10 February 1976 Income Tax Severed Letter

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.

Source Deductions Division Non-Resident Tax Section February 10, 1976

Dear Sirs:

Re: Canada - Norway Tax Convention Canada - Netherlands Tax Agreement

This is in reply to your letter dated December 15, 1975.

We concur with your views, namely, that trusts listed in paragraphs 205(a) to (d) of the Canadian Income Tax Act are trusts for the purposes of the Act. Therefore, any payments made by such Canadian resident trusts would be governed by Article 12 of the Convention when paid to beneficiaries of Norway and subject to a withholding tax rate of 15% pursuant to Article 12(2). Conversely, payments to beneficiaries of the Netherlands would be governed by Article XVII of the Protocol and subject to a withholding tax rate of 25% pursuant to paragraph 212(1)(c) of the Act.

Yours faithfully,

for Chief Non-resident Tax Section Source Deductions Division

ATJ/mw