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: Transfer of asset to a REIT by a tax-exempt entity
Position: Rulings given
Reasons: Complies with the Act
XXXXXXXXXX 2005-016057
XXXXXXXXXX, 2006
Dear XXXXXXXXXX:
Re: XXXXXXXXXX
Advance Income Tax Ruling
This is in reply to your letter of XXXXXXXXXX, in which you requested an Advance Income Tax Ruling on behalf of the above named taxpayer. We also acknowledge the information provided in subsequent correspondence in connection with your request.
As indicated in a letter to you dated October 20, 2005, your file (2005-014035) was closed as a result of the moratorium on advance income tax rulings involving flow-through entities announced by the Minister of Finance on September 19, 2005. As per your request, your file has been re-activated, as file 2005-016057, in November 2005 when the moratorium was lifted.
We understand that, to the best of your knowledge and that of the taxpayer involved, none of the issues involved in this Ruling request:
(i) is in an earlier return of the taxpayer or a related person;
(ii) is being considered by a Tax Services Office or Taxation Center in connection with a previously filed tax return of the taxpayer or a related person;
(iii) is under objection by the taxpayer or a related person;
(iv) is before the courts or, if a judgment has been issued, the time limit for appeal to a higher court has not expired; or
(v) is the subject of a Ruling previously issued by the Directorate.
Unless otherwise stated, all references to a statute are to the Income Tax Act R.S.C. 1985 (5th Supp.), c. 1, as amended, (the "Act") and all terms and conditions used herein that are defined in the Act have the meaning given in such definition unless otherwise indicated.
Our understanding of the facts, proposed transactions and purposes of the proposed transactions is as follows:
Facts
1. XXXXXXXXXX ("Canco") was incorporated on XXXXXXXXXX under the Canada Business Corporations Act (the "CBCA"). Canco is an investment vehicle for approximately XXXXXXXXXX (the "Shareholders") all owning common shares in the capital of Canco (the "Canco Common Shares"). XXXXXXXXXX. XXXXXXXXXX acquired its shares of Canco on XXXXXXXXXX. Canco currently has XXXXXXXXXX common shares outstanding. Canco has only a single class or series of shares issued and outstanding.
2. Canco is a "private corporation" as defined by subsection 89(1) of the Act and complies with subparagraph 149(1)(o.2)(ii) of the Act and with subparagraph 149(1)(o.2)(iv) on the assumption that the recommended amendment in the Comfort Letter is enacted.
3. Canco's real estate properties (the "Portfolio") presently consist of XXXXXXXXXX . All of the Portfolio is located in XXXXXXXXXX.
4. Canco, the Shareholders and XXXXXXXXXX ("LP") (as advisor and manager) are parties to an investment agreement dated XXXXXXXXXX, as amended and restated, (the "Investment Agreement") which, among other things, governs the business and affairs of Canco. All the partners of LP are residents of Canada for purposes of the Act.
The Board of Directors of Canco recently approved certain proposed amendments to the Investment Agreement, which the Shareholders approved at a meeting held on XXXXXXXXXX. The amendments are noted in paragraphs 5 to 7.
Such amendments were passed regardless of whether it is decided to proceed with the proposed transactions. If it is decided to proceed with the REIT, the Investment Agreement, as amended, will be further amended to allow for the implementation of the proposed transactions.
5. Pursuant to the Investment Agreement prior to the amendments thereto approved by the Shareholders, any investor or group of investors that holds at least XXXXXXXXXX% of the issued and outstanding shares of Canco and any shareholder of Canco who was entitled to nominate a board member prior to XXXXXXXXXX is entitled to appoint a nominee to the board of directors of Canco. The reference to "and any shareholder of Canco who was entitled to nominate a board member prior to XXXXXXXXXX* was deleted under the amendments approved by the Shareholders. At present, Canco has XXXXXXXXXX directors, of whom XXXXXXXXXX are nominees of LP. XXXXXXXXXX of the total number of directors in office from time to time constitutes a quorum, provided that a majority of those present are nominees of Shareholders.
