I-3 - Taxation Act

Section 1159.1.0.0.3 Disposition versions

2019-06-19

1159.1.0.0.3. For the purposes of this Part, where a particular financial institution pays, at a particular time in a taxation year, wages to an employee while the employee renders services to another financial institution in an establishment of the other financial institution situated in Québec, where the services rendered by the employee to the other financial institution are rendered as part of the regular and ongoing activities of the other financial institution and are of the same type as services rendered by employees of the other financial institution, where the particular financial institution is not dealing at arm’s length with the other financial institution at the particular time and where it may reasonably be considered that the wages are paid in order to allow the particular financial institution to reach more quickly the maximum amount subject to tax determined in its respect for the taxation year, the following rules apply:

(a)  the wages paid by the particular financial institution to the employee are deemed to be wages paid by the other financial institution at the particular time; and

(b)  the wages deemed to be paid by the other financial institution are deemed not to have been paid by the particular financial institution.

2019, c. 14, s. 456.