Offenses re refunds and credits	(1.1) Every person who obtains or claims a refund or credit under this Act to which the person or any other person is not entitled or obtains or claims a refund or credit under this Act in an amount that is greater than the amount to which the person or other person is entitled
	(a) by making, or participating in, assenting to or acquiescing in the making of, a false or deceptive statement in a return, certifi cate, statement or answer filed or made under this Act or a regulation,
	(b) by destroying, altering, mutilating, hiding or otherwise disposing of a record or book of account of the person or other person,
	(c) by making, or assenting to or acquiesc ing in the making of, a false or deceptive entry in a record or book of account of the person or other person,
	(d) by omitting, or assenting to or acquiesc ing in an omission to enter a material particular in a record or book of account of the person or other person,
	(e) wilfully in any manner, or
	(f) by conspiring with any person to commit any offence under this subsection,
	is guilty of an offence and, in addition to any penalty otherwise provided, is liable on sum mary conviction to
	(g) a fine of not less than 50% and not more than 200% of the amount by which the amount of the refund or credit obtained or claimed exceeds the amount, if any, of the refund or credit to which the person or other person, as the case may be, is entitled, or
	(h) both the fine described in paragraph (g) and imprisonment for a term not exceeding 2 years.
	(2) Subsection 239(2) of the Act is re placed by the following:
Prosecution on indictment	(2) Every person who is charged with an offence described in subsection (1) or (1.1) may, at the election of the Attorney General of Canada, be prosecuted on indictment and, if convicted, is, in addition to any penalty otherwise provided, liable to
	(a) a fine of not less than 100% and not more than 200% of
	(i) where the offence is described in subsection (1) , the amount of the tax that was sought to be evaded, and
	(ii) where the offence is described in subsection (1.1), the amount by which the amount of the refund or credit obtained or claimed exceeds the amount, if any, of the refund or credit to which the person or other person, as the case may be, is entitled; and
	(b) imprisonment for a term not exceeding 5 years.
	(3) Subsection 239(3) of the Act is re placed by the following:
Penalty on conviction	(3) Where a person is convicted under this section, the person is not liable to pay a penalty imposed under section 162 or 163 for the same contravention unless the penalty was assessed before the information or complaint giving rise to the conviction was laid or made.
	148.1 (1) Paragraph 241(1)(c) of the Act is replaced by the following:
	(c) knowingly use any taxpayer information otherwise than in the course of the adminis tration or enforcement of this Act, the Canada Pension Plan, the Unemployment Insurance Act or the Employment Insur ance Act or for the purpose for which it was provided under this section.
	(2) Paragraph 241(3)(b) of the Act is replaced by the following:
	(b) any legal proceedings relating to the administration or enforcement of this Act, the Canada Pension Plan, the Unemploy ment Insurance Act or the Employment Insurance Act or any other Act of Parlia ment or law of a province that provides for the imposition or collection of a tax or duty.
	(3) Paragraph 241(4)(a) of the Act is replaced by the following:
	(a) provide to any person taxpayer informa tion that can reasonably be regarded as necessary for the purposes of the adminis tration or enforcement of this Act, the Canada Pension Plan, the Unemployment Insurance Act or the Employment Insur ance Act, solely for that purpose;
	(4) Subparagraph 241(4)(d)(x) of the Act is replaced by the following:
	(x) to an official of the Canada Employ ment Insurance Commission or the De partment of Employment and Immigra tion solely for the purpose of the adminis tration or enforcement of, or the evalua tion or formation of policy for the purposes of, the Unemployment Insur ance Act , the Employment Insurance Act or an employment program of the Gov ernment of Canada,
	(5) Paragraph 241(4)(h) of the Act is replaced by the following:
	(h) use, or provide to any person, taxpayer information solely for a purpose relating to the supervision, evaluation or discipline of an authorized person by Her Majesty in right of Canada in respect of a period during which the authorized person was employed by or engaged by or on behalf of Her Majesty in right of Canada to assist in the administration or enforcement of this Act, the Canada Pension Plan, the Unemploy ment Insurance Act or the Employment Insurance Act, to the extent that the in formation is relevant for the purpose;
	(6) The definition ``authorized person'' in subsection 241(10) of the Act is replaced by the following:
``authorized person'' « personne autorisée »	``authorized person'' means a person who is engaged or employed, or who was formerly engaged or employed, by or on behalf of Her Majesty in right of Canada to assist in carrying out the provisions of this Act, the Canada Pension Plan, the Unemployment Insurance Act or the Employment Insur ance Act;
	(7) Subsections (1) to (6) are deemed to have come into force on June 30, 1996.
