Recognizing excellence

Recognizing excellence

February/March 2010 Recognizing excellence On the Cover In this issue Meet the BC profession’s newest FCAs and Lifetime Achievement Award winners ...

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February/March 2010

Recognizing excellence

On the Cover

In this issue

Meet the BC profession’s newest FCAs and Lifetime Achievement Award winners

New: Accounting standards for private enterprises ready for early adoption The basics of alter ego trusts Treating the public with courtesy


A CA career is a challenging one, but your life goals and demands need and deserve so much of your time. How do you balance the two priorities? The CICA Work/Life website is a great place to start. With online tools, resources and specific information on work/life issues for CAs, the life balance you’re looking for may be just at your fingertips. Just go to

contents On the Cover

4 Notes from the President Celebrating ongoing excellence


For the Profession

New: Accounting Standards for Private Enterprises

24 Tax Traps & Tips The basics of alter ego trusts

26 PD News Winter PD Highlights

28 Plugged In News for and about members & students  overs & shakers in the M profession  N  otice from Member Services: Have you given us your most recent contact info?  E  vent Profile: CA Social Networking Group hosts wine tasting  I n Memoriam: Derek R. Lukin Johnston, FCA 


Meet the New FCAs

34 Ethical Dilemmas Treating the public with courtesy


Lifetime Achievement Awards Three inspiring FCAs take home this year’s awards for lifetime achievement

Want to get the word out? Advertise in Beyond Numbers! Here’s why: 90% of BC CAs surveyed read Beyond Numbers Beyond Numbers goes out to more than 9,000 members, more than 1,800 students, and over 200 external stakeholders—including other institutes, associations, and professional organizations Beyond Numbers has won awards for both content and design, including Blue Wave Awards of Merit from the International Association of Business Communications – BC Branch To place an ad in Beyond Numbers, contact our representatives at: Advertising in Print Tel: 604-681-1811 710 – 938 Howe St. Vancouver, BC V6Z 1N9 Fax: 604-681-0456 Email: [email protected]


Cert no. SCS-COC-000648

Feb/Mar 2010


February/March 2010, No.485 Published eight times annually by the Institute of Chartered Accountants of British Columbia. Editor Michelle McRae Design Blindfolio Design 604-761-9212

Celebrating ongoing excellence

Advertising Advertising In Print Phone: 604-681-1811 Fax: 604-681-0456 Senior Director of External Affairs Lesley MacGregor Institute Council Karen Keilty, FCA President Peter Norwood, FCA 1st Vice-President Lenard Boggio, FCA 2nd Vice-President Michael Macdonell, CA Treasurer Jack Arnold, CA Linda Lee Brougham, CA Kyman Chan, CA Karen Christiansen, CA John Crawford, CA Gordon Holloway, FCA David Hughes Anthony Mayer, CA Al McNair Sheila Nelson, CA John Sims, FCA James Topham, CA Kenneth Tung Praveen Vohora, CA Chief Executive Officer Richard Rees, FCA Beyond Numbers is printed in British Columbia and mailed eight times annually to more than 9,000 chartered accountants and more than 1,800 CA students in public practice, industry, education, and government service throughout BC, Canada, and other countries. Beyond Numbers’ editorial and business offices are located at: Suite 500, One Bentall Centre, 505 Burrard St., Box 22 Vancouver, BC V7X 1M4 Phone: 604-681-3264 Toll-free in BC: 1-800-663-2677 Fax: 604-681-1523 Internet: Opinions expressed are not necessarily endorsed by the Institute. Beyond Numbers supports the CA profession in BC by sharing news from the Institute and news about members, by sharing viewpoints on issues of specific interest to members, and by promoting member involvement in Institute activities. Publications Mail Agreement No: 40062742

4 Feb/Mar 2010

Notes from the President In the January 2010 issue of Beyond Numbers, we celebrated the success of our latest UFE grads. These students represent the future for the CA profession and, if their accomplishments to date are anything to go by, we can expect to see great things from them in the coming years and decades. It is every bit as much a privilege to welcome 20 new FCAs into the Fellowship of the BC Institute. Each and every one of the new Fellows demonstrate the immense contribution made by chartered accountants to the province, to the country as a whole, and internationally. They are inspirational role models for young CAs today, and a testament to the great strength of our profession as we move forward in 2010. As for our Lifetime Achievement Award winners—as you might expect, they are an awe-inspiring group. Through decades of commitment and accomplishment, W. Randolph Clerihue, FCA, John R. V. Palmer, FCA, and David R. Sinclair, FCA, have demonstrated what can be achieved by one person in one career. These members, and the others who have been awarded this highest distinction from the Institute in previous years, are true leaders that deserve our respect and accolades. It is an honour to have them as part of our profession, and an honour to know that the CA designation helped them achieve their great heights. –Karen Keilty, FCA

Become an ICABC leader! Call for Council nominations Effective leadership is vital to the CA profession. It is with that awareness in mind that the BC Council sets the goals for the ICABC each year, determining what the Institute should be doing, for which constituencies, at what cost, and with what expectations. Are you, or someone you know, interested in becoming a leader among CAs? As a Council member, you’ll focus on the strategic issues faced by our membership and the profession as a whole— issues such as education and professional development. You’ll also get the chance to expand your skills and your network. What you’ll gain: • A chance to help advance your profession • Access to up-to-date information about the challenges faced by CAs • The opportunity to exchange ideas and perspectives with other leaders in the profession • Exposure to a wealth of professional and personal contacts What you’ll need: • A demonstrated commitment to the accounting profession • A strong background in community and volunteer work • Leadership experience If you or anyone you know is interested in running for election to Council, you’ll find the Council Nomination Form on our website at under Member Centre>Forms>Leadership and choose the Council Nomination Form.

Feb/Mar 2010


For the Profession

Accounting Standards for Private Enterprises Available for Early Adopters By Taj Haer, CA Director of Advisory Services


fter waiting for many years to see standards that relate to the specific interests of private enterprises, we are pleased to announce that such standards are now available for early adoption. You will find the new accounting standards for private enterprises on the Knotia website as part of the CICA Handbook - Accounting. The effective date for these new standards is January 1, 2011. However, if you would like to adopt the standards immediately—for fiscal year ends of 2009—early adoption is permitted. Please see “Information and resources” below, as there are several tools available to help you familiarize yourself with the new standards prior to adoption.

Information and resources • Read more about the key changes in the new accounting standards for private enterprises, and about how to make the transition to these new standards, at>Services & Products>Member Services>Report on Industry> January 2010 Focus on the new Accounting Standards for Private Enterprises. • Access a free online webinar entitled, “Getting Familiar with new Canadian Accounting Standards for Private Enterprises” at www. This CICA webinar, originally conducted on January 14, 2010, explains the standards and the one-time transitional provisions, and will help you create a timeline and transition plan.

6 Feb/Mar 2010

• Take the new ICABC PD course entitled, “Transitioning to Private GAAP” (additional sessions are continuously being added). This full-day seminar will provide a review of the new accounting standards for private enterprises, and compare them with the current GAAP standards contained in the CICA Handbook. The seminar will also provide detailed guidance on the new standards, and help participants understand the impact of these standards on the accounting model and financial statements of their organizations. For more information and to register, call the PD department at 604-681-3264.

Private enterprise standards herald new look for the Handbook With the addition of accounting standards for private enterprises, the CICA Handbook - Accounting has been reorganized to reflect the Accounting Standards Board’s strategy for adopting different sets of standards for different categories of entities. Accordingly, the electronic Handbook has been divided into the following parts: • Preface to the CICA Handbook - Accounting; • Part I – International Financial Reporting Standards (please see note below*); • Part II – Accounting Standards for Private Enterprises (available since December 2009); • Part III – Accounting Standards for Not-for-Profit Organizations (availability TBA*); • Part IV – Accounting Standards for Pension Plans (availability TBA*); and • Part V – A complete set of the existing Handbook contents. *Publicly accountable enterprises, not-for-profit organizations, and pension plans will continue to follow the existing Handbook - Accounting (Part V) until these particular accounting standards have been finalized and issued. Watch for further updates on standards for not-for-profit organizations and pension plans. If you would like to review the 2009 IFRS, these standards are available through Knotia.

Handbook changes also reflect new auditing standards The CICA Handbook - Assurance has also been restructured to reflect the Auditing & Assurance Standards Board’s adoption of international standards on auditing (ISAs) as “Canadian auditing standards” (CASs). With the exception of the Canadian Standard on Quality Control (CSQC 1), the CASs will come into effect for audits of financial statements for periods ending on or after December 14, 2010. The CSQC 1 became effective December 15, 2009. All firms providing assurance services are required to implement CSQC 1. The most recent update, “Update #3” (September 2009) to the Quality Assurance Manual (QAM ) details the required changes, and is designed to help members and firms comply with the CSQC 1 standard. The revised Handbook and the QAM are available through Knotia at The former is free for members, and the latter is available for purchase.

More resources For more information and resources on all standards changes, visit the CICA’s Standards in Transition website at If you have questions or require further information, call Taj Haer, CA, director of Advisory Services at the Institute, at 604-488-2621 or [email protected]

SEAMLESS It’s how your transition to IFRS should be.

The date to change over to International Financial Reporting Standards is fast approaching and the time to prepare is now. We’re here to help. We understand the complexity of the transition and offer the information, tools and training you need to successfully manage the change to IFRS. So when 2011 rolls around, your transition will be seamless. Your trusted source for everything IFRS.

Feb/Mar 2010


On the Cover

 eet the Newest Members M Elected to Fellowship By Deborah Folka, MA, APR, Kerri Brkich, and Ashley Hetherington


he FCA designation recognizes a member’s distinction in more than one of the following categories: the work of the Institute or a similar professional association, their career, community service, and research, teaching, writing, and/ or speaking. The following members were elected to the Fellowship in 2009/2010:

Dale Barkman, FCA “I always look for significance in life,” says Dale Barkman, “so I felt very honoured and gratified that my peers thought my contributions were significant enough to warrant an election to the Fellowship.” A partner with the Burnaby firm of Barkman & Tanaka, Chartered Accountants, Dale came to the CA profession later than most. His first calling, he says, was as a youth pastor. To that end, he earned an undergraduate degree in religious education and a graduate degree in philosophy from the University of BC. It was a meeting with Larry Nelson, FCA, in 1984 that prompted him to contemplate a career change: “I was the treasurer of my church at the time, and Larry was the outside auditor. He encouraged me to consider becoming a CA.” Dale subsequently joined Larry’s firm (then Nelson & Co.) as an articling student in 1985. He became a CA in 1989, and a partner with the firm that same year. Accordingly, the firm became “Nelson & Barkman.” (Following Larry’s retirement in 1994, Wayne Tanaka, CA, became Dale’s partner.) Throughout his second career, Dale has been active in the CA profession. He chaired the ICABC’s Bylaws and Fee Resolution committees, and was a member of the CICA’s Ethics Standards Harmonization Committee, providing key leadership on the issue of accountants’ independence in client review and audit engagements. In the community, Dale has successfully combined his early work in the church with his CA expertise, leading seminars for church treasurers throughout Western Canada, and authoring a church treasurers’ manual that has

8 Feb/Mar 2010

realized in 2008, Kwantlen Polytechnic University appointed him as its first chancellor, making him the first South Asian chancellor of a Canadian university in the process. “We are shaped by everyone we meet,” Arvinder says. “I have had great friends and colleagues, both at work and in organizations that I have been involved in. I want to thank them all. I also thank my family for their support.”

own accounting firm, A. S. Bubber and Associates, located in Surrey. Arvinder credits his work as a CA with opening doors and providing opportunities to give back to others. Active with organizations such as the Fraser Health Authority (as a director), the Surrey Board of Trade, and the BC Premier’s Asia Pacific Trade Council (as vice-chair), he says education is his real passion. “Access to post-secondary education is important,” Arvinder says, “especially for non-traditional students—those who, due to economic, cultural, or family background, do not aspire to obtain a post-secondary education.” As chair of the board of governors for Kwantlen University College from 2002 to 2007, Arvinder saw firsthand the challenges faced by many non-traditional students, and saw a need for educational institutions to partner with communities and other organizations to provide access for such students. To that end, he and a group of friends founded the SPARK Education Arvinder Foundation in 2003. Bubber, FCA In partnership with Kwantlen Polytechnic “It was a great honour University, the Surrey School Board, and the to even be nominated,” provincial government, the Foundation launched says Arvinder Bubber of the SPARK Program in 2004. To date, it has being elected an FCA. “I been a resounding success, with 95% of SPARK feel humbled.” participants graduating from high school, Arvinder first became a and 85% continuing on to post-secondary CA in England in 1975, education. having immigrated to the United Kingdom after “We had no idea that it would be such a earning a bachelor of science degree from the success,” Arvinder reveals. “These young people, University of Punjab in India. Following a given a bit of encouragement and support, subsequent move to Canada in 1976, he joined surprised everyone.” the ranks of Saskatchewan CAs and began a Arvinder’s contributions to education also lengthy career working with provincial and include tirelessly campaigning for Kwantlen to municipal governments. In 1991, he relocated 10.OBRTurnbullAd1A 1/22/10 2:15 PM Page 1 achieve university status. After this goal was again—this time to BC, where he opened his

seen wide distribution. Highly regarded for his volunteer assistance on church and charity financial issues across Canada, Dale mentors business students at Trinity Western University and provides personal financial management counselling to young couples who are just starting out, as well as to those experiencing economic challenges. On the home front, he and his wife Linda have two children: Mindy (25), who is currently teaching English to accounting students in Cambodia, and Neil (20), a third-year business student at Trinity Western. Dale credits much of his success to his wife, and also to his former colleague. “Linda supported my decision to go back to school just before our first child was born, and Larry was the best mentor I’ve ever had,” he explains. “I owe a great deal of my success in becoming a CA and then succeeding in my career to them both.”

