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…
On November 3, 2022, the Department of Finance released revised draft legislation proposing to implement the “excessive interest and financing expenses limitation” (EIFEL) rules first announced in Budget 2021. Initial draft legislation was released on February 4, 2022 and…
On November 4, 2022, Bill C-32 (44-1) was tabled in the House of Commons. Among other things, that Bill contains the latest version of the proposed enhanced trust reporting rules and stipulates that they would be effective for trusts’…
The Federal Government has announced that the Fall Economic Statement 2022 will be presented in the House of Commons on November 3, 2022 at approximately 4:00 p.m. ET.
The Federal Government’s 2022 Budget stated that the Fall Economic…
Effective October 25, 2022, the government of Ontario has increased the Non-Resident Speculation Tax (“NRST”) rate to 25 percent.
The increase follows changes made to the tax earlier in 2022. Introduced in April 2017, the NRST initially applied a…
In Canada Revenue Agency (“CRA”) Views document number 2021-0922301I7, the CRA considered a Canadian-resident trust deemed to dispose (for Canadian income tax purposes) of U.S. real property on its 21-year anniversary. The CRA was asked whether: (a) the trust could…
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…
The Supreme Court of Canada (SCC) has allowed the Attorney General of Canada’s appeal in Canada (Attorney General) v. Collins Family Trust, 2022 SCC 26. In doing so, a majority of the SCC held that taxpayers may not resort to…
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