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If that activity would be considered farming as defined in subsection 248(1) of the Act. ... If that activity would be considered "farming". If these conditions are met, the portion of the land owned by your wife will also be considered "qualified farm property" since your father is also considered her parent by virtue of paragraph 252(2)(a) of the Act, which defines certain relationships for purposes of the Act. The land will be considered used principally in the course of farming if more than 50% of the total property is used in the business of farming. ...

Can the beneficiaries of the trust be considered to be members of the partnership (carrying on the business of the partnership), and if they are members, would they be considered to be related to the partnership for the purposes of subparagraph 110.6(14)(d) of the Act. Position: The beneficiaries of a trust would not be considered as members of the partnership where the trust owns an interest in the partnership. ... Accordingly, the beneficiary would not, on this basis alone, be considered a member of the partnership and as such, would not be related to the partnership under paragraph 110.6(14)(d) of the Act. ...

You have asked us if the corporation choose to submit its accounts for Canadian tax purposes with a fiscal period ending on December 31, will the inaugural fiscal period of the branch be considered May to December, thus requiring a proration of capital cost allowance, or instead be considered to be January to December, that coinciding with the fiscal period of the U.S. corporation for U.S. purposes? ... Our view is that the inaugural fiscal period of the U.S. corporation for Canadian tax purposes would be considered to be January to December if the corporation chooses that period and that the proration rule of capital cost allowance would not apply. 2. ... You have asked us if the corporation chooses to submit its accounts for Canadian tax purposes with a fiscal period ending on December 31, will the inaugural fiscal period of the branch be considered May to December, thus requiring a proration of capital cost allowance, or instead be considered to be January to December, that coinciding with the fiscal period of the U.S. corporation for U.S. purposes? ...

Reasons: Subsection 73(3) does not include a requirement that property be owned by a taxpayer in those years where it is considered to be used principally in the business of farming in which the taxpayer, the taxpayer's spouse or any of the taxpayer's children was actively engaged on a regular and continuous basis. ... " As requested, we have considered your situation and have provided some comments below. ... In paragraph 25, it states that a lessor of farm property is not considered to be using the property in the business of farming. ...

Will cash accumulated in order to pay bonus to shareholder considered to be assets used in an active business? ... Cash or near cash property is considered to be used principally in the business if its withdrawal would destabilize the business. 3. ... " Income from property that is employed or risked in a corporation's business operations is considered to be active business income. ...

If this is the case, then the business income could be considered active business income for the purposes of the small business deduction. ... " Consequently, the corporation would likely be considered to be carrying on an active business and, if all the other criteria were met, would be entitled to the small business deduction. It should be noted that the "principal purpose" of a corporation must be determined annually after all the facts relating to the business carried on by that corporation in that year have been considered and analyzed. ...

Are exchangeable securities of an underlying entity of a SIFT entity that are issued in 2007 but not converted to units of the SIFT entity before the end of 2008 also considered to be growth for 2008? ... In other words, you would like to know whether exchangeable securities issued in 2007 but not converted to units before the end of 2008 would also be considered growth of the Fund for 2008. ... With respect to your second question, we agree that exchangeable securities will only be considered as growth for the particular taxation year in which the exchangeable security was issued. ...

Your main question is whether the refinancing in 2013 would be considered to result in a "substantial increase in the indebtedness of the Partnership" within the meaning of subsection 40(3.15) of the Act. If so, an interest in the Partnership will not be considered an excluded interest unless the deeming rule in paragraph 40(3.16)(d) of the Act applies. ... As indicated above, this would mean that the Partnership's indebtedness would actually be considered to have gone down rather than increased. ...

Reasons: The raising or breeding of livestock such as horses would normally be considered as farming under the Act. ... You enquired whether the above activities can be considered as a farming business under the Income Tax Act (“the Act”). ... Based on the above definition, the raising or breeding of livestock such as horses would normally be considered as farming under the Act. ...

You have requested our comments as to whether the situations you have described would be considered personal use of a company automobile. ... The use of the vehicle for such travel is considered employment-related, not personal. ... In both cases we are assuming that the construction sites will vary with sufficient frequency that none would be considered a regular workplace. ...