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To be considered such a corporation, two types of tests must be met. The first type of test is the ongoing ownership test pursuant to one of the two subparagraphs 149(1)(o.2)(iv) or (v) of the Act, depending on whether the corporation has share capital or not. ... Generally speaking, a debt obligation is considered to arise whenever a binding liability is created and the principal amount of the liability can be quantified. ... The particular terms of the assignment agreement that provide for the capital contribution commitment would need to be considered to determine whether the character of the payment at a subsequent time would constitute a "debt obligation" or some other form of indebtedness. ...

In particular, you have described a situation where an individual is a resident of Canada for purposes of the Act but the individual is considered a resident of another country for purposes of Canada’s income tax convention with that other country. ... In this regard, you believe that the position set out in paragraph 3 of Interpretation Bulletin IT-395R that any capital gain or loss resulting from a deemed disposition is not considered to be from a foreign source, regardless of the geographic location of the property, is not appropriate where the individual is considered a resident of another country for the purposes of Canada’s tax treaty with that country. ... In this regard, it is only in situations where the treaty provides that gains from the alienation of such property “shall be taxable only” in one or other of the contracting states which would give that contracting state an exclusive right to tax such gains (see for example, paragraph 4 of Article XIII of the Canada- United States Income Tax Convention, 1980); and (c) the Department’s general position as set out in paragraph 3 of Interpretation Bulletin IT-395R is that any capital gain or loss resulting from a deemed disposition is not considered to be from a foreign source, regardless of the geographic location of the property. ...

This is in reply to the memorandum of August 14, 1997, from Kathie Cameron requesting our views as to whether a promissory note received by a taxpayer would be considered payment of a debt or evidence of a debt, for purposes of subsections 28(1) and 76(1) of the Income Tax Act ("the Act"). ... Whether a promissory note is considered to be payment of a debt and therefore absolute payment, or evidence of a debt such that it is conditional, is a question of fact. Although it is usually considered that a creditor has accepted a promissory note as conditional payment or as evidence of indebtedness, in the appropriate circumstances, the promissory note may be accepted as absolute payment and the debtor will be considered to have paid the debt. ...

The taxation of the honorarium is dependent on whether the payment is considered income from an office, employment or business. If the payment is considered business income, it is included in income under section 9 of the Act. Payments which are considered to be income from an office or employment, are included in income pursuant to subsection 5(1) of the Act. ...

Would the amount the company pays to the widow be considered a death benefit? ... Given these circumstances, you are asking if the amount the company pays would be considered a death benefit and if it would be acceptable for the company to pay an amount that is equal to the $10,000 exemption. ... If an employee dies after retirement and his or her spouse then receives such a payment in recognition of the employee's service, this payment would normally be considered to be a retiring allowance. ...

Income of a trust is generally considered a separate source of income for purposes of Part I and Part XIII of the Act by virtue of paragraph 108(5)(a) and subsection 212(11) of the Act, respectively. Income distributions, including taxable capital gains (see paragraph 17 of Interpretation Bulletin IT-465R), from the trust are considered to be dealt with under Article XXII of the Treaty. ... In our opinion, where U.S. securities have been disposed of by a Canadian trust on the winding-up of that trust, the capital gains arising from that disposition would generally be considered to be income arising in Canada. ...

The central management and control of an organization is usually considered to be exercised by the group that performs the function of a board of directors of the organization. ... Where an organization, which would otherwise not be considered to be resident on reserve, is asserting that it satisfies the definition because it holds its board of directors meetings on reserve, it should generally be considered to satisfy the definition where management and control over the organization is legitimately exercised during those meetings. ... Nevertheless, in our view, in a situation where the board of directors meet on a reserve, albeit different reserves, at which decisions are made which direct an organization's operations, such an organization would generally be considered resident on reserve. ...

If such an addition or improvement vests in the owner of the building, a benefit is considered to have been conferred on the shareholder by the corporation pursuant to subsection 15(1). ... The benefit considered to be conferred in a particular taxation year is based upon the portion of the addition or improvement completed during that year. ... As stated in paragraph 11 of IT-432R2, if corporate property is made available for the personal use of a shareholder, a benefit under subsection 15(1) is generally considered to have been conferred on the shareholder. ...

At issue in this scenario is whether, for the purposes of subsection 107(1.1), the capital interest which became property of Amalco on the amalgamation would be considered to be a property that has been "acquired" by Amalco from a person who was the beneficiary in respect of the interest immediately before the acquisition thereof by Amalco. ... Where, however, the issue to be considered involves a question of fact, the Department will not rule unless all of the relevant facts are known. ... Where a capital interest in a personal trust is deemed to have been reacquired by a corporation by virtue of paragraph 111(4)(e) of the Act, it is our view that such interest would, for the purposes of subsection 107(1.1) of the Act, be considered to have been acquired from a person who was the beneficiary in respect of the interest immediately before the acquisition thereof by the corporation. ...

We have generally considered this to have occurred when all the duties (other than the actual distribution of the properties) have been completed by the executor. ... Even where there has not been an actual distribution or transfer of legal title of property of an estate to the beneficiary, it is a question of law as to whether beneficial ownership of property is considered to have passed to the beneficiary. ... At the point in time when there is no property held by the executor in that capacity and the estate has been completely administered, the taxation year of the estate would generally be considered to have ended. ...