Indicate the income tax consequences to the relevant shareholders of the transaction(s) described in each of the following four independent Cases including identifying the applicable IT 84 deemed dividend provision. Tax consequences include the increase or decrease in the individual shareholder's net and taxable income, any change in the ACB and PUC of any shares that are still outstanding after the described transaction(s), and any federal dividend tax credits. Assume that any dividends will be non-eligible.

Joey Fox owns all of the outstanding shares of Joey's Jeans (JJ) a CCPC. His shares have a PUC of $323,400 and an adjusted cost base of $461,500. The Board of Directors agrees to make a corporate distribution that will include a reduction of legal capital and therefore PUC. The distribution is $259,500. The company reduced the PUC of its shares by $163,300 as a result of the distribution. This return of PUC does not relate to the reorganization of the company's business. The applicable IT 84 deemed dividend provision is The result is that there is a deemed dividend of $. The amount to be included in net income will be $. The individual will be entitled to a federal dividend tax credit of $. The PUC of Mr. Fox's shares will be reduced to $, and the ACB of Mr. Fox's shares will be reduced to $ Joey Fox owns all of the outstanding shares of Joey's Jeans (JJ) a CCPC. His shares have a PUC of $323,400 and an adjusted cost base of $461,500. The Board of Directors agrees to make a corporate distribution that will include a reduction of legal capital and therefore PUC. The distribution is $259,500. The company reduced the PUC of its shares by $163,300 as a result of the distribution. This return of PUC does not relate to the reorganization of the company's business. The applicable IT 84 deemed dividend provision is The result is that there is a deemed dividend of $. The amount to be included in net income will be $. The individual will be entitled to a federal dividend tax credit of $. The PUC of Mr. Fox's shares will be reduced to $, and the ACB of Mr. Fox's shares will be reduced to $