Canada's top six banks (Bank of Nova Scotia, Bank of Montreal, CIBC, Royal Bank, National Bank and Toronto-Dominion Bank) and top three multinational life insurers (Great-West Life, Manulife Financial and Sun Life Financial) comprise more than 90% of the total assets of all Canadian banks and life insurers. As the federal government considers whether any changes to the rules governing ownership of Canadian financial institutions would allow the "cross-pillar" merger of banks and insurers, taxation of these financial institutions should not have any significant influence on these discussions. Banks and life insurers are subject to the worldwide tax regime. However, earnings of foreign subsidiaries that have an active business outside Canada are generally exempt from tax in Canada. Since insurers have traditionally carried on foreign business through branches, special rules apply to the taxation of the insurance business income earned by the life insurers.

Securities regulations