Monthly Archives: September 2007

Price adjustments

In a post I wrote in the spring, I summarized briefly Desormiers c. Lalumière, 2006 QCCS 2357, a decision of the Quebec Superior Court, which seemed to call into question the effectiveness of price adjustment clauses.

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Prorogued

The Parliament of Canada website reports that The Governor General informed the Speaker of the Senate and the Speaker of the House of Commons that the First Session of the 39th Parliament was prorogued on Friday, September 14, 2007. Prorogation … Continue reading

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Garnishments

A garnishment (or “requirement to pay”) under section 224 of the Income Tax Act can be a real headache for the garnishee. The garnishee is put in the middle of another taxpayer’s troubles with the CRA, and the scope of … Continue reading

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U.S. Treaty amended

Finance just announced that “Canada’s New Government Sign[ed] Protocol to the Canada-U.S Tax Treaty for the Benefit of Canadians”. The news release summarizes the changes implemented as follows:

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Fairness

Making an application for fairness—or “taxpayer relief” as it is now called—is often a frustrating process for a tax professional. One wonders, sometimes, whether the CRA agent responsible even reads the application. The CRA has issued Information Circular IC07-1 about … Continue reading

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Revival

Subsection 227.1(1) of the Income Tax Act (Canada) (the “Act”) permits the CRA to assess a director of a corporation for the corporation’s failure to remit source deductions. Subsection 227.1(4) of the Act, however, provides that no action … to … Continue reading

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Baxter, 2007 FCA 172

In Baxter v. The Queen, 2006 TCC 230, Mr. Justice Bell examined the definition of “tax shelter” in the Income Tax Act and concluded that the appellant taxpayer, a Mr. Baxter, did not buy a shelter when he purchased trading … Continue reading

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