The corporation can choose to buy back its shares in an open market buyback by actively buying from sellers on the exchange platform. In the buyback offer, the corporation indicates the buyback time. During this time, either a regular buyer or the company could be the counterparty for your sell transaction.
The government has enacted a buyback tax, which requires the corporation buying back the shares (open-market or tender buyback offer) to pay all applicable taxes. This confirmation can be used to claim relevant tax breaks under the Income Tax Act of 1961.


Let's pretend you've sold 2000 shares of a corporation from your portfolio. It's probable that the business will only purchase back 800 shares, with the remaining 1200 being sold to a regular buyer. The exchange will send you an email verifying the transaction of the 800 shares that the corporation bought back.