Private equity (PE) firms play a critical role in revitalizing struggling businesses by providing, among other things, financial support and operational expertise. PE transactions are often driven by a combination of...more
On January 31, 2025, the Minister of Finance (Canada) announced that the proposed increase in the capital gains inclusion rate from one-half to two-thirds, previously intended to be effective for dispositions occurring on or...more
On January 6, 2025, Prime Minister Justin Trudeau announced his resignation as prime minister and the prorogation of Parliament until March 24, 2025. At the federal level, prorogation is an act by the Governor General,...more
The Federal Court of Appeal (FCA) recently dismissed the Bank of Nova Scotia’s (BNS) appeal and upheld the Canada Revenue Agency’s (CRA) practice of charging arrears interest on a non-existent tax debt where audit adjustments...more
On October 29, 2024, the Canada Revenue Agency (CRA) announced that bare trusts are once again exempt from filing the T3 Income Tax and Information Return (including Schedule 15 regarding beneficial ownership information of a...more
The new Digital Services Tax Act came into force with an order-in-council on June 28, 2024, imposing a 3% digital services tax (DST) on certain Canadian-source digital services revenue of large entities. The DST would first...more
Le 16 avril 2024 (le « jour du Budget »), le gouvernement du Canada a présenté son budget fédéral de 2024 (le « Budget 2024 »). Bien que le principal élément du Budget 2024 soit une proposition visant à faire passer le taux...more
On April 16, 2024 (Budget Day), the Government of Canada released its 2024 federal budget (Budget 2024). While the biggest headline item in Budget 2024 is a proposal to increase the capital gains inclusion rate from one-half...more
L’Agence du revenu du Canada (l’« ARC ») a adopté une nouvelle politique administrative (la « nouvelle politique administrative ») qui est entrée en vigueur le 1er janvier 2024. La nouvelle politique administrative permet de...more
Effective January 1, 2024, the Canada Revenue Agency (CRA) has a new administrative policy (New Administrative Policy) for determining the province or territory of employment (POE) for payroll deduction purposes of employees...more
The latest edition of Davies’ Governance Insights is now available. In this issue, we explore 10 important trends that will help general counsel and boards navigate the year ahead. In order to help you with your strategic...more
Points saillants - Le 28 novembre 2023, le ministère des Finances (le « ministère ») a déposé un avis de motion de voies et moyens visant à mettre en œuvre la Loi d’exécution de l’énoncé économique de l’automne 2023, qui a...more
Highlights - On November 28, 2023, the Department of Finance (Finance) tabled a Notice of Ways and Means Motion to implement the Fall Economic Statement Implementation Act, 2023, which subsequently received first reading...more
Le 21 novembre 2023, la ministre fédérale des Finances (la « ministre ») a publié l’Énoncé économique de l’automne de 2023 (l’« ÉÉA ») du Canada. L’ÉÉA porte principalement sur diverses mesures d’abordabilité à l’intention...more
On November 21, 2023, the Minister of Finance (Minister) released Canada’s 2023 Fall Economic Statement (FES). The primary focus of the FES is on affordability measures for Canadians and increasing Canada’s housing stock,...more
Introduction - Le 1er novembre 2023, l’Agence du revenu du Canada (l’« ARC ») a publié une liste d’opérations qui ont été désignées comme les premières « opérations à signaler » en vertu des nouvelles règles de divulgation...more
This dispute arose when the Canada Revenue Agency (“CRA”) reassessed President’s Choice Bank (“PCB”) for uncollected GST/HST on bundled supplies made to a major Canadian bank (the “Bank”) and denied the Bank’s rebate claims...more
Introduction - On November 1, 2023, the Canada Revenue Agency (CRA) released a list of transactions that have been designated as the first “notifiable transactions” under the new mandatory disclosure rules (MD Rules) in...more
In July 2023, the Canada Revenue Agency (“CRA”) released GST/HST Notice 325 (the “Notice”) with respect to services provided by certain insurance intermediaries. The Notice essentially makes official the 180-degree turn the...more
Le 6 juillet 2023, l’Agence du revenu du Canada (l’« ARC ») a publié sur son site Web de nouvelles lignes directrices administratives (les « lignes directrices ») sur l’application et l’administration des règles de...more
On July 6, 2023, the Canada Revenue Agency (CRA) posted on its website new administrative guidance (CRA Guidance) on the application and administration of the revised mandatory disclosure rules in the Income Tax Act (ITA)...more
With the enactment of Bill C-47 on June 22, 2023, Canada's enhanced mandatory disclosure rules are now fully in effect. These rules, which were first announced in the 2021 Canadian federal budget...more
What Is the Underused Housing Tax and Why does It Matter? The federal government's Underused Housing Tax Act1 (the Act) and the associated Underused Housing Tax Regulations2 (the Regulations) both took effect on January 1,...more
In an informal procedure decision, Axelrod v. The King, rendered on December 12, 2022, the Tax Court of Canada dismissed the appeals of a dentist denying input tax credits (“ITCs”) claimed in connection with certain expenses...more
The Canada Revenue Agency (CRA) can now require taxpayers or any other person to answer “all proper questions” and provide all reasonable assistance for any purpose relating to the administration or enforcement of the Income...more