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PROCESS+ OP],NS4 #AE ,,IT-#ADE;,R-,CONSOLID C#C ,! ,,CCRA 3SID]S AN 9DU/RIAL M9]AL 69CLUDE ANY M9]AL O!R ?AN A M9]AL F A DEPOSIT T IS A M9]AL RES\RCE Z DEF9$ 9 SUBSEC;N #BDH7#A74 ,EXAMPLES ( 9DU/RIAL M9]ALS 7ESS5TI,Y NON-METALLIC M9]ALS7 >E3 ,GRAVEL1 ,LIME/"O1 ,CLAY1 ,S&1 ,/"O1 ,FELDSP> ,LO7+ 7P>AGRAPH #AJ7 #AJ4 ,! ,,CCRA 3SID]S T LO7+ DOES N 9CLUDE ACTIVITIES T TAKE PLACE AF ! DELIV]Y (! LOGS 6A SAWMILL1 PULP MILL1 PLYWOOD MILL OR O!R SIMIL> PLACE = PROCESS+ LOGS4 ,?US 7A7 ! OP],N (A SAWMILL 6SAW LOGS 96LUMB]1 7B7 ! DRY+ ( LUMB] 9 KILNS 2F %IP;T1 7C7 ! OP],N (A PLAN+ MILL 6PLANE LUMB]1 #AF ,,IT-#ADE;,R-,CONSOLID D#C 7D7 ! PRODUC;N ( WOOD *IPS DUR+ ! SAW+ PROCESS &! PRODUC;N ( %AV+S DUR+ ! PLAN+ PROCESS1 & 7E7 ANY SIMIL> ACTIVITIES >E ALL ACTIVITIES T >E 3SID]$ 6BE MANUFACTUR+ OR PROCESS+4 ,! OP],N ( BULLDOZ]S & BOOM BOATS AT ! MILL SITE >E 3SID]$ "P ( MANUFACTUR+ ACTIVITIES4 ,PETROLEUM & ,NATURAL ,GAS ,ACTIVITIES 7P>AGRAPH #AA7 #AA4 ,PETROLEUM & NATURAL GAS ACTIVITIES T >E .N 3SID]$ 6BE MANUFACTUR+ OR PROCESS+ ACTIVITIES >E Z FOLL[S3 --OP]AT+ AN OIL OR GAS WELL2 --EXTRACT+ PETROLEUM OR NATURAL GAS F A NATURAL A3UMUL,N ( PETROLEUM OR NATURAL GAS2 --PROCESS+ NATURAL GAS OR OIL Z DESCRIB$ 9 ! DEF9I;N ( 8,CANADIAN FIELD PROCESS+0 9 SUBSEC;N #BDH7#A72 #AG ,,IT-#ADE;,R-,CONSOLID E#C --PROCESS+ NATURAL GAS Z "P (! BUSI;S ( SELL+ OR 4TRIBUT+ GAS 9 ! C\RSE ( OP]AT+ A PUBLIC UTIL;Y2 & --PROCESS+ H1VY CRUDE OIL RECOV]$ F A NATURAL RES]VOIR 9 ,CANADA 6A /AGE T IS N 2Y ! CRUDE OIL /AGE OR XS EQUIVAL5T4 ,NOTE3 ! PROCESS+ ( NATURAL GAS AT --A 8/RA4LE PLANT01 OR --A NATURAL GAS PROCESS+ PLANT 7OR "PS ( S* A PLANT7 T IS DEVOT$ PRIM>ILY 6! RECOV]Y ( E?ANE IS A QUALIFI$ PROCESS+ ACTIV;Y4 ,ELECTRICAL ,5]GY & ,/1M 7P>AGRAPH #AB7 #AB4 ,! PRODUC;N OR PROCESS+ ( ELECTRICAL 5]GY OR /1M US$ DIRECTLY OR 9DIRECTLY 0TAXPAY]S 9 _! [N MANUFACTUR+ OR PROCESS+ #AH ,,IT-#ADE;,R-,CONSOLID F#C ACTIVITIES IS G5],Y 3SID]$ 6BE A QUALIFI$ ACTIV;Y4 ,H["E1 0VIRTUE ( P>AGRAPH 7H7 (! DEF9I;N ( 8MANUFACTUR+ OR PROCESS+0 9 SUBSEC;N #ABE.A7#C71 PRODUC+ OR PROCESS+ ELECTRICAL 5]GY OR /1M1 = SALE1 IS SPECIFIC,Y EXCLUD$ --------------------------------------#D F 2+ MANUFACTUR+ OR PROCESS+ & ^? ACTIVITIES D N QUALIFY =! MANUFACTUR+ & PROCESS+ PR(ITS DEDUC;N "U SUBSEC;N #ABE.A7#A74 ,N"E!.S1 A CORPOR,N T G5]ATES ELECTRICAL 5]GY = SALE OR PRODUCES /1M = SALE 79CLUD+ = USES O!R ?AN ! G5],N ( ELECTRIC;Y7 MAY QUALIFY =A SEP>ATE MANUFACTUR+ & PROCESS+ PR(ITS DEDUC;N "U SUBSEC;N #ABE.A7#B7 PURSUANT 6A =MULA4 ,"U SUBSEC;N #ABE.A7#E71 =! PURPOSE ( C]TA9 "PS ( ? =MULA1 ELECTRICAL 5]GY & /1M >E DEEM$ 6BE GDS &! G5],N ( ELECTRICAL 5]GY = SALE &! PRODUC;N ( /1M = SALE >E DEEM$ 6BE MANUFACTUR+ OR PROCESS+1 SUBJECT 6! #AJ@3P DE M9IMIS RULE4 ,H["E1 ! SMALL MANUFACTUR]S' RULE 7SEE #AI ,,IT-#ADE;,R-,CONSOLID A#D P>AGRAPH #AD7 DOES N APPLY =! PURPOSE (! CALCUL,N 9 SUBSEC;N #ABE.A7#B74 ,NOT)/&+ ? SEP>ATE DEDUC;N1 EQUIP;T US$ 9 S* ACTIVITIES DOES N QUALIFY = 9CLU.N 9 ,CLASS #DC4 ,ADJU/$ ,BUSI;S ,9COME 7P>AGRAPH #AD7 #AC4 ,! T]M 8ADJU/$ BUSI;S 9COME01 Z DEF9$ 9 SEC;N #EBJB (! ,REGUL,NS1 IS ! EXCESS (A CORPOR,N'S 9COME F ACTIVE BUSI;S C>RI$ ON 9 ,CANADA OV] XS LOSSES F SIMIL> BUSI;SES4 ,! DEF9I;N 9CLUDES ! CORPOR,N'S %>E ( ACTIVE BUSI;S 9COME F A "PN]%IP B DOES N 9CLUDE 9COME F AN ACTIVE BUSI;S C>RI$ ON \TSIDE ,CANADA4 ,9 A4I;N1 IF A CORPOR,N HAS 8RES\RCE ACTIVITIES0 7Z DEF9$ 9 SUBSEC;N #EBJC7#B7 (! ,REGUL,NS7 =A TAX,N YE>1 SUBSEC;N #EBJC7#A7 (! ,REGUL,NS PROVIDES T XS ADJU/$ BUSI;S #BJ ,,IT-#ADE;,R-,CONSOLID B#D 9COME 2 REDUC$ 0! AM.T1 IF ANY1 (! TOTAL (3 7A7 ! AM.T 0: XS 8NET