Form T2SCH150 Schedule 150 "Net Income (Loss) for Income Tax Purposes for Life Insurance Companies (For Tax Years Beginning After October 31, 2011)" - Canada

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Download Form T2SCH150 Schedule 150 "Net Income (Loss) for Income Tax Purposes for Life Insurance Companies (For Tax Years Beginning After October 31, 2011)" - Canada

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Schedule 150
Protected B
when completed
Net Income (loss) for Income Tax Purposes for Life Insurance Companies
(tax years beginning after October 31, 2011)
• Schedule 150 is used to reconcile the net income or loss for income tax purposes from an insurance business carried on in Canada by non-resident insurers
and all resident life insurance companies and fraternal benefit societies operating a life insurance business in Canada.
• This schedule constitutes prescribed information in prescribed form as required to be filed with the Minister as part of the return of income for the taxation year
as set out in subsection 150(1) of the Income Tax Act.
• All legislative references are to the Income Tax Act or the Income Tax Regulations.
• As of 2016, net income or loss from Canadian operations is reported on page 70.030 of the Life Annual Supplement return (find more information about this
return at osfi-bsif.gc.ca). Fraternal benefit societies should only include net income or loss from their insurance funds. Activity in fraternal and other funds
should be omitted.
• All life insurance companies and fraternal benefit societies carrying on business in Canada need to complete pages 1 to 6 of this form.
• All resident companies and societies operating a life insurance business outside of Canada, and all non-resident companies and societies operating a life
insurance business in Canada need to complete pages 7 to 11 of this form.
• Mail the following documents with your T2 Corporation Income Tax Return to your tax centre:
a copy of this schedule
a copy of the annual regulatory statement that is filed with the federal or provincial regulatory authorities
Find the address of your tax centre at canada.ca/tax-centres.
Corporation's name
Business number
Address
Postal code
Month Day Tax services office
Year
Month Day
Year
Tax year for the period
From
to
Name of the person to contact for additional information
Telephone number
Part 1 – Reconciliation of regulatory statement income (loss)
with net income (loss) for income tax purposes
Canadian net
income from
Net income for tax
regulatory
purposes
statement
Policy revenue, benefits, and related expenses, other revenue (Part 2, line 126)
1
Net investment income and interest expense (Part 4, line 281)
2
General expenses and taxes (Part 5, line 331)
3
Change in policy reserves (Part 6, line 448)
4
Net income before income taxes and extraordinary items (add lines 1 and 2 minus 3 and 4)
5
Provision for income taxes
6
Net income (loss) from subsidiaries
7
Extraordinary items
8
Net income (loss) for regulatory purposes (line 5 minus lines 6 and 8, plus line 7)
9
Net income (loss) for income tax purposes
10
(line 5 minus line 8. Enter this amount on line 300 of page 3 of the T2 return)
Page 1 of 11
T2 SCH 150 E (19)
(Ce formulaire est disponible en français.)
Clear Data
Schedule 150
Protected B
when completed
Net Income (loss) for Income Tax Purposes for Life Insurance Companies
(tax years beginning after October 31, 2011)
• Schedule 150 is used to reconcile the net income or loss for income tax purposes from an insurance business carried on in Canada by non-resident insurers
and all resident life insurance companies and fraternal benefit societies operating a life insurance business in Canada.
• This schedule constitutes prescribed information in prescribed form as required to be filed with the Minister as part of the return of income for the taxation year
as set out in subsection 150(1) of the Income Tax Act.
• All legislative references are to the Income Tax Act or the Income Tax Regulations.
• As of 2016, net income or loss from Canadian operations is reported on page 70.030 of the Life Annual Supplement return (find more information about this
return at osfi-bsif.gc.ca). Fraternal benefit societies should only include net income or loss from their insurance funds. Activity in fraternal and other funds
should be omitted.
• All life insurance companies and fraternal benefit societies carrying on business in Canada need to complete pages 1 to 6 of this form.
• All resident companies and societies operating a life insurance business outside of Canada, and all non-resident companies and societies operating a life
insurance business in Canada need to complete pages 7 to 11 of this form.
• Mail the following documents with your T2 Corporation Income Tax Return to your tax centre:
a copy of this schedule
a copy of the annual regulatory statement that is filed with the federal or provincial regulatory authorities
Find the address of your tax centre at canada.ca/tax-centres.
