F-11.1 — Financial Corporation Capital Tax Act

s. 1 — Definitions

In this Act 1992, c.C-32.2, s.310; 2010, c.36, s.113; 2016, c.10, s.141; 2019, c.29, s.62

s. 1 — amount

“amount” means(montant)

s. 1(a) — Definitions

(a) money expressed in terms of the amount of money, or

s. 1(b) — Definitions

(b) rights or things expressed in terms of the money value of the rights or things;

s. 1 — amount-taxable

“amount taxable” means(montant assujetti à la taxe)

s. 1(a) — Definitions

(a) in the case of a resident financial corporation, the taxable paid-up capital of the financial corporation that is allocated to the Province in accordance with the regulations, and

s. 1(b) — Definitions

(b) in the case of a non-resident financial corporation, the taxable paid-up capital employed in Canada of the financial corporation that is allocated to the Province in accordance with the regulations,

s. 1 — bank

“bank” means (banque)

s. 1(a) — Definitions

(a) in the definitions “loan company” and “trust company”, a bank to which the Bank Act (Canada) applies, or

s. 1(b) — Definitions

(b) in the definition “financial corporation” and any other provision of this Act or the regulations, a bank to which the Bank Act (Canada) applies excluding a federal credit union;

s. 1 — business

“business” means an undertaking of any kind and includes a profession, occupation, calling, trade, manufacture or an adventure or concern in the nature of trade;(affaires)

s. 1 — commissioner

“Commissioner” means the Provincial Tax Commissioner provided for under the Revenue Administration Act;(Commissaire)

s. 1 — federal-credit-union

“federal credit union” means a federal credit union as defined by the Bank Act (Canada);(coopérative de crédit fédérale)

s. 1 — financial-corporation

“financial corporation” means a bank, trust company or loan company and includes an agent, assignee, trustee, liquidator, receiver or official having possession or control of any part of the property of the bank, trust company or loan company but does not include a trust company or loan company incorporated without share capital;(corporation financière)

s. 1 — fiscal-year

“fiscal year” means the period for which the business accounts of a financial corporation are made up and accepted for the purposes of the Income Tax Act;(année financière)

s. 1 — income-tax-act

“Income Tax Act” means the Income Tax Act, chapter 148 of the Revised Statutes of Canada, 1952;(Loi de l’impôt sur le revenu)

s. 1 — inspector

“inspector” means an inspector provided for under the Revenue Administration Act;(inspecteur)

s. 1 — jurisdiction

“jurisdiction” means a province or territory of Canada or a state outside Canada having sovereign power;(autorité législative)

s. 1 — loan-company

“loan company” means a loan institution or corporation that accepts deposits within the meaning of the Canada Deposit Insurance Corporation Act (Canada) but does not include(compagnie de crédit)

s. 1(a) — Definitions

(a) a bank,

s. 1(b) — Definitions

(b) a trust company,

s. 1(c) — Definitions

(c) a credit union incorporated under the Credit Unions Act or any former Credit Unions Act, or

s. 1(d) — Definitions

(d) Atlantic Central as defined in the Credit Unions Act;

s. 1 — minister

“Minister” means the Minister of Finance and Treasury Board and includes a person designated by the Minister to act on behalf of the Minister;(Ministre)

s. 1 — other-surplus

“other surplus” includes an amount by which(autre surplus)

s. 1(a) — Definitions

(a) the value of an asset of a financial corporation, as carried on its books of account or on its balance sheet, is in excess of the cost of the asset, or

s. 1(b) — Definitions

(b) the value of an asset of a financial corporation has been written down and deducted from its income and undivided profits, where that amount

s. 1(b)(i) — Definitions

(i) is not deductible under the Income Tax Act, or

s. 1(b)(ii) — Definitions

(ii) is deductible under paragraph 20(1)(n) or subparagraph 40(1)(a)(iii) of the Income Tax Act,

s. 1 — permanent-establishment

“permanent establishment” means a fixed place of business and includes a branch office, office and agency and(établissement permanent)

s. 1(a) — Definitions

(a) where a financial corporation carries on business through an employee or agent who has general authority to contract for the financial corporation, the place where the employee or agent operates is a permanent establishment of the financial corporation,

s. 1(b) — Definitions

(b) where a financial corporation that has a permanent establishment in Canada owns land in a province or territory, the land is a permanent establishment of the financial corporation,

s. 1(c) — Definitions

(c) where a financial corporation has no fixed place of business, it has a permanent establishment in the principal place in which its business is conducted,

