TORONTO CHINESE BUSINESS ASSOCIATION

NEWSLETTER SpRiNg 2015

China Trade MissionNovember 2014

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The Right Honourable Stephen Harper, prime Minister of Canada, and The Honourable Ed Fast, Minister of International Trade, invited the President of the Toronto Chinese Business Association, Mr. John Leung, to participate in the trade mission to China from November 1 to November 13, 2014.

prime Minister Stephen Harper wrapped-up his third official visit to China. While in Beijing, the Prime Minister and China’s premier Li Keqiang agreed to a series of initiatives under the Canada-China Joint List of Outcomes 2014, including the establishment of an economic and financial strategic dialogue to enhance Canada-China commercial ties and the expansion of a Memorandum of Understanding on Nuclear Cooperation to increase exports to China. The leaders also agreed to a set of measures to support the increased use of renminbi in trade, commerce and investment between the two countries, which will help establish North America’s first offshore renminbi centre in Canada. The Prime Minister also met with President Xi Jinping and discussed the bilateral relationship and international issues of mutual interest.

TORONTO CHINESE BUSINESS ASSOCIATION NEWSLETTER Spring 2015

As part of promoting bilateral commercial trade, the Prime Minister met with a Canadian business delegation from a wide range of sectors to discuss the tremendous opportunities for Canadian companies to invest and grow their businesses in China. He also witnessed a series of commercial signings between Canadian and Chinese firms which are expected to create more than 2,000 jobs in the Canadian market. Lastly, while in Beijing, the Prime Minister took part in the Canada-China Business Forum where he engaged business leaders from both countries and highlighted the importance of the Canada-China commercial relationship.

While in Hangzhou, the prime Minister announced that Canada will open new trade offices in the Chinese cities of Hangzhou, Xi’an, Xiamen and Tianjin. This will help Canadian businesses flourish in some of the fastest growing regions of China, bringing Canada’s trade network to a total of 15 locations across the country.

Finally, on the first day of the Asia-Pacific Economic Cooperation (APEC) Leaders’ Meeting, the Prime Minister strongly encouraged

members to accelerate trade and investment liberalization, highlighting significant measures that Canada has taken to further facilitate international commercial flows with the region.

prime Minister Stephen Harper also witnessed the signing of more than 20 commercial agreements between Canadian and Chinese companies and organizations, which are a testament to the significant growth taking place in the bilateral commercial relationship. Several sectors stand to benefit from these agreements, including sustainable technologies, aerospace, transportation, construction, mining, energy, infrastructure, agri-food, and information and communications technologies sectors.

The signings, which took place in Beijing during the Prime Minister’s third official visit to China, are valued at more than $2.5 billion and are expected to create more than 2,000 new jobs in the Canadian market.

During his visit to China, the prime Minister was accompanied by John Baird, Minister of Foreign Affairs, Ed Fast, Minister of International Trade, Alice Wong, Minister of State for Seniors and Senator Victor Oh.

China Trade Mission (con’t)

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Information provided by Government of Canada.

TORONTO CHINESE BUSINESS ASSOCIATION NEWSLETTER Spring 2015

What is FATCA?The Foreign Account Tax Compliance Act (FATCA) is a U.S. tax legislation enacted in 2010, designed to target tax avoidance by U.S. persons using financial accounts with financial institutions outside of the U.S.

FATCA requires financial institutions outside of the U.S. (any Canadian financial institution) to report information about financial accounts held by U.S. individuals, U.S. entities, passive non-financial foreign entities in which the U.S. persons hold a substantial ownership interest, and non-participating financial institutions.

Effective July 1, 2014, Canada adopted the FATCA rules into the Canadian tax legislation which requires Canadian financial institutions to collect information from account holders and report information on the FATCA reportable accounts (as well as account holders that fail or refuse to certify their FATCA status) to the Canada Revenue Agency (CRA). The CRA may in turn provide the information to the Internal Revenue Service (IRS). Registered accounts are exempted in Canada: this includes RRSP, RRIF, TFSA, LIF, LI-RRSP, REST, RDSP, RPP, to name a few. Only non-registered accounts are subject to these rules.

Canadian financial institutions are required to comply with FATCA. Should an investor refuse to provide the information requested for FATCA purposes, the financial institution will treat the account as a “reportable account” and report it to the CRA, whether you are a U.S. person or not.

*This document contains general information only and is not a substitute for professional advice or services. Before making any decision or taking any action that may affect you or your business, you should consult a qualified professional advisor. Pembroke Private Wealth shall not be responsible for any loss sustained by any person who relied on this document of information therein.

“The goal of FATCA and its regulations, which was enacted by the US Department of the Treasury and the IRS, is to improve tax compliance involving US Persons with foreign financial assets and offshore accounts.”

FATCA requires US and Non-US Financial Institutions (and to some extent certain non-financial institutions) to:

• Register Foreign Financial Institutions (FFIs)

• Identify existing US Persons owning non-US assets

• Revise new account on-boarding procedures to identify US Persons

• Report holdings

• Withhold tax (30%) on US source payments, where appropriate

If you have been requested to provide FATCA documentation or information by your Financial Institution, you must promptly comply. If you decline or fail to respond to these requests in a timely manner, your account information may be reported to the CRA.

Please contact your Financial Institution for more information regarding FATCA. You can also visit the CRA website:

http://www.cra-arc.gc.ca/tx/nnrsdnts/nhncdrprtng/menu-eng.html

Financial Institution Compliance Update

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TORONTO CHINESE BUSINESS ASSOCIATION NEWSLETTER Spring 2015

At the time of writing, the outside temperature is minus 14 degrees Celsius. Looking out the window, I see streams of steam puffing from the office towers. It is hard to imaging that in less than six months, drums will be beating, paddles will be swinging, water will be splashing and the athletes’ roars will be filling the Toronto Centre Island again in the 27th Toronto International Dragon Boat Race Festival!

While water sports may not be on top of many people’s mind at this weather, our team is already hard at work planning for the event. Many of our divisions are already in motion; ranging from the meeting with the local city officials, coordination with our sponsors, to the setting up the team-paddlers registration process.

This year, we will introduce a new registration system to streamline the process of registration for both the teams and the paddlers. Also, we will have a much stronger presence on the various social media channels to enhance our messages to our competing athletes and visitors.

2015 is an exciting year for our region. The Toronto International Dragon Boat Festival will take place in June and it marks as the opening act for a number of major events and festivities that will

take place at this great city of ours; notably the Pan Am Games in July and the Parapan Am Games in August.

This year, SickKids Foundation will once again be our charity partner. SickKids will be introducing SickKids Dragon, where teams and paddlers can enjoy a number of benefits by raising money for our Toronto very own world-renowned children hospital. I cannot think of a better way to participate in a team sports while raising money for a worthy cause. We will announce more information about the SickKids Dragon program in the near future.

If you plan to participate, either as a paddler, or team captain, I urge you to visit our website (www.dragonboats.com) and register as soon as possible. Connect with us on Facebook or Twitter to receive the latest news and announcements.

If you are planning to come visit as our guest-visitor: to cheer on and support our paddling-athletes, or to enjoy and soak-in the fun filled festivities that we have planned on our beautiful Toronto Centre Island, mark June 20 and 21 on your calendar.

On behalf of the Toronto International Dragon Boat Race Festival, I look forward to seeing you all in June 2015.

Toronto Chinese Business Association 1220 Ellesmere Road, Unit 13, Toronto, Ontario, Canada M1P 2X5

Call: (416) 595-0313 | Fax: (416) 595-7334 | www.tcbacanada.com

Toronto International Dragon Boat Race Festival

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