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In order to complete our consideration of this request we require the following: 1.      ...

A") of a corporation ("Aco") intends to sell, at fair market value, his class A common shares of Aco to Aco in consideration for class B common shares of Aco which have the same fair market value and stated capital as the class A common share sold.  ...

In our view, there is nothing to prevent a District Taxation Office or Taxation Centre from referring a case to the Head Office Appeals Branch for their consideration in accordance with paragraph 14 of Information Circular 80-7 dated June 30, 1980.  ...

Upon receipt of the above information, active consideration will be given to your ruling request. ...

Furthermore, the application of the amended section 245 must be in accordance with the object, spirit and purpose of such provision and of the other provisions that are relied upon by the taxpayer as well as, ensure that economic substance receives proper consideration. ...

Calculate the tax on the revised taxable income, taking into consideration all applicable deductions, such as non-refundable credits, and any amount that is wholly attributable to the amount of income understated. 3.Calculate the tax on the reported taxable income. 4. ... Second, calculate the tax on the revised taxable income, taking into consideration all applicable deductions, such as non-refundable credits, and any amount that is wholly applicable to the amount of the income understated. ...

Paragraph 4 of Article 12 of the Convention defines "royalties" as payments made in consideration for the use of, or the right to use, certain forms of intangible property, including the copyright of literary, artistic, or scientific works. While the PLRP may have compensating Canadian authors for the lending of their works as one of its purposes, the PLRP payments are not made in consideration for the use of, or the right to use, the work being lent out (or their copyright in the work) and, in our view, are not "royalties" as defined by paragraph 4 of Article 12. ...

OUR COMMENTS Section 35 applies where shares of a corporation are received in a taxation year by an individual who is a prospector as consideration for the disposition by the individual to the corporation of a mining property or interest therein that was acquired by the individual as a result of the individual's efforts as a prospector. ... X from the mining corporation under the Agreement represented consideration for the disposition by Mr. ...

The amount of the transferee's liability is equal to the lesser of the fair market value of the property transferred less the consideration paid, and the transferor's total tax liability owing in the year of the transfer or any preceding year. ... In the present case, there is no domestic service obligation for which the payments by the taxpayer can be viewed as constituting consideration. ...

Chouinard: This is in reply to your correspondence dated September 13, 2016 wherein you requested our views as to whether an amount received before August 20, 2011, the date of entry into force of the modifications made to section 90 of the Income Tax Act (the “Act”), by a corporation resident in Canada (“Canco”) in consideration for the redemption of shares of one of its foreign affiliates (“FA”), would be treated as proceeds of disposition of such shares or, in part, as a dividend, in the situation you described to us. ... If there is, in part, a dividend, we would suggest that to the extent the purpose of issuing the XXXXXXXXXX Shares is to skew exempt surplus to the Canadian shareholder, or to otherwise achieve a Canadian tax benefit, consideration be given as to the potential application of subsection 95(6) and/or subsection 245(2). ...