6. Pursuant to the Investment Agreement prior to the amendments thereto approved by the Shareholders, the Shareholders had the right between XXXXXXXXXX and XXXXXXXXXX in each year to elect to have Canco purchase for cancellation their Canco Common Shares for cash at a price equal to XXXXXXXXXX% of net asset value. The amendments approved by the Shareholders provide that the Shareholders have the right to elect XXXXXXXXXX to have Canco purchase for cancellation all or any part of their shares for cash at a price of XXXXXXXXXX% of net asset value. This right is limited by the fact that Canco is not required to purchase more than XXXXXXXXXX% of its outstanding Canco Common Shares in any one fiscal year and has the right to suspend the purchase of such shares in certain circumstances.
7. Pursuant to the Investment Agreement prior to the amendments thereto approved by the Shareholders, during the period between XXXXXXXXXX and XXXXXXXXXX (the "Special Election Period"), all Shareholders had the right to elect to require Canco to purchase for cancellation all, but not less than all, of their Canco Common Shares on a net asset value basis, less estimated selling costs associated with the sale of properties, but otherwise without any further discount to the price ("the Special Election Share Redemption Price"). The amendments approved by the Shareholders change the period to be between XXXXXXXXXX to XXXXXXXXXX and provide that Shareholders have the right to elect in respect of all or any part of the Canco Common Shares at XXXXXXXXXX% of net asset value as at XXXXXXXXXX plus any net income attributed to such shares (computed in accordance with a formula) up to the time of repurchase of such shares ("the New XXXXXXXXXX Special Election Share Redemption Price"). In the event that following such election, the net asset value of Canco as of XXXXXXXXXX minus the aggregate amount necessary to purchase the shares (the "Aggregate Redemption Amount") is equal to or greater than $XXXXXXXXXX, then Canco's existence will continue until XXXXXXXXXX . On the other hand, if the net asset value of Canco as of XXXXXXXXXX minus the Aggregate Redemption Amount is less than $XXXXXXXXXX, Canco will be wound up. The requirements expressed in the last two sentences were deleted in the amendments approved by the Shareholders, and the agreement provides that holders of at least XXXXXXXXXX% of the outstanding Canco Common Shares may authorize the sale of Canco's assets and a dissolution of Canco.
8. Pursuant to a management agreement dated XXXXXXXXXX, as amended and restated (the "Canco Management Agreement"), LP has been appointed as the advisor and manager for Canco's property and investments. LP's duties under the Canco Management Agreement include advising Canco with respect to the acquisition, disposition, management, and financing of Canco's properties and investments.
9. On XXXXXXXXXX, the Board of Directors of Canco appointed a special committee (the "Special Committee") consisting of non-LP directors. The Special Committee's mandate is to review, analyze, and consider issues that arise from time to time in connection with the proposed transactions as described below.
Proposed Transactions
10. The proposed transactions will occur in the following sequence.
11. Subject to receipt of favourable tax rulings, the Board of Directors will hold a special meeting to approve the proposed transactions as described below.
12. Assuming that the Board of Directors approves the transactions described below, Canco shall call a Shareholders meeting in XXXXXXXXXX at which the Shareholders will be asked to approve:
(a) The proposed transactions and all actions and documents (including a closing agenda) required to implement the proposed transactions; and
(b) All amendments to the Investment Agreement necessary to allow for the completion of the proposed transactions, including:
(i) That Canco undertake a stock split by filing articles of amendment such that each share issued and outstanding shall have an approximate fair market value ("FMV") of $XXXXXXXXXX;
(ii) That Canco will have a call right for the purchase for cancellation of all but one of the Canco Common Shares held by each Shareholder for FMV;
(iii) To allow for the subscription of units in a real estate investment trust (the "REIT") as further described below; and
(iv) To authorize and permit the sale of the Portfolio to the REIT as further described below.
13. Canco will purchase for cancellation, for the New XXXXXXXXXX Special Election Share Redemption Price, the Canco Common Shares held by each Shareholder who elects, pursuant to the right described in paragraph 7 hereof, (each an "Electing Shareholder") to sell all or any part of his shares for cancellation prior to the commencement of the transactions described below.
14. Canco will pay at the time of the purchase for cancellation the New XXXXXXXXXX Special Election Share Redemption Price to each Electing Shareholder in: (i) cash; (ii) notes (the "Special Election Redemption Notes"); or (iii) any combination of (i) and (ii).
15. The terms of any Special Election Redemption Notes are to be determined and shall be settled on commercially reasonable terms.
