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

Section 1029.8.9.1r4 Disposition versions

2012-09-01

1029.8.9.1R4. For the purposes of computing the prescribed proxy amount of a taxpayer for a taxation year, the portion of an expenditure incurred in the year by the taxpayer for the salary or wages of a specified employee of the taxpayer that is included in computing the aggregate referred to in section 1029.8.9.1R1 may not exceed the lesser of

(a)  75% of the amount of the expenditure incurred in the year by the taxpayer for the salary or wages of the employee; and

(b)  the amount determined according to the following formula:

2.5 × A × (B / 365).

In the formula in subparagraph b of the first paragraph,

(a)  A is the Maximum Pensionable Earnings, as determined under section 40 of the Act respecting the Québec Pension Plan (chapter R-9), for the calendar year in which the taxation year ends; and

(b)  B is the number of days in the taxation year on which the employee is employed by the taxpayer.

s. 1029.8.9.1R4; O.C. 1707-97, s. 76; O.C. 1454-99, s. 45; O.C. 134-2009, s. 1.