Cases
Société Générale Valeurs Mobilières Inc. v. Canada, 2017 FCA 3
At issue was whether Art. XXII(2) of the Canada-Brazil Treaty contemplated that a Canadian foreign tax credit should be allowed only on the basis...
See Also
Marin v. The Queen, 2022 TCC 49
France started imposing income tax on rental income as it was earned rather than the tax being payable one year in arrears, as previously. ...
G E Financial Investments v.The Commissioners for Her Majesty's Revenue & Customs, [2021] UKFTT 0210 (Tax Chamber), ultimately aff'd [2024] EWCA Civ 797
A US company (“GEFI Inc.”) and UK company (“GEFI”) in the GE group formed a Delaware LP (the “LP”) with GEFI Inc. as the 1% general...
Zong v. The Queen, 2019 TCC 270 (Informal Procedure)
A resident of both Canada and the UK who was employed full-time in the UK for several years was not entitled to claim a foreign tax credit under...
Burton v Commissioner of Taxation, [2019] FCAFC 141
An Australian-resident individual was taxed at the 15% long-term U.S. capital gains rate on his gains on the disposal of U.S. oil and gas drilling...
Burton v Commissioner of Taxation, [2018] FCA 1857, aff'd [2019] FCAFC 141
An Australian-resident individual was taxed at the 15% long-term U.S. capital gains rate on his gains on the disposal of U.S. oil and gas drilling...
Satyam Computer Services Limited v Commissioner of Taxation, [2018] FCAFC 172
In Tech Mahindra, computer services provided by employees of the taxpayer located in India to Australian companies were found to be royalties...
Commissioner of Inland Revenue v. Lin, [2018] NZCA 38
As a result of having a 30% interest between 2005 and 2009 in four companies which were resident in China, the taxpayer had the active business...
Arsove v. The Queen, 2016 TCC 283 (Informal Procedure)
A Canadian-resident individual and U.S. citizen was subject to US. income tax of 15% on a distribution to her out of her IRA. However, she filed...
Société générale valeurs mobilières inc. v. The Queen, 2016 TCC 131, aff'd 2017 FCA 3
The Crown brought a motion under Rule 58(1) for determination of questions of law respecting the application of Art. XXII(2) of the Canada-Brazil...
Anson v. HMRC, [2015] UKSC 44
The taxpayer, who was resident in the UK, paid US income taxes on his share of the profits of an LLC of which he was a member, and also paid UK...
HMRC v. Anson, [2013] EWCA Civ 63, rev'd supra
The taxpayer, who was resident in the UK, paid US income taxes on his share of the profits of an LLC of which he was a member, and also paid UK...
FLSmidth Ltd. v. The Queen, 2012 DTC 1052 [at at 2745], 2012 TCC 3, aff'd 2013 DTC 5118 [at 6147], 2013 FCA 160
In order to finance the acquisition of U.S. companies, the taxpayer set up a "tower structure," a chain of subsidiaries which had different tax...
Meyer v. The Queen, 2004 DTC 2393, 2004 TCC 199 (Informal Procedure)
The taxpayer, who was a U.S. citizen resident in Canada, did not claim treaty benefits when filing his U.S. return, with the result that his...
Canada- Israel Development Ltd. v. MNR, 85 DTC 718, [1985] 2 CTC 2460 (TCC)
The taxpayer, a Canadian resident corporation, owned all the shares of an Israeli corporation (“CAN-IS”) that received a dividend from another...
Administrative Policy
11 April 2023 Internal T.I. 2023-0964101I7 - Tax issues for cross-border employees
A portion of the employment duties of a cross-border employee (with a hybrid work arrangement) is exercised from Canada in the year but the...
3 February 2022 Internal T.I. 2021-0922301I7 - Art. XIII(7) Canada -US Treaty and Trusts
A Canadian-resident trust (the “Trust”) will realize a capital gain on a deemed disposition (the “Deemed Disposition”) pursuant to s....
9 July 2021 Internal T.I. 2021-0893981I7 - CERB received by non-residents
After noting that payments (“CERB Payments”) made pursuant to the Canada Emergency Response Benefit Act (the “CERB Act”) to a non-resident...
26 November 2020 STEP Roundtable Q. 4, 2020-0838001C6 - Foreign Tax Credit
A Canadian-resident individual (the “Taxpayer”), wholly owns a U.K.-resident corporation which, in turn, wholly-owns an Australia-resident...
3 December 2019 CTF Roundtable Q. 2, 2019-0824381C6 - Foreign taxes paid
Art. XXIV(2)(a)(i) of the Canada-US Treaty provides that “income tax paid or accrued to the United States on profits, income or gains arising in...
13 April 2017 External T.I. 2015-0601781E5 - U.S. tax paid in respect of an LLC's income
A Canadian-resident individual who is a member of a U.S. LLC pays tax in the U.S. on his or her share of profit of the LLC for a particular...
3 February 2016 External T.I. 2014-0548111E5 - U.S. tax paid in respect of an LLC's income
Mr. A, Canadian resident and citizen subject to a Canadian marginal rate of tax of 50%, was a member of an LLC carrying on a U.S. active business...
