Search - consideration

If not a partnership, the consideration received presumably would qualify as a share.] ... (f) of the financial services definition), it would not constitute the making of a supply for consideration (i.e., the financial institution would not receive consideration in return for receiving such distributions) so that no related ITC claims could be made. [CRA apparently did not regard the monthly distributions as deferred zero-rated consideration for the investment, even though the entitlement thereto was part of the bundle of rights (the partnership interest) received in consideration for the investment.] ...

Each MAG shareholder was given the choice of electing to receive either the “Cash Consideration” of US $20.54 per MAG share, or the (Pan American) “Share Consideration” which, in order to avoid the application of s. 85.1, included a nominal cash component of US $0.0001 per MAG share. However, this was subject to a requirement that the aggregate consideration be fixed at US $500,000,000 in cash, with the balance in Pan American shares. In fact, only around 1.71% of the MAG shares elected to receive the Cash Consideration election, so that the balance of the shares, subject to the Share Consideration option will, in fact, receive around US $4.56 per share in cash. ...

After quoting Waddams, The law of contracts, as to the meaning of “consideration” under the common law, she stated: In this case, by transferring its environmental obligations to the Receivers, the Appellant relieved itself of various environmental obligations or liabilities. In my view, this relief conferred a benefit on the Appellant and … constituted valuable consideration that may be characterized as "any other consideration" within the meaning of section 2(9) of the RSTA. ... Agence du revenu du Québec, 2021 QCCA 1068 under ETA s. 123(1) – consideration. ...

Treaty to impose tax on the royalty payments received by RBC and, in particular, whether they fell within the portion of the definition of “immovable property” in Art. 6(2) (the “fifth limb”) that referred to "rights to variable or fixed payments as consideration for the working of, or the right to work, mineral deposits, sources and other natural resources". ... Sulpetro has the latter but not the former. … Lady Rose went on to find that even If the rights of the royalty payer (now, BP) had amounted to a right to work the field, nonetheless RBC's right to royalty payments from BP did not amount to a right to "consideration for" such right to work. ... Furthermore, it was only payments made in return for the first grant of the rights by the landowner that fall within the definition of "consideration for" the right to work, so that payments made for the assignment or transfer of rights conferred on someone by the owner of the rights were not "consideration for" the right to work. ...

Comments of CRA on the effects of this new rule include: Under the new rule, where the (post-May 22, 2022) assignment agreement indicates that a part of the consideration is attributable to the reimbursement of a deposit paid by the assignor to the builder under the subject purchase and sale agreement, that deposit amount is excluded from the taxable amount of the assignment – whereas under the old regime, if the assignment was taxable, the total consideration for the assignment- including any portion referable to the assignment of the deposit- was taxable. Given that the amount of the new housing rebate is based on the total consideration for the taxable supply of the house, including any consideration paid by an assignee for a taxable assignment sale of an agreement to purchase the house from the builder (but excluding the amount attributable to a deposit assignment), the new rule will affect the Ontario or federal new housing rebate amounts. As only one new housing rebate application can be made for each new house, and the builder (“Builder A”) does not receive the consideration for the assignment of the purchase contract to the assignee: [T]he assignee purchaser may want to file their new housing rebate application directly with the CRA rather than through Builder A. ...

More precisely, the Manager agreed to relinquish its receipt of that X% of its fees, and the Funds agreed to pay the same percentage amounts to a special purpose non-resident Citibank-formed vehicle (“Funding Corp”) in consideration for Funding Corp paying the brokerage commissions. ... This turned principally on whether this consideration paid by the Funds to Funding Corp was tainted under para. ... Therefore, the consideration paid by the Funds to Funding Corp was tainted as Funding Corp was providing a management service. ...

He argued that since he had established that around ¼ of the payments received by him as cheques from a corporation, with which he did not deal at arm’s length, properly reimbursed him for business expenses, he had demolished the Minister’s “exact” assumption made in assessing him under s. 160 that the taxpayer had “provided no consideration for the cheques.” In rejecting this position, Monaghan JA stated that the taxpayer “places far too much emphasis on the word ‘exact’ and gives insufficient weight to the word ‘demolish’ in … Hickman. ” and further stated that “establishing some consideration for the cheques is not sufficient to demolish the Minister’s assumption,” noting in this regard that the “purpose of pleading the assumption is to provide the appellant with notice of the case the appellant has to meet” and here, the taxpayer knew that, in the context of a s. 160 assessment, he needed to establish that he had provided fair market consideration for the cheques, “not merely some consideration.” ...

Before agreeing with the position of the Minister that the “gratuity” was part of the consideration for the supply under the contract, Bocock J referred inter alia to U.K jurisprudence that [V]oluntary gratuities are not subject to VAT because voluntary gratuities are: ‘[N]o part of the contract that the customer should pay a charge for service ….’ ... The almost mandatory tip is enforceable by operation of contract law whereas a voluntary tip is not “consideration” because it is not payable by operation of law…. ... The King, 2022 TCC 141 under ETA – 123(1) – consideration. ...

7 May 2018- 12:11am CRA confirms that there is no requirement on a supplier to refund GST/HST on an excess charge Email this Content ETA s. 232(2) provides that where a supplier has charged GST/HST on consideration that is subsequently reduced, the supplier “may” then refund the GST/HST it charged on the excess consideration. ... As such, it is at the discretion of the [supplier] whether to refund the GST on the reduction in consideration. ...

In the first case, the the supply of recyclable scrap metal is made for consideration if the person acquiring it, namely a demolition company, attributes a value to that supply which it takes into account in the calculation of the price quoted for carrying out the demolition works with the consideration it received for its demolition work effectively being grossed up by this estimated amount. ... A similar gross up of consideration for reciprocal supplies might occur under ETA s. 153(1). ... Veronsaajien oikeudenvalvontayksikkö, [2019] EUECJ C-410/17 (10 January 2019) European Court of Justice (9 th Chamber) under ETA s. 123(1)- consideration. ...