I-3 - Taxation Act

Section 1175.30.1 Disposition versions

2007-11-07

1175.30.1. For the purposes of this Part, if, in any of the circumstances described in the second paragraph, a particular operator becomes, at any time, the owner of an immovable subject to tax or becomes the lessee of the immovable and the immovable subject to tax was, immediately before that time, an eligible asset of the operator that is the transferor or lessor of the immovable, the immovable subject to tax is deemed to be an eligible asset of the particular operator.

The circumstances to which the first paragraph refers are the following:

(a)  the particular operator becomes the owner of the immovable subject to tax in the course of a reorganization in respect of which, if a dividend were received by a corporation in the course of the reorganization, section 308.1 would not apply to the dividend because of the application of section 308.3; and

(b)  the operator that is the transferor or lessor of the immovable subject to tax is a person with whom the particular operator is not dealing at arm’s length, otherwise than because of a right referred to in paragraph b of section 20, at the time the particular operator becomes the owner of the immovable subject to tax or becomes the lessee of the immovable.

2007, c. 12, s. 298.