Notice of Ways and Means Introduced

• Establishing the Tax-Free Savings Account, effective for the 2009 tax year.
• Enhancing the flexibility of Registered Education Savings Plans by increasing by 10 years the time they may remain open and accept contributions, effective for the 2008 tax year.
• Increasing the residency component of the Northern Residents Deduction by 10 per cent, effective for the 2008 tax year.
• Extending eligibility for the Medical Expense Tax Credit to certain devices, effective for the 2008 tax year.
• Extending the Mineral Exploration Tax Credit by one year.
• Extending the capital gains tax exemption for certain donations of listed securities to certain exchangeable shares and partnership interests, for donations made on or after February 26, 2008.
• Adjusting the rate of gross-up of eligible dividends and the Dividend Tax Credit to reflect corporate income tax reductions, beginning in 2010.
• Increasing the benefits available to small and medium-sized businesses under the Scientific Research and Experimental Development Program, generally effective for taxation years that end on or after February 26, 2008.
• Amending the penalty for failure to remit source deductions when due and excusing early remittances from the financial institution remittance rules, effective for remittances on or after February 26, 2008.
• Reducing the paper burden associated with dispositions by non-residents of certain treaty-protected property, effective for dispositions that occur after 2008.
• Ensuring that the tax incentive for donations of medicines benefits recipients in developing countries to the greatest extent possible.
• Modifying the provincial component of the Specified Investment Flow-Through tax to better reflect actual provincial tax rates, generally effective for the 2009 tax year.
• Amending the Excise Act, the Excise Act 2001, and the Customs Tariff to improve tobacco tax enforcement and compliance, adjusting excise duties on tobacco sticks and tobacco for duty-free markets, and equalizing the excise treatment of imitation spirits and other spirits.
• Implementing Goods and Services Tax/Harmonized Sales Tax (GST/HST) as detailed in the budget.