Search - consideration

For the purposes of these provisions, a gift is a voluntary transfer of real or personal property without valuable consideration. ... The general approach is to value the various interests taking into consideration the fair market value of the property itself, the current interest rates, the life expectancy of any life tenants, or current term certain tables, and any other factors relevant to the specific case. ...

In summary, you describe the following situation: XXXXXXXXXX In consideration, Canco agrees to pay the player a fixed fee during each year of the endorsement agreement. ... As concerns the application of Article XII of the Convention, it is our view that a payment for the use of or the right to use a "trade name" in a situation such as that described above can be considered to be a payment for the use of or the right to use a "trade mark" as noted above, and consequently, a payment of any kind received as consideration for the use of or the right to use a trade-name are royalties within the meaning of paragraph 4 of Article XII of the Convention. ...

If it is established that the arrangement is an RCA and its funds are invested in debt of the employer, the employer is subject to an income inclusion in accordance with subsection 56(11) of the Act if the employer has the use or enjoyment of the RCA funds for no consideration or for consideration less than the fair market value of such use or enjoyment. ...

Each partner may, however, file an election in respect of his or her partnership interest. 3.For purposes of determining a partner's gains accrued to February 22, 1994, the adjusted cost base of a partnership interest can be adjusted to take into consideration the income or loss of the partnership for the period up to February 22, 1994. ... Where an election is filed in respect of a partnership interest, subsection 110.6(23) of the draft legislation permits certain adjustments to be made to the adjusted cost base of a partnership interest, to ensure that the income or loss of the partnership, for the period up to February 22, 1994, that is reflected in the value of a partnership interest on that day, but that would otherwise not be reflected in the adjusted cost base of a partnership interest until the end of the fiscal period, will be taken into consideration for the purpose of determining the member's gains accrued to February 22, 1994. ...

A gift is a voluntary transfer of property without valuable consideration. A gift can be said to have been made where all of the following conditions are satisfied: (a)property (usually cash) is transferred by a donor to a donee; (b)the transfer is voluntary; and (c)no consideration or benefit accrues to the donor or to anyone designated by the donor as a result of the transfer. ...

In our view, consideration of issues (ii) and (iii) rely on the resolution of issue (i) in favour of the taxpayer. ... As a result, we would agree with your view that each case should be examined for the presence of recognized learning disabilities or behavioural problems of sufficient severity to warrant consideration for the credit under this provision. ...

However, where the consideration paid by the corporation includes a share of its capital stock, subsection 84(5) of the Act provides that for purposes of determining the amount paid by the corporation under subsection 84(3), the share is to be valued at an amount equal to the amount by which the PUC of the class of shares to which it belongs has been increased by virtue of the issue of the share. Consequently, assuming that all the shares are exchanged at the same time, where the aggregate PUC of the shares of a corporation issued upon an exchange of shares is equal to the aggregate PUC of the shares prior to the exchange, and there is no consideration other than shares, there would be no deemed dividend under subsection 84(3) of the Act resulting from the exchange. ...

That is, expenses incurred by a non-resident in earning income that is subject to Part XIII tax, with the exceptions of income that is eligible for an election under sections 216 or 217 of the Act, are not taken into consideration in the computation of the Part XIII tax. 961416 XXXXXXXXXX Jim Wilson (613) 957-2123 April 30, 1996 Dear Madam: Re: Section 80.5 of the Income Tax Act (the "Act") We are writing in response to your letter, which was not dated, wherein you asked for our comments concerning the tax treatment of a non-resident of Canada under the following circumstances. ... Expenses incurred by a non-resident in earning income that is subject to Part XIII tax, with the exception of income that is eligible for an election under sections 216 or 217 of the Act, are not taken into consideration in the computation of the Part XIII tax. ...

Department's Position The new reporting requirements set out in CICA Handbook Section 3860 are rather extensive and as suggested may have income tax implications that require consideration from a tax policy perspective. To the extent that you encounter such potential concerns they should be submitted to the Department of Finance for consideration. ...

In consideration for assignment of the Loan Forco receives $1,010 in cash which it deposits at the Bank (the Deposit). ... You have asked if the interest income earned by Forco on the Deposit and the $10 representing accrued interest which Forco receives from the Bank as part of the consideration for assignment of the Original Loan would be included in the income of Forco from an active business pursuant to subparagraph 95(2)(a)(ii) of the Act. ...