Under the Taxation Act, a corporation is associated with another corporation in a taxation year if, at some point in the year:

• one of the corporations directly or indirectly controls, in any manner whatsoever, the other corporation;
• the two corporations are directly or indirectly controlled, in any manner whatsoever, by the same person or same group of persons;
• each of the corporations is directly or indirectly controlled, in any manner whatsoever, by a person, and the person that controls one of the corporations is related to the person that controls the other corporation, and either of the persons owns at least 25% of the issued shares of any class, other than a specified class, of the capital stock of each corporation;  
• one of the corporations is directly or indirectly controlled, in any manner whatsoever, by a person that is related to each member of a group of persons that controls the other corporation, and this person owns at least 25% of the issued shares of any class, other than a specified class, of the capital stock of the other corporation; or
• each of the corporations is directly or indirectly controlled, in any manner whatsoever, by a related group and each member of one of the related groups is related to all of the members of the other related group, and one person who is a member of both related groups owned alone, or several persons who are members of both related groups owned together, in respect of each corporation, at least 25% of the issued shares of any class, other than a specified class, of the capital stock thereof.