I-3 - Taxation Act

Section 577.11 Disposition versions

2015-10-21

577.11. In computing a taxpayer’s income for a particular taxation year, there may be deducted the amount determined by the formula

A × (B/C).

In the formula in the first paragraph,

(a)  A is the specified amount, in respect of a loan or indebtedness, that is included under section 577.5 in computing the taxpayer’s income for a preceding taxation year;

(b)  B is the portion of the loan or indebtedness that is repaid in the particular year, to the extent it is established, having regard to subsequent events or otherwise, that the repayment is not part of a series of loans or other transactions and repayments; and

(c)  C is the amount, in respect of the loan or indebtedness, that is referred to in the description of A in the formula in the definition of “specified amount” in subsection 15 of section 90 of the Income Tax Act (R.S.C. 1985, c. 1, (5th Suppl.)).

2015, c. 21, s. 191.