,CANADA ,CU/OMS #A & ,REV5UE ,AG5CY ,9COME ,TAX ,9T]PRET,N ,BULLET9 ,SUBJECT3 ,9COME ,TAX ,ACT ,NON-,RESID5TS--,9COME ,E>N$ 9 ,CANADA ,NUMB]3 ,,IT-#DBJ;,R#C ,DATE3 ,FEBRU>Y #BJ1 #AIIE ,REF];E3 ,SPECIAL ,REL1SE ,APPLIC,N ,? ,SPECIAL ,REL1SE REVISES ,9T]PRET,N ,BULLET9 ,,IT-#DBJ;,R#C DAT$ ,M>* #CJ1 #AIIB4 ,! PRIM>Y PURPOSE ( ? ,SPECIAL ,REL1SE IS 6REFLECT AM5D;TS 6! ,9COME ,TAX ,ACT 5ACT$ 9 ,S4,C4 #AIIA1 C4 #DI 7=M]LY ,BILL ;,C-#AH71 9 ,S4,C4 #AIIB1 C4 #DH 7=M]LY ,BILL ;,C-#HJ71 9 ,S4,C4 #AIIC1 C4 #BD 7=M]LY ,BILL ;,C-#IB71 & 9 ,S4,C4 #AIID1 C4 #BA 7,BILL ;,C-#BG74 ,! -;TS 9 ! BULLET9 >E N A6ECT$ 0! ,BUDGET ,PROPOSALS ( ,FEBRU>Y #BB1 #A ,,IT-#DBJ;,R#C A#A #AIID1 OR ! ,DRAFT ,AM5D;TS 6! ,9COME ,TAX ,REGUL,NS REL1S$ ON ,APRIL #E1 #AIID4 ,BULLET9 ,REVI.NS #A4 ,! LA/ S5T;E (! 8,APPLIC,N0 P>AGRAPH (! BULLET9 IS DELET$4 #B4 ,Z A RESULT (! ,BILL ;,C-#BG AM5D;T 6! DEF9I;N ( 8TAXA# ,CANADIAN PROP]TY0 9 SUBSEC;N #BDH7#A71 .P>AGRAPH .#C (! BULLET9 IS REPLAC$ )! FOLL[+3 #C4 ,! DEF9I;N ( 8TAXA# ,CANADIAN PROP]TY10 Z 4CUSS$ M FULLY 9 #AF 2L1 IS 3TA9$ 9 P>AGRAPH #AAE7#A77B74 ,T DEF9I;N IS FUR!R EXP&$ 0SUBSEC;N #BDH7#A71 =! PURPOSES ( SEC;N #ABH.A 7AF #AIIB7 & SUBSEC;N #B7#C7 69CLUDE3 7A7 PROP]TY P]TA9+ 6! AM.TS DESCRIB$ 9 #AH7A71 7C71 7D7 & 7E7 2L & 6A NEGATIVE BAL.E 9 ! UNDEPRECIAT$ CAPITAL CO/ (A TIMB] RES\RCE PROP]TY 7SEE #AH7B7 2L72 & #B ,,IT-#DBJ;,R#C B#A 7B7 = 4POSI;NS O3URR+ AF ,JULY #AC1 #AIIJ1 A LIFE 9SUR.E POLICY 9 ,CANADA 7SEE #AH7G7 2L72 5SUR+ T ! RELAT$ 9COME W 2 TAXA# "U ,"P ;,I (! ,ACT4 ,Z A RESULT1 PROP]TIES DESCRIB$ 9 7A7 & 7B7 ABV1 Z WELL Z ^? DESCRIB$ )9 ! P>AGRAPH #AAE7#A77B7 DEF9I;N1 W 2 EXCLUD$ F ! DEEM$ 4POSI;N RULES PROVID$ 9 P>AGRAPHS #ABH.A7#A77B71 7:5 A TAXPAY] 2COMES A RESID5T ( ,CANADA71 & #ABH.A7#D77B7 7:5 A TAXPAY] C1SES 6BE A RESID5T ( ,CANADA74 ,G5],Y1 ! DEF9I;N ( 8TAXA# ,CANADIAN PROP]TY0 9 SUBSEC;N #BDH7#A7 APPLIES 6CORPOR,NS T >E GRANT$ >TICLES ( 3T9U.E OR SIMIL> 3/ITU;NAL DOCU;TS 9 A "PICUL> JURISDIC;N PURSUANT 6SUBSEC;N #BEJ7#E.A7 IF1 AM;G/ O!R ?