Law360 Canada ( December 3, 2025, 9:39 AM EST) -- Appeal by Priority Foundation (Priority) from a decision of Minister of National Revenue (Minister). The Minister issued a notice of intention to revoke Priority’s registration as a charity. The revocation took effect when a copy of the notice was published in the Canada Gazette. The Minister’s decision to revoke Priority’s status as a registered charity was based on the Minister’s opinion that Priority failed to comply with the requirements of the Income Tax Act (ITA) by making gifts to nonqualified donees. At issue were gifts made by Priority to charities in the United States. On appeal, Priority submitted that, by operation of Article XXI(7) of the Convention between Canada and the United States of America with Respect to Taxes on Income and on Capital (Tax Convention), a gift to a U.S. charity was to be treated, for the purposes of Canadian taxation, as a gift to a registered charity under the ITA (Gift Provision). Since a registered charity was a “qualified donee” under the ITA, the Minister had no grounds to revoke its charitable status. The parties agreed that the interpretation of Article XXI(7) of the Tax Convention would resolve the outstanding issues between them....