I-3 - Taxation Act

Section 1079.11 Disposition versions

2010-10-27

1079.11. An avoidance transaction is any transaction that, but for this Title, would result, directly or indirectly, in a tax benefit or that is part of a series of transactions, which series, but for this Title, would result, directly or indirectly, in a tax benefit, unless the transaction in either case may reasonably be considered to have been undertaken or arranged primarily for bona fide purposes.

For the purposes of the first paragraph, the following purposes of a transaction or a combination of them are not considered as bona fide purposes:

(a)  the obtainment of a tax benefit;

(b)  the reduction, avoidance or deferral of tax or of another amount payable as tax or in respect of tax under an Act of Canada or of a province, other than this Act; and

(c)  the increase of a refund of tax or of another amount as tax or in respect of tax under an Act of Canada or of a province, other than this Act.

1990, c. 59, s. 351; 1996, c. 39, s. 258; 2010, c. 25, s. 192.

2006-03-01

1079.11. An avoidance transaction is any transaction that, but for this Title, would result, directly or indirectly, in a tax benefit or that is part of a series of transactions, which series, but for this Title, would result, directly or indirectly, in a tax benefit, unless the transaction in either case may reasonably be considered to have been undertaken or arranged primarily for bona fide purposes other than to obtain the tax benefit.

1990, c. 59, s. 351; 1996, c. 39, s. 258.