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FINA Committee Meeting

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Minutes of Proceedings

42nd Parliament, 1st Session
Meeting No. 81
Monday, April 10, 2017, 3:30 p.m. to 6:15 p.m.
Televised
Presiding
Hon. Wayne Easter, Chair (Liberal)

Library of Parliament
• Brett Capstick, Analyst
• Dylan Gowans, Analyst
• Florian Richard, Analyst
• Hon. Bill Morneau, P.C., M.P., Minister of Finance
Department of Finance
• Paul Rochon, Deputy Minister
• Andrew Marsland, Senior Assistant Deputy Minister, Tax Policy Branch
• Leah Anderson, Assistant Deputy Minister, Financial Sector Policy Branch
• Christopher Meyers, Chief Financial Officer, Corporate Services Branch
• Brad Recker, Director, Fiscal Policy Division, Economic and Fiscal Policy Branch
• Glenn Purves, General Director, Federal-Provincial Relations and Social Policy Branch
• Miodrag Jovanovic, General Director, Tax Policy Branch
Financial Transactions and Reports Analysis Centre of Canada
• Stéphane Cousineau, Deputy Director, Corporate Management Services Sector and Chief Financial Officer
Office of the Superintendent of Financial Institutions
• Michele Bridges, Managing Director, Finance and Corporate Planning
Pursuant to Standing Order 81(4), the Committee commenced consideration of the Main Estimates 2017-18: Votes 1 and 5 under Department of Finance, Vote 1 under Financial Transactions and Reports Analysis Centre of Canada and Vote 1 under Office of the Superintendent of Financial Institutions, referred to the Committee on Thursday, February 23, 2017.

The Chair called Vote 1 under Department of Finance.

The Minister made a statement and, with Andrew Marsland and Paul Rochon, answered questions.

• Hon. Bill Morneau, Minister of Finance
Department of Finance
• Paul Rochon, Deputy Minister
Pursuant to Standing Order 108(2), the Committee proceeded to a briefing on Budget 2017.

The Minister made a statement, and with Andrew Marsland and Paul Rochon, answered questions.

At 4:39 p.m., the sitting was suspended.

At 4:44 p.m., the sitting resumed.

• Hon. Bill Morneau, P.C., M.P., Minister of Finance
Department of Finance
• Paul Rochon, Deputy Minister
• Andrew Marsland, Senior Assistant Deputy Minister, Tax Policy Branch
• Leah Anderson, Assistant Deputy Minister, Financial Sector Policy Branch
• Christopher Meyers, Chief Financial Officer, Corporate Services Branch
• Brad Recker, Director, Fiscal Policy Division, Economic and Fiscal Policy Branch
• Glenn Purves, General Director, Federal-Provincial Relations and Social Policy Branch
• Miodrag Jovanovic, General Director, Tax Policy Branch
Financial Transactions and Reports Analysis Centre of Canada
• Stéphane Cousineau, Deputy Director, Corporate Management Services Sector and Chief Financial Officer
Office of the Superintendent of Financial Institutions
• Michele Bridges, Managing Director, Finance and Corporate Planning
Pursuant to Standing Order 81(4), the Committee resumed consideration of the Main Estimates 2017-18: Votes 1 and 5 under Department of Finance, Vote 1 under Financial Transactions and Reports Analysis Centre of Canada and Vote 1 under Office of the Superintendent of Financial Institutions, referred to the Committee on Thursday, February 23, 2017.

Christopher Meyers made a statement and, with Michele Bridges, Brad Recker, Miodrag Jovanovic, Glenn Purves and Stéphane Cousineau, answered questions.

At 4:54 p.m., by unanimous consent and pursuant to Standing Order 115(5), it was agreed that the Committee continue to sit.

At 5:17 p.m., the sitting was suspended.

At 5:42 p.m., the sitting resumed.

Vote 1 under Department of Finance carried on division.

By unanimous consent, the Chair called Vote 5 under Department of Finance, Vote 1 under Financial Transactions and Reports Analysis Centre of Canada and Vote 1 under Office of the Superintendent of Financial Institutions.

Vote 5 under Department of Finance, Vote 1 under Financial Transactions and Reports Analysis Centre of Canada and Vote 1 under Office of the Superintendent of Financial Institutions carried on division.

