2018-0784941R3 Change to the facts and proposed transactions in advance income tax ruling.

Principal Issues: The rulings in files 2018-076504, 2015-056473 and 2015-062209 will continue to be valid.

Position: Supplemental Ruling

Reasons: The change does not affect our conclusions.

Author: XXXXXXXXXX
Section: 20(1)(c), 112, 245

XXXXXXXXXX                                                                                                                                                    2018-078494

XXXXXXXXXX, 2018

Dear XXXXXXXXXX:

Re: Advance Income Tax Ruling Request – supplement to file 2015-056473
       XXXXXXXXXX

We are writing in response to your letter of XXXXXXXXXX wherein you advised us of a certain change to the additional information in the Advance Income Tax Ruling dated XXXXXXXXXX (2015-056473) subsequently modified by the letter issued by the Canada Revenue Agency (“CRA”) on XXXXXXXXXX (2015-062209) (referred collectively as the “Original Ruling”), and subsequently modified by the letter issued by the CRA on XXXXXXXXXX (2018-076504) (the “Supplemental Ruling” and, together with the Original Ruling, referred collectively as the “XXXXXXXXXX”) on behalf of the above‑referenced taxpayers. We also acknowledge subsequent e-mails and telephone conversations in this respect.

Unless otherwise stated, terms used in this letter have the meaning given to them in the XXXXXXXXXX.

Based on your letter, the first sentence in Paragraph 36 of the XXXXXXXXXX is amended to read as follows:

For the period from the implementation of the Proposed Transactions to XXXXXXXXXX, Canco2 will compensate Canco1 for the use of its available tax attributes.

We hereby confirm that the amended additional information set out above does not affect the rulings given in the XXXXXXXXXX and that they will continue to be binding on the CRA, subject to the conditions and limitations stated in the XXXXXXXXXX. We also confirm that the opinions given in the XXXXXXXXXX are not affected by these amended facts and proposed transactions, but remind you that those opinions are not binding on the CRA.

Yours sincerely,

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

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