- "Tax Deferred Basis: Exploring ITA's Reorganization Sections

Section 2 Short Answer For each of the following scenarios, explain what section(s) of the ITA's reorganization sections would be applicable and how it would be implemented. Also include 2 requirements for the taxpayer to make use of the section. a)Mrs. Familia owns a $400,000 note payable from CanadaCo Ltd. She would like to exchange this note payable into redeemable preferred shares of CanadaCo Ltd. on a tax deferred basis b)Mr. Proprietor would like to transfer his business assets consisting of land inventory, and goodwill to a new corporation owned 100% by his wife. He wants the transfer to occur without taxes. c)ParentCo, (who owns 100% of the shares of SubCo) would like to amalgamate all of the