{"id":16518,"date":"2014-01-17T11:18:55","date_gmt":"2014-01-17T16:18:55","guid":{"rendered":"https:\/\/www.cccc.org\/news_blogs\/?p=16518"},"modified":"2019-10-15T09:14:11","modified_gmt":"2019-10-15T13:14:11","slug":"recent-revisions-to-cras-clergy-residence-deduction-form-a-positive-development","status":"publish","type":"post","link":"https:\/\/cccc.org\/news_blogs\/legal\/2014\/01\/17\/recent-revisions-to-cras-clergy-residence-deduction-form-a-positive-development\/","title":{"rendered":"Recent Revisions to CRA’s Clergy Residence Deduction Form: A Positive Development"},"content":{"rendered":"

In a previous article<\/a>, CCCC reported on some changes made in December 2012 to CRA\u2019s Form T1223 \u2013 <\/strong>Clergy Residence Deduction<\/strong>, <\/i>including an additional requirement that a claimant “provide a copy of his or her ordination certificate” to CRA.<\/p>\n

CCCC expressed some concerns at that time about this new requirement. In particular, it was noted that some religious groups\u2019 formal process of clergy recognition might not involve the issuance of an \u201cordination certificate\u201d. Indeed, this is reflected in CRA\u2019s own Interpretation Bulletin IT-141R<\/a>, which recognizes that the process of appointing a member of the clergy might not be referred to as \u201cordination\u201d at all, and might not be done by someone higher up in the ecclesiastical hierarchy; it may be done by the congregation itself. Requiring an “ordination certificate” on the T1223 therefore created confusion, and CCCC presented these concerns to CRA.<\/p>\n

Further to those submissions, the T1223 has recently been revised (here is the most recent version<\/a>). The relevant section of the form now reads as follows:<\/p>\n

\u201cWas this employee…a member of the clergy? If so, specify his or her title as designated by the denomination or church that formally recognized him or her as well as the name of that denomination or church. Provide a copy of his or her proof of appointment (for example, an ordination certificate)<\/b>.<\/i>\u201d [emphasis added]<\/p>\n

CCCC is pleased to report on this revision, and notes that the new wording provides helpful clarification that proof of an appointment of a member of the clergy may take a variety of different forms (of which an ordination certificate is but one example).<\/p>\n

Individuals eligible for the clergy residence deduction, as well as their employers, should note that some proof of appointment is still required for members of the clergy (it does not need to be filed with CRA, but it should be readily available should CRA request it).[1]<\/a><\/p>\n

Although not all religious traditions engage in an \u201cordination\u201d process, there should be some demonstrable evidence of a clergy member\u2019s formal and legitimate recognition for religious leadership within the religious organization. Form T1223 does not provide further examples, but CCCC suggests the following as examples of documents that could be retained for this purpose:<\/p>\n