Words and Phrases - "nominal value"
26 February 2015 CBA Roundtable, Q. 18
Black’s Law Dictionary (9th ed.) defines "nominal" as "trifling, especially as compared to what would be expected (lamp sold for a nominal price of ten cents)." How does CRA intend to interpret "nominal" in para. (c) of “qualifying member”? CRA responded:
Whether property is considered to be of nominal value for purposes of the definition of “qualifying member” in paragraph 156(1)(c)...will be determined on a case by case basis. Generally, this determination will be made with reference to the value of the property and its significance relative to the commercial activity in question.