Income Tax Regulations

7304 (1) In this section,

member of the taxpayer’s household

member of the taxpayer’s household includes the taxpayer; (membre de la maisonnée du contribuable)

designated city

designated city means St. John’s, Halifax, Moncton, Quebec City, Montreal, Ottawa, Toronto, North Bay, Winnipeg, Saskatoon, Calgary, Edmonton and Vancouver. (ville désignée)

(2) For the purposes of this section and section 110.7 of the Act, the trip cost to a taxpayer in respect of a trip made by an individual who, at the time the trip was made, was a member of the taxpayer’s household is the least of

• (a) the amount of employer-provided travel benefits, as defined in subsection 110.7(6) of the Act, that is claimed by the taxpayer in respect of the trip;

• (b) the total of

  • (i) the amount of travel assistance described in paragraph (a) of the definition employer-provided travel benefits in subsection 110.7(6) of the Act in respect of the trip, and

  • (ii) travel expenses incurred by the taxpayer, or the spouse or common-law partner of the taxpayer, for the trip; and

• (c) the lowest return airfare ordinarily available, at the time the trip was made, to the individual for flights between the place in which the individual resided immediately before the trip, or the airport nearest thereto, and the designated city that is nearest to that place.

(3) In determining the trip cost to the taxpayer in respect of the trip, if the amount determined under paragraph (2)(a) is nil, subsection (2) is to be read without reference to that paragraph.

(4) For the purposes of subsection (2), the amounts claimed by the taxpayer in paragraph (2)(a) in respect of a trip are deemed to be nil, unless the taxpayer was dealing at arm’s length with the employer at the time that the employer-provided travel benefits, as defined in subsection 110.7(6) of the Act, were provided to the taxpayer.