Search - consideration

Conversely, a Canadian taxpayer might pay consideration to related non-residents (“Inbound Charges”). ... This publication also highlights factors that should be given consideration for particular types of businesses. ... There are other Canadian income tax considerations which should be addressed by USco. ...

Some areas of major further consideration Halvorson: Could you discuss some of the main technical issues raised in the submissions, and whether the government is considering any changes to address them? ... These are all important considerations when considering what is an appropriate effective date. ... We will need to give further consideration to this. A number of submissions also describe what they perceive to be purely domestic entities or groups that they view as being outside the policy scope of the EIFEL rules, but which do not come within the excluded entity definition, because, e.g., of the requirement that all or substantially all of the interest and financing expenses of an entity be paid to persons other than tax-indifferent investors. ...

The Queen CRA Response The relevant facts The issues considered in the case Federal Court of Appeal Some key considerations from the decision Moderator: Christine Van Cauwenberghe, LLB, CFP, RRC, TEP, Winnipeg: IG Wealth Management Panelists: Michael Cadesky, FCPA, FCA, FTIHK, CTA, TEP, Toronto: Cadesky Tax; Kim. ... Some key considerations from the decision When contemplating the establishment of a trust which will acquire securities of an employer to be held for the benefit of employees, consideration of the EBP rules is advised. ...

That subclause provides that, if a particular foreign affiliate of a taxpayer provides services to another foreign affiliate of the taxpayer, then, to the extent that amounts paid by the other foreign affiliate in consideration for the services are deductible in computing its foreign accrual property income ("FAPI") (as defined in subsection 95(1) of the Act), these amounts are deemed to be income of the particular foreign affiliate from a business other than an active business – and are therefore included in the particular foreign affiliate's FAPI. ... A wholly-owned, non-resident subsidiary corporation of XXXXX ("Manager") provides asset management and investment advisory services in respect of Opco in consideration for a management fee. ... We are therefore prepared to recommend to the Minister of Finance that the Act be amended to provide that, effective for taxation years of foreign affiliates ending after 2016, subclause 95(2)(b)(i)(B)(I) does not apply in respect of income of a foreign affiliate (''FA1") of a taxpayer from the provision of services, to the extent that conditions generally analogous to those in clause 95(2)(a)(ii)(D) are satisfied, including in particular the following conditions: The income derives from amounts paid or payable by another foreign affiliate (''FA2") of the taxpayer in consideration for the services; The amounts paid or payable are for expenditures incurred by FA2 for the purpose of gaining or producing income from property; The property is shares of another foreign affiliate ("FA3") that are "excluded property" of FA2 (as defined in subsection 95(1)); and The Canadian taxpayer has a "qualifying interest" (as defined in paragraph 95(2)(m) of the Act) in FA1, FA2 and FA3. ...

Opco then transferred Asset 2 to Newco in consideration for shares of Newco. ... Paragraph 74.4(3)(a) provides as follows: (a) in the case of a transfer of property to a corporation, the amount, if any, by which the fair market value of the property at the time of the transfer exceeds the total of (i) the fair market value, at the time of the transfer, of the consideration (other than consideration that is excluded consideration at the particular time) received by the transferor for the property, and (ii) the fair market value, at the time of receipt, of any consideration (other than consideration that is excluded consideration at the particular time) received by the transferor at or before the particular time from the corporation or from a person with whom the transferor deals at arm’s length, in exchange for excluded consideration previously received by the transferor as consideration for the property or for excluded consideration substituted for such consideration; Subparagraph 74.4(3)(a)(i) takes into account consideration received on the initial transfer and, therefore, would not apply to an exchange of shares under a subsequent refreeze. ... CRA Response (B) Subparagraph 74.4(3)(a)(ii) will reduce the outstanding amount by the fair market value, at the time of receipt, of consideration from the corporation in exchange for excluded consideration previously received by the transferor as consideration for the property or for excluded consideration substituted for such consideration. ...

The reimbursement to the agent would not constitute consideration for a supply and would not be subject to GST/HST. ... In our view, consideration as to the application of tariff item 9993.00.00 is irrelevant. ... VendorCo will not pay or receive any consideration from Corporation A and Corporation B in connection with these agreements. ...

The rules stipulated in subsection 85(1) permit a taxpayer to transfer on a rollover basis an “eligible property” to a taxable Canadian corporation for consideration that includes shares of the capital stock of the corporation. ... The question of whether a loan made by a beneficiary or the assumption by the beneficiary of a hypothec constitutes consideration for the acquisition of an interest in the trust is a question of fact which cannot be determined before an examination of all the facts and relevant documentation. ...

Whether a particular apportionment of the consideration paid is reflective of the actual payments described in the exemption under subparagraph 212(1)(d)(vi) depends on the legal nature of what is being provided under the mixed contract, the relationship between the parties and the facts of the particular situation including the commercial reality of the parties and the consideration paid in these circumstances. In determining if an apportionment provided under a mixed contract is reflective of the obligation of the parties under subsection 212(1), consideration would be given, amongst others, to the terms of the mixed contract and to whether the parties have divergent interests in respect of this apportionment. ... Such discretionary relief is granted on a case-by-case basis, by the appropriate delegated authority, pursuant to subsection 220(2.01), with due consideration to all of the relevant circumstances. ...

It looks like the share consideration to be received by a shareholder of a predecessor corporation may be reduced by a repurchase by Parent of shares issued as consideration for shares of a predecessor corporation for $1 and the value of the shares repurchase would correspond to the indemnity claim made by the Parent. ... In this situation, the reduction in value of the shares held by the Target shareholders is made as consideration for the settlement of the indemnity claim. ... Accordingly, the surrender by the Taxpayer of their common shares of US Pubco as consideration for the receipt of common shares of US Pubco Spinco does not constitute an “eligible distribution” contemplated by section 86.1. ...

We’re not doing a carbon-copy of Action 4, but it is good at capturing the various considerations at play. ... Situations that you actually think, given the purpose of the group ratio as a proxy for actual external leverage characteristics, that may warrant the benefit of consideration. ... These are some of the considerations that we are going through, but Phil, you have captured where we are at, right now. ...