I-3 - Taxation Act

Section 726.9.12 Disposition versions

2006-03-01

726.9.12. The penalty in respect of an election to which section 726.9.9 or 726.9.10 applies is the amount determined by the formula

(A × B) / 300.

For the purposes of the formula in the first paragraph,

(a)  A is the number of months each of which is a month all or part of which is during the period that begins the day after the expiry of the time prescribed in section 726.9.7 and ends the day the election to which section 726.9.9 applies or the amended election to which section 726.9.10 applies, as the case may be, is filed with the Minister; and

(b)  B is the amount by which the aggregate of all amounts each of which is the taxable capital gain of the elector or a spouse of the elector that results from the application of section 726.9.2 to the property or the business in respect of which the election is made exceeds, where section 726.9.10 applies to the election, the aggregate of all amounts each of which would, if this Act were read without reference to sections 726.9.3 and 726.9.10, be the taxable capital gain of the elector or a spouse of the elector that resulted from the application of section 726.9.2 to the property or the business.

1996, c. 39, s. 186.