8 September 1999 External T.I. 9808455 - U.S. SOCIAL SECURITY PENSION (4125-U5-10O-18)

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.

xxxxxxxxxx 980845
G. Middleton
(613) 957-2122
Attention: xxxxxxxxxx

September 8, 1999

Dear Sir:

This is in reply to your letter and further to our telephone conversation of May 14, 1999 in which you asked whether U.S. postal pensions received by a retired U.S. postal worker living in Canada qualifies as a "benefit under the Social Security legislation" of the U.S. for the purposes of paragraph 5 of Article XVIII (Pensions and Annuities) of the Canada-U.S. Income Tax Convention.

It is our view that such U.S. postal pensions paid to retired U.S. postal workers are not "benefits under the Social Security legislation" of the U.S., and accordingly, the provisions of paragraph 5 of Article XVIII of the Canada-U.S. Income Tax Convention do not apply to such pension payments.

If you would like to confirm the views we expressed above, or if you should require any additional information regarding benefits under the U.S. Social Security legislation, we suggest you write to the Social Security Administration, Office of International Policy, P.O. Box 17741, Baltimore, M.D. 21235.

We trust our comments will be of some assistance to you.

Yours truly,

for Director
Reorganizations and International Division
Income Tax Rulings and
Interpretations Directorate
Policy and Legislation Branch