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.
| 24(1) |
902473 |
| |
L.A. McCarron-McGuire |
| |
(613) 957-2092 |
| 19(1) |
October 15, 1990
Dear Sirs:
Re: Request for Technical Interpretation Paragraph 15(1)(c) of the Income Tax Act (Canada) (the "Act")
This letter is in response to yours of September 14, 1990 wherein you asked for our confirmation that the exception contained in paragraph 15(1)(c) of the Act will apply in the following situation:
A corporation confers on all owners of common shares of the capital stock of the corporation a right to buy a unit, the unit consisting of a common share and a warrant (or a fraction of a warrant) to purchase a common share.
It is our view that the exception in paragraph 15(1)(c) of the Act would apply to the right to acquire such a unit.
The foregoing expression of opinion is given in accordance with the practice referred to in paragraph 21 of Information Circular 70-6R2 dated September 28, 1990, and is not binding on Revenue Canada, Taxation.
Yours truly,
for DirectorReorganizations and Non-resident DivisionRulings DirectorateLegislative and Intergovernmental Affairs Branch
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© Her Majesty the Queen in Right of Canada, 1990
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© Sa Majesté la Reine du Chef du Canada, 1990
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