Interpretation Bulletins, etc.

Cases

National R&D Inc. v. Canada, 2022 FCA 72

Regarding CRA Guidelines on what constituted scientific research and experimental development as defined in s. 248(1) and in confirming the Tax...

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Locations of other summaries Wordcount
Tax Topics - Income Tax Act - Section 248 - Subsection 248(1) - Scientific Research & Experimental Development need for use of the scientific method in SR&ED 215
Tax Topics - General Concepts - Stare Decisis courts are entitled to give precision to statutory language 110

Canada v. Marchessault, 2008 DTC 6496, 2007 FCA 345

Before going on to find that the interpretation of s. 128(2)(d) of the Act was not subject to any ambiguity and that a CRA directive should be...

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Locations of other summaries Wordcount
Tax Topics - Income Tax Act - Section 128 - Subsection 128(2) person who made a proposal was not a bankrupt 112
Tax Topics - Statutory Interpretation - Interpretation/Definition Provisions related interpretation provision not referenced 112

Imperial Oil Ltd. v. Canada, 2004 DTC 6702, 2004 FCA 361, rev'd 2006 SCC 46

After noting that in the case before him the Crown was challenging the deduction under s. 20(1)(f) of amounts paid as a result of foreign currency...

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Placer Dome Canada Ltd. v. Ontario (Minister of Finance), 2006 DTC 6532, 2006 SCC 20, [2006] 1 S.C.R. 715

After noting that the administrative position of the Minister had changed from a position initially supporting the taxpayer's reporting practice...

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Locations of other summaries Wordcount
Tax Topics - Statutory Interpretation - Redundancy/reading in words presumption against tautology 120
Tax Topics - Statutory Interpretation - Resolving Ambiguity residual presumption in favour of the taxpayer 133
Tax Topics - Income Tax Regulations - Regulation 1204 - Subsection 1204(1) - Paragraph 1204(1)(b) cash-settled derivatives had the effect of fixing mine production] 453
Tax Topics - Income Tax Act - Section 9 - Capital Gain vs. Profit - Futures/Forwards/Hedges “hedging “ includes cash settled derivatives including options 461
Tax Topics - Statutory Interpretation - Regulations/Statutory Delegation addition of regulation did not significantly expand scope of tax 264

Canada v. Whitney, 2002 DTC 7145, 2002 FCA 266

After noting that the ambiguity which the Tax Court judge had found in s. 56(1)(v) was based entirely on Interpretation Bulletin IT-220R2, Noël...

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Silicon Graphics Ltd. v. Canada, 2002 DTC 7113, 2002 FCA 260

Sexton J.A. noted (at p. 7120) with approval the indication in Canadian Occidental (U.S.) Petroleum Ltd. v. The Queen, 2001 DTC 295 (TCC) that...

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OSFC Holdings Ltd. v. Canada, 2001 DTC 5471, 2001 FCA 260

In light of a statement made in the Canadian Tax Journal by the Senior Assistant Deputy Minister of Finance which referred to the Furniss v....

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Locations of other summaries Wordcount
Tax Topics - Income Tax Act - Section 245 - Subsection 245(3) significant disparity between tax benefit and commercial return from transaction 263
Tax Topics - Income Tax Act - Section 245 - Subsection 245(4) policy against corporate loss trading 229
Tax Topics - Income Tax Act - Section 248 - Subsection 248(10) 32
Tax Topics - Statutory Interpretation - Interpretation/Definition Provisions deeming v. definition provisions 46

London Life Insurance Co. v. Canada, [2000] GSTC 111 (FCA)

Rothstein J.A. noted that the departure by the Minister in the case before him from the position taken in a CCRA Memorandum cast doubt on the...

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Locations of other summaries Wordcount
Tax Topics - Excise Tax Act - Section 123 - Subsection 123(1) - Improvement 108
Tax Topics - Excise Tax Act - Section 141.01 - Subsection 141.01(2) leasehold construction services were acquired for supply of leasehold improvements to landlord 175
Tax Topics - Excise Tax Act - Section 169 - Subsection 169(1) leasehold construction services were acquired for supply of leasehold improvements to landlord 220

Owen Holdings Ltd. v. The Queen, 97 DTC 5401 (FCA)

An application on behalf of the taxpayer, who had been assessed under s. 254(2), for all relevant advance income tax rulings (with names and other...

