I-3 - Taxation Act

Section 766.11 Disposition versions

2006-03-01

766.11. If section 766.9 applies to an individual in respect of a covered benefit attributable to the taxation year 2004 and the amount of which is determined by the Société de l’assurance automobile du Québec, there shall be included in computing, for that year, the aggregate referred to in the first paragraph of section 766.9, an amount equal to the aggregate of all amounts each of which is, for each day of the year for which the covered benefit is determined, in this section referred to as the “particular day”, equal to the lesser of the amounts determined for the particular day by the following formulas:

(a)  {[(0.90 × 0.80 × A / B) − (C × 0.80 × D / B)] × (1 − E)} − F / B; and

(b)  {[(0.90 × G / B) − (C × H)] × (1 − E)} − F / B.

In the formulas in the first paragraph,

(a)  A is the annual gross revenue used as a basis for determining, for the particular day, the covered benefit attributable to the year, or, if the covered benefit attributable to the year is adjusted in accordance with section 119 of the Act respecting the Québec Pension Plan (chapter R-9), the amount that would be the annual gross revenue used as a basis for determining, for the particular day, the covered benefit attributable to the year, if it were adjusted according to the same rules as those applicable to the covered benefit;

(b)  B is the number of days in the year;

(c)  C is,

i.  if only part of the net income from an employment held is used to reduce, for the particular day, the covered benefit attributable to the year, the percentage attributed under the public compensation plan in respect of that net income, and

ii.  in any other case, 100%;

(d)  D is the annual gross revenue from a suitable employment or employment held, for the particular day;

(e)  E is the percentage that applies for the purpose of reducing, for the particular day, the covered benefit attributable to the year;

(f)  F is the amount obtained by multiplying 0.80 by the amount that is payable for the year as an old age pension or as a disability benefit payable under a plan established by a jurisdiction, other than Québec, and equivalent to the plan established under the Act respecting the Québec Pension Plan, and that is, in determining, for the particular day, the covered benefit attributable to the year, used by the Société de l’assurance automobile du Québec to reduce the amount of that covered benefit;

(g)  G is the total of $6,150 and the amounts estimated by the Société de l’assurance automobile du Québec for the year 2003, as an employee’s premium under the Employment Insurance Act (Statutes of Canada, 1996, chapter 23) and as an employee’s contribution under the Act respecting the Québec Pension Plan, to the extent that that total is used by the Société to establish the weighted net income for the purpose of computing, for the particular day, the covered benefit attributable to the year; and

(h)  H is the lesser of

i.  the amount obtained by multiplying 0.80 by the amount obtained by dividing the annual gross revenue from a suitable employment or employment held, for the particular day, by the number of days in the year, and

ii.  the amount obtained by dividing the recognized amounts used to establish the weighted net income from a suitable employment or employment held, for the particular day, by the number of days in the year.

For the purposes of subparagraph d and subparagraph i of subparagraph h of the second paragraph, “annual gross revenue from a suitable employment or employment held”, for a particular day, means the annual gross revenue relating to a suitable employment or employment held that is taken into account in determining, for the particular day, the covered benefit attributable to the year, or, if the covered benefit attributable to the year is adjusted in accordance with section 119 of the Act respecting the Québec Pension Plan, the amount that would be the annual gross revenue relating to a suitable employment or employment held that would be taken into account in determining, for the particular day, the covered benefit attributable to the year if, from the year following that for which that gross revenue was last established, it were adjusted according to the same rules as those applicable to the covered benefit.

For the purposes of subparagraph ii of subparagraph h of the second paragraph, “recognized amounts used to establish the weighted net income from a suitable employment or employment held”, for a particular day, means the total of $6,150 and the amounts estimated by the Société de l’assurance automobile du Québec for the year 2003, as an employee’s premium under the Employment Insurance Act and as an employee’s contribution under the Act respecting the Québec Pension Plan, to the extent that that total is used by the Société to establish the weighted net income from a suitable employment or employment held, for the particular day.

2005, c. 38, s. 167.