	149. (1) Subsection 244(9) of the Act is replaced by the following:
Proof of documents	(9) An affidavit of an officer of the Depart ment of National Revenue, sworn before a commissioner or other person authorized to take affidavits, setting out that the officer has charge of the appropriate records and that a document annexed to the affidavit is a docu ment or true copy of a document, or a print-out of an electronic document, made by or on behalf of the Minister or a person exercising a power of the Minister or by or on behalf of a taxpayer, is evidence of the nature and con tents of the document.
	(2) Subsections 244(13) to (15) of the Act are replaced by the following:
Proof of documents	(13) Every document purporting to have been executed under, or in the course of the administration or enforcement of, this Act over the name in writing of the Minister, the Deputy Minister of National Revenue or an officer authorized to exercise a power or perform a duty of the Minister under this Act is deemed to have been signed, made and issued by the Minister, the Deputy Minister or the officer unless it has been called in question by the Minister or by a person acting for the Minister or Her Majesty.
Mailing date	(14) For the purposes of this Act, where any notice or notification described in subsection 149.1(6.3), 152(3.1), 165(3) or 166.1(5) or any notice of assessment or determination is mailed, it shall be presumed to be mailed on the date of that notice or notification.
Date when assessment made	(15) Where any notice of assessment or determination has been sent by the Minister as required by this Act, the assessment or determination is deemed to have been made on the day of mailing of the notice of the assessment or determination .
	150. (1) The definitions ``mineral'' and ``scientific research and experimental de velopment'' in subsection 248(1) of the Act are replaced by the following:
``mineral'' « minéral »	``mineral'' includes ammonite gemstone , bi tuminous sands, calcium chloride, coal, ka olin, oil shale and silica, but does not in clude petroleum, natural gas or a related hy drocarbon not expressly referred to in this definition;
``scientific research and experimental develop- ment'' « activités de recherche scientifique et de développe- ment expérimen- tal »	``scientific research and experimental devel opment'' means systematic investigation or search that is carried out in a field of science or technology by means of experiment or analysis and that is
	(a) basic research, namely, work under taken for the advancement of scientific knowledge without a specific practical application in view,
	(b) applied research, namely, work un dertaken for the advancement of scientif ic knowledge with a specific practical application in view, or
	(c) experimental development, namely, work undertaken for the purpose of achieving technological advancement for the purpose of creating new, or improving existing, materials, devices, products or processes, including incre mental improvements thereto,
	and, in applying this definition in respect of a taxpayer, includes
	(d) work undertaken by or on behalf of the taxpayer with respect to engineering, design, operations research, mathemati cal analysis, computer programming, data collection, testing or psychological research, where the work is commensu rate with the needs, and directly in support, of work described in paragraph (a), (b), or (c) that is undertaken in Canada by or on behalf of the taxpayer,
	but does not include work with respect to
	(e) market research or sales promotion,
	(f) quality control or routine testing of materials, devices, products or processes,
	(g) research in the social sciences or the humanities,
	(h) prospecting, exploring or drilling for, or producing, minerals, petroleum or natural gas,
	(i) the commercial production of a new or improved material, device or product or the commercial use of a new or improved process,
	(j) style changes, or
	(k) routine data collection;
	(2) Subparagraph (d)(ii) of the definition ``mineral resource'' in subsection 248(1) of the Act is replaced by the following:
	(ii) the principal mineral extracted is ammonite gemstone , calcium chlo ride, diamond, gypsum, halite, kaolin or sylvite, or
	(3) Paragraph (d.1) of the definition ``term preferred share'' in subsection 248(1) of the Act is replaced by the follow ing:
	(d.1) that is listed on a prescribed stock exchange in Canada and was issued before April 22, 1980 by
	(i) a corporation referred to in any of paragraphs (a) to (d) of the definition ``specified financial institution'' in this subsection,
	(ii) a corporation whose principal business is the lending of money or the purchasing of debt obligations or a combination thereof, or
	(iii) an issuing corporation associated with a corporation described in sub paragraph (i) or (ii) ,
	(4) Subsection 248(1) of the Act is amended by adding the following in alpha betical order:
``cemetery care trust'' « fiducie pour l'entretien d'un cimetière »	``cemetery care trust'' has the meaning as signed by subsection 148.1(1);
``flow- through share'' « action accréditive »	``flow-through share'' has the meaning as signed by subsection 66(15);
