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.
Principal Issues:
RULING REQUESTED THAT ORGANIZATION WILL CONTINUE TO BE
EXEMPT AFTER INCORPORATION.
Position:
UNABLE TO CONFIRM. OPINION GIVEN THAT INCORPORATION OF
AN ORGANIZATION WOULD NOT, IN AND BY ITSELF, ADVERSELY
AFFECT SUCH ORGANIZATION'S TAX STATUS UNDER PARAGRAPH
149(1)(l).
Reasons:
TAXPAYER UNABLE TO ESTABLISH THAT ORGANIZATION
CURRENTLY
QUALIFIES FOR EXEMPTION UNDER PARAGRAPH 149(1)(L).
960807
XXXXXXXXXX Wm. P. Guglich
(613) 957-2102
Attention: XXXXXXXXXX
November 15, 1996
Dear Sirs:
Re: XXXXXXXXXX
Advance Income Tax Ruling Request
This is in reply to your letters of February 28 and March 28, 1996 wherein your requested an advance income tax ruling on behalf of the above referenced taxpayer.
The determination in Ruling request 18(A) of whether XXXXXXXXXX will qualify for exempt status under paragraph 149(1)(l) of the
Income Tax Act is a question of fact which can only be determined when the tax return for the year has been filed and the all
relevant details of the activities and operations have been established and reviewed. Pursuant to paragraph 14(j) of Information Circular 70-6R2 we are unable to rule on this issue.
We are also unable to confirm your ruling requests 18(B) and 18(C) as you have not identified the specific provisions of the Income Tax Act you wish us to rule upon.
As discussed in our telephone conversations we are providing you with the following comments.
In our view the incorporation of an organization would not, in and by itself, adversely affect such organization's tax status under 149(1)(l) of the Income Tax Act.
In accordance with paragraph 21 of Information Circular 70-6R2, the above comments are not advance rulings and are not binding on the Department.
Yours truly,
R. Albert
for Director
Business and Publications Division
Income Tax Rulings and
Interpretations Directorate
Policy and Legislation Branch
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