16. The REIT will be created in XXXXXXXXXX by way of a declaration of trust (the "Declaration of Trust") governed by the laws of XXXXXXXXXX. XXXXXXXXXX, an officer of LP, (the "Settlor") will be the settlor of the REIT with the payment of $XXXXXXXXXX for the initial unit (the "Initial Unit"). The initial trustees will be the Settlor and XXXXXXXXXX whom are also officers of LP and all of whom are residents in Canada for purposes of the Act. Any investor or group of investors that holds at least XXXXXXXXXX % of the units of the REIT will be entitled to appoint a member to the Board of Trustees of the REIT. LP will be entitled to nominate XXXXXXXXXX members to the Board of Trustees, provided that a majority of trustees shall be appointed by the investors. All trustee decisions will require majority approval of the Board of Trustees.
17. The Declaration of Trust will provide that:
(a) The interests of each beneficiary will be described by reference to units of the REIT, of which there will only be one class;
(b) The only undertaking of the REIT will be as described in paragraph 132(6)(b) of the Act;
(c) The units of the REIT will be redeemable at the demand of their holder on the following terms:
(i) The FMV of the assets and liabilities of the REIT will be determined as at the end of each calendar XXXXXXXXXX (each a "Valuation Date") in accordance with the management agreement described herein in paragraph 26 below. All assets and liabilities of the REIT will be valued by LP, except that each property of the REIT will be valued by an external valuator at least once per calendar year. Therefore, approximately XXXXXXXXXX the properties being valued as of any particular Valuation Date will be valued by an external valuator;
(ii) Requests for redemption of units by a holder must be made at least XXXXXXXXXX days prior to a Valuation Date. Redemptions will be effective on the relevant Valuation Date. Within XXXXXXXXXX days of the date of redemption, the REIT will pay the redemption proceeds as described below;
(iii) Units may be redeemed for any combination of cash or a note (the "Redemption Note"), with the sum of the cash and principal amount of the Redemption Note equal to XXXXXXXXXX% of the FMV of the redeemed units as determined for the relevant Valuation Date;
(iv) Redemption Notes shall be dated as of the relevant Valuation Date and shall bear interest accruing from such relevant Valuation Date at a rate equal to the Canada Three-Year Yield on the relevant Valuation Date. The "Canada Three-Year Yield" on any date means the yield to maturity on such date (expressed as a percentage), assuming semi-annual compounding, which a non-callable Government of Canada bond would carry if issued in Canadian dollars in Canada at 100% of its principal amount on such date with a term to maturity of approximately three years, which Canada Three-Year Yield shall be determined by a major Canadian investment dealer selected by the REIT. Interest will be payable in cash on a XXXXXXXXXX basis. The REIT will be entitled to repay the principal amount and any accrued and unpaid interest at any time. The holder of the Redemption Note will be entitled to payment of the principal amount no later than XXXXXXXXXX years following the relevant Valuation Date; and
(v) Redemption of units of the REIT may be suspended by the REIT in the event that, in the judgment of the trustees, conditions exist as a result of which disposition or valuation of properties of the REIT is not reasonably practical; such conditions could relate, without limitation, to the time required to dispose of XXXXXXXXXX investment at a sale price reflective of its value, leasing progress as a factor in valuation and the necessity of a purchaser obtaining mortgage financing;
(d) The units of the REIT will not be listed on any stock exchange;
(e) Net distributable cash flow (to be defined in the Declaration of Trust) will be distributed XXXXXXXXXX, no later than XXXXXXXXXX days following the XXXXXXXXXX. On the last business day of each calendar year, additional distributions will be payable to unitholders so as to ensure that the REIT has no liability for Part I tax for that year. Distributions will be payable in cash or by issuing additional units of the REIT, or any combination of cash and units of the REIT;
(f) All trustees of the REIT at all times will be residents of Canada for purposes of the Act and the REIT will be governed by a board of trustees; and
(g) The taxation year-end of the REIT will be XXXXXXXXXX.
18. It is intended that the REIT will qualify as a trust governed by the XXXXXXXXXX. Therefore, the unitholders (beneficiaries) will not, in their capacity as unitholders (beneficiaries), be liable for any act, default, obligation or liability of the REIT or any of its trustee(s).