+S1 ! >TICLES ( 3T9U.E OR SIMIL> 3/ITU;NAL DOCU;TS >E GRANT$ .AF .#AIIB4 #C ,,IT-#DBJ;,R#C C#A #C4 ,! FOLL[+1 : REFLECTS ! ,BILL ;,C- #BG AM5D;T 6SUBSEC;N #D7#C71 REPLACES ! LA/ TWO S5T;ES ( .P>AGRAPH .#G (! BULLET93 ,= TAX,N YE>S 5D+ AF ,NOVEMB] #AB1 #AIHA1 SUBSEC;N #D7#C7 APPLIES 6ALL S\RCES ( 9COME1 :E!R OR N ! S\RCE ( 9COME RELATES 6M ?AN "O PLACE4 ,"U ! RULES 9 SEC;N #D1 ! ALL[A# DEDUC;NS : >E N ALLOCA# 6ANY S\RCE ( 9COME1 >E ! DEDUC;NS ALL[$ 0P>AGRAPHS #FJ7B7 TO 7O71 7P71 7R71 & 7V7 TO 7W74 ,! FULL AM.T ( ^! "PICUL> DEDUC;NS MAY1 IF APPLICA#1 2 CLAIM$ 0! NON-RESID5T AF REPORT+ .ALL SEC;N #AAE 9COME1 9 A3ORD.E )! -;TS 9 #BI 2L4 ,9 A4I;N1 SUBSEC;N #D7#C7 APPLIES 6SUBSEC;NS #AJD7#BB7 & #AJD7#BB.A7 =! PURPOSES (! FL[-"? ( =EIGN S\RCE 9COME F A TRU/ 6XS B5EFICI>IES4 ,SUBSEC;N #D7#C7 5SURES T DEDUC;NS MADE 0A TRU/ "U SUBSEC;N #AJD7#F71 = AM.TS PD #D ,,IT-#DBJ;,R#C D#A OR PAYA# 6B5EFICI>IES1 & SUBSEC;N #AJD7#AB71 = AM.TS ALLOCAT$ 6PREF]R$ B5EFICI>IES1 >E N 3SID]$ 6BE APPLICA# 6S\RCES 9 A =EIGN C.TRY4 ,H["E1 IF A TRU/ DESIGNATES S* AM.TS 9 FAV\R ( XS B5EFICI>IES "U SUBSEC;N #AJD7#BB71 SUBSEC;N #AJD7#BB.B7 REQUIRES T ! TRU/'S =EIGN S\RCE 9COME 2 REDUC$ ACLY4 #D4 ,Z A RESULT (! ,BILL ;,C-#BG AM5D;T 6SUBSEC;N #D7#C71 ! LA/ TWO S5T;ES ( .P>AGRAPH .#AJ (! BULLET9 >E REPLAC$ 0! FOLL[+3 ,"U ! RULES 9 SEC;N #D1 S* AN ALLOC,N IS N MADE (! DEDUC;NS ALL[$ 0P>AGRAPHS #FJ7B7 TO 7O71 7P71 7R71 & 7V7 TO 7W74 ,9/1D1 ! FULL AM.T ( ^? "PICUL> DEDUC;NS MAY1 ": APPLICA#1 2 CLAIM$ 0! NON-RESID5T AF REPORT+ .ALL SEC;N #AAE 9COME1 9 A3ORD.E )! -;TS 9 #BI 2L4 #E4 ,! F/ S5T;E ( .P>AGRAPH .#AD (! BULLET9 IS REPLAC$ 0! FOLL[+3 #E ,,IT-#DBJ;,R#C E#A ,A NON-RESID5T MAY C>RY ON A RES\RCE BUSI;S OR BUSI;SES1 Z DESCRIB$ 9 ! DEF9I;N ( 8PR9CIPAL-BUSI;S CORPOR,N0 9 SUBSEC;N #FF7#AE71 AT A FIX$ PLACE OR PLACES ( BUSI;S 9 ,CANADA4 ,? IS *ANG$ 2C REF];ES 6! ,9COME ,TAX ,ACT >E 6! ,9COME ,TAX ,ACT Z REVIS$ 0! FIF? ,SUPPLE;T 6! ,REVIS$ ,/ATUTES ( ,CANADA1 #AIHE1 : CAME 96=CE ON ,M>* #A1 #AIID4 --------------------------------------#B #F4 .,P>AGRAPH .