I-3 - Taxation Act

Section 1029.8.163 Disposition versions

2015-10-21

1029.8.163. For the purpose of determining an individual’s qualified expenditure for a taxation year in relation to an eligible home, the following rules apply:

(a)  an amount paid under a home renovation agreement, in relation to recognized home renovation work, may not be included in the individual’s qualified expenditure for a taxation year if it is

i.  an amount incurred to acquire property used by the individual before the acquisition under a contract of lease,

ii.  an amount that is deductible in computing an individual’s income from a business or property for the year or any other taxation year,

iii.  an amount that is included in the capital cost of depreciable property,

iv.  an amount that is taken into account in computing

(1)  an amount that is deducted in computing the tax payable by an individual for the year or any other taxation year under this Part, or

(2)  an amount that is deemed to have been paid to the Minister on account of the tax payable by an individual for the year or any other taxation year under this Part, except an amount that is deemed, under this division, to have been paid to the Minister on account of the tax payable by an individual under this Part,

v.  an amount used to finance the cost of recognized home renovation work, or

vi.  an amount attributable to property or services supplied by a person with whom the individual or any of the other owners of the eligible home is not dealing at arm’s length, unless the person holds a registration number assigned under the Act respecting the Québec sales tax (chapter T-0.1);

(b)  the individual’s qualified expenditure must be reduced by the amount of any government assistance, non-government assistance, reimbursement or other form of assistance, including an indemnity paid under an insurance contract, attributable to the expenditure, that the individual or any other person (other than the person acting as a qualified contractor under the home renovation agreement under which the expenditure is incurred) has received, is entitled to receive or may reasonably expect to receive in any taxation year, except to the extent that the amount has reduced the individual’s qualified expenditure for a preceding taxation year;

(c)  an amount paid under a home renovation agreement may be included in the individual’s qualified expenditure only if the qualified contractor carrying out the recognized home renovation work certifies, in the prescribed form referred to in the first or second paragraph of section 1029.8.164, that the property used in carrying out the work complies, where required, with the energy or environmental standards to which the definition of “recognized eco-friendly renovation work” in section 1029.8.153 refers in respect of the property; and

(d)  where a home renovation agreement entered into with a qualified contractor does not deal only with recognized home renovation work, an amount paid under the agreement may be included in the individual’s qualified expenditure only if the qualified contractor gives the individual a written statement showing the breakdown of the cost of the property and services the qualified contractor supplied among the various types of work carried on under the agreement.

2015, c. 21, s. 492.