RES\RCE 9COME0 7Z DEF9$ 9 SUBSEC;N #EBJC7#C7 (! ,REGUL,NS7 =! YE> EXCE$S XS 8NET RES\RCE ADJU/;T0 7Z DEF9$ 9 SUBSEC;N #EBJC7#C.A7 (! ,REGUL,NS7 =! YE>2 7B7 ! AM.T ( 8REFUND 9T]E/0 7Z DEF9$ 9 SUBSEC;N #EBJC7#D7 (! ,REGUL,NS7 9CLUD$ 9 BO? XS 9COME & ADJU/$ BUSI;S 9COME =! YE>2 & 7C7 ! AM.TS 9CLUD$ 9 XS 9COME =! YE> =A PRESCRIB$ RES\RCE LOSS "U P>AGRAPH #AB7#A77Z4#E74 ,NOTE3 ,! ,NOTICE ( ,WAYS & ,M1NS ,MO;N ANN\NC$ 9 ,F9.E ,CANADA'S ,NEWS ,REL1SE #BJJC-JCJ DAT$ ,JUNE #F1 #BJJC PROPOSES C]TA9 *ANGES 6! ABV CALCUL,N4 ,IF 5ACT$ Z PROPOS$1 ! DEF9I;N ( 8ADJU/$ BUSI;S 9COME0 9 SUBSEC;N #EBJC7#A7 (! ,REGUL,NS & #BA ,,IT-#ADE;,R-,CONSOLID C#D 8RES\RCE ACTIVITIES0 9 SUBSEC;N #EBJC7#B7 (! ,REGUL,NS W 2 AM5D$ 3SEQU5TIAL ^U ! REP1L ( P>AGRAPHS #AB7#A77Z4#E7 & #BJ7#A77V4#A71 RESPECTIVELY1 = TAX,N YE>S T 2G9 AF #BJJF4 ,9 A4I;N1 APPLICA# 6TAX,N YE>S T 2G9 AF #BJJF & 3SEQU5TIAL ^U ! REP1L ( P>AGRAPHS #AB7#A77O7 & #AH7#A77M71 ! DEF9I;N ( 0 REFUND 9T]E/0 W 2 AM5D$ Z ( T DATE4 ,SMALL ,MANUFACTUR]S 7P>AGRAPH #AD7 #AD4 ,SEC;N #EBJA (! ,REGUL,NS PROVIDES T A CORPOR,N W RCV ! REDUC$ RATE ( TAX ON ALL ( XS ADJU/$ BUSI;S 9COME IF1 9 ANY "PICUL> TAX,N YE>1 X MEETS ALL (! FOLL[+ TE/S3 7A7 ,XS ACTIVITIES >E PRIM>ILY MANUFACTUR+ OR PROCESS+ 9 ,CANADA ( GDS = SALE OR L1SE4 #BB ,,IT-#ADE;,R-,CONSOLID D#D 7B7 ,XS 9COME & T ( ANY ASSOCIAT$ CORPOR,NS D N 9 ! A7REGATE EXCE$ 4#BJJ1JJJ4 7C7 ,X IS N 5GAG$ 9 ANY (! ACTIVITIES ( F>M+1 FI%+1 LO7+1 3/RUC;N OR SPECIFI$ RES\RCE ACTIVITIES4 7D7 ,X IS N 5GAG$ 9 A =EIGN ACTIVE BUSI;S4 7E7 ,X IS N 5GAG$ 9 ! PROCESS+ ( =EIGN T> S&S & ORE4 ,! ,,CCRA'S VIEW IS T ! T]M 8PRIM>ILY0 Z US$ 9 P>AGRAPH #EBJA7A7 (! ,REGUL,NS M1NS 8PR9CIP,Y0 OR 8*IEFLY04 ,S9CE ! ACTIVITIES (A CORPOR,N >E G5],Y C>RI$ ON 0XS EMPLOYEES1 ! ,,CCRA W LOOK AT _! ACTIVITIES 6DET]M9E :E!R !Y >E PR9CIP,Y OR *IEFLY MANUFACTUR+ OR PROCESS+ OR "S?+ ELSE4 ,9 "S 9DU/RIES1 ! USE (! -PANY'S ASSETS 9 MANUFACTUR+ OR PROCESS+ ACTIVITIES MAY AL 2 3SID]$ ": ! USE ( LAB\R DOES N A3URATELY REFLECT ! PR9CIPAL ACTIVITIES (! CORPOR,N4 #BC ,O!R ,CORPOR,NS E#D 7P>AGRAPH #AE7 #AE4 ,": A CORPOR,N DOES N QUALIFY "U ! SMALL MANUFACTUR]S' RULE1 X M/ LOOK AT ! DEF9I;NS 3TA9$ 9 SEC;N #EBJB (! ,REGUL,NS & DET]M9E ! AM.TS NE$$ =! =MULA 3TA9$ 9 SEC;N #EBJJ (! ,REGUL,NS4 ,? =MULA PROVIDES T ! CORPOR,N'S ,CANADIAN MANUFACTUR+ & PROCESS+ PR(ITS >E EQUAL 6XS ADJU/$ BUSI;S 9COME 7SEE P>AGRAPH #AC7 MULTIPLI$ 0A FRAC;N EQUAL 6! SUM (! CORPOR,N'S LAB\R & CAPITAL T IS US$ 9 MANUFACTUR+ OR PROCESS+ OV] ! SUM (! CORPOR,N'S TOTAL LAB\R & TOTAL CAPITAL4 ,_M CORPOR,NS MAY H DI6ICULTY 9 DET]M9+ ! AM.TS REQUIR$ "U SEC;N #EBJB4 ,": A CORPOR,N C R1DILY OBTA9 9=M,N T IS R1SONABLY SIMIL> 6T REQUIR$ 9 SEC;N #EBJB1 X W 2 A3EPTA# = PURPOSES (! =MULA1 PROVID$1 ( C\RSE1 T NO SIGNIFICANT 4TOR;N (! =MULA RESULTS4 #BD ,CO/ ( ,LAB\R F#D ,ME?OD ( ,DET]M9+ ,CO/ ( ,LAB\R 7P>AGRAPH #AF7 #AF4 ,P]H ! MO/ SIGNIFICANT PRO#M A CORPOR,N W FACE 9 CALCULAT+ XS ,CANADIAN MANUFACTUR+ & PROCESS+ PR(ITS IS H[ 6DET]M9E XS 8CO/ ( LAB\R0 7Z DEF9$ 9 SEC;N #EBJB (! ,REGUL,NS74 ,! SIMPLE/ ME?OD G5],Y W 2 AN ANALYSIS (! ;,T-#D SLIPS4 ,? W 2 "PICUL>LY SUITA# =A CORPOR,N )A TAX,N YE> 5D+ ON ,DECEMB] #CA1 & W AL 2 A3EPTA# = _M CORPOR,NS ^: TAX,N YE>S D N 5D ON ,DECEMB] #CA1 PROVID$ T ! TOTAL ( WAGES & SAL>IES Z --------------------------------------#E %[N 0! ;,T-#D SLIPS APPROXIMATES ! TOTAL ( WAGES & SAL>IES =! FISCAL YE>4 ,=A CORPOR,N )A CO/ A3.T+ SY/EM1 AN ANALYSIS ( SAL>IES & WAGES 0CO/ C5TRE MAY 2 M PRACTICAL4 ,X MAY HAPP5 T ! FIGURES MO/ R1DILY AVAILA# = CALCULAT+ CO/ ( LAB\R 9CLUDE C]TA9 AM.TS #BE ,,IT-#ADE;,R-,CONSOLID A#E 7S* Z FR+E B5EFITS7 T D N =M "P ( SAL>IES & WAGES ON A /RICT 9T]PRET,N (! T]M4 ,": ^! AM.TS >E 9SIGNIFICANT 9 REL,N 6! TOTAL SAL>IES & WAGES (! CORPOR,N1 ! ,,CCRA W N 9SI/ ON _! REMOVAL F ! TOTAL4 ,": AM.TS >E ALL[$ Z A DEDUC;N AT YE> 5D Z BONUSES T >E PAYA# 6SPECIFIC EMPLOYEE1 ^! AM.TS WD =M "P (! 