Non-Canadians who acquire control of an existing Canadian business or who wish to establish a new unrelated Canadian business are subject to this Act, and they must submit either a Notification or an Application for Review.
The purposes of the Investment Canada Act (the Act) are "to provide for the review of significant investments in Canada by non-Canadians in a manner that encourages investment, economic growth and employment opportunities in Canada and to provide for the review of investments in Canada by non-Canadians that could be injurious to national security." (s.2).
The legislation and associated rules are complex and because of that complexity, the information provided here is intended to serve both as an introduction to and a description of the key features of the Act. It is intended to help investors and others who are interested in the application of the legislation understand how non-Canadian investors are to respond to the requirements of the Act.
With respect to all investments except those that fall within a prescribed type of business activity as set out in Schedule IV of the Regulations, the Department responsible for the administration of the Act is Innovation, Science and Economic Development Canada. With respect to investments which fall within a Schedule IV prescribed business activity, the Department responsible for the administration of the Act is the Department of Canadian Heritage.