ARCHIVED - Department of Finance Canada

Regulations

Expected Results

Performance Measurement Criteria

Results Achieved

Legislation will be introduced to update the financial institutions statutes that sunset in April 2007, and associated regulations will be brought forward to bring the legislation into force

Legislation/regulations will be developed

Introduction of new legislation/regulations

Legislation updating the financial institution statutes was tabled on November 27, 2006. On March 30, 2007, An Act to amend the law governing financial institutions and to provide for related and consequential matters (Bill C-37) received Royal Assent. On April 20, 2007, most of the provisions of Bill C-37 came into force. To be fully implemented, the legislation will require regulations. The Department has started working on the development of those regulations.

Regulations will be introduced pursuant to the passage of Bill C-57, which updated the corporate governance provisions in the financial institutions statutes

Regulations will be developed

Introduction of regulations

On November 25, 2005, An Act to amend certain Acts in relation to financial institutions (Bill C-57) received Royal Assent. The legislation modernizes the governance framework for federal financial institutions. A part of the legislation and associated regulations were brought into force on November 28, 2006. The final part of the legislation and regulations will be brought forward in 2007–08.

Amendments may be made to regulations under the Excise Tax Act (GST/HST and excise taxes), the Air Travellers Security Charge Act, the Excise Act, and the Excise Act, 2001. These acts contain a number of provisions that give regulatory powers to deal with GST/HST, excise tax, and excise duty issues

Through the use of regulations, the government may propose changes to address some issues in the GST/HST excise tax, and excise duty system. Amendments to the regulations are required from time to time to respond to emerging policy and technical issues, including budget-related measures

Release and implementation of GST/HST and excise tax and duty system regulatory amendments to address emerging policy or technical issues

The Regulations Amending the Artists' Representatives (GST/HST) Regulations received final publication on June 23, 2006 (SOR/2006-158).

The Regulations Amending and Repealing Certain Regulations Made under Part IX of the Excise Tax Act (Miscellaneous Program) received final publication on June 23, 2006 (SOR/2006-162).

The Regulations Amending the Taxes, Duties and Fees (GST/HST) Regulations received final publication on November 9, 2006 (SOR/2006-280).

A number of regulatory amendments have been proposed in Budget 2006 consequential to the reduction in the GST and the federal component of the HST and the Standardized Accounting initiative.

The Draft Regulations amending the Deduction for Provincial Rebate (GST/HST) Regulations were proposed on October 6, 2006. The Draft Input Tax Credit Allocation Methods (GST/HST) Regulations were released on January 26, 2007.

The Interest Rates (Excise Act, 2001) Regulations received final publication on October 18, 2006 (SOR/2006-229).

The Interest Rates (Excise Tax Act) Regulations received final publication on October 18, 2006 (SOR/2006-230).

Other regulations have been developed and will be ready for publication in 2007–08.

Consequential and technical amendments will also be made to the CPPIB Regulations amendments that result from An Act to amend the CPP and the CPPIB Act,S.C. 2003, c. 5, which came into force on April 1, 2004

Regulations will be developed as required

Introduction of regulations

TheRegulations amending the CPPIB Regulations (SOR 2007-13) received final publication on February 21, 2007.

Customs Tariff—The Tariff contains a number of provisions that allow the government to respond to the competitive needs of Canadian industry and to enforce Canada's rights and meet its obligations under international agreements and arrangements to which Canada is a party

Through the use of orders and regulations, the government will continue to respond to the competitive needs of Canadian industry and will enforce Canada's rights and meet its obligations under international agreements and arrangements

Orders in council

In 2006–07, the Department approved 15 requests for tariff elimination on specific products and completed its work to eliminate duties on a very large number of textile products, which resulted in a total amount of ongoing duty relief of about $18 million, in addition to the $39 million of duty relief provided in 2005–06. Three remission orders were also approved, providing duty relief on a temporary basis of approximately $53 million.

Income Tax Act and related Regulations—The Income Tax Act contains a number of provisions that give regulatory powers to deal with income tax issues

Through the use of regulations, the government may propose changes to address some issues in the income tax system. Amendments to the regulations are required from time to time to address emerging policy or technical issues, including budget-related measures

Development of regulations

The Regulations

Amending the Income Tax Regulations (Capital Cost Allowance─ Introduction of Classes 43.2, 47, 48 and 49) were published in the Canada Gazette, Part II, on June 14, 2006 (SOR/2006-117).

The Regulations Amending the Income Tax Regulations (Mining Taxes) were published in the Canada Gazette, Part II, on October 4, 2006 (SOR/2006-207).

The Regulations

Amending the Income Tax Regulations (Capital Cost Allowance—Forestry Bioenergy Equipment) were published in the Canada Gazette, Part II, on November 1, 2006 (SOR/2006-249).

The Regulations

Amending the Income Tax Regulations (Motor Vehicle Expenses and Benefits 2006)were published in the Canada Gazette, Part II, on November 1, 2006 (SOR/2006-250).

The Regulations

Amending the Income Tax Regulations (Natural Resources) were published in the Canada Gazette, Part II, on February 21, 2007 (SOR/2007-19).

The Regulations

Amending the Income Tax Regulations (Prescribed Forest Management Plans for Woodlots) were published in the Canada Gazette, Part II, on March 7, 2007 (SOR/2007-35).

