Motor Vehicle

Regarding whether a snowmobile used in the Nunavut region qualified as a “motor vehicle,” the Agency indicated that although it was an “automotive vehicle” and the listed exceptions did not apply. However, before concluding that “a snowmobile is … not a motor vehicle since it is not designed or equipped for use on public roads,” it stated:

The first expression used, “designed or adapted” should, in our view, be used not in the sense of “capacity” but rather in the sense of “having or being organized for a specific use.” It is therefore necessary to determine whether a snowmobile is in fact a vehicle that has been constructed for a specific purpose, namely to travel on highways and streets.

Accordingly, a self-employed worker could deduct related business expenses to the extent the other conditions were satisfied, and an individual using the snowmobile in the course of employment could deduct certain travel expenses under s. 8(1)(h) if the conditions were satisfied.