On November 3rd, 2022, the Fall Economic Statement 2022, tabled
in Parliament, confirmed that the enhanced tax reporting
obligations for trusts shall apply to taxation years ending after
December 30th, 2023. This means that, unless exempted as discussed
below, existing trusts with a December 31st taxation year end will
now be subject to the new reporting requirements for 2023.
The federal government initially announced measures to require
additional reporting and disclosure from trusts on an annual basis
in its 2018 federal budget. The primary purpose of these amendments
was to increase transparency of trusts, their beneficial ownership
and legal control. The following is a summary of the most recent
draft legislation with respect to additional reporting requirements
for trusts.
