Author Archives: AdjustedCostBase.ca

Tax Consequences of the Power Financial Corporation – PFC (PWF.TO) / Power Corporation of Canada – PCC (POW.TO) Reorganization

Power Corporation and Power Financial announced the completion of a reorganization and share exchange on February 13, 2020: https://www.powerfinancial.com/en/news/press-releases/2020/power-corporation-and-power-financial-announce-completion-of-reorganization-and-the-determination-of-the-final-offer-price-for-the-pre-emptive-right-122598/ Power Corporation of Canada (“Power Corporation” or “PCC”) (TSX: POW) and Power Financial Corporation (“Power Financial” or “PFC”) (TSX: PWF) today announced the successful completion of the previously announced reorganization transaction (the “Reorganization”) pursuant to which, […]

Tax Treatment of the Brookfield Infrastructure LP Unit Split and Creation of Brookfield Infrastructure Corporation (BIPC)

On March 31, 2020 Brookfield Infrastructure Partners L.P. (BIP.UN) announced the completion of a unit split corporate event resulting in each unitholder of BIP.UN on record as of March 20, 2020 receiving 1 shares of Brookfield Infrastructure Corporation (BIPC) for every 9 units of BIP.UN.  In addition, a cash payment was made in lieu of […]

Enbridge Income Fund Holdings (ENF) Acquisition by Enbridge (ENB): Implications for Adjusted Cost Base

In 2018 Enbridge Inc. (ENB) completed its plan to acquire all outstanding shares of Enbridge Income Fund Holdings Inc. (ENF).  Under the arrangement, ENF shareholders received: 0.7350 shares of ENB, and a cash payment of $0.45 for each share of ENF held on November 15, 2018.  An ENF shareholder also received an accrued ENF dividend […]

Capital Gains when Trading Bitcoins and other Cryptocurrencies

The Canada Revenue Agency treats the taxation of Bitcoin and other cryptocurrency trading in a similar fashion to trading commodities or foreign currency.  When trading Bitcoin/cryptocurrencies on capital account, your adjusted cost base must be tracked in order to calculate capital gains and losses. This article will looks at the case for Canadians where trading […]

Tax Consequences of the Patient Home Monitoring (TSXV:PHM) / VieMed (TSXV:VMD) Spin-Off

Patient Home Monitoring (trading under symbol PHM on the TSX Venture exchange) recently completed a spin-off where each shareholder of PHM received 1 new share of PHM and 1/10th of a share of VieMed (trading under symbol VMD on the TSX Venture exchange) for every common share owned, effective December 22, 2017. PHM released a […]