2 October 2015 T.I. 2012-0463801E5 F - Capital gains deduction - fishing license

Principal Issues: Whether the wording of clause 110.6(1.3)(a)(ii)(B) results that a corporation, to be a corporation referred to in subparagraph (a)(iv) of the definition of qualified farm or fishing property in subsection 110.6(1) for the purposes of clause 110.6(1.3)(a)(ii)(B), has to, throughout a period of at least 24 months, respect the test of paragraph (b) of the definition of share of the capital stock of a family farm or fishing corporation in subsection 110.6(1).

28 July 2015 T.I. 2015-0585431E5 F – Legal Fees-translation

Principal Issues: Are legal fees incurred against a hidden defect lawsuit following the disposition of an income-producing property deductible? If yes, what happens if they are incurred many years after the disposition of the property and there is no more property income?

10 October 2014 APFF Roundtable Q. 13, 2014-0538111C6 F - Signing Bonus for supply agreement

Principal Issues: 1) Is the amount received by a client as a result of a multi-year supply contract taxable under section 9 even if a part of the amount has not been paid yet?

2) May the supplier deduct the full amount in the year which the agreement was entered into?

Position: 1) & 2) Question of facts

Principal Issues: Will subsection 74.4(2) apply to both scenarios presented?

Position: No in the first scenario. May technically apply in the second scenario depending on the facts and circumstances.

Reasons: See below.

XXXXXXXXXX 2015-060156

Mr. Séguin

December 11, 2015

Dear Sir,

Subject: Subsection 74.4(2)

Principal Issues: Are funds accumulated in AgrInvest and Agri-Québec accounts eligible properties for the definition "share of the capital stock of a family farm or fishing corporation" for the capital gains deduction?

Position: Not applicable because their FMV is deemed to be nil by ss. 110.6(1.1).

Reasons: Application of 110.6(1.1).

XXXXXXXXXX 2015-058356

J. Lacharité, CPA, CGA

June 30, 2016

Dear Sir,

Subject: Capital gains deduction - contamination

Principal Issues: Will subsection 74.4(2) apply in the scenarios described?

Position: No in the first scenario. Probably in the second scenario. No in the third scenario but no comments on subsection 245(2).

Reasons: See below.

XXXXXXXXXX 2015-061340
M. Séguin

December 8, 2015

Dear Sir,

Subject: Paragraph 74.4(2)

Principal Issues: 1. Whether a severance payment to an employee who performed services on exploration projects would be part of the Canadian exploration expenses of a taxpayer.

2. Whether a severance payment to an employee who performed services on exploration projects would be part of the Canadian exploration and development overhead expenses of a taxpayer.

Position: 1. No. 2. No.

Principal Issues: Several questions regarding the medical expense tax credit.

Position: See document.

Reasons: See document.

XXXXXXXXXX 2014-052985
Sophie Lambert, CPA, CMA, DESS. FISC.

June 8, 2015

Dear Sir,

Subject: Fees paid to a nursing home

Principal Issues: What is the tax treatment of some sponsorship expenses made to a golf club?

Position: None. General comments.

Reasons: Question of fact

XXXXXXXXXX I. Landry, M. Fisc.

2016-063560

May 13, 2016

Dear Sir,

Subject: Sponsorship Expenses

This letter is in response to your email of March 3, 2016 in which you inquired as to the tax treatment of certain sponsorship expenses incurred in favour of a golf club.