Ellad Gersh

A recent decision from the Ontario Court of Appeal is a good reminder that courts won't bail you out just because a tax plan didn't go as expected. In Pyxis Real Estate Equities Inc. v. Canada, 2025 ONCA 65, the Court made it clear: if your documents match the plan – even if that plan was flawed – you're likely stuck with the result.

A recent decision from the Ontario Court of Appeal is a good reminder that courts won’t bail you out just because a tax plan didn’t go as expected. In Pyxis Real Estate Equities Inc. v. Canada, 2025 ONCA 65, the Court made it clear: if your documents match the plan – even if that plan was flawed – you’re likely stuck with the result.

A recent decision from the Ontario Court of Appeal is a good reminder that courts won’t bail you out just because a tax plan didn’t go as expected. In , the Court made it clear: if your documents match the plan – even if that plan was flawed – you’re likely stuck with the result. This case involved a group of companies that attempted to distribute a $1.4 million tax-free capital dividend up the corporate chain for the benefit of the sole individual shareholder at the top of the chain.