Protect it. Grow it. In That Order

“There are so many people who have influenced my career,” says Bob Byford, looking back over his 40-year career in accounting and finance. “I have worked in a partnership, and the support for our diverse professional and private endeavours has been invaluable.” After earning a BA in law and business administration from Simon Fraser University in 1969, Bob was one of SFU’s first graduates to article with Peat Marwick (now KPMG LLP) in Vancouver. He qualified as a CA in 1971. Bob became an audit partner with the firm in 1978. Five years later, he was promoted to managing partner of the firm’s BC Region Consulting Practice, which subsequently grew to become the largest practice of its kind in Western Canada. A founding partner of the Peat Marwick Corporate Finance practice in 1984, Bob later became the senior vice-president and director of KPMG Corporate Finance Inc. He retired from the firm in 2008, but continues to have a role in business development strategy.

Tel 604 844 5363 Toll Free 1 888 886 3586 [email protected]

16% –

12% –

8% –


trust • vision • investment integrity

*The Model is an all-equity portfolio established by the Research Department in December 1994, with a hypothetical investment of $250,000. The Model provides a basis with which to measure the quality of our advice and the effectiveness of our disciplined investment strategy. Trades are made using the closing price on the day a change is announced. Past performance is not indicative of future performance. MEMBER CIPF

Lower Return

4% –

0% – 0%

Compound Annual Return (%)

Director, Portfolio Manager

Higher Return

15-year risk and return comparison1

Ross Turnbull, CA, CBV, CFA

Robert (Bob) Byford, FCA

OB Model Portfolio* S&P/TSX Total Return Index

CDN Long-term Fixed Income CDN Equity Mutual Peer Group Fund Average CDN Balanced Peer Group S&P 500 Total Return CDN Short-term Fixed Index ($C) High Yield Fixed Income Peer Group Income Peer Group CDN Money Market Peer Group

Standard Deviation (Volatility %) 2% Lower Risk









20% Higher Risk

1 For the period ended December 31, 2009. Returns are net of fees for peer groups.. For the OB Model Portfolio, an annual 1.5% fee has been used. Standard Deviation is calculated using the 15th of each month for the OB Model Portfolio and month end for all others. Source: Bloomberg, PALTrak, Odlum Brown Analysis

Feb/Mar 2010


Bob’s experience as a lead corporate financial advisor has been sought by many prominent businesses over the years, including Orca Bay and the Vancouver Canucks, Future Shop Inc., and Keg Restaurants Ltd. He is also a former elected governor of the Vancouver Stock Exchange, and was a retained advisor to the Superintendent of Brokers and Insurance (BC). In addition, Bob has contributed to numerous publications and has been featured as a guest speaker at various events. This includes serving as an honorary lecturer for the faculties of law and business administration (MBA program) at the University of BC. In the community, Bob has acted as lead financial advisor to the BC Cancer Research Agency and the BC Cancer Foundation, and participated in a competitive proposal that led to the successful funding of the new cancer research centre in Vancouver. He has also been an active supporter and director for numerous not-for-profit organizations, such as the Vancouver Symphony Foundation and the Air Canada PGA events. On the entrepreneurial side, Bob and his wife Roswitha bought their first thoroughbred horse in 1976 from E.P. Taylor, one of the dap_beyondnumbers_sep09.eps 9/9/2009 1:56:57 PM world’s leading breeders. Over the next 25 years, they successfully owned and raced horses in

California, Washington, and British Columbia. While he says he has never given recognition much thought, Bob describes his FCA election as a pleasant surprise.

Michael Calyniuk, FCA Currently the global chief information officer for PricewaterhouseCoopers LLP and an advisory partner working out of Vancouver, Michael Calyniuk describes his career as “an incredible journey.” Michael joined PwC in 1974, shortly after graduating from the University of BC with a bachelor of commerce and travelling for four months around the world—a trip that included a solo journey on the Trans-Siberian Railway. He has been with the firm ever since, and says his career has lacked neither variety nor excitement: “Thirty-five years later, I feel like I’ve had at least ten different careers!” Michael has worked in audit and business advisory services, and has consulted for local private business clients and national, multinational, and public sector clients. He became a member of the Singapore Society of Accountants in 1981;

became a CPA (Illinois) in 1999; and earned his CA specialist designation in information technology (CA·IT) in 2004. Today he oversees his firm’s global technology operations. For Michael, success always comes down to relationships. “I’ve worked with some of our clients for over 30 years,” he explains. “We’ve grown up together, and I’ve learned as much from them as they have from me.” Michael credits his clients for encouraging him to get involved in community endeavours such as the PricewaterhouseCoopers/Richmond Auto Mall Annual Charity Golf Tournament and the Maple Leaf Junior Tour (the former raises funds for Canuck Place Children’s Hospice, while the latter provides young Canadians with the opportunity to learn golf while also teaching them life lessons). Michael currently chairs both events. One of his most rewarding experiences, Michael says, was participating on Premier Gordon Campbell’s Technology Council in 2001-2004. “We worked with communities throughout the province on the ‘Bridging the Digital Divide’ initiative, aimed at providing broadband high-speed Internet access to all regions of the province,” he recounts. “What I found most rewarding was the fact that we were making a difference for the people of BC.” When looking back over his career, Michael acknowledges the current and retired partners and employees of PwC for their support and for recognizing the importance of community service, and he gives special thanks to Sara Deacon, his executive assistant for over 17 years, “for helping to make everything happen.” “My accomplishments couldn’t have been achieved,” Michael adds, “without the continual support and encouragement of my wife Darlene, and our children Tamarah and Braeden.”

Gary Chan, FCA “I think being a CA means being committed to your clients, your profession, your peers, and your community,’’ says Gary Chan, a partner with the firm Chan Foucher LeFebvre LLP in Prince George. Gary has lived in Northern BC since 1972. A commerce graduate from the University of BC, he began his articles in Vancouver with a predecessor firm of Deloitte & Touche LLP before relocating to Prince George. There he completed his articles and qualified as a CA in 1973. That same year, Gary began specializing

10 Feb/Mar 2010

in taxation. He later completed the CICA’s In-Depth Taxation Program and became a member of the Canadian Tax Foundation. In 1982, Gary moved into general business advisory services, providing accounting, auditing, taxation, and financial advisory services to small and medium-sized organizations. In 1995, he helped form Chan Foucher LeFebvre, which he and his partners have since built into the largest locally-owned and operated public practice firm in Northern BC. Throughout his career, Gary has made extensive contributions to both the CA profession and the community. His volunteer efforts with the ICABC include serving on the Professional Conduct Enquiry Committee, the Rulings Committee, and the Practice Review & Licensing Committee. In addition, Gary has lectured on tax for both the ICABC and the College of New Caledonia. And in 1996, he initiated what is now an annual conference for CA firms in Northern BC. “These experiences have all contributed to my professional development,” he says. “And they have enabled me to share my love of the profession with others.” In the community, Gary has been active with the Prince George Brain Injured Group, the Canadian Red Cross, and the Kiwanis Club

(for which he has served in various executive capacities). His civic contributions have garnered him several awards, including a “Distinguished Service Award” from the Kiwanis Club. Looking back, Gary credits Lou Jewett, FCA, and the late Robert MacFarlane, FCA, for being significant role models early in his career. He also credits his wife, Kammy, and their two children for their continuous encouragement and support—especially with regard to his involvement in the CA profession and the community. “I was very surprised and honoured to be awarded an FCA,” he says. “I believe life is a collection of experiences, and I just do what needs to be done.”

John Gunn, FCA “I had just joined the Institute’s Council to discuss the UFE results when Karen [Keilty, FCA] welcomed me and announced that I’d been elected an FCA,” says John Gunn, CEO of the CA School of Business (CASB). “I was stunned. I didn’t see it coming at all.” Prior to joining CASB in 2006, John had already enjoyed a 30+-year career in public

We value our independence.

practice beginning in 1973, when—after stumbling across “a slew” of CA job postings at his university career centre—he joined HR Doane and Company (now Grant Thornton LLP) in Toronto. After working in training and recruiting, and later audit, in 1988 John found his niche in human resources. He became the firm’s national human resources partner in 1994, and later became a member of its National Management Committee. According to John, his professional focus involved concepts such as strategic vision and competency maps—all of which tied in perfectly with the committee work he was doing around professional education. This committee work included serving as a volunteer member (and chair) of the CICA’s Inter-Provincial Board of Examiners in the 1980s, during which time the Board implemented a number of changes designed to improve the education and examination of CAs nationwide. His efforts in this area helped lead to his FCA election with the Ontario Institute in 1991. John continued his involvement in CA education throughout the 1990s, serving as a member of the CICA’s Education Re-engineering Task Force (1996-1999), which mapped out the competency-based CA education system that

Our team has over 35 years experience valuing businesses across virtually every industry sector in Canada. With offices in Vancouver, Kelowna, and an affiliated office in Toronto, we service clients across the country. In an ever increasing world of specialization, we act as business valuation consultants to chartered accountants, lawyers and their clients. We work closely with CA’s and lawyers as we are specialists only in business valuations and related areas. Through Tailwind Corporate Finance we are active in the mergers and acquisitions midmarket and advise both buyers and sellers of mid-sized businesses. For more information about our services, please contact one of our team members: Don Spence, FCA, FCBV, C.ARB., Heather Bakay CA, CBV, or Tracey Harrop-Printz, CGA.

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Feb/Mar 2010


is now in place. He also chaired the CICA’s Education Research Subcommittee and the ICAO’s Education Planning and Development Committee. By the time the opportunity arose to join CASB, John was ready for a change of pace. “I’d had an interesting and fulfilling career,” he says, “but at 50, I stepped back and thought: ‘What do I want to do now?’ It was as though my entire career experience had prepared me for CASB. This position was tailor-made.” John joined CASB when it was at a crossroads—after moving successfully through the start-up phase, the school needed someone to take it to the next organizational level while in the midst of unprecedented growth. Under his leadership, the school has continued to flourish, and the success of its students speaks volumes. “It’s our team that makes CASB so successful,” John is quick to point out. “I want to thank all of my colleagues—it’s a pleasure to lead such an amazing group!”

Wilbert G. (Bud) Kanke, FCA The call was definitely unexpected—Bud Kanke found out about his FCA election just after stepping out of the shower. “I got the call after finishing a morning workout,” Bud chuckles. It’s hard to believe the award-winning entrepreneur actually finds time to exercise. Now president of Kanke Seafood Restaurants Ltd. and K Group Holdings, Bud has founded and managed a total of 11 restaurants over 38 years. These restaurants, many of which have become local landmarks, have generated over $450 million in sales. Bud made the move into industry soon after earning his CA designation in 1964, joining Rivtow Straits, a tugboat company. A few years later, a group wanting to launch a seafood restaurant near the Rivtow offices approached him, and as Bud recalls: “It took me only a minute to see the huge opportunity.” That eatery became The Cannery—widely considered Vancouver’s first serious seafood restaurant. Bud established Kanke Seafood Restaurants Ltd. in 1972. Over time, he added Joe Fortes and Mulvaney’s restaurants to his portfolio, as well as Viva! and the Fish House in Stanley Park. Goldfish Pacific Kitchen is his most recent enterprise. His success as a restaurateur has garnered him numerous awards, including a 2001 Lifetime

12 Feb/Mar 2010

Achievement Award from Vancouver Magazine, and he was inducted into the BC Restaurant Hall of Fame with a DiR Na Award in 2002. Bud has also been active in real estate development throughout North America, and has served on boards and in management roles in public and private sector enterprises in technology, manufacturing, mining, and financial and environmental industries, including Trimin Capital. He is an advisor to the board of PAKIT Inc., having previously served as an Audit Committee member and Corporate Governance chair. Very involved in the Young Presidents’ Organization early in his career, Bud is now an alumnae member of the World Presidents’ Organization. Together with his wife Dotty—with whom he shares three adult children (Wendy, Karen, and Jordan) and six grandchildren—Bud created a family charitable foundation. Through this foundation and fundraising efforts in their restaurants, the couple has raised over $1 million, which they’ve contributed to a wide variety of charities, including the Burnaby Association for the Mentally Handicapped, Covenant House, the BC Firefighters Burn Fund, and the Union Gospel Mission. “There have been times when I wondered if I should hold on to my CA,” Bud admits, “but I’m so glad I did. It’s the best toolbox you can have in business.”

