Income Tax Severed Letters - 2017-10-04

Ruling

2017 Ruling 2016-0676001R3 - Structured Settlement

Unedited CRA Tags
56(1)(d)

Principal Issues: Will the payments to be received pursuant to the structured settlement be taxable in the claimant's hands in the circumstances described?

Position: No.

Reasons: The terms of the structured settlement are consistent with the CRA's position as set out in paragraph 5 of IT-365R2.

Ministerial Correspondence

16 August 2017 Ministerial Correspondence 2017-0712781M4 - Question on subsection 248(1)

Unedited CRA Tags
91(3) Constitution Act, 1867; 248(1) ITA

Principal Issues: Under what authority is subsection 248(1) based?

Position: See response

2 August 2017 Ministerial Correspondence 2017-0708891M4 - Deductibility of foreign online advertising

Unedited CRA Tags
19; 19.01 & 19.1

Principal Issues: Is foreign online advertising deductible?

Position: Generally, foreign online advertising is deductible.

Reasons: See below.

Technical Interpretation - External

27 June 2017 External T.I. 2017-0708951E5 F - TSFA - Conditions

Unedited CRA Tags
146.2(1), 146.2(1)
Summary Under
Tax Topics - Income Tax Act - Section 146.2 - Subsection 146.2(4)
(apparently permitted) covenant in TFSA declaration requiring asset minimum to support loan to holder
Summary Under
Tax Topics - Income Tax Act - Section 146.2 - Subsection 146.2(2) - Paragraph 146.2(2)(a)
negative covenant in favour of lender to TFSA holder permitted

Principales Questions: Whether a TFSA can have restrictions such as a minimum amount that needs to be kept in the account in order to ensure that the amount owed by the TFSA holder as a result of a loan to make a contribution is paid?

Position Adoptée: General comments provided about the conditions that must be met for an arrangement to be a "qualified arrangement" pursuant to subsections 146.2(1) and (2).

Raisons: Legislation.