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As regards the remission procedure itself, you may wish to know that guidelines have been established to ensure that cases are fairly and uniformly handled and considered. In order to be favourably considered for tax remission, a case should satisfy one of the following three criteria: (1) extreme hardship (Under this guideline the hardship must be of an extreme nature and have existed continuously from the time of occurrence of the event giving rise to the tax for which remission is to be considered to the time of the remission request); (2) incorrect departmental action or advice; or (3) financial setback. ...

In the first hypothetical situation out lined above each of the four Canadian resident shareholders could have an equity percentage in Corporation A which was not less than 10% and therefore, assuming none of these shareholders was a non-resident-owned investment corporation, Corporation A would be considered a foreign affiliate of each of these shareholders. Corporation A would also be considered to be a controlled foreign affiliate of each of these shareholders pursuant to either of subparagraphs 95(1)(a)(ii) or (iii) of the Act. In the second hypothetical situation outlined above, Corporation B would have an equity percentage of 49% in Corporation A and therefore, assuming Corporation B was not a non-resident-owned investment corporation, Corporation A would be considered a foreign affiliate of Corporation B. ...

However, we offer the following general counts: In determining whether or not income is "from property" or from "a business other than an active business" and whether such income "pertains to or is incident to an active business" each situation must be considered in the light of its own particular facts. For example, if money is borrowed by a contractor to build dwelling houses, the interest on mortgages taken back on the sale of such houses could normally be considered to pertain to or to be incident to the construction business. On the other hand, if an investment producing FAPI (foreign accrual property income) is liquidated and the proceeds are used by the contractor to finance the construction of a house, the interest on the mortgage taken back on the sale of such a house may not be considered to pertain to or to be incident to the construction business. ...

Interest on money borrowed to purchase an income averaging annuity contract ("IAAC") prior to November 13, 1981, is considered to be borrowed for the purpose of earning income from property. ... This may, in your view, create an unfair situation whereby the interest is an investment expense subject to the CNIL rules, but the annuity income, not being considered property income, is not considered investment income for CNIL purposes. ...

Would the loss corporation, as partner, be considered to be carrying on "that business" carried on by the partnership for purposes of subsection 111(5) of the Act? It is your view that the partner would be considered to be carrying on "that business" carried on by the partnership. ... It is your view that the limited partner would still be considered to be carrying on the business of the partnership. ...

It is your view such a capital contribution should be considered a gift and paragraph 69(1)(c) of the Act would apply. ... A capital contribution by a shareholder to his corporation would result in an increase in the value of the shares of the corporation and the shareholder would be considered to have received a benefit. Consequently, a capital contribution by a shareholder to his corporation would not be considered a gift and paragraph 69(1)(c) of the Act would not apply to increase the ACB of the property contributed to fair market value. ...

This position is consistent with the definition of "excluded property" in paragraph 95(1)(a.1) in that it was considered necessary to enact, for purposes of paragraphs 95(1)(d) and 95(4)(a) as they apply to paragraph 95(1)(a.1), the deeming provisions in subparagraphs 95(1)(a.1)(iv) and (v) in order that where a foreign affiliate had an interest in a partnership and the shares of the capital stock of a corporation in which all or substantially the assets were used in an active business were partnership property such shares could be considered excluded property. ... In this regard the partner would be considered to have an undivided interest in the partnership property based on his proportionate interest in the partnership. ...

If the objects (the pictures) are still, the video-tape recordings are not considered to be "motion picture films" within the meaning of Article XIIIC of the Convention. ... Factors considered by the Department will include the nature and source of the opinion as well as the degree of sophistication of the recipient of the opinion and the taxpayer concerned. Unless clear evidence to the contrary exists, such opinions are not considered to have created hardship situations where they have not been relied upon, for example, where tax under Part XIII was withheld, notwithstanding an opinion to th-e contrary. ...

The basis for this position is as follows: (1) The Financial Administration Act refers only to the remission of "tax, fee or penalty" in section 23. (2) Based on an informal legal opinion obtained some 15 years ago, it was indicated that there was legal support for the view that interest could properly be considered as a "tax" for purposes of section 17 (now 23) of the F.A.A. (3) Since in economic terms interest charges can be considered to be compensation payable by the taxpayer to the government for use of funds that are rightfully the government's once a tax debt becomes due, collection of interest charges was not considered an unfair burden to a taxpayer in cases "here it was accepted that the tax debt upon which it was based was legitimate. ...

It is our opinion that as long as the amount is paid after the employee has left his employment, the sum of money in lieu of the month's notice will be considered a retiring allowance. 3. As Interpretation Bulletin IT-337R2 states, a payment will be considered a retiring allowance if it is in recognition of long service or in respect of loss of an office or employment. ... These constitute the payments that will be considered as retiring allowances. 4. ...