Translations of recent severed letters

Bundle Date Translated severed letter Summaries under Summary descriptor
2013-07-24 12 June 2013 External T.I. 2013-0480231E5 F - Crédit pour la condition physique Income Tax Act - Section 118.03 - Subsection 118.03(1) - Eligible Fitness Expense weekly ski lessons with use of ski lift qualified
14 March 2013 External T.I. 2013-0473981E5 F - JVM d'une police d'assurance-vie - SEPE Income Tax Act - Section 248 - Subsection 248(1) - Small Business Corporation corporate life insurance policy and proceeds therefrom valued at CSV until share redemption time
Income Tax Act - Section 110.6 - Subsection 110.6(15) - Paragraph 110.6(15)(a) - Subparagraph 110.6(15)(a)(ii) proceeds of corporate life insurance policy in excess of CSV ignored for SBC purposes
14 May 2013 External T.I. 2013-0484971E5 F - PUGE - décès du conjoint Income Tax Act - Section 56 - Subsection 56(6) deceased had spouse at the end of her terminal year
Income Tax Act - Section 56 - Subsection 56(9.1) deceased’s income did not include income on her rights and things return
24 May 2013 External T.I. 2013-0487581E5 F - Nature d'un bien acquis pour la revente Income Tax Act - Section 10 - Subsection 10(1.01) cost includes costs incurred to bring the inventory item to its current condition and location/ meaning of adventure
2013-07-17 6 June 2013 External T.I. 2012-0451801E5 F - deemed dividend, advantage Income Tax Act - Section 207.01 - Subsection 207.01(1) - Advantage dividend derived from pre-March 2011 value not grandfathered
16 April 2013 External T.I. 2013-0477771E5 F - Calculation of the general rate income pool Income Tax Act - Section 89 - Subsection 89(1) - General Rate Income Pool GRIP reduction for non-capital loss carried back against full-rate taxable income earned before becoming CCPC
21 March 2013 External T.I. 2013-0476901E5 F - GRIP addition under 89(7) Income Tax Act - Section 89 - Subsection 89(7) determination of reasonable attribution of dividend to FRTI of payer corp
8 July 2013 External T.I. 2012-0458601E5 F - T1134 and inactive FA Income Tax Act - Section 233.4 - Subsection 233.4(4) inactive FA gross receipts of $25,000 includes all partnership gross revenue
Income Tax Act - Section 96 - Subsection 96(1) - Paragraph 96(1)(a) partnership not a person for s. 233.4 purposes
2013-07-10 2 April 2013 External T.I. 2013-0479651E5 F - Leveraged buy-out Income Tax Act - Section 84 - Subsection 84(2) s. 84(2) not engaged on an amalgamation
2013-07-03 14 June 2013 External T.I. 2012-0461301E5 F - Retention of books and records Income Tax Act - Section 230 - Subsection 230(4) relationship between 2-year post dissolution and 6-year hold tests
Income Tax Regulations - Regulation 5800 - Subsection 5800(1) Reg. 5800(1)(a) doc must be retained 2 years' after dissolution without regard to 6-year period
Income Tax Act - Section 230 - Subsection 230(4) - Paragraph 230(4)(a) generally only the GL rather than ancillary journals or back-up are subject to the extended corporate accounting-record retention period under s. 230(4)(a)
9 April 2013 External T.I. 2012-0461051E5 F - Employee of an international organization Income Tax Regulations - Regulation 8900 - Subsection 8900(1) - Paragraph 8900(1)(b) organization was not a specialized agency related to the UN
Income Tax Act - Section 81 - Subsection 81(1) - Paragraph 81(1)(a) exemption for UN officials did not apply to a Canadian resident
Income Tax Act - Section 126 - Subsection 126(3) credit for local taxes imposed on salary of Canadian resident working for an international organization
21 February 2013 External T.I. 2012-0473301E5 F - Test Wind Turbines Income Tax Regulations - Regulation 1219 - Subsection 1219(3) favourable opinion on test wind turbine project
2013-06-26 9 May 2013 External T.I. 2012-0435401E5 F - Server as a PE in a province Income Tax Regulations - Regulation 400 - Subsection 400(2) server (including leased server) in a province at disposal of the business and used in that business is PE