Peter D. Leitch, FCA “My first thought was how inspiring this honour is, and how it makes me want to do more and do better,” says Peter Leitch of his FCA designation. A University of BC commerce graduate, Peter articled with Thorne Riddell (now KPMG LLP) in Vancouver and earned his CA designation in 1983. After running a division of Ticketmaster from 1983 to 1987, he joined Cannell Films. Cannell Films started construction of North Shore Studios the following year, and later sold the studio to Lions Gate Entertainment, now one of the largest independent film and television studios in the world. During that time, Peter held the positions of president of Lions Gate Studios and senior vice-president of Lions Gate Entertainment. Then in 2006, Lions Gate Entertainment sold the studio to Bosa Developments, and it was renamed North Shore Studios once again. Peter is now the studio’s president. BC’s film and television sector has grown from

a $100-million business into a $1.4-billion industry, and Peter has played a leading role in that growth. For the past five years, he has chaired the BC Motion Picture Production Industry Association, working with industry professionals and liaising with the provincial and federal governments to position BC as a world-class centre for digital entertainment. Known for his patience and acumen, Peter proved so effective as chair that the board voted to alter its rules regarding mandatory rotation to enable him to continue in the role longer than planned. Peter has also provided leadership in the community. Active with the North Shore Chamber of Commerce, he has served as a director for many years and was chair in 2003-2004. He also served on the board of the BC Chamber of Commerce from 2003 to 2006, and is now a director of the Burnaby Board of Trade. In addition, Peter has provided advice to the Canada Revenue Agency’s Film Advisory Committee and Small Business Advisory Committee. “I was advised early on to get involved in the community, and I have really benefited from doing so,” he says. “I’ve been really fortunate to have great employers, too, and to have worked with great people over the years. That gives you the freedom to make mistakes and to learn and grow.” Peter and his wife Janine have three grown daughters—Jennifer, Elizabeth, and Melissa— and two granddaughters. He describes himself as an avid fisherman (angler) and says he enjoys cycling to work when the weather permits.

Elio R. Luongo, FCA Elio Luongo says he was taken aback when a call interrupted his meeting with a client. “I was surprised that my assistant was routing a call to me,” Elio recounts, “but when Karen Keilty [FCA] told me why she was calling, I was thrilled. Plus, we came up with a solution for the client’s issue, so it was an ‘A’ day all around.” After graduating from Simon Fraser University with a business administration degree in 1983, Elio articled with Arthur Andersen in Vancouver. He obtained his CA designation in 1986, and worked for a brief time with the Canada Revenue Agency before joining the tax group at KPMG LLP in Vancouver in 1987. In his tenure with KPMG, Elio has remained focused on tax. During the 1990s, he shared his expertise with the public by collaborating with former Vancouver Sun “Money” columnist Mike Grenby on weekly tax articles of general interest. From 2005 to 2007, he led KPMG’s 180member GVA tax practice, and served on the firm’s National Tax Management Committee and its board of directors. Today, he’s the managing partner in the Greater Vancouver Area, and serves as a member of the firm’s National Management Committee. In the community, Elio has been active with the Vancouver Board of Trade, the Business Council of BC, St. Helen’s School and St. Thomas Moore Collegiate, the Surrey Chamber of Commerce, and Junior Achievement of BC. In addition, the federal Minister of Industry recently appointed him to a seven-year term on the National Competition Tribunal. “Do what you love, love what you do, and you’ll never work a day in your life,” Elio says. “I feel so fortunate to have lived that with my career as a CA. And it’s what I tell young people who are considering this profession: The CA is the best ‘business degree’ you can obtain. The experience and learning are second to none.” Elio attributes a lot of his own success to the culture of mentorship he found in public practice. “It’s something I try to live each day,” he says. “I’ve been fortunate to have had many great mentors who took an interest in me and my career, and now I pay it forward.” Elio and his wife Rosanna have three children: Domenic (21) and Stefano (19), both of whom are studying business at SFU, and Carmela (17), a Grade 12 student. “None of this would have been possible,” Elio

says, “without the incredible support of my family and, in particular, my wife Rosanna.”

N. J. (Norm) Mayr, FCA Long-time lecturer and educator for the CA profession, Norm Mayr, originally wanted to become a physics professor. In fact, he had almost completed his education in that field before turning to the CA designation. “It was a bit of a circuitous route to becoming a CA,” he admits. “But when I started thinking about job opportunities and was encouraged to take an accounting course, I woke up to the possibilities.” The provincial Gold Medallist of his class, Norm earned his CA designation in 1980 after articling at KPMG LLP in Vancouver and completing an MBA at the University of BC in 1978. He has been an audit partner with the firm since 1987, the Professional Practice partner for the Greater Vancouver Area since 1996, and the leader for the GVA Mining Practice since 2006. In total, Norm has over 30 years of experience in the mining, forestry and technology sectors “It has been a very rewarding career,” he says. Right from the beginning, Norm has given back to the profession, serving as a seminar leader and senior lecturer for the BC Institute’s School of Chartered Accountancy (SCA) from 1981 to 2000. During that time, he also served as the principal author of the SCA’s accounting course materials. A popular and dedicated teacher, it’s fair to say that Norm influenced literally thousands of CA students over the years. His contributions to the profession also include serving as the BC representative on the founding board of the CICA’s Accounting Standards Board from 1991 to 1994, for which he worked on many significant changes to new Handbook standards, and serving for six years as a member of the Canadian Advisory Group to the International Accounting Standards Committee. In the community, Norm has volunteered tirelessly for the Lower Mainland Ringette League and as a member of the Dean’s External Advisory Board for Simon Fraser University’s business school. Norm and his wife Marina have two children: Nicholas (24), currently studying mechanical engineering at BCIT, and Ashley (22), a recent graduate of the Rensselaer Polytechnic Institute in New York. Ashley will begin her CA articles this fall at KPMG Vancouver.

Nadir H. Mohamed, FCA “I’m honoured to receive this recognition from my peers,” says Nadir Mohamed of being elected to the ICABC Fellowship. “My training as a CA has helped me gain a deeper understanding for how businesses really work, and it has been a great platform from which to build my career.” A graduate of the University of BC, Nadir earned his CA in September 1981 while articling with PricewaterhouseCoopers. The following month, an opportunity arose that would help shape his future. “One of my friends had a job interview lined up with BC Tel, but he ended up accepting an offer from another company first,” Nadir recalls. “So I went to the interview in his place.” Nadir joined BC Tel in October 1981, and has worked in the telecommunications industry ever since. In August 2000, he joined Rogers Wireless as president and COO, a position that required him to relocate to Ontario. “Moving to Toronto was a big decision,” he says, “but the chance to work for Ted Rogers and the Rogers brand was just too compelling to turn down.” Nadir was appointed president and CEO of the company in 2001. Under his leadership, Rogers Wireless experienced 13 consecutive quarters of double-digit growth. In May 2005, Nadir was promoted to president and COO of Rogers Communications Group. Then in March 2009, Rogers’ board of directors unanimously appointed him president and CEO for Rogers Communications, Inc. Nadir attributes his success, in large part, to the strength and determination demonstrated by his family. “My parents taught me to have a strong work ethic and to be caring and inclusive,” he recounts. “I grew up with a strong sense of community, and that’s why I believe giving back is so important.” While living in BC, Nadir volunteered with a number of non-profit organizations, including the Canadian Club, the United Way, and Volunteer Vancouver. In Toronto, he currently serves on the board of TD Bank Financial Group and Ryerson University. He’s also an active member of the Aga Khan Foundation, a non-profit agency that supports social development programs in Asia and Africa. “My wife and I got involved with Aga Khan because it plays an important role in developing human potential,” Nadir explains. Feb/Mar 2010


He and his wife Shabin, also a CA, share many interests aside from their commitment to the community. “We’re partners in everything we do,” Nadir says.

Allan Neale, FCA “We’d just finished our practice review, and as soon as the PR officer left, my phone rang with a call from the Institute,” recounts Allan Neale, a partner with Norgaard Neale Camden Ltd., in Victoria. “My first thought was: ‘What could’ve gone wrong?’ Then I learned I’d been elected an FCA! It was a surprise and a big honour.” Allan became a CA in 1980 while working at Coopers and Lybrand (now Pricewaterhouse Coopers LLP) in Winnipeg. He became a partner with the firm in 1987, and transferred to its Victoria office two years later. In 1992, he co-founded Norgaard Neale Camden (NNC). Throughout his career, Allan has made a point of giving back, both to the CA profession and the community. He volunteered with the CICA’s Impact CA Program between 1996 and 2008, and has served on the CICA’s Government Affairs Advisory Committee since 2004. Both groups have raised the profession’s profile among senior level federal bureaucrats and cabinet ministers. In the community, Allan has volunteered as a hockey coach and mentor since 1989. His teams have won provincial championships and participated in both the Bantam AAA Western Canadian Championships and the Quebec Pee Wee International Tournament. He was named BC’s Coach of the Year in 2000 and Victoria’s Sports Person of the Year in 2001, and a “Coaching Excellence Award” has been created in his name. Since 1989, Allan has also been involved with the Rotary Club of Victoria. He has served as treasurer and president (2002), and currently serves as auditor for the board. He also acts as the liaison and student mentor for both the University of Victoria’s Rotaract Club and the Esquimalt High School Interact Club. “Whenever you’re involved in service to young people, you get back far more than you put in,” he says. “They inspire me!” Allan credits his success to a former high school teacher in Winnipeg. “Miss E. M. Lee inspired me to go to university and achieve my dreams,” he explains. “My work in the community is payback to her, and

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I hope to inspire others.” Allan also credits his “excellent support system,” saying: “My wife Jan and our kids Heather [a teacher in Victoria] and David [a CA and manager at PwC in Vancouver] have always been there for me. I also appreciate my colleagues at NNC for continually supporting, and often contributing to, my volunteer efforts.”

Peter R. Norwood, FCA “Nothing compares to the feeling you get when you receive news of the honour,” says Peter Norwood of his FCA election. “I was so humbled and so pleased.” Peter began his CA articles after earning a bachelor of commerce degree from the University of Alberta in 1974 and an MBA from the University of Western Ontario in 1978. He became a CA in 1980 while articling with Deloitte & Touche LLP (then Deloitte Haskins & Sells) in Vancouver. After working as a manager with Deloitte from 1981 to 1985, Peter held several positions in industry. He also became a part-time instructor in the School of Chartered Accountancy and the CMA Program, and served as director of education for the Society of CMAs of BC for three years.* Passionate about education, Peter moved into academia full-time in 1994, becoming an instructor at both Langara College and the Sauder School of Business at the University of BC. Still teaching at both institutions, he also chairs Langara’s School of Management and is the co-author of a university accounting textbook. His extensive contributions to CA education include serving on the CICA’s board of examiners and the ICABC’s Professional Development and PD Management Program committees. He has also served as a member of the Accounting Educators’ Symposium Committee for the Chartered Accountants Education Foundation (CAEF), and as chair of the CAEF’s board of governors. In addition, Peter was a key contributor to the strategic planning of the CA School of Business in 2006-2009, and has served on its board of directors since 2006. In the community, Peter coached hockey for ten years and served on the board of the Richmond Minor Hockey Association. He also chaired the Langara College Foundation from 1997 to 2003. He and his wife Helen, who recently retired

from BC Hydro, have two children: Chris (28), who works in artist management for Nettwerk Music Group in Vancouver, and Ryan (24), who is teaching and travelling in Korea after earning an arts degree from Mount Allison University in New Brunswick. “A lot of people have helped me along the way, but Don Carter [FCA] is the one who really encouraged me to get involved in committee work,” says Peter, currently first VP of the ICABC Council. “I’m grateful for that, and also for the support I’ve received from my family throughout.” *Peter became a certified management accountant in 1992 and a fellow of the Society of Management Accountants of Canada in 2005, making him an FCMA.

