Income Tax - Other Deductions
Taxpayer was resident in Canada and employee of International Security Assistance Force (ISAF) as civilian consultant in Afghanistan. Minister of National Revenue denied deduction of taxpayer’s salary from income. Taxpayer appealed. Appeal dismissed. Employment income received from ISAF was not income from employment with prescribed international organization within meaning of s. 110(1)(f)(iii) of Income Tax Act so it was not deductible. ISAF was not listed as specialized agency of United Nations (UN), even though UN authorized ISAF. Whether Parliament provided deployed members of Canadian Forces with deduction from income from employment and had not provided civilian employees with similar deduction where they perform similar functions, were not issues before this court. Income was not exempt pursuant to s. 81(1)(a) of Act. Ottawa Agreement, incorporated into Privileges and Immunities (North Atlantic Treaty Organisation (NATO)) Act did not apply to exempt taxpayer’s income from Canadian tax. Taxpayer was ISAF employee, not NATO employee. Taxpayer did not establish that ISAF was one of NATO’s subsidiary bodies. Even if ISAF were considered subsidiary body of NATO, it was military body to which Ottawa Agreement did not apply, even though it employed civilians.
Lapierre v. The Queen (2019), 2019 CarswellNat 154, 2019 TCC 18, Lucie Lamarre A.C.J. (T.C.C. [General Procedure]).
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