I-3, r. 1 - Regulation respecting the Taxation Act

Section 583r1 Disposition versions

2019-02-27

583R1. For the purposes of paragraph a of section 583 of the Act,

(a)  the amount prescribed is an amount equal to that described in paragraph b of the definition of “foreign accrual tax” in subsection 1 of section 95 of the Income Tax Act (R.S.C. 1985, c. 1 (5th Suppl.)), computed at the same time and for the same purposes; and

(b)  the prescribed tax factor of a person or partnership for a taxation year is equal,

i.  in the case of a corporation, or of a partnership all the members of which, other than persons non-resident in Canada, are corporations, to the quotient determined by the formula

1 / (A - B), and

ii.  in any other case, to 1.9.

In the formula in the first paragraph,

(a)  A is the rate set out in paragraph a of subsection 1 of section 123 of the Income Tax Act; and

(b)  B is,

i.  in the case of a corporation, the corporation’s general rate reduction percentage within the meaning of subsection 1 of section 123.4 of the Income Tax Act, for the year, and

ii.  in the case of a partnership, the percentage that would be determined under subparagraph i in respect of the partnership if the partnership were a corporation whose taxation year is the partnership’s fiscal period.

s. 583R1; O.C. 1981-80, s. 583R1; R.R.Q., 1981, c. I-3, r. 1, s. 583R1; O.C. 1472-87, s. 13; O.C. 35-96, s. 73; O.C. 1707-97, s. 98; O.C. 134-2009, s. 1; O.C. 66-2016, s. 16; O.C. 117-2019, s. 18.

2016-02-17

583R1. For the purposes of paragraph a of section 583 of the Act,

(a)  the amount prescribed is an amount equal to that described in paragraph b of the defi nition of “foreign accrual tax” in subsection 1 of section 95 of the Income Tax Act (R.S.C. 1985, c. 1 (5th Suppl.)), computed at the same time and for the same purposes; and

(b)  the prescribed tax factor of a person or partnership for a taxation year is equal,

i.  in the case of a corporation, or of a partnership all the members of which, other than persons non-resident in Canada, are corporations, to the quotient determined by the formula

1 / (A - B), and

ii.  in any other case, to 2,2.

In the formula in the first paragraph,

(a)  A is the rate set out in paragraph a of subsection 1 of section 123 of the Income Tax Act; and

(b)  B is,

i.  in the case of a corporation, the corporation’s general rate reduction percentage within the meaning of subsection 1 of section 123.4 of the Income Tax Act, for the year, and

ii.  in the case of a partnership, the percentage that would be determined under subparagraph i in respect of the partnership if the partnership were a corporation whose taxation year is the partnership’s fiscal period.

s. 583R1; O.C. 1981-80, s. 583R1; R.R.Q., 1981, c. I-3, r. 1, s. 583R1; O.C. 1472-87, s. 13; O.C. 35-96, s. 73; O.C. 1707-97, s. 98; O.C. 134-2009, s. 1; O.C. 66-2016, s. 16.

2012-09-01

583R1. For the purposes of paragraph a of section 583 of the Act, the prescribed amount is an amount equal to that described in paragraph b of the definition of “foreign accrual tax” in subsection 1 of section 95 of the Income Tax Act (R.S.C. 1985, c. 1 (5th Suppl.)), computed at the same time and for the same purposes, and the tax factor is equal to 2 in the case of an individual or, in the case of a corporation, to the amount obtained by dividing 1 by the percentage set out in section 123 of that Act for the taxation year.

s. 583R1; O.C. 1981-80, s. 583R1; R.R.Q., 1981, c. I-3, r. 1, s. 583R1; O.C. 1472-87, s. 13; O.C. 35-96, s. 73; O.C. 1707-97, s. 98; O.C. 134-2009, s. 1.