Words and Phrases - "prospectus"
30 April 1997 External T.I. 5-952922 -
Before going on to indicate that a mutual fund trust indenture and statement of portfolio transaction filed with provincial securities commission would not be considered to be a document similar to a prospectus or registration statement. CRA stated:
"consequently, we are of the view that to be considered a 'similar document' for the purposes of paragraph 4803(3)(a) of the Regulations, a document should contain information similar to, and be prepared for the same purpose as, a prospectus or registration statement. This was the case in those ruling where we indicated that a mutual fund trust, which had prepared and delivered an offering memorandum to prospective investors and the applicable securities commission but had not filed a prospectus, would meet the requirements of that paragraph."
Gupta v. MNR, 92 DTC 1542 (TCC)
A document filed by the taxpayer with a Quebec securities commission which did not qualify as a prospectus for purposes of the Quebec Securities Act and which contained disclosure similar to that which would be contained in an offering memorandum, was found to come within the ordinary meaning of "prospectus", i.e., a "notice, a circular, advertisement, or other invitation, offering to the public for subscription or purchase of any shares or debentures of a company".