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Paragraph 3 of Interpretation Bulletin IT-334R2 discusses the factors that would be considered in determining whether a taxpayer is in receipt of a "windfall" that is not subject to tax. ... It is therefore our view that any assistance paid by the Organization would be considered to be a gift or a "windfall" and therefore not included in computing income of the recipient for tax purposes. ...

In order to be considered a tax-exempt NPO, the association must satisfy the conditions outlined in paragraph 149(1)(l) of the Act. ... If the two corporations are considered "associated corporations" pursuant to subsection 256(1) of the Act, this designation can have several implications under the Act. ...

We understand that, to the best of your knowledge, and that of the taxpayers on whose behalf this ruling is requested, none of the issues contained in this advance income tax ruling are: i) contained in earlier returns of the taxpayers or a related person; ii) being considered by a tax service office and/or a tax centre in connection with a tax return previously filed by the taxpayers or a related person; iii) under objection by the taxpayers or related person; iv) before the courts; or v) the subject of a ruling previously issued by the Directorate to the taxpayers or a related person. ... The circumstances under which an individual is considered to be a resident of Canada for purposes of the Act are set out in Interpretation Bulletin IT-221R3, Determination of an Individual's Residence Status. ...

It is your view that the Excessive Amount is considered to be a taxable dividend under the Act and will be included in the income of a shareholder of Aco. ... OUR COMMENTS Unless an election is made under subsection 184(3) of the Act, the Excessive Amount will not be considered as a taxable dividend and will not be included in computing the income of a shareholder resident in Canada. ...

You also inquired whether the individuals would be considered non-residents if the principal residence is not maintained during the secondment. ... As stated in paragraph 6 of Interpretation Bulletin, IT-91R4, Employment at Special Worksites or Remote Work Locations, "as a general rule, duties will be considered to be of a temporary nature if it can reasonably be expected that they will not provide continuous employment beyond a period of two years". ...

REASON FOR POSITION TAKEN: The terms of the settlement are considered to be consistent with CCRA's position set out in IT-365R2. ... To the best of your knowledge, and that of the taxpayer involved, none of the issues contained herein is: (i) dealt with in an earlier tax return of the Claimant or a related person; (ii) being considered by a tax services office or taxation center in connection with a previously filed return of the Claimant or a related person; (iii) under objection by the Claimant or a related person; (iv) before the Courts or, if a judgment has been issued, the time limit for appeal to a higher court has not expired; or (v) subject of a ruling previously issued by the Income Tax Rulings Directorate. ...

Principal Issues: Whether a publicly traded unit trust would be considered to be maintained primarily for non-residents solely by reason of the issuance of exchange rights to non-residents Position: question of fact Reasons: 132(7) is broad enough to apply where any combination of the trust's purposes results in the trust being maintained primarily for the benefit of non-residents at a particular point in time XXXXXXXXXX 2002-015363 Annemarie Humenuk Attention: XXXXXXXXXX November 20, 2002 Dear XXXXXXXXXX: Re: Exchange Rights Issued by a Publicly Traded Unit Trust This is in reply to your letter of July 23, 2002, concerning the application of subsection 132(7) of the Income Tax Act (the Act) to a publicly traded unit trust which plans to issue certain rights ("exchange rights") to non-resident persons. ... Thus, while a trust will generally be considered to be maintained primarily for the benefit of non-resident persons where the units are held primarily by non-residents of Canada, the application of subsection 132(7) is not restricted to such cases. ...

To hold otherwise, that is, to construe this provisions as narrowly as previous case law has done and not allow de deduction would, in my opinion, be to ignore the new commercial realities that were not considered by the courts when their past decisions were rendered. ... To hold otherwise, that is, to construe this provisions as narrowly as previous case law has done and not allow de deduction would, in my opinion, be to ignore the new commercial realities that were not considered by the courts when their past decisions were rendered. ...

Interpretation Bulletin IT-339R2, Meaning of "PHSP", describes the criteria that must be satisfied in order for a plan to be considered a PHSP. ... Medical and hospital insurance plans offered by Blue Cross and various life insurers are considered PHSPs. ...

The amounts are pensionable and insurable if they are considered to be employment income. ... It is therefore our view that the lump sum payment of retroactive wages and/or salary by the Employer to existing employees is considered to be employment income that is pensionable, insurable and subject to withholding of income tax, similar to any other payment of wages, salary or other remuneration. ...