Principal Issues: Whether an acquisition, holding, and disposition of certain “qualified investments” within the meaning of section 115.2 by partnerships through the services of a Canadian service provider and the provision of services by the Canadian service provider to the partnerships will, in and by themselves, cause non-resident partners of the top-tier partnership to be considered to be carrying on business in Canada for purposes of subsections 115(1) and 150(1) and Part XIV of the Act.
Position: No
Reasons: The services provided by the Canadian service provider to the partnerships will satisfy the requirements of subsection 115.2(2) and will not otherwise cause the non-resident members of the partnerships to be considered to be carrying on business in Canada.
