Section 115.2

Subsection 115.2(1) - Definitions

Designated investment service

Administrative Policy

2014 Ruling 2013-0513431R3 - Application of section 115.2

Illiquid investments of LPs. The Manager, which is a Canadian-controlled corporation providing investment advisory and management services to...

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2007 Ruling 2007-0224751R3 - Application of 115.2

Management Agreement. Canadian-resident "Manager" will enter into the "Management Agreement" with the affiliated CBCA GP of two newly-formed LPs...

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Paragraph (a)

Administrative Policy

17 November 2023 External T.I. 2023-0965891E5 - Section 115.2

The activities of a limited partnership (“Foreign LP), governed by foreign or provincial law are lending to borrowers that are resident in and...

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Locations of other summaries Wordcount
Tax Topics - Income Tax Act - Section 115.2 - Subsection 115.2(1) - Designated investment service - Paragraph (b) lending qualifies as a designated investment service 175
Tax Topics - Income Tax Act - Section 2 - Subsection 2(3) - Paragraph 2(3)(b) performance of admin services in Canada for non-resident limited partners would not be itself cause them to carry on business in Canada 91

Paragraph (b)

Administrative Policy

17 November 2023 External T.I. 2023-0965891E5 - Section 115.2

The activities of a limited partnership (“Foreign LP), governed by foreign or provincial law are lending to borrowers that are resident in and...

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Locations of other summaries Wordcount
Tax Topics - Income Tax Act - Section 115.2 - Subsection 115.2(1) - Designated investment service - Paragraph (a) ancillary admin services outside the scope of designated investment services or of GP do not cause limited partners to carry on business in Canada 299
Tax Topics - Income Tax Act - Section 2 - Subsection 2(3) - Paragraph 2(3)(b) performance of admin services in Canada for non-resident limited partners would not be itself cause them to carry on business in Canada 91

2017 Ruling 2017-0699531R3 - Application of section 115.2

Structure

Each of Aco and Bco (who are unrelated Canadian residents) each holds 50% of the shares of Canco, which wholly owns the...

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Locations of other summaries Wordcount
Tax Topics - Income Tax Act - Section 115.2 - Subsection 115.2(2) - Paragraph 115.2(2)(c) exemption available where 2-tier partnership 124

Subsection 115.2(2) - Not carrying on business in Canada

Paragraph 115.2(2)(b)

Articles

Timothy Hughes, Matias Milet, Marc Richardson-Arnould, "Private Equity Funds – Selected Canadian Tax Issues", Tax Management International Journal, 2016, p.84

Restrictions on s. 115.2 safe harbour (p. 86)

The safe harbour contains a number of restrictions. For example, a share in the capital stock of a...

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Subparagraph 115.2(2)(b)(i)

Clause 115.2(2)(b)(i)(B)

Administrative Policy

18 November 2014 TEI Roundtable, Q. E.6

Forco, which is wholly-owned by Canco (which, in turn, is a (widely-held) "designated entity" in respect of the affiliated Canadian service...

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Paragraph 115.2(2)(c)

Administrative Policy

2017 Ruling 2017-0699531R3 - Application of section 115.2

CRA ruled that the s. 115.1(2)(c) safe harbour was available, respecting the acquisitions and dispositions by, and management/advice of, the...

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Locations of other summaries Wordcount
Tax Topics - Income Tax Act - Section 115.2 - Subsection 115.2(1) - Designated investment service - Paragraph (b) safe harbour applied to partnerships providing mezzanine financing and receiving profit participations though a Canadian corporate sub 440

2014 Ruling 2013-0513431R3 - Application of section 115.2

CRA ruled that the s. 115.2 safe harbour applied in respect of investment management and administration services provided by the Canadian Manager...

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Locations of other summaries Wordcount
Tax Topics - Income Tax Act - Section 115.2 - Subsection 115.2(1) - Designated investment service two-tier LP structure investing in original issue illiquid debt 301