Canada Safeway - Alberta Court of Appeal finds that the Alberta GAAR does not apply to a further provincial income-shifting transaction

This case is quite similar to Husky.  Hunt JA stated that "a taxpayer is free to replace retained earnings with borrowed money," and rejected a submission of Alberta that "when a series of transactions ... is tax-motivated, every transaction comprising the series is an ‘avoidance transaction’."

Neal Armstrong.  Summary of Canada Safeway v. Alberta, 2012 ABCA 232 under s. 245(4) and s. 245(3).