BoK Statement

Define income attribution.
Define beneficial interest.¹
Explain the purpose of the income attribution rules.
Identify individuals who the Canada Revenue Agency deems to be related persons.²
Identify individuals who the Canada Revenue Agency deems to be unrelated persons.³
Explain how the Canada Revenue Agency views dealings between individuals with respect to arm’s length.
- When they are related persons²
- When they are unrelated persons³
Explain criteria that the courts generally use in determining whether parties to a transaction are not dealing at arm’s length.⁴
Explain when income attribution may exist.
- Between spouses or common-law partners¹
- Between a parent and an adult child⁵
- Between a parent and a related minor child⁶
Estimate the potential income tax impact that may occur due to the transfer of property.
- Between spouses or common-law partners
- Between a parent and an adult child
- Between a parent and a related minor child

Glossary of Verbs (mouse over to see definition)

Define

To state exactly the meaning of

Identify

To be aware of / to recognize and correctly name / to locate an appropriate resource

Explain

To make clear the meaning of / to describe something in more detail or reveal relevant facts or ideas related to it

Compare

To note the similarities and differences between two or more things

Estimate

To determine an approximate value for

Calculate

To find the value using mathematics

Convert

To change from one form or purpose to another

Evaluate

To reach a conclusion or make a judgement through careful study

Interpret

To give the meaning of / to construe or understand / to translate orally

Read more about the Taxonomy used in the FP-BoK

Financial Planning Body of Knowledge