I-3 - Taxation Act

Section 359.15 Disposition versions

2009-05-15

359.15. Where the amount that a corporation purports to renounce to a person under section 359.2, 359.2.1 or 359.4 exceeds the amount that it can renounce to the person under that section, the following rules apply:

(a)  the corporation shall file a statement with the Minister in prescribed form where

i.  the Minister sends a notice in writing to the corporation demanding the statement, or

ii.  the excess arose as a consequence of a renunciation purported to be made in a calendar year under section 359.2 or 359.2.1 because of the application of section 359.8, if the corporation knew or ought to have known of all or part of the excess,

(1)  if section 359.8.1 applies in respect of expenses that were incurred in the calendar year that follows that in which the purported renunciation was made and that relate to the renunciation, at the end of that subsequent calendar year, and

(2)  in any other case, at the end of the calendar year;

(b)  where subparagraph i of subparagraph a applies, the statement shall be filed not later than 30 days after the Minister sends a notice referred to therein;

(c)  if subparagraph ii of subparagraph a applies, the statement must be filed,

i.  if section 359.8.1 applies in respect of expenses that were incurred in the calendar year that follows that in which the purported renunciation was made and that relate to the renunciation, before 1 March of the year that follows that subsequent calendar year, and

ii.  in any other case, before 1 March of the calendar year that follows that in which the purported renunciation was made by the corporation; and

(d)  except for the purposes of Part III.14, any amount that is purported to have been so renounced to any person is deemed, after the statement is filed with the Minister, to have always been reduced by the portion of the excess identified in the statement in respect of that purported renunciation.

Where a corporation fails in the statement referred to in the first paragraph to apply the excess fully to reduce one or more purported renunciations, the Minister may at any time reduce the total amount purported to be renounced by the corporation to one or more persons by the amount of the unapplied excess.

In the case referred to in the second paragraph, except for the purposes of Part III.14, the amount purported to have been renounced by the corporation to a person is deemed, after the time referred to therein, to have always been reduced by the portion of the unapplied excess allocated by the Minister in respect of that person.

1988, c. 18, s. 27; 1995, c. 49, s. 97; 1997, c. 3, s. 71; 1998, c. 16, s. 137; 2009, c. 5, s. 129.

2006-03-01

359.15. Where the amount that a corporation purports to renounce to a person under section 359.2, 359.2.1 or 359.4 exceeds the amount that it can renounce to the person under that section, the following rules apply:

(a)  the corporation shall file a statement with the Minister in prescribed form where

i.  the Minister sends a notice in writing to the corporation demanding the statement, or

ii.  the excess arose as a consequence of a renunciation purported to be made in a calendar year under section 359.2 or 359.2.1, as the case may be, because of the application of section 359.8 and, at the end of the year, the corporation knew or ought to have known of all or part of the excess;

(b)  where subparagraph i of subparagraph a applies, the statement shall be filed not later than 30 days after the Minister sends a notice referred to therein;

(c)  where subparagraph ii of subparagraph a applies, the statement shall be filed before 1 March of the calendar year following the year in which the purported renunciation was made; and

(d)  except for the purposes of Part III.14, any amount that is purported to have been so renounced to any person is deemed, after the statement is filed with the Minister, to have always been reduced by the portion of the excess identified in the statement in respect of that purported renunciation.

Where a corporation fails in the statement referred to in the first paragraph to apply the excess fully to reduce one or more purported renunciations, the Minister may at any time reduce the total amount purported to be renounced by the corporation to one or more persons by the amount of the unapplied excess.

In the case referred to in the second paragraph, except for the purposes of Part III.14, the amount purported to have been renounced by the corporation to a person is deemed, after the time referred to therein, to have always been reduced by the portion of the unapplied excess allocated by the Minister in respect of that person.

1988, c. 18, s. 27; 1995, c. 49, s. 97; 1997, c. 3, s. 71; 1998, c. 16, s. 137.