IB specialist

 

International financial business specialist

To register an IB specialist as an international financial business specialist, the registered corporation or foreign bank authorized to carry on business in Canada must carry on an international financial business. In addition, the individual must meet all of the following qualifications:

• the individual was either a non-resident of Canada immediately before entering into a written employment contract with the registered corporation or foreign bank authorized to carry on business in Canada, or was previously registered as an IB specialist,
• the individual specializes in international financial activities other than administrative support services activities or back-up office services activities, and
• the terms of the written contract of employment require that at least 70% of the individual's working time is devoted to performing qualifying international financial activities in which the individual is a specialist for the corporation or foreign bank authorized to carry on business in Canada’s international financial business.

Administrative support services or back–up office services specialist

To register an IB specialist as an administrative support services specialist or back-up office services specialist, the registered corporation or foreign bank authorized to carry on business in Canada must carry on an international financial business that includes one of those international financial activities. In addition, the individual must meet all of the following qualifications:

• the individual was either a non-resident of Canada immediately before entering into a written employment contract with the registered corporation or foreign bank authorized to carry on business in Canada, or was previously registered as an IB specialist,
• the individual is a specialist in administrative support services or back-up office services,
• the individual has entered into a written contract that requires the individual to work for the corporation or foreign bank authorized to carry on business in Canada in relation to the international financial business of the corporation or foreign bank authorized to carry on business in Canada,
• the individual must have been a non-resident of Canada at the end of the year before the year of application unless the individual was previously registered as an IB specialist,
• the individual must enter into the written employment contract on or after March 3, 2010, and
• the individual, and any person related to the individual, must deal at arm’s length with the registered corporation or foreign bank authorized to carry on business in Canada.

There is no requirement for administrative support services or back-up office services specialists to devote a certain per cent of their time to the international financial business of the corporation or foreign bank authorized to carry on business in Canada. However, a corporation or foreign bank authorized to carry on business in Canada may only apply to register a combined total of four specialists in this category of specialists, including all affiliated corporations or foreign banks authorized to carry on business in Canada.

Executive specialist

To register an IB specialist as an executive specialist, the registered corporation or foreign bank authorized to carry on business in Canada must carry on an international business (international financial business, international film distribution business or international patent business). In order to qualify as an executive specialist, the individual must meet all of the following qualifications:

• the individual must be a member of the executive management of the corporation or foreign bank authorized to carry on business in Canada,
• the individual has entered into a written contract that requires the individual to work in the international business of the corporation or foreign bank authorized to carry on business in Canada,
• the individual must have been non-resident before entering into the contract, or must have previously been an IB specialist,
• the individual must have been a non-resident of Canada at the end of the year before the year of application unless the individual was previously registered as an IB specialist,
• the individual must enter into the written employment contract on or after March 3, 2010, and
• the individual, and any person related to the individual, must deal at arm’s length with the registered corporation or foreign bank authorized to carry on business in Canada.

There is no requirement for executive specialists to devote a certain per cent of their time to the international business of the corporation or foreign bank authorized to carry on business in Canada. However, a corporation or foreign bank authorized to carry on business in Canada may only apply to register a maximum of two executive specialists for the corporation, including all affiliated corporations or foreign banks authorized to carry on business in Canada.

Designated international business specialist

To register an IB specialist as a designated international business specialist, the registered corporation must carry on a designated international business which currently only includes an international film distribution business. In order to qualify as a designated international business specialist, the individual must meet all of the following qualifications:

• the individual was either a non-resident of Canada immediately before entering into a written employment contract with the registered corporation, or was previously registered as an IB specialist,
• the individual is a specialist in an international film distribution business, and
• the terms of the written contract of employment require that at least 70% of the individual's working time is devoted to performing activities in which the individual is a specialist for the corporation’s designated international business.

Five-year term

An employee is registered as a specific type of IB specialist and can be an IB specialist for only five years from the date he or she is first registered. During the five year period, an IB specialist may change employers and/or change types, such as an administrative support services or back-up office services specialist becoming an executive specialist. However, such a change will require the corporation or foreign bank authorized to carry on business in Canada to apply to re-register the individual for the new type of IB specialist.

An IB specialist includes an IFA specialist. An IFA specialist means an individual who was first registered under the International Financial Activity Act before March 4, 2010. An individual who has not completed their five year term as an IFA specialist may be eligible to be an IB specialist for the remainder of their five year term, provided they meet all of the other requirements.

Additional requirements - remuneration

In addition to the registration rules above, in order to be eligible to receive a tax refund in a year, all IB specialists, other than an executive specialist, must have received at least $100,000 in remuneration from the corporation or foreign bank authorized to carry on business in Canada for the year of the claim. An executive specialist must have received at least $250,000 in remuneration. See refunds for additional information, including the definition of remuneration. 

Learn more about registering for the IBA program.