Ian Petrie, FCA “I wasn’t surprised when Karen called me,” says Ian Petrie. “She was a partner of mine when I was at Deloitte, so it didn’t seem unusual for her to be calling.” But when the ICABC president announced that she was calling on official Institute business, Ian was caught off guard. “My initial thought was: ‘What have I done?’” he laughs. “When I found out I’d been elected as an FCA, I was overwhelmed. I had no idea I’d even been nominated.” Ian’s 39-year career in public practice began in 1966, when he joined the Vancouver office of Gardner McDonald & Co (now Deloitte & Touche LLP). The University of BC commerce graduate became a CA in 1969, and a partner four years later. Transfers to the firm’s Prince George and Toronto offices followed, but in 1981, Ian returned to Vancouver to stay. He retired from the partnership in 2005. Much of Ian’s career focused on private clients in the retail sector, and in keeping with this focus, he served on Deloitte’s National Retail Committee and chaired the Retail Committee for the Vancouver office. In addition, Ian oversaw human resources while working at the Prince George and Toronto offices, and served in this same capacity in Vancouver for seven years. His contributions to the profession and the community are considerable. A member and chair of numerous ICABC committees between 1983 and 1997, Ian also served on Council for four years. He also volunteered as treasurer of organizations such as Klahanee Park Housing Society, the West Vancouver Memorial Library

Foundation, the Vancouver Community College Foundation, and the Retail Merchants Association of BC, and as treasurer and president of the Rotary Club of West Vancouver and the Hollyburn Country Club. For Hollyburn, Ian developed a new financial reporting format and helped institute changes to improve governance. “We had a great time,” he says of the experience. “I worked with some wonderful people.” Still active in the community, Ian also keeps busy with numerous hobbies, and enjoys travelling with his wife Carolyn and spending time with their grandchildren. “I really enjoyed my career and worked with some wonderful clients,” he says, “but there are so many other things I want to do.” The golf and gardening enthusiast describes video editing as his latest passion, saying it allows him to use his creative side to produce DVDs of his travels with Carolyn.

Maria Pinelli, FCA Maria Pinelli, Americas director, Strategic Growth Markets for Ernst & Young LLP, believes most of us owe our careers to those who’ve “dared” to believe in us. “I’ve been so fortunate to have had wonderful mentors and colleagues helping me develop opportunities throughout my career,” Maria explains. “And I’ve been very fortunate to have a strong support system at home. My family has provided incredible support and encouragement.” Based in New York City, Maria has been with Ernst & Young ever since she graduated from McMaster University with a commerce degree in 1986. She earned her CA designation (with honours) in Ontario in 1989 while articling with Ernst & Young in Toronto, and then joined the ICABC in 1995 after transferring to the firm’s Vancouver office. In her current role as Americas director, Maria focuses on fast-growth, high-potential companies. Thus far, she has led over 20 IPOs in Canada, London (UK), China, and the United States, and her work has taken her to countries all over the world, including Brazil, China, and Israel. Maria has worked in four different locations in North America, and currently juggles her work in New York City with her family life in Vancouver. She and her husband, Paul Fletcher, CA, managing partner of Deloitte & Touche LLP in Vancouver, have two children—daughter Vanessa (23) is at the University of Waterloo, and son Christopher (10) attends St. Augustine’s in Vancouver. Maria considers her lifestyle a great example of how the CA profession can work for men and women who want to achieve a work-life balance. “I’ve always thought our profession was the perfect choice for women wanting to combine family and career,” she says. “It’s flexible, it’s diverse and interesting, lifelong learning is valued, and there is a commitment to developing leadership skills.” To further her own skills, Maria has completed executive programs at Harvard University and the Kellogg School of Business. Because of her expertise, she has made presentations to the US Congress, and has provided briefings and testimony to the US Treasury, the Senate Banking Committee, the Public Accounting Oversight Board, and the US Securities and Exchange Commission. In the community, Maria has served as an ad-

visor or board member of organizations such as the BC Technology Industry Association, Science World, the Entrepreneur Organization, and the Kauffman Foundation, and was a judge for the Forbes Business Competition. Still, she says her FCA election came as a complete shock: “It’s overwhelming. I feel humbled and honoured to be recognized by my peers.”

Tony Swiderski, FCA “Without his guidance, I would never have experienced the joys of this career and developed the lifelong friendships I so deeply value,” says Tony Swiderski, recalling a fateful conversation with his friend and mentor John Palmer, FCA,* almost 30 years ago. Tony explains that after earning an MBA from the University of Toronto in 1979, he “drifted” into the CA profession, accepting an articling position with PricewaterhouseCoopers LLP primarily because the opportunity presented itself. By the time he became a CA in 1981, he wasn’t sure he’d found the right fit. “John convinced me to stick with the profession, and advised me to move to Vancouver, join KPMG, and enter tax,” he recalls. “His guidance changed my life.” After discovering a “love for the problemsolving elements of tax,” Tony built a career for himself in the tax practice of KPMG LLP’s Vancouver office. A partner with the firm since 1989, he served in various leadership roles before becoming the national partner-in-charge of the International Corporate Tax Practice in 2005. In 2008, he took on his current role as the Canadian partner-in-charge of the US Corporate Tax Practice. “What I find most rewarding is seeing the members of my team develop and prosper in a high-performance, collaborative environment,” says Tony. Actively involved in recruiting and advising young CAs and articling students at his firm, he says mentoring talented up-and-coming professionals is one of his greatest passions. Tony has also published, spoken, and written extensively on professional matters, and is active in the community. He is a former member of Carleton University’s Presidential Advisory Committee, and recently joined the Streetohome Foundation, which aims to reduce homelessness in Vancouver. Looking back over his career, Tony says he is most proud of having raised his son Mathieu as a hands-on parent, while at the same time Feb/Mar 2010


maintaining a deeply rewarding career. “My firm provided genuine support and understanding, which enabled me to balance my professional and personal lives in my own way,” he says. Today, Mathieu is a 21-year-old student attending the University of BC. Tony now spends much of this leisure time skiing, playing tennis, and sharing these and other activities with his wife Angela, a CA he met at KPMG. For his success, Tony credits the support provided by Angela and Mathieu, the support and guidance provided by his parents, and the wisdom imparted by his mentors John Palmer, FCA, John Zaytsoff, CA, and Don Miller, CA. *John Palmer is one of the ICABC’s newest Lifetime Achievement Award winners (see page 18).

Larry Van Hatten, FCA Larry Van Hatten got the news of his FCA while sitting in an airport in Palm Springs. “We’d just had a terrific five-day golf trip, so this surprising and wonderful news turned a great day into a day to remember,” Larry says. “I was just thrilled when Karen [Keilty, FCA] called me.” Since becoming a CA in BC in 1975, Larry has built a distinguished career in public practice. Equipped with extensive experience in the broker-dealer industry and with entrepreneurs, Larry came to his current position as an audit partner with Ernst & Young LLP in Vancouver after his former firm, Ellis Foster, Chartered Accountants, merged with Ernst & Young in 2005. During his 25 years with Ellis Foster, Larry was instrumental to the firm’s growth, helping it develop into one of the biggest mid-sized firms in Canada. Today he is a member of Ernst & Young’s BC Leadership Team. In the community, Larry has been very involved with the BC Children’s Hospital Foundation as a director and as chair for three terms, helping it evolve into one of the most successful foundations in the province. In 2000, he received a Community Service Award from the ICABC in recognition of his contributions to the Foundation. Larry has also donated his time to the Brit-Lions Rugby Club and to several other community organizations. Larry advises young people considering the CA profession to “have a passion for being a professional.” “Yes, it will be long hours and hard work, but it is also extremely rewarding,” he says. “I have found that my own life has become

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seamless, with clients becoming friends and work activities melding with social activities without me or my wife Bev even noticing. We enjoy it tremendously.” Larry credits Bev, to whom he has been married for 35 years, with much of his success. “I couldn’t have done it without her,” he says. He and Bev have two daughters: Carolyn (32) and Brooke (30). Outside of work, he says you’ll find him skiing at Whistler or riding his Harley.

Robert (Bob) Wiens, FCA “The first thing that struck me when I heard about my FCA was: ‘I wish Dad had lived to see this,’” says Bob Wiens. “He would have been so proud.” It was Bob’s father, George, a CA in Alberta, who inspired him to join the CA profession. “My dad was a great role model of a professional,” he says. Both CAs worked in public practice for a number of years and became partners with predecessor firms of Deloitte & Touche LLP. Bob says they both enjoyed being part of Deloitte’s alumni: “The firm does a great job at making us feel like we have always been a part of the culture.” After 16 years with Arthur Andersen, Bob moved into industry to join FACS Records Centre Inc. as the company’s president and CEO. He worked with FACS for 13 years before becoming CFO of D-Wave Systems, a high-tech company he co-founded. Bob’s resume also includes a brief period in the public sector, working as director of the Accounts of Canada for the Office of the Comptroller General when it was re-established in 1978, and he describes his two-year stint in government as one of the highlights of his career. “It was enormously satisfying professional work,” he explains. “You knew that you were really making a difference in the reporting of your country’s financial results.” Making a contribution has always been important to Bob, who describes community involvement as Canada’s lifeblood. Throughout his CA career, Bob contributed to a number of non-profit organizations, including the United Way, Science World British Columbia, Leadership Vancouver, St. Vincent’s Hospital Foundation, the University Hospital Foundation, and AISEC, an international, student-run organization that aims to help young people

develop their leadership potential and have a positive impact on society. Now enjoying retirement, Bob continues to volunteer with BCIT, the Canadian Cancer Society, the Forum for Young Canadians, and Rainbow Collaborative Technologies. He also enjoys participating in triathlons, playing music, and spending time with his family. Bob thanks his wife, Carol, and their children, for all of their support over the years. “I often tell people that I’ve had the best life in the world,” he says. “I’ve been blessed with great parents, a great family, great peer leaders, and a great career.”

Leonard Zirnhelt, FCA “I couldn’t believe it when I got the call,” says Leonard Zirnhelt of his FCA election. “I was really surprised. I recognized the accomplishments of people who’d received their FCA, and I didn’t think I was there.” It’s a modest statement coming from a CA who has spent the past 40 years supporting BC’s forestry sector and its players. Leonard grew up in the Cariboo, where forestry predominated. He articled with Rigsby Johnson in Williams Lake and Prince George, but left public practice in 1968 to work for a logging contractor in Mackenzie. “The experience was gratifying, but being out of public practice was very isolating,” he remembers. “What I enjoy most about being a CA is the broad spectrum of businesses and people you get to work with and serve.” The following year, Leonard returned to public practice, this time with the Prince George office of Rickard Crawford (now KPMG LLP), where he began focusing his career on forestry operations. “Forestry was, and is, a big part of Prince George,” he says. “I found that there were a lot of dynamic things I could do within the industry.” Through his efforts—both professionally and as a volunteer—Leonard has had a significant impact in the industry. For example, his pioneering work as an associate member of the Central Interior Logging Association led to the development of innovative software designed to assist independent forestry contractors with contract negotiations. He is also one of the founding members of the Prince George Forest Exhibition, and his stewardship helped this regional event become one of the largest forestry

expos in the world. In addition, Leonard has contributed to the Resource Awareness Committee, the Forest Alliance of BC, KPMG’s Forest Industry Practice Committee, and the Spirit of the North Fundraising Committee. Though now “retired,” Leonard continues to work as a consultant for KPMG. “I was always proud to be a CA,” he says, “and it’s wonderful to still be working with clients I’ve known for over 30 years.” Leonard also volunteers with the Prince George Community Foundation, and continues to play hockey. He co-founded the Prince George Oldtimers Hockey Association, some 30+ years ago, and now plays with the Prince George Over 50 Oldtimers Hockey Association. He thanks his former mentor Wayne Ackerman, FCA, for bringing him back into public practice, and his wife Judi and three children—Melanie, Lane, and Russell—for supporting him throughout his career.

Garry Zlotnik, FCA Although Garry Zlotnik has a long and stellar record as a professional and as a volunteer, he never thought he would be nominated as an FCA. “I’ve so long been outside the business of accounting that it makes this honour particularly special and I’m excited to be recognized by my peers,” Garry says. “I also immediately thought of my close friend Dave McShane, FCA, who passed away shortly after he received his FCA a couple of years ago. I think many of us are particularly humbled to be invited into the same group as Dave.” After receiving his CA designation in 1980, Garry joined his father in the family business, ZLC Financial Group Ltd., offering estate planning, life insurance, employee benefits, financial planning, and investments services. The original business has grown to encompass three separate companies, all offering investment advice and products, and employing about 60 people. As president and CEO of ZLC since 1993, Garry has served as a leader, motivator, and manager. For the past 15 years, he has also been the company’s top producer.

