There is only one requirement specified in ITA 85(1) with respect to the consideration that the corporation must give the transferor in exchange for property transferred to the corporation. What is it?

A.

The consideration given to the transferor can only include cash and shares of the corporation.

B.

The consideration given to the transferor must include shares of the corporation.

C.

The consideration given to the transferor must include cash equal to the tax value of the property transferred to the corporation.

D.

The consideration given to the transferor must include cash equal to the fair market value of the property transferred to the corporation.