11 October 1996 APFF Roundtable, 7M12910 - APFF ROUND TABLE -- summary under Subsection 88(1.1)

Where the acquisition of control of a corporation that holds land as an adventure in the nature of trade results in the realization of a non-capital loss pursuant to s. 10(10), that loss may not be available to the parent following a winding-up because the requirement that the business be carried on by the parent corporation may not be met, depending on the circumstances.