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Salomon and Company Limited, [1897] AC 22 that a corporation is regarded in law as a legal entity with the personality of its own and it is quite distinct from its shareholders" (p. 1592), Christie ACJ found (at p. 1596) "that a person who acquires a share in a corporation does not thereby acquire an interest in land that is an asset of the corporation", and accordingly refused to extend the principle in the Fraser case to find that loans made to a real estate company by its shareholder had the same character as if they had been incurred in connection with the business of that company. ...

Ernst & Young LLP, 2015 BCCA 445-- summary under Agency Summary Under Tax Topics- General Concepts- Agency presumption that law firm agreement binds client The appellant’s B.C. law firm retained Ernst & Young to provide her with U.S. tax advice in connection with negotiating a separation agreement with her husband. ...

The Queen, 2016 TCC 172, aff'd 2018 FCA 124-- summary under Paragraph 20(1)(e) Summary Under Tax Topics- Income Tax Act- Section 20- Subsection 20(1)- Paragraph 20(1)(e) failure to advance evidence showing allocation of fees to share consideration The taxpayer (“Alcan”) incurred various investment dealer, legal and other fees in connection with its successful hostile bid for most of the shares of a French public company in consideration for cash and Alcan shares. ...

The Queen, 2016 TCC 204, rev'd 2018 FCA 30-- summary under Subsection 45(2) Summary Under Tax Topics- Statutory Interpretation- Interpretation Act- Subsection 45(2) subsequent amendment shed light on scope of previous version In connection with rejecting an argument that it was an abuse to bump an LP interest under s. 88(1)(d) and sell the bumped LP interest to a tax-exempt without recognizing the underlying recapture of depreciation, D'Arcy J noted that a subsequent amendment accomplished that result and stated (at paras 153 and 148): [N]ew subparagraph 88(1)(d)(ii.1) is relevant when determining whether the object, spirit and purpose of paragraphs 88(1)(c) and (d) were frustrated by the Oxford Transactions. … The amendment limits the amount by which the amalgamated company may bump the cost of any qualifying partnership interest held by the subsidiary. ...

However, the taxpayer’ claim still failed on the ground that “no statutory language used in or in connection with subsection 118(1) indicates that the deductions may be prorated for a taxation year” (para. 26) – and here, the support obligation had been agreed to be terminated only partway through the year. ...

The Queen, 2019 TCC 62, aff'd 2020 FCA 142-- summary under Section 123.3 Summary Under Tax Topics- Income Tax Act- Section 123.3 no CRA challenge to continuance to BVI to avoid s. 123.3 tax Hogan J found that transactions- in which the taxpayer recognized two capital gains in connection with the sale of a property to a third party and then offset the second capital loss under s. 40(3.12), produced a resulting double-increase to its capital dividend account- were abusive for s. 245(4) purposes. ...

The Queen, 2019 TCC 149-- summary under Subparagraph 3(b)(i) Summary Under Tax Topics- Excise Tax Act- Regulations- Input Tax Credit Information (GST/HST) Regulations- Section 3- Paragraph 3(b)- Subparagraph 3(b)(i) failure to quote registration number was fatal The appellant, which was seeking to develop one of its residential rental properties as a commercial storage site, received services from individuals or companies associated with the Foley family in connection with such property development. ...

The Queen, 2019 TCC 174-- summary under Section 7 Summary Under Tax Topics- Other Legislation/Constitution- Charter (Constitution Act, 1982)- Section 7 s. 7 not engaged in a civil proceeding even where based on records seized in criminal investigation In connection with an investigation of the taxpayers by the Criminal Investigations Directorate of CRA, the Directorate seized records of the taxpayers pursuant to a search warrant obtained pursuant to s. 490 of the Criminal Code. ...

Vavilov, 2019 SCC 65, [2019] 4 S.C.R. 653-- summary under Consistency Summary Under Tax Topics- Statutory Interpretation- Consistency presumption of consistent expression In connection with finding that an appellate standard of review (e.g., of correctness where there is a question of law) should be applied to judicial review of an administrative decision from which there is a statutory right of appeal, the Court stated (at para. 44): [T]here is no convincing reason to presume that legislatures mean something entirely different when they use the word “appeal” in an administrative law statute than they do in, for example, a criminal or commercial law context. ...

The Queen, 2020 TCC 47, aff'd 2022 FCA 72-- summary under Scientific Research & Experimental Development Summary Under Tax Topics- Income Tax Act- Section 248- Subsection 248(1)- Scientific Research & Experimental Development programming costs were not SR&ED The taxpayer (“National”), which provided consulting services to clients, claimed to have made SR&ED expenditures of $68,029 and generated investment tax credits of $23,810 in connection with developing a computer program that would automate aspects filing SR&ED claims with the CRA through a web-based, cross-platform and cross-browser framework to track claimable SR&ED projects. ...