Q: In FU to my previous question about the need to pay capital gains my new CVE shares from the takeover of MEG, you stated it can be a tax-free transaction "if the rollover is declared". As I did an AI search for clarity, it states that the Section 85 rollover cannot be declared unilaterally by one party; both the individual taxpayer and the acquiring Canadian company must jointly elect for the Section 85 rollover. Can I assume that CVE would have declared their part in the "joint election" with CRA? So when I file my taxes and use the form, it should be okay? Thanks
5i Research Answer:
Yes, absolutely this should be the case.