I-3 - Taxation Act

Section 564.2 Disposition versions

2006-03-01

564.2. For the purpose of computing the taxable income of the parent for any taxation year commencing after the commencement of a winding-up described in section 556 or that would be if the expression “taxable Canadian corporation” were replaced by the expression “Canadian corporation”, such portion of any non-capital loss, restricted farm loss, farm loss or limited partnership loss of the subsidiary for a particular taxation year as may reasonably be regarded as its loss from carrying on a particular business, any other portion of any non-capital loss or limited partnership loss of the subsidiary for any such year as may reasonably be regarded as being derived from any other source or any other portion of any non-capital loss of the subsidiary for any such year as may reasonably be regarded as being due to an amount added to its taxable income for the year under section 726.5, as it read before its repeal, or the net capital loss sustained by the subsidiary for any such year is deemed, for the purposes of this section, sections 564.3 to 564.4.4, 727, 728.2, 729, 731, 733.0.0.1, 734 and 735, to be a non-capital loss, restricted farm loss, farm loss or limited partnership loss of the parent from carrying on the particular business of the subsidiary, a non-capital loss or limited partnership loss of the parent that was derived from the source from which the subsidiary sustained such portion of its non-capital loss or limited partnership loss, a non-capital loss of the parent due to an amount added to its taxable income for the year under section 726.5, as it read before its repeal, or a net capital loss, respectively, sustained by the parent for its taxation year during which the particular taxation year of the subsidiary ended.

1978, c. 26, s. 103; 1984, c. 15, s. 122; 1985, c. 25, s. 100; 1986, c. 19, s. 122; 1988, c. 4, s. 39; 1993, c. 16, s. 224; 1993, c. 19, s. 22; 1997, c. 3, s. 71.