I-3 - Taxation Act

Section 1029.8.36.72.10 Disposition versions

2021-06-04

1029.8.36.72.10. (Repealed).

2001, c. 51, s. 182; 2002, c. 40, s. 173; 2004, c. 21, s. 366; 2021, c. 18, s. 125.

2006-03-01

1029.8.36.72.10. For the purposes of this division, where the rules in sections 556 to 564.1 and 565 apply to the winding-up of a subsidiary, within the meaning of section 556, the following rules apply:

(a)  if the parent corporation, within the meaning of section 556, has a base period, in relation to a calendar year, of less than 365 days, its base period, otherwise determined in relation to the calendar year, is deemed to include the period of the preceding calendar year, in this section referred to as the “preceding period”, commencing on the day on which a recognized business, or a business that would have been a recognized business if a qualification certificate had been issued in its respect, was first carried on in Québec by the subsidiary, and ending immediately before the beginning of the parent corporation’s base period otherwise determined; and

(b)  for the purpose of determining the amount that the parent corporation is deemed to have paid to the Minister under this division for the taxation year in which the calendar year ends, the parent corporation is deemed to have paid, in the preceding period, the aggregate of all amounts each of which is the salary or wages paid by the subsidiary to an employee in a pay period within the preceding period for which the employee

i.  is an eligible employee of the subsidiary, or

ii.  if the employee reports for work at an establishment of the subsidiary situated in Québec, would be an eligible employee of the subsidiary if the establishment where the employee so reported for work had been situated in the Québec area.

2001, c. 51, s. 182; 2002, c. 40, s. 173; 2004, c. 21, s. 366.