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Budget Implementation Act, 2007 (S.C. 2007, c. 29)

Assented to 2007-06-22

  • 29. (1) Paragraph 249(1)(a) of the Act is replaced by the following:

    • (a) in the case of a corporation or Canadian resident partnership, a fiscal period, and

  • (2) Subsection (1) is deemed to have come into force on October 31, 2006.

Marginal note:C.R.C., c. 945

Income Tax Regulations

  • 30. (1) The portion of subsection 229(1) of the Income Tax Regulations before paragraph (a) is replaced by the following:

    • 229. (1) Every member of a partnership that carries on a business in Canada, or that is a Canadian partnership or a SIFT partnership, at any time in a fiscal period of the partnership shall make for that period an information return in prescribed form containing the following information:

  • (2) Subsection (1) is deemed to have come into force on October 31, 2006.

  • 31. (1) Part XXVI of the Regulations is amended by adding the following after section 2607:

    Sift Trusts

    2608. For the purposes of this Part, if the individual is a SIFT trust, a reference to income earned in a taxation year shall be read as a reference to the amount that would, if this Part were read without reference to this section, be the amount, if any, by which its income for the taxation year exceeds its taxable SIFT trust distributions for the taxation year.

  • (2) Subsection (1) is deemed to have come into force on October 31, 2006.

  • 32. (1) The portion of subsection 4900(1) of the Regulations before paragraph (a) is replaced by the following:

    • 4900. (1) For the purposes of paragraph (d) of the definition “qualified investment” in subsection 146(1) of the Act, paragraph (e) of the definition “qualified investment” in subsection 146.1(1) of the Act, paragraph (c) of the definition “qualified investment” in subsection 146.3(1) of the Act and paragraph (h) of the definition “qualified investment” in section 204 of the Act, each of the following investments is prescribed as a qualified investment for a plan trust at a particular time if at that time it is

  • (2) Paragraph 4900(1)(d.1) of the Regulations is repealed.

  • (3) Paragraph 4900(1)(e.01) of the Regulations is repealed.

  • (4) Paragraphs 4900(1)(m) to (n.1) of the Regulations are repealed.

  • (5) Paragraphs 4900(1)(p) and (p.1) of the Regulations are repealed.

  • (6) Subsection 4900(2) of the Regulations is replaced by the following:

    • (2) For the purposes of paragraph (c.1) of the definition “qualified investment” in section 204 of the Act, each of the following is a prescribed credit rating agency:

      • (a) A.M. Best Company, Inc.;

      • (b) Dominion Bond Rating Service Limited;

      • (c) Fitch, Inc.;

      • (d) Moody’s Investors Service, Inc.; and

      • (e) the Standard and Poor’s Division of the McGraw-Hill Companies, Inc.

  • (7) Subsection 4900(3) of the Regulations is replaced by the following:

    • (3) For the purpose of paragraph (h) of the definition “qualified investment” in section 204 of the Act, a contract with a licensed annuities provider for an annuity payable to an employee who is a beneficiary under a deferred profit sharing plan beginning not later than the end of the year in which the employee attains 71 years of age, the guaranteed term of which, if any, does not exceed 15 years, is prescribed as a qualified investment for a trust governed by such a plan or revoked plan.

  • (8) The portion of subsection 4900(7) of the Regulations before paragraph (a) is replaced by the following:

    • (7) Subject to subsection (11), for the purposes of paragraph (h) of the definition “qualified investment” in section 204 of the Act, a property is prescribed as a qualified investment for a trust governed by a deferred profit sharing plan or revoked plan at any time if at that time the property is an interest

  • (9) Subsections (1) to (6) and (8) apply in determining whether a property is, at any time after March 18, 2007, a qualified investment.

  • (10) Subsection (7) applies after 2006 except that, for the period before March 19, 2007, the reference in subsection 4900(3) of the Regulations, as enacted by subsection (7), to “paragraph (h)” shall be read as a reference to “paragraph (i)”.