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Riddell v. The Queen, 95 DTC 5526, [1995] 2 CTC 362 (FCTD)

Rouleau J. found, on the basis of correspondence between a field auditor and his superiors, that it was the policy of Revenue Canada to allow an...

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Ludmer v. The Queen, 95 DTC 5311, [1995] 2 CTC 16, [1996] 3 CTC 74 (FCA)

Chevalier D.J. indicated that he would not allow pamphlets and other documents originating from the Minister into evidence for the purpose of...

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The Queen v. Fibreco Export Inc., 95 DTC 5412, [1995] 2 CTC 172 (FCA)

After finding that the trial judge had erred in excluding evidence as to administrative practice and parliamentary history, Hugessen J.A. went on...

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Ludmer v. The Queen, 95 DTC 5311, [1995] 2 CTC 16, [1996] 3 CTC 74 (FCA)

Pamphlets and other documents originating with Revenue Canada were not admissible for the purpose of establishing that the Minister had bound...

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Harvey C. Smith Drugs Ltd. v. The Queen, [1995] 1 C.T.C. 143 (FCA)

After noting that paragraph 41 of IT-145R, dated June 19, 1981, was contrary to the taxpayer's position, Desjardin J. noted (p. 9):

"... It is now...

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Connaught Laboratories Limited v. The Queen, 94 DTC 6697 (FCTD)

After distinguishing a technical interpretation of Revenue Canada, Reed J. stated (p. 6699) that "in any event, a departmental interpretation...

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Locations of other summaries Wordcount
Tax Topics - Income Tax Act - Section 161 - Subsection 161(7) 147

The Queen v. Silden, 93 DTC 5362, [1993] 2 CTC 123 (FCA)

After finding that it was apparent from reading s. 15(2) in its entirety that it applied not only to loans made to shareholders as shareholders...

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Locations of other summaries Wordcount
Tax Topics - Income Tax Act - Section 15 - Subsection 15(2) loan to 1/3 shareholder made in ordinary course but without specific repayment arrangement 215

The Queen v. Kieboom, 92 DTC 6382, [1992] 2 CTC 59 (FCA)

In finding that the taxpayer was subject to tax under ss.245(2)(c) and 69(1)(b)(ii), Linden J.A. stated (pp. 6385-6386):

"In addition, this...

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First Fund Genesis Corp. v. The Queen, 91 DTC 5361, [1991] 2 CTC 14 (FCTD)

Before referring to a Revenue Canada, Taxation guideline, Joyal J. stated (pp. 5369-5370):

"While such an interpretation cannot bind this court or...

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Vaillancourt v. The Queen, 91 DTC 5408 (FCA)

Before referring to IT-367R2 as confirming a conclusion he had already reached, Décary J.A. stated (pp. 5356-5357):

"It is well settled that...

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Peter Cundill & Associates Ltd. v. The Queen, 91 DTC 5085 (FCTD), aff'd 91 DTC 5543 (FCA)

Cullen J. relied upon the definition in IT-468 of management or administrative services.

Mattabi Mines Ltd. v. Ontario (Minister of Revenue), [1988] 2 CTC 294, [1988] 2 S.C.R. 175

"An Interpretation Bulletin does not, of course, have the binding effect of law (I will discuss this later) but such Bulletins do have persuasive...

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Johnson & Johnson Inc. v. D.MNR, 88 DTC 6235, [1988] 2CTC 1 (FCTD)

The Department's published list of exempt health goods was used to infer that interdental stimulators should also be exempt.

Smith, Kline & French Laboratories Ltd. v. A.G. Can. (1987), 12 F.T.R. 81

Internal government memoranda and statements by ministers were admissible to assist in establishing the effect (rather than the purpose) of...

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West Hill Redevelopment Co. Ltd. v. The Queen, 87 DTC 5210, [1987] 1CTC 310 (FCTD)

A paragraph in the taxpayer's statement of claim describing somewhat similar practices of other taxpayers which had gone unchallenged by Revenue...

