Question
Kim has acquired 50% of the shares owned by Betty in two companies, LTC Ltd and Non-LTC Ltd, which have accumulated losses available to be
Kim has acquired 50% of the shares owned by Betty in two companies, LTC Ltd and Non-LTC Ltd, which have accumulated losses available to be carried forward and set off against the profits of a future year. LTC Ltd is a look through company and Non-LTC Ltd is a not a look through company. Kim also has shares in another profitable company, Kim Ltd.
Required:
Kim has asked whether he could access the losses of these two companies that are carried forward by either consolidating or amalgamating them with Kim Ltd.
Step by Step Solution
There are 3 Steps involved in it
Step: 1
No Kim cannot directly access the accumulated losses of LTC Ltd and NonLTC Ltd by either consolidati...
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Step: 2
Step: 3
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Canadian Income Taxation Planning And Decision Making
Authors: Joan Kitunen, William Buckwold
17th Edition 2014-2015 Version
1259094332, 978-1259094330
