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: Amend ruling to allow deduction of amounts that are payable
Position: Amended ruling provided.
Reasons: The requested wording is acceptable.
XXXXXXXXXX
XXXXXXXXXX
XXXXXXXXXX 993301
XXXXXXXXXX
Attention: XXXXXXXXXX
XXXXXXXXXX, 1999
Dear Sirs:
Re: Deferred Stock Unit Plan (the "Plan")
Advance Income Tax Ruling
This letter is further to our telephone conversation of XXXXXXXXXX, in respect of the above noted advance income tax ruling (our file 992905).
As requested, ruling G of our letter of XXXXXXXXXX,1999 is hereby amended to read as follows:
G. Subject to paragraph 18(1)(a), subsection 78(4) and section 67 of the Act, any amount referred to in ruling D or E above that is paid or becomes payable by the Employer in a particular year to satisfy any portion of a Participant's or Participant's legal representative's entitlement under the Plan, and any amount representing a withholding made on any such payment under the DSUP (as described in subparagraph 3 of schedule A of the DSUP) will be deductible for that year in accordance with section 9 of the Act and shall not be deductible in any earlier year.
We confirm that the rulings previously provided and ruling G as amended above remain subject to the limitations and qualifications set forth in Information Circular 70-6R3 dated December30, 1996, issued by Revenue Canada, and are binding upon Revenue Canada provided the DSUP has not been implemented to date and is implemented by XXXXXXXXXX. However these rulings will be binding only in respect of the DSUP as described and may not be binding in the event the Plan is amended as provided for in paragraph 12 of our letter dated XXXXXXXXXX, 1999.
Yours truly,
for Director
Financial Industries Division
Income Tax Rulings and
Interpretations Directorate
Policy and Legislation Branch
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, 1999
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, 1999