I-3 - Taxation Act

Section 422 Disposition versions

2017-12-07

422. Except as otherwise provided in this Part, the disposition or acquisition of a property by a taxpayer is deemed to be made at the fair market value of the property at the time of the disposition or acquisition, as the case may be, where

(a)  the taxpayer acquires it by gift, succession or will, or because of a disposition that does not result in a change in the beneficial ownership of the property;

(b)  the taxpayer acquires it from a person with whom he is not dealing at arm’s length, for an amount greater than such value; or

(c)  the taxpayer disposes of it

i.  to a person with whom the taxpayer is not dealing at arm’s length, gratuitously or for consideration that is less than that fair market value,

ii.  to any person by gift or

iii.  to a trust because of a disposition that does not result in a change in the beneficial ownership of the property.

1972, c. 23, s. 357; 2001, c. 53, s. 68; 2003, c. 2, s. 115; 2017, c. 29, s. 63.

2006-03-01

422. Except as otherwise provided in this Part, the disposition or acquisition of a property by a taxpayer is deemed to be made at the fair market value of the property at the time of the disposition or acquisition, as the case may be, where

(a)  the taxpayer acquires it by gift, succession or will, or because of a disposition that does not result in a change in the beneficial ownership of the property;

(b)  the taxpayer acquires it from a person with whom he is not dealing at arm’s length, for an amount greater than such value; or

(c)  the taxpayer disposes of it

i.  to a person with whom the taxpayer is not dealing at arm’s length, gratuitously or for consideration that is less than that fair market value,

ii.  to any person by gift inter vivos or

iii.  to a trust because of a disposition that does not result in a change in the beneficial ownership of the property.

1972, c. 23, s. 357; 2001, c. 53, s. 68; 2003, c. 2, s. 115.