Income Tax Severed Letters - 2000-03-03

Miscellaneous

14 February 2000 Miscellaneous 2000-0005326 - LOSS OF EMPLOYMENT-SALARY TOP-UP

Unedited CRA Tags
248(1) 6(3)

Position:

Employment income

3 February 2000 Miscellaneous 2000-0002106 - INCOME INTEREST INDIAN

Unedited CRA Tags
12(1)(c) 81(1)(a)

Principal Issues:

1. Whether a portion of the pay equity payment relating to employment income that was tax exempt will be tax exempt.
2. Whether interest on pay equity payments is taxable.

Position:

1. Yes
2. Yes it is taxable under paragraph 12(1)(c) of the ITA for the year the payment is received.

Reasons:

Administrative Letter

21 January 2000 Administrative Letter 1999-0005332 - EXPENSES-SALESMAN

Unedited CRA Tags
8(13)

Principal Issues: Interpretation of "regular and continuous" in ITA 8(13)(a)(ii).

Position: Question of fact. Interpretation is similar to that for the same expression found in ITA 18(12)(a)(ii) and set out in paragraph 3 of IT-514.

Reasons: Paragraph 3 of IT-514

Ruling

1999 Ruling 9922493 - LIMITED PARTNERSHIP - FILM FINANCING

Unedited CRA Tags
9(1) 143.2 18.1(15)(b) 96(2.2)(d) 20(1)(c)

Principal Issues: Multi-level partnership structure to provide financing through a limited partnership for film and television industry production in Canada for those costs not eligible for tax credits. (1) Are the "operating" partnership's costs deductible? (2) Does section 18.1 apply to the "operating" partnership? (3) Are losses deductible? (4) What impacts upon the "at-risk" amount of the investors? (5) Is interest borrowed to invest deductible?

Position: (1) Yes, subject to eligibility under the Act and caveats described in the ruling.
(2) No.
(3) Losses would be deductible to the extent of the at-risk amount of the limited partner and subject to 143.2.
(4) Caveats provided in rulings, but generally, in this case, the at-risk amount would be the full outlay by the partners and partnership.
(5) Yes, subject to caveats in standard ruling provided.

Reasons: (1) Incurred in course of earning income from business or property (subject to reasonable expectation of profit).
(2) The exception in paragraph 18.1(15)(b) is met.
(3) To the extent realized in course of earning income from business or property (subject to reasonable expectation of profit).
(4) Application of 96(2.2).
(5) Application of 20(1)(c).

1999 Ruling 9926003 - RETIRING ALLOANCES AND OUTSOURCING

Unedited CRA Tags
56(1)(A)(II)

Principal Issues: Whether severance amounts paid to employees hired by outsourcer are retiring allowances.

Position: Yes

Reasons: Question of fact. The pertinent facts which are all able to be established at the time of the ruling lead to the conclusion that the outsourcer is not affiliated (as that term is used in IT-337R3) with former employer.

1999 Ruling 9926113 - DEFERRED STOCK UNIT PLAN

Unedited CRA Tags
REG 6801(d)

Principal Issues: Whether deferred stock unit plan is a prescribed plan under paragraph 6801(d) of the Income Tax Regulations

Position: Yes

Reasons: The plan meets the requirements of paragraph 6801(d)

1999 Ruling 9931263 - PHANTOM STOCK PLAN CCPC

Unedited CRA Tags
REG 6801(d)

Principal Issues: Will a plan qualify under 6801(d) where the deferred share units relate to preferred shares?

Position: Yes.

Reasons: 6801(d) conditions are satisfied.

1998 Ruling 9826153 - LIMITED PARTNERSHIP ACB ADJUSTMENT

Unedited CRA Tags
53 96

Principal Issues: administrative position to adjust ACB of partnership interest at year end to avoid double taxation

Position: Give ruling that 53(1) and (2) adjustments apply at year end.

Reasons: Admin position discussed in tech news

Technical Interpretation - External

24 February 2000 External T.I. 1999-0007685 - CROSS TRADES IN RRSP AND FOREIGN PROPERTY

Unedited CRA Tags
206 53(1)(f) 40(3.4)

Principal Issues: Whether, for purposes of section 206 an RRSP trust can sell property in the market or to the annuitant at fair market value and immediately repurchase the property to reflect a new "cost amount";

Position: Yes, although we have not considered how GAAR might apply.

Reasons: The superficial loss rules in paragraph 53(1)(f) do not apply where the rules in subsection 40(3.4) apply ("suspended loss"). Subsection 40(3.4) applies where the disposition is by a trust, but there is no mechanism under section 53 to adjust the cost amount of the newly reacquired property where subsection 40(3.4) applies.

23 February 2000 External T.I. 1999-0015035 - RETIRING ALLOWANCE

Unedited CRA Tags
248(1) 60(j.1)

Principal Issues: Will a severance payment be a retiring allowance if the employee being terminated independently seeks and obtains employment with an affiliate before receiving the severance?

Position: No.

Reasons: Strict application of the wording of IT-337R3 par. 3(b) and Technical News No. 7.

23 February 2000 External T.I. 1999-0014585 - DEBT FORGIVENESS - INCOME INCLUSION

Unedited CRA Tags
80(13) 61.3

Principal Issues: Whether the Debt Forgiveness Rules can apply on the Winding-up of a corporation under subsection 88(2).

Position: General Comments.

Reasons: Question of fact and not enough information provided.

23 February 2000 External T.I. 1999-0008665 - Definition of a CCPC

Unedited CRA Tags
125(7) 251(5)

Principal Issues: Contingent share rights - Are options or rights described in subparagraph 251(5)(b)(i) relevant for the purpose of paragraph 125(7)(b) of the CCPC definition.

Position: Yes.

Reasons: The law.

23 February 2000 External T.I. 1999-0014315 - Deductibility of non-capital losses

Unedited CRA Tags
111(5) 87(2.1)

Principal Issues: Flow through of non-capital losses after an acquisition of control - wholesale business and retail business of that same product merged.

Position: Question of fact but generally the wholesale business of product A is a same or similar to the retail business of product A.

Reasons: The law.

22 February 2000 External T.I. 2000-0005075 - transitional rules to ss 112(3)

Unedited CRA Tags
112(3)

Principal Issues: Whether an amendment to an agreement in writing which was in existence on April 26, 1995 which provides for the corporation to purchase life insurance to fund the repurchase of shares on death is a material change?

