Canada Revenue Agency Audit of Inter Vivos Trusts

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:

The content made available on this website has been provided solely for general informational purposes as of the date published and should NOT be treated as or relied upon as legal advice. It is not to be construed as a representation, warranty, or guarantee, and may not be accurate, current, complete, or fit for a particular purpose or circumstance. If you are seeking legal advice, a professional at Pushor Mitchell LLP would be pleased to assist you in resolving your legal concerns in the context of your particular circumstances.

It is prohibited to reproduce, modify, republish, or in any way use content from this website without express written permission from the Chief Operating Officer or the Managing Partner at Pushor Mitchell LLP. Third party content that references this publication is not endorsed by Pushor Mitchell LLP and in no way represents the views of the firm. We do not guarantee the accuracy of, nor accept responsibility for the content of any source that may link, quote, or reference this publication.

Please read and understand our full Website Terms of Use and Disclaimer here.

Legal Alert, Pushor Mitchell’s free monthly e-newsletter