I-3 - Taxation Act

Section 104.1.1 Disposition versions

2006-03-01

104.1.1. A partnership shall include in computing the partnership’s income from a business for a fiscal period, in this section referred to as the “particular fiscal period”, the amount determined under the second paragraph, if

(a)  an amount in respect of depreciable property of a prescribed class is included under section 94 in computing the partnership’s income for the particular fiscal period; and

(b)  an amount was deducted or is deemed, pursuant to section 104.3, to have been deducted, in respect of the property referred to in subparagraph a, in computing the partnership’s income from a business for a fiscal period preceding the particular fiscal period under any of sections 156.1 and 156.1.1.

The amount to which the first paragraph refers that the partnership is required to include in computing its income for the particular fiscal period is equal to the amount determined by the formula

A × B / C.

In the formula provided for in the second paragraph,

(a)  A is the product obtained by multiplying the aggregate of the amounts determined under any of sections 156.2 to 156.3.1, in respect of the depreciable property for a fiscal period preceding the particular fiscal period, by the quotient obtained by dividing the amount included in computing the partnership’s income for the particular fiscal period under section 94 in respect of the property by the total depreciation, within the meaning of subparagraph b of the first paragraph of section 93, allowed to the partnership in respect of the property;

(b)  B is the aggregate of the business carried on in Canada or in Québec and elsewhere by the partnership in the particular fiscal period;

(c)  C is the business carried on in Québec by the partnership in the particular fiscal period.

1993, c. 16, s. 61; 1995, c. 1, s. 199; 1997, c. 3, s. 71; 1999, c. 83, s. 32; 2001, c. 53, s. 37.