Join In: Open until July 30, 2021

On January 1, 2023, new international accounting rules for insurance contracts – known as International Financial Reporting Standards (IFRS) 17 – will come into effect.

IFRS 17 aims to improve the financial reporting of insurance contracts by mandating a consistent framework across countries, industries and types of insurance contracts. It also aims to provide more transparent and useful information about the value of insurance obligations and the profitability of insurance contracts.

To address these changes, the government is seeking input on its intention to maintain the current alignment between the taxation of profits and the timing of income earning activities. In particular, the government is requesting feedback on how to best enact IFRS 17 in a way that facilitates implementation by insurance companies and is auditable by the Canada Revenue Agency. The government also welcomes views on other potential taxation issues that could arise from the implementation of, or transition to the new standard. 

Who is the focus of this consultation?

We want to hear from insurance industry stakeholders. Interested tax practitioners and members of the public are also welcome to provide input.

In submitting your comments, please include:

• Full name of the official;
• name of the organization;
• full mailing address, including postal code;
• telephone number, including area code; and
• Reply e-mail address.
  

Participate through email

Due to COVID-19 public health considerations, email submissions are preferred. Send us your comments at ifrs17consultation-consultationifrs17@canada.ca with "IFRS 17" as the subject line.

Should you wish to provide comments by mail, please direct your submission to the attention of the Tax Policy Branch.

What's next?

This consultation with stakeholders will assist the government in developing potential modifications to the Income Tax Act and other administrative tools.

Information received through this comment process is subject to the Access to Information Act and the Privacy Act. Those providing comments are asked to indicate clearly the name of the individual or the organization that should be identified as having made the submission. In order to respect privacy and confidentiality, please advise when providing your comments whether you:

• consent to the disclosure of your comments in whole or in part;
• request that your identity and any personal identifiers be removed prior to publication; or
• wish that any portions of your comments be kept confidential (if so, clearly identify the confidential portions).

Should you indicate that your comments, or any portions thereof, be considered confidential, the Department of Finance will make all reasonable efforts to protect this information.

Related links

• International Financial Reporting Standards 17
• Department of Finance Launches Consultations on tax implications of international accounting rules for insurance contracts (IFRS 17)

Get in touch

ifrs17consultation-consultationifrs17@canada.ca