I-3 - Taxation Act

Section 965.91 Disposition versions

2010-04-20

965.91. For the purposes of paragraph d of section 965.90, the following rules apply:

(a)  a corporation is deemed to have had not fewer than five full-time employees who are neither insiders within the meaning of section 89 of the Securities Act (chapter V-1.1) nor persons related to such insiders, if

i.  throughout the 12-month period preceding the date of the receipt for the final prospectus or of the exemption from filing a prospectus, a class of shares of its capital stock is listed on a designated stock exchange located in Canada, and

ii.  a person, other than such an insider or a person related to such an insider, or a partnership provides the corporation, in the period described in subparagraph i, with services under a service contract and the corporation would normally require the services of more than five full-time employees if those services were not provided; and

(b)  if the favourable advance ruling referred to in paragraph e of section 965.74 or paragraph c of section 965.76 confirms that the corporation making a public share issue is carrying on a business on a seasonal basis and that the continuous period during which the business is carried on is comparable to that of other businesses operating in the same sector of activity, paragraph d of section 965.90 is to be read as if “throughout the preceding 12 months” was replaced by “throughout a period of seasonal activity that precedes that date”.

2006, c. 13, s. 80; 2009, c. 5, s. 389; 2010, c. 5, s. 112.

2009-05-15

965.91. For the purposes of paragraph d of section 965.90, the following rules apply:

(a)  a corporation is deemed to have had not fewer than five full-time employees who are neither insiders within the meaning of section 89 of the Securities Act (chapter V-1.1) nor persons related to such insiders, if

i.  a class of shares of its capital stock is listed on a Canadian stock exchange throughout the 12-month period preceding the date of the receipt for the final prospectus or of the exemption from filing a prospectus, and

ii.  a person, other than such an insider or a person related to such an insider, or a partnership provides the corporation, in the period described in subparagraph i, with services under a service contract and the corporation would normally require the services of more than five full-time employees if those services were not provided; and

(b)  if the favourable advance ruling referred to in paragraph e of section 965.74 or paragraph c of section 965.76 confirms that the corporation making a public share issue is carrying on a business on a seasonal basis and that the continuous period during which the business is carried on is comparable to that of other businesses operating in the same sector of activity, paragraph d of section 965.90 is to be read as if “throughout the preceding 12 months” was replaced by “throughout a period of seasonal activity that precedes that date”.

2006, c. 13, s. 80; 2009, c. 5, s. 389.

2006-06-13

965.91. For the purposes of paragraph d of section 965.90, a corporation is deemed to have had not fewer than five full-time employees who are neither insiders within the meaning of section 89 of the Securities Act (chapter V-1.1) nor persons related to such insiders, if

(a)  a class of shares of its capital stock is listed on a Canadian stock exchange throughout the 12-month period preceding the date of the receipt for the final prospectus or of the exemption from filing a prospectus; and

(b)  a person, other than such an insider or a person related to such an insider, or a partnership provides the corporation, in the period described in paragraph a, with services under a service contract and the corporation would normally require the services of more than five full-time employees if those services were not provided.

2006, c. 13, s. 80.