Whether an amendment requiring the corporation to elect under subsection 83(2) is a material change?

Position: Yes.

Reasons: The change is fundamental enough to result in a new agreement.

22 February 2000 External T.I. 1999-0010825 - stop loss - subsection 40(3.6)

Unedited CRA Tags
40(3.6) 164(3.6)

Principal Issues: In the situation where an estate does not itself have de facto control over a corporation, but the corporation is controlled by the related group consisting of the trustees of the estate, whether the estate would be affiliated with the corporation?

Position: No.

Reasons: None of the trustees of the estate is affiliated with another.

21 February 2000 External T.I. 1999-0008485 - safe income and convertible preferred shares

Unedited CRA Tags
55(2) 55(5)

Principal Issues: How is safe income attributed to preferred shares that are convertible into common shares.

Position: Question of fact but if the portion of a capital gain that was reduced by the dividend arose from safe income of the corporation generally the preferred shares should share pro-rata with the common shares based on the number of common shares that could be acquired if the shares had actually been converted.

Reasons: The law.

21 February 2000 External T.I. 1999-0009425 - stock option exercised by non-resident

Unedited CRA Tags
art 15 115(1)(a)(i)

Principal Issues: Stock option exercised by non-resident.

Position: Benefit is attributable to employment in year option granted.

Reasons: Law. Numerous previous files.

21 February 2000 External T.I. 1999-0015895 - SENIORS RESIDENCE-FORMER BUSINESS PROPERTY

Unedited CRA Tags
44(5) 248(1)

Principal Issues: Whether a seniors' residence will qualify as a former business property.

Position: It depends on the facts.

Reasons: While the described operation of the seniors' residence may be compared to that of a hotel or motel, the determination of whether or not real property is used principally for the purpose of gaining or producing gross revenue can only be made following an actual review of all of the facts.

21 February 2000 External T.I. 2000-0004915 - FARMLAND-CONV. TO INVENTORY

Unedited CRA Tags
10 9

Principal Issues: Where a farmer with respect to the development of farmland that he or she intends to sell, subdivides and then proceeds to develop the land, will the land be considered to have been converted to inventory when (i) application was made to the relevant authority for approval of a plan to subdivide the land or (ii) the owner commences or causes the commencement of improvements to the land?

Position: When application was made to the relevant authority for approval of a plan to subdivide the land.

Reasons: The intention to convert the land to inventory at that time is consistent with comments in 930206 and 942718

21 February 2000 External T.I. 1999-0010295 - Subsections 20(11), 20(12) and 126(1)

Unedited CRA Tags
20(11) 20(12) 126(1)

Principal Issues: Whether U.S. taxes paid by an individual who owns all the shares of a Nova Scotia ULC which owns all the shares of a U.S. LLC are eligible for a deduction under subsection 20(11) or 20(12) or a foreign tax credit under subsection 126(1).

Position: No. Subsection 20(11) does not apply. The taxpayer may be entitled to the subsection 20(12) deduction and/or a foreign tax credit under subsection 126(1).

Reasons: There is no foreign source income that has been included in computing the taxpayer's income for the purposes of subsection 20(11). The tax paid is non-business income tax and there is nothing in subsection 20(12) which precludes a deduction under that subsection from creating a loss.
.
XXXXXXXXXX 1999-001029
S. Leung
Attention: XXXXXXXXXX

21 February 2000 External T.I. 1999-0010305 - Foreign Tax Credit

Unedited CRA Tags
126(1)

Principal Issues: Whether a foreign tax credit is available to the taxpayer who is an individual in respect of U.S. tax paid by him on his share of income earned by a U.S. limited liability company

Position: Yes where the taxpayer is an individual and to the extent that the foreign tax has not been reduced by the application of subsections 20(11) of the Act.
The claim for the subsection 20(12) deduction would also have impact on the foreign tax credit.

Reasons: The U.S. tax is a non-business income tax for purposes of subsection 126(7) of the Act
.
XXXXXXXXXX 990077
S. Leung
Attention: XXXXXXXXXX

21 February 2000 External T.I. 1999-0006955 - MUNICIPAL CORPORATION PASSIVE INVESTMENTS

Unedited CRA Tags
149(1)(d.5) 149(1)(d.6)

Principal Issues:
Where a municipal corporation or a subsidiary of a municipal corporation invests surplus cash in shares, would any dividends received on the shares and any capital gain realized on the disposition of the shares be considered to be income from activities carried on outside the geographical boundaries of the municipality for the purposes of paragraph 149(1)(d.5) and (d.6)?

Position:
Factual determination. Based on the facts provided, it would seem reasonable to consider any dividends received and any capital gain realized on the disposition of the shares to be income from activities carried on within the geographical boundaries of the municipality.

Reasons:
Wording and intent of the legislation.

21 February 2000 External T.I. 1999-0008605 - Reimbursement of stock option costs

Unedited CRA Tags
15(1) 214(3)(a) 246(1)(b) 212(1)(a)

Principal Issues: whether reimbursement of stock option costs constitutes a benefit conferred on a shareholder

Position: question of fact

Reasons: depends on circumstances

21 February 2000 External T.I. 1999-0010805 - Stop loss - subsection 40(3.6)

Unedited CRA Tags
40(3.6) 251.1(1)

Principal Issues: In the situation where an estate does not itself have de facto control over a corporation, but the corporation is controlled by a second trust having the same group of trustees as the estate, whether the estate would be affiliated with the corporation ?

Position: No.

Reasons: none of the trustees of the estate is affiliated with another and any decision made by the estate and the trust requires majority approval by the trustees.

18 February 2000 External T.I. 1999-0015535 - TRANSFER TO IRA FROM EBP

Unedited CRA Tags
60(1)(g) 56(1)(a)(i)(C.1)

Principal Issues:
1) Where a U.S. employer transfers an amount from a plan or arrangement that constitutes an employee benefit plan for purposes of the Act to a former employee's IRA and the former employee is now a resident of Canada, will the amount transferred have to be included in the former employee's income?
2) Will the full amount eventually received from the IRA be taxable?

Position: 1) Yes 2) Yes

Reasons:
1)The amount is being paid to the IRA on the former employee's behalf. 2)The full amount is included under the Act.

18 February 2000 External T.I. 1999-0008945 - Purchase of shares from co-owner - GAAR

Unedited CRA Tags
245 84.1

Principal Issues: Confirmation of position in Question 22 1995 APFF.

Position: No change.

