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Canada, 2019 FCA 147-- summary under Ordinary Meaning Summary Under Tax Topics- Statutory Interpretation- Ordinary Meaning ambiguity can arise on consideration of how the provision interacts with another Noël C.J. went on to find, on a purposive interpretation of ETA ss. 132(3) and 150(1) that, notwithstanding that an ETA s. 150(1) election made between the two companies was deemed by s. 150(1) to cause “every supply” between them to be an exempt financial supply, administrative services supplied by the appellant to the non-resident permanent establishment of a resident affiliate with whom it had so elected instead were deemed to be zero-rated supplies. ...

Accordingly, he found that there was a transfer of property for insufficient consideration to which s. 160 applied at the time of the set-off transaction. ...

The taxpayer acknowledged these deficiencies (as well as to there being no change to the issued share capital of the corporation) but argued that consideration should have been taken of the errors and failures of his advisor. ...

Dewar J also commented obiter on the subsequent enactment of s. 256(5.11), stating (at para. 48): I make no comment about whether that amendment if applicable in 2007- 2011 would have changed the result which I have come to on this appeal, except to say that it would have merited further consideration. ...

After referring to the Quebec equivalent of s. 67, and in finding that the taxpayer had not met its burden of establishing that such assessments were incorrect, Allen JCQ stated (at paras. 63-64, TaxInterpretations translation): How can the plaintiff challenge the presumption of correctness of the notices of assessment where the 7.89% rate, considered to be reasonable and adopted by the defendant, falls within the range that its own expert considered to be a reasonable rate based on the current rates in the market for obligations with similar considerations and risks during the period in litigation? ...

Canada, 2019 FCA 306-- summary under Shares Summary Under Tax Topics- General Concepts- Fair Market Value- Shares FMV of shares reduced by accrued, but not yet payable, corporate income tax on gains An individual rolled his apartment building into a Newco in consideration for a mortgage assumption and shares with nominal paid-up capital, and then rolled those shares into a new Holdco. ...

After rejecting the taxpayers’ submission that they should not be required to comply because it was unclear whether the RFIs were directed to them individually or to their related entities, Pamel J went on to reject a submission that the RFIs contravened s. 13 of the Charter, stating (at para. 76): The ITA’s legitimate purpose in allowing the CRA to audit taxpayers—to ensure compliance with our taxation system—must thus be balanced against the section 7 rights invoked by the Friedmans, with the consideration that the sole object of section 7 is to offer protection in “extraordinary or exceptional circumstances” when the impugned legislation is unjust. ...

These considerations apply here. ...

In the context of negotiations that led to the sale of the shares of Public Mobile to Telus, Pangaea and a resident shareholder (“Thomvest”) entered into a letter agreement that provided that Thomvest would pay $3,000,000 as consideration for Pangaea’s agreement to execute a share purchase agreement. ...

In rejecting the ARQ’s submission that it was contrary to judicial comity and an abuse of process for the same transactions to be appealed respecting QST to the Court of Quebec (and before going on to grant the appellants’ appeals in part), Choquette JCQ stated (at paras. 22, 24 and 25, TaxInterpetations translation): With respect, the judgment of the TCC is a transcript of the recording of the oral judgment and does not reveal the facts submitted or the Court's considerations …. ...