I-3 - Taxation Act

Section 1029.8.36.142 Disposition versions

2010-04-20

1029.8.36.142. (Repealed).

2001, c. 51, s. 189; 2010, c. 5, s. 158.

2006-03-01

1029.8.36.142. Where, in respect of a qualified solicitation expenditure in respect of a foreign investment fund, a person or partnership has obtained, is entitled to obtain or may reasonably expect to obtain a benefit or advantage, other than a benefit or advantage that may reasonably be related to the solicitation activity relating to that expenditure, whether in the form of a reimbursement, compensation or guarantee, in the form of proceeds of disposition of property which exceed the fair market value of the property, or in any other form or manner, the following rules apply:

(a)  for the purpose of computing the amount that a taxpayer is deemed to have paid to the Minister for a taxation year under section 1029.8.36.129, the amount of the qualified solicitation expenditure in respect of the fund shall be reduced by the amount of the benefit or advantage that the person or partnership has obtained, is entitled to obtain or may reasonably expect to obtain on or before the taxpayer’s filing-due date for that taxation year;

(b)  for the purpose of computing the amount that is deemed to have been paid to the Minister for a taxation year under section 1029.8.36.132 by a taxpayer who is a member of the partnership referred to in that section, the taxpayer’s share, for a fiscal period of the partnership that ends in that taxation year, of the amount of the qualified solicitation expenditure in respect of the fund shall be reduced

i.  by the taxpayer’s share, for that fiscal period, of the amount of the benefit or advantage that the person or partnership other than a person referred to in subparagraph ii has obtained, is entitled to obtain or may reasonably expect to obtain on or before the day that is six months after the end of that fiscal period, and

ii.  by the amount of the benefit or advantage that the taxpayer or a person with whom the taxpayer does not deal at arm’s length has obtained, is entitled to obtain or may reasonably expect to obtain on or before the day that is six months after the end of that fiscal period.

2001, c. 51, s. 189.