Garry has applied his leadership skills to numerous charitable endeavours over the years. These include the ZLC Financial Group Foundation Charity Golf Tournament, which has raised and distributed over $600,000 for charity since its inception. Garry has also served on the Professional Advisory Committee for the Vancouver Foundation, and on the board of directors of the Canadian Association of Family Enterprise (CAFE) BC Chapter, which he chaired in 1999-2000. Highly active in the Jewish community, Garry has served as a director, treasurer, and president of Vancouver Talmud Torah, and as a member and chair of the Jewish Community Foundation. In 2006, he co-chaired the Jewish Community Centre Maccabi Games, helping to raise over $2 million to finance the sporting event. In 2008, he and his brother Mark, also a CA, were recognized with the prestigious Negev Award, presented by the Jewish National Fund of Canada. Most recently, Garry completed a two-year term as board chair of the Jewish Federation of Greater Vancouver. Garry received a Community Service Award from the ICABC in 2002, and as he told us then: “…the more you give, the more satisfaction you receive. And you also get to meet really great people along the way.” He and his wife Lisbeth have two children: Samantha (22) and David (19).

Our congratulations to the Institute’s newest FCAs!

Authors Deborah Folka, MA, APR, is an independent, Vancouver-based communications consultant providing services to the professions. Kerri Brkich is the ICABC’s manager of Public Affairs, and Ashley Hetherington is the Institute’s Recruiting and Communications Coordinator.

Photography Photo of Gary Chan by Dennis Houston of W. D. West Studios in Prince George. Photo of Nadir Mohamed by Dean MacDonell of MacDonell Photography in Toronto. Photo of Allan Neale by Deddeda Stemler of Photography by Deddeda in Victoria. Photo of Maria Pinelli by Jonathan Gayman of Ernst & Young LLP in New York. All other photos by Kent Kallberg of Kent Kallberg Studios Ltd. in Vancouver.

Feb/Mar 2010


Three FCAs Recognized for Lifetime Achievement By Michelle McRae, Editor


n celebrating the life’s work of an FCA, the ICABC Lifetime Achievement Award provides both recognition and inspiration—reminding us that one person can make a big impact on the world. That’s certainly the case with this year’s recipients: W. Randolph Clerihue, FCA; John R. V. Palmer, FCA; and David R. Sinclair, FCA.

W. Randolph Clerihue, FCA “I think the Lifetime Achievement Award is a good idea,” says Randolph (Ran) Clerihue, “because it shows young people what the average person can accomplish if he or she is dedicated enough.” True indeed, though it’s unlikely that anyone would use the word “average” to describe Ran. This is an individual whose business and people skills, combined with a knack for choosing the right roles and a willingness to take risks, enabled him to lead a remarkable career in the big leagues of business, while at the same time giving back to the business sector, the CA profession, and the community. Despite growing up during the Depression, Ran never lacked for opportunities. A member of the Air Cadets, an organization his father, Victor Clerihue, FCA, helped found, Ran excelled as a pilot and achieved a private rating while still a teenager. He employed these skills during the Second World War, serving as a pilot flying officer with the Royal Canadian Air Force (RCAF) overseas from 1942 to 1945. After the war, Ran remained in the RCAF reserves, and earned his commercial pilot’s licence and instrument rating. He received job offers from two national airlines, but chose to complete his education before embarking on a career. By the time he earned a bachelor of commerce from the University of BC in 1947, he’d set his sights on the CA designation. As an articling student with Peat Marwick Mitchell & Co. (now KPMG LLP) in Vancouver, Ran showed such promise that he received a job offer from the first client to which he was assigned: Port Edward Development Co., which later became Columbia Cellulose, a subsidiary of Celanese Corporation, New York. Intent on finishing his articles, he declined the offer, but it was not the last he would hear from Columbia

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Cellulose or its parent company. After becoming a CA in 1951, he joined his father’s firm in Vancouver. While helping his father modernize Clerihue & Clerihue CAs over the next four years, Ran volunteered with the ICABC as a member of the Education Committee and as an instructor of CA students, and served as a lecturer and associate professor of accounting and finance at UBC. By 1955, he was ready for a change. “My father would have liked for me to stay on as a partner,” Ran says, “but I wanted to work in industry, with big companies.” Columbia Cellulose put out another offer, but Ran again turned the company down, wanting more experience in industry first. In 1955, he joined one of Clerihue & Clerihue’s former clients at Peacock Brothers Ltd., an industrial equipment manufacturer based out of Montreal. After relocating to Quebec, he served as the company’s director and vice-president of finance for the next five years. During this time, he also served as a Council member of the Ordre Comptables Agréés du Quebec, and as a member of the board of directors for the Financial Executives Institute (FEI). By this time, Ran had earned an impressive reputation—particularly for his skills as a turnaround expert—and this reputation led to his next job offer. “My neighbour worked with Canron Ltd., a foundries and industrial equipment factory,” he recounts. “One day, he asked if I wanted to join the company as controller.” Eager for more and different experiences in industry, Ran accepted. He worked with Canron for the next four years. In 1964, he became the president of the FEI’s board of directors. That same year, Celanese Corporation approached him again—this time offering him the role of VP of finance for Celanese Canada Ltd. in Montreal. Ran accepted, and proved so effective over the next three years that the company promoted him to VP and treasurer of Celanese Corporation in New York in 1967. Three years later, he was approached by the Bendix Corporation, a major aerospace and automotive company in Detroit. Their offer to serve as VP of finance and a board member was one he couldn’t refuse. “The Celanese executives understood the move,” Ran says. “But they told me they’d be back.”

And they were—offering him the role of chair, president, and CEO of Celanese Canada Ltd. in 1972. Ran accepted, returned to Montreal, and proceeded to make the Canadian company extremely profitable. His success did not go unnoticed, and in 1975, he was asked to serve as a board member and executive VP of Celanese Corporation in New York. “I was the chief of staff at a time when the company had $15 billion in sales, 125 plants, and 44,000 employees,” Ran recalls. “Running big companies like Celanese and Bendix was very exciting. I had to make huge decisions.” In 1980, Ran left Celanese to join Wabasso Inc., a textiles manufacturer in Montreal, as president and CEO. Over the next five years, he helped turn the struggling company into a profitable enterprise. After it was sold to Dominion Textiles in 1985, he returned to Vancouver, where he worked as a consultant for First City Financial for the next ten years. He also resumed his activities with the ICABC, this time serving on the board of governors of the CA Education Foundation. “It’s a big risk in a career to move around so much,” Ran admits, “but in my case, it worked out.” It helped that his first wife, Gloria, who passed away in 1996, handled the many twists and turns of his career with aplomb. “Gloria was very supportive,” he says. “Growing up during the Depression was probably a motivating force for both of us. I saw how some people made it through and others didn’t, and I made it a point to always position myself where I wanted to be.” Ran offered similar advice to their daughter, Barbara Clerihue Carter, CA, OMM (profiled in the May 2009 issue of Beyond Numbers for her work as a commander in the Canadian Navy): “I advised her to choose a profession she’d be comfortable with. You have to give people the opportunity to make decisions.” Ran followed this same philosophy both as an executive and as a director serving on the boards of numerous public companies, including the Royal Bank and Trust Company (New York), Tate Paper (Scotland), American Forest Products (San Francisco), Reunion Industries (Pittsburgh), Spartech Corp (St. Louis), which he chaired for several years, and Columbia Cellulose (Vancouver)—among many others. He also served on the boards of many of Celanese Corporation’s subsidiaries around the world.

In addition to his work with the CA profession and the FEI, Ran applied his leadership skills in the community by volunteering with St. Georges Anglican Church, the Royal St. Lawrence Yacht Club, and Junior Achievement in Quebec, and with the Country Club of Darien in Connecticut. He also acted as vice-chair for the 60th anniversary of the class of 1947 at UBC. And then there are his decades of service with the Air Force Officers Association and the Air Cadet League of Canada. Ran has served as a director of the former in Vancouver since 1985, having previously served as a director and president (one term) from 1946 to 1955. During the 1950s, he also chaired the Sponsoring Committee of the No. 1 Wing Air Cadets and taught an instructor course. For the Air Cadet League, he has served on the provincial committees in Vancouver and Montreal, and on the Executive Committee in Ottawa (including a term as president in 1987-1988). He continues to serve as a member of the League’s Ottawa-based Advisory Board. Ran has received numerous awards for service, including a Director of the Year Award and Medal of Honour from the Air Cadet League, a Queen Elizabeth II Golden Jubilee Medal, and a Commemorative Medal for the 125th Anniversary of Confederation. Today, in addition to managing his investments, Ran enjoys spending time with his second wife Lorraine. Together, they spend part of each year in Scottsdale, Arizona, where they enjoy playing golf. “Lorraine took up golf after we met,” he says, “but she has already won championships at our clubs in Vancouver and Scottsdale.” Ran, too, has his fair share of golfing trophies. His other hobbies include reading biographies and books on history. To those who are contemplating a career in industry, he offers the following advice: “You have to be dedicated. You have to be supportive of the team. And you have to want to succeed.” This recognition for his own success came as an unexpected surprise, Ran says, adding: “But I’m very honoured.” Ran became an FCA in BC in 1988.

Photography Photo of Ran Clerihue by Kent Kallberg of Kent Kallberg Studios Ltd. in Vancouver.

Feb/Mar 2010


John R. V. Palmer, FCA “Choosing to become a chartered accountant was the best career decision I could have made,” says John Palmer. “It gave me the framework, the analytical tools, and the discipline to tackle a series of career challenges. A lot of whatever success I have enjoyed can be attributed to my CA training.” John’s career choice has also proven highly beneficial to the CA profession. An advisor on financial and financial sector regulatory matters, he has distinguished himself internationally by driving initiatives related to financial regulation, and is highly respected for his numerous leadership roles in public practice and in the private and public sectors. “I was fortunate to have some extraordinary mentors early in my career,” John says. “Chief among them were Denham Kelsey [FCA], Hugh Smith [FCA], and Roy Burrell [CA]. They helped turn a fuzzy-thinking English major into a disciplined professional.” The University of BC arts graduate articled with Helliwell MacLachlan, a predecessor to Thorne Riddell and KPMG LLP. He achieved the BC gold medal on the UFE, and became a CA in BC in

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1969. Early in his career, John alternated his focus between audit and tax. He also worked for a year in financial consultancy with Thorne Riddell’s UK affiliate, and for two years in Ottawa as a special assistant to two Ministers of National Revenue. In 1978, John became the office managing partner of Thorne Riddell in Vancouver and returned to audit, focusing on real estate and financial services. Five years later, while still in his thirties, he was given the opportunity to serve as national executive partner (CEO) of Thorne Riddell in Toronto. He subsequently managed the firm through two national mergers, and became the deputy chair and managing partner of KPMG in 1989. In 1994, after being asked to serve as Superintendent of Financial Institutions by then Minister of Finance Paul Martin, John left public practice. This new role had him oversee the regulation and supervision of all Canada’s banks, as well as other deposit-taking institutions, insurance companies, and pension plans under federal jurisdiction. “Canada was recovering from a deep recession in which many financial institutions failed or were forced to find stronger partners,” John recounts. “We took the opportunity to toughen up the supervisory process, and required the banks and insurance companies to strengthen their capital and provisions. These moves weren’t popular at the time, but they helped the financial sector ride out both the bursting of the high-tech bubble and the recent global financial crisis.” After his seven-year term as Superintendent ended, John undertook an assignment for the Australian Prudential Regulation Authority (APRA) to review APRA’s role in the 2001 failure of HIH Insurance, the second largest general insurer in Australia prior to its collapse. “It was a valuable learning experience that underscored the importance of good organizational design, technical expertise, and effective supervisory methodologies in reducing the risk of failures,” John says. Nearly all of the changes he recommended to APRA were implemented. Early in 2002, he accepted an assignment as deputy managing director of the Monetary Authority of Singapore (the Central Bank of Singapore), overseeing the banks and insurance companies licensed in Singapore. During this time, he also served on Singapore’s Council for Corporate Disclosure and Governance and on the board of the Accounting and Corporate Regulatory Authority. For the latter organization, John chaired the Public Accountants Oversight Committee and helped set up the process by

which the auditing profession in Singapore is now regulated. After completing his work with the Monetary Authority in 2005, John served as a visiting senior fellow at the Lee Kuan Yew School of Public Policy at the National University of Singapore, lecturing on financial regulation and financial sector development. He remains an adjunct professor at the School. It was also in 2005 that John took on his current role as chair of the Toronto Centre for Leadership in Financial Supervision. Also one of the Centre’s founding directors, John explains that the focus of the Centre, which is funded by the Canada International Development Agency, the IMF, the World Bank, the Swedish International Agency, and a number of regional development banks and supervisory bodies, is to help senior officials of financial supervisory agencies, particularly in developing countries, understand the weaknesses in their agencies, the changes that are needed, and how to go about making those changes. “The Centre was formed in 1998 following a series of regional financial crises, based on the realization that weak supervision had been an important contributing factor to those crises,” he explains. “Weak supervision in a number of countries also contributed significantly to the global financial crisis, so it’s clear that the Centre has more to do.” With these same goals in mind, John continues to write and lecture on financial sector topics and carry out assignments for international organizations and national authorities such as the International Monetary Fund, the World Bank, USAID, and the Asian Development Bank. Over the years, John has served on numerous other boards and committees, both in Canada and internationally. These include the Basel Committee for Banking Supervision, the Financial Stability Forum, the Canadian Comprehensive Auditing Foundation, and the Panel of Senior Advisors to the Auditor General of Canada. Early in his career, he also lectured on tax matters for ICABC tax courses, and served as a member of the Institute’s Professional Conduct Enquiry and Government Legislation committees. He also co-chaired a CICA Task Force on the Attractiveness of the Accounting Profession. John has also served on the boards of numerous charitable and community organizations, including the Learning Partnership, the Canadian Council for Business and the Arts, the Canadian Stage Company, ParticipACTION, the Vancouver Institute, and Crofton House School.

