I-3 - Taxation Act

Section 469 Disposition versions

2006-03-01

469. The rules provided in this chapter apply where a taxpayer acquires any bond, debenture, hypothecary claim, mortgage, bill or similar obligation hereinafter called “indemnity” issued by the government of a foreign country or by a person resident in a foreign country and guaranteed by the government of such country:

(a)  as compensation for shares that the taxpayer owned in a foreign affiliate that carried on business in that country or for all or substantially all the property used by the taxpayer in carrying on business in that country if such shares or property, hereinafter called “foreign property”, were taken from such taxpayer after 18 June 1971 under the authority of a law of that country; or

(b)  as consideration for the sale of such foreign property after that date under the authority of such a law or after notice or other manifestation of an intention to take possession of such a property.

1973, c. 17, s. 53; 1996, c. 39, s. 133; 2005, c. 1, s. 110.