2 November 1989 Income Tax Severed Letter AC58633 - Partnerships

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.

19(1)
                                                  5-8633
                                                  R.B. Day
                                                  (613) 957-2136

NOV - 2 1989

19(1)

We are writing in reply to your letter of August 30, 1989, wherein you requested our views as to whether or not a partnership would be considered a person for the purposes of section 54.2 of the Income Tax Act.

Our Comments

Paragraph 1 of IT-90 states, in part, that "a partnership is not a person nor is it deemed to be within the meaning of the Act, notwithstanding that section 96 provides that the income of a member of a partnership is computed as if the partnership were a separate person resident in Canada."

In view of the above, it is our opinion that a partnership would not be considered a person for purposes of section 54.2.

Yours truly,

for Director Business and General Division Specialty Rulings Directorate Legislative and Intergovernmental Affairs Branch