Income Tax Regulations — 6201
6201 (1) For the purposes of paragraph (f) of the definition term preferred share in subsection 248(1) of the Act, a share last acquired before June 29, 1982 and of a class of the capital stock of a corporation that is listed on a designated stock exchange in Canada is a prescribed share unless more than 10 per cent of the issued and outstanding shares of that class are owned by (a) the owner of that share; or (b) the owner of that share and persons related to him. (2) For the purposes of paragraph (f) of the definition term preferred share in subsection 248(1) of the Act, a share acquired after June 28, 1982 and of a class of the capital stock of a corporation that is listed on a designated stock exchange in Canada is a prescribed share at any particular time with respect to another corporation that receives a dividend at the particular time in respect of the share unless (a) where the other corporation is a restricted financial institution, (i) the share is not a taxable preferred share, (ii) dividends (other than dividends received on shares prescribed under subsection (5)) are received at the particular time by the other corporation or by the other corporation and restricted financial institutions with which the other corporation does not deal at arm’s length, in respect of more than 5 per cent of the issued and outstanding shares of that class, and (iii) a dividend is received at the particular time by the other corporation or a restricted financial institution with which the other corporation does not deal at arm’s length, in respect of a share (other than a share prescribed under subsection (5)) of that class acquired after December 15, 1987 and before the particular time; (b) where the other corporation is a restricted financial institution, the share (i) is not a taxable preferred share, (ii) was acquired after December 15, 1987 and before the particular time, and (iii) was, by reason of subparagraph (h)(i), (ii), (iii) or (v) of the definition term preferred share in subsection 248(1) of the Act, deemed to have been issued after December 15, 1987 and before the particular time; or (c) in any case, dividends (other than dividends received on shares prescribed under subsection (5)) are received at the particular time by the other corporation or by the other corporation and persons with whom the other corporation does not deal at arm’s length in respect of more than 10 per cent of the issued and outstanding shares of that class. (3) For the purposes of paragraph 112(2.2)(g) of the Act and paragraph (f) of the definition term preferred share in subsection 248(1) of the Act, a share of any of the following series of preferred shares of the capital stock of Massey-Ferguson Limited issued after July 15, 1981 and before March 23, 1982 is a prescribed share: (a) $25 Cumulative Redeemable Retractable Convertible Preferred Shares, Series C; (b) $25 Cumulative Redeemable Retractable Preferred Shares, Series D; or (c) $25 Cumulative Redeemable Retractable Convertible Preferred Shares, Series E. (4) For the purposes of the definition taxable RFI share in subsection 248(1) of the Act, a share of a class of the capital stock of a corporation that is listed on a designated stock exchange in Canada is a prescribed share at any particular time with respect to another corporation that is a restricted financial institution that receives a dividend at the particular time in respect of the share unless dividends (other than dividends received on shares prescribed under subsection (5.1)) are received at that time by the other corporation, or by the other corporation and restricted financial institutions with which the other corporation does not deal at arm’s length, in respect of more than (a) 10 per cent of the shares of that class that were issued and outstanding at the last time, before the particular time, at which the other corporation or a restricted financial institution with which the other corporation does not deal at arm’s length