I-3 - Taxation Act

Section 1137.4 Disposition versions

2009-06-04

1137.4. Notwithstanding paragraphs b.3 and b.4 of section 1137, no deduction shall be made for a taxation year, in relation to property described in the first paragraph of section 1137.5, in respect of costs incurred to acquire the property, where

(a)  in the case where the property is described in subparagraph c of the first paragraph of section 1137.5 and was acquired in connection with an activity described in subparagraph d of the second paragraph of that section 1137.5, the qualification certificate issued by Tourisme Québec in respect of that activity is revoked on or before the filing-due date for that year of the purchaser of the property that is the owner of the property at the end of that year;

(b)  at any time before the day after the earlier of the day that is the end of the period of 730 days following the beginning of the use of the property by the first purchaser or by a subsequent purchaser of the property that acquired the property in any of the circumstances described in section 130R149 of the Regulation respecting the Taxation Act (chapter I-3, r. 1), and the filing-due date, for that taxation year, of the purchaser that is the owner of the property at the end of that year, the property ceases, otherwise than by reason of the loss or involuntary destruction of the property by fire, theft or water or of a major breakdown of the property, to be used solely in Québec to earn income for a business carried on

i.  by the first purchaser of the property and where that time is also in the portion of that period in which the first purchaser owns the property, or

ii.  by a subsequent purchaser of the property that acquired the property in any of the circumstances described in section 130R149 of the Regulation respecting the Taxation Act, and where that time also is in the portion of that period in which the subsequent purchaser owns the property.

Where the property is general-purpose electronic data processing equipment referred to in subparagraph b of the second paragraph of Class 12 of Schedule B to the Regulation respecting the Taxation Act and the property is installed in Québec, the word “solely” shall be replaced, in subparagraph b of the first paragraph, by the word “primarily”.

1997, c. 85, s. 312; 2001, c. 51, s. 223; 2003, c. 9, s. 424; 2009, c. 15, s. 438.

2006-03-01

1137.4. Notwithstanding paragraphs b.3 and b.4 of section 1137, no deduction shall be made for a taxation year, in relation to property described in the first paragraph of section 1137.5, in respect of costs incurred to acquire the property, where

(a)  in the case where the property is described in subparagraph c of the first paragraph of section 1137.5 and was acquired in connection with an activity described in subparagraph d of the second paragraph of that section 1137.5, the qualification certificate issued by Tourisme Québec in respect of that activity is revoked on or before the filing-due date for that year of the purchaser of the property that is the owner of the property at the end of that year;

(b)  at any time before the day after the earlier of the day that is the end of the period of 730 days following the beginning of the use of the property by the first purchaser or by a subsequent purchaser of the property that acquired the property in any of the circumstances described in section 130R71 of the Regulation respecting the Taxation Act (R.R.Q., 1981, chapter I-3, r.1), and the filing-due date, for that taxation year, of the purchaser that is the owner of the property at the end of that year, the property ceases, otherwise than by reason of the loss or involuntary destruction of the property by fire, theft or water or of a major breakdown of the property, to be used solely in Québec to earn income for a business carried on

i.  by the first purchaser of the property and where that time is also in the portion of that period in which the first purchaser owns the property, or

ii.  by a subsequent purchaser of the property that acquired the property in any of the circumstances described in section 130R71 of the Regulation respecting the Taxation Act, and where that time also is in the portion of that period in which the subsequent purchaser owns the property.

Where the property is general-purpose electronic data processing equipment referred to in subparagraph b of the second paragraph of Class 12 of Schedule B to the Regulation respecting the Taxation Act and the property is installed in Québec, the word “solely” shall be replaced, in subparagraph b of the first paragraph, by the word “primarily”.

1997, c. 85, s. 312; 2001, c. 51, s. 223; 2003, c. 9, s. 424.