Mandatory Disclosure of a Specified Transaction
You must disclose a specified transaction that you carried out (or that a partnership of which you are a member carried out, if you are a specified taxpayer or if the partnership is a specified partnership in respect of the transaction).
A transaction includes an arrangement, an event and a series of transactions.
A specified transaction is a transaction where the form and substance of the facts concerning the taxpayer or partnership are very similar to those of the facts of a transaction determined by the Minister and published in the Gazette officielle du Québec.
A specified taxpayer or specified partnership is a taxpayer or partnership determined by the Minister in respect of a determined transaction and published in the Gazette officielle du Québec.
The mandatory disclosure must be filed by the later of the following dates:
- 60 days after the day determined by the Minister;
- 120 days after the day on which the Minister published the determined transaction to which the specified transaction relates in the Gazette officielle du Québec.
The disclosure must be made using form TP-1079.DI-V, Mandatory or Preventive Disclosure of Tax Planning.
You will have to provide a detailed description of the planning strategy and the tax consequences. They must be detailed enough that we can understand and analyze them
If the duly completed copy of form TP-1079.DI-V is not filed by the deadline, an additional three years will be added to the prescribed period during which we can issue a reassessment under the general anti-avoidance rule (GAAR). Other consequences for you (or the members of the partnership that carried out the transaction) could also apply.
The GAAR-based penalties do not apply if form TP-1079.DI-V is filed by the deadline.