I-3 - Taxation Act

Section 93.22 Disposition versions

2019-06-19

93.22. Where a taxpayer owns property included in Class 14.1 of Schedule B to the Regulation respecting the Taxation Act (chapter I-3, r. 1) in respect of a business at the beginning of the calendar year 2017 and the property was an incorporeal capital property in respect of the business immediately before 1 January 2017, the following rules apply:

(a)  for the purposes of this Part and its regulations (other than sections 93 to 104, 130 and 130.1 and any regulations made under paragraph a of section 130), if the amount determined under subparagraph a of the first paragraph of section 107, as it read before being repealed, would have been increased immediately before 1 January 2017 if the property had been disposed of immediately before that time, the capital cost of the property is deemed to be increased by 4/3 of the amount of that increase;

(b)  for the purposes of sections 93 to 104, 130 and 130.1 and any regulations made under paragraph a of section 130, where the taxpayer was deemed under subparagraphs a and b of the second paragraph of section 106.4, as it read before being repealed, to continue to own incorporeal capital property in respect of the business and not to have ceased to carry on the business until a time that is after 31 December 2016, the taxpayer is deemed to continue to own the incorporeal capital property and to continue to carry on the business until the time that is immediately before the time from among those described in subparagraphs i to v of subparagraph a of the second paragraph of that section 106.4 that would occur first if subparagraph ii of that subparagraph a were read as if “incorporeal capital property” were replaced by “incorporeal capital property or capital property”;

(c)  for the purposes of subparagraph ii.3 of subparagraph e of the first paragraph of section 93 and subparagraph h of the second paragraph of that section, the taxpayer is deemed not to have paid or received an amount before 1 January 2017 as or on account of an existing or proposed countervailing or anti-dumping duty in respect of depreciable property of the class; and

(d)  section 101 does not apply to assistance that a taxpayer received or is entitled to receive before 1 January 2017 in respect of a property that was an incorporeal capital property immediately before 1 January 2017.

2019, c. 14, s. 74.