8CO/ ( LAB\R04 ,9T]PRET,N ( 8,NORM,Y0 7P>AGRAPH #AG7 #AG4 ,9 A4I;N 6SAL>IES & WAGES PD OR PAYA# 6A CORPOR,N'S EMPLOYEES1 AM.TS PD OR PAYA# 6?IRD "PIES = S]VICES T WD NORM,Y 2 P]=M$ 0! CORPOR,N'S [N EMPLOYEES =M "P (! CO/ ( LAB\R4 ,! T]M 8NORM,Y0 M1NS 8-MONLY01 8USU,Y01 OR 8"U NORMAL OR ORD9>Y 3DI;NS04 ,X WD APPLY 9 CASES ": A CORPOR,N USU,Y P]=MS C]TA9 S]VICES OR FUNC;NS XF B = "S R1SON1 S* Z LACK ( CAPAC;Y1 %ORT- RUN ECONOMIC 3DI;NS1 LAB\R #BF ,,IT-#ADE;,R-,CONSOLID B#E PRO#MS1 OR MA*9]Y BR1KD[NS1 HAS SUBLET ALL OR "P (! "W 6?IRD "PIES4 ,X IS ! ,,CCRA'S VIEW T :AT IS 8NORM,Y ''' P]=M$0 IS DET]M9$ 9 ! 3TEXT (A 8S]VICE OR FUNC;N0 (A "PICUL> CORPOR,N & N 9 3TEXT (! 9DU/RY OR A DIVI.N (! CORPOR,N4 ,^? CORPOR,NS OP]AT+ 9 M ?AN "O PROV9CE W ALR H EXP]I;E 9 CALCULAT+ ^! AM.TS = PURPOSES ( ALLOCAT+ 9COME 6V>I\S PROV9CES "U SUBSEC;N #DJB7#G7 (! ,REGUL,NS4 ,D\# ,C.T+ ,PRO#M 7P>AGRAPH #AH7 #AH4 ,A PRO#M W O3UR 9 A GR\P ( ASSOCIAT$ CORPOR,NS ": "O CORPOR,N ACTS Z A 8PAYMA/]0 =! O!RS4 ,6MITIGATE ! D\# C.T+ E6ECT T W O3UR :5 TWO ASSOCIAT$ CORPOR,NS 9CLUDE ! SAME WAGES 9 _! CO/ ( LAB\R1 ! ,,CCRA W ALL[ ! -PANY PAY+ ! SAL>IES & WAGES 6TR1T ^! AM.TS Z NET ( AM.TS RCVD OR RECEIVA# F ASSOCIAT$ CORPOR,NS 9 #BG ,,IT-#ADE;,R-,CONSOLID C#E RESPECT ( ^! EXP5SES1 PROVID$ T ? IS D"O = BO? QUALIFI$ & NON-QUALIFI$ ACTIVITIES C>RI$ ON 0! EMPLOYEES4 ,CO/ ( ,CAPITAL ,PRE-#AIDI ,ASSETS 7P>AGRAPH #AI7 #AI4 ,SUBSEC;N #ADD7#A7 (! PRE-#AIGB ,ACT DEEMS ! CAPITAL CO/ ( ASSETS ACQUIR$ PRIOR 6! #AIDI TAX,N YE> (A CORPOR,N 6BE1 9 MO/ CASES1 ! UNDEPRECIAT$ CAPITAL CO/ ( ^? ASSETS AT ! 2G9N+ ( T YE>4 ,H["E1 ? SEC;N IS ONLY APPLICA# = PURPOSES ( SEC;N #BJ & REGUL,NS MADE "U P>AGRAPH #AA7#A77A7 (! PRE-#AIGB ,ACT & ?US DOES N APPLY 6SEC;N #ABE.A (! PRES5T ,ACT4 ,S9CE MO/ CORPOR,NS W H _! #AIDI DEEM$ CAPITAL CO/ FIGURES R1DILY AVAILA#1 ! ,,CCRA W A3EPT ^! FIGURES Z 2+ ! GROSS CO/ ( S* ASSETS PROVID$ T ^! FIGURES >E US$ = ALL ASSETS [N$ PRIOR #BH ,,IT-#ADE;,R-,CONSOLID D#E 6#AIDI4 ,A CORPOR,N MAY USE ! ORIG9AL CO/ ( ALL S* ASSETS1 IF X WI%ES4 ,ASSETS ,WRITT5 ,(F 7P>AGRAPH #BJ7 #BJ4 ,9 _M CASES1 ! ,ACT P]MITS T ASSETS MAY 2 WRITT5 (F 6EXP5SE & ?US NO RECORD MAY 2 AVAILA# ( ^? ASSETS / ON H&4 ,! BE/ EXAMPLE ( ? IS CLASS #AB ASSETS T 9CLUDE1 AM;G O!R ?+S1 TOOLS & SMALL 9/RU;TS CO/+ LESS ?AN 4#BJJ1 DIES & PATT]NS4 ,": ! VALUE ( ^! ASSETS / 9 USE IS N SIGNIFICANT 9 REL,N 6O!R ASSETS (! CORPOR,N1 ! ,,CCRA W N REQUIRE _! 9CLU.N 9 ! CO/ ( CAPITAL4 ,R5T$ ,PROP]TY 7P>AGRAPH #BA7 #BA4 ,! AM.T 6BE 9CLUD$ Z ! 8R5TAL CO/0 7Z DEF9$ 9 SEC;N #EBJB (! ,REGUL,NS7 ( PROP]TY IS ! AM.T REQUIR$ 6BE PD "U ! L1SE OR R5TAL AGREE;T REG>D.S ( #BI ,,IT-#ADE;,R-,CONSOLID E#E :E!R ! AGREE;T IS ON A 8NET0 OR 8GROSS0 BASIS4 ,": ! PROP]TY R5T$ 9CLUDES L& & BUILD+S1 AN ALLOC,N (! R5TAL %D 2 MADE BAS$ ON A SPLIT 2T L& & BUILD+ ON "S R1SONA# BASIS1 & ONLY ! POR;N (! R5TAL APPLICA# 6! BUILD+ %D 2 9CLUD$ 9 ! R5TAL CO/4 ,ROYALTY ,PAY;TS 7P>AGRAPH #BB7 #BB4 ,ROYALTY PAY;TS >E 3SID]$ 6QUALIFY Z R5TAL CO/S "U 8CO/ ( CAPITAL0 9 P>AGRAPH 7B7 (! DEF9I;N ( T T]M 9 SEC;N #EBJB (! ,REGUL,NS PROVID$ !Y >E PAY;TS MADE 9 RESPECT ( PROP]TY T1 IF [N$ 0! CORPOR,N AT ! 5D (A YE>1 WD H BE5 9CLUD$ 9 P>AGRAPH 7A7 (! DEF9I;N ( 8CO/ ( CAPITAL0 9 SEC;N #EBJB (! ,REGUL,NS4 #CJ ,TELEPH"O & ,TELEGRAPH F#E ,R5TALS 7P>AGRAPH #BC7 #BC4 ,S9CE AN A3URATE ALLOC,N ( R5TAL *>GES =! USE ( TELECOMMUNIC,N EQUIP;T IS IMPOSSI#1 ! ,,CCRA W N REQUIRE _! 