Reasons:

17 February 2000 External T.I. 1999-0012875 - LEGAL FEES

Unedited CRA Tags
60(o)

Principal Issues: Subparagraph 60(o)(ii) of the Income Tax Act (the "Act") allows a taxpayer to deduct fees or expenses incurred in preparing, instituting or prosecuting an appeal in respect of a decision of the Canada Employment Insurance Commission (the "Commission"). Under section 90 of the Employment Insurance Act (the "EI Act"), certain issues, including the issue of insurability, can be referred to the CCRA for a ruling by an employee, an employer, or the Canada Employment Insurance Commission (the "Commission"). Under the EI Act (e.g., section 91 of the EI Act) the ruling can be appealed. In connection with an appeal in respect of a ruling, comments on page 16 (Line 9809 - legal and Accounting fees) of the Farming Income guide state that "If you paid accounting and legal fees to file an appeal against an assessment or decision under the Act, ... the EI Act ..., do not deduct them here. Deduct these fees on line 232 of your income tax return." Do these comments mean that a taxpayer can administratively deduct legal fees in respect of the appeal on the basis that the ruling is a decision?

Position: No. However, it is our general position that the employer could deduct the legal expenses under paragraph 18(1)(a) of the Act.

Reasons: The ruling issued under the EI Act is not considered to be a decision of the Commission under the EI Act. A decision of the Commission is referred to in other provisions of the EI Act. In the case of paragraph 18(1)(a) of the Act in respect of the employer, paragraph 2 of IT-99R5 indicates that legal fees incurred in connection with normal activities necessary to the earning of income from a business are generally deductible under paragraph 18(1)(a) of the Act.

16 February 2000 External T.I. 1999-0014495 - DESIGNATION UNDER U.S. STOCK OPTIONS

Unedited CRA Tags
51 110(1)(D) REG 6204

Principal Issues:
Some U.S.A. based stock option plans allow employees to exercise their options and "certify" shares owned by the employee in a manner described in the letter as an alternative to paying the option exercise price. The "certification" allows the employee to receive new shares equal in value to the benefit under the option. However, because the certified shares covering the exercise price of the option are not, in fact, disposed of for U.S. tax purposes, there is no gain or loss. We were asked what the tax consequences would be to a Canadian resident employee if the employee surrendered existing shares to pay the exercise price or if the employer exercised such an option through the certification process. (i.e., would there be a disposition of existing shares on the exercise of the option and would there be a deduction under 110(1)(d) of the Act?)

Position:
It is a question of fact but in similar situations we have addressed there is no disposition and paragraph 110(1)(d) deduction available.

Reasons:
Section 51 applies if shares are surrendered and are converted into shares of the same corporation; if shares are not surrendered but a lesser amount of shares are acquired under the option, then there is no disposition of existing shares. The 110(1)(d) deduction is available where no consideration is paid and shares are acquired with the in-the-money option increase in value since grant.

16 February 2000 External T.I. 1999-0015925 - PARTNER RETIRING ALLOWANCE

Unedited CRA Tags
248(1)

Principal Issues: Can a partnership pay a retiring allowance to a retiring partner who used to be an employee?

Position: Question of fact.

Reasons: Generally admission to partnership is reward for previous service but there may be limited situations where a payment may be considered a retiring allowance in recognition of the partner's previous service as an employee.

16 February 2000 External T.I. 1999-0008435 F - Société associées

Unedited CRA Tags
256

Principal Issues: Est-ce que les deux sociétés sont associées?

Position: Pas assez de faits pour nous prononcer. Toutefois pas associées en raison de 256(1.2) et 256(1.3).

Reasons: Application des dispositions

15 February 2000 External T.I. 1999-0007735 - POLITICAL RISK INSURANCE

Unedited CRA Tags
20(1)(e) 20(1)(e)(ii)

Principal Issues: Political Risk Insurance on Loans

Position: Not possible to take general position - case by case basis only

Reasons: fees for political risk loan insurance may qualify in some instances and not in others - depends on particular facts

15 February 2000 External T.I. 1999-0006625 - GIFTS BY WILL

Unedited CRA Tags
118.1(5)

Principal Issues: An individual has made a will that provides for a gift of a portion of the residue to unnamed recipients in furtherance of charitable objectives. There is absolute discretion in the Trustees whether to make the gift, and to whom. The testator is now incapacitated and cannot change her will. The testatator's advisors have established a private foundation and seek an opinion whether that provides sufficient certainty as to the identity of the recipient of the gift to enable a tax credit to be claimed in the year of death under subsection 118.1(5).

Position: The situation described would not constitute a gift by will for the purposes of subsection 118.1(5).

Reasons: Where a trustee, under the direction of the will, has discretion as to whether a gift be made, to whom a gift is to be made, or the amount of a gift to be made, it is our general view that subsection 118.1(5) would not apply. The will described provides discretion to the trustee as to whether the gift be made, and to whom.

15 February 2000 External T.I. 1999-0015155 F - SOCIETE EXPLOITANT UNE PETITE ENTRE.

Unedited CRA Tags
110.6(1)

Principales Questions:
Est-ce qu'un contribuable peut avoir droit à la déduction pour gains en capital (110.6(2.1)) lors de la vente d'actions d'une société dont le seul actif est un immeuble loué à une société liée qu'elle utilise dans une entreprise exploitée activement ?

Position Adoptée:
Oui, dans la mesure où les autres critères de la définition d'AAPE sont respectés.

15 February 2000 External T.I. 1999-0006995 - CHARITABLE REMAINDER TRUSTS

Unedited CRA Tags
110.1 118.1

Position:
1. Elections available in certain circumstances
2. A CRT is either a testamentary or inter-vivos trust and not specifically exempted from taxation. The income may be taxed in the hands of the beneficiaries if the appropriate elections are made under section 104.

15 February 2000 External T.I. 1999-0015725 - WAIVER TO EXCEED RRSP LIMIT

Unedited CRA Tags
146(1)

Principal Issues: Can we provide a waiver to allow a taxpayer to contribute more to an RRSP than the taxpayer is entitled to under the Act?

Position: No.

Reasons: No provision in the Act allows us to provide this waiver of the over-contribution tax.

15 February 2000 External T.I. 1999-0011755 - Matchable Expenditures

Unedited CRA Tags
18.1

Principal Issues: Where amounts are paid as tenant inducement to induce a tenant to enter into a lease can the payments of rent to be received be considered a right to receive production and as a consequence the inducement would be a matchable expenditure.

