2015-0601411R3 Supplemental ruling- extension of time

Principal Issues: Request for an extension of time to implement the Proposed Transactions.

Position: Time to implement the Proposed Transactions extended to XXXXXXXXXX.

Reasons: Based on previous positions.

Author: XXXXXXXXXX
Section: -

XXXXXXXXXX                                                                                            2015-060141

XXXXXXXXXX, 2015

Dear XXXXXXXXXX:

Re:   XXXXXXXXXX
        Supplemental Advance Income Tax Ruling Request

This is in reply to your letter (the “Letter”) dated XXXXXXXXXX, and is supplemental to our advance income tax ruling number 2011-041581 (the “Ruling 1”) and to our supplemental advance income tax ruling numbers: 2014-054422, 2015-056515 (the “Supplemental Ruling 1”) XXXXXXXXXX that were issued to the above-captioned taxpayer on XXXXXXXXXX, respectively (all collectively referred to as the “Rulings”).

Unless otherwise defined herein, all capitalized terms in this letter have the meanings assigned to them in the Rulings.

In your Letter, you requested an extension of time to implement the Proposed Transactions.  You advised that, due to delay in obtaining a ruling from XXXXXXXXXX, the Proposed Transactions have not yet been implemented, except that:

(a)   the articles of incorporation of Can Holdco were amended in accordance with Paragraph 39 of the Ruling 1 on XXXXXXXXXX; and

(b)   the certificate of incorporation of FA 2 was amended in accordance with Paragraph 40 of the Ruling 1 on XXXXXXXXXX.

In addition, you requested that the words “except that the transactions described in Paragraphs 69.1(a) to (e) may be implemented prior to the implementation of the Proposed Transactions” be added to the end of the sentence in Paragraph 69.3 of the Supplemental Ruling 1 that stated that “The Proposed Transactions will be undertaken prior to the implementation of the New Transactions.”  You advised that this was because the New Transactions described in Paragraphs 69.1(a) to (d) of the Supplemental Ruling 1 had already been implemented and the New Transaction described in Paragraph 69.1(e) of the Supplemental Ruling 1 will be implemented on XXXXXXXXXX.  You further advised that the transactions described in Paragraphs 69.1(a) to (e) were considered a preliminary to the primary New Transactions described in Paragraphs 69.1 (g) to (p) of the Supplemental Ruling 1.

Confirmation

We hereby confirm that, subject to the conditions, limitations, qualifications and comments set out in the Rulings, the Rulings will continue to be binding on the CRA, provided that the Proposed Transactions described therein are completed on or before XXXXXXXXXX.  In addition, we confirm that Paragraph 69.3 of the Supplemental Ruling 1 is hereby amended in the manner that you have requested above.

Yours truly,

XXXXXXXXXX
Section Manager
for Division Director
Reorganizations Division
Income Tax Rulings Directorate
Legislative Policy and Regulatory Affairs Branch

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