s. 1(d) — Definitions

(d) where a financial corporation designates a head office in its charter, memorandum of association, articles of association or incorporation, letters patent of incorporation or any other instrument of incorporation or by-laws, the head office is a permanent establishment of the financial corporation,

s. 1(e) — Definitions

(e) the fact that a financial corporation has business dealings through a commission agent, broker or other independent agent in a place does not of itself mean that the financial corporation has a permanent establishment in that place, and

s. 1(f) — Definitions

(f) the fact that a financial corporation has a subsidiary controlled financial corporation in a place, or a subsidiary controlled financial corporation engaged in a trade or business in a place, does not of itself mean that the financial corporation is operating a permanent establishment in that place;

s. 1 — property

“property” means any kind of property and includes a right of any kind, a share or a chose in action and, unless a contrary intention is evident, money;(biens)

s. 1 — resident-financial-corporation

“resident financial corporation” means a financial corporation that is resident in Canada;(corporation financière résidente)

s. 1 — resident-in-canada

“resident in Canada” means resident in Canada as determined in accordance with the Income Tax Act;(résident au Canada)

s. 1 — return

“return” means the financial corporation capital tax return required under section 11 or 12;(déclaration)

s. 1 — share

“share” means a share of capital stock of a financial corporation;(action)

s. 1 — shareholder

“shareholder” means a shareholder of a financial corporation and includes a member of a financial corporation or other person entitled to receive payment of a dividend or to a share in a distribution on the winding-up of the financial corporation;(actionnaire)

s. 1 — subsidiary-controlled-financial-corporation

“subsidiary controlled financial corporation” means a financial corporation of which more than fifty per cent of the issued share capital, with full voting rights under all circumstances, is owned, directly or indirectly, by another corporation;(corporation financière filiale contrôlée)

s. 1 — tax

“tax” means the tax imposed by this Act and includes all penalties and interest that are, may be or may have been added to the tax;(taxe)

s. 1 — taxation-year

“taxation year” means the fiscal year in relation to which the amount of tax is being computed;(année d’imposition)

s. 1 — third-party

“third party” means a person who is or is about to become indebted to or liable to pay money to a financial corporation liable to pay the tax;(tiers)

s. 1 — total-assets

“total assets” includes the amount by which(actif total)

s. 1(a) — Definitions

(a) the value of an asset of a financial corporation, as carried on its books of account or on its balance sheet, exceeds the cost of the asset, or

s. 1(b) — Definitions

(b) the value of an asset of a financial corporation has been written down and deducted from its income or undivided profits, where that amount

s. 1(b)(i) — Definitions

(i) is not deductible under the Income Tax Act, or

s. 1(b)(ii) — Definitions

(ii) is deductible under paragraph 20(1)(n) or subparagraph 40(1)(a)(iii) of the Income Tax Act,

s. 1 — trust-company

“trust company” means a trust institution or corporation that accepts deposits within the meaning of the Canada Deposit Insurance Corporation Act (Canada) but does not include(compagnie de fiducie)

s. 1(a) — Definitions

(a) a bank,

s. 1(b) — Definitions

(b) a loan company,

s. 1(c) — Definitions

(c) a credit union incorporated under the Credit Unions Act or any former Credit Unions Act, or

s. 1(d) — Definitions

(d) Atlantic Central as defined in the Credit Unions Act.

s. 2 — Liability for tax and tax payable

1988, c.15, s.1; 2012, c.18, s.1; 2014, c.33, s.1; 2016, c.12, s.1; 2023, c.17, s.92

s. 2(1) — Liability for tax and tax payable

A financial corporation that has a permanent establishment within the Province shall pay to the Crown in right of the Province a tax at the rate of 4% of the amount taxable of the financial corporation.

s. 2(2) — Liability for tax and tax payable

Despite subsection (1), a financial corporation that is a bank that has a permanent establishment within the Province shall pay to the Crown in right of the Province a tax at the rate of 5% of the amount taxable of the bank which rate applies on or after April 1, 2016.

