North America: Tax

Cyber‑enabled cargo theft is a modern form of freight theft in which criminals use digital impersonation, stolen credentials and system manipulation to fraudulently obtain cargo...

The Autumn Budget contained a range of pensions-related announcements with implications for employers and trustees of all occupational pension schemes.

The Chancellor has today announced her highly anticipated autumn Budget.

Corporations are treated as distinct legal persons, separate from their shareholders, directors, and officers.

Canada has one of the largest tax treaty networks in the world. Its Canadian tax treaties are designed to prevent double taxation, allocate taxing rights between countries, and reduce Canadian non-resident withholding tax on cross-border dividends, interest, royalties, and similar payments.

Canada's tax system imposes income taxes at both federal and provincial/territorial levels on corporations and individuals, with rates varying significantly based on business structure, location, and other factors.

The sale of a business, usually operated through a corporation, can be structured as either a share sale or an asset sale, and the two are legally and practically distinct. In a share sale, the vendor sells the corporation’s shares to the purchaser, so that the purchaser acquires control of the corporation’s assets indirectly through share ownership.

If you hold units or shares of an offshore hedge fund, a foreign investment company or any other non-resident fund that reinvests its income instead of paying it out, the CRA may be able to tax you every year on income you never received.

Canada’s income tax system is fundamentally based on self-assessment. Individual taxpayers are responsible for reporting their income, claiming applicable deductions and credits, and determining their tax position through the T1 General, formally the T1 Income Tax and Benefit Return.

Requests and requirements for information (RFIs) are among the Canada Revenue Agency’s (CRA) most powerful audit tools. Recent legislative proposals would introduce new administrative penalties for non-compliance with RFIs, increasing the consequences for recipients.

A Federal Court case highlights the serious tax consequences taxpayers face when locked out of the MyCRA portal. While the court ruled that CRA must address access issues in penalty relief applications, it stopped short of requiring actual relief, leaving taxpayers vulnerable to accumulating penalties they cannot prevent.

The IRS and Treasury Department have issued proposed regulations addressing the allocation of deductions to foreign-source income under Section 951A, while recent Tax Court decisions clarify critical issues surrounding the Section 245A dividends-received deduction, consolidated return consents, and penalty assessment procedures. These developments carry significant implications for multinational corporations navigating foreign tax credit limitations and domestic loss calculations.