Cameco to receive $300 million refund from the Canadian Revenue Agency
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(Kitco News) - Cameco (NYSE:CCJ) announced today that Canada Revenue Agency (CRA) has issued revised reassessments for the 2007 through 2013 tax years that will result in the company being refunded a total of approximately $300 million.
The Canadian Revenue Agency and Cameco were involved in a long-standing tax dispute. Timing of the refund is yet to be determined.
Payment will consist of a mix of cash and credit.
"A series of court decisions that were completely and unequivocally in Cameco’s favour for the 2003, 2005 and 2006 tax years determined that the income earned by Cameco’s foreign subsidiary from the sale of non-Canadian produced uranium was not taxable in Canada. In accordance with these decisions, CRA has issued reassessments reducing the proposed transfer pricing adjustment from $5.12 billion to $3.25 billion, resulting in a reduction of $1.87 billion in income taxable in Canada compared to the previous reassessments issued to Cameco for the 2007 through 2013 tax years," wrote Cameco in a news release.
Cameco was up slightly today, 0.59% to $33.65 a share.