Canada: Expanded mandatory reporting obligations
The rules would apply to transactions entered into on or after the date the legislation to enact these changes receives Royal Assent.
The rules would apply to transactions entered into on or after Royal Assent
Expanded mandatory disclosure rules generally would require individuals, corporations, trusts and partnerships to promptly disclose certain “reportable transactions” and “notifiable transactions” to the Canada Revenue Agency, among other new obligations.
The Department of Finance recently updated these mandatory disclosure rules—which were originally released in August 2022 (read TaxNewsFlash)—with new relieving amendments, including extending the disclosure deadline to within 90 days (from 45 days) of entering into the transaction and narrowing the scope of reportable transactions.
The rules would apply to transactions entered into on or after the date the legislation to enact these changes receives Royal Assent, which is expected soon.
Certain corporate taxpayers would also have to disclose information about uncertain tax treatments reflected in their financial statements for tax years that begin on or after 1 January 2023.
Read an April 2023 report [PDF 233 KB] prepared by the KPMG member firm in Canada
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