ExxonMobil Canada Resources Company v. The King, 2026 TCC 42 -- summary under Incurring of Expense

taxpayer incurred costs as a result of a partial assignment to it of an agreement for conducting a feasibility study

The US parent of the taxpayer (“EM Corp.”), and two other oil and gas companies (“BP Alaska” and “Phillips Alaska”) entered into an...

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Words and Phrases
incur
Locations of other summaries Wordcount
Tax Topics - General Concepts - Onus non-suit motions should not be entertained after the close of evidence 178
Tax Topics - Income Tax Act - Section 152 - Subsection 152(4) - Paragraph 152(4)(b) - Subparagraph 152(4)(b)(iii) the reassessed feasibility costs of the Cdn taxpayer were incurred by it as a result of an assignment of an interest in the related project agreement to it by its NR parent 341
Tax Topics - General Concepts - Evidence in the absence of evidence as to the effect of Alaskan law, lex fori was applied 89
Tax Topics - Income Tax Act - Section 3 - Paragraph 3(a) the taxpayer’s costs for a pipeline feasibility study were incurred in relation to a source of income (the pipeline or use of the information generated) 327
Tax Topics - Income Tax Act - Section 18 - Subsection 18(1) - Paragraph 18(1)(a) - Income-Producing Purpose income-producing purpose can be secondary 247
Tax Topics - Income Tax Act - Section 247 - New - Subsection 247(2) - Paragraph 247(2)(b) taxpayer was assigned a portion of a pipeline feasibility project as a likely Canadian participant in any pipeline, and the alternative fee-for-services model was not well established 268
Tax Topics - Income Tax Act - Section 152 - Subsection 152(9) pleading of Part XIII tax arising from the conferral of a benefit was sufficient to ground a Crown argument that the benefit arose under s. 56(2) 314
Tax Topics - Income Tax Act - Section 15 - Subsection 15(1) entering into a bona fide transaction with a shareholder does not entail the conferral of a benefit 94
Tax Topics - Income Tax Act - Section 56 - Subsection 56(2) s. 246(1) cannot satisfy the “benefit” requirement of s. 56(2) so as to engage s. 214(3)(a) 269
Tax Topics - Income Tax Act - Section 246 - Subsection 246(1) - Paragraph 246(1)(b) s. 246(1)(b) benefit is not deemed to be a dividend 265
Tax Topics - Income Tax Act - Section 214 - Subsection 214(3) - Paragraph 214(3)(a) s. 214(3)(a) does not deem a s. 56(2) or 246(1) benefit to be a dividend 286
Tax Topics - Income Tax Act - Section 247 - New - Subsection 247(2) - Paragraph 247(2)(a) terms of cross-border agreement for the sharing of the costs of a pipeline feasibility study were commercially appropriate 366