Search - consideration

As consideration for the assumption of these liabilities, XXXXXXXXXX will owe the Debtor an amount equal to the principal amount of the Mortgage Loans on the day they are assumed by the Debtor. ... The Debtor will subscribe for a nominal amount of common shares of each Lender Newco for a nominal cash consideration. ... To the best of your knowledge and that of the Debtor and Lenders, none of the issues involved in this ruling request is currently under consideration by a tax services office or taxation centre in connection with a tax return already filed or is under objection, or under appeal, or the subject of any ruling previously issued by the Directorate with respect to the Debtor. ...

Quant à l'Annexe 2 de la Débenture, il s'agit d'une résolution du fiduciaire de Fiducie attestant de l'inscription de la Contribuable en vertu du " XXXXXXXXXX " en considération du seul fait que le " XXXXXXXXXX " est mentionné dans la Débenture. ... Selon nous, la totalité du rendement généré au terme de la Débenture représente la contrepartie versée par l'Emprunteur en considération de l'utilisation de la somme de XXXXXXXXXX $ que la Contribuable a consenti à lui prêter et, par conséquent, constitue un revenu d'intérêts pour les fins de la Loi et ce, nonobstant les termes utilisés par les parties à la Débenture pour désigner ces montants. ... Question 3 Tel que mentionné précédemment en réponse à la Question 2, nous sommes d'avis que la totalité du rendement généré au terme de la Débenture représente la contrepartie versée par l'Emprunteur en considération de l'utilisation de la somme de XXXXXXXXXX $ que la Contribuable a consenti à lui prêter et, par conséquent, constitue un revenu d'intérêts pour les fins de la Loi. ...

One consideration may point so clearly that it dominates other and vaguer indications in the contrary direction. ... Although the categories of capital and income expenditure are distinct and easily ascertainable in obvious cases that lie far from the boundary, the line of distinction is often hard to draw in border line cases; and conflicting considerations may produce a situation where the answer turns on questions of emphasis and degree. ... Furthermore, in my view, the aforementioned decision of the Tax Appeal Board in Selig clearly sets forth the applicable principles in a situation in which consideration had to be given to para. 12(1)(a) of the Income Tax Act of 1948, the text of which is to all intents and purposes, identical to para. 18(1)(a) of the present Act... ...

The amount specified in respect of each share, at the time of the issuance thereof, will be expressed as a fixed dollar amount that will not be determined by formula or subject to change thereafter and will not exceed the FMV of the consideration for which the share is issued. None of the preferred shares of Transferee1 or Transferee2 will be issued for consideration that includes a taxable preferred share. 22. ... The amount to be added to the respective corporate capital account maintained for the preferred shares issued by Transferee1 and Transferee2, as the case may be, as consideration for the shares transferred by DC as described in paragraphs 25 and 26, will equal the amount by which the PUC attributable to the number of shares of Amalco, Opco2 and NewHoldco transferred to Transferee1 and Transferee2, as the case may be, exceeds the amount of the liabilities of DC assumed by them, as described in paragraphs 25 and 26 above. ...

While we believe that these cases should be given some consideration, given that they deal with the use of models/formulas under domestic law and the "separate entity" concept under Article VII of the relevant treaties, we do not believe they should be taken as decisive of the issue currently under consideration. ... In both of the cases, the courts believed that the accounts of the branch should be given significant consideration in determining the assets, liabilities and income attributable to the permanent establishment. ...

One consideration may point so clearly that it dominates other and vaguer indications in the contrary direction. ... Although the categories of capital and income expenditure are distinct and easily ascertainable in obvious cases that lie far from the boundary, the line of distinction is often hard to draw in border line cases; and conflicting considerations may produce a situation where the answer turns on questions of emphasis and degree. ... Furthermore, in my view, the aforementioned decision of the Tax Appeal Board in Selig clearly sets forth the applicable principles in a situation in which consideration had to be given to para. 12(1)(a) of the Income Tax Act of 1948, the text of which is to all intents and purposes, identical to para. 18(1)(a) of the present Act... ...

In consideration therefor, the Child A XXXXXXXXXX Trust and the Child C XXXXXXXXXX Trust will receive a demand, non-interest bearing promissory note of Mco with a principal amount and fair market value equal to the redemption value of the XXXXXXXXXX Preferred Shares being redeemed. ... The Child A and Child B XXXXXXXXXX Trusts will receive as consideration for the Transferred Assets, XXXXXXXXXX common shares of its respective Holdco with a par value of $XXXXXXXXXX per share and a total fair market value equal to the fair market value of the Transferred Assets. The Child C XXXXXXXXXX Trust will receive as consideration for the Transferred Assets, XXXXXXXXXX common shares with a par value of $XXXXXXXXXX per share XXXXXXXXXX Preferred Shares with a par value of $XXXXXXXXXX per share, and a total fair market value equal to the fair market value of the Transferred Assets. ...

XXXXXXXXXX Co has subscribed for common shares of Subco for nominal consideration. 4. ... $XXXXXXXXXX cash consideration will be paid by Canco to U.S. Subco for each $XXXXXXXXXX reduction in the stated capital of the common shares. ... For XXXXXXXXXX income tax purposes, the XXXXXXXXXX Shares will subsequently be "allocated" to the XXXXXXXXXX Branch in consideration for an interest free intra-company advance with a principal amount equal to the fair market value of the XXXXXXXXXX Shares (i.e., the aggregate fair market value of the shares of the Indicated Affiliates). ...

While commercial reasons may abound, it is clear that income tax considerations are also prominent in the design of plans. ... As indicated in paragraph 3 of the bulletin, to be a "contract of insurance" or a "medical care insurance plan" a PHSP must contain the following basic elements: (a) an undertaking of one person, (b) to indemnify another person, (c) for an agreed consideration, (d) from a loss or liability in respect of an event, (e) the happening of which is uncertain. ... Answer Where a PHSP is self-insured (i.e., the consideration for the "insurance" is regarded as the employees' covenants in their contract of service with the employer), it is the Department's view that the plan should cover all employees (or all employees within a specific category) in one plan with the same coverage for each employee. ...

While commercial reasons may abound, it is clear that income tax considerations are also prominent in the design of plans. ... As indicated in paragraph 3 of the bulletin, to be a "contract of insurance" or a "medical care insurance  plan" a PHSP must contain the following basic elements:           (a) an undertaking of one person,          (b) to indemnify another person,          (c) for an agreed consideration,          (d) from a loss or liability in respect of an event,          (e) the happening of which is uncertain. ... Answer Where a PHSP is self-insured (i.e., the consideration for  the "insurance" is regarded as the employees' covenants in  their contract of service with the employer), it is the  Department's view that the plan should cover all employees (or all employees within a specific category) in one plan  with the same coverage for each employee.  ...