23 June 1989 Ministerial Letter 89M06328 F - Withholding of Tax

By services, 18 January, 2022
Official title
Withholding of Tax
Language
French
CRA tags
n/a
Document number
Citation name
89M06328
Severed letter type
Ministerial Letter
d7 import status
Drupal 7 entity type
Node
Drupal 7 entity ID
632510
Extra import data
{
"field_external_guid": [],
"field_proprietary_citation": [],
"field_release_date_new": "1989-06-23 08:00:00",
"field_tags": []
}
Main text
  June 23, 1989
TO: Tax Reform and T1 Processing FROM: Specialty Rulings
Division  Directorate
  K.B. Harding
Mr. K. Hillier 957-2129

As a result of a conversation with G. McIntyre concerning the withholding of tax by non-resident with respect to salaries, wages, commissions etc. paid to residents of Canada, he suggested I forward a copy of our letter to your Division since we disagree with the attached May 11, 1978 letter signed by Mr. Howard Fisher.

While it is agreed that it may be impossible to force non-resident employers to comply with our law when they do not have a permanent establishment in Canada, we do not suggest that we should advise them to ignore the law since most non-residents will comply with our laws in order to carry on business in Canada.

We trust you will review this matter and, if necessary, advise the relevant law firm of our policy in this matter.

for DirectorReorganizations and Non-Resident DivisionSpecialty Rulings DirectorateLegislative and Intergovernmental Affairs Branch