On December 20th, 2001, the ministère des Finances of Québec announced that it would analyze the tax system applicable to trusts and their beneficiaries to assess whether the inter-provincial flexibility currently allowed by the tax system in Canada led to the undue reduction of provincial tax. The ministère des Finances announced on July 11th, 2002 the new proposed measures to counter such planning techniques using trusts in low tax rate provinces that unduly reduce Québec provincial tax.

type Québec Challenges Non-Québec Trusts