interest” is not defined in the Income Tax Act. Certainly CRA, at least in the initial instance, in conjunction with the Department of Finance, will develop administrative guidelines as to what it is—

Finance committee  There is no present intention to put a specific definition of “national interest” in the Income Tax Act.

Finance committee  It is potentially wide-scoped and--

Finance committee  Ultimately, yes, it will be defined by the courts. Our expectation right now is that “national interest” will denote a connection to Canada in some way.

Finance committee  The mineral exploration tax credit that was alluded to yesterday has a long history. It was initially introduced in 2000 as a temporary measure. I think back in 2003 or 2004 it was extended on an annual basis. It lapsed for a short period in 2006 and has been extended annually ea