I-3 - Taxation Act

Section 1129.48 Disposition versions

2006-03-01

1129.48. The amount referred to in section 1129.47 in respect of a corporation for a taxation year is equal to the lesser of

(a)  the tax payable by the corporation for its taxation year 1993 under Part IV, and

(b)  the amount determined in respect of the corporation for the year by the formula

A × B.

For the purposes of the formula in subparagraph b of the first paragraph,

(a)  A is the amount that would be determined in respect of the corporation for the year under the definition of “Part I tax on tobacco manufacturing profits” in subsection 2 of section 182 of the Income Tax Act (Revised Statutes of Canada, 1985, chapter 1, 5th Supplement), if the reference therein to “21%” were read as “4.45%”; and

(b)  B is the ratio between the business carried on by the corporation in Québec in the year and the total business carried on by the corporation in Canada or in Québec and elsewhere in the year, as determined by regulation.

1995, c. 49, s. 235; 1997, c. 3, s. 71.