It has recently come to light that the Canada Revenue Agency has begun a special project of auditing inter vivos domestic trusts.
There is information that certain Canada Revenue Agency offices in Ontario have begun audits of inter vivos domestic trusts. In particular, it appears that the Canada Revenue Agency is targeting trusts that have been established to hold shares in a private corporation to facilitate income-splitting between family members.
In the event our local Canada Revenue Agency offices begin a similar audit here, it would be a good idea to ensure that trust and accounting records are complete and accurate, and that the trustees have been acting in compliance with the trust agreement.
For more information on this topic please contact one of our tax lawyers:
- Matthew Kraemer – [email protected] – 250-869-1145
- Thomas Fellhauer – [email protected] – 250-869-1165