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26 April 2017- 11:22pm CRA indicates that income that is paid to a minor beneficiary in contravention of the trust deed is non-deductible under s. 104(6) Email this Content A family trust paid income to the minor children in breach of a prohibition in the trust deed against making distributions to designated persons. ...

CRA noted that generally gifted property becomes the absolute property of the donee, so that now returning a gift to the donor could result in the foundation being “regarded as making a gift to a non-qualified donee or providing an undue benefit, which are contraventions of the Act and could result in sanctions that include revocation of registered status.” ...