Is a foundation created under the laws of a country where civil law applies treated as a trust under the Act?
After referring to its two-step approach to foreign entity classification, CRA indicated that, since the classification of a particular entity or arrangement is to be determined on a case-by-case basis, it will consider the classification of a foreign foundation in the context of an advanced income tax ruling, provided that the ruling request is supported by a complete description of the characteristics, an analysis as to the proper classification of the entity or arrangement for purposes of the Act and Regulations, a discussion of the way the relevant provisions would apply to proposed transactions involving or affecting the rights and obligations of the entity or arrangement and its stakeholders, a copy of the foreign legislation applicable, and any other relevant documents.