[U.K] Revenue and Customs Brief 15 (2015): HMRC response to the Supreme Court decision in George Anson v HMRC (2015) UKSC 44 25 September 2015
…[T]he [Anson] decision is specific to the facts found in the case. This means that where US LLCs have been treated as companies within a group...
23 July 2014 Internal T.I. 2014-0525231I7 - Foreign tax credit
Canco paid Japanese income tax on the capital gain reported on the distribution by it of its shares of a Japanese subsidiary ("Forco") to its...
16 June 2014 Internal T.I. 2014-0525961I7 - ON Tax and Brazilian Tax Sparing
Was tax deemed to have been paid (a "tax spared amounts") under Art. 22, para. 3 of the Canada-Brazil Treaty eligible for a foreign tax credit...
13 January 2014 External T.I. 2013-0512581E5 - Sale of shares of Brazilian corporation
The capital gain realized by a resident of Canada ("Canco") on disposing of shares of a Brazilian company was taxed by Brazil in accordance with...
10 June 2013 STEP CRA Roundtable, 2013-0480301C6 - 2013 STEP CRA Roundtable Question 4
A U.S. citizen is required to pay U.S. tax on dividends and capital gains at a 20% rate (increased from the previous 15% rate). Does this mean...
5 November 2012 Internal T.I. 2012-0462151I7 - Foreign Tax Credits
Canco held portfolio investments in shares of U.S. companies in connection with funding its insurance liabilities. The shares were mark-to-market...
6 July 2012 Internal T.I. 2012-0453461I7 F - rental losses Canada-France Treaty
Respecting a French rental property (the "Immovable") of the Canadian-resident individual taxpayer, CRA stated:
[B]y virtue of Article XXIII of...
11 May 2012 External T.I. 2011-0428791E5 - Foreign Tax Credit
Respecting a question as to the availability of a foreign tax credit for state franchise tax paid by a Canadian taxpayer (Canco), CRA (after...
15 March 2004 External T.I. 2003-0022651E5 - Canada-Mexico Income Tax Convention - Assets Tax
The Mexican assets tax (levied annually at the rate of 1.8% on all business property, commencing after four years of business operations) was not...
20 February 2003 External T.I. 2002-014360
A s. 20(12) deduction may not be taken by a U.S. citizen resident in Canada on the withholding from U.S. source property income that is in excess...
20 February 2003 External T.I. 2002-0143605 - Deductions-US Citizens resident in Canada
Respecting a U.S. citizen who was resident in Canada and received U.S.-source interest income, the correspondent queried whether the amount of...
19 October 1998 Memo 8M18146
Re-sourcing to Canada of U.S. employment income of U.S. citizen resident in Canada under Art. XXIV, para. 3 of Canada-U.S. Convention
With respect...
3 March 1997 Internal T.I. 9641327 - SUBSECTION 20(11) AND TAX TREATIES
Discussion of the interaction of s. 20(11) and paragraph 5 of Article XXIV of the U.S. Convention.
1995 Alberta CICA Round Table, Q. 13 (C.T.O. "U.S. Alternative Minimum Tax")
Discussion of double taxation situation where a U.S. citizen who is resident in Canada and earning only Canadian-source income is subject to U.S....
7 November 1994 External T.I. 9400965 - U.S. REAL PROPERTY INTEREST & FTC (5638-2)
Canco elects under Code s. 897(i) to be treated as a U.S. domestic corporation. Consequently, its shares become "United States real property...
Halifax Round Table, February 1994, Q. 5
As paragraph 1 of Article 24 of the Canada-U.S. Convention is subject to paragraphs 4, 5 and 6, and these paragraphs are not subject to U.S....
Articles
Nathan Boidman, "How Will Revised Sourcing Rules Affect Sales of U.S.-Made Goods Abroad?", Tax Notes International, 10 February 2020, p. 655
Allocation of income on sale of U.S.-produced goods all to the U.S. for U.S. FTC purposes under revised Code s. 863 (p. 655)
[There is] a...
Brian J. Arnold, "The Relationship between Controlled Foreign Corporation Rules and Tax Sparing Provisions in Tax Treaties: A New Zealand Case", Bulletin for International Taxation July 2018, p. 430
Lin decision accorded with literal wording of Relief from Double Taxation Article (p. 8)
[T]he situation appears to be as follows:
- the...
Manjit Singh, Andrew Spiro, "The Canadian Treatment of Foreign Taxes", 2014 Conference Report, (Canadian Tax Foundation), 22:1-37
Re-sourcing of capital gains and derivative gains (p.7)
A common scenario in which a treaty re-sourcing rule may apply is where a Canadian...
Kevyn Nightingale, "The Net Investment Income Tax: How it applies to U.S. Citizens Abroad", International Tax, No. 73, December 2013, p. 9.
What is the NIIT? (p.9)
To help fund "Obamacare", the United States instituted a new tax: the Net Investment Income Tax ("NIIT"). [Note 1:...