In this month’s review, Mike Lane and Zoe Andrews (Slaughter and May) consider the Court of Appeal decisions in Royal Bank of Canada and Civic Environmental Systems and the consultation on transfer pricing, DPT and permanent establishment.
Royal Bank of Canada: UK/Canada double tax treaty
In Royal Bank of Canada v HMRC [2023] EWCA Civ 695 the Court of Appeal unanimously overturned the Upper Tribunal’s decision and found in favour of RBC that the UK/Canada double tax treaty does not permit the UK to exercise taxing rights over the profits of the Canadian bank from certain contractual payments described as ‘royalties’ calculated by reference to oil production and oil prices. The right to these payments had been assigned to RBC during the receivership of Sulpetro a Canadian company to which RBC had advanced a loan. As RBC won its appeal on the grounds of interpretation and application of...
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In this month’s review, Mike Lane and Zoe Andrews (Slaughter and May) consider the Court of Appeal decisions in Royal Bank of Canada and Civic Environmental Systems and the consultation on transfer pricing, DPT and permanent establishment.
Royal Bank of Canada: UK/Canada double tax treaty
In Royal Bank of Canada v HMRC [2023] EWCA Civ 695 the Court of Appeal unanimously overturned the Upper Tribunal’s decision and found in favour of RBC that the UK/Canada double tax treaty does not permit the UK to exercise taxing rights over the profits of the Canadian bank from certain contractual payments described as ‘royalties’ calculated by reference to oil production and oil prices. The right to these payments had been assigned to RBC during the receivership of Sulpetro a Canadian company to which RBC had advanced a loan. As RBC won its appeal on the grounds of interpretation and application of...
If you or your firm subscribes to Taxjournal.com, please click the login box below:
If you do not subscribe but are a registered user, please enter your details in the following boxes:
