Before going on to find that an order received from the Nova Scotia Supreme Court retroactively amending the share capital of the taxpayer should also have effect for purposes of the Act, Robertson J.A. stated (at p. 5255):
"In determining whether a legal transaction will be recognized for tax purposes one must turn to the law as found in the jurisdiction in which the transaction is consummated. Often that determination will be made without the aid of guiding precedents which are on point and, hence, the effectiveness of a transaction may depend solely on the proper application of general common law and equitable principles ... . As for the Minister, he must accept the legal results which flow from the proper application of common law and equitable principles, as well as the interpretation of legislative provisions."