``majority interest partner'' « associé détenant une participation majoritaire »	``majority interest partner'' of a particular partnership at any time means a person or partnership (in this definition referred to as the ``taxpayer'')
	(a) whose share of the particular partner ship's income from all sources for the last fiscal period of the particular partnership that ended before that time (or, if the particular partnership's first fiscal period includes that time, for that period) would have exceeded 1/2 of the particular partnership's income from all sources for that period if the taxpayer had held throughout that period each interest in the partnership that the taxpayer or a person affiliated with the taxpayer held at that time, or
	(b) whose share, if any, together with the shares of every person with whom the taxpayer is affiliated, of the total amount that would be paid to all members of the particular partnership (otherwise than as a share of any income of the partnership) if it were wound up at that time exceeds 1/2 of that amount;
``record'' « registre »	``record'' includes an account, an agreement, a book, a chart or table, a diagram, a form, an image, an invoice, a letter, a map, a memorandum, a plan, a return, a statement, a telegram, a voucher, and any other thing containing information, whether in writing or in any other form;
	(5) The definition ``mineral'' in subsec tion 248(1) of the Act, as enacted by subsection (1), and subsection (2) apply to taxation years and fiscal periods that begin after 1996, except that,
	(a) for greater certainty, that definition and subsection (2) shall not result in a characterization of expenditures made or costs incurred in a taxation year or fiscal period that began before 1997 as a Canadian exploration expense, Cana dian development expense, Canadian exploration and development expense or foreign exploration and development ex pense or an increase in any amount deductible under section 65 of the Act as a consequence of an expenditure made or cost incurred before 1997; and
	(b) where, as a consequence of the ap plication of that definition and that subsection, a person's property would, but for this paragraph, be recharacter ized as Canadian resource property or foreign resource property at the begin ning of the person's first taxation year or fiscal period that begins after 1996, for the purposes of the Act the property is deemed
	(i) to have been disposed of by the person immediately before that time for proceeds equal to its cost amount to the person at that time, and
	(ii) to have been reacquired at that time by the person for the same amount.
	(6) The definition ``scientific research and experimental development'' in subsec tion 248(1) of the Act, as enacted by subsection (1), applies to work performed by a taxpayer after February 27, 1995, except that, for the purposes of paragraphs 149(1)(j) and (8)(b) of the Act, that defini tion does not apply to work performed pursuant to an agreement in writing made by the taxpayer before February 28, 1995.
	(7) Subsection (3) applies after February 22, 1994.
	(8) The definition ``cemetery care trust'' in subsection 248(1) of the Act, as enacted by subsection (4), applies after 1992.
	(9) The definition ``flow-through share'' in subsection 248(1) of the Act, as enacted by subsection (4), applies after November 1994.
	(10) The definition ``majority interest partner'' in subsection 248(1) of the Act, as enacted by subsection (4), applies after April 26, 1995.
	150.1 (1) Subsection 249.1(5) of the Act is replaced by the following:
Alternative method not applicable to tax shelter investments	(5) Subsection (4) does not apply to a particular fiscal period of a business where, in a preceding fiscal period or throughout the period of time that began at the beginning of the particular period and ended at the end of the calendar year in which the particular period began, the expenditures made in the course of carrying on the business were primarily the cost or capital cost of tax shelter investments (as defined in subsection 143.2(1)).
	(2) Subsection (1) applies to fiscal periods that begin after 1994.
	151. (1) Paragraphs 250(6)(a) and (b) of the Act are replaced by the following:
	(a) the corporation
	(i) has as its principal business in the year the operation of ships that are used primarily in transporting passengers or goods in international traffic (determined on the assumption that the corporation is non-resident and that, except where para graph (c) of the definition ``international traffic'' in subsection 248(1) applies, any port or other place on the Great Lakes or St. Lawrence River is in Canada), or
	(ii) holds throughout the year shares of one or more other corporations, each of which
	(A) is a subsidiary wholly-owned cor poration of the corporation as defined by subsection 87(1.4), and
	(B) is deemed by this subsection to be resident in a country other than Canada throughout the year,
	and at no time in the year is the total of the cost amounts to the corporation of all those shares less than 50% of the total of the cost amounts to it of all its property;