s. 2(3) — Liability for tax and tax payable

If a financial corporation that is a bank has a fiscal year beginning before April 1, 2016, and ending on or after April 1, 2016, the tax payable by the financial corporation for the fiscal year shall be calculated as follows:

s. 2(3)(a) — Liability for tax and tax payable

(a) by dividing the fiscal year into two notional fiscal years, the first ending on March 31, 2016, and the second beginning on April 1, 2016;

s. 2(3)(b) — Liability for tax and tax payable

(b) by apportioning the amount taxable between the two notional fiscal years proportionately according to the number of days in each;

s. 2(3)(c) — Liability for tax and tax payable

(c) by calculating

s. 2(3)(c)(i) — Liability for tax and tax payable

(i) tax for the first notional fiscal year in accordance with subsection (1), and

s. 2(3)(c)(ii) — Liability for tax and tax payable

(ii) tax for the second notional fiscal year in accordance with subsection (2); and

s. 2(3)(d) — Liability for tax and tax payable

(d) by adding together the amounts determined under paragraph (c) and the total is the tax payable in respect of that fiscal year.

s. 3 — Shorter fiscal year

Where a financial corporation has a fiscal year of fewer than three hundred and sixty-two days, the tax payable by the financial corporation for that fiscal year is equal to the product of

s. 3(a) — Shorter fiscal year

(a) the tax payable by the financial corporation for the fiscal year, and

s. 3(b) — Shorter fiscal year

(b) the number of days in its fiscal year divided by three hundred and sixty-five.

s. 4 — Cessation of permanent establishment

Where a financial corporation ceases to have a permanent establishment in the Province during a fiscal year, it shall, in respect of the incomplete fiscal year, pay the tax in the same manner as though the fiscal year had ended on the day on which it ceased to have a permanent establishment in the Province.

s. 4.1

For the purposes of this Act, the Minister may deem the fiscal year of a financial corporation to have ended on the day immediately before the day on which the financial corporation concludes any transaction or series of transactions that results in a sale, transfer or other disposition of more that 50% of its total assets. 2014, c.33, s.2

s. 5 — Accrual of tax

The tax shall be deemed to accrue proportionately as the days of the fiscal year for which the tax is imposed pass.

s. 6 — Monthly instalment payments, submission of information

2014, c.33, s.3

s. 6(1) — Monthly instalment payments, submission of information

For the purposes of this section, a financial corporation’s fiscal year shall be deemed to end on the last day of the month in which its fiscal year ends.

s. 6(2) — Monthly instalment payments, submission of information

A financial corporation that is liable to pay the tax and whose fiscal year commences on or after April 1, 1987, shall pay to the Minister, on or before the twentieth day of each month of the fiscal year, an instalment payment equal to one-twelfth of the tax payable for the fiscal year, as estimated by the financial corporation.

s. 6(3) — Monthly instalment payments, submission of information

In addition to the payment referred to in subsection (2), a financial corporation shall submit to the Minister such information as the Minister requires.

s. 6(4) — Monthly instalment payments, submission of information

Repealed: 2014, c.33, s.3

s. 7 — Deferral of date of payment

The Minister may defer the date by which a financial corporation is required to pay the tax or an instalment of the tax to any date that the Minister may determine and the Minister may specify such conditions as the Minister considers appropriate for the deferral.

s. 8 — Paid-up capital, taxable paid-up capital re resident financial corporation

1991, c.54, s.1; 2010, c.28, s.1

s. 8(1) — Paid-up capital, taxable paid-up capital re resident financial corporation

The paid-up capital of a bank that is a resident financial corporation is the aggregate, computed at the close of its fiscal year, of

s. 8(1)(a) — Paid-up capital, taxable paid-up capital re resident financial corporation

(a) its issued and fully paid-up capital stock,

s. 8(1)(b) — Paid-up capital, taxable paid-up capital re resident financial corporation

(b) its contributed surplus,

s. 8(1)(c) — Paid-up capital, taxable paid-up capital re resident financial corporation

(c) its retained earnings,

s. 8(1)(c.1) — Paid-up capital, taxable paid-up capital re resident financial corporation

(c.1) for taxation years commencing after September 30, 2006, its accumulated other comprehensive income,

s. 8(1)(d) — Paid-up capital, taxable paid-up capital re resident financial corporation

(d) its general reserve, and

s. 8(1)(e) — Paid-up capital, taxable paid-up capital re resident financial corporation

(e) any tax paid appropriations included in its appropriation for contingencies account,

s. 8(2) — Paid-up capital, taxable paid-up capital re resident financial corporation

The taxable paid-up capital for a fiscal year of a bank that is a resident financial corporation is its paid-up capital less ten million dollars.

s. 8(3) — Paid-up capital, taxable paid-up capital re resident financial corporation

