Once a Canadian business has been established or acquired, any profits from that business can be freely paid out to the foreign investor, as Canada has no system of exchange control. Therefore, Canadian dollar income can be freely exchanged into another currency at the best available rate of exchange and sent out of the country. The only restriction on such payments is the requirement to satisfy Canadian withholding tax obligations. (For more information concerning withholding tax obligations, see the discussion under the section below, entitled “Income Tax Considerations”.)
Additional posts from the blog
Canada’s first set of harmonized derivatives rules (trade reporting) published by three provinces: Ontario, Quebec and Manitoba
As mandatory reporting of OTC derivative contracts to trade repositories (TRs) (one of the G20 commitments) takes effect globally, the Ontario Securities Commission (the “OSC”), the Quebec Autorité des marchés financiers (the “AMF”) and the Manitoba Securities Commission (the “MSC”) on November 14, 2013, simultaneously published the first province-specific set of harmonized derivatives rules (the “Rules”) in Canada.
In this presentation, Dentons' Jeff Bastien, Andrea Raso and Dana Hooker discuss the appropriate ways to deal with employee absence.
On November 7, 2013, the Toronto Stock Exchange (“TSX”) issued a Staff Notice to Applicants, Listed Issuers, Securities Lawyers and Participating Organizations (“Staff Notice”) that provides guidance for companies considering a listing on the TSX.