Borealis Geopower – Tax Court of Canada found that a taxpayer had “physically” received unearned government assistance

Although all the conditions for the receipt of government assistance had not yet been (and never were) satisfied, Campbell J found that the taxpayer had “physically acquired” the funds in question through depositing a cheque to a trust account of its own formation and thereafter disbursed the funds out of the account to fund its project without any practical hindrance by the government foundation in question (which appeared to have waived the condition referred to above). Accordingly, she found that the taxpayer had in fact “received” the assistance in question at that time for purpose of a grind to its SR&ED expenditures under s. 37(1)(d).

Neal Armstrong. Summary of Borealis Geopower Inc. v. The Queen, 2018 TCC 189 under s. 37(1)(d).