The paid-up capital of a loan company that is a resident financial corporation or a trust company that is a resident financial corporation is the aggregate, computed at the close of its fiscal year, of

s. 8(3)(a) — Paid-up capital, taxable paid-up capital re resident financial corporation

(a) its paid-up capital stock,

s. 8(3)(b) — Paid-up capital, taxable paid-up capital re resident financial corporation

(b) its earned capital and other surpluses,

s. 8(3)(b.1) — Paid-up capital, taxable paid-up capital re resident financial corporation

(b.1) for taxation years commencing after September 30, 2006, its accumulated other comprehensive income,

s. 8(3)(c) — Paid-up capital, taxable paid-up capital re resident financial corporation

(c) all its reserves as recorded in the books of the corporation, whether created from income or other sources, but unless required by the regulations to be included, not including any reserve, an amount for the creation of which is allowed as a charge against income under the Income Tax Act (Canada), and

s. 8(3)(d) — Paid-up capital, taxable paid-up capital re resident financial corporation

(d) its deferred income tax balances as recorded in the books of the corporation.

s. 8(4) — Paid-up capital, taxable paid-up capital re resident financial corporation

The taxable paid-up capital for a fiscal year of a loan company that is a resident financial corporation or a trust company that is a resident financial corporation is its paid-up capital less ten million dollars.

s. 9 — Paid-up capital, taxable paid-up capital re non-resident financial corporation

s. 9(1) — Paid-up capital, taxable paid-up capital re non-resident financial corporation

The paid-up capital employed in Canada of a non-resident financial corporation is the greater of

s. 9(1)(a) — Paid-up capital, taxable paid-up capital re non-resident financial corporation

(a) the amount equal to the product of

s. 9(1)(a)(i) — Paid-up capital, taxable paid-up capital re non-resident financial corporation

(i) its taxable income earned in Canada in its fiscal year, determined for the purposes of the Income Tax Act, and

s. 9(1)(a)(ii) — Paid-up capital, taxable paid-up capital re non-resident financial corporation

(ii) twelve and one-half; and

s. 9(1)(b) — Paid-up capital, taxable paid-up capital re non-resident financial corporation

(b) the amount by which the amount of the total assets of the non-resident financial corporation in Canada, as at the close of its fiscal year, exceeds the amount of the indebtedness of the non-resident financial corporation, as at the close of its fiscal year, relating to its permanent establishments in Canada, excluding

s. 9(1)(b)(i) — Paid-up capital, taxable paid-up capital re non-resident financial corporation

(i) any amounts that are advanced or loaned to its permanent establishments in Canada

s. 9(1)(b)(ii) — Paid-up capital, taxable paid-up capital re non-resident financial corporation

(ii) any other indebtedness that is represented by bonds, bond mortgages, debentures, mortgages, lien notes or any other securities to which any part of the property in Canada is subject.

s. 9(2) — Paid-up capital, taxable paid-up capital re non-resident financial corporation

The paid-up capital employed in Canada computed in accordance with subsection (1) shall be treated as though

s. 9(2)(a) — Paid-up capital, taxable paid-up capital re non-resident financial corporation

(a) the non-resident financial corporation had no permanent establishment outside Canada,

s. 9(2)(b) — Paid-up capital, taxable paid-up capital re non-resident financial corporation

(b) the paid-up capital employed in Canada were the total paid-up capital of the non-resident financial corporation, and

s. 9(2)(c) — Paid-up capital, taxable paid-up capital re non-resident financial corporation

(c) the taxable paid-up capital employed in Canada were allocated, in accordance with the regulations, among all the provinces and territories of Canada.

s. 9(3) — Paid-up capital, taxable paid-up capital re non-resident financial corporation

The indebtedness of the non-resident financial corporation mentioned in subparagraph (1)(b)(ii) does not include a trade account payable by the non-resident financial corporation and reported as a current liability, other than an indebtedness to shareholders or to any persons related to any of its shareholders where the trade account

s. 9(3)(a) — Paid-up capital, taxable paid-up capital re non-resident financial corporation

(a) is outstanding for more than ninety days as at the close of the fiscal year, or

s. 9(3)(b) — Paid-up capital, taxable paid-up capital re non-resident financial corporation

(b) is a portion of a long-term debt to another corporation.

s. 9(4) — Paid-up capital, taxable paid-up capital re non-resident financial corporation

