On May 14, 2018, the Canada Revenue Agency (CRA) published its first guidance for cultivators, producers and packagers of cannabis products, as well as the application forms for excise duty licences and the cannabis excise...more
The Quebec government recently tabled its 2018-2019 budget (Budget), which announced a number of tax measures, including an initiative to expand the scope of the Quebec sales tax regime (QST) by introducing an obligation for...more
On February 27, 2018, the Minister of Finance introduced Canada’s 2018 Federal Budget (2018 Budget), which looks to implement the excise duty framework for cannabis that was proposed in November 2017 (see our November 2017...more
On November 10, 2017, the federal department of finance issued long-awaited legislative and regulatory proposals for the taxation of cannabis. Effectively, the proposed rules will place cannabis producers within the existing...more
On September 8, 2017, Canada’s Department of Finance released draft legislation to amend the Excise Tax Act (Canada) with regards to “Investment Limited Partnerships”, and is accepting comments until October 10, 2017.
If...more
The licencing, sale and use of cannabis (both medically and recreationally) is likely to result in an increased risk of product liability claims on behalf of patients and consumers, including class action risk for the...more
Sales of illegal marijuana have long been subject to tax in Canada (notwithstanding the illegality of the sales), and legal sales of medical marijuana are also currently treated as taxable. From the outset, the federal...more
The extent to which the new law will restrict the advertising and branding of cannabis was, and still is, one of the key unknowns. From industry’s perspective, cannabis should be regulated more like alcohol than tobacco, and...more
Cannabis, similar to any other commodity, is subject to Canada’s customs laws respecting international trade in goods. However, in the case of cannabis, additional rules apply regarding the fact that trade in cannabis is...more
The new legislation will inevitably result in a flurry of discussions between the government and affected stakeholders....more
Bank Act -
The Bank Act gives scheduled banks the right to take security interests in farm assets, crops and other agricultural products in exchange for the extension of credit. When a borrower makes a grant of security...more
The pending legalization of non-medical cannabis raises a host of issues for employers. Upon passage of the new legislation, employers can expect to encounter difficult decisions relating to the appropriateness of drug...more
Canadian Capital Markets -
As changes in the regulatory regime open up significant opportunities in the cannabis sector, industry players will be seeking access to capital to fund growth, and investors will be looking...more
It is well known that a GST/HST-registered person can purchase certain types of commercial real property without paying GST/HST to the vendor. ...more