CRA confirms that it will entertain applications for late s. 56.4(7)(g) (letter) elections
The applicable CRA webpage indicates that, since no prescribed form has been published, the transferor and transferee must submit a letter (containing specified information) signed by each of them in order to make the joint election pursuant to s. 56.4(7)(g) regarding the avoidance of the application of s. 68.
CRA indicated that it does not expect to publish the prescribed form in the near future.
Regarding the situation where the parties had agreed to make the election without knowing that they were required to send in the election letter, CRA indicated that, given that s. 56.4(7)(g) was one of the provisions prescribed in Reg. 600, application could be made to extend the prescribed time for filing the election – and that this discretionary power would be exercised in light of its guidelines in IC 07-1.