1029.8.36.0.3.18. In this division,“eligible employee”, for a taxation year, means an individual in respect of whom the following conditions are met:(a) the individual’s name is specified in the qualification certificate issued by Investissement Québec, for the year and for the purposes of this division, to a corporation in respect of eligible multimedia titles; and
(b) throughout the period in the year during which the individual carries out eligible production work, relating to those titles, the individual is an employee who reports for work at an establishment of the employer situated in Québec;
“eligible multimedia title” of a corporation means a title that is not identified as being an excluded title on the qualification certificate issued to the corporation by Investissement Québec, for the year and for the purposes of this division, in respect of its activities;
“eligible production work”, for a taxation year, relating to eligible multimedia titles, means the work specified in the qualification certificate issued by Investissement Québec, for the year and for the purposes of this division, to a corporation in respect of those titles and that is carried out, in whole or in part, by an eligible employee of the corporation or, as part of a contract, by a person or partnership whose name is specified in the qualification certificate;
“qualified corporation”, for a taxation year, means a corporation that, in the year, has an establishment in Québec, carries on a qualified business in Québec and holds a qualification certificate issued to it by Investissement Québec, for the year and for the purposes of this division, in respect of its activities, but does not include(a) a corporation that is exempt from tax for the year under Book VIII;
(b) a corporation that would be exempt from tax for the year under section 985, but for section 192; or
(c) (subparagraph repealed);
(d) a corporation that holds a qualification certificate in respect of a large investment project, within the meaning of the first paragraph of section 737.18.17.14, or a corporation that is a member of a partnership that holds such a qualification certificate, where the year is included in whole or in part in the period that begins on the date of issue of the initial qualification certificate and ends on the last day of the tax-free period, within the meaning of that first paragraph, in relation to the large investment project;
“qualified labour expenditure” of a corporation for a taxation year means, subject to the second paragraph, the aggregate of(a) the salaries or wages attributable to eligible multimedia titles that were incurred by the corporation in the year and paid, in respect of its eligible employees, for eligible production work relating to such titles;
(b) the aggregate of all amounts each of which is the portion of the consideration paid by the corporation, under the terms of a contract, for eligible production work that was carried out on its behalf in the year in relation to eligible multimedia titles, to a person or partnership who or which carried out all or a part of the eligible production work and with whom or with which the corporation is not dealing at arm’s length at the time the contract is entered into, that may reasonably be attributed to the salaries or wages attributable to the titles that the person or partnership incurred or paid in respect of its eligible employees, or that could be so attributed if that person or partnership had such employees; and
(c) the aggregate of all amounts each of which is one-half of the portion of the consideration paid by the corporation, under the terms of a contract, for eligible production work relating to eligible multimedia titles, to a person or partnership with whom or which the corporation is dealing at arm’s length at the time the contract is entered into, that may reasonably be attributed to the eligible production work carried out in Québec, in the year and on its behalf by the employees of that person or partnership, or that could be so attributed if that person or partnership had such employees;
“salary or wages” means the income computed pursuant to Chapters I and II of Title II of Book III.
For the purposes of the definition of “eligible employee” in the first paragraph, the following rules apply:(a) where, during a period of a taxation year, an employee reports for work at an establishment of an employer situated in Québec and at an establishment of the employer situated outside Québec, the employee is deemed, for that period,i. unless subparagraph ii applies, to report for work only at the establishment situated in Québec, or
ii. to report for work only at the establishment situated outside Québec if, during that period, the employee reports for work mainly at an establishment of the employer situated outside Québec; and
(b) where, during a period of a taxation year, an employee is not required to report for work at an establishment of an employer and the employee’s wages in relation to that period are paid from such an establishment situated in Québec, the employee is deemed to report for work at that establishment if the duties performed by the employee during that period are performed mainly in Québec.