I-3 - Taxation Act

Section 1029.8.36.0.3.92 Disposition versions

2019-06-19

1029.8.36.0.3.92. Despite sections 1029.8.36.0.3.89 to 1029.8.36.0.3.91, the following rules apply:

(a)  where a corporation or partnership that is a member of an associated group (in this paragraph referred to as the “first entity”) has more than one taxation year or fiscal period, as the case may be, ending in the same calendar year and is associated in at least two of those taxation years or fiscal periods with another corporation or partnership that is a member of the group and that has a taxation year or fiscal period, as the case may be, ending in that calendar year, the digital conversion costs limit of the first entity for each particular taxation year or particular fiscal period that ends in the calendar year in which it is associated with the other corporation or partnership and after the first taxation year or fiscal period ending in that calendar year and after 27 March 2018 is, subject to paragraph b, an amount equal to the lesser of

i.  its digital conversion costs limit for that first taxation year or fiscal period, determined without reference to this section, and

ii.  its digital conversion costs limit for the particular taxation year or particular fiscal period, determined without reference to this section;

(b)  where the taxation year of a corporation or the fiscal period of a partnership has fewer than 51 weeks and paragraph c does not apply, the digital conversion costs limit of the corporation or partnership for the year or fiscal period, as the case may be, is equal to the amount obtained by multiplying its digital conversion costs limit for the year or fiscal period, determined without reference to this paragraph, by the proportion that the number of days in the year or fiscal period is of 365; and

(c)  where only a part of the taxation year of a corporation or of the fiscal period of a partnership is included in the eligibility period, the digital conversion costs limit of the corporation for the year, or of the partnership for the fiscal period, is equal to the amount obtained by multiplying its digital conversion costs limit for the year or fiscal period, determined without reference to this paragraph, by the proportion that the number of days in the part of the year or fiscal period is of the number of days in the year or fiscal period.

2019, c. 14, s. 332.