14 April 2009 External T.I. 2007-0238221E5 F - Rights of musician-Transfer -- summary under Subsection 56(2)

As part of a general response respecting the transfer of rights by a musician to a corporation, CRA stated:

As illustrated by … IT-335R2 [para. 8] …the sale of a property for consideration less than its fair market value could result in the application of subsection 56(2). On the other hand, the sale of copyright or royalty interests for consideration equal to their fair market value will generally not trigger subsection 56(2).

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d7 import status
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