Canada’s stepped up its efforts in recent years to crack down on tax avoidance, but at least one government body appears to have missed the memo.

Read: Tax avoidance can damage your reputation: STEP chief

“The federal agency that invests civil servants’ pensions set up a complex scheme of European shell companies and exploited loopholes that helped it avoid paying foreign taxes— a move that could undermine Canada’s standing internationally as its allies try to mount a crackdown on corporate tax avoidance,” a CBC report states.

The Public Sector Pension Investment Board’s tax strategy was devised by PwC’s Luxembourg offices.

“While the Canadian government corporation’s transactions were not illegal, a senior German tax official who reviewed them said the pension investment board had used ‘a very aggressive way to avoid taxes,’” adds the report.

Read the rest here.

Also read:

How Apple paid almost no tax

Protect your rep