I-3 - Taxation Act

Section 1029.8.36.0.109 Disposition versions

2015-10-21

1029.8.36.0.109. A corporation that, in a taxation year, carries on a business in Québec and has an establishment in Québec, that is not an excluded corporation for the year and that encloses with the fiscal return it is required to file for the year under section 1000 the prescribed form containing prescribed information and a copy of the agreement described in section 1029.8.36.0.111, if applicable, is deemed, subject to the second paragraph, to have paid to the Minister on the corporation’s balance-due day for that year, on account of its tax payable for that year under this Part, an amount equal to 20% of the amount by which the lesser of the following amounts exceeds the balance of the threshold of the corporation’s qualified expenditures for that year:

(a)  the aggregate of

i.  if the corporation is a qualified corporation for the year, the qualified expenditure of the corporation for the year, to the extent that that expenditure has been paid, and

ii.  if the corporation is a member of a qualified partnership at the end of a fiscal period of the partnership ending in the year and the corporation meets the conditions of paragraphs a and b of the definition of “qualified corporation” in the first paragraph of section 1029.8.36.0.107, the aggregate of all amounts each of which is the corporation’s share of the lesser of

(1)  the qualified expenditure of such a qualified partnership for such a fiscal period, to the extent that that expenditure has been paid, and

(2)  the qualified partnership’s qualified expenditure limit for that fiscal period; and

(b)  the corporation’s qualified expenditure limit for the year.

For the purpose of computing the payments that a corporation is required to make under subparagraph a of the first paragraph of section 1027, or under any of sections 1159.7, 1175 and 1175.19 if they refer to that subparagraph a, the corporation is deemed to have paid to the Minister, on account of the aggregate of its tax payable for the year under this Part and of its tax payable for the year under Parts IV.1, VI and VI.1, on the date on or before which each payment is required to be made, an amount equal to the lesser of

(a)  the amount by which the amount determined under the first paragraph for the year exceeds the aggregate of all amounts each of which is the portion of that amount that may reasonably be considered to be deemed to have been paid to the Minister under this paragraph in the year but before that date; and

(b)  the amount by which the amount of that payment, determined without reference to this chapter, exceeds the aggregate of all amounts each of which is an amount that is deemed, under this chapter but otherwise than under the first paragraph, to have been paid to the Minister on that date, for the purpose of computing that payment.

For the purposes of the first paragraph, the amount that is the balance of the threshold of a corporation’s qualified expenditures for a taxation year is to be replaced by,

(a)  if the taxation year of the corporation has fewer than 51 weeks, except in cases where subparagraph c applies, the proportion of that amount that the number of days in the taxation year of the corporation is of 365; or

(b)  (subparagraph repealed);

(c)  if the taxation year of the corporation includes 1 January 2016, the proportion of that amount that the number of days in the taxation year of the corporation that precede 1 January 2016 is of 365.

For the purposes of subparagraph ii of subparagraph a of the first paragraph, a corporation’s share of a particular amount, in relation to a qualified partnership of which the corporation is a member at the end of a fiscal period, is equal to the agreed proportion of the amount in respect of the corporation for the fiscal period.

2013, c. 10, s. 116; 2015, c. 21, s. 441.

2013-06-05

1029.8.36.0.109. A corporation that, in a taxation year, carries on a business in Québec and has an establishment in Québec, that is not an excluded corporation for the year and that encloses with the fiscal return it is required to file for the year under section 1000 the prescribed form containing prescribed information and a copy of the agreement described in section 1029.8.36.0.111, if applicable, is deemed, subject to the second paragraph, to have paid to the Minister on the corporation’s balance-due day for that year, on account of its tax payable for that year under this Part, an amount equal to 25% of the amount by which the lesser of the following amounts exceeds $50,000:

(a)  the aggregate of

i.  if the corporation is a qualified corporation for the year, the qualified expenditure of the corporation for the year, to the extent that that expenditure has been paid, and

ii.  if the corporation is a member of a qualified partnership at the end of the partnership’s fiscal period ending in the year, the aggregate of all amounts each of which is the corporation’s share of the lesser of

(1)  the qualified expenditure of such a qualified partnership for such a fiscal period, to the extent that that expenditure has been paid, and

(2)  the qualified partnership’s qualified expenditure limit for that fiscal period; and

(b)  the corporation’s qualified expenditure limit for the year.

For the purpose of computing the payments that a corporation is required to make under subparagraph a of the first paragraph of section 1027, or under any of sections 1159.7, 1175 and 1175.19 if they refer to that subparagraph a, the corporation is deemed to have paid to the Minister, on account of the aggregate of its tax payable for the year under this Part and of its tax payable for the year under Parts IV.1, VI and VI.1, on the date on or before which each payment is required to be made, an amount equal to the lesser of

(a)  the amount by which the amount determined under the first paragraph for the year exceeds the aggregate of all amounts each of which is the portion of that amount that may reasonably be considered to be deemed to have been paid to the Minister under this paragraph in the year but before that date; and

(b)  the amount by which the amount of that payment, determined without reference to this chapter, exceeds the aggregate of all amounts each of which is an amount that is deemed, under this chapter but otherwise than under the first paragraph, to have been paid to the Minister on that date, for the purpose of computing that payment.

For the purposes of the first paragraph, the amount of $50,000 is to be replaced by

(a)  if the taxation year of the corporation has fewer than 51 weeks, except in cases where subparagraph b or c applies, the proportion of that amount that the number of days in the taxation year of the corporation is of 365;

(b)  if the taxation year of the corporation includes 20 March 2012, the proportion of that amount that the number of days in the taxation year of the corporation that follow 20 March 2012 is of 365; or

(c)  if the taxation year of the corporation includes 1 January 2016, the proportion of that amount that the number of days in the taxation year of the corporation that precede 1 January 2016 is of 365.

For the purposes of subparagraph ii of subparagraph a of the first paragraph, a corporation’s share of a particular amount, in relation to a qualified partnership of which the corporation is a member at the end of a fiscal period, is equal to the agreed proportion of the amount in respect of the corporation for the fiscal period.

2013, c. 10, s. 116.