I-3 - Taxation Act

Section 1029.8.36.113 Disposition versions

2009-05-15

1029.8.36.113. (Repealed).

1999, c. 86, s. 85; 2001, c. 7, s. 169; 2009, c. 5, s. 455.

2006-03-01

1029.8.36.113. Where, before 1 January 2003, a taxpayer that is a member of a partnership pays in a fiscal period of the partnership, referred to in this section as “fiscal period of repayment”, pursuant to a legal obligation, a particular amount that may reasonably be considered to be a repayment of government assistance or non-government assistance that reduced, by reason of subparagraph ii of paragraph b of section 1029.8.36.108, the taxpayer’s share, for a fiscal period of the partnership, of the amount of a particular qualified solicitation expenditure of the partnership for the purpose of computing the amount that the taxpayer is deemed to have paid to the Minister for a taxation year under section 1029.8.36.105, the following rules apply:

(a)  the amount that the taxpayer is deemed to have paid to the Minister under that section 1029.8.36.105 in respect of the partnership for the taxation year in which the fiscal period of repayment ended is deemed to be equal to the aggregate of

i.  the amount that, had there been no such repayment in the fiscal period of repayment, the taxpayer would have been deemed to have paid to the Minister under that section in respect of the partnership for that taxation year, and

ii.  the amount by which

(1)  the aggregate of all amounts each of which is the amount that, had there been no such repayment of government assistance or non-government assistance in the fiscal period of repayment or a preceding fiscal period and if the taxpayer’s share of any amount for any fiscal period were the taxpayer’s share of that amount, for the fiscal period of repayment, the taxpayer would have been deemed to have paid to the Minister under that section 1029.8.36.105 in respect of the partnership for a particular taxation year that is the year in which the fiscal period during which the particular qualified solicitation expenditure was incurred ended or the year in which one of the following two fiscal periods not subsequent to the fiscal period of repayment ended, exceeds

(2)  the aggregate of all amounts each of which is an amount that, but for this section and if the taxpayer’s share of any amount for any fiscal period were the taxpayer’s share of that amount for the fiscal period of repayment, the taxpayer would have been deemed to have paid to the Minister under that section 1029.8.36.105 in respect of the partnership for a particular taxation year referred to in subparagraph 1, or an amount determined under this subparagraph ii in respect of the taxpayer, in relation to the partnership, and on the assumption that the taxpayer’s share of any amount for any fiscal period was the taxpayer’s share of that amount for the fiscal period of repayment, for a taxation year prior to the taxation year in which the fiscal period of repayment ended;

(b)  if the repayment occurs in the fiscal period following the fiscal period in which the particular qualified solicitation expenditure was incurred, the particular amount is deemed, for the application of section 1029.8.36.105 to the taxation year in which the particular fiscal period following the fiscal period of repayment ended, to be the taxpayer’s share, for that particular fiscal period, of a qualified solicitation expenditure incurred by the partnership in the fiscal period in which the particular qualified solicitation expenditure was incurred; and

(c)  where applicable, the partnership is deemed for the application of section 1029.8.36.105 in respect of the excess amount determined under subparagraph ii of paragraph a, to have carried out a qualified international financial transaction and operated an international financial centre in the fiscal period of repayment.

1999, c. 86, s. 85; 2001, c. 7, s. 169.