The paid-up capital employed in Canada of a non-resident financial corporation does not include any capital invested in a ship or aircraft operated by the non-resident financial corporation in Canada in the fiscal year where the non-resident financial corporation is entitled under paragraph 81(1)(c) of the Income Tax Act, in computing its income for the fiscal year, to exclude the income earned in the fiscal year in Canada from the operation of that ship or aircraft.

s. 9(5) — Paid-up capital, taxable paid-up capital re non-resident financial corporation

The taxable paid-up capital employed in Canada of a non-resident financial corporation shall be computed in accordance with the regulations.

s. 9(6) — Paid-up capital, taxable paid-up capital re non-resident financial corporation

For the purposes of this section

s. 9(6)(a) — Paid-up capital, taxable paid-up capital re non-resident financial corporation

(a) a group of persons is a related group if each member is related to every other member of the group;

s. 9(6)(b) — Paid-up capital, taxable paid-up capital re non-resident financial corporation

(b) individuals are related if they are connected by blood relationship, marriage or adoption;

s. 9(6)(c) — Paid-up capital, taxable paid-up capital re non-resident financial corporation

(c) two individuals are connected by blood relationship, where one is the child or other descendant of the other or is the brother or sister of the other;

s. 9(6)(d) — Paid-up capital, taxable paid-up capital re non-resident financial corporation

(d) two individuals are connected by marriage, where one is married to the other or to a person who is connected by blood relationship to the other;

s. 9(6)(e) — Paid-up capital, taxable paid-up capital re non-resident financial corporation

(e) two individuals are connected by adoption, where one has been adopted, either legally or in fact, as a child of the other or as the child of a person who is connected to the other by blood relationship, other than as a brother or sister;

s. 9(6)(f) — Paid-up capital, taxable paid-up capital re non-resident financial corporation

(f) a financial corporation and a person who controls the financial corporation are related;

s. 9(6)(g) — Paid-up capital, taxable paid-up capital re non-resident financial corporation

(g) a financial corporation and a person who is a member of a related group that controls the financial corporation are related;

s. 9(6)(h) — Paid-up capital, taxable paid-up capital re non-resident financial corporation

(h) a financial corporation and a person related to a person described in paragraph (f) or (g) are related; and

s. 9(6)(i) — Paid-up capital, taxable paid-up capital re non-resident financial corporation

(i) two financial corporations are related if

s. 9(6)(i)(i) — Paid-up capital, taxable paid-up capital re non-resident financial corporation

(i) they are controlled by the same person or the same group of persons,

s. 9(6)(i)(ii) — Paid-up capital, taxable paid-up capital re non-resident financial corporation

(ii) each of the financial corporations is controlled by one person and the person who controls one of the financial corporations is related to the person who controls the other financial corporation,

s. 9(6)(i)(iii) — Paid-up capital, taxable paid-up capital re non-resident financial corporation

(iii) one of the financial corporations is controlled by one person and that person is related to any member of a related group that controls the other financial corporation,

s. 9(6)(i)(iv) — Paid-up capital, taxable paid-up capital re non-resident financial corporation

(iv) one of the financial corporations is controlled by one person and that person is related to each member of an unrelated group that controls the other financial corporation,

s. 9(6)(i)(v) — Paid-up capital, taxable paid-up capital re non-resident financial corporation

(v) any member of a related group that controls one of the financial corporations is related to each member of an unrelated group that controls the other financial corporation, or

s. 9(6)(i)(vi) — Paid-up capital, taxable paid-up capital re non-resident financial corporation

(vi) each member of an unrelated group that controls one of the financial corporations is related to at least one member of an unrelated group that controls the other financial corporation.

s. 9(7) — Paid-up capital, taxable paid-up capital re non-resident financial corporation

Where two financial corporations are each related to the same corporation, they shall be deemed to be related to each other.

s. 9(8) — Paid-up capital, taxable paid-up capital re non-resident financial corporation

Where a related group is in a position to control a financial corporation, it shall be deemed to be a related group that controls the financial corporation whether or not it is part of a larger group which in fact controls the financial corporation.

s. 9(9) — Paid-up capital, taxable paid-up capital re non-resident financial corporation

A person who has a right under a contract

s. 9(9)(a) — Paid-up capital, taxable paid-up capital re non-resident financial corporation

(a) to acquire shares in a financial corporation, or

s. 9(9)(b) — Paid-up capital, taxable paid-up capital re non-resident financial corporation

(b) to control the voting rights of shares in a financial corporation,

s. 9(10) — Paid-up capital, taxable paid-up capital re non-resident financial corporation

