Garron and another v R Re Garron Family Trust ; Garron v R, St Michael Trust Corp v R Re Fundy Settlement ; Dunin v R, St Michael Trust Corp v R Re Summersby Settlement : 2009 TCC 450

Resource Information

The work Garron and another v R Re Garron Family Trust ; Garron v R, St Michael Trust Corp v R Re Fundy Settlement ; Dunin v R, St Michael Trust Corp v R Re Summersby Settlement : 2009 TCC 450 represents a distinct intellectual or artistic creation found in International Bureau of Fiscal Documentation. This resource is a combination of several types including: Work, Language Material, Continuing Resources.

Label

Garron and another v R Re Garron Family Trust ; Garron v R, St Michael Trust Corp v R Re Fundy Settlement ; Dunin v R, St Michael Trust Corp v R Re Summersby Settlement : 2009 TCC 450

Creator

• Nikolakakis, A

Contributor

• Baker, P

Subject

• double taxation
• residence
• case law
• trust
• treaty interpretation

Language

eng

Summary

Judgment by the Tax Court of Canada, Toronto, Ontario dated 10 September 2009. Two trusts were created with a corporate trustee in Barbados. The two trusts subscribed for shares in newly incorporated Canadian companies which in turn subscribed for shares in a Canadian company. These transactions were effected at nominal consideration. The trust company did not seem to take much part in the affairs of the trusts and by and large accepted the instructions of two beneficiaries in Canada. In 2000, the trusts disposed of their shareholdings in an arm's length sale, realizing a capital gain of over $450m. The Commissioner assessed the trusts for income tax and alternatively a number of individuals. The trusts argued that they were resident in Barbados as that was where the trustee was relevant and that therefore they were exempt from taxation in Canada by virtue of the Canada-Barbados double taxation agreement. It was held that, as the Barbados trust had not played more than a formal role and the central management and control of the trusts were in Canada, the trusts were resident in Canada for tax purposes

Citation source

In: International tax law reports. - London. - Vol. 12 (2009),

http://bibfra.me/vocab/relation/comm

2ul8NlLeYHs

Language note

English