19. Unitholders will be required to confirm their tax residency to the REIT, and in the event that the percentage of units held by non-residents of Canada for purposes of the Act exceeds XXXXXXXXXX% of the total number of issued and outstanding units, the REIT will be entitled to redeem a sufficient number of units so as to ensure that the percentage of units held by non-residents of Canada does not exceed XXXXXXXXXX% of the total number of issued and outstanding units.
20. Once the REIT has been established, each of the parties to the agreements referred to herein (being LP, Canco and the REIT) will enter into an agreement which will provide that they shall enter into the applicable agreements which shall be completed in the order indicated subject to closing conditions.
21. Subsequent to the REIT having received at least XXXXXXXXXX subscriptions for units (which will be subsequently issued at the time described in paragraph 29 hereof), Canco will purchase for cancellation all but one Canco Common Share from each Shareholder for FMV to be paid by way of non-interest bearing demand promissory notes (the "Canco Promissory Notes"). The FMV per share will be determined based on the FMV of the assets, less the value of liabilities of Canco. The effective time of the purchase for cancellation will be at a time to be determined (the "Purchase for Cancellation Time"). The remaining Canco Common Share held by each Shareholder will have a nominal FMV (i.e. approximately $XXXXXXXXXX per share). If necessary for corporate law purposes, prior to such purchases for cancellation, the stated capital of Canco may be reduced in the manner provided in the CBCA.
22. Immediately after the Purchase for Cancellation Time, each Shareholder will be granted a put right by LP giving each Shareholder the right to sell to LP its remaining Canco Common Share at FMV (the "Put Right"), which the parties will determine to be $XXXXXXXXXX per share. LP will not be granted by the shareholders of Canco any rights to acquire shares of Canco.
23. At a time to be determined XXXXXXXXXX after the Purchase for Cancellation Time, the Shareholders will exercise the Put Right (the "Exercise of Put Time") and sell their remaining Canco Common Shares to LP.
24. After the Exercise of Put Time but before the Portfolio Sale Time, the Settlor will transfer to Canco the Initial Unit for a consideration of $XXXXXXXXXX.
25. At a time to be determined XXXXXXXXXX after the Exercise of Put Time, Canco will enter into an agreement of purchase and sale with the REIT pursuant to which it will sell the beneficial ownership of all of its Portfolio and other assets to the REIT for the FMV of the Portfolio and other assets in consideration of: (i) the assumption of mortgages in respect of the Portfolio and other liabilities (including any Special Election Redemption Notes outstanding); and (ii) the balance in units of the REIT valued at a price of $XXXXXXXXXX per unit. The FMV of the Portfolio will be determined by LP. The sale will occur at the effective time, which will be stated in the agreement of purchase and sale and in the closing agenda (the "Portfolio Sale Time"). The agreement will allocate the purchase price between land and buildings and other assets such as cash and accounts receivable on a reasonable basis. Canco will remain the registered legal owner of the Portfolio and will enter into a standard nominee agreement with the REIT, pursuant to which Canco will be appointed to act as the REIT's nominee with respect to the interests and rights of the REIT in the Portfolio.
26. At the Portfolio Sale Time, the Canco Management Agreement will be terminated and the REIT will enter into a management agreement, (the "REIT Management Agreement") with LP pursuant to which LP will act as manager and advisor to the REIT and its Portfolio. LP's duties under the REIT Management Agreement will include, among other things: (i) advising the REIT generally as to its acquisitions, developments and dispositions of properties; (ii) managing, leasing and arranging the financing, acquisitions and dispositions of the REIT's properties and investments; and (iii) performing all management, administrative and clerical functions for the REIT.
27. The REIT will prepare an offering memorandum (the "Offering Memorandum") for distribution to investors XXXXXXXXXX. The Offering Memorandum will comply with the requirements in each of the provinces in which the REIT will offer units (that is in each province in which the investors reside or are based). Units of the REIT distributed to the public concurrent with or after the offering memorandum in respect of the REIT being filed will be lawful and will be made under the specific terms, conditions and requirements described in the offering memorandum.
28. The REIT will also file a non-offering prospectus with the XXXXXXXXXX. The REIT does not plan to sell or offer securities by way of such non-offering prospectus, but rather by way of the Offering Memorandum described in paragraph 27 above. As a reporting issuer in XXXXXXXXXX, the REIT will be required to prepare its financial statements in accordance with the requirements of the XXXXXXXXXX, which are currently Canadian GAAP.
