Magazine article from our research archive:

Foreign currency considerations in tax law and policy.

 
I INTRODUCTION 
 
II NORMATIVE LENS OF ECONOMIC EFFICIENCY 
 
III ANALYTICAL FRAMEWORK & THE ECONOMICS OF FOREIGN 
CURRENCY EXCHANGE 
  Two-Step Analytical Framework 
  The Economics of Future Currency Exchange Rates 
  Discount Bonds: An Analogy 
  Summary of the Economics of Foreign Exchange Gains and Losses 
 
IV THE CURRENT STATE OF CANADIAN TAX LAW 
  Purchase of Inventory in Foreign Currency 
  Disposition of Capital Valued in Foreign Currency 
  Foreign Currency Debt Redemption 
  Treatment of Futures Contracts and Hedging 
  Subsection 39(2): The Residual Treatment of Foreign Currency Gains 
or Losses 
 
V ECONOMIC ANALYSIS OF INCENTIVES CREATED BY THE CURRENT 
LEGAL REGIME  ...

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