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The Queen v. Hoffman, 85 DTC 5508, [1985] 2 CTC 347 (FCTD)

Extensive reliance was placed on statements of Ministerial policy in interpretation bulletins, in finding against the taxpayer.

Mother's Pizza Parlour Ltd. v. The Queen, 85 DTC 5271, [1985] 1 CTC 361 (FCTD), aff'd supra.

Rouleau, J. stated: "I have no difficulty with the proposition that income tax interpretation bulletins may be consulted ... but these materials...

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O'Brien v. The Queen, 85 DTC 5202, [1985] 1 CTC 285 (FCTD)

In rejecting the Crown's interpretation, Walsh, J. stated:

"Defendant's argument really is derived from Interpretation Bulletin 334R, which of...

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Reilly Estate v. The Queen, 84 DTC 6001, [1984] CTC 21 (FCTD)

An accountant demonstrated that neglect or carelessness within the meaning of s. 152(4)(a)(i) was not attributable to him by showing that he had...

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The Queen v. Royal Trust Corp. of Canada, 83 DTC 5172, [1983] CTC 159 (FCA)

It was stated to be "not without interest and significance" that two Interpretation Bulletins gave what was found to be the correct interpretation...

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Nowegijick v. The Queen, 83 DTC 5041, [1983] CTC 20, [1983] 1 S.C.R. 29

"Administrative policy and interpretation are not determinative but are entitled to weight and can be an 'important factor' in case of doubt...

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Wicks v. Firth, [1982] BTC 402 (HL)

An Inland Revenue press release was found to be relevant in allowing the taxpayer's appeals.

Brown v. The Queen, 79 DTC 5421, [1979] CTC 476 (FCTD)

It was suggested that a tax information pamphlet is inadmissible on evidentiary grounds if it does not indicate on its face that it was issued by...

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Harel v. Deputy Minister of Revenue (Quebec), 77 DTC 5438, [1977] CTC 441, [1978] 1 S.C.R. 851

S.45 of the Income Tax Act (Quebec) was modeled on the corresponding provision in the federal Act, at a time when the administrative...

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See Also

Ellaway v. The Queen, 2019 TCC 118

An Australian resident who moved to Canada in February 2016 to take up residence there was properly denied her moving expenses of $59,188 because...

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Locations of other summaries Wordcount
Tax Topics - Income Tax Act - Section 248 - Subsection 248(1) - Eligible Relocation no moving expense deduction was available for a move to Canada 185

Alta Energy Luxembourg S.A.R.L. v The Queen, 2018 TCC 152, aff'd 2020 FCA 43, aff'd 2021 SCC 49

After noting that the Treaty interpretation being advanced by the Crown (which had the effect of denying a Treaty benefit to a non-resident...

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Locations of other summaries Wordcount
Tax Topics - Treaties - Income Tax Conventions - Article 13 a large exploration property in which only six wells had been drilled qualified as immovable property used in the business 400
Tax Topics - Income Tax Act - Section 245 - Subsection 245(4) no abuse in non-resident investors using a s.à r.l. to avoid capital gains tax on a new Canadian exploration company 384

Pêcheries Yvon Savage Inc. v. The Queen, 2012 DTC 1059 [at 2781], 2011 TCC 477

The taxpayer argued that its renovated boat was qualified property even though it had, contrary to the definition of "qualified property" in s....

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FLSmidth Ltd. v. The Queen, 2012 DTC 1052 [at 2745], 2012 TCC 3, aff'd 2013 DTC 5118 [at 6147], 2013 FCA 160

After referring to two CRA technical interpretations, Paris J. stated (at para. 44, and before citing Nowegijick):

While these interpretations are...

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Fleet v. Canada (Attorney General), 2010 DTC 5094 [at 6912], 2010 FC 609

After referring to CRA's Information Circular respecting the circumstances in which the Minister may waive interest and penalties, Crampton, J....

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Parker Brothers Textile Mills Limited v. The Queen, 2007 DTC 610, 2007 TCC 74

After noting that IT-350R indicated that the deduction under s. 20(1)(dd) was available to a person who would be a potential tenant of premises at...