#AF (! BULLET9 IS REVIS$ 6CL>IFY T TAXA# ,CANADIAN PROP]TY 9CLUDES AN OP;N ON S* PROP]TY1 Z PROVID$ 9 SUBSEC;N #AAE7#C71 : 0 AM5D$ 0,BILL ;,C-#AH 9 #AIIA4 ,! F/ TWO S5T;ES ( P>AGRAPH #AF >E REPLAC$ 0! FOLL[+ NEW S5T;ES3 ,9CLUD$ 9 A NON-RESID5T'S TAXA# 9COME E>N$ 9 ,CANADA1 0VIRTUE ( SUBP>AGRAPH #AAE7#A77A77;III7 & P>AGRAPH #AAE7#A77B71 IS ANY EXCESS ( #F ,,IT-#DBJ;,R#C A#B TAXA# CAPITAL GA9S OV] ALL[A# CAPITAL LOSSES T RESULT F ! 4POSI;N ( 8TAXA# ,CANADIAN PROP]TY10 9CLUD+ AN 9T]E/ 9 OR OP;N ON S* PROP]TY4 7,9T]E/S 9 & OP;NS ON R1L PROP]TY & %>ES >E 4CUSS$ 9 ! CURR5T V].N ( ,,IT-#AGF47 #G4 .,P>AGRAPH .#AF7G7 (! BULLET9 IS REVIS$ 6REFLECT ! REP1L ( SUBSEC;N #DH7#B7 &! 9TRODUC;N ( SUBSEC;N #ABH.A7#D77E71 : SETS \ A RULE SIMIL> 6T PROVID$ 9 SUBSEC;N #DH7#B74 ,P>AGRAPH #AF7G7 (! BULLET9 IS REPLAC$ )! FOLL[+3 7G7 PROP]TY DEEM$ 0ANO!R PROVI.N (! ,ACT 7E4G41 P>AGRAPH #ABH.A7#D77E77 6BE TAXA# ,CANADIAN PROP]TY4 #H4 ,! F/ S5T;E ( .P>AGRAPH .#AH7C7 (! BULLET9 IS REPLAC$ 0! FOLL[+3 7C7 "U SUBP>AGRAPH #AAE7#A77A77;III4#C7--AM.TS P]TA9+ 6A ,CANADIAN RES\RCE PROP]TY2 #G ,,IT-#DBJ;,R#C B#B ,? PROVI.N APPLIES :5 ! NON- RESID5T C>RIES ON 9 ,CANADA 9 ! TAX,N YE> A RES\RCE BUSI;S Z DESCRIB$ 9 ! DEF9I;N ( 8PR9CIPAL- BUSI;S CORPOR,N0 9 SUBSEC;N #FF7#AE74 ,! F/ S5T;E ( .P>AGRAPH .#AH7G7 (! BULLET9 IS REPLAC$ 0! FOLL[+3 7G7 "U SUBP>AGRAPH #AAE7#A77A77;VI7 --GA9S >IS+ F ! 4POSI;N ( C]TA9 LIFE 9SUR.E POLICIES 9 ,CANADA4 ,A LIFE 9SUR.E POLICY1 "U ! DEF9I;NS ( 8LIFE 9SUR.E POLICY0 & 8LIFE 9SUR.E POLICY 9 ,CANADA0 9 SUBSEC;N #ACH7#AB71 9CLUDES AN ANNU;Y 3TRACT1 ISSU$ OR E6ECT$ ^U ! LIFE (A P]SON RESID5T 9 ,CANADA AT ! "T X 0 ISSU$ OR E6ECT$4 ,^! >E *ANG$ 2C REF];ES 6! ,9COME ,TAX ,ACT >E 6! ,9COME ,TAX ,ACT Z REVIS$ 0! #E? ,SUPPLE;T 6! ,REVIS$ ,/ATUTES ( ,CANADA1 #AIHE1 : CAME 96=CE ON ,M>* #A1 #AIID4 #H ,,IT-#DBJ;,R#C C#B #I4 .,P>AGRAPH .