CRA recently released a letter which discusses whether the transfer of 100% of the voting common shares of a taxable Canadian corporation to a public foundation will result in the public foundation acquiring control of the corporation under paragraph 149.1(3)(c) of the Income Tax Act. CRA ruled that the foundation was not deemed to have acquired control of the corporation because it did not acquire for consideration more than 5% of the common shares of the corporation.
Related Posts
July 31, 2020
Corporations Canada moving forward to extend deadlines for AGMs etc for CNCA corporations
As we have noted previously, the Federal government has brought in a new bill C-17 dealing with various issues especially extending CNCA deadlines…
July 31, 2020
Transparency in the Canadian Charitable Sector and the T3010 Registered Charity Information Return Online Course
Every year we do a 3-hour course on transparency and the T3010. This year there has been a lot of interest in transparency around charities. On…
July 29, 2020
Some recent Finance Committee meetings on WE Charity and the CSSG
The Finance Committee has had a number of meetings to inquire into the CSSG and WE Charity. You can watch the testimony live or a…