CRA, changing course, states that recognition by statute can include recognition by regulation

ETA Sched V, Pt. VI, s. 18, generally provides a GST/HST exemption for “a supply of a membership made by an organization membership in which is required to maintain a professional status recognized by statute.” This is similar to ITA s. 8(1)(i)(i), which provides for the deductibility of “annual professional membership dues the payment of which was necessary to maintain a professional status recognized by statute.”

After the Excise and GST/HST Rulings Directorate queried the view in 2014-0530691E5 that:

a professional status would generally have to be acknowledged in the statute itself to satisfy the “recognized by statute” condition in subparagraph 8(1)(i)(i) … .

the Income Tax Rulings Directorate changed course and concluded:

[F]or purposes of the meaning of the phrase “professional status recognized by statute” … applying a textual, contextual and purposive analysis, a “professional status” can be “recognized by a statute” for purposes of subparagraph 8(1)(i)(i) … even if it is only recognized in the supporting regulations of an act.

Neal Armstrong. Summary of 8 August 2019 Internal T.I. 2019-0804641I7 under s. 8(1)(i)(i).