Currently, he is a director of Manulife Financial Corporation in Canada and a board member and Audit Committee chair for the Central Provident Fund in Singapore. “I have hobbies awaiting my retirement,” John says, when asked about slowing down. “I enjoy my cottage at Georgian Bay, where I canoe, kayak, cross-country ski, and do chores. I also read extensively and eclectically, with a particular interest in biographies.” John also enjoys spending time with family. He and his wife Adelaide, to whom he has been married for more than 40 years, have three children—Nick, Meg, and Ned—and two grandchildren. As for the award for lifetime achievement, John says he was “stunned but delighted” when he received the news, adding: “It is an enormous honour to receive this kind of recognition from one’s peers.” John became an FCA in Ontario in 1988, and an FCA in BC in 1990.

Photography Photo of John Palmer by Lisa Lum of The Colourful Faces Studio in Singapore.

CAEF – Helping future CAs Have you ever wondered how you could help students who are interested in becoming members of our proud profession? Consider donating to the CA Education Foundation (CAEF). The CAEF is a registered charity established by the BC Institute of CAs to support the endeavours of current and future CAs. One of the Foundation’s important activities is to ensure that scholarships are available to students at every university and college in BC. Currently there are 25 scholarships available each year, all of which go to students who’ve indicated their intentions to become CAs. There are different ways to donate: • General donations – Mail, fax, or drop off a donation at the ICABC’s offices in downtown Vancouver. • Planned giving – Include the CAEF in your will. • Giving in memoriam – Make a gift in honour of a colleague or family member. • Matching Scholarship Program for CA firms and associations – Participate in the CAEF’s matching program. Please visit the CA Education Foundation’s website at for more information.

Feb/Mar 2010


David R. Sinclair, FCA An FCA known for his dedication to the profession, the business sector, and the community— particularly in the field of healthcare, David Sinclair has made a real difference in British Columbia, his adopted home. Born and raised in Glasgow, Scotland, David originally had his sights set on a career in medicine. But when the Second World War ended, the universities filled up with ex-servicemen, forcing David to put his enrolment on hold for a full year. Eager to start his professional life, he decided to interview with a CA firm instead. David was just 17 when he began a five-year accounting program as a paid apprentice in 1946. In addition to working a regular workweek and half-days on Saturdays, apprentices took classes five nights a week and completed weekly school assignments. The pay for the entire first year was just £30. “There was a lot of drudgery, but there were exciting moments too,” he says. “And the experience certainly taught us discipline.” After passing the equivalent of the UFE in December 1951, David became a CA in Scotland in 1952. “The pay for CAs in Scotland at that time was abysmal, and the opportunities were limited,” he

22 Feb/Mar 2010

recalls. “I had a certain amount of ambition, so I decided to broaden my horizons.” While looking through employment postings, David discovered that the Canadian Pacific Railway (CPR) was looking for “young Scottish accountants.” “The CPR was founded by Scotsmen,” he says, by way of explanation. “The job promised $300 a month, the excitement of moving abroad, and first-class passage by ship. I thought I’d died and gone to heaven.” “First-class passage” turned out to be a shared cabin for four in the bowels of the ship, but David didn’t mind—he was on his way. His new employers didn’t waste any time— within two hours of his ship’s arrival in Montreal, David was put to work. “Surely that’s a record,” he laughs. After just one month on the job, he was given an “all lines” pass for CPR trains and sent out West to Penticton, where CPR owned a small trucking company. Over the next few years, he travelled extensively across Canada, dealing with CPR’s many subsidiaries. “It was a marvellous experience for a young immigrant,” David says. “I had the opportunity to see the country, and I learned a lot.” Because of land grants that had been acquired to help build the railway, CPR owned substantial mineral rights in Western Canada at that time, and it was through David’s involvement with CPR’s department of natural resources in the early 1950s that he received a job offer to work in Calgary for Standard Oil of California. Although the new job provided a 50% salary increase, his tenure with the American company was brief. “I found working for big organizations like CPR and Standard Oil a bit confining,” he explains. “I liked the idea of the independence of public practice, and I also liked the idea of becoming a partner.” So in 1955, David changed tacks, joining the CA firm McDonald Currie (a predecessor of Coopers & Lybrand and PricewaterhouseCoopers LLP) in Vancouver. He became a partner with the firm early in 1957. David led the firm’s recruiting efforts for the next ten years, and it was during this time that he also began volunteering with the ICABC, serving as a member of Council and the Bylaws Committee. He later served for several years on the Professional Conduct Enquiry and Public Practice (Management Consulting) committees, among others. In 1973, David became the managing partner of Coopers & Lybrand in Vancouver—a position he held until his retirement from public practice

in 1989. This 16-year period has since been described as the firm’s most dramatic period of internal growth, as it included the development of specialized professional services such as litigation support, business interruption insurance, specialized taxation services, and insolvency. David also served as the leader of his firm’s Western Canadian region and was a director of its Management Committee for approximately 20 years. Prior to his retirement, he was asked by then-Minister of Finance Mel Couvalier to serve as the Interim Superintendent of Brokers, a senior position at what is now the BC Securities Commission. “The Commission was in a state of disarray at the time,” David recounts. “It was a very interesting three months, during which we dealt with the insolvency of a major investment company.” His reputation continued to garner him interesting offers. In 1990, for example, he was asked to serve as one of six commissioners on Justice Seaton’s Royal Commission on Health Care in BC. After holding public hearings in approximately 50 communities and reviewing over 2,000 written submissions, the Commission made extensive recommendations to address the healthcare needs of British Columbians, and produced a lengthy report entitled Closer to Home. “Our goal was to keep people out of the hospital as much as possible,” David explains. “I visited a lot of facilities and made recommendations based on the idea of providing more opportunities for home support.” Passionate about healthcare issues—particularly

with regard to senior and palliative care— David’s contributions to BC’s healthcare sector also include serving on the board of the Children’s Foundation, a residential treatment centre for emotionally troubled children, and on the board of the Parkinson’s Institute. The latter was a cause dear to his heart—David’s first wife, Rosemary, had Parkinson’s, and succumbed to her symptoms after a ten-year struggle with the disease. He also served as a trustee of Vancouver General Hospital, and as chair of both the BC Cancer Agency and the board of the BC Cancer Foundation. His work with the Foundation subsequently led to board work with Triumf, a nuclear research project conducted jointly by Simon Fraser University, the University of Alberta, the University of BC, and the University of Victoria. “I had the opportunity to work alongside a group of physicists and research scientists,” he says. “I couldn’t have asked to work with a more interesting group of people.” David later chaired the Finance Committee for the University of Victoria’s board of governors, serving in the government-appointed position for two three-year terms. He also served on the board of the Commonwealth Games in Victoria in 1994. In 1993, he joined the board of Cominco as a director. David A. Thompson, chair of the Vancouver Coastal Health Authority and former CEO of Cominco and Teck Cominco, describes him as a “trusted advisor on a broad range of business matters,” adding: “His intense interest in business strategy and investment decision-

making, plus his outgoing personality… made him a popular and influential member of the board.” So popular, in fact, that in 2001, Sinclair was asked to chair the Independent Committee of Directors of Cominco that recommended the merger of Teck Corporation and Cominco. After the merger, he served as a director of Teck Cominco until his retirement in 2005. Today, David is taking things a bit easier, spending time with his second wife Brenda (a former editor of Hansard in the House of Commons in Ottawa), with whom he vacations in Maui each year, and with his children and grandchildren. His son Rob owns an athletic surfacing business, and his daughter Susan is a “professional mom” with three kids (the eldest of whom is currently attending UVic, Susan’s alma mater). Both Rob and Susan are champion rowers. David, himself, is a keen gardener, fisherman, and golfer. He belongs to the Victoria Golf Club and is a proud member of the Royal & Ancient Golf Club of St. Andrews in Scotland. “With the support of outstanding colleagues, I had a great career, so this Lifetime Achievement Award brought back some fond memories,” he says. “I take pride in being a CA, and I’m grateful for this recognition from my peers.” David became an FCA in BC in 1974.

Photography Photo of David Sinclair by Deddeda Stemler of Photography by Deddeda in Victoria.

Congratulations to our Lifetime Achievement Award winners!

Feb/Mar 2010


Tax Traps & Tips The Basics of Alter Ego Trusts By Brent Zazubek, CA What is an alter ego trust? One of many tools available to individuals in their estate planning is the alter ego trust (AET).1 The Income Tax Act (Act) defines an AET as a trust established after 1999 by an individual 65 years of age or older. Under the terms of the AET, only the individual who established the trust (the settlor) is entitled to receive the income of the trust during their lifetime—no other person can receive or otherwise obtain use of any of the trust’s income or capital until the settlor’s death. Since an AET is established during an individual’s lifetime, it is an inter-vivos trust with a taxation year ending on December 31st. In normal circumstances, an AET is not subject to the 21-year anniversary rule until the settlor passes away, at which time the 21-year time frame begins. An AET can have beneficiaries other than the settlor, but these individuals can only be “residual” beneficiaries who are not allowed to receive any of the trust’s income, or receive or obtain use of any of the trust’s income or capital, until after the settlor’s death. On the death of the settlor, the terms of an AET can provide that the trust carries on as an inter-vivos trust or that the balance of the AET’s property be divided among the residual beneficiaries. Some potential benefits of using an AET include: reducing exposure to challenge under a provincial Wills Variation Act; maintaining privacy, because unlike the terms of a will, the terms of an AET are generally not available to the public; and reducing probate fees. One major disadvantage is that an AET does not benefit from the marginal tax rates of a testamentary trust, because it is not created on the death of an individual.

Income tax implications of settling an AET Generally, an individual settles an AET with a contribution of property, such as cash, real estate, an investment portfolio, or shares of a private corporation. Unlike a family trust, there is no requirement to settle an AET with non-income earning property like a gold coin, because during the settlor’s lifetime, any income earned by the AET is attributed to the settlor. Any property contributed to the AET is deemed to have been disposed of by the individual for proceeds equal to their adjusted cost base in the property, so no income taxes are triggered at the time of transfer, and the AET inherits the individual’s adjusted cost base in the property contributed.2

Income tax compliance for an AET Since the AET’s income/losses and capital gains/ losses attribute back to the individual who settled the property3 in the AET, one of the ongoing issues with an AET is how to report the attributed income/losses and capital gains/losses for tax purposes every year. In the legal and accounting communities, there is some confusion about whether or not an AET is required to file a T3 return during the settlor’s lifetime. From a practical perspective, the AET should file an annual T3 return within 90 days of the end of each calendar year, and issue a T3 supplementary slip to the individual for any income or capital gains realized in the calendar year that attribute back to the individual. It should be noted on the T3 return that the T3 supplementary slips include amounts that are being attributed. The AET’s losses and capital losses also attribute back to the individual; however, these losses usually have to be disclosed as a footnote on the T3 slip because, generally speaking, they cannot be allocated by a trust.

Potential income tax traps A number of potential income tax traps can result from the use of an AET, and a few examples follow.

