1.Whether, where a corporation is granted an option to acquire its own shares and the shares are subsequently sold to a Crown agent or a Crown corporation, subsection 149(10) will apply.
2.Whether, where the 90% or 100%, as the case may be, share ownership test is met, but a corporation has outstanding redeemable and retractable preferred shares, the corporation would be tax-exempt under paragraph 149(1)(d) of the Act.
1.If 100% in the case of a Crown agent or 90% in the case of a Crown corporation of the corporation's shares are acquired, subsection 149(10) will apply.
No comments in respect of the option to acquire shares.
2.The corporation would not be tax-exempt.