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T-0.1 - Act respecting the Québec sales tax

Section 456
Disposition versions

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456. If, in a taxation year of a registrant, tax becomes payable, or is paid without having become payable, by the registrant in respect of supplies of a passenger vehicle made under a lease and the total of the consideration for the supplies that would be deductible in computing the registrant’s income for the year for the purposes of the Taxation Act (chapter I-3), if the registrant were a taxpayer under that Act and that Act were read without reference to its section 421.6, exceeds the amount in respect of that consideration that would be deductible in computing the registrant’s income for the year for the purposes of that Act, if the registrant were a taxpayer under that Act and the formula in sections 99R1, 99R1.1 and 421.6R1 of the Regulation respecting the Taxation Act (chapter I-3, r. 1) were read without reference to B, there must be added in determining the net tax for the appropriate reporting period of the registrant an amount determined by the formula

A × B × C.

For the purposes of this formula,
(1)  A is the result obtained by dividing that excess by that consideration;
(2)  B is the tax paid or payable in respect of those supplies, other than tax that, by reason of any of sections 203, 206 and 206.1, may not be included in determining an input tax refund of the registrant; and
(3)  C is the proportion that the use of the vehicle in commercial activities of the registrant is of the total use of the vehicle.
Despite the first paragraph, no amount may be included in determining a registrant’s net tax for the appropriate reporting period if the registrant is a selected listed financial institution in that period.
1991, c. 67, s. 456; 1994, c. 22, s. 615; 1995, c. 63, s. 461; 1997, c. 85, s. 700; 2009, c. 5, s. 666; 2009, c. 15, s. 518; 2012, c. 28, s. 167; 2019, c. 14, s. 554; 2021, c. 18, s. 200.
456. If, in a taxation year of a registrant, tax becomes payable, or is paid without having become payable, by the registrant in respect of supplies of a passenger vehicle made under a lease and the total of the consideration for the supplies that would be deductible in computing the registrant’s income for the year for the purposes of the Taxation Act (chapter I-3), if the registrant were a taxpayer under that Act and that Act were read without reference to its section 421.6, exceeds the amount in respect of that consideration that would be deductible in computing the registrant’s income for the year for the purposes of that Act, if the registrant were a taxpayer under that Act and the formulas in sections 99R1 and 421.6R1 of the Regulation respecting the Taxation Act (chapter I-3, r. 1) were read without reference to B, there must be added in determining the net tax for the appropriate reporting period of the registrant an amount determined by the formula

A × B × C.

For the purposes of this formula,
(1)  A is the result obtained by dividing that excess by that consideration;
(2)  B is the tax paid or payable in respect of those supplies, other than tax that, by reason of any of sections 203, 206 and 206.1, may not be included in determining an input tax refund of the registrant; and
(3)  C is the proportion that the use of the vehicle in commercial activities of the registrant is of the total use of the vehicle.
Despite the first paragraph, no amount may be included in determining a registrant’s net tax for the appropriate reporting period if the registrant is a selected listed financial institution in that period.
1991, c. 67, s. 456; 1994, c. 22, s. 615; 1995, c. 63, s. 461; 1997, c. 85, s. 700; 2009, c. 5, s. 666; 2009, c. 15, s. 518; 2012, c. 28, s. 167; 2019, c. 14, s. 554.
456. If, in a taxation year of a registrant, tax becomes payable, or is paid without having become payable, by the registrant in respect of supplies of a passenger vehicle made under a lease and the total of the consideration for the supplies that would be deductible in computing the registrant’s income for the year for the purposes of the Taxation Act (chapter I-3), if the registrant were a taxpayer under that Act and that Act were read without reference to its section 421.6, exceeds the amount in respect of that consideration that would be deductible in computing the registrant’s income for the year for the purposes of that Act, if the registrant were a taxpayer under that Act and the formulas in sections 99R1 and 421.6R1 of the Regulation respecting the Taxation Act (chapter I-3, r. 1) were read without reference to B, there must be added in determining the net tax for the appropriate reporting period of the registrant an amount determined by the formula

A × B × C.

