Principal Issues: Minor changes to facts in ruling.
Position: No impact on rulings previously given.
XXXXXXXXXX 2004-010939
XXXXXXXXXX, 2005
Dear Sir:
Re: Supplemental Advance Income Tax Ruling Request
XXXXXXXXXX (the "Taxpayers")
Further to your letter of XXXXXXXXXX, the following amendments are made to advance income tax ruling 2004-006027 that was issued to the Taxpayers on XXXXXXXXXX, 2004 (the "Ruling"):
(a) paragraph 1(v) of the DEFINITIONS is deleted;
(b) the references to "GCO", "XXXXXXXXXX Class G Preference" shares and "XXXXXXXXXX Class H Preference" shares in paragraph 4 are deleted;
(c) the reference to "XXXXXXXXXX Class C Preference" shares in paragraph 4 of the Ruling is deleted and replaced with a reference to "XXXXXXXXXX Class E Preference" shares;
(d) paragraph 5 is deleted;
(e) paragraph 6 of the Ruling is deleted and replaced with " XCO is the sole shareholder of a number of subsidiary companies (the "Subsidiaries"), the shares of which are held by XCO as capital property for the purposes of the Act (the "Subsidiary Shares");
(f) the reference to "GCO," in paragraph 14 is deleted;
(g) paragraph 48 is deleted; and
(h) paragraph 1(d) of the COMMENTS is deleted and replaced with "any tax consequences relating to the facts and the proposed transactions described herein other than those described in the rulings given above".
We confirm that the Ruling, as amended herein, remains binding on the Canada Revenue Agency subject to the same limitations and qualifications and the COMMENTS set out in the Ruling. For greater certainty, we note that nothing in the Ruling, as amended by this letter, should be construed as implying that the Canada Revenue Agency has agreed to confirmed any of the tax consequences of the redemption of the Class G Preference Shares and Class H Preference Shares of XCO, which, according to your letter of XXXXXXXXXX, occurred on XXXXXXXXXX.
Yours truly,
for Division Director
Reorganizations and Resources Division
Income Tax Rulings Directorate
Policy and Planning Branch