1 June 1990 Income Tax Severed Letter ACC9448 - Non Arm's Length Gift of Residual Interest in Real Estate

By services, 22 July, 2022
Official title
Non Arm's Length Gift of Residual Interest in Real Estate
Language
English
Document number
Citation name
ACC9448
Severed letter type
Miscellaneous
d7 import status
Drupal 7 entity type
Node
Drupal 7 entity ID
657861
Extra import data
{
"field_external_guid": [],
"field_proprietary_citation": [],
"field_release_date_new": "1990-06-01 08:00:00",
"field_tags": []
}
Main text
Current Amendments Division                   R.B. Day
                                              Rulings Directorate
                                              957-2136
W.B. Bryson 
Acting Director
                                              5-901068
Subject: Non Arm's Length Gift of Residual 
         Interest in Real Estate and 
IT-226

We are enclosing a copy of the May 31, 1990, letter from 24(1) wherein they requested our confirmation of the income tax consequences of a non-arm's length transfer (i.e. parent to child) of a residual interest in a vacation property using the calculation set out in paragraph 5 of IT-226 .

In our response (copy attached) we advised that the administrative position set out in the IT applies to arm's length gifts to charities only, and could not be extended to the hypothetical situation set out in their letter.

Yours truly,

B.W. Dath Director Business and General Division Specialty Rulings Directorate Legislative and Intergovernmental Affairs Branch