How do I report non-taxable income from the World Bank, which is a "prescribed international organization" exempt from income tax?.
According to the World Bank, Section 110(1)(f)(iii) of the Income Tax Act (Canada) provides that a taxpayer, in computing taxable income for a taxation year, may deduct income from employment with a prescribed international organization to the extent that it has been included in computing the taxpayer’s income for the year. The Canadian Department of Finance has confirmed that the institutions of the Bank Group are prescribed "international organizations" for purposes of the deduction. Thus, under these rules you may deduct employment income from the Bank Group from the STC/STT taxable income that is subject to Canadian federal net income tax. Because the provinces other than Quebec impose provincial income tax based on basic federal tax payable, these rules effectively eliminate provincial income tax in those provinces on such employment income.