I-3 - Taxation Act

Section 844.3 Disposition versions

2020-09-24

844.3. Where, for a period of time in a taxation year, a life insurer owned land described in any of subparagraphs a, c and d of the second paragraph or a right therein or had a right in a building described in subparagraph b of that paragraph, the life insurer shall, where the land, building or right was designated insurance property of the insurer for the year, or property used or held by it in the year in the course of carrying on an insurance business in Canada, include in computing its income for the year the aggregate of all amounts each of which is the amount prescribed in respect of the cost or capital cost to it, as the case may be, of the land, building or right for the period, and the amount prescribed must, at the end of the period, be included in computing

(a)  the cost to the insurer of the land or right therein, where such land or right is property described in subparagraph a of the second paragraph; or

(b)  the capital cost to the insurer of the right in the building described in subparagraph b of the second paragraph, where the land, building or right therein is property described in any of subparagraphs b to d of that paragraph.

The land, right in land or right in a building to which the first paragraph refers is, as the case may be,

(a)  land, other than land described in subparagraph c or d or a right therein that was not held primarily for the purpose of gaining or producing income from the land for the period referred to in the first paragraph;

(b)  a right in a building that was being constructed, renovated or altered;

(c)  land subjacent to the building described in subparagraph b or a right in such land; or

(d)  land contiguous to the land described in subparagraph c, or a right in such contiguous land that was used or was intended to be used for a parking area, driveway, yard, garden or other use necessary for the use or intended use of the building described in subparagraph b.

1990, c. 59, s. 322; 1998, c. 16, s. 206; 2020, c. 16, s. 125.

2006-03-01

844.3. Where, for a period of time in a taxation year, a life insurer owned land described in any of subparagraphs a, c and d of the second paragraph or an interest therein or had an interest in a building described in subparagraph b of that paragraph, the life insurer shall, where the land, building or interest was designated insurance property of the insurer for the year, or property used or held by it in the year in the course of carrying on an insurance business in Canada, include in computing its income for the year the aggregate of all amounts each of which is the amount prescribed in respect of the cost or capital cost to it, as the case may be, of the land, building or interest for the period, and the amount prescribed shall, at the end of the period, be included in computing

(a)  the cost to the insurer of the land or interest therein, where such land or interest is property described in subparagraph a of the second paragraph, and

(b)  the capital cost to the insurer of the interest in the building described in subparagraph b of the second paragraph, where the land, building or interest therein is property described in any of subparagraphs b to d of the said paragraph.

The land, interest in land or interest in a building to which the first paragraph refers is, as the case may be,

(a)  land, other than land described in subparagraph c or d or an interest therein that was not held primarily for the purpose of gaining or producing income from the land for the period referred to in the first paragraph;

(b)  an interest in a building that was being constructed, renovated or altered;

(c)  land subjacent to the building described in subparagraph b or an interest in such land;

(d)  land contiguous to the land described in subparagraph c, or an interest in such contiguous land that was used or was intended to be used for a parking area, driveway, yard, garden or other use necessary for the use or intended use of the building described in subparagraph b.

1990, c. 59, s. 322; 1998, c. 16, s. 206.