Income Tax Act (R.S.C., 1985, c. 1 (5th Supp.))

Act current to 2017-11-06 and last amended on 2017-07-01. Previous Versions

Marginal note:Regulations
  •  (1) The Governor in Council may make regulations

    • (a) prescribing anything that, by this Act, is to be prescribed or is to be determined or regulated by regulation;

    • (b) prescribing the evidence required to establish facts relevant to assessments under this Act;

    • (c) to facilitate the assessment of tax where deductions or exemptions of a taxpayer have changed in a taxation year;

    • (d) requiring any class of persons to make information returns respecting any class of information required in connection with assessments under this Act;

    • (d.1) requiring any person or partnership to provide any information including their name, address, Social Insurance Number or business number to any class of persons required to make an information return containing that information;

    • (d.2) requiring any class of persons to make information available to the public for the purpose of making information returns respecting any class of information required in connection with assessments under this Act;

    • (e) requiring a person who is, by a regulation made under paragraph 221(1)(d), required to make an information return to supply a copy of the information return or of a prescribed part thereof to the person to whom the information return or part thereof relates;

    • (f) [Repealed, 1998, c. 19, s. 222(2)]

    • (g) providing for the retention by way of deduction or set-off of the amount of a taxpayer’s income tax or other indebtedness under this Act out of any amount or amounts that may be or become payable by Her Majesty to the taxpayer in respect of salary or wages;

    • (h) defining the classes of persons who may be regarded as dependent for the purposes of this Act;

    • (i) defining the classes of non-resident persons who may be regarded for the purposes of this Act

      • (i) as a spouse or common-law partner supported by a taxpayer, or

      • (ii) as a person dependent or wholly dependent on a taxpayer for support,

      and specifying the evidence required to establish that a person belongs to any such class; and

    • (j) generally to carry out the purposes and provisions of this Act.

  • Marginal note:Effect

    (2) A regulation made under this Act shall have effect from the date it is published in the Canada Gazette or at such time thereafter as may be specified in the regulation unless the regulation provides otherwise and it

    • (a) has a relieving effect only;

    • (b) corrects an ambiguous or deficient enactment that was not in accordance with the objects of this Act or the Income Tax Regulations;

    • (c) is consequential on an amendment to this Act that is applicable before the date the regulation is published in the Canada Gazette; or

    • (d) gives effect to a budgetary or other public announcement, in which case the regulation shall not, except where paragraph 221(2)(a), 221(2)(b) or 221(2)(c) applies, have effect

      • (i) before the date on which the announcement was made, in the case of a deduction or withholding from an amount paid or credited, and

      • (ii) before the taxation year in which the announcement is made, in any other case.

  • Marginal note:Regulations binding Crown

    (3) Regulations made under paragraph 221(1)(d) or 221(1)(e) are binding on Her Majesty in right of Canada or a province.

  • Marginal note:Incorporation by reference

    (4) A regulation made under this Act may incorporate by reference material as amended from time to time.

  • NOTE: Application provisions are not included in the consolidated text;
  • see relevant amending Acts. R.S., 1985, c. 1 (5th Supp.), s. 221;
  • 1994, c. 7, Sch. II, s. 182;
  • 1998, c. 19, s. 222;
  • 2000, c. 12, s. 142;
  • 2007, c. 35, s. 62.
Marginal note:Application of interest

 For greater certainty, where an amendment to this Act or an amendment or enactment that relates to this Act applies to or in respect of any transaction, event or time, or any taxation year, fiscal period or other period of time or part thereof (in this section referred to as the “application time”) occurring, or that is, before the day on which the amendment or enactment is assented to or promulgated, for the purposes of the provisions of this Act that provide for payment of, or liability to, any interest, the amendment or enactment shall, unless a contrary intention is evident, be deemed to have come into force at the beginning of the last taxation year beginning before the application time.

  • NOTE: Application provisions are not included in the consolidated text;
  • see relevant amending Acts. 1994, c. 7, Sch. II, s. 183.
Marginal note:Re-appropriation of amounts
  •  (1) Where a particular amount was appropriated to an amount (in this section referred to as the “debt”) that is or may become payable by a person under any enactment referred to in paragraphs 223(1)(a) to 223(1)(d), the Minister may, on application by the person, appropriate the particular amount, or a part thereof, to another amount that is or may become payable under any such enactment and, for the purposes of any such enactment,

    • (a) the later appropriation shall be deemed to have been made at the time of the earlier appropriation;

    • (b) the earlier appropriation shall be deemed not to have been made to the extent of the later appropriation; and

    • (c) the particular amount shall be deemed not to have been paid on account of the debt to the extent of the later appropriation.

