Finance committee  You want to know how they use it to reduce tax? What they would do is set up a finance company in a country that has a low tax rate. They would loan money to a foreign affiliate in a country with a high tax rate. The high-tax-rate company would pay interest to the low, so they w

Finance committee  In the United States they have certain entities that can be treated either as a corporation or as a partnership or a disregarded entity. In certain cases it's advantageous to set up one of these entities that is treated as a corporation for Canadian tax purposes but is treated as

Finance committee  So you want to know how the tower structure works?

Finance committee  The double-dip structures and the tower structures that you are referring to are culminated in the rules dealing with foreign affiliates, which have nothing to do with this bill. Under a tower structure or a double-dip structure, basically, interest paid by one foreign affiliate

Finance committee  Back when we first introduced the measures, we had done some research. We discovered, based on data that was provided to us from various sources, that there was about $90 billion invested in trusts and these types of investments, offshore investments. Over the years, when we an