7 July 1998 Income Tax Severed Letter 9816313 - Supplement to number 980770

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.

SUMMARY: Supplement to number 980770—ITA-212(1)(b)(vii)—Advance income tax ruling - Amendment to advance income tax ruling number 980770 issued in 1998.

Please note that the following document, although believed to be correct at the time of issue, may not represent the current position of the Department. Prenez note que ce document, bien qu'exact au moment émis, peut ne pas représenter la position actuelle du ministère.

PRINCIPAL ISSUES:

Owing to incorrect or inaccurate information provided by the representative of the applicant we received a request, following the issuance of the Ruling, for several minor amendments to the facts.

POSITION TAKEN:

Requested amendments were incorporated into the Ruling by way of a Supplementary Ruling document.

REASONS FOR POSITION TAKEN:

While the amendments viewed collectively do not affect the Rulings given, the “Facts” set out in the Ruling should accurately reflect the actual situation.

XXXXXXXXXX 981631

Attention: XXXXXXXXXX

XXXXXXXXXX, 1998

Sir/Madam,

Re: Advance Income Tax Ruling XXXXXXXXXX #980770 (the “Ruling”)

This is in reply to your letter dated XXXXXXXXXX in which you requested certain amendments to the Ruling issued to the above-referenced taxpayer on XXXXXXXXXX 1998.

Following our review of your request the Ruling is revised as follows:

1. In paragraph 2, lines 1 and 2, the words “XXXXXXXXXX (hereinafter “Mr. W”)” are replaced by the words “XXXXXXXXXX (hereinafter “Mrs. W”)”

2. In paragraph 4, line 2, the words “having five owners with equal participation (XXXXXXXXXX %)” are replaced by the words “having XXXXXXXXXX owners of which XXXXXXXXXX each have a participation of XXXXXXXXXX %, one has a participation of XXXXXXXXXX % and one has a participation of XXXXXXXXXX %.

3. In paragraph 5, lines 3 and 4, the words “in equal proportions (XXXXXXXXXX %) by the XXXXXXXXXX owners of Venture” are replaced by the words “by the XXXXXXXXXX owners of Venture in the same proportions (i.e. XXXXXXXXXX) as currently held in Venture.

4. In paragraph 6, line 1, the words “to supervise the construction and” are deleted.

5. In paragraph 12, subparagraph 2, line 4, the reference to “paragraph 10” is replaced by a reference to “paragraph 11”.

6. In paragraph 14, subparagraph C), and paragraph 18, subparagraph D), the heading “Repayment” is replaced by the heading “Reduction of Cash Credit” and Reduction of Credit Facility”, respectively.

Notwithstanding the above-mentioned changes, we confirm that the Ruling will continue to be binding on the Department in the manner described therein, provided that the proposed transactions are completed before XXXXXXXXXX.

Yours truly,

for Director Financial Industries Division Income Tax Rulings and Interpretations Directorate Policy and Legislation Branch