Transcription – How to create a register of individuals with significant control
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Now that you have a better idea of who controls your federal corporation, it's time to create your register of individuals with significant control, or ISCs.
To help you log the right information, we've created a template that you can download from our website. You can also use your own, if you like.
Let's look at some examples:
Julie is an IT consultant and owns her own company. Because she's the only shareholder, Julie is the only ISC for her business.
In her register, Julie starts by entering her personal information as well as the country where she pays taxes. She then enters the date she started controlling her business – she uses the date she became the sole shareholder. Finally, Julie describes why she is an ISC. When she's done, Julie keeps her ISC register on file.
Now let's look at Tom, Maria and their son Alex who own a renovation business. Tom and Maria each own 40% of their corporation's shares, and Alex owns 20%. Because Tom and Maria each own more than 25% of the shares, they are both ISCs. Alex is not, because he owns less than 25%. Tom and Maria fill in their ISC register with their personal information, describe their control and keep the register on file.
For more information, visit canada.ca/significant-control.
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