Witkin v. Canada, 2002 DTC 7044, 2002 FCA 174 -- summary under Section 96

The taxpayer and other Canadian residents acquired a 99% interest in a partnership ("Claridge Holding No. 1") whose sole interest was a 99% interest in a Texas partnership whose assets consisted of rights to acquire unsold condominium units in a condominium complex and tax losses of $45 million. As the only intention of the taxpayer was to purchase a tax loss, the taxpayer was not carrying on business in common with a view to profit in respect of his participation in Claridge Holdings No. 1 and, therefore, was not a partner thereof and was not entitled to a share of the losses allocated to that partnership.