The information contained herein is based on the Trust's understanding of the Canadian Income Tax Act and is provided for general information only. Unitholders are advised to consult their personal tax advisors with respect to their particular circumstances.

2003 Distributions

Distributions declared to unitholders in the 2003 taxation year were 68.67% taxable and 31.33% return of capital (tax deferred).

For 2003 income tax purposes, unitholders no longer record the actual cash distributions received from the Trust during the calendar year. Pursuant to new income tax rules, unitholders must report all distributions declared for the year. The total distributions per unit for this period were $0.68. Of this amount, $0.4668 per unit is a taxable return on capital and $0.2132 per unit is a tax deferred return of capital [and will serve to reduce the adjusted cost base ("ACB") of units owned]. In addition, any Crescent Point Energy Trust units that were held for only a portion of the period September 5, 2003 through December 31, 2003 , are to be treated as 68.67% taxable and a 31.33% return of capital.

The table below sets out the cash distributions received in 2003 by unitholders and indicates the portion of each distribution that is taxable as income and the portion that is tax deferred as a return of capital.

Pursuant to new income tax rules, the December 31, 2003 distribution is part of the 2003 taxable income allocation, although it is not paid until 2004.

Unitholders who hold their trust units in an RRSP or RRIF do not need to report an amount on their tax return.

Unitholders who do not hold their trust units in an RRSP or RRIF will receive a T3 form in the mail before March 31, 2004. The T3 will outline the full amount of cash distributions as well as the percentage of return of capital and return on capital. Unitholders must claim any return on capital amount (shown in box 26 , "Other Income" on T3) as income on their tax return.

Units that have been sold throughout the year are subject to taxation as capital gains or losses, depending on the portion of distributions received. To determine the adjusted cost base of the units, the amount of the distributions paid out over the year must be subtracted from the total value of the units. Any amount reported as "Other Income" on the T3 form must also be subtracted from the total amount.

Adjusted Cost Base Reduction

The Adjusted Cost Base ("ACB") is used in calculating capital gains or losses on the disposition of trust units held as capital property by a unitholder. As set out above, the ACB of each trust unit is reduced by the portion of distributions considered a return of capital and accordingly is not reported on a T3. Should a taxpayer's ACB be reduced below zero, that negative amount is deemed to be a capital gain of the taxpayer and the ACB is deemed to be nil. That capital gain must be reported on Schedule 3 of the unitholder's T1.

The information contained herein is based on the Trust's understanding of the Canadian Income Tax Act and is provided for general information only. Unitholders are advised to consult their personal tax advisors with respect to their particular circumstances.

Non-Canadian Unitholders

Crescent Point recommends that unitholders from outside of Canada consult their tax professional for advice on how distributions are treated in their country of residence.

The Tax Treaty between Canada and the U.S. allows for a reduction to the 25% with-holding tax for U.S. residents. The current rate after the reduction is prescribed at 15% with some U.S. taxpayers being eligible for a foreign tax credit with respect to the Canadian withholding taxes paid. U.S. investors may also seek a refund of Canadian withholding tax related to amounts withheld on non-taxable distributions (from a Canadian tax perspective) from Canada Customs and Revenue Agency by filing Form NR7-R, Application for Refund of Non-Resident Tax Withheld.

Crescent Point Energy Trust has not made an election to be treated as a partnership and will therefore be deemed to be a Corporation for U.S. tax purposes. U.S. tax rules state that no portion of the distribution will be considered a tax-deferred return of capital unless the Trust computes its current and accumulated earnings and profits in accordance with U.S. income tax principles. The Trust has not performed an earnings and profits calculation in the past, and does not, at this time, intend to do so in the future. As a result, the Trust understands that distributions paid to U.S. investors in 2003 are considered a dividend for U.S. tax purposes and the Trust will not provide U.S. tax forms. Registered unitholders will receive a form NR4 from the Transfer Agent, Olympia Trust Company of Canada . Non-registered unitholders (units held by a brokerage firm or other intermediary) will receive a form NR4 from the brokerage firm or other intermediary.