Position: Generally a lease for the use of property would be included in the definition of "right to receive production". Whether a matchable expenditure under any of 18.1(1) (a),(b) or (c) is a question of fact.

Reasons: Plain reading of 18.1.

14 February 2000 External T.I. 1999-0012585 - Fiscal period Non-resident Corporation

Unedited CRA Tags
249.1(1)

Principal Issues:
1. You have asked us if the corporation choose to submit its accounts for Canadian tax purposes with a fiscal period ending on December 31, will the inaugural fiscal period of the branch be considered May to December , thus requiring a proration of capital cost allowance, or instead be considered to be January to December, that coinciding with the fiscal period of the U.S. corporation for U.S. purposes ?

2. You have asked whether the fiscal period of a branch operation must necessarily coincide with the fiscal period of the U.S. Corporation for U.S. purposes.

Position:
1. As the U.S. corporation was in existence in January and provided that it has not filed a tax return in Canada for any previous taxation year, the corporation may select January as the start of its fiscal period. Our view is that the inaugural fiscal period of the U.S. corporation for Canadian tax purposes would be considered to be January to December if the corporation chooses that period and that the proration rule of capital cost allowance would not apply.

2. Under the provisions of subsection 249.1(1) of the Act, a non-resident corporation which commenced business operations in Canada through a branch is permitted to select a fiscal period for Canadian tax purposes different from that being used by the corporation for reporting purposes in a foreign jurisdiction.

Reasons:

11 February 2000 External T.I. 1999-0015405 - PENSION PAYMENTS TO ESTATE

Unedited CRA Tags
56(1)(a)(i)

Principal Issues: Will an amount received out of a pension plan by an estate twelve years after the death of an individual constitute pension income under paragraph 56(1)(a) of the Act to the estate?

Position: Yes.

Reasons: Pension amounts are taxed in the hands of the recipient, in this case the estate of the deceased.

11 February 2000 External T.I. 1999-0014615 - RETIRING ALLOWANCE OR DEATH BENEFIT

Unedited CRA Tags
56(1)(a)(ii) 56(1)(a)(iii)

Principal Issues: 1) Is an amount paid to a deceased employee's spouse a retiring allowance or a death benefit? 2) If former employer participates in same pension plan as current employer but employee's service with former employer is not recognized under the pension plan, is the former employer considered a related employer for purposes of 60(j.1) of the Act?

Position: 1) Question of Fact 2) No

Reasons: 1) Where the employee was employed at the time of death then considered a death benefit, if not employed then considered a retiring allowance. 2) To be considered related, some or all of the service with the former employer has to be recognized in determining the retiree's pension benefits.

11 February 2000 External T.I. 1999-0003275 F - AIDE FINAN. VERGLAS-ERABLIERE

Unedited CRA Tags
54(f)

Principales Questions:

Quel traitement fiscal devrait être accordé aux compensations pour la perte d'arbres reçues par les exploitants d'érablières suite à la tempête de verglas ?

Position Adoptée:

11 February 2000 External T.I. 1999-0014875 - PRIVATE HEALTH SERVICES PLAN

Unedited CRA Tags
248(1)

Principal Issues: What is the requirement to have a private health services plan as set out in paragraph 7 of IT-339R2

Position: General comments as to what constitutes a PHSP

Reasons: Paragraph 7 of the bulletin should be read in context.

11 February 2000 External T.I. 1999-0003965 F - DEPENSES ENGAGEES-PROVISIONS

Unedited CRA Tags
18(1)(a) 18(1)(e)

Principales Questions : déterminer si une réserve de remplacement visant l'étalement d'une dépense anticipée au sujet de composantes majeures d'un immeuble à revenus serait déductible du revenu dans l'année du versement à un compte "in trust".

Position Adoptée : aucune détermination possible; résumé de la politique de l'Agence.

10 February 2000 External T.I. 1999-0013775 - CCPC SHARES QUALIFIED INVESTMENT

Unedited CRA Tags
REG 4900(6) REG 4900(12)

Principal Issues: Will shares of a certain private corporation be qualified investments for an RRSP?

Position: Question of fact.

Reasons: We need to see all of the facts to determine whether the shares would meet 4900(6) or (12) of the Regulations.

10 February 2000 External T.I. 1999-0008155 - TUITION FEE REDUCTION (NON-EMPLOYEES)

Unedited CRA Tags
56(1)(n) 6(1)(a) 110.1

Principal Issues:
1. Is a reduction in tuition fees given to children of non-employees of a School that provides religious and secular education , taxable under 56(1)(n) of the Act?
2.Is the reduction taxable to the student, parent of the student or in some cases the related employee?
3.Is it appropriate to include an amount as a charitable donation?

10 February 2000 External T.I. 1999-0002765 F - APPLICATION DE LA LOI

Unedited CRA Tags
129(6)

Principales Questions:
Cinq sociétés, non associées entre elles, contrôlent, dans les mêmes proportions, deux sociétés de personnes (A & B). La Société de personnes B loue un immeuble à la Société de personnes A qui elle, l'utilise dans l'exploitation de son entreprise. Le paragraphe 129(6) de la Loi, peut-il s'appliquer pour que les cinq sociétés considèrent le revenu qui leur est attribué de la Société de personnes B, comme un revenu d'entreprise exploitée activement?

Position Adoptée:
Non.

10 February 2000 External T.I. 1999-0008425 - REDEMPTION OF SHARES

Unedited CRA Tags
7(1.1) 110(1)(D.1)

Principal Issues: Would shares held by an employee that are subjected to 7(1.1) of the Act be eligible for the 110(1)(d.1) deduction where the shares are purchased for cancellation by the employer corporation?

Position: Yes.

Reasons: Where all of the conditions of 110(1)(d.1) are satisfied, the fact that shares are purchased for cancellation will not result in the employee losing the 110(1)(d.1) deduction.

10 February 2000 External T.I. 1999-0009265 - relationship

Unedited CRA Tags
55(5)(e) 55(3)(a)

Principal Issues: whether 55(5)(e)(ii) applies

Position: yes

Reasons: meets wording of provision

9 February 2000 External T.I. 1999-0005405 - BC FAMILY RELATIONS ACT-DIV. OF ASSETS

Unedited CRA Tags
73(1) 73(1.1) 74.1 74.2

Principal Issues:
1. Whether the occurrence of a triggering event described in subsection 56(1) of the Family Relations Act of British Columbia (the "FRA") results in a transfer of property (i.e., of an interest in a family asset), and the timing of such a transfer, if any.

