The Supreme Court of Canada is seen Friday April 25, 2014 in Ottawa. (Adrian Wyld/The Canadian Press)

B.C. Crown corporation immune from taxation, but may still have to pay GST: court

British Columbia Investment Management Corporation may still be on hook for GPS payments

The Supreme Court of Canada says the B.C. agency responsible for managing public-sector pension plan investments is constitutionally immune from remitting the goods-and-services tax to the federal government.

However, the top court says the British Columbia Investment Management Corporation, a Crown agency, still might be on the hook for GST payments due to agreements it signed with Ottawa.

The management corporation had been ordered to pay almost $40.5 million in GST, plus interest and penalties, for delivering investment-management services for pooled portfolios.

The corporation then sought a declaration from the B.C. Supreme Court that it was immune from federal excise taxes.

A B.C. judge ruled the federal government could not order the corporation to remit the GST on the basis that, as an agent of the provincial Crown, it enjoyed the same immunity from federal taxes as the province.

The judge however also found the corporation was bound by taxation agreements it had signed, but even after Friday’s Supreme Court of Canada ruling the nature of any specific obligations under those agreements remains unclear.

The Canadian Press

Like us on Facebook and follow us on Twitter.

Get local stories you won't find anywhere else right to your inbox.
Sign up here

Just Posted

First rainstorm of the season pelting the Lower Mainland

Batten down the hatches as heavy rains, wind, and some localized flooding possible

UPDATE: Teen missing since early Monday in Langley has been found

Police released information about a 14-year-old girl who has been found safe

Canada West Golf Championships cancelled due to COVID-19 travel restrictions

UBC, UBC-O, UFV and UVic athletes will not hit the links this year, Kelowna was set to host

Time to look at separate RCMP detachments for Langley Township and Langley City, councillor says

Eric Woodward said the Township ‘lost a good superintendent’ over City controversy

LETTER: Socialism isn’t the answer to all society’s ills, Langley man argues

Every catastrophe – real or imagined – is used as a reason for government control and handouts

B.C. reports 96 new COVID-19 cases, one hospital outbreak

61 people in hospital as summer ends with election

B.C. could be without a new leader for multiple weeks after Election Day: officials

More than 20K mail-in voting packages were requested within a day of B.C. election being called

Refresh of Liberal government’s agenda comes amid new looming COVID-19 crisis

Lockdowns saw fed spending soar to historic levels in effort to offset pandemic’s blow to Canadians’ livelihoods

BC Liberals must change gears from election cynicism, focus on the issues: UBC professors

COVID-19 response and recovery is likely to dominate platforms

Is it time to start thinking about greener ways to package cannabis?

Packaging suppliers are still figuring eco-friendly and affordable packaging options that fit the mandates of Cannabis Regulations

Join Black Press Media and Do Some Good

Pay it Forward program supports local businesses in their community giving

‘Unprecedented’ coalition demands end to B.C. salmon farms

First Nations, commercial fishermen among group calling for action on Cohen recommendations

Earthquake off coast of Washington recorded at 4.1 magnitude

The quake was recorded at a depth of 10 kilometres

B.C.’s top doctor says she’s received abuse, death threats during COVID-19 response

Henry has become a national figure during her time leading B.C.’s response to the COVID-19 pandemic

Most Read