New federal tax hits mining companies

CIM Bulletin, Vol. 83, No. 936, 1990

Robert B. Parsons, Partner, Price Waterhouse

It is quite likely that more than a handful of junior exploration companies will receive some startling news from their accountants this spring when 1989s tax returns are being prepared. These companies could find that, for the first time ever, they will have to write a cheque to the federal government on account of a new federal capital tax which became effective July 1, 1989.