I-3 - Taxation Act

Section 119.22 Disposition versions

2006-03-01

119.22. Where, but for subparagraphs i to iii of paragraph a and subparagraph ii of paragraph b of the definition of “eligible issuer” in section 119.15, an individual or a partnership would be an eligible issuer, the individual or partnership is deemed to be an eligible issuer in respect of a small business bond at any time where the issue price of the bond does not exceed the amount by which $500,000 exceeds the aggregate determined in the second paragraph.

The aggregate referred to in the first paragraph is

(a)  where the issuer is an individual, the aggregate of all amounts each of which is the principal amount outstanding immediately after that time in respect of

i.  another obligation that is a small business bond issued by the individual, or by a partnership of which the individual is a majority-interest partner, or

ii.  a development bond issued by a corporation that is controlled by the individual or by a related group of which the individual is a member, or by a corporation that is associated with such a corporation; or

(b)  where the issuer is a partnership, the aggregate of all amounts each of which is the principal amount outstanding immediately after that time in respect of

i.  another obligation that is a small business bond issued by

(1)  the partnership,

(2)  an individual who is a majority-interest partner of the partnership, or

(3)  a partnership of which the individual referred to in subparagraph 2 is a majority-interest partner, or

ii.  a development bond issued by a corporation that is controlled by the individual referred to in subparagraph 2 of subparagraph i or by a related group of which the individual is a member, or by a corporation that is associated with such a corporation.

1984, c. 15, s. 28; 1987, c. 67, s. 36; 1989, c. 5, s. 41; 1994, c. 22, s. 92; 1997, c. 3, s. 71.