Corporate Tax (part 1 of 2)
Professor Stevens, Fall 1998
No consistently applied interpretation in courts of tax law but can identify trends in jurisp.
Purposive v. literal approach
Goal is to tax income from transactions
Taxation of Intermediaries
in general partnerships and trusts are not treated as separate taxable entitites, but
rahter as conduits
corporations are treated as separate taxable entitites for tax purposes.
Whenever a corporation is used to carry on busines
Taxation of Capital Gains
The Capital Dividend Account.
Taxable capital gains of a CCPC are included in aggregate investment
income for purposes of the refundable dividend tax provisions thus 3/4s of
Corporate Taxation Fall 2008 Professor Raizenne
A. Historical Background.6
1962 Carter Commission.6
B. Provincial Taxation.6
b. Interprovincial Shifting (Shuffling) of Income Tax.7
C. Structure of the Income
S.51 Convertible property
Permits exchange of convertible property on a tax free basis.
Can get back shares and small amount of boot (equal to a portion of a fraction of a
S.55(2), Stops capital gain strips:
A wishes to