In Henco Industries Limited v. The Queen, 2014 TCC 192, a company carried on the business of developing land for sale in Caledonia, Ontario. In 2006, certain members of local Aboriginal groups occupied the area, which made continuation of…
In Tsilhqot’in Nation v. British Columbia, 2014 SCC 44, the Supreme Court of Canada reaffirmed that the doctrine of terra nullius – no one owned the land prior to European assertion of sovereignty – never applied in Canada: the…
When a Canadian company (Canco) receives a pre-acquisition surplus dividend (Pre-Acq Dividend) from a foreign affiliate (FA), s. 92(2) reduces Canco’s tax basis (ACB) in the FA shares. However, this ACB adjustment does not apply if Canco holds FA through…
In the recent Tax Court case of Trudy Tallon v. the Queen, Woods, J. was asked to rule on travel and transportation medical expenses tax credits claimed under paragraphs 118.2(2)(g) and (h) by the taxpayer in her 2009 taxation year. …
On October 23, 2013, Prime Minister Stephen Harper and European Commission President José Manual Barroso signed an agreement-in-principle relating to the Comprehensive Economic and Trade Agreement (“CETA”). This agreement provides for the removal of nearly all customs duties and tariffs…
In Lucie Descarries v. The Queen, 2014 TCC 75, the Tax Court of Canada (TCC) held that one result of the taxpayer’s share transactions was to indirectly extract from her company, on a tax-free basis, value that had accumulated…
In Gerbro Inc. v. The Queen, 2014 TCC 179, the Tax Court of Canada (TCC) examined two tests for an implied waiver of solicitor-client privilege: (1) when a communication between solicitor and client is legitimately “brought into issue in…
In The Queen v. Spruce Credit Union, 2014 FCA 143, the Federal Court of Appeal (FCA) upheld the trial judge’s key findings of fact (a) that certain dividends were paid by a deposit insurance corporation (DIC) to credit unions…
Article V, paragraph 3, of the Canada-US tax treaty (Treaty) provides that a “building site or construction or installation project” constitutes a permanent establishment (PE) if, but only if, it lasts more than 12 months. Furthermore, Article V, paragraph 9(b),…
In 2013-0496831R3, the CRA ruled that an Irish Common Contractual Fund (CCF) was a fully transparent unincorporated body, such that each investor in the CCF was considered to hold a direct undivided co-ownership interest in the underlying properties of…