I-3 - Taxation Act

Section 814 Disposition versions

2006-03-01

814. For the purposes of this Part, every member institution in computing its income for a taxation year must include:

(a)  an amount described in paragraphs a to c of section 813 received by it during the year from a deposit insurance corporation, to the extent that it has not repaid the amount to the deposit insurance corporation in the year;

(b)  an amount received during the year from a deposit insurance corporation by a depositor or a member of the member institution as total or partial payment of a deposit with, or capital stock of, the member institution to the extent that it has not repaid the amount to the deposit insurance corporation in the year;

(c)  when, at any time during such year, the obligation of a member institution to pay an amount to a deposit insurance corporation is settled or extinguished without any payment by the member institution or by the payment of an amount less than the principal amount, the amount by which the principal amount exceeds the amount paid by it on the settlement or extinguishment of the obligation to the extent that the excess is not otherwise required to be included in computing the member institution’s income for the year or a preceding taxation year.

For the purposes of subparagraph c of the first paragraph, an amount of interest payable by a member institution to a deposit insurance corporation on an obligation is deemed to have a principal amount equal to that amount.

1975, c. 22, s. 218; 1989, c. 77, s. 93; 1997, c. 3, s. 71.