I-3 - Taxation Act

Section 1033.2 Disposition versions

2015-12-04

1033.2. Where, at any particular time in a taxation year (in this section and sections 1033.3 and 1033.4 referred to as the “emigration year”), an individual is deemed by section 785.2 to have disposed of property, other than a right to a benefit under, or an interest in a trust governed by, an employee benefit plan, and the individual elects, in the prescribed form containing prescribed information, on or before the individual’s balance-due day for the emigration year, that this section and sections 1033.3 to 1033.6 apply to the emigration year, the following rules apply:

(a)  the Minister shall, until the individual’s balance-due day for a particular taxation year that begins after the particular time, accept security satisfactory to the Minister and furnished by or on behalf of the individual on or before the individual’s balance-due day for the emigration year for the lesser of

i.  the amount determined by the formula

A − B − {[(A − B) / A] × C}, and

ii.  if the particular year is the year that follows the emigration year, the amount determined under subparagraph i, and in any other case, the amount determined under this subparagraph in respect of the individual for the taxation year that precedes the particular year; and

(b)  except for the purposes of the first, second and third paragraphs of section 1038, the following interest and penalties shall be computed as if the particular amount for which security satisfactory to the Minister has been accepted under this section were an amount paid by the individual on account of the particular amount:

i.  interest payable under this Part for any period that ends on the individual’s balance-due day for the particular year and throughout which security is accepted by the Minister, and

ii.  penalties payable under this Part computed with reference to an individual’s tax payable for the year that was, without reference to this subparagraph, unpaid.

In the formula provided for in subparagraph i of subparagraph a of the first paragraph,

(a)  A is the amount of tax that would be payable by the individual under this Part for the emigration year if the exclusion from income or deduction of an amount referred to in the first paragraph of section 1044 were not taken into account;

(b)  B is the amount of tax that would have been so payable by the individual under this Part if each property, other than a right to a benefit under, or an interest in a trust governed by, an employee benefit plan, deemed by section 785.2 to have been disposed of at the particular time, and that has not been subsequently disposed of before the beginning of the particular year, were not deemed by that section to have been disposed of by the individual at the particular time; and

(c)  C is the aggregate of all amounts deemed under this or any other Act to have been paid on account of the individual’s tax payable under this Part for the emigration year.

2004, c. 8, s. 180; 2015, c. 36, s. 149.

2006-03-01

1033.2. Where, at any particular time in a taxation year, in this section and sections 1033.3 and 1033.4 referred to as the “emigration year”, an individual is deemed by section 785.2 to have disposed of a property, other than a right to a benefit under, or an interest in a trust governed by, an employee benefit plan, and the individual elects, in prescribed manner on or before the individual’s balance-due day for the emigration year, that this section and sections 1033.3 to 1033.6 apply to the emigration year, the following rules apply:

(a)  the Minister shall, until the individual’s balance-due day for a particular taxation year that begins after the particular time, accept security satisfactory to the Minister and furnished by or on behalf of the individual on or before the individual’s balance-due day for the emigration year for the lesser of

i.  the amount determined by the formula

A − B − {[(A − B) / A] × C}, and

ii.  if the particular year is the year that follows the emigration year, the amount determined under subparagraph i, and in any other case, the amount determined under this subparagraph in respect of the individual for the taxation year that precedes the particular year; and

(b)  except for the purposes of the first, second and third paragraphs of section 1038, the following interest and penalties shall be computed as if the particular amount for which security satisfactory to the Minister has been accepted under this section were an amount paid by the individual on account of the particular amount:

i.  interest payable under this Part for any period that ends on the individual’s balance-due day for the particular year and throughout which security is accepted by the Minister, and

ii.  penalties payable under this Part computed with reference to an individual’s tax payable for the year that was, without reference to this subparagraph, unpaid.

In the formula provided for in subparagraph i of subparagraph a of the first paragraph,

(a)  A is the amount of tax that would be payable by the individual under this Part for the emigration year if the exclusion from income or deduction of an amount referred to in the first paragraph of section 1044 were not taken into account;

(b)  B is the amount of tax that would have been so payable by the individual under this Part if each property, other than a right to a benefit under, or an interest in a trust governed by, an employee benefit plan, deemed by section 785.2 to have been disposed of at the particular time, and that has not been subsequently disposed of before the beginning of the particular year, were not deemed by that section to have been disposed of by the individual at the particular time; and

(c)  C is the aggregate of all amounts deemed under this or any other Act to have been paid on account of the individual’s tax payable under this Part for the emigration year.

2004, c. 8, s. 180.