Translations of recent severed letters

Bundle Date Translated severed letter Summaries under Summary descriptor
2020-02-05 14 January 2020 Internal T.I. 2018-0785991I7 F - Subsection 86.1(2) Income Tax Act - Section 86.1 - Subsection 86.1(2) s. 86.1(2)(c)(i) references central management and control test/tracking shares satisfied s. 86.1(2)(a)
Income Tax Act - Section 248 - Subsection 248(1) - Common Share tracking shares were common shares
2020-01-08 12 November 2019 External T.I. 2019-0822161E5 F - T5008 Statement of Securities Transactions Income Tax Regulations - Regulation 230 - Subsection 230(1) - Sale a contribution of shares to a TFSA is not a “sale” for Reg. 230 purposes
Income Tax Regulations - Regulation 230 - Subsection 230(2) transfer of listed shares from taxable brokerage account to individual’s TFSA did not generate T5008 reporting requirement
2019-12-18 11 October 2019 APFF Financial Strategies and Instruments Roundtable Q. 2, 2019-0811881C6 F - HBP/HBTC - Death of a spouse Income Tax Act - Section 146.01 - Subsection 146.01(1) - Regular Eligible Amount - Paragraph (f) widow who had resided in the home of her deceased husband could access the HBP program to purchase a condo or acquire his home from estate
Income Tax Act - Section 118.05 - Subsection 118.05(1) - Qualifying Home - Paragraph (a) widow who had resided in the home of her deceased husband could access the first-time home buyer’s credit
11 October 2019 APFF Financial Strategies and Instruments Roundtable Q. 4, 2019-0813421C6 F - TFSA - Survivor Payment - Decrease in FMV Income Tax Act - Section 207.01 - Subsection 207.01(1) - Exempt Contribution - Paragraph (b) survivor payment equals amounts paid under the TFSA to the estate provided the survivor receives at least that amount as TFSA beneficiary
Income Tax Act - Section 207.01 - Subsection 207.01(1) - Unused TFSA Contribution Room - Paragraph (b) - Element D diminution in TFSA property in executors' hands reduces exempt contribution
11 October 2019 APFF Financial Strategies and Instruments Roundtable Q. 5, 2019-0820901C6 F - TFSA Exempt Contribution - Timing of contribution Income Tax Act - Section 207.01 - Subsection 207.01(1) - Exempt Contribution - Paragraph (c) an exempt contribution to a TFSA can only be made as of right no more than 30 days before the survivor payment was received from an estate
11 October 2019 APFF Financial Strategies and Instruments Roundtable Q. 6, 2019-0813451C6 F - TFSA - Bequest and disclaimer Income Tax Act - Section 207.01 - Subsection 207.01(1) - Exempt Contribution - Paragraph (b) transfer of TFSA to surviving spouse because of daughter’s renunciation occurred as a consequence of the deceased’s death
Income Tax Act - Section 248 - Subsection 248(8) - Paragraph 248(8)(b) transfer of TFSA to survivor on renunciation of bequest thereof occurred as a consequence of death
11 October 2019 APFF Financial Strategies and Instruments Roundtable Q. 7, 2019-0821701C6 F - TFSA Exempt Contribution - Survivor payment Income Tax Act - Section 207.01 - Subsection 207.01(1) - Exempt Contribution - Paragraph (b) extension of rollover deadline through Ministerial discretion
11 October 2019 APFF Financial Strategies and Instruments Roundtable Q. 8, 2019-0811901C6 F - RRIF – Minimum amount after death Income Tax Act - Section 146.3 - Subsection 146.3(6.11) deduction of RRIF minimum amount in post-terminal year of transfer out of deceased's RRIF to surviving spouse
Income Tax Act - Section 146.3 - Subsection 146.3(1) - Minimum Amount required recognition of RRIF minimum amount in post-terminal year of transfer of RRIF to surviving spouse
11 October 2019 APFF Financial Strategies and Instruments Roundtable Q. 9, 2019-0813281C6 F - Pension splitting - RRIF deemed benefit Income Tax Act - Section 118 - Subsection 118(7) - Pension Income - Paragraph (a) - Subparagraph (a)(iii) deemed payment on death of last RRIF annuitant is not pension income
Income Tax Act - Section 146.3 - Subsection 146.3(6) s. 166.3(6) language does not go on to deem there to be payment by RRIF issuer
11 October 2019 APFF Financial Strategies and Instruments Roundtable Q. 10, 2019-0812841C6 F - RESP - Change of subscriber Income Tax Act - Section 146.1 - Subsection 146.1(6.1) amounts can be transferred from one RESP to another
Income Tax Act - Section 204.9 - Subsection 204.9(5) - Paragraph 204.9(5)(e) RESP transferor could be liable under s. 204.91(1)
11 October 2019 APFF Financial Strategies and Instruments Roundtable Q. 11, 2019-0812971C6 F Income Tax Act - Section 2 - Subsection 2(1) CRA uses information collected on an NR73 as its principal tool in assessing individuals’ residency
