Search - considered

Therefore, the corporation would be considered a public corporation as of the date of issue of the shares which, if held by an RRSP, will be considered to be qualified investments. These shares would also be considered to be qualified investments for any other deferred income plans which define shares of a public corporation as a "qualified investment" for purposes of the Act. ...

It is your view that for purposes of paragraph 89(1)(b) and 89(1)(b.2) of the Income Tax Act, the amount paid to the bank as described above would be considered an amount received by the corporation; and the corporation would be considered a beneficiary of the policy. ... It is also our view that the amount paid to the bank under the collateral assignment would be considered received by the corporation provided the agreement or arrangement between the parties clearly establishes that such payment reduces or extistinguishes the amount of the corporation's indebtedness to the bank. ...

Will this refund be considered a prescribed benefit for purposes of the tax shelter reporting rules? Department's Position In our view, such a refund would generally be considered to be a prescribed benefit for the purposes of the tax shelter reporting rules. ... Any exceptions to the above position could only be considered on a case by case basis and after consideration of all of the relevant facts. ...

This right cannot be considered to relate to future services but relates solely to services rendered in the year or a preceding year. ... Therefore, it is our opinion that although the plan will not be considered an SDA before maturity, it may or may not be considered an SDA on maturity. ...

7 February 1991 Income Tax Severed Letter- Personal services businesses Unedited CRA Tags 125(7)(d), IT-73R4 Dear Sirs: Re: Personal Services Businesses This is in response to your letter dated January 2, 1991 requesting the Department's interpretation regarding the tax treatment of corporations considered to be personal services businesses. Whether or not a particular corporation is a personal services business is a question of fact to be determined from an examination of all the facts, however, under paragraph 125(7)(d) of the Act, a corporation is considered to be carrying on a personal services business if among other factors an individual performs services on behalf of the corporation (the “incorporated employee”) and the incorporated employee or a person related thereto owns 10% or more of the shares of the corporation and the incorporated employee would otherwise, but for the existence of the corporation, reasonably be regarded as an employee or officer of the person who received the services from the corporation, unless the corporation employed, throughout the year, more than five full time employees in the business or the services were performed for a corporation with which it was associated. Thus where the corporation meets either one of the two exceptions stated above, it will not be considered to be carrying on a personal services business. ...

Will the latter transfer be considered as part of the same series of transactions which includes the first transfer and which results in a disposition of property of Xco to an arm's length person such that paragraph 55(3)(a) would not apply? Department's Position Although it is a question of fact to be determined on the basis of the facts in each case, it is our general view that the transfer of property from Aco to Cco and Dco would normally not only be considered as part of the same series of transactions as, but would normally also be considered to be "in the course of" the same reorganization as, the first transfer of property from Xco and Aco and Bco. ...

Will the trust's income received by the beneficiaries be considered to be the personal property of an Indian situated on a reserve for purposes of the exemption from taxation contained in the Indian Act? ... Income from a trust resident on a reserve when received by a status Indian beneficiary would be considered personal property of an Indian situated on a reserve and, thus, exempt from income tax pursuant to section 81(1)(a) of the Income Tax Act. ... However, a trust is generally considered to reside where the trustee who manages or controls the trust's assets resides or where the majority of trustee who manage or control the trust's assets reside. ...

Since the situation described in your letter appears to involve actual taxpayers and proposed transactions, that could best be considered by way of an advance income tax ruling request, we are unable to comment on the specifics of the series of transactions described therein. ... Further, in order for an expenditure or transfer of property to be considered a gift, it must be made without conditions, from detached and disinterest generosity, out of affection, respect, or charity or like impulses, and not from the constraining forces of any moral or legal duty. The Department's position is that a donation made by a vendor must be separate from and unrelated to the sale in order to be considered as a gift (See paragraph 14 of Interpretation Bulletin IT-110R2 which discusses a similar transaction involving a donation by a purchaser). ...

11 June 1992 Income Tax Severed Letter 3M05170- Foreign Exchange Gains and Losses Unedited CRA Tags 95(2)(f)(ii) Please note that the following document, although believed to be correct at the time of issue, may not represent the current position of the Department. 1992 Corporate Management Tax Conference FOREIGN EXCHANGE GAINS AND LOSSES Question 7 For purposes of subparagraph 95(2)(f)(ii) and Regulation 5907(6), under what circumstances will a particular currency be considered "reasonable in the circumstances"? ... Where a particular currency has become the generally accepted currency for conducting business in a country, such currency may be considered "reasonable in the circumstances", notwithstanding that some other currency is the official currency of that country. As well, the currency that is used for income tax purposes in the foreign jurisdiction would normally be considered "reasonable in the circumstances". ...

Will the trust's income received by the beneficiaries be considered to be the personal property of an Indian situated on a reserve for purposes of the exemption from taxation contained in the Indian Act? ... Income from a trust resident on a reserve when received by a status Indian beneficiary would be considered personal property of an Indian situated on a reserve and, thus, exempt from income tax pursuant to section 81(1)(a) of the Income Tax Act. ... However, a trust is generally considered to reside where the trustee who manages or controls the trust's assets resides-or where the majority of trustees who manage or control the trust's assets reside. ...