GAAR is the general anti-avoidance rule and it relates to corporate profit shifting and other tax-evasion schemes. Government's ability to go after corporate profit shifting and aggressive tax-avoidance schemes would be significantly strengthened if the Income Tax Act were amended to require the courts to consider economic substance in determining whether there is an avoidance transaction or whether an avoidance transaction results in misuse or abuse.
Just a tightening up of that regulation would make a big difference in the government's ability to get convictions in tax court against corporations who are profit shifting and tax evading.