"Judges are expected to decide cases as framed by the
parties, then step back and allow the appellate process to unfold.
In this case, the trial judge did neither."
- Taxpayer's Supplemental Memorandum of Fact and Law
The transfer pricing case of McKesson v. The Queen has raised
procedural issues that are without precedent in Canadian tax cases.
This week, those procedural issues became a central part of the
matters that will be considered by the Federal Court of Appeal.
In a Notice of Motion (and other materials) filed
this week, the taxpayer has asked for a new trial before the Tax
Court.
Background
McKesson is a case involving transfer pricing adjustments under
section 247 of the Income Tax Act (Canada) in respect of
the factoring of accounts receivable as well as the limitation
period in Article 9(3) of the Canada-Luxembourg Tax
Convention. The Tax Court dismissed the taxpayer's appeal.
