Which of the Following Conditions Is Not Required for ITA

question 57

Multiple Choice

Which of the following conditions is not required for ITA 55(2) (capital gains stripping rules) to apply?

• A)There is a disposition of shares by a corporation to an arm's length party.
• B)The corporation that has disposed of the shares has received dividends that are de- ductible under ITA 112(1).
• C)One of the purposes of the dividend received by the corporation was to significantly reduce a capital gain on the disposition of shares..
• D)The corporation selling the shares must be a private company.

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