Bill C-208, the version that received Royal Assent, is short and sweet and obviously not drafted by the persons at Justice who normally draft tax bills. See, eg, new subparagraph 84.1(2.3)(a)(iii). “Operation”? That’s an odd word choice. I’m not aware of any similar use of the word in the Act. Did the drafter use “operation” when he or she meant “transaction”? “Opération” appears to be the French word for “transaction” in the Act.
It’s odd to require an affidavit from a taxpayer. Again, I’m not aware of any similar requirement anywhere else in the Act.
What is “an independent assessment of … fair market value”? This does not appear to mean a report by a chartered business valuator.
What happens if the CRA happens to think that the affidavit and the assessment of value are inadequate? 84.1(2.3)(c) requires the documents, but it doesn’t specify the consequences if (the CRA thinks) they are deficient.