  • Marginal note:Re-appropriation of amounts

    (2) Where a particular amount was appropriated to an amount (in this section referred to as the “debt”) that is or may become payable by a person under this Act, the Excise Tax Act, the Air Travellers Security Charge Act or the Excise Act, 2001, the Minister may, on application by the person, appropriate the particular amount, or a part of it, to another amount that is or may become payable under any of those Acts and, for the purposes of any of those Acts,

    • (a) the later appropriation is deemed to have been made at the time of the earlier appropriation;

    • (b) the earlier appropriation is deemed not to have been made to the extent of the later appropriation; and

    • (c) the particular amount is deemed not to have been paid on account of the debt to the extent of the later appropriation.

  • NOTE: Application provisions are not included in the consolidated text;
  • see relevant amending Acts. 1994, c. 7, Sch. VIII, s. 128;
  • 2006, c. 4, s. 165.

Collection

Marginal note:Definitions
  •  (1) The following definitions apply in this section.

    action

    action

    action means an action to collect a tax debt of a taxpayer and includes a proceeding in a court and anything done by the Minister under subsection 129(2), 131(3), 132(2) or 164(2), section 203 or any provision of this Part. (action)

    tax debt

    dette fiscale

    tax debt means any amount payable by a taxpayer under this Act. (dette fiscale)

  • Marginal note:Debts to Her Majesty

    (2) A tax debt is a debt due to Her Majesty and is recoverable as such in the Federal Court or any other court of competent jurisdiction or in any other manner provided by this Act.

  • Marginal note:No actions after limitation period

    (3) The Minister may not commence an action to collect a tax debt after the end of the limitation period for the collection of the tax debt.

  • Marginal note:Limitation period

    (4) The limitation period for the collection of a tax debt of a taxpayer

    • (a) begins

      • (i) if a notice of assessment, or a notice referred to in subsection 226(1), in respect of the tax debt is sent to or served on the taxpayer, after March 3, 2004, on the day that is 90 days after the day on which the last one of those notices is sent or served, and

      • (ii) if subparagraph (i) does not apply and the tax debt was payable on March 4, 2004, or would have been payable on that date but for a limitation period that otherwise applied to the collection of the tax debt, on March 4, 2004; and

    • (b) ends, subject to subsection (8), on the day that is 10 years after the day on which it begins.

  • Marginal note:Limitation period restarted

    (5) The limitation period described in subsection (4) for the collection of a tax debt of a taxpayer restarts (and ends, subject to subsection (8), on the day that is 10 years after the day on which it restarts) on any day, before it would otherwise end, on which

    • (a) the taxpayer acknowledges the tax debt in accordance with subsection (6);

    • (b) the Minister commences an action to collect the tax debt; or

    • (c) the Minister, under subsection 159(3) or 160(2) or paragraph 227(10)(a), assesses any person in respect of the tax debt.

  • Marginal note:Acknowledgement of tax debts

    (6) A taxpayer acknowledges a tax debt if the taxpayer

    • (a) promises, in writing, to pay the tax debt;

    • (b) makes a written acknowledgement of the tax debt, whether or not a promise to pay can be inferred from the acknowledgement and whether or not it contains a refusal to pay; or

    • (c) makes a payment, including a purported payment by way of a negotiable instrument that is dishonoured, on account of the tax debt.

  • Marginal note:Agent or legal representative

    (7) For the purposes of this section, an acknowledgement made by a taxpayer’s agent or legal representative has the same effect as if it were made by the taxpayer.

  • Marginal note:Extension of limitation period

    (8) In computing the day on which a limitation period ends, there shall be added the number of days on which one or more of the following is the case:

    • (a) the Minister may not, because of any of subsections 225.1(2) to (5), take any of the actions described in subsection 225.1(1) in respect of the tax debt;

    • (b) the Minister has accepted and holds security in lieu of payment of the tax debt;

    • (c) if the taxpayer was resident in Canada on the applicable date described in paragraph (4)(a) in respect of the tax debt, the taxpayer is non-resident; or

    • (d) an action that the Minister may otherwise take in respect of the tax debt is restricted or not permitted under any provision of the Bankruptcy and Insolvency Act, of the Companies’ Creditors Arrangement Act or of the Farm Debt Mediation Act.

  • Marginal note:Bar to claims

    (9) Notwithstanding any law of Canada or a province, Her Majesty is not liable for any claim that arises because the Minister collected a tax debt after the end of any limitation period that applied to the collection of the tax debt and before March 4, 2004.

  • Marginal note:Orders after March 3, 2004 and before effect

    (10) Notwithstanding any order or judgment made after March 3, 2004 that declares a tax debt not to be payable by a taxpayer, or that orders the Minister to reimburse to a taxpayer a tax debt collected by the Minister, because a limitation period that applied to the collection of the tax debt ended before royal assent to any measure giving effect to this section, the tax debt is deemed to have become payable on March 4, 2004.

  • NOTE: Application provisions are not included in the consolidated text;
  • see relevant amending Acts. R.S., 1985, c. 1 (5th Supp.), s. 222;
  • 2004, c. 22, s. 50;
  • 2010, c. 25, s. 65.
 
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