Income Tax Severed Letters - 2020-08-05

Ruling

2020 Ruling 2019-0819191R3 F - Post-mortem planning - Pipeline

Unedited CRA Tags
84.1, 84(2), 245
pipeline transaction where the subject company funds the payment of the terminal taxes before being wound up

Principal Issues: Post-mortem planning.

Position: Favourable rulings provided.

Reasons: Previous positions and see below.

2019 Ruling 2018-0781491R3 - Split-up Butterfly

Unedited CRA Tags
Paragraph 55(3)(b), subsection 55(2)

Principal Issues: Do the Proposed Transactions qualify for the butterfly exemption under paragraph 55(3)(b)?

Position: Yes.

Reasons: Standard butterfly reorganization.