The death of the settlor results in a number of taxable events. First, any income/losses and capital gains/losses realized prior to death attribute back to the settlor, and any income/ losses and capital gains/losses realized after death are considered taxable income of the AET. Most importantly, at the end of the day of the settlor’s death, it is the AET that has the deemed disposition of any property owned by the AET for proceeds equal to fair market value.4 Therefore, it is the AET, and not the settlor, that will report the capital gain or loss resulting from the deemed disposition. The deemed disposition is reported in the T3 return of the AET for the calendar year that includes the date of the settlor’s death. This can cause the loss of some of the settlor’s positive tax attributes, such as charitable donation credits, loss carry-forwards, or unused marginal tax brackets, if the individual does not have sufficient income from other sources on their final tax return to use up their positive tax attributes. This being the case, careful consideration should be given as to how to use all of a settlor’s positive tax attributes, either prior to their death or on their final tax return. Second, some provisions of the Act that deal with the death of an individual may not apply to an AET. For example, charitable donations made through an individual’s will are deemed to have been made by the individual immediately before death.5 Therefore, if an individual leaves a fixed dollar amount or certain percentage of their estate to a charitable organization, a donation credit can generally be claimed on the individual’s final tax return—assuming the donation is made by their estate within a reasonable period of time. Because a donation made through an AET is not considered to have been made through an individual’s will, the AET does not benefit from this deeming rule. This means that if a charitable donation is made by an AET with the intention of offsetting income taxes otherwise owing from the deemed disposition of the AET’s property, the donation actually has to be made by the AET in the same calendar year as the settlor’s death. Third, when an individual owns shares of a private corporation on death, it is common

Another planning tool is a joint partner trust (JPT), which essentially has the same terms as an AET, except that the individual and their spouse/partner are both entitled to receive the income of the JPT during their respective lifetimes, and no other person can receive or otherwise obtain use of any of the trust’s income or capital until the death of the later of the individual and their spouse/partner. For simplicity’s sake, this article focuses on AETs; note, however, that many of the comments herein also apply to JPTs. 2 Per subsection 73(1) of the Act. 3 Per subsection 75(2) of the Act. 4 Per subparagraph 104(4)(a)(iv) of the Act. 5 Per subsection 118.1(5) of the Act. 1

24 Feb/Mar 2010

for the estate to request redemption of these shares—which will result in taxable and/or capital dividends and a capital loss to the estate—and then apply that capital loss against the deemed capital gain on the individual’s final tax return if the capital loss was incurred in the estate’s first taxation year.6 Further, the Act provides individuals with relief from certain applicable stop loss rules that could otherwise restrict the loss7 in certain circumstances where shares of a private corporation are redeemed. As an AET is not subject to the one-year deadline for triggering a capital loss, it can actually benefit from a capital loss triggered in any of its three subsequent taxation years and carry back that loss to the taxation year with the capital gain. However, an AET does not qualify for the relief from the stop loss rules that is available to individuals at their date of death, so these stop loss rules would have to be taken into account. Another important concern is raised if the AET owned shares of a qualified small business corporation (QSBC) at the time of the settlor’s death. It is the AET that reports the deemed disposition of the shares of a QSBC on the death of the settlor; therefore, any potential benefit from the capital gains deduction may be lost, because only individuals—and not AETs—can claim the capital gains deduction. This means that any planned use of an individual’s remaining capital gains deduction must be triggered before the AET becomes the beneficial owner of the shares of a QSBC.8

Food for thought An AET is a unique kind of trust that has some tax and non-tax benefits. However, using an AET, especially where the death of the settlor is involved, can lead to some complex and unexpected tax consequences.

ger g Mana ing countin ividual is look 0 – Ac r d in d te $60,00 nager o a na ig M s g e n d nti A newly ion as Accou wing ro g it a s ith ce in for a po troller w FO as had xperien nt Con 00 – C idate h rrent e rience Assista like to $120,0 is cand has cu ld h u d expe T te o n a w a y. id n nd nd try. ision t and compa Our ca , yeare r indus superv onmen ts ila ir n v to e n im m s e re g re in a state exposu a minin They a y where ancial . career it n n tc ir fi u e e g , rt th n o e e d gets opp prepari continu overse mic an rs, bud a ing an e to n k p y e y a d e it p s n a g re ith ortu workin They a an sition w n. the opp r o e p fo v a a s h n g ill tio ctio e seekin they w rganiza cial fun a key resourc ssive o e finan t as nt progre all of th and ac r counta n io o n ti e a ard es iate Ac organiz termed d to forw art of th In p te l a – v ra ti 0 g o 0 of m ty is ri $50,0 o jo h and inte ent team. a ed a m idate, w em try. s u A cand reer, has gain d manag in i-tech ca g in the h in their rity of ntroller reparin erience a majo 0 – Co ce in p d disaran eir exp gained n e th a ri s e $95,00 a g p h n s, prep ri ex te n tu a e o c v ti id a fa a d h u ili n an nc ey ourly an o h h m r c T g fo in re Our ca in g t e s es hee okin perienc s, proc wth d lance s nd is lo ie ro n a a tr g b -e n s their ex e re th ie l n tr futu mo journa n indus g with provide gaining orting tion of tributio assistin ous of that will ir ive rep d s s n y e n it a d n te ll u x re e payro opport hey a y have tement tion. T al. The to ong prepara to financial sta potenti hoping and str re a e re c y u s n e s e e h o T exp experi l servic skills. tion. nancia ement prepara in the fi lso consider manag orking a w ld e u Payable u o n conti they w counts rk has 0 – Ac owever, rent industry. able cle es, following $38,00 y a area; h fe P if d ts a un oic v o in c in c g g A in An voices, codin work sting in nce in; e his experie ndors on adju eeking Practic s ons. T ti lic is a b ili u e nc ve n onc 0–P positio experie nity where up with ank rec a b $75,00 rs g a g e in n y d ri pa f fin r ith 4 portu and pre is desirous o an offe . This A CA w ment level op c ts t is a x th e ate ge ntial ation candid Payable a Mana nership pote organiz rm and ccounts stable art large fi with a cycle A get future p articled in a llto fu g rm gin ate ized fi challen review candid dium s lations, to a me duties. client re nts. They are moved in d e me volv more in ilation engage team oriented mp nd and co nager a of a m d variety ate a motiv who enjoys a al . u rk id o iv w d in their ges in challen

Brent Zazubek, CA, is a senior tax manager with Grant Thornton LLP in Vancouver. Per subsection 164(6) of the Act. Per subsection 40(3.61) of the Act. 8 For example, the planned use may be triggered by electing out of subsection 73(1) of the Act, so that the transfer of property to an AET occurs at fair market value, which will result in a capital gain to the settlor and the potential to use the settlor’s remaining capital gains deduction or unused capital losses carried forward. 6 7

Feb/Mar 2010


PD News

IFRS on a Need-to-Know Basis This seminar is aimed at accountants and other professionals who want a high-level overview of IFRS. It will approach the topic in a lighthearted and non-technical manner. Mar 10, 9am-12:30pm, Vancouver

Thinking Beyond the Box This seminar will teach you how to challenge conventional wisdom, reconcile paradoxes, focus on what really matters, and create intelligent and feasible solutions. Mar 17, 9am-5pm, Vancouver

Introduction to IFRS 1 – First-Time Adoption of IFRS This seminar will cover the main IFRS 1 optional exemptions and mandatory exceptions for firsttime adopters of IFRS. Mar 23, 9am-5pm, Vancouver

Building Innovative, High-Performance Teams To build and manage high-performance teams, you need to know what actually makes a team great. Learn the number one cause of low performance, what sustains low performance, and why people leave their jobs—after all, retention is a lot less expensive than recruitment. Mar 18, 9am-5pm, Vancouver

Transitioning to International Auditing Standards This seminar will provide an overview of current developments in the transition of Canadian audit standards to international ones. The seminar will be beneficial to members who practice public accounting. Mar 4, 9am-5pm, Vancouver

Upcoming Professional Development For detailed course descriptions or a complete schedule of upcoming PD seminars, consult your winter 2010 PD brochure or visit our website at To register, call the PD department at 604-681-3264.

Transitioning to Private GAAP This seminar will provide participants with a review of all the changes occurring for nonpublicly accountable enterprises in Canada, and will explain how these changes will impact the financial statements of private enterprises. Mar 5, 9am-5pm, Vancouver

Audit & Accounting GAAP and IFRS – Business Combinations, Consolidations, and Non-Controlling Interests This seminar will provide participants with an understanding of business combinations, consolidations, and non-controlling interests in the context of IFRS and Canadian GAAP, with additional reference to variable interest entities (VIEs) and joint ventures under IFRS. Mar 26, 9am-5pm, Vancouver

Management The Courage to Speak Without a Safety Net The meeting is on, and suddenly the focus is on you. If you’d like to be one of those people who always seems to say the right thing, at just the right moment, consider taking this seminar. It will help you learn to respond to questions, speak up at meetings, and even feel more comfortable in social situations. Mar 9, 9am-5pm, Vancouver

IFRS – Accounting for Financial Instruments This seminar will walk participants through the accounting standards for financial instruments under IFRS. The session will expose you to the differences between IFRS and Canadian GAAP, and will examine the impact of the differences on the balance sheet and income statement. Mar 30, 9am-5pm, Vancouver

Documenting Your Organization’s Financial Processes This seminar is designed to teach participants how to document their financial work processes and prepare detailed, task-based procedure manuals. Mar 10, 9am-5pm, Vancouver

IFRS – Mining Industry This seminar will provide participants with an understanding of the implications of IFRS for the mining industry. Mar 9, 9am-5pm, Vancouver

How to Realize Your Vision of Success The objective of this seminar is to provide you with the knowledge and skills needed to take control of your time and create a more satisfactory balance between your work and your personal life. Mar 16, 9am-5pm, Vancouver

26 Feb/Mar 2010

Taxation Catching Up – 5 Years of Income Tax Developments This seminar will provide an opportunity for those who haven’t regularly taken tax update seminars to get caught up on notable income tax developments and find out what they may have missed. Mar 10, 9am-12:30pm, Vancouver HST: Planning for Harmonization BC plans to adopt the HST on July 1, 2010. This shift from the existing retail sales tax system will expand the tax base and impact most businesses, consumers, and non-profit organizations. While most businesses will benefit from this shift, others will experience special challenges. This course will review the HST rules and the special transitional provisions related to this shift to better prepare businesses and organizations for the impact of adopting the HST. Mar 19, 9am-12:30pm, Vancouver Income Tax Refresher: Corporate Tax This two-day seminar will go beyond corporate tax preparation to review personal and corporate tax planning opportunities that are available for corporate taxpayers. It will benefit individuals involved in corporate tax matters who wish to expand or update their knowledge in the area of corporate tax. Mar 12-13, 9am-5pm, Vancouver

Executive Breakfasts Expert Testimony: The Old and the New This presentation will acquaint members with the common law and professional obligations facing a CA engaged as an expert witness in the Supreme Court of British Columbia. It will review the practical implications of the new Rules of Court as they directly apply to CAs who prepare reports and give opinion evidence at court. This will include new deadlines, mandatory content, required documentary support, and more. Mar 29, 7:30-9:30am, Vancouver


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Plugged In: News for and about members & students Announcements

Congratulations! Donald Gee, CA, has joined the board of directors of Ocean Park Ventures Corp., and has been appointed president and CEO. Gee has 28 years of experience in private and public company financing, corporate/capital structuring, and management, and has served as a director and key executive of several public companies. In addition to the CA designation, he holds a bachelor of science (geology) and is a member of the Society of Economic Geologists and the Canadian Institute of Mining and Metallurgy. Andrew Jackson, CA, of Trenholme & Company in Victoria, is now serving on the board of the Victoria Foundation. Mervin Michaels, CA, has been designated a fellow of the Society of Management Accountants of Canada (FCMA). Michaels is one of just seven CMAs in BC to receive the award this year. He has held many positions in the accounting field, including academic posts at Kwantlen Polytechnic University and the University of Calgary, and was a research manager at CMA Canada. Michaels is currently a member of the board of governors of Capilano University. The FCMA is the highest honour granted by CMA Canada, and is awarded to those with a proven track record of excellence in management accounting and commitment to their profession and community. Masato Oki, CA, has been appointed to the partnership of Wolrige Mahon LLP in Vancouver. Oki joined the firm in 1997. He provides accounting, assurance, and related tax services in a variety of industries, including automobile dealerships, real estate, construction, investments, and the medical field, as well as providing services to various non-profit and charitable organizations. Doug Rogers, CA, manager of finance and administration at the Richmond Country Club, was elected president of Variety, the Children’s Charity of BC, in December 2009. Rogers has been active with Variety for more than 25 years. The charitable organization has more than 4,000 volunteers around the province. As reported in the Vancouver Courier on December 4, 2009, Lunapads International, a company co-founded by Suzanne Siemens, CA, received a “Shining Light Award” at the San Francisco Green Festival this past November. Together with business partner Madeleine Shaw, Siemens co-founded the Vancouver-based business, a manufacturer of eco-friendly feminine hygiene products that are now sold in 40 countries. The company estimates that use of its products helps divert a million disposable products from landfills in North America every month. Organizers of the People’s Choice Green Business of the Year Award actually created a new award category for the niche business in response to the number of consumer votes. Danley Yip, CA, a division director for Robert Half Management Resources, has been appointed chair of the 2010 Financial Executives International (FEI) Canada Conference, which will take place in Victoria this coming June. The Conference is expected to attract upwards of 450 delegates. Yip also currently serves as a board member of FEI Canada and as chair of the ICABC Membership Committee, and sits on the boards of two non-profit organizations.