For the purposes of this formula,
(1)  A is the result obtained by dividing that excess by that consideration;
(2)  B is the tax paid or payable in respect of those supplies, other than tax that, by reason of section 203 or 206, may not be included in determining an input tax refund of the registrant; and
(3)  C is the proportion that the use of the vehicle in commercial activities of the registrant is of the total use of the vehicle.
Despite the first paragraph, no amount may be included in determining a registrant’s net tax for the appropriate reporting period if the registrant is a selected listed financial institution in that period.
1991, c. 67, s. 456; 1994, c. 22, s. 615; 1995, c. 63, s. 461; 1997, c. 85, s. 700; 2009, c. 5, s. 666; 2009, c. 15, s. 518; 2012, c. 28, s. 167.
456. If, in a taxation year of a registrant, tax becomes payable, or is paid without having become payable, by the registrant in respect of supplies of a passenger vehicle made under a lease and the total of the consideration for the supplies that would be deductible in computing the registrant’s income for the year for the purposes of the Taxation Act (chapter I-3), if the registrant were a taxpayer under that Act and that Act were read without reference to its section 421.6, exceeds the amount in respect of that consideration that would be deductible in computing the registrant’s income for the year for the purposes of that Act, if the registrant were a taxpayer under that Act and the formulas in sections 99R1 and 421.6R1 of the Regulation respecting the Taxation Act (chapter I-3, r. 1) were read without reference to B, there must be added in determining the net tax for the appropriate reporting period of the registrant an amount determined by the formula

A × B × C.

For the purposes of this formula,
(1)  A is the result obtained by dividing that excess by that consideration;
(2)  B is the tax paid or payable in respect of those supplies, other than tax that, by reason of section 203 or 206, may not be included in determining an input tax refund of the registrant; and
(3)  C is the proportion that the use of the vehicle in commercial activities of the registrant is of the total use of the vehicle.
1991, c. 67, s. 456; 1994, c. 22, s. 615; 1995, c. 63, s. 461; 1997, c. 85, s. 700; 2009, c. 5, s. 666; 2009, c. 15, s. 518.
456. If, in a taxation year of a registrant, tax becomes payable, or is paid without having become payable, by the registrant in respect of supplies of a passenger vehicle made under a lease and the total of the consideration for the supplies that would be deductible in computing the registrant’s income for the year for the purposes of the Taxation Act (chapter I-3), if the registrant were a taxpayer under that Act and that Act were read without reference to its section 421.6, exceeds the amount in respect of that consideration that would be deductible in computing the registrant’s income for the year for the purposes of that Act, if the registrant were a taxpayer under that Act and the formulas in sections 99R2 and 421.6R1 of the Regulation respecting the Taxation Act (R.R.Q., 1981, chapter I-3, r. 1) were read without reference to B, there must be added in determining the net tax for the appropriate reporting period of the registrant an amount determined by the formula

A × B × C.

For the purposes of this formula,
(1)  A is the result obtained by dividing that excess by that consideration;
(2)  B is the tax paid or payable in respect of those supplies, other than tax that, by reason of section 203 or 206, may not be included in determining an input tax refund of the registrant; and
(3)  C is the proportion that the use of the vehicle in commercial activities of the registrant is of the total use of the vehicle.
1991, c. 67, s. 456; 1994, c. 22, s. 615; 1995, c. 63, s. 461; 1997, c. 85, s. 700; 2009, c. 5, s. 666.
456. Where, in a taxation year of a registrant, tax becomes payable, or is paid without having become payable, by the registrant in respect of supplies of a passenger vehicle made under a lease and the total of the consideration for the supplies that would be deductible in computing the registrant’s income for the year for the purposes of the Taxation Act (chapter I-3), if the registrant were a taxpayer under that Act and that Act were read without reference to section 421.6 thereof, exceeds the amount in respect of that consideration that is, or would be if the registrant were a taxpayer under the Taxation Act, deductible in computing the registrant’s income for the year for the purposes of that Act, there shall be added in determining the net tax for the appropriate reporting period of the registrant an amount determined by the formula

A × B × C.

