I-3 - Taxation Act

Section 776.1.5.1 Disposition versions

2021-06-02

776.1.5.1. (Repealed).

1993, c. 19, s. 65; 1995, c. 63, s. 87; 1997, c. 3, s. 39; 2005, c. 23, s. 110; 2021, c. 14, s. 99.

2006-03-01

776.1.5.1. In this Title,

“eligible beneficiary”, for a taxation year, under a registered gain-sharing plan that is part of a quality approach of a corporation means an individual who, as an employee of the corporation, is entitled to receive in the year an amount under the plan, who, in the performance of his duties as such within the corporation for the year in respect of which he is entitled to receive the amount, usually reports for work at an establishment of the corporation situated in Québec and who is not an excluded beneficiary described in section 776.1.5.2 in respect of the plan;

“qualified corporation” in respect of a registered gain-sharing plan that is part of a quality approach means a corporation whose assets or net shareholders’ equity as shown in its financial statements submitted to the shareholders or, where such financial statements have not been prepared, or have not been prepared in accordance with generally accepted accounting principles, that would be shown if such financial statements had been prepared in accordance with generally accepted accounting principles, either for its taxation year preceding that which includes the date on which a registration number was assigned to the plan by the Minister in accordance with section 776.1.5.3 or, where that date is included in the first fiscal period of the corporation, at the beginning of that first fiscal period, were less than $25,000,000 and equal to or less than $10,000,000, respectively;

“registered gain-sharing plan that is part of a quality approach” of a corporation means a gain-sharing plan that is part of a quality approach of the corporation that is registered by the Minister in accordance with the first paragraph of section 776.1.5.3;

“unused portion” of a deduction under section 776.1.5.4 in respect of a corporation for a taxation year means the amount by which an amount equal to 15% of the amount determined under the second paragraph of the said section for the year in respect of the corporation exceeds the amount of the tax payable by the corporation for the year under this Part, computed before any deduction under this Title, and sections 772.12, 1183 and 1184.

For the purposes of the definition of “qualified corporation” set forth in the first paragraph, the following rules apply:

(a)  the said definition, where the corporation referred to therein is a cooperative, shall read without reference to “net shareholders” and as if the reference therein to “submitted to the shareholders” were a reference to “submitted to the members”;

(b)  sections 1029.8.27 to 1029.8.30, as they read before being repealed, apply for the purposes of the said definition, with the necessary modifications.

1993, c. 19, s. 65; 1995, c. 63, s. 87; 1997, c. 3, s. 39; 2005, c. 23, s. 110.