"There hasn't been any prosecution against KPMG for their role promoting this tax dodging scheme."
Though the ruling only covers the company’s 2003, 2005, and 2006 tax years including about $11 million in taxes, it will have implications for the approximately $2 billion in taxes, plus interest and penalties, the CRA has assessed as owing in subsequent years.
"Tax haven use in Canada has been rampant precisely because our lawmakers were looking the other way. They need to show the public that they have turned that around." — Dennis Howlett, Executive Director of Canadians for Tax Fairness
“When companies using tax havens get government contracts or are allowed buy up privatized infrastructure, governments are effectively condoning tax havens” — Larry Brown, NUPGE President
“We have been pressing the government to fix the flaws in the Voluntary Disclosures Program that led to the offer of a sweet deal to wealthy individuals using the KPMG Isle of Man offshore tax scheme, even though the government was taking KPMG to court to get the names of those clients" — Dennis Howlett, executive director of Canadians for Tax Fairness
“It is too early to be certain whether this dip is an emerging trend, or just a blip as has happened before. But this could be a sign that global efforts to curb corporate profit shifting to tax havens may be paying off." — Dennis Howlett, executive director of Canadians for Tax Fairness
By giving KPMG customers an amnesty, the CRA is saying that those guilty of the worst offences will get off lightly, while those guilty of less severe offences will face serious penalties. For the overwhelming majority of Canadians, that is deeply offensive.