I-3 - Taxation Act

Section 1034 Disposition versions

2006-03-01

1034. Where a person transfers property, directly or indirectly, by means of a trust or by any means whatever to a person with whom he is not dealing at arm’s length, a person who is under 18 years of age, or his spouse or a person who, after the transfer, becomes his spouse, the transferee and transferor are solidarily liable to pay a part of the transferor’s tax for each taxation year equal to the amount by which the tax for the year is greater than it would have been if it were not for the operation of sections 456 to 458, 462.1 to 463 and 464 to 467.1, in respect of any income from, or gain from the disposition of, the property so transferred or property substituted therefor.

1972, c. 23, s. 759; 1984, c. 15, s. 234; 1987, c. 67, s. 186; 1989, c. 77, s. 102; 1995, c. 1, s. 168.