In response to a general inquiry respecting the inter-relationship between ITA s. 230(4) and Reg. 5800(1), CRA paraphrased s. 230(4), and Regs. 5800(1)(a) and (b), and stated (TaxInterpretations translation):
Therefore, a dissolved corporation must retain for a period of two years following its dissolution the Books and Records which it already was required to retain for a period of 6 years under ITA paragraph 230(4)(b).
Thus, a Book or Record contemplated by Reg. paragraph 5800(1)(a) must be retained until the expiration of two years following the dissolution of a corporation without regard to the retention period of 6 years contemplated in ITA paragraph 230(4)(b). A Book or Record which is not so contemplated must instead be retained until the expiration of 6 years from the end of the taxation year to which it relates, unless it relates to a dissolved corporation, in which case it must be retained for two years from the corporation's dissolution.
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|Tax Topics - Income Tax Act - Section 230 - Subsection 230(4)||relationship between 2-year post dissolution and 6-year hold tests||149|