Quote:
Originally Posted by CanSpice
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Had my eye on this case, there's a few things the judge doesn't appear to have considered such as whether it violates our trade treaties, looks like he excluded this evidence from the case and is saying its not something a domestic court can deal with. [Full decision here](
https://www.bccourts.ca/jdb-txt/sc/1...m#_Toc22721539)
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Interesting enough he said we cannot apply the tax to provincial nominees, you can see that there was a case [here where a provincial nominee was charged the tax. It seems like we could be on the hook to refund the tax to provincial nominees.](
https://globalnews.ca/news/5972101/b...rs-tax-unfair/)
>\[188\] Similarly, the Amendments do not create a distinction base on national origin. Many people of foreign national origin are not subject to the tax. Persons who originate from foreign countries but have permanent residence status or are Provincial Nominees are exempt.
As you can see in the judge's ruling, likely our higher speculation tax on foreign owned investments is illegal under our trade treaties:
>\[158\] In its second amended notice of civil claim the plaintiff refers to 33 international treaties that Canada has entered into with certain named countries, which it refers to as the “List A Treaties”. They include the *North American Free Trade Agreement* (“NAFTA”). The plaintiff submits that in these treaties, Canada has ensured that governments here will provide treatment to investors from List A countries that is no less favourable than that received by Canadians operating in a reciprocating country.
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>\[159\] As an example, the plaintiff cites Article 1102 of NAFTA that provides:
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>1. Each Party shall accord to investors of another Party treatment no less favourable than it accords, in like circumstances, to its own investors with respect to the establishment, acquisition, expansion, management, conduct, operation, and sale or other disposition of investments.
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>2. Each Party shall accord to investments of investors of another Party treatment no less favourable than that it accords, in like circumstances, to investments of its own investors with respect to the establishment, acquisition, expansion, management, conduct, operation, and sale or other disposition of investments.
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>3. The treatment accorded by a Party under paragraphs 1 and 2 means, with respect to a state or province, treatment no less favourable than the most favourable treatment accorded, in like circumstance, by that state or province to investors, and to investments of investors, of the Party of which it forms a part.
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>\[160\] Under Article 1139 of NAFTA, the ownership of real estate constitutes an investment that is protected by NAFTA. An investor is defined as someone who has made, is making or seeks to make an investment. Accordingly, persons who seek to make a real estate investment who are nationals of one of the contracting parties are covered by the terms of NAFTA.
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