9CLU.N 9 CALCULAT+ CO/ ( CAPITAL4 ,D\# ,C.T+ ,PRO#M 7P>GRAPH #BD7 #BD4 ,A D\# C.T+ PRO#M O3URS 9 A GR\P ( ASSOCIAT$ CORPOR,NS ": A *>GE IS MADE 0"O CORPOR,N 9 ! GR\P 6ANO!R CORPOR,N =! USE (A BUILD+ T X [NS OR R5TS4 ,= EXAMPLE1 IF ,CORPOR,N ;,A PAYS 4#AJJ1JJJ R5T = AN (FICE BUILD+ & *>GES ,CORPOR,N ;,B 7A RELAT$ CORPOR,N7 4#GE1JJJ =! USE ( #C OV] #D ( T BUILD+1 ! 4#GE1JJJ R5TAL *>GE APPE>S 9 ! DENOM9ATOR (! FRAC;N 9 ! =MULA ( BO? CORPOR,NS &1 9 E6ECT1 IS C.T$ TWICE 6! DETRI;T (! GR\P ( CORPOR,NS Z A :OLE4 ,6ALLEVIATE ? 9EQU;Y1 ! ,,CCRA W ALL[ R5TS PD #CA ,,IT-#ADE;,R-,CONSOLID G#E =A PROP]TY 6BE NETT$ ) R5TS RCVD OR RECEIVA# F RELAT$ CORPOR,NS =! USE ( T PROP]TY4 ,IF ! CORPOR,N --------------------------------------#F RCVG S* R5TS [NS ! BUILD+1 X MAY EXCLUDE ! POR;N (! CAPITAL CO/ (! BUILD+ T RELAT$ 6! >EA R5T$ 6RELAT$ CORPOR,NS F XS CO/ ( CAPITAL CALCUL,N4 ,QUALIFI$ ,ACTIVITIES ,DEF9I;N 7P>AGRAPH #BE7 #BE4 ,! DEF9I;N ( 8QUALIFI$ ACTIVITIES0 9 SEC;N #EBJB (! ,REGUL,NS IS RELEVANT = PURPOSES ( DET]M9+ :AT AM.T (A CORPOR,N'S LAB\R & CAPITAL IS 3SID]$ 6BE MANUFACTUR+ & PROCESS+ LAB\R & CAPITAL4 ,9 A4I;N 6^? ACTIVITIES T >E MANUFACTUR+ OR PROCESS+ )9 ! ORD9>Y M1N+ (! T]M1 ? SEC;N SPECIFIES S"EAL ACTIVITIES T >E 3SID]$ 6BE EI QUALIFI$ OR NONQUALIFI$4 #CB ,RCVG & ,/OR+ ( ,RAW A#F ,MAT]IALS 7P>AGRAPH #BF7 #BF4 ,RCVG & /OR+ ( RAW MAT]IALS >E QUALIFI$ ACTIVITIES4 ,:ILE ACTIVITIES RELAT$ 6! RCVG ( RAW MAT]IALS AWAY F A TAXPAY]'S PLANT OR W>EH\SE >E 3SID]$ 6QUALIFY1 ACTIVITIES RELAT$ 6! TRANSPORT,N (! RAW MAT]IALS 6! PLANT OR W>EH\SE >E N 3SID]$ 6BE 8RCVG OR /OR+0 NOT)/&+ T ! TRANSPORT,N MAY 2 PROVID$ 0! TAXPAY]'S [N VEHICLE & X MAY N TAKE PLACE UNTIL AF ! "T ( ACTUAL RCVG (! GDS4 ,L9E ,SUP]VI.N VS4 ,ADM9I/R,N 7P>AGRAPH #BG7 #BG4 ,! T]MS 8L9E SUP]VI.N0 7A QUALIFI$ ACTIV;Y7 & 8ADM9I/R,N0 7A NONQUALIFI$ ACTIV;Y7 MAY 2 3FUS+4 ,! ,,CCRA VIEWS 8ADM9I/R,N0 Z 2+ ! FUNC;N ( DET]M9+ CORPORATE POLICY & CO-ORD9AT+ V>I\S ACTIVITIES 7PRODUC;N1 SELL+1 ETC47 (! CORPOR,N AT ! MANAGE;T LEVEL4 #CC ,,IT-#ADE;,R-,CONSOLID B#F 8,L9E SUP]VI.N01 ON ! O!R H&1 REF]S 6! L9E ( AU?OR;Y = SUP]VI.N (! MANUFACTUR+ OR PROCESS+ ACTIVITIES (A CORPOR,N 6! PO9T ": ! ACTIVITIES (! SUP]VISOR C 2 SD 6BE ADM9I/RATIVE4 ,S9CE JOB TITLES & RESPONSIBILITIES V>Y 3SID]ABLY F 9DU/RY 69DU/RY1 ID5TIFY+ "PICUL> POSI;NS 3SID]$ 6BE ADM9I/RATIVE IS N POSSI#4 ,H["E1 ! P]SONS :O =M "P (! V]TICAL L9E ( SUP]VI.N (! MANUFACTUR+ OR PROCESS+ ACTIVITIES (A CORPOR,N1 EXCEPT ^? 9VOLV$ )! DET]M9,N ( CORPORATE POLICY OR ! CO-ORD9,N (! PRODUC;N FACILITIES1 MAY 2 SD 6QUALIFY4 ,9 MO/ CASES1 ! DIVID+ L9E W O3UR1 AT1 OR "S": NE>1 ! PLANT MANAG]4 ,DATA ,PROCESS+ 7P>AGRAPH #BH7 #BH4 ,"O (! NONQUALIFI$ ACTIVITIES IS DATA PROCESS+4 ,? T]M IS 9T5D$ 6EXCLUDE A3.T+ ACTIVITIES T >E M]ELY ANCILL>Y 6A MANUFACTUR+ OP],N4 #CD ,,IT-#ADE;,R-,CONSOLID C#F ,H["E1 ": A -PUT] IS US$ Z AN 9TEGRAL "P (A MANUFACTUR+ PROCESS OR O!R QUALIFI$ ACTIV;Y1 T POR;N (! CO/ (! -PUT] T REFLECTS ! EXT5T 6: ! -PUT] IS US$ DIRECTLY 9 ! QUALIFI$ ACTIV;Y IS 9CLUD$ 9 ! CO/ ( MANUFACTUR+ & PROCESS+ CAPITAL4 ,SIMIL>LY1 ! POR;N ( "T ! -PUT] /AFF SP5DS DIRECTLY 5GAG$ 9 QUALIFI$ ACTIVITIES IS 9CLUD$ 9 ! CO/ ( MANUFACTUR+ & PROCESS+ LAB\R4 ,AN EXAMPLE (A DIRECT APPLIC,N (A -PUT] 6A MANUFACTUR+ OP],N IS ": ! -PUT] 3TROLS & DIRECTS ! MANUFACTUR+ & PROCESS+ EQUIP;T4 ,! -PIL,N ( CO/ RECORDS1 PAYROLLS1 ETC41 0A -PUT] IS N 3SID]$ 6BE A QUALIFI$ ACTIV;Y4 ,/OR+ ( ,F9I%$ ,GDS 7P>AGRAPH #BI7 #BI4 ,/OR+1 %IPP+1 SELL+ & L1S+ ( F9I%$ GDS >E NONQUALIFI$ ACTIVITIES4 ,IF A GD C 2 SOLD 9 BULK1 B IS PACKAG$ =! 