9 February 2000 External T.I. 1999-0008505 - transfer of foreign pension plan to rrsp

Unedited CRA Tags
56(1)(a)(i) 60(j)

Principal Issues:
1) Can the payment of a lump sum payment out of a foreign pension plan be rolled to an RRSP
2) The recipient received a salary continuance payment after becoming a resident of Canada, will this affect the amount he can roll to the RRSP

Position:
1) Question of fact, explained provisions in EBP, 56(1)(a)(i) and 60(j) rules
2) Yes it will affect the amount. The amount of pension payment for this period of time would be considered a payment from an EBP

Reasons:
1) Would depend on facts of situation and determination of what period of time the payment relates to. ie was the recipient a non-resident and a pension payment and whether the criteria in 60(j) are met.
2) Salary continuance is considered employment income and received while recipient was a resident of Canada

9 February 2000 External T.I. 1999-0015145 - FORGIVENESS-DEBT RECEIVABLE

Unedited CRA Tags
54 40(2)(g)

Principal Issues: General comments were provided on the forgiveness of a debt receivable.

Position: See principal issues

Reasons: See principal issues

9 February 2000 External T.I. 1999-0013825 - DSLP BUYOUT PACKAGE

Unedited CRA Tags
REG 6801(a)

Principal Issues: Where an employee on leave under a deferred salary leave plan decides to accept a buyout offer, how will the amounts deferred under the DSLP be taxed where the employee will not be returning to work in accordance with the DSLP?

Position: Deferred amounts taxed when conditions of the Plan ceased to be satisfied.

Reasons: Where the DSLP satisfied 6801(a) and subsequent events result in a condition of the DSLP not being satisfied, the deferred amounts will be taxed as income for the year in which the condition ceases to be satisfied.

9 February 2000 External T.I. 1999-0008565 - RETIRING ALLOWANCE IN INSTALMENTS

Unedited CRA Tags
60(j.1)

Principal Issues: Can a retiring allowance that is made pursuant to a wrongful dismissal suit be paid out in instalments even though the employee did not request the payment option on or before the date the employment is terminated.

Position: Yes, provided the payment of the retiring allowance in instalments is made pursuant to the terms of the settlement agreement or the terms of an order or judgment of a competent tribunal.

Reasons: The retiring allowance is not payable to the employee until the settlement agreement or order or judgment of the tribunal is made, so the position would be similar to our position in paragraph 8 of IT-337R3.

9 February 2000 External T.I. 1999-0008235 - PRESC. LABOUR-SPONSORED VENTURE

Unedited CRA Tags
131(1) 131(8) 110.6(2.1) 110.6(1)

Principal Issues:
Whether a capital gains dividend, received pursuant to subsections 131(1) and (8) by a shareholder of "prescribed labour-sponsored venture capital corporation", can be eligible for the "qualified small business corporation share" capital gains deduction, under subsection 110.6(2.1), in the shareholder's hands.

9 February 2000 External T.I. 1999-0008345 - SALE OF FARM ASSETS

Unedited CRA Tags
56(4.1) 56(4.3)

Principal Issues:
Whether subsection 56(4.1) would apply in two scenarios.

8 February 2000 External T.I. 2000-0000185 - DEMUTUALIZATION PREMIUM HOLIDAY

Unedited CRA Tags
139.1(15)

Principal Issues:
1. Where an employer receives a conversion benefit in respect of a group insurance policy and uses it to give its insured employees a premium holiday, will draft subsection 139.1(15) apply to deem the payment not to be an employer contribution for the purposes of paragraph 6(1)(f) and regulations made under subsection 6(4)?

2. If the employer earns interest on the investment of the conversion benefit and uses the interest to give the insured employees a premium holiday, will the provisions of draft subsection 139.1(15) apply to deem the payment not to be an employer contribution?

3. Does the premium holiday constitute a taxable benefit to the insured employees?

Position:
1. Yes, provided that all the conditions set out in draft subsection 139.1(15) are met.

2. No. It is our view that draft subsection 139.1(15) allows the employer to contribute an amount up to the value of the conversion benefit. Since interest earned by the employer does not constitute part of the conversion benefit, draft subsection 139.1(15) will not apply.

3. No, provided that the group insurance plan is one of the exceptions set out in subparagraph 6(1)(a)(i).

Reasons:
1. Wording of subsection 139.1(15).

2. Wording and intent of subsection 139.1(15).

3. Paragraph 6(1)(a).

8 February 2000 External T.I. 1999-0014505 - RPP PROHIBITED INVESTMENT

Unedited CRA Tags
REG 8500(3) REG 8514(1)(b)

Principal Issues: Where an employer is in the business of providing investment counsel and money management and it provides its services to unit trusts (the units of which are held exclusively by RPPs), will the unit trusts that it does business with be considered connected to it for purposes of prohibiting investments for its RPP?

Position: Question of fact.

Reasons: Assuming the unit trusts do not hold shares of the employer, the determination of whether the employer and the unit trusts deal at arm's length would require a review of all of the facts.

8 February 2000 External T.I. 1999-0014095 - CCPC STOCK OPTION AGREEMENT VESTING

Unedited CRA Tags
7(1.1) 7(1)(b)

Principal Issues:
a) Whether our policy in 9216695 continues to be our current position? In that document, we said that stock options must vest while a corporation is a CCPC in order to get subsection 7(1.1) treatment?
b) What constitutes a "fundamental change in the terms of an option agreement", which will trigger a disposition of rights under 7(1)(b)?

Position:
a) No
b) Question of fact and applicable contract law

Reasons:
a) Our position was reversed in document 9728505. Subsection 7(1.1) requires that the corporation be a CCPC at the time that the agreement to issue shares was entered into. The satisfaction of all conditions of the agreement may not be required in order to receive subsection 7(1.1) treatment.
b) Fundamental change can only be confirmed after review of the applicable law, the documents and surrounding facts.

8 February 2000 External T.I. 1999-0011745 - Condominium Unit

Unedited CRA Tags
Reg 1101(1ac)

Principal Issues:
1.Where a taxpayer owns more than one condominium each worth more than $50,000 in the same building can each unit be set up as a separate class?
2. Can it be said that the renting of residential condominium units is carrying on business for the purpose of subsection 96(1.1)?