#BJ7B7 (! BULLET9 IS REVIS$ Z A RESULT (! ,BILL ;,C-#AH AM5D;T 6P>AGRAPH #EF7#A77N71 E6ECTIVE = #AIHG & SUBSEQU5T TAX,N YE>S4 ,? AM5D;T ALL[S A TAXPAY] :O HAS RCVD A GRANT T IS 6BE US$ 9 ! PRODUC;N (A LIT]>Y1 DRAMATIC1 MUSICAL1 OR >TI/IC "W 6DEDUCT M ?AN 4#EJJ AG/ ! GRANT4 ,P>AGRAPH #BJ7B7 (! BULLET9 IS DELET$ & REPLAC$ )! FOLL[+3 7B7 ! EXCESS ( ,CANADIAN S\RCE S*OL>%IPS1 FELL[%IPS1 BURS>IES & PRIZES1 Z DESCRIB$ 9 P>AGRAPH #EF7#A77N71 OV] 4#EJJ1 EXCEPT T 9 ! CASE ( 8>T PRODUC;N GRANTS0 T >E 9CLUD$ 9 9COME "U P>AGRAPH #EF7#A77N71 ! TAXPAY] MAY DEDUCT ! GRT] ( 4#EJJ & R1SONA# EXP5SES 9CURR$ 6FULFIL ! 3DI;NS (! GRANT1 UP 6! AM.T (! GRANT 7SEE ! CURR5T V].N ( ,,IT-#GE72 #AJ4 .,P>AGRAPH .#BJ7D7 (! BULLET9 IS REVIS$ 6REFLECT ! ,BILL ;,C-#HJ AM5D;TS 6SUBP>AGRAPH #I ,,IT-#DBJ;,R#C D#B #AAE7#B77E77;III74 ,2G9N+ 9 #AIIC1 FAMILY ALL[.E PAY;TS >E REPLAC$ 0! NON-TAXA# * TAX B5EFIT4 ,P>AGRAPH #BJ7D7 IS REPLAC$ )! FOLL[+3 7D7 = TAX,N YE>S 2F #AIIC1 ,CANADIAN FAMILY ALL[.E PAY;TS1 OR ANY POR;N ( S* PAY;TS1 T WD 2 REQUIR$ 0SUBSEC;N #EF7#E7 6BE 9CLUD$ 9 ! NON-RESID5T'S 9COME =! YE> IF HE OR %E _H BE5 RESID5T 9 ,CANADA "?\T ! YE>2 #AA4 .,P>AGRAPH .#BA (! BULLET9 IS REVIS$ 6REFLECT ! AM5D;T 6SEC;N #AAE.A 9 ,BILL ;,C-#IB1 E6ECTIVE AF #AIHD4 ,! ,BILL ;,C-#IB AM5D;T EXT5DS ! APPLIC,N ( SEC;N #AAE.A 6A BROAD] RANGE ( TRANSAC;NS4 ,P>AGRAPH #BA IS REPLAC$ )! FOLL[+3 #AJ ,-PET5T ,AU?OR;Y ,AGREE;TS E#B #BA4 ,SUBSEC;N #AAE.A7#A7 APPLIES :5 A PROVI.N 9 AN 9COME TAX TR1TY PROVIDES A ME*ANISM = AVOID+ D\# TAX,N 0ALL[+ A TAXPAY] 6DEF] TAX 9 ,CANADA4 ,SPECIFIC,Y1 SUBSEC;N #AAE.A7#A7 PROVIDES T ": ! ,M9I/] ( ,N,NAL ,REV5UE &A TAXPAY] H 5T]$ 96AN AGREE;T1 "U A PROVI.N (A TAX TR1TY )A =EIGN C.TRY T HAS ! =CE ( LAW 9 ,CANADA 7S* Z P>AGRAPH #H ( ,>TICLE ,,XIII (! #AIHJ ,CANADA- ,UNIT$ ,/ATES ,9COME ,TAX ,3V5;N & P>AGRAPH #F ( ,>TICLE #AC (! ,CANADA-,NE!RL&S ,9COME ,TAX ,3V5;N71 ! T]MS & 3DI;NS ( S* AN AGREE;T W GOV]N ! TAX,N (! TAXPAY]4 ,A TAXPAY] :O QUALIFIES = RELIEF "U SUBSEC;N #AAE.A7#A7 MAY 5T] 96A TAX DEF]RAL AGREE;T 9 ADV.E (! TRANSAC;NS 9VOLV$4 ,= EXAMPLE1 SUBSEC;N #AAE.A7#A7 MAY APPLY :5 A NON-RESID5T P]SON #AA ,,IT-#DBJ;,R#C F#B OR "PN]%IP 4POSES ( PROP]TY 9 ,CANADA 9 ! C\RSE (A CORPORATE ORGANIZ,N1 REORGANIZ,N1 AMALGAM,N1 DIVI.N1 OR SIMIL> TRANSAC;N1 &! 