Backman v. Canada, 2001 DTC 5149, 2001 SCC 10, [2001] 1 SCR 367 -- summary under Tax Avoidance

Before going on to find that the taxpayers had not become partners of a putative partnership by virtue of their arrangements because they lacked the requisite intention to carry on business in common, the Court stated (at p. 5154) that "this Court has repeatedly held that a tax motivation does not derogate from the validity of transactions for tax purposes ... . The question at this stage is whether the taxpayer can establish an intention to make a profit, whether or not he was motivated by tax considerations".