16 May 1996 External T.I. 9616375 - ADVISE ON UNDERSTANDING IT-407R3 SR.

Please note that the following document, although believed to be correct at the time of issue, may not represent the current position of the CRA.
Prenez note que ce document, bien qu'exact au moment émis, peut ne pas représenter la position actuelle de l'ARC.

Please note that the following document, although believed to be correct at the time of issue, may not represent the current position of the Department.

Prenez note que ce document, bien qu'exact au moment émis, peut ne pas représenter la position actuelle du ministère.

		5-961637
XXXXXXXXXX	J.A. MacFarlane

May 16, 1996

Dear XXXXXXXXXX:

This is in reply to your letter of April 15, 1996 wherein you requested an explanation of Interpretation Bulletin IT-407R3, Special Release.

In order to assist taxpayers in complying with the Income Tax Act, the Department prepares tax guides, brochures, information circulars and interpretation bulletins. Interpretation Bulletins are the most technical in nature and are used primarily by departmental staff, tax specialists and other individuals who have an interest in tax matters. There is an ongoing effort to improve the readability of the bulletins and plain writing techniques are used in their preparation but the need for technical precision and accuracy is foremost in the minds of the preparers of the bulletins.

A Special Release is prepared when there is a need to revise a bulletin to reflect changes in the law or departmental interpretations of the law but the number of changes is not sufficient to warrant the cost of revising the whole bulletin. A Special Release will, for example, add an observation to a paragraph, delete one or more sentences from another paragraph and replace a third paragraph. To understand a Special Release it must be read in conjuction with the Interpretation Bulletin that it revises.

To assist you in understanding the contents of the Special Release to IT-407R3, I am enclosing a copy of the booklet, Gifts and Income Tax which contains some commentary on gifts of cultural property and a copy of Interpretation Bulletin IT-407R3. A revision of IT-407R3, which will incorporate the Special Release, is in preparation and should be available by December, 1996.

If you have a specific question or questions after you have read the material that is enclosed, please write to me again.

Yours truly,

for Director,
Business and Publications Division
Income Tax Rulings and
Interpretations Directorate
Policy and Legislation Branch

encls