Estate of Edward Reilly v. The Queen, 2007 TCC 404, considers whether shares of a corporation owned by an individual were qualified small business corporation shares (QSBCS) at the time of his death. If the shares had been QSBCS, the individual’s estate would have been entitled to claim the capital gains exemption to eliminate the gain the individual realized on death in respect of the shares. (more…)
The CRA issued a notice on July 10, which included the following paragraph about difficulties with its GRIP calculation schedule: (more…)
The Supreme Court released its decision today in The Queen v. Addison & Leyen Ltd., 2007 SCC 33. The case considers whether the CRA really can assess a taxpayer “at any time” under section 160 of the Income Tax Act. (more…)
Shaw v. The Queen, 2007 TCC 148, an informal procedure decision of the Tax Court, considered the meaning of “written agreement” as found in the provisions of the Income Tax Act governing the deductibility of support. (more…)
Damages paid for breach of contract, either pursuant to a judgment or further to a settlement, can be subject to GST. Section 182 of the Excise Tax Act provides that any such amount is deemed to include GST, which the recipient must remit to the CRA. The rule will apply in respect of “an agreement for the making of a taxable supply (other than a zero-rated supply) of property or a service in Canada by a registrant to a person”. The Tax Court considered the rule in some detail in Mi Sask Industries Ltd. v. The Queen, 2007 TCC 73.
