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2009 Ruling 2008-0304371R3- Single-Wing Butterfly-- summary under Distribution Summary Under Tax Topics- Income Tax Act- Section 55- Subsection 55(1)- Distribution net receivables and prepaids of rental company reclassified as business property In a single-wing butterfly of a company whose assets consisted of cash and cash equivalents, tenant receivables and a revenue producing rental property, the revenue-producing properties and prepaid rent were considered business property and loans receivable from certain Holdcos, which had no specified terms of repayment, were considered to be near cash assets. ...

8 May 2012 CALU Roundtable Q. 6, 2012-043564-- summary under Capital Dividend Account Summary Under Tax Topics- Income Tax Act- Section 89- Subsection 89(1)- Capital Dividend Account On the same facts as for Q. 6.1 above except that the insurance policy names the Insurance Trustee as the beneficiary of the policy, for example, "as beneficiary in trust as bare trustee for the Corporation"- or simply names the Insurance Trustee without specific reference to its capacity as a bare trustee or agent, CRA stated: if the Insurance Trustee can reasonably be considered to act as agent for its sole beneficiary Corporation A such that the arrangement is deemed not to be a trust for the purposes of the Act, Corporation A would generally be considered to have received insurance proceeds for purposes of its capital dividend account. ...

8 May 2012 CALU Roundtable Q. 6, 2012-043564-- summary under Capital Dividend Account Summary Under Tax Topics- Income Tax Act- Section 89- Subsection 89(1)- Capital Dividend Account On the same facts as for Q. 6.1 above except that the buy-sell agreement gives an irrevocable direction to the insurer to pay the proceeds over to the Insurance Trustee upon the death of a shareholder, CRA stated: if the Insurance Trustee can reasonably be considered to act as agent for its sole beneficiary Corporation A such that the arrangement is deemed not to be a trust for the purposes of the Act, Corporation A may generally be considered to have received insurance proceeds for purposes of its capital dividend account provided that the irrevocable direction given by Corporation A to the insurer would not in any way negate the agency relationship between Corporation A and the Insurance Trustee. ...

Rulings that "D Co will not be considered to have disposed of its shares of G Co or H Co as a result of its conversion from a corporation to an LLC…" and "following its conversion…D Co will be considered to be the same corporation that it was prior to the conversion. ...

(Tax Window, No. 30, p. 20, ¶2500)-- summary under Paragraph 20(1)(e) Summary Under Tax Topics- Income Tax Act- Section 20- Subsection 20(1)- Paragraph 20(1)(e) Where there is an acquisition of control of a debtor and of its debt followed in the same day by an amalgamation of the debtor and the purchaser, then provided no election is made under s. 256(9), the amalgamation will be considered to occur on the same day and time as specified in the Certificate of Amalgamation. S.80(2) will deem the debt to have been settled or extinguished immediately before the time that is immediately before the amalgamation, with the result that for purposes of s. 20(1)(e)(v) the debt will be considered to have been settled or extinguished in the taxation year of the predecessor ending immediately before the acquisition of control occurred. ...

Before going on to consider the application of ss. 212(1)(d)(i) and (iii), CRA noted that although the inquiry asked only about the witholding tax treatment of the amount remitted by the Promoter to the US publisher, it considered the gross amount of the fees to be paid or credited by the Canadian advertisers to the US publisher, on the basis that it considered that the Promoter would be receiving the fees from the Canadian advertisers as agent for the US publisher. ...

In finding that ss. 8(5)(a) and (c) did not deny the deduction of the Dues, CRA stated: [U]nion dues used to fund the pension plan of union employees are generally not considered levied for or under a superannuation fund or plan. Further…union contributions to a pension plan for its employees are generally considered to be related to the ordinary operating expenses of the union. ...

13 March 2015 External T.I. 2015-0564611E5- Definition of farming-- summary under Farming Summary Under Tax Topics- Income Tax Act- Section 248- Subsection 248(1)- Farming breeding of rodents as food but not as pets Before concluding that "the raising or breeding of rodents could be considered 'farming' for purposes of the Act if the primary purpose for such activity is to supply a food source, whether that food source is for animal consumption or human consumption ….[but] the raising or breeding of rodents or other animals to be sold for use as pets would not be considered as farming," CRA noted that in Sniderman v. ...

CRA stated: [D]espite the fact that NRCo had previously distributed its property…NRCo should be considered a foreign affiliate of CanCo in the taxation year of CanCo that ended December 31, 2012. We have considered whether NRCo could be regarded dissolved for purposes of the reporting requirement in subsection 233.4(4) prior to its formal dissolution in the circumstances described in IT-126R2…[and] we concluded that IT-126R2… would not apply for purposes of the reporting requirement in subsection 233.4(4). ...

Where the applicable corporate law provides that the predecessor corporations involved in the amalgamation cease to exist, and that a new corporation is formed on the amalgamation, the predecessor corporations will generally be considered to have disposed of any property held immediately before the amalgamation. However, where the applicable corporate law suggests a "continuation type" amalgamation, the predecessor corporations will generally not be considered to have disposed of any assets that they held immediately before the amalgamation. ...