18 June 2013 External T.I. 2012-0433261E5 F - 55(5)(f) and Surplus Stripping Income Tax Act - Section 84 - Subsection 84(2) partial conversion of retained earnings to capital dividends through deliberate failure to make s. 55(5)(f) designation was abusive stripping
Income Tax Act - Section 245 - Subsection 245(4) deliberate engaging of s. 55(2) to convert annual taxable dividends into annual capital gains permitting annual capital dividends would engage s. 245(2)
20 February 2013 External T.I. 2012-0469811E5 F - Interest deductibility Income Tax Act - Section 18 - Subsection 18(2) interest subject to s. 18(2) must be calculated on a lot-by-lot basis
2013-06-19 10 May 2013 External T.I. 2012-0449651E5 F - SENC - revenu d'entreprise exploitée activement Income Tax Act - Section 110.6 - Subsection 110.6(1) - Qualified Small Business Corporation Share assets used by an LP in its active business are used by its partner in an active business
Income Tax Act - Section 129 - Subsection 129(6) Norco followed
29 April 2013 External T.I. 2013-0476131E5 F - Régime d'assurance-collective Income Tax Act - Section 6 - Subsection 6(1) - Paragraph 6(1)(e.1) overview of interrelationship between ss. 6(1)(a)(i), 6(1)(e.1) and 6(4)
Income Tax Act - Section 6 - Subsection 6(4) general description of the s.6(4) exception to s. 6(1)(a)(i)
25 April 2013 Internal T.I. 2013-0478511I7 F - Distribution à un commanditaire Income Tax Act - Section 9 - Capital Gain vs. Profit - Real Estate real estate capital gains flowed through to limited partner retained character
Income Tax Act - Section 96 - Subsection 96(1) - Paragraph 96(1)(f) allocated capital gains retained their character unless re services performed by partner in course of separate business
Excise Tax Act - Section 272.1 - Subsection 272.1(1) distinction between return on partnership investment and services rendered by partner in the course of a separate business
Income Tax Act - Section 53 - Subsection 53(1) - Paragraph 53(1)(e) - Subparagraph 53(1)(e)(iv) services rendered by limited partner to LP gave rise to ACB increase if no s. 9 income inclusion for fee income
7 May 2013 External T.I. 2013-0481321E5 F - Logement sécurisé - travail de nature temporaire Income Tax Act - Section 6 - Subsection 6(6) - Paragraph 6(6)(a) - Subparagraph 6(6)(a)(i) payment of rents by a foreign employer at a secure compound in another country could qualify except for after when employment ceased
2013-06-12 20 March 2013 External T.I. 2012-0442571E5 F - Coût d'acquisition d'un terrain Income Tax Regulations - Schedules - Schedule II - Class 8 cost of water and sewer lines connecting mobile home units, included in Class 8
Income Tax Act - Section 54 - Adjusted Cost Base cost of land acquired from developer equal to total barter value minus amounts allocated to Classes 8 and 17
14 February 2013 Internal T.I. 2011-0424341I7 F - Amounts forwarded to trustee/beneficiary Income Tax Act - Section 75 - Subsection 75(2) s. 75(2) not applicable to dividends on common shares issued to discretionary family trust on estate freeze
Income Tax Act - Section 56 - Subsection 56(2) s. 56(2) did not apply to trustee/beneficiary of discretionary trust who directed income to her children and did not exercise discretion in her own favour
Income Tax Act - Section 104 - Subsection 104(13) income was received by children beneficiaries as agent for their mother
Income Tax Act - Section 104 - Subsection 104(6) - Paragraph 104(6)(b) Quebec discretionary trust with two named trustees but, in fact, only one trustee, would not be entitled to s. 104(6)(b) deductions
14 May 2013 External T.I. 2012-0469591E5 F - Capital dividend received by a trust and CDA Income Tax Act - Section 104 - Subsection 104(20) no recognition of capital dividend by corporate beneficiary where received by trust in Year 1 and distributed in Year 2
Income Tax Act - Section 89 - Subsection 89(1) - Capital Dividend Account - Paragraph (g) no addition for capital dividend received by trust in Year 1 and distributed in Year 2 to corporate beneficiary

Pages