Regulatory Initiative: Proposals for New Reporting Requirements for Trusts – Forward Regulatory Plan 2018-2020
Title or working title of the regulatory initiative:
Proposals for New Reporting Requirements for Trusts
Description of the objective:
To improve the collection of beneficial ownership information with respect to trusts, Budget 2018 proposed to require that certain trusts provide additional information on an annual basis. The new reporting requirements impose an obligation on certain trusts to file a T3 return where one does not currently exist. This information will be used to help the Canada Revenue Agency assess the tax liability for a trust and its beneficiaries. These proposed new reporting requirements will apply to returns required to be filed for the 2021 and subsequent taxation years.
Indication of business impacts:
The Small Business Lens is not expected to apply.
Public consultation opportunities:
Details on the initiative are available in Budget 2018 in the supplementary information on tax measures.
Canadians were consulted on the draft regulatory proposal as part of a consultation announced by news release on July 27, 2018. Interested parties were invited to provide comments on the proposal by September 10, 2018.
The news release for the consultation, along with the draft regulatory proposals and the explanatory notes, is available on the Finance Canada website.
Consultations and Communications Branch
Department of Finance Canada
90 Elgin Street
Ottawa, Ontario K1A 0G5
For more information
- Government-Wide Forward Regulatory Plans
- The Cabinet Directive on Regulatory Management
- The Red Tape Reduction Action Plan
- The Canada-United States Regulatory Cooperation Council