Much has already been written about the proposed addition of section 237.4 to the federal Income Tax Act (“ITA”), which would impose mandatory reporting in respect of “notifiable transactions.” The purpose of this post is not to explain the notifiable…
Introduction
In 2017, the City of Vancouver introduced its annual residential vacancy tax (or “empty homes tax”). At that time, the tax rate was 1% of the assessed value of a subject property. The governing statute and administration program were…
Vacant housing taxes came into effect in Toronto and Ottawa for 2022, meaning that homeowners will have to file their first occupancy status declaration by February 2023 (for Toronto) and March 2023 (for Ottawa). Toronto’s portal is now open for…
The Court of Justice for the European Union (CJEU) recently invalidated a provision derived from the EU Directive informally known as DAC6 which requires lawyers to report their involvement in certain cross-border tax-planning arrangements to third parties. The provisions analyzed…
Khanna v. The Queen, 2022 FCA 84 is an important decision of the Federal Court of Appeal (the “FCA”) on the topic of gross-negligence penalties imposed under subsection 163(2) of the Income Tax Act (Canada) (the “Act”). The decision…
Canada’s new tax on luxury cars, aircraft, and boats – levied under the Select Luxury Items Tax Act (the “SLITA”) – came into effect on September 1, 2022. The luxury tax was first announced in Budget 2021 as a…
On November 3, 2022, the Federal Government released its Fall Economic Statement 2022 (the “Statement”). In the Statement, the government reaffirmed its commitment to various tax measures it previously announced, including rules relating to substantive Canadian-controlled private corporations and…
The Tax Court recently released its decision in Choptiany v. HMTK, 2022 TCC 112. The decision is an indictment of the CRA’s tactics during the litigation and, in particular, an indictment and condemnation of the CRA’s ongoing flouting of court…
When a real property held by a taxpayer as a rental property becomes the taxpayer’s residence (or vice versa), the “change-in-use” rules in section 45 and subsection 13(7) of the Income Tax Act (the “ITA”) are triggered. Subsection 45(1) provides…
In Canada v Paletta Estate (“Paletta FCA”), a unanimous panel of the Federal Court of Appeal (the “FCA”) overturned the decision of the Tax Court of Canada (“Paletta TCC”). Our blog post analyzing Paletta TCC is found