ORDERED, — That the Chair report Votes 1 and 5 under Department of Finance, Vote 1 under Financial Transactions and Reports Analysis Centre of Canada and Vote 1 under Office of the Superintendent of Financial Institutions to the House.

On motion of Dan Albas, it was agreed, — That the Committee proceed to sit in camera.

The Committee proceeded to the consideration of matters related to Committee business.

At 5:47, pursuant to Standing Order 115(5), it was agreed that the Committee continue to sit.

At 6:04 p.m., the sitting was suspended.

At 6:05 p.m., the sitting resumed in public.

Motion

Pierre-Luc Dusseault moved, — Given the Government’s Response to the Sixth Report of the Standing Committee on Finance entitled: "The Canada Revenue Agency, Tax Avoidance and Tax Evasion: Recommended Actions", tabled in the House of Commons on October 26, 2016, and specifically the following commitments set forth in the response:

a) Concerning the Committee’s first recommendation, the Minister of National Revenue committed to conducting a review of the advance tax ruling process by March 31, 2017;

b) Concerning the Committee’s third recommendation, the Minister of National Revenue committed to reviewing the negotiated settlements guidelines and to conducting a full review of the Voluntary Disclosures Program by March 31, 2017;

c) Concerning the Committee’s eighth recommendation, the government committed to announcing the outcomes of its review of tax expenditures in Budget 2017 on March 22, 2017;

d) Concerning the Committee’s ninth recommendation, the Minister of National Revenue committed to reviewing the current Memorandum of Understanding between the Canada Revenue Agency and Public Prosecution Service of Canada and to updating it as appropriate; and

e) Concerning the Committee’s fourteenth recommendation, the Minister of National Revenue committed to conducting a review of Canada Revenue Agency instruments that deal with the issues of conflict of interest and post-employment and tasked a senior-level inter-disciplinary post-employment committee with implementing the action plan items within an aggressive timeline;

That the Committee invite the Minister of National Revenue to report on the progress made on her commitments in response to recommendations 1, 3, 8, 9 and 14 set out in the Sixth Report of the Committee during a meeting of at least two hours.

Debate arose thereon.

Amendment

Francesco Sorbara moved, — That the motion be amended by adding the words "in writing" between the words “to report" and the words “on the progress made” and by deleting the words "during a meeting of at least two hours".

The question was put on the amendment of Francesco Sorbara and it was agreed to on the following recorded division:

YEAS: Greg Fergus, Jennifer O'Connell, Robert-Falcon Ouellette, Jean-Claude Poissant, Francesco Sorbara — 5;

NAYS: Dan Albas, Sylvie Boucher, Pierre-Luc Dusseault, Ron Liepert — 4.

The question was put on the motion, as amended, and it was agreed to, by a show of hands: YEAS: 5; NAYS: 4 and now reads as follows — Given the Government’s Response to the Sixth Report of the Standing Committee on Finance entitled: "The Canada Revenue Agency, Tax Avoidance and Tax Evasion: Recommended Actions", tabled in the House of Commons on October 26, 2016, and specifically the following commitments set forth in the response:

a) Concerning the Committee’s first recommendation, the Minister of National Revenue committed to conducting a review of the advance tax ruling process by March 31, 2017;

b) Concerning the Committee’s third recommendation, the Minister of National Revenue committed to reviewing the negotiated settlements guidelines and to conducting a full review of the Voluntary Disclosures Program by March 31, 2017;

c) Concerning the Committee’s eighth recommendation, the government committed to announcing the outcomes of its review of tax expenditures in Budget 2017 on March 22, 2017;

d) Concerning the Committee’s ninth recommendation, the Minister of National Revenue committed to reviewing the current Memorandum of Understanding between the Canada Revenue Agency and Public Prosecution Service of Canada and to updating it as appropriate; and

e) Concerning the Committee’s fourteenth recommendation, the Minister of National Revenue committed to conducting a review of Canada Revenue Agency instruments that deal with the issues of conflict of interest and post-employment and tasked a senior-level inter-disciplinary post-employment committee with implementing the action plan items within an aggressive timeline;

That the Committee invite the Minister of National Revenue to report in writing on the progress made on her commitments in response to recommendations 1, 3, 8, 9 and 14 set out in the Sixth Report of the Committee.

At 6:15 p.m., the Committee adjourned to the call of the Chair.



Suzie Cadieux
Clerk of the Committee