The XXXXXXXXXX has stated, in Companion Policy to National Instrument 81-106, that as a general matter REITs are not considered to be mutual funds. While there was no specific letter issued by the XXXXXXXXXX to Canco, the XXXXXXXXXX has confirmed this point by phone to Canco's representatives. Because the REIT will not be a mutual fund for securities law purposes, it will not be subject to any of the redemption requirements of National Instrument 81-102.
29. At a time to be determined XXXXXXXXXX after the Portfolio Sale Time (the "Offering Closing Time") the REIT will complete the private placement issuance of units at $XXXXXXXXXX per unit to at least XXXXXXXXXX qualified investors (each holding a "block of units", as defined for the purposes of the Income Tax Regulations (the "Regulations") and having a value greater than $XXXXXXXXXX) in the REIT. The investors are intended to be pension funds, foundations, charities, financial institutions and other "accredited purchasers" (as defined under the XXXXXXXXXX). It is not intended that the investors will be non-residents of Canada for purposes of the Act.
30. At this point in time Canco will beneficially own only REIT units. At a time to be determined XXXXXXXXXX after the Offering Closing Time, Canco will repay the Canco Promissory Notes owing to Shareholders by the distribution of all the units of the REIT it holds to the Shareholders. It is intended that the FMV of the REIT units transferred by Canco will be equal to the adjusted cost base thereof and the principal amount of the Canco Promissory Notes.
31. The REIT will elect under subsection 132(6.1) of the Act in its return of income for its first taxation year.
32. The proceeds of subscriptions for units of the REIT received from subscribers other than Canco are expected to be approximately $XXXXXXXXXX and will be used for general operating purposes.
Purpose of the Proposed Transactions
33. The purpose of the proposed transactions is to create the REIT so as to provide the Shareholders with direct ownership of a new investment vehicle, which will be more effective with respect to attracting capital from new sources, and to provide additional liquidity for the Shareholders. The plan for the REIT in both the middle and long term is to grow the asset base, improve diversification and lower the overall risk of the portfolio by continuing to acquire XXXXXXXXXX in major urban centres in Canada. The REIT may, at some future date, add XXXXXXXXXX to the mix but that would only be with the approval of the investors.
The transfer of the Portfolio from Canco to the REIT is not being undertaken for the purpose of reducing the income tax liability of Canco, the LP and the shareholders in respect of the ownership of the Portfolio.
Rulings Given
The rulings given hereunder are based solely on the facts and proposed transactions described above. The documentation submitted with your request does not form part of the facts and proposed transactions and any references thereto are provided solely for the convenience of the reader.
We have not been provided, inter alia, with a copy of the declaration of trust and of the offering memorandum, at the time of the issuance of this ruling letter, because these two documents have not been drafted at this time. Accordingly, in accordance with Information Circular 70-6R5 if there is a material omission or misrepresentation in the description of the proposed transactions herein by reason of the declaration of trust, the offering memorandum or any other documentation referred to herein not being available at the time of issuance of the rulings, the rulings given herein will be considered invalid and the CRA will not be bound by it. In any event, we understand that a copy of the draft and final declaration of trust and a copy of the draft and final offering memorandum will be sent to XXXXXXXXXX for his review and comment (as he deems necessary) when they will become available.
Provided that the preceding statements constitute a complete and accurate disclosure of all the relevant facts, proposed transactions, and purposes of the proposed transactions, and provided further that the proposed transactions are carried out as described above, our Rulings are as follows:
We confirm that
A. The issuance by Canco of the Special Election Share Redemption Notes and the Canco Promissory Notes as consideration for the purchase for cancellation of Canco Common Shares described in paragraphs 13 and 21 hereof will not constitute "borrowed money" within the meaning of clause 149(1)(o.2)(ii)(C) of the Act and, therefore, Canco will not cease to be exempt from Part I tax pursuant to paragraph 149(1)(o.2) of the Act solely due to the purchase of the Canco Common Shares for cancellation and issuance of the Special Election Share Redemption Notes or Canco Promissory Notes as payment thereof.
