Please note that the following document, although believed to be correct at the time of issue, may not represent the current position of the CRA.
Prenez note que ce document, bien qu'exact au moment émis, peut ne pas représenter la position actuelle de l'ARC.
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.
APFF - 1995
Question 41
Meals consumed following a round of golf
In a technical interpretation dated November 7, 1994 (Document 9417635), Revenue Canada expressed the opinion that the cost of a business meal consumed at a golf club following a round of golf is not deductible under paragraph 18(1)(l) of the Act. On what logic is this administrative policy based, when the cost of a business meal consumed at a restaurant located away from the golf course immediately after the round of golf would be deductible, in part under the provisions of paragraph 18(1)(a) and section 67.1 of the Act?
Answer by the Department of Revenue
The opinion in question issued by the Department was given based on an interpretation of the term “facility” in the English version of subparagraph 18(1)(l)(i) of the Act as including the dining room of a golf course in a situation where it is used after a game of golf and assuming that such use was incidental to the recreational activity of the golf game itself.
However, the Department has reviewed the written opinion in question and is now of the view that the term “facility” (“installation” in French) does not include the dining room of a golf club. Therefore, the cost of a business meal consumed in the dining room of a golf club following a golf game is instead subject to paragraph 18(1)(a) and sections 67 and 67.1 of the Act, the same as business meals consumed in a restaurant located away from the golf club.
All rights reserved. Permission is granted to electronically copy and to print in hard copy for internal use only. No part of this information may be reproduced, modified, transmitted or redistributed in any form or by any means, electronic, mechanical, photocopying, recording or otherwise, or stored in a retrieval system for any purpose other than noted above (including sales), without prior written permission of Canada Revenue Agency, Ottawa, Ontario K1A 0L5
© Her Majesty the Queen in Right of Canada, 1995
Tous droits réservés. Il est permis de copier sous forme électronique ou d'imprimer pour un usage interne seulement. Toutefois, il est interdit de reproduire, de modifier, de transmettre ou de redistributer de l'information, sous quelque forme ou par quelque moyen que ce soit, de facon électronique, méchanique, photocopies ou autre, ou par stockage dans des systèmes d'extraction ou pour tout usage autre que ceux susmentionnés (incluant pour fin commerciale), sans l'autorisation écrite préalable de l'Agence du revenu du Canada, Ottawa, Ontario K1A 0L5.
© Sa Majesté la Reine du Chef du Canada, 1995
Email this Content