Section 51.1

Administrative Policy

2014 Ruling 2013-0514191R3 - Debt restructuring, forgiveness and winding-up

underline;">: Currrent structure. Canco1 is obligated to its affiliate (Canco3) under non-interest-bearing U.S.-dollar debt evidenced by demand...

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2012 Ruling 2012-0451431R3 - Loss Consolidation

Ruling that s. 51.1 applied on conversion of one note into two new notes: a new senior and junior ranking note. See detailed summary under s....

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2009 Ruling 2008-0300161R3 - Debt restructuring and forgiveness

underline;">: Background. Forco holds a non-interest-bearing note (the Forco Note) of its Parent, which is in CCAA proceedings, as its only...

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9 September 1997 External T.I. 9721405 - CONVERSION OF DEBT OBLIGATION

Where a debt obligation provides that it is convertible at the option of the holder into another debt obligation of the same issuer provided that...

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13 February 1996 External T.I. 9532285 - US DOLLAR CONVERTIBLE DEBENTURE

Respecting whether s. 51.1 would apply to the conversion of a U.S.-dollar denominated convertible debenture, CRA noted that under s. 51.1(c) the...

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Articles

Didier Fréchette, Ryan Rabinovitch, "Current Issues Involving Foreign Exchange", 2015 CTF Annual Conference paper

S. 51.1 applied to the conversion of US-dollar-denominated non-interest-bearing notes into US-dollar-denominated interest-bearing notes with the...

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Julie Colden, "Implications of Imperial Oil", Canadian Current Tax, Vol. 15, No. 3, December 2004, p. 21 at 26

[After discussing 9532285 above and Imperial Oil:] Based on Imperial Oil, it may no longer be correct to view the principal amount of a foreign...

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