Uncertainty surrounds deduction of environmental costs

CIM Bulletin, Vol. 84, No. 952, 1991

Robert B. Parsons, Partner, Price Waterhouse

Income tax legislation is not keeping pace with federal and provincial environmental legislation. There is a vast array of new environmental regulations at various stages of implementation across the country. Unfortunately, there are serious concerns about the deductibility of significant payments which mining companies will be required to make under these new rules, and the Department of Finance seems to be reluctant to act on these concerns.