Evidence of meeting #129 for Finance in the 41st Parliament, 1st Session. (The original version is on Parliament’s site, as are the minutes.) The winning word was treaties.

A video is available from Parliament.

On the agenda

MPs speaking

Also speaking

Alain Castonguay  Senior Chief, Tax Treaties, Department of Finance
Ted Cook  Senior Legislative Chief, Tax Legislation Division, Tax Policy Branch, Department of Finance
H. David Rosenbloom  Caplin and Drysdale, New York University, School of Law, As an Individual
Alain Deneault  Researcher, Réseau justice fiscale Québec
Brigitte Alepin  Chartered Accountant, Tax Expert, Tax Policy Specialist, Author, As an Individual
Arthur Cockfield  Professor, Faculty of Law, Queen's University, As an Individual
Dennis Howlett  Executive Director, Canadians for Tax Fairness
Brian Ernewein  General Director, Tax Policy Branch, Department of Finance

1:20 p.m.

Senior Chief, Tax Treaties, Department of Finance

Alain Castonguay

The treaty with Namibia was signed in 2006. The negotiations began in 2005. I do not have the signature date on hand. The negotiations were completed before my arrival in 2006, but the treaty was signed a few years later. Obviously, once we, the negotiators, conclude an agreement, we have to begin a process to obtain the government's approval. That can take some time.

1:20 p.m.

NDP

Guy Caron NDP Rimouski-Neigette—Témiscouata—Les Basques, QC

If I have understood correctly, the negotiations were completed before 2006, but no other negotiations were held between then and the signature of the treaty prior to the passing of the bill.

1:25 p.m.

Senior Chief, Tax Treaties, Department of Finance

Alain Castonguay

We signed it soon thereafter. I do not have the exact date with me. We knew that the treaty with Hong Kong was close at hand. So we wanted to be efficient, in terms of legislation, so that we would have a certain number of treaties to present to parliamentarians.

1:25 p.m.

NDP

Guy Caron NDP Rimouski-Neigette—Témiscouata—Les Basques, QC

I saw on the list that 11 agreements were signed, but are not yet in force. This bill covers six agreements.

If those 11 agreements have already been completed and signed, why are the 5 remaining ones not included?

1:25 p.m.

Senior Chief, Tax Treaties, Department of Finance

Alain Castonguay

In Austria's case, the approval will be granted through an order in council, since the legislation makes this possible under the original agreement with that country. In Barbados's case, the ratification is close at hand. When it comes to France, we are waiting for the ratification, which will also be granted through an order in council. In Lebanon's case, the agreement was accepted under a Canadian piece of legislation in 1999, but Lebanon has not yet ratified it. As for Luxembourg, the agreement is part of the bill. In New Zealand's case, we have had to undertake additional negotiations to resolve a minor issue in the agreement we signed last year. That should be presented next year.

1:25 p.m.

NDP

Guy Caron NDP Rimouski-Neigette—Témiscouata—Les Basques, QC

I have one last question, which is also of a technical nature.

What determines whether an agreement will be adopted by order in council or through a bill presented to Parliament?

1:25 p.m.

Senior Chief, Tax Treaties, Department of Finance

Alain Castonguay

The enabling legislation Canada passed in the 1970s and 1980s included a provision whereby amendments to treaties could be made by order in council. If my memory serves me right, that stopped being our policy in the mid-1980s or the early 1990s. Today, any amendment or new treaty must be presented to Parliament in the form of a bill.

1:25 p.m.

NDP

Guy Caron NDP Rimouski-Neigette—Témiscouata—Les Basques, QC

Thank you.

1:25 p.m.

Conservative

The Chair Conservative James Rajotte

Colleagues, we have clauses 2 to 15. Are there any clauses that members wish to speak to further on? Can I group these clauses together?

1:25 p.m.

Some hon. members

Agreed.

1:25 p.m.

Conservative

The Chair Conservative James Rajotte

Shall clauses 2 to 15 carry?

(Clauses 2 to 15 inclusive agreed to)

We have schedules 1 to 6. Can I group these schedules together?

1:25 p.m.

Some hon. members

Agreed.

1:25 p.m.

Conservative

The Chair Conservative James Rajotte

Shall schedules 1 to 6 carry?

(Schedules 1 to 6 inclusive agreed to)

Shall the short title carry?

1:25 p.m.

Some hon. members

Agreed.

1:25 p.m.

Conservative

The Chair Conservative James Rajotte

Shall the title carry?

1:25 p.m.

Some hon. members

Agreed.

1:25 p.m.

Conservative

The Chair Conservative James Rajotte

Shall the bill carry?

1:25 p.m.

Some hon. members

Agreed.

1:25 p.m.

Conservative

The Chair Conservative James Rajotte

Shall the chair report the bill to the House?

1:25 p.m.

Some hon. members

Agreed.

1:25 p.m.

Conservative

The Chair Conservative James Rajotte

Thank you so much.

I want to thank our officials for being here. I appreciate that very much.

I mean it this time when I say, have a very good summer.

1:25 p.m.

Some hon. members

Oh, oh!

1:25 p.m.

Conservative

The Chair Conservative James Rajotte

Thank you so much, colleagues. Merci beaucoup.

The meeting is adjourned.