Merger announcement A R Allibhai CA has merged with Rolfe, Benson.

28 Feb/Mar 2010

Notice from Member Services Have you given us your most recent contact information?

ICABC’s Benevolent Fund offers financial support to members in need

Have you moved? Changed your name? Do you have a new email address? Make sure your information is up to date In order for the Institute to keep you informed about important membership matters, we need you to let us know whenever your contact information changes. Make changes online for added convenience Update your contact information online by visiting our secure website at: secure or by visiting the main website at and clicking “ICABC SECURE LOGIN” at the top of the page. Help us keep you informed!

AGM Advance Notice 2010 AGM and Members’ Recognition Dinner The ICABC’s 2010 annual general meeting (AGM) is scheduled to take place on the afternoon of June 23, 2010, in Vancouver. Directly following the AGM will be the tenth annual Members’ Recognition Dinner. So mark your calendars now, and join us for both events! Details will be provided in upcoming issues of Beyond Numbers.

All information is held in the strictest confidence To apply for financial assistance, contact: Amy Lam, CA Senior Director of Member Services & Fund Secretary Phone: 604-488-2629 Toll Free: 1-800-663-2677 Email: [email protected]

Feb/Mar 2010


ICABC Social Networking Group Event Recap By Jennifer Tokarek, CA


n September 24, 2009, the ICABC Social Networking Group hosted a wine-tasting event that featured a sampling of six BC wines. The event took place at The Refinery, a restaurant in downtown Vancouver that showcases our province’s dynamic wines. As CAs entered the venue, they were treated to a tasting of BC bubbly. Once we were all gathered, ICABC President Karen Keilty, FCA, welcomed attendees and thanked them for supporting the Group’s efforts to promote networking initiatives for the Institute. After Karen’s address, Lauren Mote, the restaurant’s general manager, informed us about the various wines we would be sampling throughout the evening. Chef Michael Carter also addressed the crowd, describing the BC-themed canapés that would be paired with each wine. We were pleased to see the membership well represented at the networking event, with CAs from both public practice and industry enjoying the opportunity to catch up with existing contacts and meet new people. The ICABC Social Networking Group Committee members are now gearing up for our first event in 2010, which will be a four-course fondue tasting early this month. You can expect a recap of the event in the April issue of the magazine.

ICABC President Karen Keilty, FCA, mingles with the crowd

Social Networking Group co-chairs Jennifer Tokarek, CA (far left) and Angeline Zioulas, CA (far right) catch up with former colleagues Julia Kwinter, CA.CBV, and Laura Morgan, CA.CBV

A sampling of BC wines

A thank you On an administrative note, the wine-tasting event marked a transition in the leadership of the ICABC Social Networking Group Committee, as John Mackenzie, CA, stepped down from the role of co-chair, and Angeline Zioulas, CA, stepped in. It was John’s vision over three years ago that helped ignite the BC Institute’s interest in forming a networking group for its members. Of this latest event, John said: “It’s wonderful to see the support of the ICABC membership. These events are truly first-class networking experiences.” On behalf of the members of the Networking Committee, we thank John for his dedication and support these past three years, and we look forward to seeing him at future networking events! Jennifer Tokarek, CA, and Angeline Zioulas, CA, are the co-chairs of the ICABC Social Networking Group. Tokarek is the regional manager, Western Canada, Tax and Business Advisory Services, for TD Waterhouse Private Client Services, and Zioulas is a senior tax manager at Deloitte in Vancouver. John Mackenzie, CA, is a portfolio manager at Odlum Brown.

30 Feb/Mar 2010

In Memoriam: Derek R. Lukin Johnston, FCA


ormer ICABC and CICA president Derek R. Lukin Johnston, FCA, passed away on December 16, 2009, at the age of 96. Derek was profiled in the June/July 2001 issue of Beyond Numbers as one of the first recipients of the Institute’s Lifetime Achievement Award. “I think I would prize such an honour above any other,” he said at the time, “because it is conferred by one’s professional colleagues who know what one has done better than anyone else outside one’s own family.” Being a chartered accountant meant a great deal to Derek, and he made significant contributions to the profession, both at the provincial and national levels. During his career, he served as president of the ICABC (1954) and the CICA (1964), served on the ICABC’s Education, Student Recruitment, and Professional Conduct Enquiry committees, and was a trustee of the Memorial Scholarship Fund. He also wrote numerous articles for provincial and national CA publications. His professional endeavours extended outside of Canada as well. In 1962, Derek became the first permanent Canadian delegate to the Interamerican Accounting Association (IAA). In 1977, he brought the IAA’s annual conference to Canada for the first time, and received the Carmen Carvalho Medal of Honour of the Institute of Arts and Science of Brazil. At the IAA’s 1979 conference in Panama, he was elected a Contador Benemérito de las Américas (Accountant Emeritus of the Americas), and received a medal later described as one of his most treasured possessions. Born in Duncan in 1913, Derek attended Shawnigan Lake School in BC and Tonbridge School in England. In 1931, he earned a diploma in French from the University of Geneva, where he also studied Spanish and German. He then returned to the United Kingdom and

spent the next seven years with Thomson McLintock & Co., the London office of a large Scottish firm. In 1937, he passed his final exam as a CA in Scotland. The following year marked Derek’s return to BC, where he joined the Vancouver office of Price Waterhouse. In 1941, he put his career on hold to enlist in the Second World War. He served for four years with the Royal Canadian Naval Volunteer Reserve, and survived being torpedoed in the North Atlantic. In later years, he was elected an Honorary Member of the Aconit Veterans’ Association. After the war, Derek resumed his career as a CA in BC. He joined the BC Institute in 1947, and became a partner with Price Waterhouse in Vancouver the following year, working in the firm’s audit practice. He later became the firm’s senior partner—a position he held until his retirement from public practice in 1973.

Derek was elected to the ICABC Fellowship in 1957. In addition to receiving the Institute’s Lifetime Achievement Award, he was also a recipient of the Canadian government’s Centennial Medal (1967) and the Queen’s Silver Anniversary Medal (1977)—both bestowed for service to the nation. His extensive contributions to the community included serving as president of the Men’s Canadian Club of Vancouver; president and a long-time member of the board of governors for the Leon and Thea Koerner Foundation; chair and a long-time member of the Vancouver Public Library Board; and governor emeritus of the Vancouver Public Library Trust. He also served on the boards of both the Columbia Coast Mission and Shawnigan Lake School, and was a member of both the Winston Churchill Society and the Round Table. Our sincere condolences go to Derek’s family and friends.

Derek Lukin Johnston, FCA (left) takes the stage at the ICABC’s Member Recognition Dinner in 2001. Shown here with Woody Hayes, FCA.

Feb/Mar 2010


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Feb/Mar 2010


Ethical Dilemmas

longstanding business relationship. In Beth’s place, Ross asked Wayne to prepare notice to reader statements, T4 slips, and corporate income tax returns for BR Holdings. Oblivious to much of the family drama, Wayne accepted the engagement. Bonnie felt betrayed by Ross’s actions, and mother and son began to engage in a bitter lawsuit over control of BR Holdings.

What happened

Treating the Public with Courtesy By Chris Utley, CA Director of Ethics


any accountants who work with the public are well aware of the necessity of maintaining good relationships with their clients, and know that effective communication is key to client service. However, when CAs are asked to respond to inquiries from individuals who are connected to their clients through business and/or family ties, challenges can arise. Let’s examine one such scenario.

The situation Wayne* is a sole-practitioner. One of his clients, Ross, is also a close friend. Wayne began preparing Ross’s personal income tax returns in 2005. Ross is the only child of Bonnie Williams, an 84-year-old widow of considerable wealth. In 2006, after graduating from university, Ross received an “advance inheritance” from his mother: a 75% shareholding in the family company, BR Holdings Ltd. The company had several real estate holdings, including a substantial commercial property in Langley worth several million dollars. Bonnie remained a director of the company. In 2007, Ross married Julia. Bonnie did not approve of the union, believing her new daughter-in-law to be a “gold digger.” Shortly after the wedding, Ross exacerbated matters by making Julia a third director of BR Holdings. He then took control of the company’s management, squeezing his mother out of company affairs and refusing to have any financial discussions with her unless Julia was present. The only factor Ross couldn’t change was his mother’s status as the company’s other authorized signatory. Ross made numerous changes to the company’s operations, including firing its accountant, Beth, an individual with whom his mother had a

34 Feb/Mar 2010

In the midst of these legal battles, Bonnie received her first T4 slip prepared by Wayne. Since 1968, Bonnie had drawn annual advances from BR Holdings, leaving it to her accountant (most recently Beth) to determine her salary amount. Payroll deductions had then been made accordingly and remitted to the Receiver General. The 2008 T4 slip prepared by Wayne showed Bonnie’s income from BR Holdings as $80,000. No deductions had been made for CPP, EI, or income tax. Concerned about the lack of source deductions, Bonnie attempted to contact Wayne several times by mail. She did not receive a reply to her letters, and soon found herself being assessed by the CRA for unpaid taxes. Bonnie wrote to the ICABC, complaining about Wayne’s lack of communication. She noted that the T4 slip contained no deductions, and said she believed $11,000 of company funds had already been remitted to the CRA on her behalf, in anticipation of the income tax deduction. According to Bonnie, the situation had become so stressful that she’d had to engage her own accountant and a lawyer. She explained that Wayne did finally speak to her accountant over the telephone, revealing that the $11,000 tax deduction had actually been allocated to Julia’s T4 slip, which showed $25,000 in gross income from BR Holdings. He also revealed that Julia had filed this slip with her personal income tax return, and had received a substantial refund. Bonnie asked the Institute to investigate the matter. It was obvious to Institute staff that the $11,000 tax deduction should have been allocated to Bonnie’s salary and not Julia’s, so the PCEC launched an investigation to consider whether Wayne had breached Rule 201.1 (Maintenance of the Reputation of the Profession); Rule 202 (Integrity and Due Care); and/or Rule 205 (False or Misleading Documents and Oral Representations). In his defence, Wayne argued that he had acted on the wishes of his client, as outlined in his letter of engagement. He produced the letter, which indicated that Ross was his only client among the Williams family, and said Ross had instructed him to apply the deduction to Julia’s income. Wayne said he hadn’t replied to any of Bonnie’s letters because he feared being dragged into the lawsuit between mother and son. Further, he told the PCEC he’d forwarded Bonnie’s letters to Ross and had spoken to Bonnie’s accountant after obtaining Ross’s consent.

The outcome The PCEC has to consider whether actions constitute a breach of the Rules of Professional Conduct, which include the stipulation to “…maintain the good reputation of the profession and its ability to serve the public interest” (Rule 201.1). It is a tough judgment call based on the specific circumstances as to whether particular actions are matters of courtesy or cross the line into damaging the reputation of the profession. In this case, Wayne was fortunate in respect of the alleged breach of Rule 201.1 in that the PCEC gave him the benefit of the doubt, resulting in a determination that there were insufficient grounds to constitute a breach.

The message Service providers, such as CAs in public practice, are often scrutinized by the public. It behoves members to think beyond the professional code. If in doubt, consider asking clients for consent to follow up on inquiries. In the event that your client does not provide permission, you can respond and explain the restrictions faced regarding confidentiality. Such acts of courtesy might well prevent situations such as this one from escalating into a disciplinary matter. Remember: CAs are professionals and are expected to behave as such. Comments or questions? Contact me at [email protected] *Please note: This fictionalized account is based loosely on an actual case before the PCEC (Professional Conduct Enquiry Committee). Names and circumstances have been changed to preserve anonymity. The contents of this article are only intended for the general guidance of readers. The PCEC deals with each case individually, based on its specific facts and circumstances.

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