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.
In response to your memorandum of August 29, 1989 we advise that the above reference ruling is suitable for publication because it involves topics of current interest to the public, that is, the purification of a Canadian controlled private corporation and the crystallization of the capital gains deduction.
We have edited a copy of your draft publication which is enclosed for your consideration. Our suggestions which are not self evident are discussed below.
- 1. In paragraph 8, it is stated that Mr. Y is the brother of Mr. X. If ruling C is to have meaning, it is imperative that the shares be sold to someone who deals non-arm's length with Mr. X for the purposes of section 55 of the Act. We suggest that Mr. Y be described as the son of Mr. X.
- 2. The fact that the land for the house and the restaurant is XXX. We suggest that this aspect be eliminated by dealing the appropriate references in paragraphs 4 and 6.
We hope these comments are of assistance.
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© Her Majesty the Queen in Right of Canada, 1989
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© Sa Majesté la Reine du Chef du Canada, 1989
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