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Proceedings of the Standing Senate Committee on
Banking, Trade and Commerce

Issue 5 - Evidence - Meeting of January 30, 2008


OTTAWA, Wednesday, January 30, 2008

The Standing Senate Committee on Banking, Trade and Commerce, to which was referred Bill C-10, An Act to amend the Income Tax Act, including amendments in relation to foreign investment entities and non-resident trusts, and to provide for the bijural expression of the provisions of that act, met this day at 4:20 p.m. to give clause-by-clause consideration to the bill.

Senator W. David Angus (Chair) in the chair.

[English]

The Chair: Honourable senators, we are here to consider Bill C-10. We began our study of this bill, this huge tome, on December 12, 2007, and continued on December 13. I want to remind everyone that at the end of our hearing on December 13, we heard fairly troublesome evidence from witnesses in the area of pensions, in particular, and various investment vehicles about the potential consequences or unintended consequences this bill could have.

There were discussions, and I then stated on the record that an agreement had been reached whereby some of the witnesses and the people they represented, officials from the Department of Finance and representatives of the minister's office, with input from myself and other members of this committee, would try to find a solution during the period commencing December 13 until today. In anticipation that a solution would be found, we had scheduled a meeting today for the officials and the ministerial representatives to appear before the committee to tell us what the solution was or was not, and then we anticipated proceeding to clause-by-clause consideration of the bill.

I have to inform you that these meetings are continuing. I am very encouraged by what I see and by the progress that has been made, but it is still a work in progress because there are many implications involved.

I suggest that we advise the officials not to appear before us today but rather to continue working with the minister. We will adjourn this meeting on the clear understanding that I have consulted with the minister himself and the people in his office that they will advise us, with a very short delay. I said we will be flexible. We will reschedule them to appear on the very first day they are ready to proceed.

Our program is full. As committee members know, witnesses are scheduled to appear on Bill C-12 at all our hearing dates from now until the end of the month. Those witnesses can be flexible. I am hopeful that we might be in a situation where we can have a day of hearings, adjourn and then complete clause-by-clause consideration and report the bill back to the chamber in a one-day or one-session hearing. Is everyone comfortable with that proposal?

Senator Massicotte: Before we have a hearing with witnesses, I presume they will also be made aware of the recommended solutions to the obvious problems so they can comment on them.

The Chair: It is fair to say that some of the interested parties are participating in the process. When the process of trying to find a solution is complete, I am assuming they will know.

That is not to say that everyone who has a problem with the bill will be satisfied. As you will see in a moment when we go in camera, we have identified many issues that have been raised.

Senator Massicotte: Will we have the right to ask those experts what they think of the proposed solutions?

The Chair: Absolutely.

The committee continued in camera.


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