Position:
1. No.
2. Question of fact

Reasons:
1.Regulation 1101(1ac) refers to rental property and rental property is defined as a building. Therefore all units are in respect of the same building.
2.Subsection 248(1) defines business as including certain activities. Otherwise it retains it ordinary meaning. To be considered used in a business property must be used and at risk.

8 February 2000 External T.I. 1999-0014175 - MERGE SPOUSAL REGULAR RRSP

Unedited CRA Tags
146(16)

Principal Issues: Can a taxpayer combine his or her regular RRSP with his or her spousal RRSP?

Position: Yes but the combined plan becomes a spousal plan.

Reasons: The Act provides for the transfer of property between plans with the same annuitant.

8 February 2000 External T.I. 1999-0014685 - ELIGIBLE RERITING ALLOWANCE

Unedited CRA Tags
60(j.1)(ii)(B)

Principal Issues: Would we reconsider our long-standing position regarding the application of clause 60(j.1)(ii)(B) to the buy-back of past service where the employee pays both the employee/employer portions of the cost?

Position: No.

Reasons: The position reflects our interpretation of the application of the provision based on the intent of the legislation.

8 February 2000 External T.I. 1999-0007035 - DIRECTED GIFT REMAINDER INTERESTS

Unedited CRA Tags
118.1

Principal Issues:
1. Whether transfer of remainder interest in principal residence to a registered charitable foundation, subject to an agreement, would qualify for a charitable donation tax credit.
2. Whether the transfer of a remainder interest in a stock portfolio to a registered charitable foundation would qualify for a charitable donation tax credit.

Position:
1. Yes, based on the facts provided.
2. Depends upon whether the trust agreement is such that the remainder interest in the portfolio vests in the Foundation and whether the fair market value of the residual interest in the trust holding the portfolio of shares can be reasonably determined at the time of vesting.

Reasons:
1. Agreement does not require the donee to undertake any action that are not part of its objects, does not significantly limit the flexibility to the Foundation to do with the property as it wishes (once it takes possession of the property), and does not result in benefits accruing to the donor or persons not at arm's length with the donor.
2. Gift takes place when property vests in the Foundation and if fair market value cannot be determined, no donation receipt can be issued since receipt must show fair market value of gift.

8 February 2000 External T.I. 1999-0014275 - Cost of Flow-through Shares

Unedited CRA Tags
66(15) 66.3(3)

Principal Issues: Does a share remain a "flow-through share" having a cost of nil where the "24 month" period for renunciation of expenses in respect of that share has expired without any such renunciation having occurred?

Position: Yes.

Reasons: Expiry of the above period is not relevant to the qualification of the share as a flow-through share under the definition of "flow-through share" contained in subsection 66(15) . In addition, there is no provision of the Act which overrides or reverses the deeming provisions of subsection 66.3(3).

8 February 2000 External T.I. 1999-0015755 - APP. OF THE ACT IN QUE. AND ONT.

Unedited CRA Tags
81(1)(a)

Principal Issues:
1. Difference in application of the ITA in Quebec and Ontario
2. Application of the GST

Position:
1. Yes
2.Guidelines set in Technical Information Bulletin B039R on how
GST/HST applies to purchases by Indians.

Reasons:
1. Two tax returns to file in Quebec, only one in Ontario. Difference in the tax base for provincial taxes as calculation of provincial taxes in all provinces except Quebec is based on federal taxes.
2. Bulletin mentions that goods acquired on reserve by Indians are relieved of GST/HST. Mentions when goods acquired off reserve are relieved of GST/HST. Also indicates when service acquired by an Indian is relieved of GST/HST.

8 February 2000 External T.I. 1999-0013725 - RRSP LOSSES, DEATH OF ANNUITANT

Unedited CRA Tags
146(8.8)

Principal Issues: Where an RRSP incurs a loss subsequent to the death of its annuitant, can the beneficiaries of the RRSP claim that loss?

Position: No.

Reasons: There is no provision in the Act that allows for the loss to flow through to the RRSP beneficiaries.

17 January 2000 External T.I. 9929895 - PRE 1946 PENSION PLAN

Unedited CRA Tags
56(1) 56(7)

Principal Issues:?
An individual wants to know why his pension income is tax free?

Position:
Based on the limited facts provided it appears the pension is tax -free because of certain pre-1946 provisions of the Income War Tax Act which were carried over to the current Act.

Reasons:
Section 57 carries over an elective provision from the Income War Tax Act which exempts certain pension receipts from taxation.

7 December 1999 External T.I. 1999-0011975 - Leasing Property Partnership as Lessor

Unedited CRA Tags
16.1

Principal Issues:
1. Since a partnership is not a person resident in Canada, can a valid section 16.1 election be entered into by a partnership which is the lessor?
2. Would the answer differ if one of the partners was a tax-exempt entity?
3. Would a valid election be cancelled if subsequently a tax-exempt entity becomes a partner?

PositionS:
1. Yes, on behalf of the individual partners if the conditions are met, such as each of the partners being resident of Canada, not being tax exempt, etc.
2. The partnership would not be able to enter into a valid election.
3. Not necessarily.

Reasons:
1. The lessee would, in law, be entering into a lease with all of the partners, as a group. As long as each of the partners met the requirements in 16.1 a valid election could be entered into with the lessee.
2. The tax-exempt would not meet the requirements of 16.1 and would preclude the lessee from entering into a valid election with the partners as a group.
3. We have not had considered this issue previously. In the absence of specific legislation similar to 16.1(1)(i) of the Act, our preliminary view is that this fact would not, in and of itself, result in the cancellation of the section 16.1 election. However, consideration will be given to whether GAAR would be applied in abusive situations.

7 December 1999 External T.I. 1999-0012085 - SR&ED

Unedited CRA Tags
37(1)(a) 127(9)

Principal Issues: SR&ED joint projects involving Canadian and foreign participants - will ITC be available to the Canadian T/P for its SR&ED activities carried on in Canada even though the joint project was primarily directed from outside Canada, or majority of project's expenditure incurred outside Canada.

Position: Yes.

Reasons: Expenditures are qualified expenditures made by Canadian T/P on SR&ED carried on in Canada.

7 December 1999 External T.I. 1999-0012185 - Term-shared use equipment

Unedited CRA Tags
127(27)

Principal Issues:
Does CCRA have a position or published guidelines as to when first and second term shared-use-equipment would be considered to have been "converted to commercial use" for the purposes of subsection 127(27).