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Locations of other summaries Wordcount
Tax Topics - General Concepts - Onus 145
Tax Topics - Income Tax Act - Section 20 - Subsection 20(1) - Paragraph 20(1)(dd) related company could acquire the site 125

Karia v. Canada (Minister of National Revenue), 2005 DTC 5282, 2005 FC 639

A statement in Information Circular IC00-1R, that a disclosure will be treated as voluntary if the taxpayer initiated it without knowledge of an...

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Kruco Inc. v. The Queen, 2001 DTC 668 (TCC), aff'd 2003 FCA 284

Dussault T.C.J. indicated (at p. 690) that accepting the administrative policy of the Minister in that case respecting the computation of safe...

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Safety Boss Ltd. v. The Queen, 2000 DTC 1767 (TCC)

Before referring to a statement at the 1981 Revenue Canada Round Table of the Canadian Tax Foundation, Bowman TCJ. stated (at p. 1773) that "while...

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Locations of other summaries Wordcount
Tax Topics - Income Tax Act - Section 15 - Subsection 15(1) conferral on corp increasing its value is benefit conferred on shareholder 149
Tax Topics - Income Tax Act - Section 247 - New - Subsection 247(2) 293

CSI Development Corp. v. The Queen, 99 DTC 1139, [1999] 3 CTC 2421 (TCC)

After noting that the capital dividend account definition in s. 89(1) was silent on the treatment of the non-taxable portion of a capital gain...

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Northwest Hydraulic Consultants Ltd. v. The Queen, 98 DTC 1839, [1998] 3 CTC 2520 (TCC)

Bowman TCJ. stated (at pp. 1840-1841):

"In general I am reluctant to rely too heavily on interpretation bulletins and information circulars in...

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Ainsley Financial Corp. v. Ontario Securities Commission, 21 O.R. (3d) 104, 121 D.L.R. (4th) 79 (C.A.)

In finding that the O.S.C. had no authority to issue Policy Statement 1.10 (relating to the marketing and sale of penny stocks by securities...

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Kaplan Estate v. The Queen, 94 DTC 1816 (TCC)

Paragraph 9 of Article XIII of the U.S. Convention was interpreted contrary to the position of the Minister in light of the Technical Explanation...

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Locations of other summaries Wordcount
Tax Topics - Treaties - Income Tax Conventions - Article 13 period starts running no earlier than 1972 165

R. v. Inland Revenue Commissioners, Ex Parte Matrix Securities Ltd., [1994] BTC 85 (HL)

Because statements made in an application to Inland Revenue for an advance clearance were materially inaccurate or misleading, Inland Revenue was...

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Locations of other summaries Wordcount
Tax Topics - Income Tax Act - Section 54 - Adjusted Cost Base 343

Ouellet v. The Queen, 94 DTC 1315, [1994] 1 CTC 2645 (TCC)

Before partially granting a motion for the filing of a list of administrative interpretations in connection with an appeal by a judge of a...

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Stevens v. MNR, 93 DTC 291, [1993] 1 CTC 2429 (TCC)

After noting that the taxpayer was not, in fact, covered by a statement of administrative policy in an Interpretation Bulletin, Mogan J. noted...

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Texasgulf, Inc. v. U.S., 89-1 U.S.TC 88079 (US Cl. Ct.)

"While it is true that private letter rulings reveal the agency's interpretation of statutes (and regulations promulgated pursuant to those...

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International Brotherhood of Teamsters v. Daniel, 439 U.S. 551 (1979)

At 566:

"It is a commonplace in our jurisprudence that an administrative agency's consistent, longstanding interpretation of the statute under...

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Administrative Policy

21 November 2017 CTF Roundtable Q. 7, 2017-0724261C6 - CRA Update

When the Folios project commenced, 265 related IT Bulletins were identified as being in need of updating. Since 2013, 39 folios have been...

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85 C.T. - Q.4

An Interpretation Bulletin can be relied upon in virtually every case.

85 C.R. - Q27

A statement at the 1980 Round Table was a public announcement of policy.

85 C.R. - Q.43

A ruling will be respected.

80 C.R. - Q.1

Where a change in RC interpretation is to the detriment of taxpayers, a coming-into force provision is usually provided where the consequences to...

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79 C.R. - Q.8

Prepared statements of RC officials given at meetings such as Revenue Canada Round Tables are similar to Bulletins - as correct a statement of the...

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