I-3 - Taxation Act

Section 518 Disposition versions

2011-12-09

518. The rules provided for in this division and in Divisions II and III apply where a taxpayer disposes of any of the taxpayer’s property to a taxable Canadian corporation for consideration that includes a share of the capital stock of the corporation, if the taxpayer and the corporation make a valid election for the purposes of subsection 1 of section 85 of the Income Tax Act (R.S.C. 1985, c. 1 (5th Suppl.)) in respect of the disposition or, where that election cannot be made by reason of subsection 21.2 of section 13 of that Act, make an election, in the prescribed form referred to in the first paragraph of section 520.1, to apply the rules in respect of the disposition.

1972, c. 23, s. 406; 1973, c. 17, s. 61; 1975, c. 22, s. 115; 1982, c. 5, s. 120; 1986, c. 15, s. 86; 1986, c. 19, s. 118; 1990, c. 59, s. 188; 1997, c. 3, s. 71; 1997, c. 31, s. 54; 1997, c. 85, s. 82; 2000, c. 39, s. 25; 2003, c. 9, s. 32; 2011, c. 34, s. 30.

2006-03-01

518. The rules provided for in this division and in Divisions II and III apply where a taxpayer disposes of any of the taxpayer’s property to a taxable Canadian corporation for consideration that includes a share of the capital stock of the corporation, if the taxpayer and the corporation make a valid election for the purposes of subsection 1 of section 85 of the Income Tax Act (Revised Statutes of Canada, 1985, chapter 1, 5th Supplement) in respect of the disposition or, where that election cannot be made by reason of paragraph 21.2 of section 13 of that Act, make an election, in the prescribed form referred to in the first paragraph of section 520.1, to apply the rules in respect of the disposition.

1972, c. 23, s. 406; 1973, c. 17, s. 61; 1975, c. 22, s. 115; 1982, c. 5, s. 120; 1986, c. 15, s. 86; 1986, c. 19, s. 118; 1990, c. 59, s. 188; 1997, c. 3, s. 71; 1997, c. 31, s. 54; 1997, c. 85, s. 82; 2000, c. 39, s. 25; 2003, c. 9, s. 32.