I-3 - Taxation Act

Section 736.4 Disposition versions

2015-10-21

736.4. Despite section 727, an individual may deduct, under that section, in computing the individual’s taxable income for a particular taxation year subsequent to the taxation year 2003, an amount in respect of a non-capital loss sustained by the individual in a taxation year (in this section referred to as the “reimbursement year”) subsequent to the third taxation year that follows the particular taxation year, if

(a)  the individual deducted, in computing the individual’s income for the reimbursement year, an amount paid by or on behalf of the individual as the reimbursement of an amount the individual included in computing the individual’s income for the particular taxation year;

(b)  the reimbursement referred to in subparagraph a results from the determination, in respect of the individual, in the reimbursement year of an amount relating to the particular taxation year that is a covered benefit attributable to a preceding taxation year, within the meaning assigned to that expression by section 766.3.1; and

(c)  the amount deducted does not exceed the portion of the non-capital loss sustained by the individual in the reimbursement year that may reasonably be considered to be attributable to the reimbursement referred to in subparagraph a.

Despite section 1010, the Minister shall make such assessments, reassessments or additional assessments of tax, interest and penalties and such determinations and redeterminations as are necessary for any taxation year in order to give effect to the first paragraph.

2011, c. 6, s. 155; 2015, c. 21, s. 259.

2011-06-06

736.4. Despite section 727, an individual may deduct, under that section, in computing the individual’s taxable income for a particular taxation year subsequent to the taxation year 2003, an amount in respect of a non-capital loss sustained by the individual in a taxation year (in this section referred to as the “reimbursement year”) subsequent to the third taxation year that follows the particular taxation year, if

(a)  the individual deducted, in computing the individual’s income for the reimbursement year, an amount paid by or on behalf of the individual as the reimbursement of an amount the individual included in computing the individual’s income for the particular taxation year;

(b)  the reimbursement referred to in subparagraph a results from the determination, in respect of the individual, in the reimbursement year of an amount relating to the particular taxation year that is a covered benefit attributable to a preceding taxation year, within the meaning assigned to that expression by section 766.16; and

(c)  the amount deducted does not exceed the portion of the non-capital loss sustained by the individual in the reimbursement year that may reasonably be considered to be attributable to the reimbursement referred to in subparagraph a.

Despite section 1010, the Minister shall make such assessments, reassessments or additional assessments of tax, interest and penalties and such determinations and redeterminations as are necessary for any taxation year in order to give effect to the first paragraph.

2011, c. 6, s. 155.