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2021 Ruling 2020-0874931R3 F- Post-mortem Pipeline Unedited CRA Tags 84(2), 84.1, 245(2) Principales Questions: 1) Whether section 84.1 will apply to deem the heirs to have received a dividend upon the disposition of shares to the new company. 2) Whether section 84.1 will apply to reduce the PUC on the shares of the new company received as consideration for the disposition of the shares. 3) Whether subsection 84(2) will apply to the proposed transactions. 4) Whether subsection 245(2) will apply to the proposed transactions. ... Le contrat de vente contiendra une clause de rajustement de prix à l’effet que les parties ont effectué le transfert à la JVM et qu’elles ajusteront le prix de vente ainsi que la considération reçue si l’ARC évaluait les biens à une valeur différente, convenable aux parties. 49. ...

Consideration will be given to allow subsection 153(1.1) reductions for more than one year, if the original circumstances supporting the reduction continues in future years. ... Department's Position (a)     Whether bona fide arrangements are made for the repayment of a housing loan within a reasonable period of time at the time the loan is made is a question of fact which can only be determined upon consideration of all the circumstances of a particular situation.  ...

2021 Ruling 2021-0907591R3 F- Post-mortem Pipeline Unedited CRA Tags 84(2), 84.1, 245(2) Principal Issues: 1) Whether section 84.1 will apply to reduce the PUC on the shares of the new corporation received as consideration for the disposition of the shares. 2) Whether section 84.1 will apply to deem the estate to have received a dividend after the disposition of shares to the new corporation. 3) Whether subsection 84(2) will apply to the proposed transactions. 4) Whether subsection 245(2) will apply to the proposed transactions. ... Le contrat de vente contiendra une clause de rajustement de prix à l’effet que les parties ont effectué les transferts décrits aux paragraphes 19 et 20 à la JVM et qu’elles ajusteront le prix de vente ainsi que la considération reçue si l’ARC évaluait les biens à une valeur différente convenable aux parties. 22. ...

LP employs the equivalent of more than five employees full time, taking into consideration the services provided by the employees of FA4. ... Clause 95(2)(b)(i)(B) ensures that the provision, by a foreign affiliate of a taxpayer, of services or of an undertaking to provide services is deemed to be a separate business, other than an active business, carried on by the affiliate, and any income from that business or that pertains to or is incident to that business is deemed to be income from a business other than an active business, to the extent that the amounts paid or payable in consideration for those services or for the undertaking to provide services are deductible, or can reasonably be considered to relate to an amount that is deductible, in computing the foreign accrual property income of a foreign affiliate of any taxpayer of whom the affiliate is a foreign affiliate, or another taxpayer who does not deal at arm's length with the affiliate, or any taxpayer of whom the affiliate is a foreign affiliate. ...

(d) Immediately after the Proposed Transaction in Paragraph 34(c), Newco will redeem the Newco Preferred Shares held by New LP for their redemption amount in consideration for a non-interest-bearing promissory note issued by Newco (the "Newco Note"). ... The Newco Preferred Shares will not, at any time during the implementation of the Proposed Transactions described herein, be: (a) the subject of any undertaking that is referred to in subsection 112(2.2) as a "guarantee agreement"; (b) the subject of a "dividend rental arrangement" as contemplated in subsection 112(2.3) and as defined in subsection 248(1); (c) the subject of any secured undertaking of the type described in paragraph 112(2.4)(a); or (d) issued for consideration that is or includes: (h) an obligation of the type described in subparagraph 112(2.4)(b)(i) or (ii) any right of the type described in subparagraph 112(2.4)(b)(ii). 45. ...