For example, will the document be provided in support of the party’s tax position giving the impression that a signed legal contact was in place before it was?The difficult question for a lawyer to answer is to what extent does he have to enquire into the veracity of his client’s statement that the document “is just recording an earlier agreement”?However, he only realizes this in January and so wishes to backdate the document to December.The event did not happen during the time period required for the benefit so an attempt is being made to pretend that it did.Does he need to check to see whether that was actually the case or can he take an ostrich-like position and put his head in the sand and not ask any questions?
Alternatively, is there a way of legally trying to achieve the required objective?
How is it possible with such a trend that the board itself was not suspicious?
Use Form T2091(IND)-WS, Principal Residence Worksheet, to calculate a reduction due to the capital gains election.
Without a doubt, this was part of the motivation, but what is overlooked is how CEO’s also use options as compensation for employees.
The cost of options, particularly those inflated due to backdating, were transparent to financial statements until new accounting rules were enacted.