3V5I;E ( MAK+ ! SALE OR 2C ! #CE ,,IT-#ADE;,R-,CONSOLID D#F TAXPAY] C RCV A HI<] PRICE IF ! PRODUCT IS PLAC$ 9 PACKAGES1 X W G5],Y 2 3SID]$ 6BE A F9I%$ GD 2F PACKAG+ TAKES PLACE4 ,H["E1 A HOMOG5\S PRODUCT T 9 ! USUAL CASE M/ 2 BROK5 F BULK & PACKAG$ 2F X IS CAPA# ( SALE IS G5],Y N 3SID]$ 6BE A F9I%$ GD UNTIL AF ! "T X IS PACKAG$4 ,CO/ ( ,MANUFACTUR+ & ,PROCESS+ ,LAB\R & ,CAPITAL ,"T ,SP5T 9 ,QUALIFI$ ,ACTIVITIES 7P>AGRAPHS #CJ-CC7 #CJ4 ,! 8CO/ ( MANUFACTUR+ & PROCESS+ LAB\R0 7Z DEF9$ 9 SEC;N #EBJB (! ,REGUL,NS7 9CLUDES SAL>IES & WAGES PD 6EMPLOYEES =! POR;N ( _! "T T !Y 7 DIRECTLY 5GAG$ 9 QUALIFI$ MANUFACTUR+ OR PROCESS+ ACTIVITIES &! POR;N ( PAY;TS 6?IRD "PIES 9CLUD$ 9 ! CO/ ( LAB\R = S]VICES DIRECTLY RELAT$ 6QUALIFI$ ACTIVITIES4 #CF ,,IT-#ADE;,R-,CONSOLID E#F #CA4 ,_M EMPLOYEES MAY SP5D RELATIVELY M9OR AM.TS ( _! "T 9 ACTIVITIES O!R ?AN _! PRIM>Y ACTIV;Y4 ,6ALLEVIATE ! TASK ( MAK+ NUM]\S ALLOC,NS & CALCUL,NS 9 DET]M9+ ! CO/ ( MANUFACTUR+ & PROCESS+ LAB\R1 ! ,,CCRA W A3EPT ! ADM9I/RATIVE PRACTICE ( ALLOCAT+ ALL ( AN EMPLOYEE'S "T 6HIS PRIM>Y ACTIV;Y ": X IS R1SONA# 6ASSUME T M ?AN #GE P] C5T ( T EMPLOYEE'S "T IS SP5T 9 8 PRIM>Y ACTIV;Y4 ,( C\RSE1 ": ? PRACTICE IS FOLL[$1 X M/ 2 APPLI$ :E!R OR N ! PRIM>Y ACTIV;Y IS MANUFACTUR+ OR PROCESS+4 ,A #EJ-EJ SPLIT ( AN EMPLOYEE'S "T IS A3EPTA# ": X IS R1SONA# 6ASSUME T 2T #EJ & #GE P] C5T ( 8 "T IS SP5T 9 8 PRIM>Y ACTIV;Y4 #CB4 ,MO/ P]SONS 9 A DE"P;T OR DIVI.N :O >E C>RY+ ON A QUALIFI$ ACTIV;Y 75G9E]+ DESIGN1 QUAL;Y 3TROL1 ETC47 >E 3SID]$ 6BE DIRECTLY 5GAG$ 9 QUALIFI$ ACTIVITIES4 ,H["E1 CL]ICAL & ADM9I/RATIVE /AFF )9 T DE"P;T OR DIVI.N 7S* Z /5OGRAPH]S1 TYPI/S1 #CG ,,IT-#ADE;,R-,CONSOLID F#F SECRET>IES & A3.T+ P]SONNEL7 >E N 3SID]$ 6BE DIRECTLY 5GAG$ 9 QUALIFI$ ACTIVITIES4 --------------------------------------#G #CC4 ,": A BONUS IS PAYA# 6AN EMPLOYEE :O IS DIRECTLY 5GAG$ 9 MANUFACTUR+ OR PROCESS+ ACTIVITIES & IS AL 5GAG$ 9 NONQUALIFI$ ACTIVITIES S* Z ADM9I/R,N1 ! POR;N (! BONUS EQUAL 6! P]C5TAGE ( "T T EMPLOYEE SP5T DIRECTLY 9 QUALIFI$ ACTIVITIES W 2 A3EPT$ 0! ,,CCRA Z "P (! CO/ ( MANUFACTUR+ & PROCESS+ LAB\R4 ,M1N+ ( 8,US$ ,DIRECTLY0 7P>AGRAPH #CD7 #CD4 ,! 8CO/ ( MANUFACTUR+ & PROCESS+ CAPITAL0 7Z DEF9$ 9 SEC;N #EBJB (! ,REGUL,NS7 IS T POR;N (! CO/ ( CAPITAL T REFLECTS ! EXT5T 6: EA* ASSET IS US$ DIRECTLY 9 QUALIFI$ ACTIVITIES4 ,! T]M 8US$ DIRECTLY0 REF]S 6^? ASSETS T >E AN 9TEGRAL & ESS5TIAL "P (! "PICUL> QUALIFI$ ACTIV;Y 2+ C>RI$ ON4 ,9 #CH ,,IT-#ADE;,R-,CONSOLID A#G ALL CASES1 ! NATURE (! ACTIV;Y ) : AN ASSET IS 3NECT$1 & N ! NATURE (! ASSET1 %D 2 EXAM9$ 6DET]M9E XS USE4 ,9 ! CASE (A BUILD+ : H\SES BO? PLANT EQUIP;T & ADM9I/RATIVE (FICES1 AN APPOR;N;T ( CO/ IS NEC4 ,G5],Y1 (FICE FURNITURE & EQUIP;T IS N 3SID]$ 6BE US$ DIRECTLY 9 QUALIFI$ ACTIVITIES UN.S ! "PICUL> ITEM ( EQUIP;T IS US$ SOLELY 0A P]SON 5GAG$ 9 A QUALIFI$ ACTIV;Y4 ,W>EH\S+ ,CO/S 7P>AGRAPH #CE7 #CE4 ,A PRO#M C >ISE 9 SEP>AT+ W>EH\S+ LAB\R & CAPITAL CO/S T >E QUALIFI$ ACTIVITIES =! PURPOSE ( CALCULAT+ MANUFACTUR+ & PROCESS+ LAB\R & CAPITAL US$ 9 ! =MULA 9 SEC;N #EBJJ (! ,REGUL,NS 7I4E4 ! /OR+ ( GDS PUR*AS$ = PROCESS+7 F ^? T >E N 7I4E4 /OR+ ( GDS PUR*AS$ ONLY = RESALE74 ,G5],Y ! SEP>,N ( ^! CO/S IS DI6ICULT & >BITR>Y 2C 9 _M 9/.ES NO SEP>ATE #CI ,,IT-#ADE;,R-,CONSOLID B#G ID5TIFIC,N ( ^! CATEGORIES ( GDS IS POSSI#4 ,X IS 3SID]$ T "O ME?OD MIS OR TONS7 ( PROCESS$ GDS & NON-PROCESS$ GDS4 ,IF ! AV]AGE "T SP5T 9 /ORAGE 0RAW MAT]IALS PUR*AS$ = PROCESS+ IS GRT] OR LESS] ?AN ! AV]AGE "T SP5T 9 /ORAGE 0MAT]IALS PUR*AS$ = RESALE1 X MAY 2 NEC 6WEI< ANY CALCUL,NS 6PRODUCE A R1SONA# RESULT4 ,S9CE A #AJ 6#BJ@3P V>I.E 9 ! P]C5TAGE ( QUALIFI$ W>EH\S+ LAB\R & CAPITAL CO/S WD N USU,Y SIGNIFICANTLY E6ECT ! =MULA 9 SEC;N #EBJJ (! ,REGUL,NS1 X IS N NORM,Y NEC T ! TAXPAY] MAKE ELABORATE CALCUL,NS 6SEP>ATE ^! CO/S4 ,H["E1 ANY P]C5TAGES US$ %D 2 R1SONA# & H "S LOGICAL BASIS4 ,"PICUL> ,9DU/RIES 7P>AGRAPH #CF7 #CF4 ,A FEW 9DU/RIES MAY H DI6ICULTY 9 DET]M9+ ! PO9T AT : MANUFACTUR+ OR PROCESS+ 2G9S & 5DS4 ,! ,,CCRA'S #DJ ,,IT-#ADE;,R-,CONSOLID C#G VIEWS 3C]N+ ! DEL9E,N ( QUALIFI$ & NONQUALIFI$ MANUFACTUR+ OR PROCESS+ ACTIVITIES 9 "S ( ^! 