Corporation's name
Business number
Address
Postal code
Month Day Tax services office
Year
Month Day
Year
Tax year for the period
From
to
Name of the person to contact for additional information
Telephone number
Part 1 – Reconciliation of regulatory statement income (loss)
with net income (loss) for income tax purposes
Canadian net
income from
Net income for tax
regulatory
purposes
statement
Policy revenue, benefits, and related expenses, other revenue (Part 2, line 126)
1
Net investment income and interest expense (Part 4, line 281)
2
General expenses and taxes (Part 5, line 331)
3
Change in policy reserves (Part 6, line 448)
4
Net income before income taxes and extraordinary items (add lines 1 and 2 minus 3 and 4)
5
Provision for income taxes
6
Net income (loss) from subsidiaries
7
Extraordinary items
8
Net income (loss) for regulatory purposes (line 5 minus lines 6 and 8, plus line 7)
9
Net income (loss) for income tax purposes
10
(line 5 minus line 8. Enter this amount on line 300 of page 3 of the T2 return)
Page 1 of 11
T2 SCH 150 E (19)
(Ce formulaire est disponible en français.)
Clear Data
Protected B when completed
Part 2 – Policy revenue, benefits and related expenses, and other revenue
Canadian net
income from
Net income for tax
regulatory
purposes
statement
Additions
Premiums
101
Management fees for segregated funds
102
Net settlement annuities
103
Fees for administrative services only business
104
Other management fees
105
Other ancillary business income
106
Policy loan repayments—paragraph 138(4)(c)
107
Non-deductible prepaid commissions, current year—subparagraph 18(9)(a)(i)
109
Other (specify)
110
Other (specify)
111
Other (specify)
112
Subtotal (lines 101 to 112)
113
Deductions
Policyholder benefits (report policy claims on a cash basis, since unpaid claims are included in Part 6 "Change in policy reserves")
114
Policy dividends paid—subparagraph 138(3)(a)(iii)
115
Experience rating refunds paid—subparagraph 138(3)(a)(v) or subsection 140(1)
116
Transfers to and from other funds
117
Commissions
118
Interest on policyholder amounts on deposit—subparagraph 138(5)(b)(iii)
119
Policy loans made—paragraph 138(3)(b)
120
Non–deductible prepaid commissions from prior year—subparagraph 18(9)(a)(i)
121
Other (specify)
122
Other (specify)
123
Other (specify)
124
Subtotal (lines 114 to 124)
125
Total (line 113 minus line 125). Enter this amount on line 1 of Part 1
126
Page 2 of 11
Clear Data
Protected B when completed
Part 3 – Net investment income and interest expense
Canadian net
income from
Net income for tax
regulatory
purposes
statement
Bonds
Interest earned and accrued
201
Amortization of net realized gains and (losses)
202
Amounts to include (deduct) from specified debt obligations—subsection 142.3(1)
203
Amounts to include (deduct) from specified debt obligations—subsection 142.4(4)
204
Amounts to include (deduct) from specified debt obligations—subsection 142.4(5)
205
Income gains and (losses) from disposals
206
Net taxable capital gains—Schedule 6
207
Other (specify)
208
Other (specify)
209
Subtotal (lines 201 to 209)
210
Preferred and common shares
Taxable dividends deductible—subsection 138(6)—Schedule 3
211
Taxable dividends deductible from foreign affiliates—section 113—Schedule 3
212
Other dividends
213
Amortization of realized and unrealized gains and (losses)
214
Mark–to–Market Properties: Profits (losses) from deemed dispositions of mark–to–market properties—subsections 142.5(1) and 142.5(2)
215
Mark–to–Market Properties: Profits (losses) from actual dispositions of mark–to–market properties—subsection 142.5(1)
216
Income gains and (losses) from disposals
217
Net taxable capital gains—Schedule 6
218
Preferred and common shares: Foreign accrual property income—section 91
219
Other (specify)
220
Other (specify)
221
Subtotal (lines 211 to 221)
222
Mortgage loans
Interest earned and accrued
223
Amortization of net realized gains and (losses)
224
Income from specified debt obligations—subsection 142.3(1)
225
Dispositions of specified debt obligations—subsection 142.4(4)
226
Dispositions of specified debt obligations—subsection 142.4(5)
227
Income gains and (losses) from disposals
228
Net taxable capital gains—Schedule 6
229
Other (specify)
230
Other (specify)
231
Subtotal (lines 223 to 231)
232
Real estate
Gross income from real estate (excluding imputed rent included on line 234)
233
Imputed rent for company owned premises