Position:

The law regarding first and second term shared-use-equipment is to provide ITC on property used primarily on SR&ED and also used, to a lesser extent, for other purposes. Where such property is used all or substantially all for non-SR&ED purposes with a view to profit from such use, the property will be considered to have been converted to commercial use. That position is included in a paper prepared by the Audit Directorate on the subject matter and is available on the Internet at http://www.rc.gc.ca/.

Reasons:
The intention of the law regarding the use of first and second term shared use equipment required the property to be used in SR&ED as confirmed verbally with Finance. The dictionary meaning assigned to the term "converted to commercial use" .

7 December 1999 External T.I. 1999-0012425 - Depreciable Property

Unedited CRA Tags
13(21.2) 20(16)

Principal Issues: Corporation transfers depreciable property to an affiliated corp. Any loss is denied pursuant to 13(21.2). Can the loss be triggered when the corps are no longer affiliated?

Position: Yes

Reasons: When affiliation ends that is sufficient to invoke the triggering event, and no disposition is required by the original transferee.

30 November 1999 External T.I. 9826935 - PERMANENT ESTABLISHMENT

Unedited CRA Tags
n/a

Principal Issues: Is a ship operating in Canadian territorial waters a permanent establishment?

Position: A ship will constitute a permanent establishment if it is linked to a specific geographic location or if it operates in a limited area for an extended period of time.

Reasons: Where the above-noted conditions are satisfied, a ship will be a fixed place of business and, as such, a permanent establishment

Technical Interpretation - Internal

21 February 2000 Internal T.I. 1999-0012487 F - REER REGLEMENT D'UNE LITIGE

Unedited CRA Tags
146(1)

Principales Questions: Une personne peut-elle transférer à son REER une somme qu'elle reçoit en règlement d'un litige.

Position Adoptée: Non

18 February 2000 Internal T.I. 1999-0008977 F - ETABLISSEMENT DOMESTIQUE AUTONOME

Unedited CRA Tags
118(1)(c.1) 248(1)

Principales Questions :
La définition du terme «établissement domestique autonome» s'applique-t-elle à des logements communicants?

Position Adoptée :
Non.

18 February 2000 Internal T.I. 2000-0002687 - Foreign Affiliates Reassessment Period

Unedited CRA Tags
152(4)(b)(iii) 152(4.1)

Principal Issues: Whether an assessment in respect of foreign accrual property income can be considered to be made as a consequence of the transaction whereby the taxpayer acquired the shares of the controlled foreign affiliate.

Position: Yes, in a case where the capital invested by the taxpayer in the controlled foreign affiliate is used by the controlled foreign affiliate to acquire foreign accrual property income earning property.

Reasons: In such case there is a direct causal connection between the investment in the foreign affiliate and the FAPI income of the foreign affiliate.

17 February 2000 Internal T.I. 2000-0003357 - H & W TRUST-DEDUCTION FOR ASO FEES

Unedited CRA Tags
9(1)

Principal Issues: Whether ASO fees paid by a H&W Trust should be allowed as a deduction against investment income of the trust.

Position: Yes.

Reasons: This position is consistent with the position in paragraph 12(b) of IT-85R2.

15 February 2000 Internal T.I. 2000-0004477 F - MARIE ET SUBVIENT AUX BESOINS

Unedited CRA Tags
118(1)a)

Principales Questions :
Est-ce que la cause The Queen v. Robichaud, 83 DTC 5265, ne vient pas contredire le commentaire dans le document 992148, à l'effet que la présomption normale est que, à moins d'échec du mariage, l'époux et l'épouse sont le soutien l'un de l'autre?

Position Adoptée :
Non.

14 February 2000 Internal T.I. 2000-0006007 - MARK-TO-MARKET RULES SIGNIFICANT INTEREST

Unedited CRA Tags
142.2(2)

Principal Issues: A financial institution will have a significant interest in a corporation for the purposes of the mark-to-market rules if it holds shares having at least 10% of the votes and 10% of the fair market value of all the issued shares in the corporation. We are asked whether it would be necessary for the financial institution to satisfy a votes or value test in respect of any particular class of shares of a corporation in order to have a significant interest.

Position: There is no requirement that a financial institution hold 10% or more of the votes or value of any given class of shares of a corporation in order to have a significant interest in the corporation.

Reasons: The legislation.

10 February 2000 Internal T.I. 2000-0002907 - foreign tax credit for U.S. amt

Unedited CRA Tags
n/a

Principal Issues: For foreign tax credit purposes, whether the foreign tax should be the gross amount before the claim for prior year minimum tax

Position: In this particular case, foreign tax credit can be granted

Reasons: It is because the AMT is attributable to U.S. source income and no foreign tax credit has previously been claimed on such AMT.

9 February 2000 Internal T.I. 2000-0004377 - FARM SUPPORT PAYMENTS-CDRP PROGRAM

Unedited CRA Tags
234(2)

Principal Issues: Are AGR-1 slips required to be issued for payments made under the Commodity Diversification Risk Protection (CDRP) program initiated by the Province of PEI?

Position: Yes.

Reasons: CDRP Program payments would meet the definition of "farm support payments" as defined in subsection 234(1) of the Income Tax Regulations. Any payments out of the CDRP Plan are to be included in the income of the recipient producer and the premium payments made by the producers are deductible.

8 February 2000 Internal T.I. 2000-0004517 - TERMINATION OF EMPLOYMENT CONTRACT

Unedited CRA Tags
56(1)(a)(ii) 6(3)

Principal Issues: Where an employment contract calls for payments for a 4 year period whether employment terminated or not, would payments related to the period subsequent to the termination qualify as a retiring allowance?

Position: Question of fact but probably not.

Reasons: Based on the limited facts, the payments appear to relate to the employment of the taxpayer and not the loss of office of the taxpayer.

8 February 2000 Internal T.I. 2000-0003677 F - CHANGEMENT D'EXERCICE

Unedited CRA Tags
249.1(1)(b) 249.1(4) 249.1(7)

Principales Questions:
Est-ce qu'une société de personnes, dont les associés sont deux particuliers, peut changer son exercice financier du 31 décembre au 31 mars?

Position Adoptée:
Non.

7 February 2000 Internal T.I. 1999-0013807 - LUMP SUM RETIREMENT BENEFIT

Unedited CRA Tags
110.2

Principal Issues: Will a lump-sum settlement for rights to future payments qualify for the deduction under proposed section 110.2?

Position: No.