Draft legislative proposals (including proposals relating to the Income Tax Regulations) to implement those aspects of the government's Tax Fairness Plan dealing with income trusts and other flow-through entities were released on December 21, 2006.

Amendments to the Income Tax Regulations relating to certain measures announced or referenced in Budget 2007 were included in Bill C-52 (Budget Implementation Act, 2007), which was enacted as S.C. 2007, c. 29 on June 22, 2007.

Amendments to the Pension Benefits Standards Act, 1985, and related regulations

Legislative and regulatory amendments will be brought forward to improve the security of pension plan benefits and ensure the viability of defined benefit pension plans

Introduction of legislation/regulation

In Budget 2006, the Minister of Finance announced proposed funding relief for federally regulated defined benefit pension plans. The draft regulations setting out the detailed proposals were pre-published on June 2, 2006, for a 30-day public consultation period. In November 2006, the Solvency Funding Relief Regulations were adopted by the government.

Introduction of securities transfer legislation

Legislation will be brought forward to modernize the securities transfer provisions currently contained in various federal statutes

Introduction of legislation

Initial consultation with stakeholders in the fall of 2006 revealed the need for extensive and detailed public consultation. Budget 2007 included a commitment to release a consultation paper as part of the capital markets plan. The paper was published in June 2007.

Other amendments to the CPPIB Regulations may be identified during the federal-provincial triennial review of the CPP, which is scheduled to be completed in 2006

If changes are agreed to by federal and provincial governments, regulations will be developed after the completion of the federal-provincial triennial review of the CPP in 2006

Introduction of regulations

The triennial review concluded in June 2006. Ministers of Finance did not recommend any changes to the CPPIB regulatory framework.

Budget 2005 proposed to amend regulations made under the Pension Benefits Standards Act, 1985 to remove the requirement that life income funds be used to purchase an annuity when the beneficiary reaches age 80

Regulations will be introduced to remove the requirement to purchase an annuity at age 80

Introduction of regulations

The Regulations amending the Pension Benefits Regulations, 1985 (SOR 2006-208) received final publication on October 4, 2006.

Amendments to regulations relating to the Proceeds of Crime (Money Laundering) and Terrorist Financing Act

Legislation/regulations will be introduced to respond to revisions of the Financial Action Task Force on Money Laundering recommendations following public consultation, and to deal with the outcome of the negotiations with the Federation of Law Societies of Canada and the Law Society of British Columbia

Introduction of legislation/regulation

Bill C-25, an Act to Amend the Proceeds of Crime (Money Laundering) and Terrorist Financing Act and the Income Tax Act and to make a consequential amendment to another Act, received Royal Assent on December 14, 2006; the Proceeds of Crime (Money Laundering) and Terrorist Financing Registration Regulations and Regulations amending Certain Regulations Made Under the Proceeds of Crime (Money Laundering) and Terrorist Financing Act were published in the Canada Gazette, Part I, on March 10, 2007.

Amendments to the CPP and Regulations may be identified during the federal-provincial triennial review of the CPP that is scheduled to be completed in June 2006

Legislation and regulations will be developed

Introduction of legislation and regulations

Tabling of legislation in Parliament (Bill C-36). The Regulations related to the legislative changes are being developed.

Amendment to the Federal-Provincial Fiscal Arrangements Act (Budget 2006)

An enactment to amend the Federal-Provincial Arrangements Act to determine the amount of the fiscal equalization payments to eligible provinces and the TFF payments to each of the territories for the fiscal year beginning April 1, 2006. Additional targeted support and other housekeeping issues were also addressed

Development and introduction of legislation

The Budget Implementation Act, 2006 received Royal Assent on June 22, 2006.

Amendment to the Federal-Provincial Fiscal Arrangements Act (Budget 2007)

An enactment to amend the Federal-Provincial Fiscal Arrangements Act to provide for payments to provinces for fiscal equalization and to territories for TFF for 2007–08 and introduce a renewed formula for fiscal equalization payments to eligible provinces and a renewed formula for TFF to each of the territories for the fiscal years beginning April 1, 2008 and beyond

Development and introduction of legislation and regulations

The Budget Implementation Act, 2007 was tabled on March 19, 2007. As at March 31, 2007, this legislation has yet to receive Royal Assent. Regulations are to be developed in 2007–08.

Amendment to the Federal-Provincial Fiscal Arrangements Act (Budget 2007)

An enactment to amend the Federal-Provincial Fiscal Arrangements Act to implement Budget 2007 reforms to the CST, including increasing and extending cash levels to 2013 and a 3% annual escalator. It also moves the CST and CHT to equal per capita cash allocations and provides transition protection against declines

Development and introduction of legislation and regulations

The Budget Implementation Act, 2007 was tabled on March 19, 2007. As at March 31, 2007, this legislation has yet to receive Royal Assent. Regulations are to be developed in 2007–08.

Establishment of targeted support to provinces and territories in An Act to implement certain provisions of the budget tabled in Parliament on March 19, 2007

An enactment within the Budget Implementation Act, 2007 to create the Clean Air and Climate Change Trust, Patient Wait Times Guarantee Trust, Human Papillomavirus Immunization Trust, and the Transition Trust. It also provides for targeted transfer for child care, transitional payments, and funding related to data revision adjustments.

Development and introduction of legislation and regulations

The Budget Implementation Act, 2007 was tabled on March 19, 2007. As at March 31, 2007, this legislation has yet to receive Royal Assent.