I-3 - Taxation Act

Section 1102.2 Disposition versions

2009-06-04

1102.2. Where in a taxation year a taxpayer acquires from a person not resident in Canada property referred to in section 1102.1, the following rules apply:

(a)  the taxpayer shall pay, as tax on behalf of such person, an amount equal to 30% of the amount by which his purchase price of the property exceeds the amount indicated in the certificate referred to in section 1102.1;

(b)  the taxpayer is entitled to deduct or withhold from any amount paid or credited by him to such person or to otherwise recover from such person the amount paid by him under subparagraph a; and

(c)  the taxpayer shall, within 30 days after the end of the month in which he acquired the property, remit to the Minister the amount for which he is liable under subparagraph a.

The first paragraph does not apply to a taxpayer if section 1101.1 applies to the acquisition or if, after reasonable inquiry, the taxpayer had no reason to believe that the person from whom the taxpayer acquired the property was not resident in Canada.

1982, c. 5, s. 201; 2009, c. 15, s. 372.

2006-03-01

1102.2. Where in a taxation year a taxpayer acquires from a person not resident in Canada property referred to in section 1102.1, the following rules apply:

(a)  the taxpayer shall pay, as tax on behalf of such person, an amount equal to 30% of the amount by which his purchase price of the property exceeds the amount indicated in the certificate referred to in section 1102.1;

(b)  the taxpayer is entitled to deduct or withhold from any amount paid or credited by him to such person or to otherwise recover from such person the amount paid by him under subparagraph a; and

(c)  the taxpayer shall, within 30 days after the end of the month in which he acquired the property, remit to the Minister the amount for which he is liable under subparagraph a.

This section does not apply to a taxpayer who, after reasonable inquiry, had no reason to believe that the person from whom he acquired the property was not resident in Canada.

1982, c. 5, s. 201.