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Lesson learned. When you are defending the seemingly indefensible, it is OK to LIE!
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Lesson learned. If you are ever accused of any crime for apparent political reasons, it is best to get a file opened with the RCMP before the Cons can set up committee hearings. At least then you can protect the freedom and continuity of evidence.
Case three. Former Con PM Mulroney has decided to rewrite the Canadian Tax Code. And he could, you know. As PM, he is considered the top law maker in the country.
Mulroney admitted in his appearance before the Oliphant Inquiry that he received large cash payment from KH Schreiber in 1993. However it took him a bunch of years to claim it as income. Why the delay?
According to Mulroney, you only need to claim income in the year you want to use it, not when you earned it. That is probably news to Revenue Canada. According to the tax code, you have to claim all income made in the tax year except in certain cases, such as:
"* compensation received from a province or territory if you were a victim of a criminal act or a motor vehicle accident;
* lottery winnings;
* most gifts and inheritances;
* amounts paid by Canada or an ally (if the amount is not taxable in that country) for disability or death due to war service;
* most amounts received from a life insurance policy following someone's death; and
* most payments of the type commonly referred to as strike pay you received from your union, even if you perform picketing duties as a requirement of membership."
I suppose that Mulroney could classify the cash as a gift, but that would open many more cans of whoop-ass on his honourable self..
To compound his problems, Mulroney admitted to have $75,000 in payments squirreled away in a deposit box in New York for a bunch of years before he claimed it. According to CRA web site, you must,
"Report foreign income and other amounts (such as expenses and taxes paid) in Canadian dollars. Use the Bank of Canada exchange rate that was in effect on the day you received the income or paid the expense."
I suppose that the loop hole is that the clause does not state when you had to declare the foreign income, but that might be just splitting hairs.
Lesson learned. When you become PM of Canada, change the laws to suit your personal needs before you leave office.
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