Civil Servants' Pension Board Used Tax Avoidance Scheme

As reported in the Financial Post on Nov 6, 2014,  the federal agency that invests civil service pensions set up a complex scheme of European shell companies and exploited loopholes that helped it avoid paying foreign taxes- a move that could undermine Canada`s standing internationally  as its allies try to mount a crackdown in corporate tax avoidance .

The scheme put together in Luxembourg was determined to be legal and had only One Goal – TO AVOID TAXES BY INVESTING IN GERMAN REAL ESTATE!

The Pension Board has Directors appointed by the Federal Government with some input from civil servants.  Experts at Price Waterhouse refer to this kind of set up as a tax  avoidance scheme , though the firm said in a statement that it rejects any suggestion that there is anything improper about its work.   In Canada , over the last 10 years , gifting arrangement tax shelters ( referred to by the CRA as Tax Avoidance Schemes ), have provided over $ 1.2 BILLION  in pharmaceuticals to aid in reducing suffering and saving lives from the Aids epidemic throughout  Africa . These programs actually have contributed this aid which has done so much to aid our Canadian Government in their stated mandate as outlined in the “Aid to Africa Act”  implemented in the House of Commons in 2003.

Yes , the participants in these programs have SAVED TAXES legally, but they have also aided Canadian Charities in fulfilling their mandate to REDUCE SUFFERING AND SAVE LIVES !   In my view , this is exactly why we do have tax shelters ( Section 237 .1) and Charitable Gifts  (Section 118.1 (1).  This is why I personally participated in a number of these tax shelters ; to Save taxes , Save lives, and reduce suffering .  The Supreme Court of B.C... in Leroux v CRA  in July of 2014 , stated that the CRA owes a “ duty of care “to the taxpayer and are to” be expected to act in good faith and in accord with the Income ax Act “.  I agree with the Supreme Court of B.C.. and I agree with our Income Tax Act, our Federal Jurisprudence and , of course , I STRONGLY DISAGREE with the CRA and their protocol which precludes us taxpayers from access to our Taxpayer Bill of Rights .  I will continue to be taxed according to the law and not according to the Administrative Authority of the CRA.

I invite all Canadian Taxpayers to join us at PGC and exercise our inherent rights ; there has been  so much history and so many have done so much to ensure our rights ;  I will not disregard those sacrifices because of the unaccountable words and actions of the CRA.

Robert G Allen
Income Tax Consultant
Vernon BC