Please note that the following document, although believed to be correct at the time of issue, may not represent the current position of the CRA.
Prenez note que ce document, bien qu'exact au moment émis, peut ne pas représenter la position actuelle de l'ARC.
Please note that the following document, although believed to be correct at the time of issue, may not represent the current position of the Department.
Prenez note que ce document, bien qu'exact au moment émis, peut ne pas représenter la position actuelle du ministère.
XXXXXXXXXX
XXXXXXXXXX 1-991922
XXXXXXXXXX
Attention: XXXXXXXXXX
XXXXXXXXXX, 1999
Dear Sirs:
Re: XXXXXXXXXX
XXXXXXXXXX
XXXXXXXXXX
XXXXXXXXXX
Advance Income Tax Ruling
This is in reply to your letter of XXXXXXXXXX, in which you advised of changes to the Definitions and Proposed Transactions described in our letter of XXXXXXXXXX, 1999 on our file number 3-991044 (the "Ruling"). (Terms defined in the Ruling to have a certain meaning have the same meaning when used in this letter.)
As a result of your letter the following changes are made to the Ruling:
1. In the Definitions, delete the definition "(bb)" and replace with the following:
"(bb) "Subco" means the corporation previously incorporated by an employee of XXXXXXXXXX (the "Employee") under the CBCA. Subco is a taxable Canadian corporation and its one common share issued on incorporation for nominal consideration is held by the Employee. Subco is organized as a shelf corporation and has carried on no activities since its incorporation and has no assets or liabilities. Subco will be acquired by XXXXXXXXXX as described in paragraph 11 below."
2. In paragraph 11, delete the first subparagraph and replace with the following:
"XXXXXXXXXX will acquire the one common share of Subco held by the Employee for consideration equal to the fair market value of the one common share at that time."
3. In paragraph 15(b), third subparagraph, first line, delete the word "stated".
We confirm that the above changes will not affect the rulings given in the Ruling and that those rulings will continue to be binding as indicated therein.
Yours truly,
for Director
Reorganization and International Division
Income Tax Rulings and
Interpretations Directorate
Policy and Legislation Branch
2
.../cont'd
All rights reserved. Permission is granted to electronically copy and to print in hard copy for internal use only. No part of this information may be reproduced, modified, transmitted or redistributed in any form or by any means, electronic, mechanical, photocopying, recording or otherwise, or stored in a retrieval system for any purpose other than noted above (including sales), without prior written permission of Canada Revenue Agency, Ottawa, Ontario K1A 0L5
© Her Majesty the Queen in Right of Canada, 1999
Tous droits réservés. Il est permis de copier sous forme électronique ou d'imprimer pour un usage interne seulement. Toutefois, il est interdit de reproduire, de modifier, de transmettre ou de redistributer de l'information, sous quelque forme ou par quelque moyen que ce soit, de facon électronique, méchanique, photocopies ou autre, ou par stockage dans des systèmes d'extraction ou pour tout usage autre que ceux susmentionnés (incluant pour fin commerciale), sans l'autorisation écrite préalable de l'Agence du revenu du Canada, Ottawa, Ontario K1A 0L5.
© Sa Majesté la Reine du Chef du Canada, 1999