CRA rules that s. 248(21) can apply to a partial partition of a property

CRA ruled that s. 248(21) applied to a partition of property held in co-ownership into two sets of parcels (Property 1 and Property 2) such that each minority co-owner continued to hold the same co-ownership interest in each such property as before, but the two equal larger co-owners now had a double-sized co-ownership interest in Property 1 but no interest in Property 2, or vice versa. The point appeared to be that s. 248(21) can apply even though no one is acquiring outright ownership of any parcel, and some are not changing their percentage interests in any property at all.

Neal Armstrong. Summary of 2019 Ruling 2018-0787181R3 under s. 248(21).