Words and Phrases - "government"
5 June 2014 Internal T.I. 2014-0532281I7 F - Chambre des communes-donataire reconnu 149.1(1)
Does the House of Commons qualify as a qualified done? CRA responded:
Given that the House of Commons exercises legislative rather than executive power, it does not meet the expression "municipal or public body performing a function of government in Canada" for the purposes of section 149.1. Thus, we are of the view that it cannot qualify as a qualified donee.
8 December 2016 Internal T.I. 2016-0634231I7 - Pension received from the European Union
A Canadian taxpayer receives pension amounts from the EU as a result of employment there (while still a UK resident). The amount of the pension received is net of withholding tax and the taxpayer would like to claim the tax withheld as a foreign tax credit.
After referencing its position in 2013-0500491E5 that the EU is an international organization rather than a foreign government, CRA stated:
[T]he amounts withheld were paid to the EU and not to a government of a country other than Canada. Therefore, as stated above, the taxpayer would not be entitled to a foreign tax credit under subsection 126(1). Further, the taxpayer would not be entitled to foreign tax credit under subsection 126(3) because the income is pension income, not employment income.