Search - consideration

Webb JA noted (at para. 19) that "If the taxpayer can illustrate that there are other transactions that could have achieved the same result without triggering any tax, then... this would be a relevant consideration in determining whether or not the avoidance transaction is abusive. ...

As one of the steps that was necessary in order to secure approval and implementation of the Plan of Arrangement, Amoco assumed the obligations of Encor under the exploration loan in consideration inter alia for Encor paying Amoco $17.5 million and agreeing to vote in favour of the Plan of Arrangement and to cooperate with Amoco in the renegotiation of the loan with APCJ. ...

. … The consideration for the payments made by customers to obtain PAYG credits is the ability to view or download particular items on the taxpayer’s website, and does not extend to the general search facility that is available both to customers and to the public. … ...

After stating (at para. 29) that “arguably there is a conflict between subsection 141.01(2) of the Act and subsection 141.1(3) of the Act as it may be difficult to argue that any expense incurred after a registrant has ceased making taxable supplies is made for the purpose of making taxable supplies even though the expenditure is made in connection with the termination of the commercial activity,” he stated (at para. 30) that this conflict should be resolved as follows: In general, subsection 141.01(2) of the Act would provide that a property or service will be deemed to be acquired in the course of commercial activities to the extent that it is acquired for the purpose of making taxable supplies for consideration. ...

" The taxpayers submitted in the alternative that they were entitled to a charitable donation tax credit for the cash portion of their donations, submitting (at para. 80) that “the theory that consideration vitiates a gift is not based on the common law but is, rather, a recent innovation of revenue officials.” ...

The solution adopted was for PWR to then transfer high basis assets to the Holdcos in consideration for preferred shares of the same class, so that the PUC of the preferred shares held by Mr. ...

Ignoring the significant complicating effect of the transactions with his sister, he transferred his shares under s. 85(1) to a new holdco (“P Pom”) in consideration for Class G shares of P Pom (with a nominal paid-up capital and a deemed cost equaling the “soft” ACB of the transferred shares, and for Class A common shares of P Pom with a nominal PUC and ACB. ...

Instead, he transferred the shares to a new holding company (P Pom) under s. 85(1) in consideration for high ($1M) basis Class G shares and low basis Class A shares, and redeemed the Class G shares. ...

Leekes Ltd v HM Revenue & Customs, [2018] EWCA Civ 1185-- summary under Subparagraph 111(5)(a)(ii) Summary Under Tax Topics- Income Tax Act- Section 111- Subsection 111(5)- Paragraph 111(5)(a)- Subparagraph 111(5)(a)(ii) ability of successor to apply predecessor losses to income from same trade did not extend to profits from an enlarged trade The taxpayer (Leekes) carried on a trade of running department stores (three in Wales and one in Wiltshire) and acquired for nominal consideration all the shares of another company (Coles) that carried on a similar trade from three furniture stores and a distribution centre in the West Midlands. ...

The two issues were "the taxability issue"--whether the settlement sum was taxable employment income as "payments and other benefits which are received [by the relevant person] directly or indirectly in consideration or in consequence of, or otherwise in connection with- (a) the termination of a person's employment"; and, if so, "the exemption issue"--whether the settlement sum (or any part of it) was taken out of the above charge to tax by a statutory exemption (“s. 406”) for a payment provided "on account of injury to … an employee", the alleged injury being the injury to the taxpayer's feelings sustained in the context of his age discrimination claim. ...