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

Section 851.22.18r5 Disposition versions

2017-04-12

851.22.18R5. (Revoked).

O.C. 390-2012, s. 64; O.C. 321-2017, s. 42.

2012-09-01

851.22.18R5. If a taxpayer ceases to carry on all or substantially all of a business, otherwise than as a result of a merger to which section 545 of the Act applies, a winding-up to which sections 556 to 564.1 and 565 of the Act apply or a transfer of the business to which any of sections 633, 832.3 and 832.9 of the Act apply, the following rules apply:

(a)  the amount prescribed for the purposes of section 851.22.18 of the Act, in respect of the taxpayer for its taxation year in which the cessation of business occurs, in addition to the amount prescribed by section 851.22.18R1, is the amount, if any, by which the part of the taxpayer’s transition deduction that can reasonably be attributed to the business, referred to in this section as the “partial amount”, exceeds that part of the total of the amounts included under section 851.22.18 of the Act in computing the income of the taxpayer for preceding taxation years that can reasonably be considered to be in respect of the partial amount; and

(b)  the partial amount is to be subtracted from the amount determined under subparagraph b of the second paragraph of section 851.22.18R1 in respect of the taxpayer for the year or a subsequent taxation year.

O.C. 390-2012, s. 64.