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Income Tax Convention means capital gains Position TAKEN: Yes Reasons FOR POSITION TAKEN:-- wording used in the Convention-- the need for Article VI(3)-- wording used in the OECD Model Convention September 13, 1995 D. ... (Emphasis mine) In addition, the Convention was patterned on the OECD Model Convention and Article 13 of that convention clearly indicates that it is only applicable to capital gains. ... With respect to XXXXXXXXXX argument that the specific rules in Article VII and Article V of the Convention dealing with permanent establishment would overcome the problem of subjecting any gain, whether on income or capital account, to the provisions of Article XIII of the Convention, we submit that this would not be the case because by virtue of paragraph 6 of Article VII of the Convention, Article XIII of the Convention would take precedent over Article VII. ...

Reasons: 1 – Income distributed by a trust resident in Canada is eligible for reduced Part XIII withholding under Article XXII of the Canada-United States Convention when no other article of the convention applies. 2 – Income distributed from a trust resident in Canada is eligible for reduced Part XIII withholding under Article XXII of the Canada-United States Convention when no other article of the convention applies. 3 – Payments from RRSPs and RRIFs are considered pensions under the Canada-United States Convention, so Article XXII does not apply to these payments. ... Étant donné que les sommes payées des REÉI et des CÉLI à des résidents américains ne sont traitées dans aucun autre article de la Convention, celles-ci se qualifient d’« autres revenus » aux fins de l’article XXII:1 de la Convention. ... Par ailleurs, la Loi sur l’interprétation des conventions en matière d’impôts sur le revenu (footnote 6) définit le terme « paiements périodiques de pension » aux fins des conventions. ...

Income Tax Convention (1980) (the "Convention"). Revenue Canada has taken the position, in consultation with the Department of Finance, that tax exempt entities, including U.S. tax exempt pension trusts, are considered to be residents of the contracting state under which they are organized for purposes of Article IV of the Convention and for similar articles in other income tax conventions or agreements which Canada has in force. Accordingly, a U.S. tax exempt pension trust would therefore be entitled to all benefits under the Convention, including those contained in Articles VII, X and XIII of the Convention, notwithstanding that such entities are not "liable to tax" in the United States. The comments set out in the Technical Explanation to the Convention concerning "resident in and resident of a contracting state", in respect to Article XXI of the Convention, have been superceded by the above commments which are applicable to all of Canada's tax conventions or agreements. ...

K1A 0L8 CANADA/NORWAY TAX CONVENTION CANADA/NETHERLANDS TAX CONVENTION Dear Mr. ... Article 2(2) of the convention directs one to the Income Tax Act 1972 for a definition of a "trust". ... Conversely, payments from similar resident Canadian trusts subject to the current Canada/Netherlands Tax Convention will be subject to Article XVII of the protocol to that Convention dated 2nd April 1957 and thereby excluded from Article XVII of the Convention, effectively subjecting such payments to the Canadian statutory rate of withholding tax under the relevant provisions of Section 21 I.T.A. 1972. ...

Tax Convention on the basis that the taxes imposed under the GILTI rules may be in violation of Article VII of the Convention? ... Tax Convention (“Convention”), however, business profits of a corporation resident in Canada that does not have a permanent establishment in the U.S. shall be taxable only in Canada. Will the CRA agree to accept requests for competent authority relief under Article XXVI of the Convention on the basis that the taxes imposed under the GILTI rules may be in violation of Article VII of the Convention? ...

In view of 19(1)  concerns about the treatment of exempt organizations under the Australian Convention please provide us with your views as to whether the negotiators of the Australian Convention intended that exempt organizations (such as the Society) be entitled to the benefits contained in the Australian Convention. ... Income Tax Convention ("the U.S. Convention") is contained in paragraph 1 of Article IV. ... Convention are not residents of a contracting state for the purposes of that convention. ...

In view of 19(1) concerns about the treatment of exempt organizations under the Australian Convention please provide us with your views as to whether the negotiators of the Australian Convention intended that exempt organizations (such as the Society) be entitled to the benefits contained in the Australian Convention. ... Income Tax Convention ("the U.S. Convention") is contained in paragraph 1 of Article IV. ... Convention are not residents of a contracting state for the purposes of that convention. ...

1993 External T.I. 9315690 F- The Most-Favoured Nation Clause in Treaty with Mexico Unedited CRA Tags Treaty Mexico Article 11, Treaty Mexico Article 12 CORPORATE MANAGEMENT TAX CONFERENCEROUND TABLEJUNE 1993 Canada-Mexico Income Tax Convention (1991) Question The Protocol to the Canada-Mexico Income Tax Convention (1991) (the "Convention") provides that "In the event that pursuant to an Agreement or Convention concluded with a country that is a member of the Organization for Economic Co-operation and Development after the date of signature of this Convention, Mexico agrees to a rate of tax on interest or royalties that is lower than 15 per cent, then such lower rate (but not in any event a rate below 10 per cent) shall apply for the purpose of paragraph 2 of Article 11 with respect to interest or paragraph 2 of Article 12 with respect to royalties, as the case may be." Since the date of the signature of the Convention, Mexico has signed tax conventions or agreements ("tax treaties") with Sweden, Germany and the United States which provide for a rate of withholding tax that is lower than 15 percent in certain circumstances on interest and royalties. Does it follow that interest and royalties are now subject to a lower rate of withholding tax under the Convention? ...

Dans le cas où ces modifications seraient effectuées dans une convention séparée, est-ce que cette convention serait considérée comme ayant résilié ou remplacé une convention entre actionnaires pour les fins de l'alinéa a) de la règle transitoire? ... La protection des droits acquis que vaudrait l'existence d'une convention entre actionnaires conclue avant le 27 avril 1995 serait perdue si les modifications apportées à la convention ou les modifications effectuées dans le cadre d'une convention séparée, auraient pour effet de résilier ou remplacer la convention entre actionnaires conclue avant le 27 avril 1995. La question de savoir si les modifications apportées à une convention ou les modifications effectuées dans le cadre d'une convention séparée, auraient pour effet de résilier ou remplacer la convention entre actionnaires, relève du droit civil dans le cas d'une convention assujettie aux lois de la province de Québec. ...

Reasons: Canada is allowed to tax the capital gain under paragraph 1 of Article 13 of the Convention since land is considered to be immovable property, as defined under paragraph 2 of Article 6 of the Convention. ... Les faits Un individu non-résident du Canada (le « Non-résident ») réside à Hong Kong aux fins de la Convention. ... Selon le paragraphe 1 de l’Article 13 de la Convention, le gain qu'un résident de Hong Kong tire de l'aliénation d’un bien immobilier mentionné à l’Article 6 de la Convention et qui est situé au Canada est imposable dans ce pays. ...