234
Amortization of realized and unrealized gains and (losses)
235
Imputed interest benefit on real property—subsection 138(4.4)
236
Income gains and (losses) from disposals
237
Net taxable capital gains—Schedule 6
238
Other (specify)
239
Other (specify)
240
Subtotal (lines 233 to 240)
241
Page 3 of 11
Clear Data
Protected B when completed
Part 4 – Net investment income and interest expense
Canadian net
income from
Net income for tax
regulatory
purposes
statement
Other investment income
Interest received on policy loans—paragraph 138(4)(c)
242
Interest on short-term deposits and certificates
243
Interest on overdue premiums
244
Income from derivative activities
245
Income from partnerships and trusts
246
Income from joint ventures
247
Resource property income
248
Interest on bank deposits
249
Income earned on leased equipment
250
Income earned on other assets
251
Non-amortizable capital gains and (losses) from the sale of investments
252
Income gains and (losses) from disposals
253
Net taxable capital gains—Schedule 6
254
Income from non-investment property deemed to be designated by regulation 2401(6)
255
Additional amount from minimum revenue requirement—paragraph 138(9)(b). Enter amount at Part 12, line 910
256
257
Other (specify)
258
Other (specify)
Subtotal (lines 242 to 258)
259
Total (lines 210, 222, 232, 241, and 259)
260
Deductions
General investment expenses
261
Real estate expenses
262
Investment taxes including Part XII.3 tax deductible under paragraph 138(3)(c)
263
Interest on subordinated debt—subparagraphs 138(5)(b)(i) and (ii)
264
Other interest expense—subparagraphs 138(5)(b)(i) and (ii)
265
Depreciation/CCA and terminal loss, net of recapture – Schedule 8. Exclude amounts included in general expenses at Part 5, line 313.
266
Resource property deductions—Schedule 12
267
268
Other (specify)
269
Other (specify)
Total (lines 261 to 269)
270
Provisions for losses and writedowns
Reserve for doubtful or impaired debts—prior year — paragraph 12(1)(d)
271
Reserve for guarantees—prior year—paragraph 12(1)(d.1)
272
Bad debts recovered—paragraph 12(1)(i)
273
Valuation of real estate inventory—increase—subsection 10(1)
274
Subtotal (lines 271 to 274)
275
Reserve for doubtful or impaired debts—current year—paragraph 20(1)(l)
276
Reserve for guarantees—current year—paragraph 20(1)(l.1)
277
Bad debts—paragraph 20(1)(p)
278
Valuation of real estate inventory—decrease—subsection 10(1)
279
Subtotal (lines 276 to 279)
280
Net income (line 260 minus line 270 plus line 275 minus line 280). Enter this amount on line 2 of Part 1.
281
Page 4 of 11
Clear Data
Protected B when completed
Part 5 – General expenses and taxes (excluding investment expenses)
Canadian net
income from
Net income for tax
regulatory
purposes
statement
Rent
301
Salaries, wages and allowances
302
Employees' and agents' benefits
303
Head office overhead (non-resident insurers only)
304
Professional, service fees and related expenses
305
Miscellaneous expenses
306
Premium taxes
307
Assessments and dues
308
Licences and fees
309
Miscellaneous taxes
310
Charitable donations—Schedule 2
311
Political contributions
312
Depreciation/CCA and terminal loss, net of recapture—Schedule 8. Exclude amounts included in investment
313
expenses on Part 4, line 266.
Cumulative eligible capital deduction—Schedule 10
(note 1)
314
Contributions to deferred income plans—Schedule 15
315
Non-deductible prepaid policy acquisition expenses from prior year—subparagraphs 18(9)(a)(i) and (ii)
316
Less: Non-deductible prepaid policy acquisition expenses from current year—subparagraphs 18(9)(a)(i) and (ii).
317
Enter positive amount.
Less: Non-deductible portion of meals and entertainment—subsection 67.1(1). Enter positive amount.
318
Less: Non-deductible imputed rent for company owned premises (from Part 3, column 1, line 234). Enter
319
positive amount.
Less: Non-deductible club dues and fees—paragraph 18(1)(l). Enter positive amount.
320
Other deductions
Other (specify)
321
Other (specify)
322
Other (specify)
323
Other (specify)
324
Other (specify)
325
Other (specify)
326
Other (specify)
327
Other (specify)
328
Other (specify)
329
Other (specify)
330
Total (lines 301 to 330). Enter this amount on line 3 of Part 1.
331
Note 1: As of January 1, 2017, the eligible capital property (ECP) regime in the Act was repealed and replaced with the new capital cost allowance
(CCA) class 14.1
Page 5 of 11