28 April 1999 External T.I. 9903345 - VOLUNTEER AMBULANCE ATTENDANT

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:

A municipal ambulance service requested an interpretation of the term “volunteer” as used in the employers guide referencing to ambulance workers. Subparagraph 6(1)(b)(viii), a $500 tax free allowance, has been replaced by paragraph 8(1)(a) allowing a deduction from income to a maximum of $1,000 and expanding the duties from volunteer fire fighters to include volunteer ambulance technicians and volunteers who assist in the search or rescue of individuals or in other situations. They have persons, referred to as volunteers, who would not otherwise form part of their full-time or part-time staff, and make themselves available to drive ambulances in emergency situations. These people are rewarded on a hourly basis, $XXXXXXXXXX for being on call and $XXXXXXXXXX if called out.

Position TAKEN:

The deduction in paragraph 8(1)(a) is restricted only to those individuals who perform all their duties for the particular employer on a volunteer basis. From the information provided, and clarified by telephone conversation, the ambulance technicians are not otherwise employed by the employer. They receive a nominal standby fee and a minimum response fee when called out for emergency purposes.

Even though they are rewarded on a hourly basis, they qualify as volunteers.

Reasons FOR POSITION TAKEN:

Finance was contacted and they stated that the deduction was moved from section 6 to 8 so this type of volunteer would qualify. After the section 6 proposed amendment was tabled they had representations from organizations who rewarded their volunteers on a hourly basis instead of by allowances. The amendment was shifted to section 8 to allow this type of volunteer to qualify. Proposed paragraph 8(1)(a) would be rendered meaningless if the Department were to take a strict interpretation of the word “volunteer”.

XXXXXXXXXX 5-990334
D. Miller
April 28, 1999

Dear XXXXXXXXXX

Re: Volunteer Ambulance Attendant

This is in reply to your letter of February 9, 1999, and our telephone conversation of April 16, 1999 (Miller/XXXXXXXXXX), regarding the interpretation of the term “volunteer” in proposed paragraph 8(1)(a) of the Income Tax Act (the “Act”).

We understand that the XXXXXXXXXX normally staffs emergency vehicles with full-time or part-time staff. To accommodate emergencies or multiple calls a number of individuals, not otherwise part of the full-time or part-time staff, are retained on a volunteer basis. These individuals are remunerated at the rate of $XXXXXXXXXX per hour for being available on call and are notified by a pager if their services are required at which time they receive $XXXXXXXXXX per hour with a two hour minimum. You have enquired if these individuals would be classified as volunteer ambulance technicians for the purpose of paragraph 8(1)(a) of the Act.

Our Comments

Based on the facts stated above, it is our opinion that the individuals would be entitled to a deduction pursuant to proposed paragraph 8(1)(a) of the Act and both amounts would qualify as received in respect of the performance of their duties as volunteer ambulance technicians.

We trust you will find the above comments to your satisfaction.

Yours truly,

Jim Wilson
for Director
Business and Publications Division
Income Tax Rulings and
Interpretations Directorate
Policy and Legislation Branch

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