I-3 - Taxation Act

Section 1029.8.36.0.103 Disposition versions

2019-06-19

1029.8.36.0.103. In this division,

“associated group” in a taxation year means all the corporations that meet the following conditions:

(a)  the corporations are associated with each other in the taxation year; and

(b)  each corporation is a qualified corporation for the taxation year;

“eligible cellulosic ethanol” means the ethyl alcohol with the chemical formula C2H5OH that is produced, after 17 March 2011 and before 1 April 2023, by an ethanol production unit mainly from eligible renewable materials, exclusively by means of a thermochemical process, to be sold as a product to be blended directly with gasoline or for use as an input in the reformulation of gasoline or the production of ethyl tertiary-butyl ether;

“eligible production of cellulosic ethanol” of a qualified corporation for a particular month means the total number of litres that corresponds to all of the qualified corporation’s shipments of eligible cellulosic ethanol for the particular month;

“eligible renewable materials” means the following inputs:

(a)  residual materials derived from industries, commercial establishments or institutions, or from construction, renovation or demolition activities;

(b)  treated wood residues;

(c)  forestry and agricultural residues;

(d)  urban household waste; and

(e)  a combination of inputs referred to in paragraphs a to d;

“ethanol production unit” of a qualified corporation means all the property the qualified corporation uses in producing eligible cellulosic ethanol or another type of ethanol in Québec;

“month” means, in the case where a taxation year begins on a day in a calendar month other than the first day of that month, any period that begins on that day in a calendar month within the taxation year, other than the month in which the year ends, and that ends on the day immediately preceding that day in the calendar month that follows that month or, for the month in which the taxation year ends, on the day on which that year ends, and if there is no such immediately preceding day in the following month, on the last day of that month;

“qualified corporation” for a taxation year means a corporation that, in the year, has an establishment in Québec where it carries on a business engaged in the production of eligible cellulosic ethanol, other than a corporation

(a)  that is exempt from tax for the year under Book VIII; or

(b)  that would be exempt from tax for the year under section 985, but for section 192;

“shipment of eligible cellulosic ethanol” of a qualified corporation in respect of a particular month means a shipment consisting of a number of litres of eligible cellulosic ethanol that the qualified corporation produces in Québec, that is sold in Québec to the holder of a collection officer’s permit issued under the Fuel Tax Act (chapter T-1) (in the second paragraph referred to as the “purchaser”) who takes possession of the cellulosic ethanol in the particular month and before 1 April 2023, and that is intended for Québec.

For the purposes of the definition of “shipment of eligible cellulosic ethanol” in the first paragraph, a shipment of cellulosic ethanol is destined for Québec only if

(a)  where the shipment is delivered by the qualified corporation, the shipment is delivered and possession is taken in Québec; or

(b)  where subparagraph a does not apply, the manifest issued to the purchaser on taking possession of the shipment shows the shipment was delivered in Québec.

For the purposes of the definition of “eligible cellulosic ethanol” in the first paragraph, the following rules apply:

(a)  ethanol produced by means of a production process that includes a fermentation process is not eligible cellulosic ethanol;

(b)  ethanol produced in whole or in part from grain corn is not eligible cellulosic ethanol; and

(c)  ethanol is considered to be produced mainly from inputs referred to in paragraphs a to e of the definition of “eligible renewable materials” in the first paragraph if those inputs represent more than half the weight or volume of all the inputs used in producing the ethanol.

2011, c. 34, s. 87; 2019, c. 14, s. 339.

2011-12-09

1029.8.36.0.103. In this division,

“associated group” in a taxation year means all the corporations that meet the following conditions:

(a)  the corporations are associated with each other in the taxation year; and

(b)  each corporation is a qualified corporation for the taxation year;

“average monthly market price of ethanol” in respect of a particular month means the arithmetic average of the daily closing values on the Chicago Board of Trade of a US gallon of ethanol, expressed in American dollars, for the particular month;

“eligible cellulosic ethanol” means the ethyl alcohol with the chemical formula C2H5OH that is produced, after 17 March 2011 and before 1 April 2018, by an ethanol production unit mainly from eligible renewable materials, exclusively by means of a thermochemical process, to be sold as a product to be blended directly with gasoline or for use as an input in the reformulation of gasoline or the production of ethyl tertiary-butyl ether;

“eligible production of cellulosic ethanol” of a qualified corporation for a particular month means the total number of litres that corresponds to all of the qualified corporation’s shipments of eligible cellulosic ethanol for the particular month;

“eligible renewable materials” means the following inputs:

(a)  residual materials derived from industries, commercial establishments or institutions, or from construction, renovation or demolition activities;

(b)  treated wood residues;

(c)  forestry and agricultural residues;

(d)  urban household waste; and

(e)  a combination of inputs referred to in paragraphs a to d;

“ethanol production unit” of a qualified corporation means all the property the qualified corporation uses in producing eligible cellulosic ethanol or another type of ethanol in Québec;

“month” means, in the case where a taxation year begins on a day in a calendar month other than the first day of that month, any period that begins on that day in a calendar month within the taxation year, other than the month in which the year ends, and that ends on the day immediately preceding that day in the calendar month that follows that month or, for the month in which the taxation year ends, on the day on which that year ends, and if there is no such immediately preceding day in the following month, on the last day of that month;

“qualified corporation” for a taxation year means a corporation that, in the year, has an establishment in Québec where it carries on a business engaged in the production of eligible cellulosic ethanol, other than a corporation

(a)  that is exempt from tax for the year under Book VIII; or

(b)  that would be exempt from tax for the year under section 985, but for section 192;

“shipment of eligible cellulosic ethanol” of a qualified corporation in respect of a particular month means a shipment consisting of a number of litres of eligible cellulosic ethanol that the qualified corporation produces in Québec, that is sold in Québec to the holder of a collection officer’s permit issued under the Fuel Tax Act (chapter T-1) (in the second paragraph referred to as the “purchaser”) who takes possession of the cellulosic ethanol in the particular month and before 1 April 2018, and that is intended for Québec.

For the purposes of the definition of “shipment of eligible cellulosic ethanol” in the first paragraph, a shipment of cellulosic ethanol is destined for Québec only if

(a)  where the shipment is delivered by the qualified corporation, the shipment is delivered and possession is taken in Québec; or

(b)  where subparagraph a does not apply, the manifest issued to the purchaser on taking possession of the shipment shows the shipment was delivered in Québec.

For the purposes of the definition of “eligible cellulosic ethanol” in the first paragraph, the following rules apply:

(a)  ethanol produced by means of a production process that includes a fermentation process is not eligible cellulosic ethanol;

(b)  ethanol produced in whole or in part from grain corn is not eligible cellulosic ethanol; and

(c)  ethanol is considered to be produced mainly from inputs referred to in paragraphs a to e of the definition of “eligible renewable materials” in the first paragraph if those inputs represent more than half the weight or volume of all the inputs used in producing the ethanol.

2011, c. 34, s. 87.