HOUSE OF COMMONS
2nd Session, 41st Parliament
NOTICE OF MEETING
Standing Committee on Finance
Meeting No. 34
Tuesday, May 13, 2014
3:30 p.m. to 6:30 p.m.
(613-947-7776)
Orders of the Day
Televised
Bill C-31, An Act to implement certain provisions of the budget tabled in Parliament on February 11, 2014 and other measures
Witnesses
3:30 p.m. to 5:00 p.m.
As an individual
Allison Christians, Professor
H. Heward Stikeman Chair in Tax Law, McGill University
Credit Union Central of Canada
Marc-André Pigeon, Director
Financial Sector Policy
Moodys Gartner Tax Law LLP
Roy Berg, Director
US Tax Law
Videoconference – Toronto, Ontario
Investment Industry Association of Canada
Ian Russell, President and Chief Executive Officer
5:00 p.m. to 6:30 p.m.
As an individual
Arthur Cockfield, Professor
Faculty of Law, Queen’s University
Portfolio Management Association of Canada
Katie Walmsley, President
As an individual
Lynne Swanson
Videoconference – New York, New York
As an individual
Max Reed, Attorney
White and Case LLP
I am posting this apart from the cross-post from Sandbox so more people will see it. In addition to Lynne, some familiar faces, Allison, Roy Berg and Arthur Cockfield. It will be televised. Does anyone know how to record this?
Lynne was EXCELLENT!
Brava, Lynne!
You’re a terrific public speaker! It came across so clear that this affects Canadians, and that it’s a sovereignty issue, and you illustrated the real human situation!
Many thanks to Lynne for her presentation. What did the Credit Union Rep have to say? Is there a list of the “60%” that won’t be required to report? We already know that Meridian is not one of them since it appears from their FAQ re FATCA web page that they will throwing anyone they know is a US person and their non US spouse if they hold joint accounts under the FATCA and FUBAR steamroller.
Bravo, Lynne! You did us proud! I am sure you had an enormous impact on today’s proceedings. Thank you!
If anyone wants transcripts:
TO: FINA@parl.gc.ca
ATTENTION: Christine Lafrance, clerk
INCLUDE THIS INFORMATION:
FINA Meeting No. 34
1 Wellington Street – C-110
Tuesday, May 13, 2014
3:30 PM – 5:30 PM
FINA Meeting No. 35
1 Wellington Street – C-110
Wednesday, May 14, 2014
3:30 PM – 6:30 PM
Most of the Conservative politicians seem to treat us like collateral damage in a war. We’re not even human beings to them. They behaved like pure politicians who have no sympathy for our cause.
The NDP were great. Lynne was fantastic. I was impressed with Arthur, Allison and even that Max Reed tax guy in New York seemed to care more about us than the Conservatives did.
I think I may have missed John Richardson’s presentation. Was he on today or am I just frazzled?
Lynne Swanson was absolutely this Committee’s best choice to represent the concern of Canadian collateral damage wrought in the implementation of the IGA for FATCA. She would have been OUR choice as well. I hope each member of the Committee has taken into account the the proposed amendment.
Professors Allison Christians and Arthur Cockfield and NDP MPs have highlighted that there should not be a rush, that there is time, that this part of the omnibus bill needs to be removed from Bill C-31. There is so much that has to be looked at and thought about, completely studied before implementation is signed into law. Haste is not called for.
Max Reed brought out a lot of practical points, one being that the TFSA (and other registered accounts) are of little value to Canadians who are deemed ‘US Persons’. This in itself is discrimination. I have said all along that there needs to be some kind of Warning Sticker on these products — that they are not meant for those deemed US Persons — and that just IS discrimination from how any other Canadian will benefit from these investment products meant to enhance Canadians savings for retirement, education, disability.
I want to again thank Liberal MP, Scott Brison, for I know his questions reflect what I have been asking.
Thanks again to each of the panel members and the MPs who asked the right questions. Lynne, you did us proud!!!
I just wanted to say also, thanks, NativeCanadian, for taking Lynne to the hearing venue.
@ OMG
John Richardson is tomorrow.
@Em, thanks. Glad I didn’t miss seeing him.
I wonder how many of these Conservative politicians have been promised lucrative jobs in the banking industry when their political careers tank.
Max Reed is a Canadian. I didn’t know at first who he when the hearing announcement was because I thought he was still living in Montreal but he moved NYC for work reasons about two years ago according to Allison.
Great presentation, Lynne.
I wished some panel members would have talked about the FBAR penalties, which could be the reason why the US want the full account balance and not just income.
I wished the New York lawyer has done a better job highlighting the cost of becoming compliant, and the potential penalties for non compliant people, the risk and how the streamline procedure is so narrow. Also, I wished someone mentioned that there is likely tons of non compliant people.
I loved your answer about telling treasury that Parliament has spoken regarding who Canada should report.
I hope they consider the proposed amendment.
I sensed that they are very reluctant changing the scope of the IGA to carve out dual Canadian citizens.
“It is decided by US law who to report. We can’t change that.” someone said.
The other thing that I wished was discussed was the international legality of the sanctions and that there would be way to contest them if Canada amended for example who to report and the US did not like it.
