The CRA is embarking on a media campaign to warn taxpayers about fraudulent charities and donation tax shelters. The CRA is cranking up its campaign on this issue, as I have noted previously. For more background, see my posts here…
NWMM
The Minister of Finance released today a notice of ways and means motion to implement aspects of the March, 2007 budget. Frankly, it’s a bag of goodies for taxpayers. (But I am grateful that this latest release no where uses…
The Long Arm of Section 160
The following article on section 160 of the Income Tax Act (Canada) appeared in the latest edition of the Hamilton Law Association Law Journal. It is an expanded version of one of my posts from August.
Section 160 of the Income Tax Act (the “Act”) permits the CRA to assess “at any time” a taxpayer who receives property for inadequate consideration from a non-arm’s length tax debtor.
VDP news
A couple of weeks ago, the CRA issued the new version of its information circular on voluntary disclosures (IC00-1R2). See also the form for a VD “taxpayer agreement“.
GST transitional rules
The federal government, in its “economic update” of October 30, 2007, proposed to reduce the GST rate from 6% to 5%. The reduction will be effective January 1, 2008. The transitional rules and associated changes “in general are the…
Reminder from Mom
The CRA’s news releases sometimes read like a reminder from your mother to brush your teeth every day. The latest release reminds taxpayers that “the income you earn online is taxable.” But the CRA is a scary mom, the kind…
Classes of shares
As readers of this blog know, the Ontario Business Corporations Act was amended late last year to provide that
The articles [of a Corporation] may provide that two or more classes of shares or two or more series within a class of shares may have the same rights, privileges, restrictions and conditions.
Robin MacKnight, writing in the Canadian Tax Foundation’s Tax for the Owner-Manager in July, pointed out that:
At the 2007 STEP National Conference, the CRA was asked how it would interpret this change in the context of the attribution and income-splitting rules. Not surprisingly, its response was that tax consequences depend on more than just a name, and it would not necessarily recognize a distinction between classes of shares on that basis alone.
Requirements
At some point, I will write a longer piece on requirements to pay, but for now I will rest content with pointing to Encan Construction Ltd v. The Queen, 2007 TCC 579, as an example of the heavy burden they can impose on a taxpayer.
Soccer appeal denied
In its latest decision on the subject of registered charities, the Supreme Court has denied the appeal of the charity in A.Y.S.A. Amateur Youth Soccer Association v. Canada (Revenue Agency), 2007 SCC 42.
Disability plans
Yesterday, Finance released draft legislation for the new registered disability savings plans.