9DU/RIES >E Z FOLL[S4 ,CA# ,TELEVI.N 7P>AGRAPH #BG7 #CG4 ,! CAPTUR+ & DELIV]+ ( AIR SIGNALS 0A CA# TELEVI.N -PANY IS N 3SID]$ 6BE MANUFACTUR+ OR PROCESS+ ( GDS4 ,-PUT] ,S]VICES 7P>AGRAPH #CH7 #CH4 ,"! >E P]H F\R DI6]5T TYPES ( BUSI;S C>RI$ ON 9 ! -PUT] S]VICE 9DU/RY4 ,^! >E3 7A7 -PUT] 3SULT+ S]VICES2 7B7 -PUT] GRAPHIC S]VICES2 7C7 -PUT] NET"W+ S]VICES2 & 7D7 S(TW>E OR PROGRAMM+ S]VICES 7! PREP>,N ( -PUT] PROGRAMS74 ,-PUT] 3SULT+1 GRAPHIC & NET"W+ FIRMS >E PRIM>ILY R5D]+ S]VICES 6_! #DA ,,IT-#ADE;,R-,CONSOLID D#G CU/OM]S R ?AN SELL+ GDS2 3SEQU5TLY _! ACTIVITIES D N QUALIFY Z MANUFACTUR+ OR PROCESS+ GDS = SALE OR L1SE4 ,! SALE OR L1SE ( -PUT] S(TW>E IS 3SID]$ 6BE ! SALE ( 9=M,N &1 Z A RESULT1 ! CO/S ( DEVELOP+ ! S(TW>E WD N QUALIFY Z MANUFACTUR+ OR PROCESS+ ( GDS4 ,": S(TW>E IS TRANSMITT$ 0WAY ( TANGI# PROP]TY1 S* Z TAPES1 DISKETTES OR -PACT DISCS1 ^? ACTIVITIES T RELATE 6! MANUFACTURE OR PROCESS ( ? PROP]TY1 S* Z PRODUC+ A CL1N -PIL,N & TE/+ ! PROGRAM1 WD 2 3SID]$ QUALIFI$ ACTIVITIES4 ,DRUG/ORES 7P>AGRAPH #CI7 #CI4 ,! MIX+ ( V>I\S LIQUIDS OR -P.DS :5 PREP>+ A DRUG PRESCRIP;N IS 3SID]$ 6BE PROCESS+4 ,H["E1 ! FILL+ ( PRESCRIP;NS 0PLAC+ LABELS ON PRODUCTS ALR 9 _! [N 3TA9] OR 0! PLAC+ ( PILLS1 CAPSULES OR LIQUIDS PUR*AS$ 9 BULK 96SMALL 3TA9]S #DB ,,IT-#ADE;,R-,CONSOLID E#G & LABELL+ !M IS N 3SID]$ 6QUALIFY Z MANUFACTUR+ OR PROCESS+4 ,FILMS & ,VIDEOTAPES 7P>AGRAPH #DJ7 #DJ4 ,": A CORPOR,N IS 5GAG$ 9 ! PRODUC;N ( MO;N PICTURE FILMS OR PROGRAMMES ON VIDEOTAPE1 ! ACTIVITIES T WD QUALIFY Z MANUFACTUR+ OR PROCESS+ WD 9CLUDE PREP>,N & $IT+ (! SCRIPT1 MANUFACTURE ( SCRE5 SETS & PROPS1 ACT+1 DIRECT+1 LIAGRAPH #DA7 #DA4 ,! ACTIVITIES 3NECT$ )! PROCESS+ ( FILM 96PR9TS & SLIDES1 NEGATIVES #DC ,,IT-#ADE;,R-,CONSOLID F#G 96PR9TS &! 5L>G+ ( PR9TS >E 3SID]$ 6BE QUALIFI$ ACTIVITIES4 ,PR9T+ & ,PUBLI%+ 7P>AGRAPH #DB7 #DB4 ,! ACTIVITIES (A PR9T+ OR PUBLI%+ FIRM T QUALIFY Z MANUFACTUR+ OR PROCESS+ 9CLUDE ACTIVITIES S* Z TYPESETT+1 PR9T+1 COLLAT+1 FOLD+ & BUNDL+4 --------------------------------------#H ,REPORT+ ( NEWS1 PREP>,N ( COPY ( ADV]TISE;TS1 PHOTOGRAPHS & >T "W1 & $IT+ >E AL 3SID]$ QUALIFI$ ACTIVITIES PROVID$ T 7A7 ! PHYSICAL ACTIVITIES ( MANUFACTUR+ A NEWSPAP]1 MAGAZ9E OR BOOK >E C>RI$ ON 0! TAXPAY] OR 7B7 ": S* MANUFACTUR+ ACTIVITIES >E C>RI$ ON 0ANO!R "PY ON ! TAXPAY]'S 2HALF1 ! TAXPAY] MA9TA9S EXT5SIVE 3TROL OV] ! 3T5T1 DESIGN & PHYSICAL #DD ,,IT-#ADE;,R-,CONSOLID A#H QUALITIES (! PUBLIC,N & SELLS ! PUBLI%$ PRODUCT4 ,"S ADV]TIS+ ACTIVITIES MAY 2 QUALIFI$ ACTIVITIES 2C ^! ACTIVITIES >E 3NECT$ )! MANUFACTUR+ OR PROCESS+ (A NEWSPAP]1 B ! GROSS REV5UE F ADV]TIS+ IS 3SID]$ 6BE F A S]VICE & IS N F ! SALE OR L1SE ( GDS4 ,3SEQU5TLY1 :5 DET]M9+ :E!R A PUBLI%] (A NEWSPAP] MEETS ! #AJ@3P DE M9IMIS RULE 9 P>AGRAPH 7L7 (! DEF9I;N ( 8MANUFACTUR+ OR PROCESS+0 9 SUBSEC;N #ABE.A7#C7 GROSS REV5UE F SALES ( GDS MANUFACTUR$ 9 ,CANADA DOES N 9CLUDE ADV]TIS+ REV5UE4 ,RE/AURANTS & 8,TAKE-,\ ,/ORES0 7P>AGRAPH #DC7 #DC4 ,G5],Y1 ! PRIM>Y ACTIVITIES (A RE/AURANT >E ^? ( PROVID+ S]VICE 6XS PATRONS4 ,S* S]VICES 9CLUDE ! WAIT+ ^U TA#S1 CLE>+1 WA%+ & DRY+ ( #DE ,,IT-#ADE;,R-,CONSOLID B#H CUTL]Y & DI%ES1 CA%I] S]VICES & 9 "S CASES ! PROVI.N ( 5T]TA9;T4 ,H["E1 ! ACTIVITIES ( PREP>+ M1LS = 3SUMP;N 3/ITUTE PROCESS+ & ?US "S "P (A RE/AURANT'S 9COME MAY 2 ELIGI# =! REDUC$ RATE ( CORPORATE TAX4 ,! MIX+ (A NUMB] ( 9GR$I5TS (A DR9K IS 3SID]$ PROCESS+ B ! M]E P\R+ ( LIQUOR OR BE] 96A GLASS &! 