Where a person owns shares in two or more financial corporations, the person shall be, as shareholder of one of the financial corporations, deemed to be related to himself, herself or itself as shareholder of each of the other financial corporations.

s. 10 — Prohibition respecting reductions

When computing taxable paid-up capital of a resident financial corporation or taxable paid-up capital employed in Canada of a non-resident financial corporation, no reduction may be made with respect to any transaction that would unduly or artificially reduce the taxable paid-up capital of the resident financial corporation or the taxable paid-up capital employed in Canada of the non-resident financial corporation.

s. 11 — Filing of return and payment of tax

A financial corporation that is liable to pay the tax and that has taxable paid-up capital or taxable paid-up capital employed in Canada shall, on or before the last day of the month that ends six months after the close of its fiscal year, without notice or demand

s. 11(a) — Filing of return and payment of tax

(a) file a financial corporation capital tax return for the fiscal year with the Minister, and

s. 11(b) — Filing of return and payment of tax

(b) pay to the Minister the tax payable by the financial corporation for the fiscal year, less the amount of any payments made in respect of the fiscal year under section 6.

s. 12 — Obligations of financial institution

Whether or not a financial corporation is liable to pay the tax under this Act for a fiscal year and whether or not a financial corporation has filed a return under section 11, a financial corporation shall, on the demand of the Minister,

s. 12(a) — Obligations of financial institution

(a) file a financial corporation capital tax return

s. 12(a)(i) — Obligations of financial institution

(i) covering any fiscal year, and

s. 12(a)(ii) — Obligations of financial institution

(ii) including any information,

s. 12(b) — Obligations of financial institution

(b) pay to the Minister the tax payable by the financial corporation for that fiscal year, less the amount of any payments made in respect of that fiscal year under sections 6 and 11,

s. 13 — Documents required to be filed

s. 13(1) — Documents required to be filed

A financial corporation shall file with the Minister along with its return for a taxation year

s. 13(1)(a) — Documents required to be filed

(a) copies of corporation income tax returns filed for the purposes of the Income Tax Act, including copies of any schedules that are requested under the Income Tax Act and that the financial corporation has filed with its corporation income tax returns during the taxation year, and

s. 13(1)(b) — Documents required to be filed

(b) copies of the financial statements filed with its corporation income tax returns referred to in paragraph (a).

s. 13(2) — Documents required to be filed

A return shall be verified by a certificate certifying that the financial statements included in or attached to the return are in agreement with the books of account of the financial corporation.

s. 13(3) — Documents required to be filed

A certificate under subsection (2) shall be signed

s. 13(3)(a) — Documents required to be filed

(a) by the president of the financial corporation or any other officer having personal knowledge of the affairs of the financial corporation,

s. 13(3)(b) — Documents required to be filed

(b) in the case of a financial corporation having its head office outside the Province by the manager or chief agent of the financial corporation in the Province, or

s. 13(3)(c) — Documents required to be filed

(c) by any other person associated with the financial corporation that the Minister may approve.

s. 14 — Deferral of date of filing

The Minister may defer the date by which a financial corporation is required to file a return to any date that the Minister may determine and may specify such conditions as the Minister considers appropriate for the deferral.

s. 15 — Obligations of trustee, etc

A trustee in bankruptcy, assignee, liquidator, receiver, administrator or any other person administering, managing, winding-up, controlling or otherwise dealing with the property or business of a financial corporation shall

s. 15(a) — Obligations of trustee, etc

(a) file a return under section 11 or 12,

s. 15(b) — Obligations of trustee, etc

(b) pay any tax payable by the financial corporation as required by section 11 or 12, and

s. 15(c) — Obligations of trustee, etc

(c) before distributing any assets under the person’s control, obtain a certificate from the Minister certifying that no tax remains unpaid.

s. 15.1

2016, c.12, s.1

s. 15.1(1)

The following definitions apply in this section.

s. 15.1 — business-services-centre

“business services centre” means a distinct entity of an eligible financial corporation where specific business services for the corporation are consolidated, centralized and executed, including but not limited to accounting, payroll, human resources, information technology, legal, compliance and security services.(centre de services d’affaires)

s. 15.1 — eligible-employee

“eligible employee” , in respect of a fiscal year, means an individual who was, in the fiscal year, an employee of an eligible financial corporation at its business services centre located in the Province, who was resident in the Province in the fiscal year and to whom section 11 of the New Brunswick Income Tax Act applied in the fiscal year.(employé admissible)

s. 15.1 — eligible-financial-corporation

“eligible financial corporation” means a financial corporation that is a bank.(corporation financière admissible)

s. 15.1 — eligible-salaries

“eligible salaries” , of an eligible financial corporation for a fiscal year, means the salaries or wages of eligible employees directly attributable to the eligible financial corporation that are incurred in the fiscal year.(traitements admissibles)

s. 15.1(2)

