Category: Tax Legislation Updates

Finance Defers Implementation of Proposed Capital Gain Inclusion Rate Changes

Published by Thorsteinssons LLP

On Friday, in the face of mounting pressure – including a court application launched by Thorsteinssons LLP – the Department of Finance (Finance) announced that the implementation date for the proposed capital gains inclusion rate changes would be…

Comprehensive Court Challenge to Proposed CRA Enforcement of Capital Gains Hike Launched

Published by David Davies & Alexander Demner & Florence Sauve & Morgan Watchorn

Yesterday, Thorsteinssons LLP (Canada’s largest tax law firm) launched a comprehensive challenge in Federal Court to the Canada Revenue Agency’s proposed enforcement of the capital gains tax hike. Led by David Davies, Alexander Demner, Florence Sauve, and…

2024 Federal Budget – Major Income Tax Changes Announced

Published by Jonathan Longcroft & Elliott Simpson & Alexander Demner

Yesterday (April 16, 2024), the Department of Finance Canada published its 2024 federal budget (“Budget 2024”). Several major tax proposals were announced. This blog post briefly outlines those relating to income tax.

1. Increased Capital Gains Inclusion Rate 

What’s new? The latest evolution in the GAAR “modernization” proposals

Published by Molly Martin

I.              INTRODUCTION

The Department of Finance first publicly announced an intention to modify the general anti-avoidance rule (the “GAAR”), found in section 245 of the Income Tax Act (Canada) (the “Act”), on November 30, 2020. This intention most recently came…

Quick Update – New EIFEL Regime

Published by Ian Gamble

Context: As part of the avalanche of new draft legislation, the Department of Finance has released revised excessive interest and financing expenses limitation (EIFEL) rules.  The attached Excel is a high-level and technical summary of the new EIFEL regime. …

Inadvertently caught in the net – deemed dispositions and the “flipped property” rules

Published by Ken Jiang & Justin Shoemaker

The recently enacted “flipped property” rules in the Income Tax Act (Canada) (the “Act”) have wide ranging implications. Several tax practitioners have written about the problematic nature of the rules (see, for example: Evan Crocker and Kenneth Keung, “Related-Party Transfers…

Principal tax measures from Federal Budget 2023 – Part 3: Clean energy initiatives

Published by Alexei Paish & Asif Abdulla & Gloria Wang

Budget 2023 – A Made-in-Canada Plan: Strong Middle Class, Affordable Economy, Healthy Future (“Budget 2023”) was tabled by the Department of Finance (“Finance”) on March 28, 2023 (“Budget Day”). The stated focus of Budget 2023 includes targeted inflation relief, stronger…