BU357 Lecture 3: BU357- W2, L1
Document Summary
Chapter 2: looked at chapter 2, problem 2, corporations: either a resident or a non-resident. Is the corporation a full-time resident under common law: at any time during the year, is central management and control exercised in canada, where the bod meet and make the higher level, strategic decision. If at a(cid:374)y ti(cid:373)e a ca(cid:374)adia(cid:374) (cid:272)o(cid:373)pa(cid:374)y"s bod ha(cid:448)e a(cid:374) a(cid:374)(cid:374)ual meeting in canada for a couple of days, therefore they are by common-law a resident of canada for the entire year. If in the case of a corporation incorporated after april 26, 1965, it was incorporated in canada: non-resident, at no point were the central management and control exercised in. Income from: business carried on, in canada, disposal of taxable canadian property. Is person x an employee: getting a consistent paycheck, managers would set schedules, have control over the services, client is paying the salon, will deduct fewer expenses from income than a contractor can, employer decides.
