2024-1005781C6 2024 CALU RT - Q9 - Notifiable Transactions

Please note that the following document, although believed to be correct at the time of issue, may not represent the current position of the CRA. Prenez note que ce document, bien qu'exact au moment émis, peut ne pas représenter la position actuelle de l'ARC.

Principal Issues: What is the process that CRA follows to designate new transactions as a notifiable transaction?

Position: The Minister of National Revenue sends a letter to the Minister of Finance to designate proposed notifiable transactions. If the Minister of Finance agrees, she will write back to the Minister of Revenue to state her concurrence to the designation of the notifiable transaction.

Reasons: Under subsection 237.4(3), the Minister may designate for the purposes of this section, with the concurrence of the Minister of Finance, in such manner as the Minister considers appropriate, transactions or series of transactions.

Author: Ng, Mei
Section: Subsection 237.4(3) of Income Tax Act

CALU Roundtable – May 2024

Unless otherwise stated, all references to a statute are to the relevant provision of the Income Tax Act, R.S.C. 1985 (5th Supp.), c.1, as amended, (the Act)

Question 9 – Notifiable Transactions

Can the CRA comment on the process that it will follow to designate (with the concurrence of the Department of Finance) new transactions (or series of transactions) that would be considered a notifiable transaction? (footnote 1)

CRA Response

Further to consultations with different internal stakeholders, a proposal for a new notifiable transaction will be prepared and considered by officials at the CRA and the Department of Finance. If the Minister of National Revenue (MNR) decides to designate the proposed notifiable transaction, the MNR will send a letter to the Minister of Finance (MoF) outlining the notifiable transaction she proposes to designate. If the MoF agrees with the MNR’s recommendation, the MoF will write back to state her concurrence to the designation of the notifiable transaction set out in the MNR’s letter.

Response prepared by Richard Archambault of Compliance Programs Branch.

Richard Archambault
2024-100578
May 7, 2024

FOOTNOTES

Note to reader: Because of our system requirements, the footnotes contained in the original document are shown below instead:

1 As provided in subsection 237.4(3).

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