Department of Finance

TEI Comments on Proposed Canadian Legislation Effecting Reporting of Qualified Non-Resident Employees

On October 12, 2015, TEI submitted a letter to the Canadian Department of Finance suggesting further legislative changes surrounding Regulation 102 in the form of (1) allowing self-certification as to “qualifying non-resident employer” status and (2) eliminating the $10,000 threshold for T4 reporting requirements. The proposed legislation would require employers to obtain advance certification from the CRA before being considered a “qualifying non-resident employer” as well as reporting on form T4 of all “qualifying non-resident employees” who make more than $10,000.

TEI Comments on Proposed Canadian Legislation Effecting Income Tax Act Section 55

On October 12, 2015, TEI submitted a letter to the Canadian Department of Finance stating that a proposed expansion of the Income Tax Act's subsection 55(2), which is an anti-avoidance provision, would unduly apply to routine transactions that have no anti-avoidance purpose. The proposed legislation would expand the “purpose test” to capture instances in which dividends are paid on a share, not to reduce a capital gain, but instead to (i) significantly decrease the fair-market value of any share, or (ii) significantly increase the total property costs to the dividend recipient.

TEI Comments on Proposed Canadian Legislation Effecting Synthetic Equity Arrangements

On August 28, 2015, TEI submitted a letter to the Canadian Department of Finance urging exception for stock-based compensation programs from potential representation requirements at issue in proposed legislation regarding synthetic equity arrangements. The legislation would require participants in synthetic equity arrangements to affirmatively represent that they are Canadian taxpayers in order to claim a dividends-received deduction in certain transactions involving stock hedging.

TEI Holds 2014 Liaison Meetings with Canada Revenue Agency and Canada Department of Finnace

On November 18-19, 2014, representatives from Tax Executives Institute, led by 2014-2015 President Mark C. Silbiger and 2014-2015 Vice President for Canadian Affairs Paul T. Magrath, met with officials from Canada Revenue Agency and the Canadian Department of Finance to discuss tax policy and administrative matters.

TEI Comments on Canada's Treaty Shopping Consultation

On December 16, 2013, TEI submitted comments to the Department of Finance, Canada, in respect of its consultation on treaty shopping. The comments were prepared under the aegis of the Institute’s Canadian Income Tax Committee, whose chair is Bonnie Dawe of Finning Corporation.

Others contributing to the submission in addition to Ms. Dawe were: Carmine A. Arcari of Royal Bank of Canada, Lynn Moen of Walton International Group, Inc., and Jason Vincze of GE Canada. Jeffery P. Rasmussen of TEI’s legal staff coordinated the preparation of the comments.

TEI Holds 2013 Liaison Meetings with Canada Revenue Agency and the Canadian Department of Finance

On December 3-4, 2013, representatives from TEI, led by 2013-2014 Vice President for Canadian Affairs Shiraz J. Nazerali, met with officials from Canada Revenue Agency and the Canadian Department of Finance to discuss tax policy and administrative matters.

TEI Submits Recommendations for VAT Refunds with European Commission

On January 4, 2013, TEI submitted a letter to the European Commission noting the increasing frequency with which a number of EU Member States have refused to refund VAT to businesses that are in a repayment position and urging the Commission to take necessary actions against those Member States.

The comments were prepared under the aegis of TEI's European Indirect Tax Committee. Daniel B. De Jong of the Institute's legal staff coordinated the development of the Institute's comments.

TEI Holds 2012 Liaison Meetings with Canada Revenue Agency and the Canadian Department of Finance

On December 4-5, 2012, a delegation of members from TEI's Income and Commodity Tax Committees met with representatives from Canada Revenue Agency and the Department of Finance in annual liaison meetings.

TEI Holds 2011 Liaison Meetings with Canada Revenue Agency and the Canadian Department of Finance

On December 6-7, 2011,TEI President David Penney and David Daubaras, the Institute's Vice President for Canadian Affairs, led a delegation of members in the 2011 liaison meetings with the Canada Revenue Agency (CRA) and the Department of Finance. The agendas for the separate meetings on income and excise (GST and Customs) tax matters were prepared under the aegis of TEI's Canadian Income and Commodity Tax Committees, whose chairs are Carmine A. Arcari and Kim N. Berjian, respectively.

Income Tax Matters