Budget 2014 measures pose concerns for PE firms investing in Canada - report
A new report by Osler Hoskin & Harcourt LLP discusses measures proposed in the 2014 federal budget, tabled by the Minister of Finance on February 11. Relating to treaty shopping, these measures might have important implications for private equity funds that invest in Canada through treaty-based holding companies. The measures, which Osler originally flagged in a report last August, may deny tax treaty benefits to these companies. Osler notes that since the 2014 budget merely provides proposals relating to anti-treaty-shopping measures, there is still time for a potentially affected PE fund to consider taking mitigating steps and/or make comments to the federal government concerning potential impacts. The report's authors are Osler partners Firoz Ahmed, Monica Biringer, John Groenewegen and Matias Milet, and associate David Davachi.
