V.A. Sider (613) 995-1178
Attention: XXXX
Nov 2 1983
Dear Sirs:
Re: Paragraph 88(1)(d.2) of the Income Tax Act (the "Act")
In your letter of August 19, 1983 you requested that we confirm that, for purposes of paragraph 88(1)(d.2) of the Act, the deemed acquisition of shares by the executors of an estate pursuant to the provisions of paragraph 70(5)(c) of the Act, is not an acquisition from a person with whom the executors were not dealing at arm's length.
We are not able to issue the desired confirmation because confirmations can only be given on an advance rulings basis. Nevertheless, in our opinion, such an acquisition would generally be an acquisition from a person with whom the executors were not dealing at arm's length. In expressing this opinion we realize that, in accordance with paragraph 251(1)(b) of the Act, such a determination will always depend upon the facts of a particular case.
Yours truly,
for Director General Corporate Rulings Directorate Legislation Branch