B. Provided that Canco is exempt from tax pursuant to subsection 149(1) of the Act at all times between the date of its incorporation and the Purchase for Cancellation Time described in paragraph 21 above, subsection 227(14) of the Act will apply so that Canco will not be subject to Part VI.1 tax in respect of any deemed dividend that would result from the application of subsection 84(3) of the Act to the purchases for cancellation of Canco Common Shares described in paragraphs 13 and 21 hereof in the event the Canco Common Shares were treated as "taxable preferred shares" or "short-term preferred shares" within the meaning of the Act.
C. The exercise of the Put Right will result in Canco ceasing to comply with subparagraph 149(1)(o.2)(iv) of the Act at the Exercise of Put Time and, as a result, subsection 149(10) of the Act will apply so that:
(i) The taxation year of Canco that otherwise would have included the Exercise of Put Time will be deemed to have ended immediately before the Exercise of Put Time and a new taxation year of Canco will be deemed to have begun at the Exercise of Put Time; and
(ii) Canco will be deemed to have disposed, at the time that is immediately before the deemed taxation year end described in Ruling C (i) above, of all the property owned by it immediately before the Exercise of Put Time for an amount equal to the FMV of the property at the Exercise of Put Time, and to have reacquired the property at the Exercise of Put Time at a cost equal to the FMV of the property at the Exercise of Put Time.
D. The cost of the property determined in Ruling C (ii) above will constitute the capital cost of the property for Canco where the property is depreciable property.
E. Paragraph 13(7)(e) of the Act will not apply to the deemed disposition described in Ruling C (ii) above and, as a result, the cost and capital cost, as the case may be, for the REIT of the Portfolio that it will acquire at the Portfolio Sale Time will be equal to the FMV of the Portfolio at the Portfolio Sale Time.
F. The adjusted cost base for Canco of the units of the REIT will be equal to the excess of the FMV of the Portfolio and other assets sold over the amount of mortgages and liabilities assumed.
G. The REIT will qualify as a "unit trust" pursuant to subparagraph 108(2)(a)(i) of the Act.
H. The units of the REIT will constitute a class of units qualified for distribution to the public for the purposes of subparagraph 4801(a)(i) and paragraph 4803(2)(a) of the Regulations.
I. Provided it complies with the provisions of paragraphs 132(6)(b) of the Act and 4801(b) of the Regulations, the REIT will qualify as a "mutual fund trust" within the meaning of subsection 132(6) of the Act.
Nothing in this Advance Income Tax Ruling should be construed as implying that we are ruling on, or have considered or discussed with you any tax consequences relating to the facts and proposed transactions described herein other than those specifically described in the Rulings given above. More particularly, no Ruling is provided herein with respect to:
(i) The proposed transactions described in paragraph 12(b)(i) and the last sentence of paragraph 21 hereof;
(ii) The fair market value or adjusted cost base of any property referred to herein, or the paid-up capital of any shares referred to herein; and
(iii) The application of section 245 of the Act.
The Rulings are given subject to the limitations and qualifications set out in Information Circular 70-6R5 and are binding on the Canada Revenue Agency provided that the proposed transactions are completed within 12 months of the date of issuance of the present letter.
Opinions given
Provided that subsection 149(1) (o.2) is amended as suggested in the Comfort Letter referred to in 1 above and that Canco has otherwise complied with the provisions of subparagraphs 149(1)(o.2)(ii) and (iv) of the Act at all times between the date of its incorporation and the deemed taxation year-end described in Ruling C (i) above, Canco will not lose its exemption from Part I tax for any of its taxation years ending before the Exercise of Put Time described in Ruling C (i) above solely as a consequence of the proposed transactions described above.
Subparagraph 108(2)(a)(i) of the Act requires that a unit trust accept, at the demand of the holder thereof, the surrender of units. Therefore, it is our opinion that should a suspension of the right to redeem units of the REIT occur (as described in paragraph 17(c)(v) hereof) and that suspension exceeds a period of more than one year, the REIT will cease to qualify on the anniversary date of that one year period as a unit trust and a mutual fund trust for the purposes of the Act.
The foregoing opinions are not an advance income tax ruling and, as explained in paragraph 22 of Information Circular 70-6R5 referred to above, are not bindings on the CRA.
Yours truly,
XXXXXXXXXX
Section Manager
For Division Director
International & Trusts Division
Income Tax Rulings Directorate
Legislative Policy and Regulatory Affairs Branch
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, 2006
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, 2006