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Income Tax Technical News, No. 23, 18 June 2002-- summary under Article 12 Summary Under Tax Topics- Treaties- Income Tax Conventions- Article 12 As Canada has removed its observation on Article 12 of the OECD Model Convention, CCRA generally will no longer view payments by a user of computer software pursuant to a contract that requires the source code or program to be kept confidential, as payments for the use of a secret formula and process and, thus, as constituting royalties. However, CCRA will view such payments as royalties within the definition of royalty if the particular Convention refers to "payments... for the use of, or the right to use... other intangible property. ...

")-- summary under Article 18 Summary Under Tax Topics- Treaties- Income Tax Conventions- Article 18 "Payments from an RCA as that term is defined in subsection 248(1) of the Income Tax Act, would qualify as 'pensions' for purposes of the convention". However, whether such payments would be eligible for the reduced rate of 15% would depend on whether they qualified as "periodic pension payments" as defined in s. 5 of the Income Tax Conventions Interpretations Act. ...

27 February 1990 Memorandum (July 1990 Access Letter, ¶1335)-- summary under Article 13 Summary Under Tax Topics- Treaties- Income Tax Conventions- Article 13 The Canada-U.S. Income Tax Convention would have the effect of exempting a U.S. resident from AMT with respect to capital gains. ...

.- Q.3-- summary under Article 21 Summary Under Tax Topics- Treaties- Income Tax Conventions- Article 21 a U.S. pension trust or charitable trust is entitled to the exemption provided in paragraph 2 of Article XXI of the Canada-U.S. Income Tax Convention (1980). ...

Income Tax Technical News, No. 4, 20 February 1995-- summary under Article 13 Summary Under Tax Topics- Treaties- Income Tax Conventions- Article 13 When the pro rata method in Article XIII, para. 9 of the U.S. Convention is used to reduce the amount of the capital gain, the months before 1972 are never relevant in determining "the amount of the gain which is liable to tax" in Canada. ...

.- Q.5-- summary under Article 18 Summary Under Tax Topics- Treaties- Income Tax Conventions- Article 18 If a Canadian resident is permitted under the Code to roll a lump sum payment received out of a U.S. pension fund into an IRA, a deduction in Canada will be permitted pursuant to s. 110(1)(f) to recognize the deferral permitted under Article XVIII of the U.S. Convention. ...

6 March 1991 Memorandum (Tax Window, No. 1, p. 18, ¶1148)-- summary under Article 18 Summary Under Tax Topics- Treaties- Income Tax Conventions- Article 18 The rate reduction under Article XVIII of the U.S. Convention applies only to annuity payments made on a periodic basis, and not to a lump-sum payment arising on the surrender or partial surrender of an annuity. ...

1996 Ontario Tax Conference Round Table, Q. 3 (No. 9630040)-- summary under Article 12 Summary Under Tax Topics- Treaties- Income Tax Conventions- Article 12 RC has not formulated a position on the essential characteristics of a franchise agreement for purposes of subparagraph 3(c) of Article XII of the U.S. Convention, and it is a question of fact whether an arrangement is "in connection with a rental... agreement". ...

4 March 1992 Memorandum (Tax Window, No. 17, p. 11, ¶1781)-- summary under Article 12 Summary Under Tax Topics- Treaties- Income Tax Conventions- Article 12 Payments made for the use of a trademark are not exempt under Article XIII(3) of the Canada-U.S. Convention because they are not in respect of copyright. ...

93 C.M.TC- Q. 4-- summary under Article 4 Summary Under Tax Topics- Treaties- Income Tax Conventions- Article 4 The continuance of a corporation incorporated in Canada to the United States will not result in that corporation ceasing to be considered to have been created in Canada for purposes of Article IV of the U.S. Convention notwithstanding s. 250(5.1). ...