I-3 - Taxation Act

Section 736.3 Disposition versions

2011-06-06

736.3. Despite section 727, an individual to whom the Minister grants an authorization following an application to that effect may deduct, under that section, in computing the individual’s taxable income for a particular taxation year an amount in respect of a non-capital loss sustained by the individual in a taxation year, in this section referred to as the “reimbursement year”, subsequent to the third taxation year that follows the particular taxation year, if

(a)  the individual deducted in computing the individual’s income for the reimbursement year, under section 78.1, an amount paid by or on behalf of the individual as the reimbursement of an amount the individual included in computing the individual’s income from an office or employment for the particular taxation year;

(b)  the amount for which the application is made does not exceed the portion of the non-capital loss sustained by the individual in the reimbursement year that may reasonably be considered to be attributable to the reimbursement referred to in paragraph a; and

(c)  in the Minister’s opinion, it is reasonable to expect, by reason of the nature and severity of the individual’s disability, that the individual will not earn sufficient income in a taxation year subsequent to the reimbursement year to allow the individual to deduct in computing the individual’s taxable income, under section 727, the non-capital loss sustained by the individual in the reimbursement year.

Despite section 1010, the Minister shall make such assessments, reassessments or additional assessments of tax, interest and penalties and such determinations or redeterminations as are necessary for any taxation year to give effect to the first paragraph.

2005, c. 23, s. 78; 2011, c. 6, s. 154.

2006-03-01

736.3. Despite section 727, an individual to whom the Minister grants an authorization following an application to that effect may deduct, under that section, in computing the individual’s taxable income for a particular taxation year an amount in respect of a non-capital loss sustained by the individual in a taxation year, in this section referred to as the “reimbursement year”, subsequent to the third taxation year that follows the particular taxation year, if

(a)  the individual deducted in computing the individual’s income for the reimbursement year, under section 78.1, an amount paid by or on behalf of the individual as the reimbursement of an amount the individual included in computing the individual’s income from an office or employment for the particular taxation year;

(b)  the amount for which the application is made does not exceed the portion of the non-capital loss sustained by the individual in the reimbursement year that may reasonably be considered to be attributable to the reimbursement referred to in paragraph a; and

(c)  in the Minister’s opinion, it is reasonable to expect, by reason of the nature and severity of the individual’s disability, that the individual will not earn sufficient income in a taxation year subsequent to the reimbursement year to allow the individual to deduct in computing the individual’s taxable income, under section 727, the non-capital loss sustained by the individual in the reimbursement year.

2005, c. 23, s. 78.