Please note that the following document, although believed to be correct at the time of issue, may not represent the current position of the Department.
Prenez note que ce document, bien qu'exact au moment émis, peut ne pas représenter la position actuelle du ministère.
Revenue Canada Round Table
Canadian Petroleum Tax Society
June 7, 1995
Question #12
FILING DEADLINE UNDER SUBSECTION 216(4)
Can the 6 month deadline for filing a subsection 216(1) return referred to in subsection 216(4) be extended to the old deadline of two years?
Department's Position
Where a non-resident person has filed an undertaking (the "subsection 216(4) undertaking") to file subsection 216(1) return in respect of a taxation year within 6 months from the end of the taxation year, a person (the "Agent") who is otherwise required under subsection 215(3) to remit in the year an amount to the Receiver General in respect of a rent or royalty payment to the non-resident may elect under subsection 216(4) to withhold and remit in respect of a smaller amount as determined in paragraph 216(4)(a). If the subsection 216(1) return is not filed by the non-resident within 6 months from the end of the relevant taxation year, the Agent must remit an additional amount as determined under paragraph 216(4)(b). There has been no change to the 6 month filing deadline referred to in subsection 216(4).
Subsection 216(1) however, was amended applicable to taxation years ending after July 13, 1990, such that where a subsection 216(4) undertaking has been filed, a subsection 216(1) return in respect of a taxation year must be filed by the non-resident within 6 months following the end of that taxation year or it may not be filed at all. That is, prior to the amendment, the non-resident could have filed a subsection 216(1) return in respect of a taxation year at any time within the two year deadline notwithstanding that he had filed with the Minister a subsection 216(4) undertaking to file such return within 6 months from the end of the taxation year.
Olli Laurikainen
951162
May 8, 1995