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15 March 2006 External T.I. 2005-0124911E5 F- Prestation compensatoire française-- summary under Article 3 Summary Under Tax Topics- Treaties- Income Tax Conventions- Article 3 treatment of a life annuity under ITA, as a support amount meant that it was to be treated for Treaty purposes as alimony or similar payments CRA found that a life annuity required to be paid by a French-resident ex-spouse of the Canadian-resident taxpayer was includible in her income as a “support amount,” as defined in s. 56.1(4). CRA referred to Art. 18(4) of the Canada-France Convention, which stated: Alimony and other similar payments arising in a Contracting State and paid to a resident of the other Contracting State who is subject to tax therein in respect thereof, shall be taxable only in that other State. It found that since the life annuity (but not the lump sum) was treated under Canadian domestic tax law as a taxable support amount, Art. 3(2) of the Convention deemed it to be amounts referred to in Art. 18(4), so that Canada had the exclusive right to impose tax thereon. ...

17 February 1995 External T.I. 9400545- RESIDENCE & SOURCE DEDUCTIONS (HAA7576-1)-- summary under Article 15 Summary Under Tax Topics- Treaties- Income Tax Conventions- Article 15 "Where a U.S. resident who is not a factual or deemed resident of Canada exercises his employment in Canada, his employer... is required to withhold source deductions in respect of the employment under subsection 153(1) of the Act even if the remuneration received by such an individual is exempt from Canadian taxation by virtue of paragraph 2 of Article XV of the Convention. However, pursuant to paragraph 2 of Article XVII of the Convention, the individual may apply to the competent authority of Canada for a waiver from, or reduction of, the withholding tax otherwise exigible. ...

10 February 2004 Income Tax Severed Letter 2003-0052621A11 F- Régime de pension étranger-- summary under Article 18 Summary Under Tax Topics- Treaties- Income Tax Conventions- Article 18 French social security payments based on years of service in self-employment were not exempted a having been “paid in respect of past employment” The resident taxpayer had participated in a French plan that was a compulsory social security scheme providing a retirement pension to self-employed persons based on the years of service. After finding that the amounts received were "superannuation or pension benefits" within the meaning discussed in Abrahamson, the Directorate went on to find that they were not exempted under Art. 18(1) of the France-Canada Convention, given that they did not satisfy the stated condition that they be paid in respect of past “employment,” a word whose meaning could be taken, in light of Art. 3(2) of that Convention, to be as defined in ITA s. 248(1). ...

31 July 2002 Internal T.I. 2002-0136937 F- Placement Français "Assurance-salaire-vie-- summary under Article 18 Summary Under Tax Topics- Treaties- Income Tax Conventions- Article 18 withdrawal from French employee-contribution plan (assurance-salaire-vie) was not a “pension” The holder in France of an "assurance-salaire-vie," which is similar to a registered retirement savings plan except that a withdrawal from it is taxable only if made within the first eight years of the contribution, immigrates to Canada. ... XVIII(1) of the France-Canada Convention as a “pension” as the only contributions were employee contributions, nor would they qualify as an:annuity” per Art. ... XXI of the Convention, the withdrawals could be taxed in Canada, and also in France. ...

(June 1990 Access Letter, ¶1281)-- summary under Article 12 Summary Under Tax Topics- Treaties- Income Tax Conventions- Article 12 The definition of royalties in the Canada-U.S. Income Tax Convention includes payments made to a resident of the U.S. for the use of computer software. ...

3 March 1997 Internal T.I. 9641327- SUBSECTION 20(11) AND TAX TREATIES-- summary under Article 24 Summary Under Tax Topics- Treaties- Income Tax Conventions- Article 24 Discussion of the interaction of s. 20(11) and paragraph 5 of Article XXIV of the U.S. Convention. ...

TREATY & LIFE INSURANCE PROCEEDS-- summary under Article 13 Summary Under Tax Topics- Treaties- Income Tax Conventions- Article 13 The word "gains" in article XIII of the Canada-U.S. Convention means capital gains. ...

12 June 2009 External T.I. 2009-0316511E5 F- Charges sociales et autres retenues France-- summary under Article 18 Summary Under Tax Topics- Treaties- Income Tax Conventions- Article 18 list of pension plans recognized for French tax purposes re Art. ... XXIX(5) of the Canada-France Convention: [or as non-business income tax for the purposes of section 126]: CSG ("contribution sociale généralisée" ["general social contribution"]) CRDS ("contribution pour le remboursement de la dette sociale " [contribution for the repayment of the social debt]) Sécurité sociale vieillesse [old age social security] (retirement) Pole emploi (similar, in your opinion, to Employment Insurance) Retraite complémentaire [supplementary pension] (according to you, mandatory)? ... XXIX(5), CRA stated: [T]he purpose of this provision of the Convention is to oblige a contracting country (in your example, Canada) to grant relief during the first 60 months of residence to an individual who contributes to a pension fund in his or her country of origin (France) while working in the country where he or she resides (Canada) and continues during this period to contribute to the pension fund in his or her country of origin. ...

2010 Ruling 2010-0353101R3- Article IV(7)(b) Restructuring-- summary under Article 4 Summary Under Tax Topics- Treaties- Income Tax Conventions- Article 4 ULC PUC increase through stock dividend If a ULC is prohibited from increasing its paid-up capital, it will instead declare and pay a stock dividend of additional common shares having full paid-up capital, with the number of its common shares thereafter immediately being consolidated, and cash being distributed as a paid-up capital distribution on the common shares. ... IV.7(b) of the US Convention did not apply to this transaction (or the alternative transaction entailing a paid-up capital increase), there was a statement that: Notwithstanding that the payment of the stock dividend...will be treated as a taxable dividend under the Act, the integration of the payment of the stock dividend and the subsequent share consolidation will result in no income, profit or gain arising or being recognized under the taxation laws of the United States. Similarly, no amount of income, profit or gain would arise or be recognized under the taxation laws of the United States as a result of those transactions if Canco ULC Amalco were not fiscally transparent under the taxation laws of the United States for the purpose of the Convention. ...

27 August 2012 External T.I. 2011-0416181E5- US internet publisher- CDN resident advertiser-- summary under Article 12 Summary Under Tax Topics- Treaties- Income Tax Conventions- Article 12 per-click fees paid to US website publisher were for its services in uploading ads and were not Treaty royalties A US website publisher, which qualifies for benefits under the Canada-US Income Tax Convention and does not have a server or other permanent establishment in Canada, enters into an arrangement with an independent Canadian-resident promoter (the "Promoter") under which the Promoter will sell advertising space on the website to Canadian advertisers. ... XII of the Canada-US Convention. Assuing the US publisher had no permanent establishment in Canada, the fees also would be exempt under Art. ...