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Meal expenses Although meals are generally considered to be a personal or living expense, paragraph 18(1)(h) of the Act identifies an exception to this rule with respect to travel expenses incurred by a taxpayer while away from home in the course of carrying on the taxpayer's business. In other words, even though meals or accommodation would normally be considered a personal or living expense, paragraph 18(1)(h) of the Act permits a deduction for such expenses if they are incurred for the specific purpose of earning income from business and while away from home in the course of carrying on that business. ...

Frequently asked questions 1) Regarding the first condition of the administrative practice mentioned above, the following examples will generally not, in and by themselves, be considered by the CRA as “inconsistent positions”: a. ... Filing a T2 corporate tax return in respect of a Delaware & Florida LLP or a Delaware & Florida LLLP based on the IFA 2016 Pronouncement. 2) Regarding the second condition of the administrative practice mentioned above, a non-arm’s length (NAL) change (e.g. a transfer of membership between NAL parties or the issuance of additional memberships to NAL parties) will not be considered a “significant change”. 3) Where any of the conditions in respect of the administrative practice are first met in a given year that ends after the IFA 2017 Pronouncement, the CRA may issue assessments or reassessments to any member and /or the entity in respect of that taxation year and the following taxation years, on the basis that the entity is a corporation, but not for the prior taxation years. 4) The fact that a particular entity has been initially set up as a limited liability company (“LLC”) and subsequently converted before April 26, 2017 to a Delaware & Florida LLP or a Delaware & Florida LLLP would not, in and by itself, prevent such entity from taking advantage of the administrative practice allowing the grandfathering of the partnership status of the entity. 5) In accordance with the IFA 2017 Pronouncement, to the extent LLPs or LLLPs of other jurisdictions of the U.S. have similar attributes to those of Florida and Delaware and the CRA views them as corporations for the purposes of Canadian income tax law, the CRA’s administrative policy outlined above will be applied to them as well, provided the entities are set up before April 26, 2017. ...

26 June 2017 External T.I. 2017-0704801E5- Social Assistance- Ontario Basic Income Pilot Unedited CRA Tags 56(1)(u); 110(1)(f); Reg 233(2) Principal Issues: Whether payments made under the Ontario Basic Income Pilot program are considered social assistance? ... Based on the information provided, it is our view that the payments made under the Pilot are based on an income test, and therefore would be considered to be social assistance payments as described in paragraph 56(1)(u) of the Act. ...

21 July 2017 Internal T.I. 2017-0714931I7 F- Retiring allowance- Sick Leave Unedited CRA Tags 248(1) Principales Questions: Whether a payment for accumulated sick leave credits which includes sick leave credits that are payable yearly is considered to be a retirement allowance? Position Adoptée: Only the portion of the payment that relates to the accumulated sick leave that is not payable annually could be considered a retiring allowance. ...

We understand that, to the best of your knowledge, and that of the Plaintiff, none of the issues described herein is: a) in a previously filed tax return of the Plaintiff or a related person; b) being considered by a tax services office or taxation centre in connection with a previously filed tax return of the Plaintiff or a related person; c) under objection by the Plaintiff or a related person; d) the subject of a current or completed court process involving the Plaintiff or a related person; or e) the subject of a Ruling previously considered by the Directorate. ...

August 6, 2014 Ann Rénoüs HEADQUARTERS Policy, Planning and Legislation Income Tax Rulings Directorate Division Ann Townsend Charities Directorate (905) 721-5096 Place de Ville, Tower A 320 Queen St, 7th Floor, Ottawa, ON K1A 0L5 2013-050032 School Boards – Public Body Performing a Function of Government This is in response to your e-mail asking for our comments on whether school boards are considered to be “public bodies performing a function of government in Canada” for the purposes of paragraph 149(1)(c), of the Income Tax Act (“Act”). ... Since the power to tax is one of the main criteria used by the CRA in determining if an entity is performing a function of government, a school board without taxing power may not be considered to be performing a function of government. ...

In particular, you inquire as to whether the following are considered construction activities for purposes of Regulation 238: the manufacture of portable oil tanks and pressure vessels; the construction, installation and maintenance of refrigeration units for commercial kitchens; and the installation and maintenance of heating and air conditioning for residential purposes and commercial grocery operations. ... As a general rule, the on-site fabrication, installation, and erection of machinery and equipment, regardless of size, is not considered to be construction, unless it constitutes a component part of a building or structure (e.g., heating system, air-conditioning equipment, sprinkler system, plumbing, wiring, etc.). ...

2008 Ruling 2008-0269981R3- Credit party replacement Unedited CRA Tags 9(1) 248(1) Principal Issues: Is the transfer of rights and obligations of a swap from a counterparty to another counterparty (already involved in a mirror-swap) considered a disposition such that income or a loss is realized for tax purposes? ... We understand that, to the best of your knowledge and that of the taxpayer involved, none of the issues contained in this ruling request herein are: (i) dealt with in an earlier return of the taxpayer or a related person; (ii) being considered by a tax services office or a taxation centre in connection with a tax return already filed by the taxpayer or a related person; (iii) under objection by the taxpayer or a related person; (iv) the subject of a previous ruling issued by the Income Tax Rulings Directorate to the taxpayer or a related person; nor (v) before the courts, or if a judgment has been issued, the time limit for appeal to a higher court has expired. ...

You requested our comments to assist you in determining whether the recipient company would be considered a resident of the UAE under the Treaty such that the payments would qualify for the reduced withholding rates under the Treaty. ... Given that this term was defined in the Act at the time the Treaty was signed and that its purpose is consistent with the use of the term in the Treaty (i.e., to ensure that earnings from certain businesses that generate property-type income are not considered active business earnings), we are of the view that the reference to “investment business” in Article 4 of the Treaty should have the same meaning as in subsection 95(1) of the Act. 2) The Income and Property Test The income and property test is comprised of two components: first, all or substantially all of the company’s income must be derived by the company from the active conduct of a trade or business (other than an investment business) in the UAE; second, all or substantially all of the value of the company’s property must be attributable to property used in that trade or business. ...

2008 Ruling 2008-0276431R3- Credit party replacement Unedited CRA Tags 9(1) 248(1) Principal Issues: Is the transfer of rights and obligations of a swap from one counterparty to another counterparty (already involved in a mirror-swap) considered a disposition such that income or a loss is realized for tax purposes? ... We understand that, to the best of your knowledge and that of the taxpayer involved, none of the issues contained in this ruling request herein are: (i) dealt with in an earlier return of the taxpayer or a related person; (ii) being considered by a tax services office or a taxation centre in connection with a tax return already filed by the taxpayer or a related person; (iii) under objection by the taxpayer or a related person; (iv) the subject of a previous ruling issued by the Income Tax Rulings Directorate to the taxpayer or a related person; nor (v) before the courts, or if a judgment has been issued, the time limit for appeal to a higher court has expired. ...