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Income Tax Convention should be applied on a look-through basis for purposes of subparagraph 5(a) of Article 13. ... Convention (the "Convention") We are writing in response to your letter of September 5, 1996 in respect of paragraphs 5 and 7 of Article 13 of the Convention. ... However, it should be noted that in applying subparagraph 5(a) of Article 13 of the Convention, consideration has to be given to property referred to in paragraph 4 of Article 13 of the Convention, whether or not such property is property in which the business was carried on. ...

Income Tax Convention also applies to subsection 70(5.2) transfer. Position: No Reasons: Paragraph 5 of Article XXIX B is only for the purposes of subsection 70(6) 960299 XXXXXXXXXX S. Leung Attention: XXXXXXXXXX May 13, 1996 Dear Sirs: Re: Subsection 70(5.2) of the Income Tax Act (the "Act") Paragraph 5 of Article XXIX B of the Canada-United States Income Tax Convention (1980), as Amended, (the "Convention") We are writing in response to your letter of January 12, 1996 wherein you requested our opinion as to whether Article XXIX B or any other provisions of the Convention allows a tax-deferred transfer of Canadian resource property from a deceased taxpayer to his or her surviving spouse or spousal trust in the case where the decedent was a resident of the United States immediately before the date of death. ... Therefore, in our opinion, paragraph 5 of Article XXIX B of the Convention does not apply to tax-deferred transfers described in paragraphs 70(5.2)(b) or 70(5.2)(d) or subsection 70(6.1) of the Act. ...

La position de l'ARC est qu'une fiducie réputée résidente du Canada en vertu du nouvel article 94 est également résidente du Canada pour les fins de la convention fiscale applicable. ... Par conséquent, le bénéficiaire ne pourra obtenir aucune réduction d'impôt en raison de la convention fiscale entre le Canada et le pays où il réside. ... Consequently, the beneficiary will not obtain any income tax reduction as a result of the tax convention between Canada and the country where he resides. ...

Principal Issues: Are payments for use of a database eligible for exemption from withholding tax under paragraph 3(c) of Article XII of US Convention? ... Convention (the "Convention") We are writing in response to your letter dated November 30, 1995 in respect of payments made for access to a U.S. database. ... If the agreements do indicate this sole use, the payments would be eligible for exemption under the Convention. ...

Principal Issues: Should the gross asset valuation method be used generally in applying subparagraph 3(b)(ii) of Article XIII of the Canada-United States Income Tax Convention? ... Paragraph 3 of Article XIII of the Convention is simply an extension of that principle. ... The views expressed in paragraph 28.4 of the Commentary on paragraph 4 of Article 13 of the OECD Model Convention will not be reflected by the CCRA as a hard and fast rule, particularly where there is a case of potential abuse. ...

Income Tax Convention? 2. What information is needed for a taxpayer who receives a periodic pension from International Monetary Fund to claim the exemption mentioned in 1 above? ... Leung June 20, 1996 Dear Sirs: Re: Article XVIII of the Canada-United States Income Tax Convention (1980) (the "Convention") We are writing in response to your letter of March 29, 1996 in which you requested our interpretation of the clause "if the recipient were a resident thereof" used in paragraph 1 of Article XVIII of the Convention. ... In order to establish his or her claim for the exemption provided under paragraph 1 of Article XVIII of the Convention, a taxpayer is required to file annually with his or her T1 Income Tax Return information that the payer of the pension has filed with U.S. ...

Income Tax Convention (the "Convention") Position: The lesser of the two amounts described in (a) and (b) of subsection 227(6.1) Reasons: The law is very specific in this regard. ... Income Tax Convention (the "Convention") We are writing in response to your memorandum of May 6, 1997 in which you requested our interpretation of subsection 227(6.1) of the Income Tax Act (the "Act") in determining the amount of refund payable to a non-resident person on repayment of a shareholder's loan in respect of which Part XIII tax has previously been paid pursuant to paragraphs 214(3)(a) and 212(2)(a) of the Act. ... The change in the tax rate may either be caused by an amendment to Article X (Dividends) of the Convention with respect to the tax rate or by a change in the percentage of ownership of the voting stock of a company described in paragraph 2 of Article X of the Convention. ...

Therefore, the Convention removes the obligation of a Canadian resident to pay U.S. income tax in excess of the amount that would have been paid under the Convention. ... The result would be the same if the taxpayer opts out of the Convention. ... AMT arises in spite of the Convention not because of the Convention. Example E (Canadian Source Income with Some U.S. ...

9 July 1993 External T.I. 9312055 F- Disposition at Date of Death- Partnerships (4093-W13) Unedited CRA Tags 70(5), 115(1)(b)(v), 96, Treaty Germany Article 13 XXXXXXXXXX Attention:  XXXXXXXXXX Dear Sirs: RE:  Canada-Germany Income Tax Convention (the "Convention") This is in reply to your letter of March 17, 1993, addressed to the Toronto District Office, in which you requested a technical interpretation of paragraph 4 of Article 13 of the Convention. ... In the event that a non-resident does not meet the above conditions and the taxable capital gain from the disposition of his interest in the partnership is required to be included in the computation of taxable income earned in Canada pursuant to subparagraph 115(1)(b)(v) of the Act, the non-resident may be entitled to an offsetting deduction under paragraph 110(1)(f) of the Act in the event that the taxable capital gain is exempt from tax in Canada pursuant to paragraphs 5 and 6 of article 13 of the Convention. However, paragraph 4 of article 13 of the Convention will maintain Canada's right to tax the non-resident on any gain arising from the disposition of his interest in the partnership where the value of such interest is derived principally from immovable property situated in Canada. ...

Convention XXXXXXXXXX 1999-000943 J. Stalker Attention: XXXXXXXXXX January 31, 2000 Dear Sirs/Mesdames: Re: Article XV of the Canada- U.S. Income Tax Convention (the "Convention") This is in reply to your facsimile transmission of February 2, 1999 and in follow-up to our phone message to you of February 3, 1999 (Major/XXXXXXXXXX). ... You have asked if such an employee would be taxable in the U.S. pursuant to paragraph 2 of Article XV of the Convention. ...