About International Financial Activity

The International Financial Activity (IFA) program came into effect on
September 1,  2004 and replaced the International Financial Business (Tax Refund) Act, which was repealed.

The IFA program provides eligible corporations and specialists who work for those corporations a refund of the B.C. income tax paid on income related to the corporation's international financial activities carried on in British Columbia.

A refund will be paid to a corporation or IFA specialist only after all B.C. and federal income taxes for the taxation year are paid.

Please see the section on registration for more information about whether your corporation or a specialist is eligible, and how to register for the IFA program.

2009 Budget Measures

The February 17, 2009 Budget proposes the following amendments to the IFAA.

• Relax the 90 day amalgamation notification rule to give the commissioner discretion to accept late notifications where there is an amalgamation between a registered and a non-registered corporation. For more information, please see How to Register.
• Expand the list of prescribed patents to include patents relating to wastewater treatment and fuel cell technology.
• Clarify the meaning of non-resident person to exclude a business carried on in Canada by that non-resident person.

For more information, please see the 2009 Budget and Fiscal Plan.

2008 Budget Measures

The February 19, 2008 Budget made the following amendments to the IFAA:

• Expanded the list of international financial activities to include short term debt securities trading by non-securities corporations, prescribed human resource and strategic planning activities, and income earned from patents related to green power generation.
• Redefined International Financial Business to include a test for substantial BC presence.
• Included income from certain hedging activities.

For more information, please see the 2008 ITB Budget Bulletin.