An eligible financial corporation is eligible for a New Brunswick employment tax credit for a fiscal year if

s. 15.1(2)(a)

(a) it operates a business services centre located in the Province where eligible employees are employed,

s. 15.1(2)(b)

(b) it is liable to pay the tax for the fiscal year,

s. 15.1(2)(c)

(c) it files with its financial corporation capital tax return for the fiscal year a New Brunswick employment tax credit certificate issued in accordance with the regulations, and

s. 15.1(2)(d)

(d) it meets all other requirements in this Act and the regulations.

s. 15.1(3)

The amount of the employment tax credit is determined as follows:

s. 15.1(4)

If the eligible salaries of eligible employees change in a fiscal year, the employment tax credit for the fiscal year shall be prorated.

s. 15.1(5)

If at any time in a fiscal year an eligible financial corporation does not meet the requirements in this Act and the regulations, the Minister may refuse to apply the employment tax credit in respect of that corporation for all or part of that fiscal year.

s. 16 — Demand requiring payment by third party

2023, c.17, s.92

s. 16(1) — Demand requiring payment by third party

Where the Minister has knowledge or reasonable grounds to believe that a person is a third party, the Minister may serve a demand on the third party requiring that all or any part of the money that is payable by the third party to a financial corporation liable to pay the tax be paid to the Minister within

s. 16(1)(a) — Demand requiring payment by third party

(a) thirty days after the day on which the demand is served, or

s. 16(1)(b) — Demand requiring payment by third party

(b) any longer period that the Minister specifies,

s. 16(2) — Demand requiring payment by third party

The receipt of the Minister for money paid under this section is a good and sufficient discharge of the liability of the third party to the extent of the payment by the third party under this section.

s. 16(3) — Demand requiring payment by third party

Where a third party is served with a demand under this section and subsequently pays an amount to the financial corporation liable to pay the tax, the third party is liable to pay the Crown in right of the Province to the extent of the lesser of

s. 16(3)(a) — Demand requiring payment by third party

(a) the amount paid to the financial corporation liable to pay the tax, and

s. 16(3)(b) — Demand requiring payment by third party

(b) the amount specified in the demand,

s. 17 — Order re books of account and records

s. 17(1) — Order re books of account and records

Where the books of account and records kept by a financial corporation are, in the opinion of the Commissioner, inadequate for the purposes of this Act, the Commissioner may, by written order, require books of account and records to be kept by the financial corporation in such form and manner as the Commissioner may determine and the Commissioner may specify a reasonable time within which the order shall be complied with.

s. 17(2) — Order re books of account and records

A financial corporation to which an order is issued under subsection (1) shall, within the specified time, keep the books of account and records in the form and manner required under subsection (1).

s. 18 — Order re information

The Minister may, by order, require any person

s. 18(a) — Order re information

(a) to provide the Minister with any information necessary for ensuring and securing compliance with this Act and the regulations under this Act,

s. 18(b) — Order re information

(b) to produce for the Minister any book, record, writing or other document in the possession or control of the person, or

s. 18(c) — Order re information

(c) to make available to the Minister any books, records or documents of a financial corporation necessary for ensuring and securing compliance with this Act and the regulations under this Act,

s. 19 — Demand re information

s. 19(1) — Demand re information

For the purposes of ensuring and securing compliance with this Act and the regulations under this Act, the Minister may demand in writing from any person, including the president, manager, secretary, director, agent or representative of a financial corporation,

s. 19(1)(a) — Demand re information

(a) a return and any information related to a return, and

s. 19(1)(b) — Demand re information

(b) the production, including the production on oath or solemn affirmation, of any books, letters, accounts, invoices, financial or other statements or any other document,

s. 19(2) — Demand re information

For the purposes of ensuring and securing compliance with this Act and the regulations under this Act, the Minister may demand in writing from

s. 19(2)(a) — Demand re information

(a) any person, syndicate, trust or corporation, and

s. 19(2)(b) — Demand re information

(b) any agent or official of any person, syndicate, trust or corporation,

s. 19(3) — Demand re information

The Minister may specify a reasonable time within which a demand under this section shall be complied with, and every person to whom a demand is made shall comply with the demand within the specified time.