4P5S+ ( DRAFT BE] >E N 3SID]$ PROCESS+4 ,9 ! CASE ( 8TAKE-\0 E/ABLI%;TS1 ! PRIM>Y ACTIVITIES MAY 2 ! PREP>,N ( M1LS & ?US ALL (! BUSI;S 9COME (! CORPOR,N MAY QUALIFY =! REDUC$ RATE ( TAX "U ! SMALL MANUFACTUR]S' RULE4 ,SCRAP ,METAL ,D1L]S 7P>AGRAPH #DD7 #DD4 ,ACTIVITIES C>RI$ ON 0A SCRAP METAL D1L]1 S* Z SORT+1 REMOV+ 3TAM9ANTS1 GRAD+1 CUTT+ 6SIZE & BAL+1 9 ORD] 6MAKE RAW SCRAP SALEA# >E 3SID]$ #DF ,,IT-#ADE;,R-,CONSOLID C#H QUALIFI$ MANUFACTUR+ OR PROCESS+ ACTIVITIES4 ,%IPBUILD+ & ,SIMIL> ,9DU/RIES 7P>AGRAPH #DE7 #DE4 ,9 ! CASE ( %IPBUILD+1 AIRCRAFT MANUFACTUR+ & SIMIL> 9DU/RIES1 X IS ! ,,CCRA'S VIEW T MOVA# OBJECTS1 IRRESPECTIVE ( SIZE1 >E MANUFACTUR$4 ,?US1 ! BUILD+ ( AIRCRAFT & %IPS IS N REG>D$ Z 3/RUC;N4 ,": A 3TRACT IS 5T]$ 960A CORPOR,N 6MAKE REPAIRS 6A MOVA# OBJECT1 REF]R$ 6ABV1 ACTIVITIES 3NECT$ )! REPAIR "W WD NORM,Y 2 3SID]$ 6BE A S]VICE & N ! MANUFACTUR+ OR PROCESS+ ( GDS = SALE OR L1SE4 ,ON ! O!R H&1 IF A CORPOR,N PUR*ASES A MOVA# OBJECT )! 9T5;N ( RESELL+ X OR L1S+ X1 REPAIR ACTIVITIES 9 PREP>+ ! OBJECT = SALE WD 2 3SID]$ MANUFACTUR+ OR PROCESS+ ACTIVITIES4 ,"! MAY AL 2 3TRACTS T >E #DG ,,IT-#ADE;,R-,CONSOLID D#H PRIM>ILY =! SALE ( GDS 6BE 9/ALL$ 9 A %IP1 AIRCRAFT OR SIMIL> MOVA# OBJECT & ^! 3TRACTS MAY 9VOLVE ! MANUFACTUR+ ( GDS = SALE OR L1SE NOT)/&+ T !Y AL 3TA9 REPAIR ACTIV;Y4 ,TAILORS 7P>AGRAPH #DF7 #DF4 ,! CUTT+ & ASSEMBLY ( FABRIC 96>TICLES ( CLO?+1 9CLUD+ ! PRODUC;N & CU/OM-FITT+ ( MADE-TO-M1SURE SUITS1 WD 2 A MANUFACTUR+ ACTIV;Y 0! MAK] (! CLO?+4 ,H["E1 ! M]E ALT],N ( R1DY-MADE OR CU/OM-TAILOR$ CLO?+ 0A RETAIL CLO?+ E/ABLI%;T DOES N 3/ITUTE A MANUFACTUR+ OR PROCESS+ ACTIV;Y4 ,AL1 ALT]+ OR REPAIR+ >TICLES ( CLO?+ T >E ALR [N$ 0! CU/OM] DOES N QUALIFY Z MANUFACTUR+ OR PROCESS+ GDS = SALE OR L1SE4 #DH ,VEHICLE ,REPAIRS & ,S]VIC+ E#H 7P>AGRAPH #DG7 #DG4 ,! ACTIVITIES ( RECONDI;N+ US$ AUTOMOBILES OR TRUCKS = RESALE1 S* Z CL1N+1 PA9T+1 SAFETY 9SPEC;N1 TUNE- UPS1 REPLACE;T ( "PS & REPAIR+ >E 3SID]$ QUALIFI$ ACTIVITIES4 ,H["E1 REPAIR ACTIVITIES1 9CLUD+ BODY REPAIRS & 5G9E & TRANSMIS.N OV]HAULS1 RELAT+ 6CU/OM] [N$ VEHICLES "U W>RANTY OR O!RWISE WD N QUALIFY4 ,-;TS SIMIL> 6! ABV WD AL APPLY 6O!R MA*9]Y & EQUIP;T4 ,PROCESS+ ,RES\RCE ,M9]ALS 7P>AGRAPH #DH7 #DH4 ,PROCESS+ IRON ORE F A M9]AL RES\RCE LOCAT$ 9 ,CANADA AT ANY /AGE 2Y ! PELLET /AGE OR XS EQUIVAL5T1 PROCESS+ T> S&S ORE F A M9]AL RES\RCE LOCAT$ 9 ,CANADA AT ANY /AGE 2Y ! CRUDE OIL /AGE OR XS EQUIVAL5T1 & PROCESS+ ORE 7O!R ?AN IRON ORE OR T> S&S ORE7 F A M9]AL RES\RCE #DI ,,IT-#ADE;,R-,CONSOLID F#H LOCAT$ 9 ,CANADA AT ANY /AGE 2Y ! PRIME METAL /AGE OR XS EQUIVAL5T >E 3SID]$ QUALIFI$ MANUFACTUR+ OR PROCESS+ ACTIVITIES4 #EJ ,BULLET9 ,REVI.NS #I ,P>AGRAPH #A ( ,,IT-#ADE;,R DAT$ ,JUNE #AI1 #AIHA IS N[ ! ,SUMM>Y (! 3SOLIDAT$ BULLET94 ,7,JUNE #BC1 #BJJJ7' ,! ,SUMM>Y HAS BE5 MODIFI$ 6ELIM9ATE \TDAT$ 9=M,N 3C]N+ ! A3EL]AT$ CAPITAL CO/ ALL[.E WRITE-(F ( MANUFACTUR+ MA*9]Y & EQUIP;T4 ,Z WELL1 -;TS ON O!R 9=M,N PROVID$ 9 ! BULLET9 7 A4$4 ,7,JANU>Y #F1 #BJJD7' ,P>AGRAPH #B ( ,,IT-#ADE;,R IS N[ ! ,3T5TS SEC;N AT ! 2G9N+ (! 