Absolutely, our thanks, NativeCanadian, for your taking care of and transporting Lynne from Point A to Point B today. You were definitely part of making it all happen. I’m sure you gave Lynne a extra boost of confidence as well. For just your stepping up to the plate to be there for Lynne — three cheers!!!
Thank you NativeCanadian. You must have given Lynne some pep talk before the presentation. She did an incredible job. Her spunk came through even on that tiny little screen.
Bravo, Lynne. Here’s Lynne’s Opening Statement to the Finance Committee (cross-posted from MapleSandbox.ca)
Video from Senate Standing Committee on National Revenue, May 13, 2014, 9:30 a.m.
Will have to listen more closely. Human Rights Commission to look at discrimination — we need to stick to our Privacy mandate. Senator Callbeck’s questions are good. Answer is we can file a complaint if we feel there is a violation.
Bravo Lynne and thank you to you and Native Canadian both! Many thanks also to Allison Christains!
Let’s hope they heard you loud and clear. Once this is archived I want to download it and keep it. If they ignore you then I want it on a personal record exactly what it is they decided to ignore. I’ll continue to share that information. Amazing day!
Ironic that particular US Homelander living currently (temporarily?) in Canada (Berg) is appearing before our Canadian Parliament in order to urge our Canadian government to surrender to the IGA, and serve up the data and accounts of Canadian citizens who were born here, those born or naturalized dual, and permanent residents. He absolutely knows exactly how this is playing out re the RDSPs, RESPs, TFSAs, normal everyday local Canadian bank accounts, etc. of Canadians. He absolutely knows of the minnow plight, of the hardships of the OVD programs, and the serious limitations and pitfalls of Streamlined (which he has written about), etc. He’s made a living off those caught up in the mess – and stands to make more if FATCA achieves its purpose of laying bare the assets of Canadians the US claims as ‘taxable persons’, yet he says that we are wrong to fight the imposition of even more of it – to bind us forever? I resent a US Homelander (and member of Democrats Abroad) in Canada telling Canadian politicians, citizens and longtime permanent residents and voters and taxpayers what they should think and do when he is advocating total surrender.
I doubt that his cohort and peers in the US would entertain the same from a Canadian.
Shame on him.
If anyone watching Roy Berg’s testimony had trouble swallowing his mumbo-jumbo trust gumbo then you can always try to digest it here (good luck):
http://www.advisor.ca/tax/tax-news/feds-bury-fatca-law-in-budget-bill-148502
Roy’s looking out for number one that’s for sure.
Lynne, you did a fantastic job, as did Arthur Cockfield. I missed Allyson Christian’s initial presentation, but I thought she did a good job of fielding questions.
It’s very clear that the people from the financial industry like the IGA just because it removes some of the FATCA threat and expense from them. Although the Harper government claims that the IGA benefits all Canadians, it primarily benefits the financial industry, while it harms many individual Canadians and it stands to harm the Canadian economy.
There is a persistent misconception being re-enforced by Harper’s people that FATCA is just about reporting information, and that the IGA simplifies the reporting and shields some things — RRSPs, TFSAs — from being reported to the IRS. The Harper government won’t admit that FATCA is really the first step in the IRS trying to collect more money from “US persons” resident in Canada. As some of the panelists pointed out, the fact that the IGA exempts some financial accounts from being reported under FATCA doesn’t exempt them from taxation and penalties under US law.
The assertion that “Canada is not a tax haven” may be true if it refers only to wealthy US-resident tax evaders who might be hiding money in Canada. There probably aren’t many such people. But from the US point of view, Canada is a tax haven, because there are roughly a million “US persons for tax purposes” who, the IRS believes, have been “evading” US taxes and US tax reporting paperwork for years. The US seems to be preparing to force them into compliance and to assess large penalties and taxes on them for past non-compliance. It’s a blatant grab of Canadian money. Yet, astoundingly, the Harper government seems willing to assist the US in that money grab by identifying and reporting people who have US tax-filing obligations under US law. As Allyson Christian explained, it is against Canadian law to provide such tax-collection assistance to a foreign power.
We can only hope that the hearing today and the one in the Senate Finance Committee tomorrow will clarify these issues for the parliamentarians involved, and that they will (1) remove the enabling legislation for the IGA from the budget bill and (2) amend the enabling legislation so that the reporting requirements under the IGA do not apply to Canadian citizens and permanent residents.
Good commenting, AnonAnon.
Just a note that tomorrow is another Finance Committee Meeting: http://isaacbrocksociety.ca/2014/05/12/standing-committee-on-finance-meeting-35-wed-may-14-2014/, which will include John Richardson and Chantal Bernier, Interim Privacy Commissioner.
(She gave testimony at the Senate National Revenue Meeting this morning: http://isaacbrocksociety.ca/2014/05/13/bravo-lynne-heres-lynnes-opening-statement-to-the-finance-committee-cross-posted-from-maplesandbox-ca/comment-page-1/#comment-1736087.)
Are there any Brocker tweeties around this evening who could respond to this tweet by Roy Berg?
Testimony before Canada’s Standing Committee on Finance re #FATCA the #Canadian IGA witness is a friend! http://lnkd.in/b9gB9x5
Maybe use some of that “jingoistic hyperbolic rhetoric” we’re known for. 😉
https://twitter.com/search?q=%23fatca
Em, I saw it and just couldn’t bring myself to get started with him………tired I guess……..
@ Em
Done.