Repatriated income and foreign affiliate regime: An overview

By Carolyn Wong ( April 28, 2021, 8:37 AM EDT) -- Generally, a taxpayer’s income cannot be sheltered forever. Income is sheltered so long as it remains in a base company outside Canada. The tax becomes payable when the income is eventually repatriated back to Canada. Depending on the type of income from the base company, and if the foreign jurisdiction has a tax treaty with Canada, foreign tax relief is provided....