Reasons: Proposed section 110.2 will only apply to lump-sum payments where a significant portion of the payment relates to amounts that should have been received and taxed in earlier years.

4 February 2000 Internal T.I. 1999-0012847 F - CII Majore - Fusion

Unedited CRA Tags
127(10.2) 127(10.6) 87(2)(oo)

Principales Questions:
Calcul de la limite de dépenses prévue au paragraphe 127(10.2) dans une situation où il y a eu une fusion de deux des trois sociétés associées.

Position Adoptée:
Dans la situation présentée, les calculs de la limite de dépenses pour l'an 2000 ne tiennent pas compte du premier exercice financier se terminant en 1999 pour les deux sociétés fusionnées. Comme l'exercice financier de chacune des deux sociétés fusionnées qui se termine immédiatement avant la fusion ne compte que 91 jours, on appliquera l'alinéa 127(10.6)c) au revenu imposable de chacune des sociétés fusionnées pour cet exercice afin de déterminer le revenu imposable de l'année civile précédente de la société issue de la fusion conformément à l'alinéa 87(2)oo) de la Loi.

4 February 2000 Internal T.I. 1999-0013647 - PAY EQUITY-TAX EXEMP-STATUS INDIANS

Unedited CRA Tags
81(1)(a)

Principal Issues: Whether a portion of the pay equity payment relating to employment income that was tax exempt will be tax exempt?

Position: Yes

Reasons: Where a status Indian 's employment income arising from the pay equity agreement relates to previous employment income that was tax exempt by virtue of 81(1)(a) of the ITA and 87 of the Indian Act, the portion of the pay equity that relates to that employment income will be similarly exempt from income tax.

3 February 2000 Internal T.I. 2000-0005877 - CHILD SUPPORT

Unedited CRA Tags
56(1)(b) 56.1(4)

Principal Issues: Under a post-April 1997 separation agreement, a taxpayer is required to pay to his wife child support of $XXXXXXXXXX per child per week for XXXXXXXXXX children until the child becomes 21 years of age. The separation agreement has been varied after April 1997 such that child support would be required to be paid until the child becomes 24 years of age. Would the post-April 1997 varied separation agreement have a commencement day?

Position: Yes.

Reasons: Where a pre-May 1997 agreement or order is varied after April 1997, to change the child support amounts payable to the recipient, the day on which the first payment of the varied amount is required to be made is the commencement day of the varied agreement or order.

28 January 2000 Internal T.I. 1999-0006507 F - ALLOCATIONS PERIODIQUES

Unedited CRA Tags
56.1(4) 60(b) 60.1(3)

Principales Questions:
Est-ce que les paiements effectués en vertu d'une ordonnance d'un tribunal sont considérés à titre d'allocation périodique pour subvenir aux besoins du bénéficiaire?

Position Adoptée:
Dans cette situation, une partie des paiements peut se qualifier à titre de pension alimentaire.

25 January 2000 Internal T.I. 1999-0006847 - REQUEST RECEIVED BY NPO

Unedited CRA Tags
149(1)(l)

Principal Issues:
Whether the receipt of a substantial bequest and the investment of the funds thereof would cause the organization to cease to be exempt from taxation by virtue of paragraph 149(1)(l).

Position:
Bequests are generally receipts of capital and not income. Existence and maintenance of tax exempt status under subsection 149(1)(l) is a question of fact. Key factors to be considered are how the income from the invested funds is used, the level of resources and energies devoted by the organization to the earning of investment income, whether the organization can use its investment income in its non-profit activities or whether it accumulates a surplus in excess of its reasonable requirements for carrying on its non-profit activities.

Reasons:
The Act

20 January 2000 Internal T.I. 2000-0000397 - RIGHTS OR THINGS

Unedited CRA Tags
70(3) 85(1)

Principal Issues: 1. The reason why the deeming provision in subsection 85(1) is not relevant for purposes of subsection 70(3).

2. Whether the term "taxpayer" in paragraph 70(3)(b) refers to beneficiaries as opposed to the deceased.

Position: 1. Paragraph 85(1)(a) deems the elected amount to be the proceeds of disposition whereas subsection 70(3) taxes the amount received on the disposition of the right or thing.

2. Paragraph 70(3)(b) was amended to replace the term "taxpayer" with the term "beneficiary or person".

Reasons: 1. Deeming provisions are generally interpreted strictly. The term "proceeds of disposition" is not the same as the term "amount received".

17 January 2000 Internal T.I. 2000-0001000 - PARAGRAH 8 OF IT 226R

Unedited CRA Tags
118.1(6)

Principal Issues: What is our view of the application of paragraph 8 of IT-226R.

Position: See below.

Reasons: See below.

10 January 2000 Internal T.I. 9921487 F - CREDIT EQ. POUR PER. ENTIREMENT A CHARGE

Unedited CRA Tags
118(1)B)

Principales Questions : Un particulier peut-il demander le montant pour conjoint si le soutien apporté est seulement moral?

Position Adoptée : Non.

Raisons : Le soutien non financier désigne de quoi se loger, se vêtir, se nourrir, etc., mais non un soutien purement moral.

20 December 1999 Internal T.I. 9921307 F - GAINS DE PARIS SPORTIFS

Unedited CRA Tags
9(1) 56(1)n) 40(2)f)

Principales Questions:
Peut-on imposer des gains de paris sportifs importants en tant que revenu d'entreprise?

Position Adoptée:
Oui, cependant question de fait.

7 October 1999 Internal T.I. 9M19157 - TAXATION OF STATUS INDIAN FISHING INCOME

Unedited CRA Tags
81(1)(a)

Please note that the following document, although believed to be correct at the time of issue, may not represent the current position of the Department.

Prenez note que ce document, bien qu'exact au moment émis, peut ne pas représenter la position actuelle du ministère.

		October 7, 1999
	XXXXXXXXXX 	HEADQUARTERS
	XXXXXXXXXX 	R. Albert
	Client Services	(613) 957-8953

Taxability of Status Indian Fishing Income

Ministerial Letter

12 November 1999 Ministerial Letter 1999-0003908 - COVERING LETTER

Unedited CRA Tags
81(3)

Please note that the following document, although believed to be correct at the time of issue, may not represent the current position of the Department.

Prenez note que ce document, bien qu'exact au moment émis, peut ne pas représenter la position actuelle du ministère.

May 21, 1999

XXXXXXXXXX

Dear XXXXXXXXXX :