4POSI;N RESULTS 9 9COME E>N$ 9 ,CANADA = PURPOSES ( SEC;N #AAE 9 ! YE> (! TRANSAC;N4 ,:5 ! TAX,N ( ANY PR(IT1 GA91 OR 9COME >IS+ F ! 4POSI;N ( PROP]TY 9 ? TYPE ( TRANSAC;N IS DEF]R$ 9 ! NON-RESID5T V5DOR'S C.TRY ( RESID;E1 D\# TAX,N MAY O3UR 2C ! MO/ B5EFICIAL USE ( =EIGN TAX CR$ITS MAY N 2 POSSI#4 ,H["E1 SUBSEC;N #AAE.A7#A7 MAY --------------------------------------#C APPLY IF A PROVI.N ( AN 9COME TAX TR1TY PROVIDES RELIEF F S* D\# TAX,N4 ,! CURR5T V].N ( ,,IT-#BGJ 3TA9S M 9=M,N ON SEC;N #AAE.A &! CURR5T V].N ( ,,IT-#AGC AL PROVIDES DETAILS ON SEC;N #AAE.A Z X P]TA9S 6P>AGRAPH #H ( ,>TICLE ,,XIII (! #AIHJ ,CANADA-,UNIT$ ,/ATES ,9COME ,TAX ,3V5;N4 ,TAXPAY]S :O WD L #AB ,,IT-#DBJ;,R#C A#C 65T] 96AN AGREE;T "U SUBSEC;N #AAE.A7#A7 MAY OBTA9 9=M,N ON H[ 6PROCE$ 0WRIT+ TO3 ,9T]N,NAL ,TAX ,PROGRAMS ,DIRECTORATE #HGE ,H]ON ,ROAD ,OTTAWA ,,ON ,K#A;,A #J;,L#H #AB4 .,P>AGRAPH .#CJ (! BULLET9 IS REVIS$ 6REFLECT ! AM5D;T 6P>AGRAPH #AAE7#A77C7 9 ,BILL ;,C-#IB4 ,2F ! ,BILL ;,C-#IB AM5D;T1 LOSSES F ! DUTIES ( AN (FICE OR EMPLOY;T P]=M$ 0A NON-RESID5T 9 ,CANADA & ALL[A# BUSI;S 9VE/;T LOSSES 7 N DEDUCTI# 9 CALCULAT+ A NON-RESID5T'S 9COME "U SUBSEC;N #AAE7#A74 ,P>AGRAPH #CJ IS REPLAC$ 0! FOLL[+ P>AGRAPH3 #CJ4 ,9 CALCULAT+ 9COME E>N$ 9 ,CANADA =! YE> "U SUBSEC;N #AAE7#A71 P>AGRAPH #AAE7#A77C7 PROVIDES T LOSSES F BUSI;SES C>RI$ ON 0A #AC ,,IT-#DBJ;,R#C B#C NON-RESID5T 9 ,CANADA >E DEDUCTI#4 ,=! #AIIA & SUBSEQU5T TAX,N YE>S1 LOSSES F DUTIES ( AN (FICE OR EMPLOY;T P]=M$ 0A NON-RESID5T 9 ,CANADA1 & ALL[A# BUSI;S 9VE/;T LOSSES >IS+ F ! 4POSI;N ( PROP]TY ANY GA9 ON : WD 2 9CLUD$ 9 DET]M9+ ! NON-RESID5T'S 9COME1 >E AL DEDUCTI# "U P>AGRAPH #AAE7#A77C74 ,= M 9=M,N AB ! DEDUCTIBIL;Y ( LOSSES 0A NON- RESID5T1 SEE ! CURR5T V].N ( ,,IT-#BFB4 ,IF Y H ANY -;TS AB ! MATT]S 4CUSS$ 9 ? REL1SE1 PL1SE S5D !M TO3 ,DIRECTOR1 ,TE*NICAL ,PUBLIC,NS ,DIVI.N ,POLICY & ,LEGISL,N ,BRAN* ,REV5UE ,CANADA #HGE ,H]ON ,ROAD ,OTTAWA ,,ON ,K#A;,A #J;,L#H #AD