FINANCIAL INFORMATION IN

NORTH AMERICA CANADA

COURSE: ACCOUNTING d T D INTERNATIONAL

O
GROUP 8- IN T EGRANTS:

- GALINDO VELASQ O A Z, RICHARD

RN -
- INCA CAMPO, ANA MARIBEL
ROMERO HUAMAN, ANDRES - RUIZ
PAREJA, BRIGGITTE - ZAVALETA
ZAVALETA, CRIS
 APPLICABLE ACCOUNTING
REGULATIONS

Canadian IFRS requires a publicly responsible

company to use IFRS. A company that is not publicly
accountable can use IFRS or Accounting Standards
for Private Companies.

The fiscal year typically begins on January 1 and

ends on December 31 of the same year.

Account structure: Financial accounts in Canada

typically include a balance sheet, a profit and loss
statement, a statement of retained earnings, and a
statement of cash flows.
 APPLICABLE ACCOUNTING
REGULATIONS

Balance: default period of 12 consecutive months;

1) Assets
2) Passives
3) Stock balance
Publication obligations

The recommendations contained in the CPA manual

Collegiate
of Canada) apply to all Canadian companies. There are some specific
rules for banks, insurance companies and public bodies.

Reports on the state of finances and balance sheets must be made

annually. Publicly traded companies must provide their financial
reports every three months.
 SCOPE OF APPLICATION OF
IFRS

In the case of Canada, investment

companies had to adopt IFRS as of January
1, 2014, while for those entities with
activities subject to regulated tariffs the
deadline was extended until January 1,
2015. Not so for non-profit entities, public
sector entities, pension plans and the
segregated accounts of life insurance
companies, which will not have the
obligation to apply IFRS.
 DIVERGENCES BETWEEN NATIONAL AND
INTERNATIONAL STANDARDS (IAS/IFRS)

IFRS are mandatory for most listed companies and financial

institutions. Companies that also file in the United States may
choose to apply that country's IFRS.

Entities involved in feed-in tariff activities can apply for that

scheme until 2019, even if they do not apply in the United
States. IFRS are not mandatory for SMEs.
 Accountants perform some or all of the following
functions:
• Plan, configure and manage accounting systems and prepare
COMPETENCES financial information for individuals, departments within
PROFESSIONALS organizations, businesses and other establishments.
• Examine accounting records and prepare financial statements
and reports.
• Develop and maintain internal control, reporting and costing
procedures
• Examine financial accounts and records and prepare income
tax returns from accounting records.
• Analyze financial statements and reports and provide
financial, commercial and tax advice.
• May act as a trustee in bankruptcy proceedings.
• May supervise and train articulation students, other
accountants or administrative technicians.
 • To migrate to Canada as a qualified
accountant under NOC code 1111, you will need chartered or regulated
MINIMUM QUALIFICATIONS status in your home country.
REQUIRED TO MIGRATE TO • A bachelor's degree. This bachelor's degree
CANADA AS AN ACCOUNTANT must be in addition to your chartered status,
although professional levels of chartered
exams may be considered master's level or
higher.
• Minimum work experience required to
migrate to Canada as an Accountant
• Generally, we will look for you to have at
least 1 year (1,560 hours total / 30 hours per
week), continuous full-time or part-time
equivalent employment within the last 10
years
CANADA
PROFESSIONAL ACCOUNTING ENTITIES

ICCA , Canadian Institute of Chartered Accountants CMA , College of Certified

Management Accountants CPAB , Canadian Accountability Council CGA ,
Association of Chartered Accountants of Canada

SUPERVISORY BODY

In Canada, the body responsible for issuing accounting standards is

the Canadian Institute of Chartered Accountants (CICA), through its
accounting standards committee.
 Federal corporate tax rate: 15% after La
general tax reduction (9% for Canadian-controlled private
corporations that request the deduction for small
Provincial tax rate: Provinces and territories apply two tax
rates—a low rate and a high rate. The low rate applied to
business income that qualifies for the small business
deduction
companies varying between 0% and 8%). The high rates
apply to
all other income varying between 11.5% and 16%;.
 CORPORATE TAX RATES

FEDERAL RATES
The base Part I tax rate is 38% of your taxable income, 28% after the federal tax reduction.

After the general tax reduction , the net tax rate is 15%.

For Canadian-controlled private corporations claiming the small business deduction , the net tax
rate is:
• 9% effective from January 1, 2019
• 10% effective from January 1, 2018
 Lower and higher provincial and territorial tax rates, and business limits, excluding Quebec and Alberta

Province or territory lowest rate High score Trade limit The following table shows the income
Newfoundland and Labrador 3% 15% $ 500 000 tax rates and business limits for the
provinces and territories (except
New Scotland 2,5% 14% $ 500 000
Quebec and Alberta , which do not
New Brunswick 2,5% 14% $ 500 000 have corporate tax collection
Prince Edward Island 2% sixteen% $ 500 000 agreements with the CRA).
ontario 3,2% 11,5% i 500 000
These rates are effective as of January
manitoba null 12% $ 500 000 1, 2021 and may change throughout
saskatchewan 0% 12% $ 600 000 the year.
British Columbia 2% 12% $ 500 000

