Dates and location
Pricing
Hours
Dates and location
Pricing
Hours
Description
Clients often engage professional accountants to assist with transactions designed to accomplish objectives such as creditor proofing, estate planning, and corporate restructuring. These transactions require that practitioners possess comprehensive knowledge of Section 85 in the Income Tax Act (ITA) in order to meet the client’s objectives in a tax-efficient manner. Section 85 interacts with several related and anti-avoidance provisions that professionals should understand in relation to these engagements.
In order to help practitioners and other tax professionals assist clients and others with property transfer engagements, this seminar covers selected tax aspects explaining the transfer of property to a corporation using the Section 85 rollover rules. Each module contains specific examples and cases designed to help participants review relevant tax theory and focus on major tax planning issues, including filing requirements and ensuring the transaction is not caught by key anti-avoidance provisions.
This course does not cover the accounting treatment of the transfer of property pursuant to a Section 85 election.
Topics Include:
- The purpose and use of Section 85 of the ITA.
- Conditions of application.
- Agreed amount: election and limits.
- Cost of consideration and other rules.
- Paid-up capital and legal characteristics of shares received.
- Anti-avoidance rules and other considerations.
- Election deadline and penalties.
NOTE: This course description has been revised and reflects updates for 2024. If you have any questions, please contact pdevents@cpaontario.ca.
Unlock learning anytime, anywhere with the Blackboard Learn app
Seamlessly access your on demand courses, assignments, and get PD hours on the go. Learn how to download now and elevate your education experience with the convenience of mobile learning.
Key Takeaways
By the end of this course, participants should be able to:
- Identify the conditions necessary to make a Section 85 election and the property eligible to transfer under Section 85.
- Apply the upper and lower limits of an “agreed amount” for the transfer or property.
- Determine the cost amount of property transferred under Section 85.
- Compare and contrast the requirements of and circumstances when Section 85 would be used instead of Section 85.1.
- Be aware of the relevant anti avoidance rules associated with a transfer of property under Section 85.
- Complete a T2057 election form and be aware of the deadlines for filing a Section 85 election and related penalties.
Who Will Benefit
Tax professionals and practitioners who seek improved knowledge about Section 85 and the process for correctly preparing and filing a T2057 election.
Participants in this seminar may also benefit from Corporate Restructuring: Fundamentals, Advanced Tax Planning Strategies and Corporate Restructuring: Application for Private Corporations.
Prerequisite(s)
Participants should be familiar with the ITA.
How to Access the Course
New mobile learning! Download Blackboard Learn from your app store (iOS or Android). Learn more.
To access the course on your computer please visit our BlackBoard site, and log-in using the same login and password used for the Registration Portal.
Please allow up to 15 minutes after registration for the course to appear on your BlackBoard page.
Registration, cancellation, withdrawal and all other CPA Ontario PD policies can be found here.