For the purposes of this formula,
(1)  A is the result obtained by dividing that excess by that consideration;
(2)  B is the tax paid or payable in respect of those supplies, other than tax that, by reason of section 203 or 206, may not be included in determining an input tax refund of the registrant; and
(3)  C is the proportion that the use of the vehicle in commercial activities of the registrant is of the total use of the vehicle.
1991, c. 67, s. 456; 1994, c. 22, s. 615; 1995, c. 63, s. 461; 1997, c. 85, s. 700.
456. Where, in a taxation year of a registrant, tax becomes payable, or is paid without having become payable, by the registrant in respect of a supply by way of lease of a passenger vehicle and the total of the consideration for the supply that would be deductible in computing the registrant’s income for the year for the purposes of the Taxation Act (chapter I-3), if the registrant were a taxpayer under that Act and that Act were read without reference to section 421.6 thereof, exceeds the amount in respect of that consideration that is, or would be if the registrant were a taxpayer under the Taxation Act, deductible in computing the registrant’s income for the year for the purposes of that Act, there shall be added in determining the net tax for the appropriate reporting period of the registrant, an amount determined by the formula

A x B x C.

For the purposes of this formula,
(1)  A is the result obtained by dividing that excess by that consideration;
(2)  B is the tax paid or payable in respect of that supply, other than tax that, by reason of section 203 or 206, may not be included in determining an input tax refund of the registrant; and
(3)  C is the proportion that the use of the vehicle in commercial activities of the registrant is of the total use of the vehicle.
1991, c. 67, s. 456; 1994, c. 22, s. 615; 1995, c. 63, s. 461.
456. Where, in a taxation year of a registrant, tax becomes payable, or is paid without having become payable, by the registrant in respect of a supply by way of lease of a passenger vehicle and the total of the consideration for the supply that would be deductible in computing the registrant’s income for the year for the purposes of the Taxation Act (chapter I-3), if the registrant were a taxpayer under that Act and that Act were read without reference to section 421.6 thereof, exceeds the amount in respect of that consideration that is, or would be if the registrant were a taxpayer under the Taxation Act, deductible in computing the registrant’s income for the year for the purposes of that Act, there shall be added in determining the net tax for the appropriate reporting period of the registrant, an amount determined by the formula

A x B x C.

For the purposes of this formula,
(1)  A is the result obtained by dividing that excess by that consideration;
(2)  B is the tax paid or payable in respect of that supply, other than tax that, by reason of section 203, 206 or 206.1, may not be included in determining an input tax refund of the registrant; and
(3)  C is the proportion that the use of the vehicle in commercial activities of the registrant is of the total use of the vehicle.
1991, c. 67, s. 456; 1994, c. 22, s. 615.
456. Where a passenger vehicle has been supplied by way of lease to a registrant in a taxation year of the registrant and the total of the consideration for the supply that would be deductible in computing the registrant’s income for the year for the purposes of the Taxation Act (chapter I-3), if the registrant were a taxpayer under that Act and that Act were read without reference to section 421.6 thereof, exceeds the amount in respect of that consideration that is, or would be if the registrant were a taxpayer under the Income Tax Act, deductible by reason of section 421.6 of that Act in computing the registrant’s income for the year for the purposes of that Act, there shall be added in determining the net tax for the appropriate reporting period of the registrant, an amount determined by the formula

A x B x C.

For the purposes of this formula,
(1)  A is that excess,
(2)  B is the rate of tax imposed under section 16 at the end of that period, and
(3)  C is the proportion of the use of the vehicle in commercial activities of the registrant is of the total use of the vehicle.
1991, c. 67, s. 456.
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