Black – Tax Court of Canada finds that Treaty residence in the U.K. did not stop CRA from treating Conrad Black as a Canadian resident

In 2002, Conrad Black was resident in Canada under general principles but was resident in the U.K for Treaty purposes under the tie-breaker rules.  He made an unsuccessful argument to the effect that s. 250(5) (which was not yet applicable to him) was enacted for greater certainty, so that (it was argued) he was deemed because of his Treaty status not to be resident in Canada.  Accordingly, he was subject to Canadian tax on his world-wide income – including $2.9 million of U.S. employment income, and imputed benefits of $1.4 million from free use of a corporate jet.

Neal Armstrong.  Summary of Black v. The Queen, 2014 DTC 1046 [at 2882], 2014 TCC 12, briefly aff'd 2014 FCA 275 under Treaties – Art. 4, Art. 29, Stat. Interp. – Other/Conflicting Statutes, and Interp. Act - 45(2).