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.
Principal Issues: Whether an amalgamation will result in an acquisition of control of the predecessor corporations in a particular situation?
Position: Generally, no.
Reasons: Application of the law
XXXXXXXXXX 2005-013577
Fiona Harrison
June 17, 2005
Dear XXXXXXXXXX:
Re: Our file 2004-008776
Further to our telephone conversation of June 13, 2005, we wish to confirm that, in a situation where the three trustees of two discretionary trusts ("Trust1 and Trust2") have always been the same, and Trust1 owns all the shares of a corporation, Lossco, and Trust2 owns all the shares of a corporation, Profitco, the amalgamation of Lossco and Profitco will generally not result in an acquisition of control of either corporation.
We trust that the above comments are of assistance to you.
Yours truly,
Mark Symes
Corporate Reorganizations Section 1
Reorganizations and Resources Division
Income Tax Rulings Directorate
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, 2005
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, 2005
Email this Content