Business
Seabridge Gold Recovers $4.4 Million after Successfully Challenging Tax Ruling in BC Supreme Court
Further Recoveries Anticipated Toronto, Ontario--(Newsfile Corp. - October 29, 2025) - Seabridge...
About this update from Seabridge Gold Inc
[{"type":"text","content":"Seabridge Gold Recovers $4.4 Million after Successfully Challenging Tax Ruling in BC Supreme CourtFurther Recoveries AnticipatedToronto, Ontario--(Newsfile Corp. - October 29, 2025) - Seabridge Gold Inc. (TSX: SEA) (NYSE: SA) (the \"Company\") announced today that the Company has received $4.4 million in recovered funds from the Canada Revenue Agency (\"CRA\") as a result of the Supreme Court of BC (\"SCBC\") reversing CRA's previous decision to deny BC Mineral Exploration Tax Credits (\"BC METC\") for the years 2010 and 2011. Seabridge had already received reimbursement of trial costs and has now fully recovered the funds which CRA held during the appeal process and accrued interest. The Company believes the BC METC ruling should now trigger a further recovery of the $9.4 million of tax, penalties and interest presently held by CRA as a result of CRA's denial, for the same reasons rejected by the SCBC, of flow-through mining expenditures incurred in our 2014-2016 exploration programs.Commenting on the recovery of funds, Rudi Fronk, Chair and CEO stated: \"Canadian mining is subject to an immense and ever-increasing set of regulations covering everything from taxes and mineral rights to permitting and ESG. Navigating this complex environment is critical and we take pride in our ability to do so. We are pleased to have had our interpretation of the Income Tax Act confirmed and to have the BC METC challenge behind us. We now look forward to resolving CRA's larger denial of flow-through mining expenditures that we renounced to investors. We believe the CRA should take more supportive positions regarding our industry going forward.\"BackgroundThe Company received a refund in respect of the $15.8 million of exploration expenditures incurred in 2010 and 2011 it claimed as qualifying mining exploration expenses, as defined by the BC Income Tax Act, and therefore eligible for tax credits under the BC METC program. CRA subsequently decided the expenditures did not qualify for BC METC tax credits. The Company has diligently challenged the CRA position, believing that the CRA takes too narrow a view of what does or does not qualify as a mining exploration expense, with the core issue being whether such expenses are incurred to determine \"the existence, location, extent or quality of a mineral resource.\" During the Company's appeal CRA ha...