2018-0766701R3 Supplemental Ruling

Principal Issues: Changes to the facts in ATR 2017-070621

Position: The rulings in file 2017-070621 will continue to be valid.

Reasons: The changes do not affect our conclusions.

Author: XXXXXXXXXX
Section: 20(1)(c); 112(1); 245; 55(2); 88(1.1)

XXXXXXXXXX                                                                            2018-076670

XXXXXXXXXX, 2018

Dear XXXXXXXXXX:

Re: Advance Income Tax Ruling Request – supplement to file 2017-070621
XXXXXXXXXX

We are writing in response to your letter of XXXXXXXXXX wherein you advised us of certain changes to the facts in the advance income tax ruling 2017-070621 issued on XXXXXXXXXX (the “Original Ruling”) on behalf of the above-referenced taxpayers. Terms used in this letter have the meaning given to them in the Original Ruling.

Paragraph 70 in the section Other Representations of the Original Ruling is added to read as follows:

“XXXXXXXXXX. It is expected that the taxable capital gains and recapture of capital cost allowance resulting from these transactions will be cumulatively less than $XXXXXXXXXX in Cco and Eco. Consequently, the total of the non-capital losses of Cco and Eco will be slightly lower than those described in Paragraphs 8 and 11, respectively.  For greater certainty, the representations provided in Paragraph 63 remain unchanged as a result of these contemplated transactions.”

We confirm that the rulings given in the Original Ruling, as amended by this letter, will continue to be binding on the Canada Revenue Agency subject to the same conditions and limitations stated in the Original Ruling.

Yours sincerely,

XXXXXXXXXX
for Director
Partnerships and Corporate Financing Section
Reorganizations Division
Income Tax Rulings Directorate

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