I-3, r. 1 - Regulation respecting the Taxation Act

Section 130r71 Disposition versions

2021-03-10

130R71. In this division,

“exempt property” means

(a)  a property whose capital cost to the taxpayer does not exceed $1,000,000 and that is general-purpose office furniture or office equipment included in Class 8 in Schedule B, including mobile office equipment such as cellular telephones and pagers, or general-purpose electronic data processing equipment and ancillary data processing equipment described in subparagraph g of the first paragraph of Class 10 in that schedule;

(b)  a property whose capital cost to the taxpayer does not exceed $1,000,000 and that is general-purpose electronic data processing equipment and ancillary data processing equipment included in any of Classes 45, 50 and 52 in Schedule B;

(c)  furniture, appliances, television receivers, radio receivers, telephones, furnaces, hot-water heaters and other similar property designed for residential use;

(d)  a motor vehicle that is designed or adapted primarily to carry individuals on public highways and streets and that has a seating capacity for not more than the driver and 8 passengers, or a motor vehicle of a type commonly called a van or pick-up truck, or a similar vehicle;

(e)  a truck or tractor designed to haul freight on public highways;

(f)  a trailer designed to haul freight and to be hauled, under normal operating conditions, by a truck or tractor referred to in subparagraph e;

(g)  a building or part thereof included in any of Classes 1, 3, 6, 20, 31 and 32 in Schedule B, including its component parts such as electric wiring, plumbing, sprinkler systems, air-conditioning equipment, heating equipment, lighting fixtures, elevators and escalators, other than a building or part thereof leased primarily to a lessee referred to in the third paragraph who owned the building or part thereof at any time before the commencement of the lease, but not during a period ending not later than 1 year after the later of the date on which the construction of the building or part thereof was completed and the date of acquisition by the lessee of that building or part thereof;

(h)  vessel mooring space; and

(i)  a property that is included in Class 35 in Schedule B;

“specified leasing property” of a taxpayer at any time means corporeal depreciable property other than exempt property, that is

(a)  used at that time by the taxpayer or a person with whom the taxpayer does not deal at arm’s length primarily for the purpose of gaining or producing gross revenue that is rent or leasing revenue;

(b)  the subject of a lease at that time to a person with whom the taxpayer deals at arm’s length, the expected term of which at the time it was entered into was more than 1 year; and

(c)  the subject of a lease where the fair market value of the corporeal property that is the subject of the lease, other than the exempt property, exceeded $25,000 at the time the lease was entered into.

For the purposes of the definition of “specified leasing property” in the first paragraph and for greater precision, specified leasing property does not include systems software or property described in subparagraph q or r of the second paragraph of Class 10 in Schedule B or in any of subparagraphs n, o and r of the first paragraph of Class 12 in that schedule.

The lessee referred to in paragraph g of the definition of “exempt property” in the first paragraph is a person exempt from tax under Book VIII of Part I of the Act or a person who uses the building in the course of carrying on a business the income from which is, by reason of a provision of the Act, exempt from tax under Part I of the Act, or a Canadian government, a municipality or any other Canadian public authority.

s. 130R42.1; O.C. 366-94, s. 7; O.C. 1631-96, s. 12; O.C. 1466-98, s. 126; O.C. 1155-2004, s. 14; O.C. 1149-2006, s. 7; O.C. 134-2009, s. 1; O.C. 1176-2010, s. 11; O.C. 164-2021, s. 11.

2012-09-01

130R71. In this division,

“exempt property” means

(a)  a property whose capital cost to the taxpayer does not exceed $1,000,000 and that is general-purpose office furniture or office equipment included in Class 8 in Schedule B, including mobile office equipment such as cellular telephones and pagers, or general-purpose electronic data processing equipment and ancillary data processing equipment described in subparagraph g of the first paragraph of Class 10 in that schedule;

(b)  a property whose capital cost to the taxpayer does not exceed $1,000,000 and that is general-purpose electronic data processing equipment and ancillary data processing equipment included in any of Classes 45, 50 and 52 in Schedule B;

(c)  furniture, appliances, television receivers, radio receivers, telephones, furnaces, hot-water heaters and other similar property designed for residential use;

(d)  a motor vehicle that is designed or adapted primarily to carry individuals on public highways and streets and that has a seating capacity for not more than the driver and 8 passengers, or a motor vehicle of a type commonly called a van or pick-up truck, or a similar vehicle;

(e)  a truck or tractor designed to haul freight on public highways;

(f)  a trailer designed to haul freight and to be hauled, under normal operating conditions, by a truck or tractor referred to in subparagraph e;

(g)  a building or part thereof included in any of Classes 1, 3, 6, 20, 31 and 32 in Schedule B, including its component parts such as electric wiring, plumbing, sprinkler systems, air-conditioning equipment, heating equipment, lighting fixtures, elevators and escalators, other than a building or part thereof leased primarily to a lessee referred to in the third paragraph who owned the building or part thereof at any time before the commencement of the lease, but not during a period ending not later than 1 year after the later of the date on which the construction of the building or part thereof was completed and the date of acquisition by the lessee of that building or part thereof;

(h)  vessel mooring space; and

(i)  a property that is included in Class 35 in Schedule B;

“specified leasing property” of a taxpayer at any time means tangible depreciable property other than exempt property, that is

(a)  used at that time by the taxpayer or a person with whom the taxpayer does not deal at arm’s length primarily for the purpose of gaining or producing gross revenue that is rent or leasing revenue;

(b)  the subject of a lease at that time to a person with whom the taxpayer deals at arm’s length, the expected term of which at the time it was entered into was more than 1 year; and

(c)  the subject of a lease where the fair market value of the tangible property that is the subject of the lease, other than the exempt property, exceeded $25,000 at the time the lease was entered into.

For the purposes of the definition of “specified leasing property” in the first paragraph and for greater precision, specified leasing property does not include systems software or property described in subparagraph q or r of the second paragraph of Class 10 in Schedule B or in any of subparagraphs n, o and r of the first paragraph of Class 12 in that schedule.

The lessee referred to in paragraph g of the definition of “exempt property” in the first paragraph is a person exempt from tax under Book VIII of Part I of the Act or a person who uses the building in the course of carrying on a business the income from which is, by reason of a provision of the Act, exempt from tax under Part I of the Act, or a Canadian government, a municipality or any other Canadian public authority.

s. 130R42.1; O.C. 366-94, s. 7; O.C. 1631-96, s. 12; O.C. 1466-98, s. 126; O.C. 1155-2004, s. 14; O.C. 1149-2006, s. 7; O.C. 134-2009, s. 1; O.C. 1176-2010, s. 11.