I-3 - Taxation Act

Section 617 Disposition versions

2006-03-01

617. For the purposes of sections 93 to 104, 130 and 130.1 and of the regulations made under paragraph a of section 130, where the second paragraph of section 614 applies to depreciable property the capital cost of which, to the taxpayer who disposed of it to the partnership, exceeds the proceeds of its disposition:

(a)  the capital cost of the property, to the partnership, is deemed to be equal to the capital cost of the property to the taxpayer; and

(b)  the excess is deemed to have been allowed to the partnership as depreciation for the taxation years preceding the acquisition of that property by it.

1972, c. 23, s. 463; 1974, c. 18, s. 24; 1979, c. 18, s. 50; 1997, c. 3, s. 71.