11 October 2019 APFF Financial Strategies and Instruments Roundtable Q. 12, 2019-0815181C6 F - RRSP on death and refund of premiums Income Tax Act - Section 146 - Subsection 146(8.1) post-death appreciation in an RRSP could qualify for a s. 146(8.1) rollover
Income Tax Act - Section 146.3 - Subsection 146.3(6.1) rollover of post-death RRIF income under s. 146.3(6.1)
2019-11-20 6 August 2019 External T.I. 2019-0792001E5 F - Tax on split income and excluded business Income Tax Act - Section 120.4 - Subsection 120.4(1) - Excluded Amount - Paragraph (e) - Subparagraph (e)(ii) no excluded amount where excluded business had ceased in prior year
Income Tax Act - Section 120.4 - Subsection 120.4(1.1) - Paragraph 120.4(1.1)(a) paid but non-worked days do not count
Income Tax Act - Section 120.4 - Subsection 120.4(1.1) - Paragraph 120.4(1.1)(d) - Subparagraph 120.4(1.1)(d)(ii) same-year limitation of the exclusion for income derived from the proceeds of an excluded business
2019-09-04 15 July 2019 External T.I. 2018-0747761E5 F - Application de 73(4.1) Income Tax Act - Section 73 - Subsection 73(4.1) - Paragraph 73(4.1)(c) negative ACB is not triggered under s. 73(4.1)(c)
2019-08-21 17 July 2019 External T.I. 2018-0777951E5 F - Avantage automobile Income Tax Act - Section 6 - Subsection 6(2) where 2 related employers, only a single benefit under the formula is calculated for each automobile
Income Tax Regulations - Regulation 200 - Subsection 200(3) where 2 related employer, ss. 6(1)(e) or (k) benefit can be reported by either employer
Income Tax Act - Section 6 - Subsection 6(1) - Paragraph 6(1)(k) two related joint employers should agree on which of them will T4 an employee for the single s. 6(1)(e) or (k) benefit for the car provided by one of them to him
2019-08-14 10 June 2019 Internal T.I. 2019-0796221I7 F - Qualification d’un véhicule à titre de « voiture de tourisme » Income Tax Act - Section 248 - Subsection 248(1) - Automobile a passenger vehicle ceases to qualify as such when it commences to be used as a taxi given the s. 13(7)(b) deemed acquisition
Income Tax Act - Section 13 - Subsection 13(7) - Paragraph 13(7)(b) s. 13(7)(b) applies when passenger vehicle converted to taxi use
2019-08-07 11 June 2019 External T.I. 2019-0795291E5 F - Tax on Split Income - 120.4(1) excluded amount Income Tax Act - Section 120.4 - Subsection 120.4(1) - Related Business no TOSI tax applied to a dividend received from the surviving step-mother’s company
Income Tax Act - Section 120.4 - Subsection 120.4(1) - Excluded Amount - Paragraph (e) - Subparagraph (e)(i) dividend received from widowed step-mother's company was not re a related business
2019-07-31 13 August 2018 Internal T.I. 2018-0763611I7 F - Subpar 152(4)(b)(iii) and FAPI Income Tax Act - Section 152 - Subsection 152(4.01) - Paragraph 152(4.01)(b) - Subaragraph 152(4.01)(b)(iii) reassessment of FAPI from marketable securities related to their previous contribution by the taxpayer
Income Tax Act - Section 152 - Subsection 152(4) - Paragraph 152(4)(b) - Subparagraph 152(4)(b)(iii) the extended reassessment period can apply to FAPI earned even before the 2018 Budget
12 June 2019 External T.I. 2019-0792011E5 F - TOSI definition excluded shares Income Tax Act - Section 120.4 - Subsection 120.4(1) - Excluded Shares - Paragraph (c) two years were required to pass before proceeds from the sale of a related business could generate excluded share income for TOSI purposes
Income Tax Act - Section 120.4 - Subsection 120.4(1.1) - Paragraph 120.4(1.1)(d) income derived from related business included income from reinvesting sales proceeds from sale thereof in preceding year
2019-07-24 23 April 2019 Internal T.I. 2018-0750821I7 F - Revenu d’emploi d’un Indien Other Legislation/Constitution - Federal - Indian Act - Section 87 employee lease-out servicing activity does not give rise to exempt income if only connection to reserve is employer residence
Income Tax Act - Section 4 - Subsection 4(1) - Paragraph 4(1)(a) employee leasing-out generally considered to be a separate business
2019-07-17 30 April 2019 Internal T.I. 2018-0757591I7 F - Part IV tax and trust Income Tax Act - Section 186 - Subsection 186(1) - Paragraph 186(1)(a) a dividend received by a trust and immediately paid to a connected corporate beneficiary was taxed under Part IV if the connection ceased before the trust year end
Income Tax Act - 101-110 - Section 104 - Subsection 104(19) s. 104(19)-designated dividend not received as dividend until trust year end

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