Principal Issues: 1) Should there be tax withholding on payments, that are not taxable per paragraph 81(1)(a), made to a participant of a PRPP who is an Indian? 2) If so, what documents should the plan administrator request from the participant to justify not withholding tax on such payments?

Position: 1) Yes, exception if a letter of authority is issued to the participant under subsection 153(1.1). 2) A copy of the letter of authority issued by the CRA to the participant per the discretionary power of the Minister.

Principal Issues: Would an entity, who is a non-profit organization per paragraph 149(1)(l), lose its tax-exempt status due to a clause in its constitution which provides that in the event of winding-up, amalgamation or dissolution, all of its assets are to be transferred to a municipal authority within the meaning of section 149(1)(c)?

Principal Issues: 1. Does the definition of member pursuant to subsection 135(4) apply to define a member of a cooperative corporation for the purpose of paragraph 136(2)(c)?

2. If the answer to question 1 is no, what is the definition of a member of a cooperative corporation?

Position: 1. No.
2. The term member will have the meaning ascribed in the statute under which the cooperative corporation was incorporated. It also depends on its charter and by-laws.

Principal Issues: Whether a joint election, as defined in subsection 60.03(1), can be made by a pensioner and a pension transferee where (1) the pensioner has become a bankrupt during a calendar year or (2) the pension transferee has become a bankrupt during a calendar year.

Position: Yes, in both situations.

Principal Issues: Whether subsection 256(1.3) applies when a child is 18 years old at the end of the taxation year of a corporation to determine whether that corporation is associated with another in a taxation year.

Position: Yes if the child was under 18 years of age at any time in the taxation year of the corporation.

Reasons: Wording of subsections 256(1) and 256(1.3).

XXXXXXXXXX 2015-061092
Sylvie Labarre, CPA, CA

December 8, 2015

Subject: Associated Corporations

3 December 2015 T.I. 2015-0613761E5 F - Capital Dividend Account-translation

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