Search - considered

Information to be considered would include:  the duties performed by the employee and the time expended in carrying our these duties, and remuneration paid by other businesses of a similar size to employees who render services corresponding to those of the employee concerned. ... It would not be considered reasonable for a shareholder who provides little or no services to the corporation to receive a large bonus. ...

However, you are concerned that this type of transaction may be considered a "misuse or abuse" of the Act and subject to the application of GAAR. OUR COMMENTS It would involve finding of fact in a specific situation as to whether or not a transaction, or series of transactions, would be considered to be a misuse or abuse of the Act.  ...

Remission is considered in cases where there is continuing and extreme financial hardship.  It is also considered where there has been an error made by the Department or the tax results from circumstances beyond the control of the taxpayer. ...

You have asked whether a plan will be considered an employee pay- all plan as discussed in paragraphs 16 to 21 of IT-428 if an employer pays the premium on behalf of an employee and then adds the amount so paid onto the employee's wages or salary. ... If such an obligation exists, and the employer remits the premiums to the plan carrier and accounts for them in the manner of salary and wages, the plan will be considered an employee pay-all plan provided such an arrangement was in place at the time the payment was made. ...

Subparagraph 6205(1)(a)(ii) of the Regulations concerning prescribed shares for the purposes of the capital gains exemption ("...a prescribed share is a share of the capital stock of a corporation where... no person or partnership has... an obligation to provide.. any form of undertaking with respect to the share (including any guarantee, security, indemnity... that may reasonably be considered to have been given to ensure...loss...limited... or (B) the holder of the share will derive earnings... ... Draft paragraph 6202.1(1)(c) of the Regulations concerning prescribed shares for the purposes of the flow-through share legislation ("...is a prescribed share if... any person...has...an obligation...to effect any undertaking...with respect to the share or the agreement under which the share is issued including any guarantee, security, indemnity... that may reasonably be considered to have been given to ensure... an loss... is limited... or... the holder.. will derive earnings... ...

The Ennisclare Corporation 84 DTC 6262 can be applied  24(1) Our Comments Paragraph 20(1)(n) provides for the deduction of a "Reasonable" reserve without indicating what would be considered "reasonable". ... However, what would be considered a reasonable reserve in any particular situation would involve a finding of fact after considering all the specifics of a particular transaction.  ...

Our Comments Generally, in the circumstance of your situation where a sales agreement is drawn up between an individual and his newly incorporated company clearly stating that the individual will be acting as agent for his company in the sale of grain to the Wheat Board during a particular period any resulting income will be considered that of the corporation and not of the individual. Additionally, even though an individual computed his income from farming on the "cash basis" and consequently, had deducted the cost of growing grain under paragraph 28(1)(c) of the Act, the grain will be considered inventory for the purposes of Section 85 of the Act. ...

.-     the school apparently received an oral opinion from someone in an unnamed district office indicating that, since he was considered to be a "host family", the amounts were not taxable.-     in the absence of a written opinion to the school, the taxpayer wanted clarification of his income tax position. ... Accordingly, it is our opinion that the amounts received could be considered to be income from business and that the taxpayer's procedure of reporting these amounts, net of reasonable expenses should be continued. ...

For U.S. income tax purposes, it is understood that only a portion of the pension income would be considered to arise from a Canadian source where a person's employment activities to which the pension relates were in respect of services rendered in both Canada and the U.S.  ... The Department's interpretation of the phrase "only occasionally employed in Canada" is set out in paragraph 2 of Interpretation Bulletin IT-76R2 and is considered to mean that, throughout a particular taxation year, the    taxpayer's regular place of employment was outside Canada and his duties in Canada were limited to a few brief visits to carry out the duties of his employment.        ...

3)     Would a taxpayer who contracted to have a hotel suite managed by a management company on his behalf be considered to be "personally active on a continuous basis"?  ... In addition, as the individual calculates income based upon the calendar year, for purposes of subparagraph 20(1)(e)(iii) of the Act, the number of days in the individual's year will be 365 and thus no pro-rating will occur. 3)     In our opinion, where a taxpayer contracts to have a hotel suite managed by a management company on his behalf, he will not generally be considered to be "personally active on a continuous basis", however, a determination would nave to be made based on the relevant facts of each situation.  ...