I-3 - Taxation Act

Section 851.56 Disposition versions

2022-06-08

851.56. This chapter applies for the purpose of computing a taxpayer’s income, taxable income or tax payable or an amount deemed to have been paid by the taxpayer to the Minister on account of the taxpayer’s tax payable.

However, it does not apply

(a)  for the purpose of determining the cost or capital cost of property in accordance with sections 440 and 454 to 462.0.2, Chapter IV of Title IX of Book III, the second paragraph of section 614, Chapter X of Title XII of Book III, Title I.2 or Chapter II or III of Title V;

(b)  for the purpose of determining the amount of a taxpayer’s expenditure that would, but for this subparagraph, be greater than the amount otherwise determined under Chapter II of Title VII of Book III or section 431; or

(c)  for the purpose of allowing an amount to be deducted under section 725.5.1.

Similarly, section 851.57 does not apply to reduce an expenditure that is a commission, fee or other consideration for services rendered by a person acting as a salesperson, mandatary or dealer in securities in the course of the issuance of an option.

In addition, section 851.58 or 851.59, as the case may be, applies to reduce an expenditure of a taxpayer only to the extent that the expenditure includes an amount determined to be an excess under that section.

2017, c. 1, s. 251; 2022, c. 23, s. 71.

2017-02-08

851.56. This chapter applies for the purpose of computing a taxpayer’s income, taxable income or tax payable or an amount deemed to have been paid by the taxpayer to the Minister on account of the taxpayer’s tax payable.

However, it does not apply

(a)  for the purpose of determining the cost or capital cost of property in accordance with sections 440 and 454 to 462.0.2, Chapter IV of Title IX of Book III, the second paragraph of section 614, Chapter X of Title XII of Book III, Title I.2 or Chapter II or III of Title V; or

(b)  for the purpose of determining the amount of a taxpayer’s expenditure that would, but for this subparagraph, be greater than the amount otherwise determined under Chapter II of Title VII of Book III or section 431.

Similarly, section 851.57 does not apply to reduce an expenditure that is a commission, fee or other consideration for services rendered by a person acting as a salesperson, mandatary or dealer in securities in the course of the issuance of an option.

In addition, section 851.58 or 851.59, as the case may be, applies to reduce an expenditure of a taxpayer only to the extent that the expenditure includes an amount determined to be an excess under that section.

2017, c. 1, s. 251.