10:25am
10:30am

Opening Remarks

Lucie Bélanger, Canadian Tax Foundation, Montréal

10:30am
11:30am

Panelists will engage in a round table discussion on transfer pricing audits and appeals, including the following topics:

• Latest trends and statistics (recharacterization, transfer pricing penalties, CbC Reporting, ICAP, APA, MAP/ACAP)
• Updated Information Circular IC71-17 and TPM-03: downward transfer pricing adjustments; criteria for 247(10); self- initiated adjustments; appropriate judicial forum
• Transfer pricing and COVID: administrative relief (tax residence/PE, extension of time); Interactions between TPM-17 and CEWS; contemporaneous documentation
• Dispute resolution and prevention under Pillar One
• Hybrid entities
• Hybrid transactions

Discussion Lead
Sébastien Rheault, Barsalou Lawson Rheault, Montréal

Panelists
Isabelle Brault, CASD, Canada Revenue Agency, Ottawa
Amanda Heale, Blake, Cassels & Graydon LLP, Toronto
Michael Jennings, ITD,Canada Revenue Agency, Ottawa
Alexandra MacLean, ILBD, Canada Revenue Agency, Ottawa

11:30am
12:00pm

This panel will provide an overview of the role of the Appeals Branch in transfer pricing cases, case referrals from TSOs to HQ, its interactions with Audit (mandatory and discretionary referrals to Audit, “feedback loop”) and recent administrative and operational developments.

Discussion Lead
Sébastien Rheault, Barsalou Lawson Rheault, Montréal
 
Panelist
Blair Hammond, Appeals Branch, Canada Revenue Agency, Ottawa

12:45pm
2:15pm

This panel will discuss key takeaways from transfer pricing case law in Canada, under section 247 and former subsection 69(2) of the Act. State of Transfer Pricing Abroad including the U.S. Coca-Cola case and the Australian Glencore case.

Discussion Lead
Sébastien Rheault, Barsalou Lawson Rheault, Montréal

Panelists:
Matt Billings, Duff & Phelps, Toronto
Amanda Heale, Blake, Cassels & Graydon LLP, Toronto
Angelo Nikolakakis, EY Law LLP, Montréal
Kevin Otero, Covington & Burling, New York
Shauna Pittman, Department of Justice, Ottawa
Jerome Tse, King & Wood Mallesons, Sydney

2:35pm
3:35pm

This panel will analyze the application of transfer pricing and other tax rules (ss. 15(2), 17, 20(1)(c), 67 of the Act) to financial transactions, and will separately discuss and debate atypical applications of s. 247.

• Impacts of the 2019 Budget Draft legislation issued on July 30, 2019, which provides that transfer pricing rules apply before other provisions of the Act.
• BEPS Actions 8-10
  • OECD’s Transfer Pricing Guidance on Financial Transactions (February 2020)
  • Accurate delineation of transactions, as applied to financial transactions
  • Update on the risk-free and risk-adjusted returns for minimally functional entities (“cash boxes”)

• Cash Pooling
  • Experiences with cash pooling arrangements in Canada, “back-to-back” loan rules and MAP issues
  • CRA Document 2017-0682631I7 (February 2018)

• Deduction of non-arm’s length interest using a forward subscription agreement
  • Notice to Tax Professionals (July 2019): Are similar arrangements observable at arm’s length?
  • Is the Department of Finance contemplating any legislative proposals on hybrid mismatch arrangements?

• The potential application of s. 247 in atypical situations, such as dealings between two foreign entities (“foreign to foreign”) or between two Canadian entities (“Canada to Canada”)

Discussion Lead
Angelo Nikolakakis, EY Law LLP, Montréal

Panelists: 
Byron Beswick, KPMG Law LLP, Calgary
Inna Golodniuk, Deloitte, Toronto
Amanda Heale, Blake, Cassels & Graydon LLP, Toronto
Alexandra MacLean, ILBD, Canada Revenue Agency, Ottawa

10:25am
10:30am

Welcome Address
 
Sheena Bassani,Barsalou Lawson Rheault, Montréal

10:30am
12:00pm

In March 2019, the Tax Court of Canada published Practice Note No. 22 detailing a protocol for Expert Panels (“hot tubbing”), intended to incite greater collaboration amongst expert witnesses. This session will provide a better understanding of the process, with the participation of the Tax Court of Canada and of economists who will debate a hypothetical case (transfer pricing and brand valuation issues in the context of brand consumer products developed outside Canada and imported for distribution).

Moderator
Sheena Bassani, Barsalou Lawson Rheault, Montréal

Judge Presiding over the Moot Court
The Honourable Patrick J. Boyle, Tax Court of Canada, Ottawa

Expert Witnesses for the Minister
Shane Dixon, Canada Revenue Agency, Ottawa
Mihailo Radoman, Canada Revenue Agency, Ottawa

Expert Witnesses for the Taxpayer
Andrew Tepperman, Charles River Associates, Toronto
Perry Urken, Economic Partners, Washington

Counsel for the Minister
Elizabeth Chasson, Department of Justice, Toronto

Counsel for the Taxpayer
Justin Kutyan, KPMG, Toronto 

12:50pm
1:50pm

This panel of experienced transfer pricing economists will cover various topics for which the pandemic-induced economic downturn has heightened our interest. Topics will include: Distilling value drivers from analyzing the materialization of economically significant risks; Restructuring costs & assumption of business closure costs; and TP treatment of government assistance (e.g., TPM-17, COVID-related subsidies such as the Canada Emergency Wage Subsidy).

Discussion Lead
Sheena Bassani, Barsalou Lawson Rheault, Montréal

Panelists
Jennifer Paul, Canada Revenue Agency, Montréal
Chris Raybould, Baker McKenzie, Toronto
Brad Rolph, Grant Thornton, Toronto
Derek Yerex, Canada Revenue Agency, Toronto

2:15pm
3:15pm

This panel will provide an update on the latest developments related to the digitalization of the economy project at the OECD, with a particular emphasis on the Pillar One blueprint:

• OECD perspective and reactions from the Inclusive Framework and other stakeholders
  

• Canadian government economic update and perspective on the OECD project

• Economic analysis and impact assessment   

• Double taxation challenges and innovative dispute resolution mechanism

• Perspective from the Canadian business community

Discussion Lead
Shiraj Keshvani, PwC Canada, Toronto

Panelists
Sophie Chatel, OECD, Paris
Lorraine Eden, Texas A&M University, College Station, Texas
James Greene, Department of Finance Canada, Ottawa
Michael Kobetsky, Australian National University, Canberra