Income Tax Act — I-3.3 212
described in paragraph (b) of the definition relevant funding arrangement , the creditor in respect of the debt or other obligation or the grantor of the specified right, as the case may be; or (c) a person or partnership that does not deal at arm’s length with a person or partnership that is referred to in paragraph (a) or (b) and that deals at arm’s length with the taxpayer. ( bailleur de fonds considéré ) relevant funding arrangement means (a) the particular debt or other obligation referred to in paragraph (3.1)(a); and (b) each debt or other obligation or specified right, owing by or granted to a relevant funder, in respect of a particular relevant funding arrangement, if the debt or other obligation or specified right meets the conditions in subparagraph (3.1)(c)(i) or (ii) in respect of a relevant funding arrangement. ( mécanisme de financement considéré ) specified licensee means (a) a lessee, licensee or grantee of a right similar to a right granted under a lease or licence, under a specified royalty arrangement; (b) an assignee under a specified royalty arrangement; or (c) a purchaser under a specified royalty arrangement. ( porteur de licence déterminé ) specified licensor means (a) a lessor, licensor or grantor of a right similar to a right granted under a lease or licence, under a specified royalty arrangement; (b) an assignor under a specified royalty arrangement; or (c) a seller under a specified royalty arrangement. ( cédant de licence déterminé ) specified right has the same meaning as in subsection 18(5). ( droit déterminé ) specified royalty arrangement has the same meaning as in subsection (3.94). ( mécanisme de redevance déterminé ) specified share means a share of the capital stock of a corporation if, under the terms or conditions of the share, or any agreement or arrangement relating to the share, (a) the holder of the share may cause the share to be redeemed, acquired or cancelled; (b) the issuing corporation is, or may be, required to redeem, acquire or cancel the share at a specific time; or (c) the share is convertible or exchangeable into a share that meets the conditions in paragraph (a) or (b). ( action déterminée ) ultimate funder means a relevant funder, in respect of a relevant funding arrangement (other than the immediate funder) that either (a) is not a debtor, or a holder of a specified right, under a relevant funding arrangement; or (b) is a debtor, or a holder of a specified right, under a relevant funding arrangement, if the amount that would — if the relevant funder were an ultimate funder — be determined for C in the formula in subsection (3.2) is greater than nil. ( bailleur de fonds ultime ) Specified shares (3.81) For the purposes of subsections (3.1) to (3.8), (a) specified shares of a relevant funder, in respect of a relevant funding arrangement, held at any time by a person or partnership are deemed to be a debt of the relevant funder owing to the person or partnership; and (b) the amount outstanding at that time as or on account of the debt is deemed to be equal to the fair market value of the specified shares at that time. Back-to-back arrangement — rents, royalties, similar payments (3.9) Subsection (3.91) applies at any time in respect of a taxpayer if (a) the taxpayer pays or credits a particular amount at that time as, on account or in lieu of payment of, or in satisfaction of, rent, royalty or similar payment, in respect of a particular lease, licence or similar agreement, to a non-resident person or a partnership any member of which is a non-resident person (in this subsection and subsections (3.91) to (3.94) referred to as the immediate licensor ); (b) at any time at or after the time when the particular lease, licence or similar agreement was entered into, (i) a relevant licensor in respect of a particular relevant royalty arrangement has an obligation to pay or credit an amount, either immediately or in the future and either absolutely or contingently, to a person or p