Search - 屯门 安南都护府

8 October 2004 APFF Roundtable Q. 36, 2004-0087041C6 F- Option d'achat d'actions conférée à un consultant-- summary under Computation of Profit Summary Under Tax Topics- Income Tax Act- Section 9- Computation of Profit value of stock option granted to consultant generally is business income – and gain on exercise may also be business income CRA indicated that when a consultant receives a stock purchase option as payment for services rendered, the fair market value of the option on the date it was granted (which is a question of fact) less any amount paid to acquire the option is generally added to the consultant's business income under s. 9(1). ...

On a going-forward basis the CRA is willing to provide assurance on the tax treatment of the discretionary dividend shares, but only in the context of a ruling request – and thus will no longer express its views on this matter in Technical Interpretations or Roundtable responses. ...

Respecting the second question, CRA stated that the “Manual used … [in] audits of small and medium-sized businesses does not contain any information on the application of subsection 55(2) and the purpose test, in particular.” ...

., drawn on a bank account not belonging to the annuitant) – and, if so, whom should the receipt be issued to? ...

4 December 2018 TEI Roundtable Q. 1, 2018-0782341C6- Regulation 1103(1)-- summary under Subsection 1103(1) Summary Under Tax Topics- Income Tax Regulations- Regulation 1103- Subsection 1103(1) Reg. 1103(1) election does not affect subsequent years’ acquisitions Folio S3-F4-C1, para. 1.132 states: [U[nder [Reg.] 1103(1) …, a taxpayer may elect to transfer all properties otherwise included in Classes 2 through 12 (excluding Class 10.1) to Class 1 provided that all such properties were acquired for the purpose of gaining or producing income from the same business. ...

CRA indicated that the payments made during the 3 years likely qualified as gifts, as they were made at the discretion of the trustees – in which case, a donation tax credit could be claimed. ...

CRA indicated, likely “no” since once the estate administration was completed (or should have been completed), there would be no estate income (as the beneficial ownership of its property had passed to the residuary beneficiary) – or if the estate somehow were viewed as still earning income, such income would be payable to the beneficiary and, therefore, be income of the beneficiary under ss. 101(24) and 104(13) rather than of the estate. ...

11 October 2019 APFF Financial Strategies and Instruments Roundtable Q. 6, 2019-0813451C6 F- TFSA- Bequest and disclaimer-- summary under Paragraph 248(8)(b) Summary Under Tax Topics- Income Tax Act- Section 248- Subsection 248(8)- Paragraph 248(8)(b) transfer of TFSA to survivor on renunciation of bequest thereof occurred as a consequence of death Although an individual made a specific bequest under his will of his TFSA to his adult daughter, she executed a written renunciation of the bequest (that CRA went on to find was deemed by s. 248(9) to result in a “disclaimer” or a “release or surrender” for purposes of s. 248(8)(b),) so that following the TFSA's liquidation by the executor, the proceeds were instead transferred by the executor to the widow of the deceased – who then promptly contributed such proceeds to her own TFSA. ...

3 December 2019 CTF Roundtable Q. 9, 2019-0824421C6- Excluded Amount-Non-related Business exception-- summary under Subparagraph (e)(i) Summary Under Tax Topics- Income Tax Act- Section 120.4- Subsection 120.4(1)- Excluded Amount- Paragraph (e)- Subparagraph (e)(i) a transitional services agreement with an arm’s length purchaser can engage the TOSI rules The (e)(i) exclusion applied where the corporation in question (which presumably is paying dividends to a specified individual who was never relevantly engaged in its business) has in a previous year sold its business to an arm’s length corporation which continues to actively carry on that business – unless the source individual in question continues an active involvement in that business, for example, under a transitional services business, in which case the related business exception would not be available to the specified individual. ...

CRA responded that even though the property is purchased under a business expansion, this will not, in itself, prevent it from being considered a replacement property; and that there is no requirement that the replacement property be acquired after the former property is disposed of – so that the acquisition of the new property in advance of the disposition of the former property would not prevent it from being a replacement property. ...