11 October 2013 APFF Roundtable, 2013-0495631C6 F - Actions admissibles de petites entreprises -- summary under Small Business Corporation

Must the 90% level always be attained before the "substantially all" test is satisfied? CRA stated:

According to the jurisprudence, the interpretation of the term "all or substantially all" ... depends on the relevant legislative provision and the facts of each case. ...

...[T]he CRA ... usually consider[s] that the "all or substantially all" test is satisfied when a level of 90% or more is reached.

However, the test of "all or substantially all" could, depending on the circumstances and the context, be satisfied even if the 90% level is not reached. Where the 90% level is not attained, the CRA must consider each case in its particular context to determine if a threshold lower than 90% could satisfy the "all or substantially all" test.

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