3SOLIDAT$ BULLET94 ,7,JUNE #BC1 #BJJJ7' ,! ,3T5TS SEC;N HAS BE5 *ANG$ 6REFLECT REVIS$ H1D+S = P>AGRAPHS #AA & #DH1 &! A4I;N ( NEW P>AGRAPH #AB4 ,7,JANU>Y #F1 #BJJD7' ,P>AGRAPHS #C 6#DI ( ,,IT-#ADE;,R H BE5 RENUMB]$ Z P>AGRAPHS #A 6#DG1 RESPECTIVELY4 ,CROSS-REF]5C+ HAS BE5 REVIS$ 6REFLECT ! ABV RE-NUMB]+4 ,NO O!R *ANGES 7 MADE 6^? P>AGRAPHS (! BULLET9 EXCEPT Z NOT$ 2L4 ,7,JUNE #BC1 #BJJJ7' #EA ,,IT-#ADE;,R-,CONSOLID A#I ,P>AGRAPH #B 7=M]LY P>AGRAPH #D71 P>AGRAPH #G 7=M]LY P>AGRAPH #I71 P>AGRAPH #AA 7=M]LY P>AGRAPH #AC71 P>AGRAPH #AD7B7 7=M]LY P>AGRAPH #AF7B77 & P>AGRAPH #DB 7=M]LY P>AGRAPH #DD7 7 REVIS$ 0,SPECIAL ,REL1SE DAT$ ,FEBRU>Y #BH1 #AIHF4 ,P>AGRAPH #B HAS BE5 FUR!R REVIS$ 6ADD A S5T;E T REFLECTS ! IMPACT (! ,F$]AL ,C\RT ( ,APP1L'S DECI.N 9 ! ,W-,K>E ,PAV+ & ,3TRACT+ ,LTD4 V4 ,! ,QUE5 CASE 7#BJJJ ,,DTC #FDFG1 ,7#BJJJ7' #C ,,CTC #DFC74 ,7,JANU>Y #F1 #BJJD7' ,P>AGRAPHS #C 7=M]LY P>AGRAPH #E71 P>AGRAPH #E 7=M]LY P>AGRAPH #G7 & P>AGRAPH #DB 7=M]LY P>AGRAPH #DD7 H BE5 *ANG$ 6REFLECT ! RE/RUCTUR+ ( P>AGRAPHS )9 SUBSEC;N #ABE.A7#C74 ,7,JANU>Y #F1 #BJJD7' ,P>AGRAPH #G 7=M]LY P>AGRAPH #I7 HAS BE5 AM5D$ 6CL>IFY T ": A F>M] OR F>M+ CORPOR,N SEP>ATES ! ACTIVITIES ( F>M+ &! PROCESS+ ( F>M PRODUCTS1 ^? ACTIVITIES W #EB ,,IT-#ADE;,R-,CONSOLID B#I 2 3SID]$ SEP>ATE BUSI;SES "U C]TA9 CIRCUM/.ES4 ,7,JANU>Y #F1 #BJJD7' ,P>AGRAPH #H 7=M]LY P>AGRAPH #AJ7 HAS BE5 MODIFI$ 6ADD C]TA9 -;TS 9CLUD$ 9 P>AGRAPH #G D1L+ ) F>M+ T >E AL APPLICA# 6FI%+4 ,7,JANU>Y #F1 #BJJD7' ,P>AGRAPH #AA 7=M]LY P>AGRAPH #AC7 HAS BE5 REVIS$ 6REFLECT REC5T LEGISLATIVE AM5D;TS & 6PROVIDE A M -PLETE LI/ ( PETROLEUM & NATURAL GAS ACTIVITIES T >E N 3SID]$ 6BE MANUFACTUR+ OR PROCESS+ ACTIVITIES4 ,! H1D+ (! P>AGRAPH HAS BE5 *ANG$ ACLY4 ,7,JANU>Y #F1 #BJJD7' ,NEW P>AGRAPH #AB HAS BE5 A4$ 6DESCRIBE A NEW MANUFACTUR+ & PROCESS+ PR(ITS DEDUC;N AVAILA# 6CORPOR,NS T G5]ATE ELECTRICAL 5]GY OR PRODUCE /1M = SALE4 ,7,JANU>Y #F1 #BJJD7' ,=M] P>AGRAPH #AC 7=M]LY P>AGRAPH #AE7 HAS BE5 DELET$ 2C ! -;TS X 3TA9$ NO L;G] REFLECT ! LEGISL,N & >E N APPLICA# = PURPOSES ( ASSESS;TS 9 RESPECT (! MANUFACTUR+ & PROCESS+ PR(ITS DEDUC;N = #EC ,,IT-#ADE;,R-,CONSOLID C#I #AIHE & SUBSEQU5T YE>S4 ,7,JANU>Y #F1 #BJJD7' ,P>AGRAPH #AC 7=M]LY P>AGRAPH #AD7 HAS BE5 MODIFI$ 6TAKE 963SID],N REC5T LEGISLATIVE AM5D;TS 6SUBSEC;N #EBJC7#A7 (! ,REGUL,NS1 Z WELL Z 69DICATE PROPOS$ AM5D;TS 6C]TA9 DEF9I;NS4 ,7,JANU>Y #F1 #BJJD7' ,P>AGRAPH #AD 7=M]LY P>AGRAPH #AF7 HAS BE5 REVIS$ 6ADD PO9T 7E71 FUR!R 6! A4I;N ( P>AGRAPHS 7C4#A71 7C4#B7 & 7C4#C7 6SEC;N #EBJA (! ,REGUL,NS4 ,7,JANU>Y #F1 #BJJD7' ,P>AGRAPH #BA 7=M]LY P>AGRAPH #BC7 HAS BE5 REVIS$ 6DELETE \TDAT$ 9=M,N T IS NO L;G] RELEVANT4 ,7,JANU>Y #F1 #BJJD7' ,P>AGRAPH #CH 7=M]LY P>AGRAPH #DJ7 HAS BE5 *ANG$ 6REFLECT ! CURR5T TYPES ( -PUT] S]VICES AVAILA#4 ,7,JANU>Y #F1 #BJJD7' ,P>AGRAPH #CI 7=M]LY P>AGRAPH #DA7 HAS BE5 MODIFI$ 6DELETE \TDAT$ 9=M,N T IS NO L;G] RELEVANT4 ,7,JANU>Y #F1 #BJJD7' #ED ,,IT-#ADE;,R-,CONSOLID D#I ,P>AGRAPH #DF 7=M]LY P>AGRAPH #DH7 HAS BE5 REVIS$ Z A RESULT (! POSI;N TAK5 9 ! >TICLE 5TITL$ ,CANADIAN ,MANUFACTUR+ & ,PROCESS+ ,PR(ITS 3TA9$ 9 ,ISSUE ,NO4 #AI (! ,9COME ,TAX ,TE*NICAL ,NEWS1 : 0 ISSU$ ON ,JUNE #AF1 #BJJJ4 ,7,JUNE #BC1 #BJJJ7' ,P>AGRAPH #DG 7=M]LY P>AGRAPH #DI7 HAS BE5 REVIS$ Z A RESULT (! POSI;N TAK5 9 ! >TICLE 5TITL$ ,PRE-DELIV]Y S]VICE ( NEW VEHICLES--,9T]PRET,N ,BULLET9 ,,IT-#ADE;,R 3TA9$ 9 ,ISSUE ,NO4 #H (! ,9COME ,TAX ,TE*NICAL ,NEWS1 : 0 ISSU$ ON ,SEPTEMB] #CJ1 #AIIF4 ,7,JUNE #BC1 #BJJJ7' ,P>AGRAPH #DH 0 A4$ Z P>AGRAPH #EJ 0,SPECIAL ,REL1SE DAT$ ,FEBRU>Y #BH1 #AIHF4 ,P>AGRAPH #DH HAS BE5 *ANG$ 6REFLECT REC5T LEGISLATIVE AM5D;TS 6P>AGRAPH 7F7 (! DEF9I;N ( 8MANUFACTUR+ OR PROCESS+0 9 SUBSEC;N #ABE.A7#C74 ,7,JANU>Y #F1 #BJJD7' ,"?\T ! BULLET9 WE H REPLAC$ ! REF];E 6! =M] 8,DE"P;T0 )! CURR5T "N #EE ,,IT-#ADE;,R-,CONSOLID E#I 8,CANADA ,CU/OMS & ,REV5UE ,AG5CY0 OR 8,,CCRA0 & ": APPROPRIATE1 CORRECT$ ! REF];E TO 8MANUFACTUR+ & PROCESS+0 TO 8MANUFACTUR+ OR PROCESS+0 6BETT] REFLECT ! LAW4 ,9 A4I;N1 WE H MADE M9OR *ANGES = CL>IFIC,N & R1DABIL;Y PURPOSES1 OR 6PROVIDE /ATUTORY REF];ES4 ,7,JANU>Y #F1 #BJJD7' #EF