Milot Law and E. G. Gilmore and Associates Inc. wanted you to be aware of the Global Learning Giving Initiative (“GLGI”) initiative that they have started.
We are putting together a group of GLGI participants/donors to:

  1. try to re-litigate the 2004 and 2005 taxation years and
  2. litigate the 2006-2013 iterations of the GLGI program for the first time.

We have been retained by a number of participants, but we need to continue to grow the group to fund this litigation.

We are not connected in any way to the GLGI promoter.

We are proposing to litigating a number of “test” cases or representative files on a cost-effective basis funded by a larger group of donors. We believe that there are differences in the various versions of the GLGI program and that all participants should not be bound by the recent Tax Court of Canada decision discussed below. We propose to put forward better overall evidence, including stronger and more comprehensive valuation reports.

GLGI was one of the largest registered tax shelter / gifting arrangement in Canadian history. GLGI had over 20,000 participants over a period exceeding 10 years, including the 2004-2013 taxation years.

In the Mariano v. The Queen, 2016 TCC 161 decision, the Tax Court of Canada heard appeals from taxpayers that participated in the GLGI program for the 2004 and 2005 taxation years. The Court found that the Appellants did not have the donative intent to make their gift, did not own or transfer the property (i.e. the Licenses) and that the GLGI program was a sham. The Court found that the value of each License donated by the Appellants was actually only 26 cents per License. This decision was not appealed to the Federal Court of Appeal.
What has happened?

  • You participated in the GLGI program for one or more years and filed a tax return with two donation receipts; one for the cash donation (the “Cash Donation”) and the other for the gift-in-kind donation (the “Gift-in-kind Donation”) (collectively the “Donation Amount”). You probably received a refund in one or more years.
  • The Canada Revenue Agency (“CRA”) has denied the Donation Amount and has asked for the refund to be returned with interest.
  • In late 2014 – early 2015, all GLGI donors received a letter from the CRA with 3 options:
    1. Accept an offer from the CRA to allow the Cash Donation and waive certain accrued interest (the “Offer”);
    2. Accept an offer from the CRA to allow the Cash Donation and waive certain accrued interest (the “Offer”);
    3. Do nothing

What is happening now?

• Those taxpayers that accepted the Offer have been/are being reassessed in accordance with the Offer. CRA Collections will be contacting participants to collections outstanding balances owing.

• Those that signed the ATB are now receiving Notices of Confirmation. If you not unsure if you signed the ATB, you can call 1-855-606-7612 and ask CRA to send you a copy of your signed ATB.

• If you have signed the ATB, you may be able to appeal it to the appropriate Court in certain limited circumstances.

• You likely can appeal the taxation years that are not outlined in the ATB.

• It is our understanding that the CRA has applied to the Tax Court of Canada under section 174 of the Tax Act to have all GLGI participants bound to the Mariano decision. Unless you respond to this application or you act now, you may potentially lose your right to appeal this decision.

What can you do?

• If you did NOT sign the ATB or accept the Offer, you can do 1 of 2 things:

o 1. Wait for the Court to bind you to the Mariano case under section 174 of the Tax Act.

o 2. Join our initiative and take matters in your own hands, fight for a better outcome.

• If you signed ATB and the years match, you may be to file an appeal to the appropriate Court.

Cost to go forward with this Initiative:

• If you have not signed anything and DO NOT have a Notice of Confirmation, the initial retainer is $1000 per donor.

• If you have a Notice of Confirmation but did not sign anything, the retainer is $3000 per donor.

• If you have received a Notice of Confirmation and signed the ATB, we may be able to file an appeal to the appropriate Court. Retainer would be determined on a file by file basis, but will be much higher than $3,000 per donor.

Common questions and answers:


We cannot say for certain that additional fund will not be needed. We will do our best to keep costs low. This is done on a cost sharing bases. The more donors we reach and join, the lower the cost to all.
No the retainer covers all years. Ex. donated in 2009/2010/2011= $1000.00
The retainer is due now. We have donors saying they will wait to see how many join. This unfortunately does not work. If everyone waits, we will not have a true number to decide if this is worth moving forward for everyone.
– Should we not move forward, funds will be returned to you less any accrued time.
CRA may have you bound to the Mariano court decision or you will get a notice of confirmation. It is not clear how the Court will proceed.
It is a letter letting you know the decision made on your appeal, filed to CRA. The amounts will become collectable immediately. Notice of Confirmation is in bold letters at the middle top of the letter and the date is usually stamped at the end of the letter.
CRA did send some confirmations out to donors who did not sign anything. We do not know why.
We cannot guarantee a successful outcome. However we feel that there is a chance of a positive settlement.
We feel it is worth it for all to join. You will have to make this decision for yourself. You will have to look at your liability to CRA vs the monetary investment for a better settlement.
Yes this is 100% tax deductible.
You will not be included in the settlement. CRA will most likely only apply the settlement to those whom filed an appeal to TCC.

Download Milot law Retainer Document here: