Search - considered

Consequently, when a dividend that gives rise to the dividend refund is paid by the payer corporation, that portion of the dividend [that is sufficient to give rise to the dividend refund would be considered to be paid out of the safe income of the payer corporation.... ...

Thus, a Canadian partner who did not declare the partner’s share of the partnership's income could, for instance, be considered to have made a misrepresentation that is attributable to neglect, carelessness or wilful default or to have committed a fraud in filing the return, and the Minister could then assess that taxpayer at any time under subparagraph 152(4)(a)(i). ...

CRA considered that Mrs. X's shares are “excluded shares” if such $100,000 of income was “derived from the carrying on of a business the purpose of which is to earn interest income and dividends … notwithstanding the fact that the capital used in the acquisition by Holdco of the property used in carrying on its business was derived from dividends received from Opco.” ...

. … In addition, to demonstrate that the various exclusions were applicable not only to entities that earn income from an active business, such as a manufacturing corporation, but also to entities that carry on a business of earning income from property, such as a property rental business (in Example 10) or an investment management business (in Example 12), we had assumed that these corporations had a sufficient level of activity such that their income could be considered as derived from a business. ...

CRA then stated: Although in certain circumstances the dividend paid by Opco to the holding corporation of the active shareholder may not be considered to have any of the purposes described in paragraph 55(2.1)(b), that determination can only be made after a review of all the facts of a particular situation. ...

At what time would such transactions be considered to have become statute-barred assuming no misrepresentation described in s. 152(4)(a)(i) and assuming price adjustment clauses (PAC). ...

In rejecting the second, it adopted a previous statement that “the subparagraph 75(2)(a)(i) condition would not be considered satisfied from the potential acquisition of the property from the spouse's estate in accordance with the spouse's will. ...

Since the debt was non-interest bearing and did not provide for any other form of return, and the debt arose from the disposition of options received in the course of an office or employment, the loss in question will not be considered to be a loss eligible for any deduction based on the debt having been acquired for the purpose of gaining or producing income from a business or property. ...

The Directorate went on to indicate that s. 105(2) could apply “to all or part of the expenses actually incurred by Opco that could reasonably be considered to be attributable to the portion of the Immovable occupied by Sister as a place of residence” and that any “portion of the amount that would be included under subsection 105(2) in computing Sister's income may be deducted in computing the trust's income pursuant to paragraph 104(6)(b).” ...

Thus … a corporation with no assets or liabilities at the end of a taxation year (or a corporation with no liabilities at that time) cannot generally be considered insolvent for the purposes of subparagraph 50(1)(b)(iii). ...