View this guide to learn how to perform a Section 85 Inter Share Transaction in eCorp
Perform a Section 85 Inter Share Transaction
The company in which the individual shareholder will be allotted shares is considered the Target company. It will require the class of shares they are being issued to be selected as Redeemable and or Retractable and have S85/86 selected.
Below are steps on how to check for this or change this detail:
1. Open the company
2. Go to Finance
3. Select the Class Name
4. Review the special rights and restrictions that are selected
a. Ensure below is selected
i. Retractable, OR
ii. Redeemable AND
iii. S85/86
5. If these options are not selected, select Edit under Things to Do and select the appropriate items, then select save
The company in which the individual will be transferring their shares to the organizational contact is considered the Source company. Open this company and add a corporate affiliation between this company and the target company
1. Add a corporate affiliation:
2. Go to Modifications
3. Select Corporate Affiliations
4. Select Add a corporate affiliations
5. Select the target company from the company listing and select a relation and relationship
In the Source Company add the target company as a shareholder
1. Go to Modifications
2. Select Contacts
3. Select Shareholders
4. Select Add a Shareholder
a. Select Organization
b. Find/Load the Contact Details, else manually type the details in and submit the contact record
Perform the S85 Inter Share Exchange by going to Finance – Share Transactions – Select Section 85 Inter Share Exchange
1. Select the effective date from the calendar
2. Select the Source shareholder and select and fill in the share detail
3. Select a Target Shareholder and select and fill in the target share detail
4. If this is the only S85 Inter transaction you are performing as of this date select your required documents, else just select submit and generate documents later
Generate Target Documents
1. In Pending Matters of the Source Company select the pending S85 Inter share transaction
2. under things to do you will have the option to select Generate Target Documents
3. Select your required documents then select submit to generate