Finance committee  As part of the international standards, the Financial Action Task Force actually requires that financial institutions and intermediaries in the country have client identification and record-keeping requirements for their foreign branch subsidiaries. The client identification portion is important as it allows the institutions to determine whether the activities of their clients may be suspicious, or may not be consistent with their profile.

Finance committee  There are two aspects in the bill in respect of improving information sharing with CRA. There is the charity aspect. The bill will allow FINTRAC to share information with the Canada Revenue Agency in respect of charities. The bill is also improving the disclosure provision in respect of potential tax evasion by adding elements to share also potential fraudulent claims of tax rebate and tax credits.

Finance committee  FINTRAC will disclose information if they suspect money laundering or terrorist financing and tax evasion. FINTRAC may not know whether there is tax evasion.

Finance committee  Well, CRA could disclose some information to FINTRAC voluntarily if they are looking into potential tax evasion cases. With the disclosure provision, the information would flow both ways, and that issue would be addressed.

Finance committee  There is a range of infractions that will be part of this monetary system. For example, sir, minor infractions will include failure to keep appropriate records. These will all be established in regulations to be passed later on.

Finance committee  That's correct.