Nunavut 3% 12% $ 500 000

Northwest Territories 2% 11,5% $ 500 000

Yukon 0% 12% $ 500 000

 FINANCIAL STATEMENTS
Equity and Liabilities
Companies CMPC SA and Subsidiaries
Passives
Consolidated Financial Statements
Current liabilities
Other current financial liabilities
22 262.890 512.847
Current operating lease liabilities
CONSOLIDATED STATEMENTS OF FINANCIAL 20 21.700 22.949
Trade accounts payable and other accounts payable
POSITION 23 736.348 814.273
Accounts payable to related entities, current Other short- 24 5.140 1.005
As of As of
term provisions
December 31, December 31, 25 1.828 4.465
2020 2019 Current tax liabilities 14 41.680 24.804
Current provisions for employee benefits
Note No. MUSY MUSY 26 81.814 76.580
Assets Other current non-financial liabilities
27 43.648 68.147
Current assets Total Liabilities. Currents 1.195.048 1.525.070
Cash and cash equivalents 8.1 891.031 615.038
Non-current liabilities
Other current financial assets 8.2 5.567 4.563
Other current non-financial assets 9 169.082 140.273 Other non-current financial liabilities
22 3.780.959 3.432.197
Trade debtors and other current accounts receivable 10.1 839.909 852.770 Non-current operating lease liabilities 20 141.574 168.762
Accounts receivable from related entities, current 11 2.327 1.091 Other long-term provisions
Current inventories 12 1.211.768 1.280.141 25 15.954 8.605
Deferred tax liabilities 21 1.594.271 1.598.412
Current biological assets 13 330.094 321.317
Current tax assets 14 127.880 239.030 Non-current provisions for employee benefits
26 86.131 80.181
Total assets, current 3.577.658 3.454.223 Other non-financial, non-current liabilities 27 46.879 6.994
Non-current assets Total liabilities, non-current
Other non-current financial assets 8.3 69.376 14.278 5.665.768 5.295.151
Other non-current non-financial assets 9 172.656 181.749 Total Liabilities
6.860.816 6.820.221
Non-current accounts receivable 10.1 10.606 39.053 Heritage
Investments accounted for using the equity method 16 1.471 502 Issued capital
Intangible assets other than goodwill 17 107.934 125.250 281 1.453.728 1.453.728
Accumulated profits (losses)
Capital gain 18 211.318 250.513 28.3 7.135.232 7.154.299
Property, plant and equipment 19 7.290.523 7.637.801
Other reserves
28.2 (725.671) (474.717)
Non-current biological assets 13 3.041.699 3.041.258 Equity attributable to the owners of the controlling
7.863.289 8.133.310
Right-of-use assets 20 147.656 170.815 company Non-controlling interests
Current and non-current tax assets 14 14.996 940 28.5 2.848 2.265
Total assets
Deferred tax assets 21 81.060 39.414 7.866.137 8.135.575
Total assets, non-current 11.149.295 11.501.573 Total Equity and Liabilities
Total Assets 14.726.953 14.955.796 14.726.953 14.955.796
 INCOME STATEMENTS
Companies CMPC SA and Subsidiaries
Consolidated Financial Statements

CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME

For the year ended December 31,

2020 2019
Note N® MUSS MUSS
Income Statement, by expense function
Lost profit)
ordinary activities income 29 5.286.927 5.670.277
Sales cost (4.423.499) (4.562.448)
Gross profit 863.428 1.107829
Other income, by function 13 144.449 1 18.155
Distribution costs (2-42.309) (247.731)
Administration expenses (294.4 25) (323.988)
Other expenses, by function (203.0 79) (219.367)
Other gains (losses) 30 (50.286) (70.284]
Profits (losses) from operational activities 217.778 364.614
Financial income 10270 20.703
Financial costs 31 (200.911) (19-5.3 50)
Participation in the profits (losses) of associates and joint ventures that are (q
910
accounted for using the equity method
Exchange differences 32 (29.267) (8.801)
Result by readjustment units 32 52.876 40.10 5
Profit (loss), before taxes 51.656 221.262
Income tax expense 33 (79.3 22) (13*871)
Profit 1 loss) from continuing operations (27.666) 84.391
Lost profit) _______127^661 _________84.391

Profit (loss), attributable to

Profit (loss), attributable to the owners of the contractor (28.366) 84.492
Profit (loss), attributable to non-controlling interests 28.5 700 (1O1)
Lost profit) (27.666) 84.391

Earnings per share

28.4 (0.01 13) 0,0338
Basic earnings per share
Basic earnings (loss) per share from continuing operations ($U5 per share)
Earnings {loss] per basic share from discontinued operations ($U5 per share}
Earnings (loss) per basic share (0.0113) 0,0338

Diluted earnings per share

Diluted earnings (loss) per share from continuing operations (US$ per share) 28.4 (0.0113) 0,0338
Diluted earnings {loss) per share from discontinued operations ($U5 per share)
- -

Diluted earnings (loss) per share (0,0113) _________0,0338

 CONCLUSIONS

• Accounting harmonization is the process that aims to achieve uniformity between the accounting regulations
of various countries. That is, it consists of an agreement between different countries so that accounting
regulations reach a high degree of homogeneity.

• It was between 2006 and 2007 when the AcSB of CICA2 announced the decision to converge Canadian
regulations with international regulations.

• Canada adopts IFRS for the financial years of most listed companies as of January 1, 2011, and for 2015,
IFRS becomes mandatory for all these companies, with the previously mentioned option of applying the
regulations. American in certain cases. This is the status Canada currently has in the IFRS conversion
process.

• Currently, Canada has no future plans to impose IFRS on small and medium-sized businesses.
THANK YOU