s. 20 — Change in fiscal year

No financial corporation shall change its fiscal year for the purposes of this Act unless

s. 20(a) — Change in fiscal year

(a) it gives written notice to the Minister before the proposed change, and

s. 20(b) — Change in fiscal year

(b) the Minister has not, within sixty days after the receipt of the notice referred to in paragraph (a), objected to the proposed change.

s. 21 — Evidence

Where any book, record or other document has been seized, examined or produced under the Revenue Administration Act for the purposes of this Act, the Minister or an inspector may make or cause to be made a copy of the book, record or other document, and a document purporting to be certified by the Minister or an inspector to be a copy made under this section may be adduced in evidence in any court without proof of the appointment, signature or authority of the Minister or inspector and when so adduced is equally authentic and of equal weight in evidence as the original document.

s. 22 — Powers of Minister

The Minister may

s. 22(a) — Powers of Minister

(a) require any person connected with the financial corporation that the Minister considers appropriate to sign and forward a certificate verifying a return,

s. 22(b) — Powers of Minister

(b) specify any information that is to be included in an individual return, and

s. 22(c) — Powers of Minister

(c) issue certificates for the purposes of paragraph 15(c).

s. 23 — Administration of Act, role of Commissioner

s. 23(1) — Administration of Act, role of Commissioner

The Minister shall administer this Act and may designate persons to act on behalf of the Minister.

s. 23(2) — Administration of Act, role of Commissioner

The Commissioner shall act under the instructions of the Minister or Deputy Minister, shall have general supervision over all matters relating to this Act and shall perform such duties as are assigned to the Commissioner by this Act, the Lieutenant-Governor in Council, the Minister or the Deputy Minister.

s. 24 — Regulations

2002, c.47, s.1; 2016, c.12, s.1.

s. 24(1) — Regulations

The Lieutenant-Governor in Council may make regulations

s. 24(1)(a) — Regulations

(a) requiring amounts or portions of amounts to be included in total assets, other surplus or reserves of a financial corporation;

s. 24(1)(b) — Regulations

(b) respecting the allocation formula for taxable paid-up capital or taxable paid-up capital employed in Canada;

s. 24(1)(b.1) — Regulations

(b.1) governing the New Brunswick employment tax credit referred to in section 15.1;

s. 24(1)(b.2) — Regulations

(b.2) governing the New Brunswick employment tax credit certificates referred to in section 15.1, including applications for the certificates, issuance of the certificates and revocation of the certificates;

s. 24(1)(c) — Regulations

(c) respecting information required to be disclosed in or provided with a return;

s. 24(1)(d) — Regulations

(d) respecting the manner in which and the time or times at which returns are to be made;

s. 24(1)(e) — Regulations

(e) prescribing certain classes of financial corporations resident in Canada that shall be deemed, for the purposes of this Act or for the purposes of any specified provision of this Act, to be financial corporations that are not resident in Canada;

s. 24(1)(f) — Regulations

(f) respecting the manner in which assets and liabilities of and capital used in any partnership or joint venture carried on by a financial corporation with some other person are to be accounted for in determining the amount taxable of the financial corporation;

s. 24(1)(g) — Regulations

(g) respecting the computation of the taxable paid-up capital employed in Canada of a non-resident financial corporation;

s. 24(1)(h) — Regulations

(h) respecting the determination of the value of the amount taxable of a financial corporation that is used by a financial corporation in a jurisdiction outside the Province;

s. 24(1)(i) — Regulations

(i) respecting records, information, books and accounts to be kept by financial corporations, including the place or places where they are to be kept and the length of time they are to be kept;

s. 24(1)(j) — Regulations

(j) respecting forms for the purposes of this Act;

s. 24(1)(k) — Regulations

(k) prescribing fees for the purposes of this Act;

s. 24(1)(l) — Regulations

(l) authorizing a designated person or class of persons to exercise any powers or perform any duties of the Commissioner under this Act;

s. 24(1)(m) — Regulations

(m) defining a word or expression used in this Act but not defined in this Act.

s. 24(2) — Regulations

Notwithstanding the Regulations Act, a regulation made under this Act may be made retroactive to April 1, 1987.

s. 25 — Consequential amendment

s. 26 — Commencement