At first glance, one might think that tax law and criminal law are mutually exclusive areas of practice. Taxation largely deals with the application of the Income Tax Act (“ITA”) and Excise Tax Act (“ETA”) to financial transactions entered into by individuals, corporations, trusts, and others … [Read more...]
Gambling with your Taxes: Are Gambling Winnings a “Prize” Under the Income Tax Act?
During the recent summer Olympic Games we learned that Canadians, Americans and athletes from other countries receive a financial bonus for each medal they win, the size of the bonus depending upon the colour of the medal. This income is also taxed, a fact that is stirring legislators in the U.S. … [Read more...]
The Tax Court of Canada: An Introduction
While many would share Scarlett O’Hara’s belief that there is never a convenient time for taxes, let alone a convenient time for tax problems, Canadians can take great relief in knowing that there is a convenient forum for resolving most tax problems. Although the Tax Court of Canada is one of … [Read more...]
Credit where Credit is Due: Personal Credits in the Canadian Tax System
2012 is the 25th year of personal credits in the Canadian tax system. Prior to 1988, personal exemptions were deducted from taxable income. Since 1988, credits against taxes payable have been used. This was perceived as more fair, because the benefit of deductions was greater for higher income … [Read more...]