I-3 - Taxation Act

Section 985.9 Disposition versions

2024-05-07

985.9. The amount referred to in paragraph a.1 of section 985.1 for a taxation year in respect of a registered charity is equal to the amount determined by the formula

A/365 × B.

In the formula in the first paragraph,

(a)  A is the number of days in the taxation year; and

(b)  B is

i.  3.5% of the prescribed amount for the year, in respect of all or a portion of a property owned by the charity at any time in the 24 months immediately preceding the year that was not used directly in charitable activities or administration, if the prescribed amount is less than or equal to $1,000,000, but greater than

(1)  if the charity is a charitable organization, $100,000, and

(2)  in any other case, $25,000,

i.1.  if the prescribed amount for the year in respect of all or a portion of a property owned by the charity at any time in the 24 months immediately preceding the year that was not used directly in charitable activities or administration is greater than $1,000,000, the total of $35,000 and 5% of the amount by which the prescribed amount exceeds $1,000,000, and

ii.  in any other case, nil.

(c)  (subparagraph repealed);

(d)  (subparagraph repealed).

1978, c. 26, s. 192; 1986, c. 15, s. 161; 1988, c. 18, s. 109; 1993, c. 64, s. 123; 1995, c. 49, s. 223; 1997, c. 14, s. 290; 2005, c. 38, s. 220; 2006, c. 13, s. 84; 2011, c. 34, s. 49; 2024, c. 11, s. 92.

2011-12-09

985.9. The amount referred to in paragraph a.1 of section 985.1 for a taxation year in respect of a registered charity is equal to the amount determined by the formula

A × B × 0.035/365.

In the formula in the first paragraph,

(a)  A is the number of days in the taxation year; and

(b)  B is

i.  the prescribed amount for the year, in respect of all or a portion of a property owned by the charity at any time in the 24 months immediately preceding the year that was not used directly in charitable activities or administration, if that amount is greater than

(1)  if the charity is a charitable organization, $100,000, and

(2)  in any other case, $25,000, and

ii.  in any other case, nil.

(c)  (subparagraph repealed);

(d)  (subparagraph repealed).

1978, c. 26, s. 192; 1986, c. 15, s. 161; 1988, c. 18, s. 109; 1993, c. 64, s. 123; 1995, c. 49, s. 223; 1997, c. 14, s. 290; 2005, c. 38, s. 220; 2006, c. 13, s. 84; 2011, c. 34, s. 49.

2006-06-13

985.9. The amount referred to in paragraph a.1 of section 985.1 for a taxation year in respect of a registered charity is equal to the amount determined by the formula

A + B + C + D.

In the formula in the first paragraph,

(a)  A is 80% of the aggregate of all amounts each of which is the eligible amount of a gift, other than a gift referred to in section 985.9.1, for which the charity issued a receipt described in section 712 or 752.0.10.3 in its preceding taxation year;

(b)  B is the amount by which the amount determined in the third paragraph is exceeded by the aggregate of

i.  80% of the aggregate of all amounts each of which is the amount of an enduring property of the charity, other than such a property described in subparagraph ii or received by the charity as a specified gift, or a legacy or an inheritance received by the charity in a taxation year that included any time before 1 January 1994, to the extent that it is expended in the year, and

ii.  the aggregate of all amounts each of which is the fair market value, when transferred, of an enduring property, other than such a property that was received by the charity as a specified gift, transferred by the charity in the year by way of gift to a qualified donee;

(c)  C is

i.  in the case of a private foundation, the aggregate of all amounts each of which is an amount received by it in its preceding taxation year from a registered charity, other than an amount that is a specified gift or an enduring property, or

ii.  in the case of a charitable organization or a public foundation, 80% of the aggregate of all amounts each of which is an amount received by it in its preceding taxation year from a registered charity, other than an amount that is a specified gift or an enduring property; and

(d)  D is the amount determined by the formula

E × 0.035 [F − (G + H)] / 365.

The amount to which subparagraph b of the second paragraph refers is the amount, claimed by the charity, that may not exceed the lesser of

(a)  3.5% of the amount determined in subparagraph b of the fourth paragraph, and

(b)  the capital gains pool of the charity for the year.

In the formula in subparagraph d of the second paragraph,

(a)  E is the number of days in the taxation year;

(b)  F is

i.  the prescribed amount for the year, in respect of all or a portion of a property, other than a prescribed property, owned by the charity at any time in the 24 months immediately preceding the year that was not used directly in charitable activities or administration, if that amount is greater than $25,000, and

ii.  in any other case, nil;

(c)  G is the aggregate of the amount determined for the year in respect of the charity in accordance with subparagraph ii of subparagraph b of the second paragraph, and 5/4 of the aggregate of the amounts determined in accordance with subparagraph a of the second paragraph and subparagraph i of subparagraph b of the second paragraph; and

(d)  H is

i.  in the case of a private foundation, the amount determined for the year in accordance with subparagraph i of subparagraph c of the second paragraph in respect of the charity, or

ii.  in the case of a charitable organization or a public foundation, 5/4 of the amount determined for the year in accordance with subparagraph ii of subparagraph c of the second paragraph in respect of the charity.

1978, c. 26, s. 192; 1986, c. 15, s. 161; 1988, c. 18, s. 109; 1993, c. 64, s. 123; 1995, c. 49, s. 223; 1997, c. 14, s. 290; 2005, c. 38, s. 220; 2006, c. 13, s. 84.

2006-03-01

985.9. The amount referred to in paragraph a.1 of section 985.1 for a taxation year in respect of a registered charity is equal to the amount determined by the formula

A + B + C + D.

In the formula in the first paragraph,

(a)  A is 80% of the aggregate of all amounts each of which is the eligible amount of a gift, other than a gift referred to in section 985.9.1, for which the charity issued a receipt described in section 712 or 752.0.10.3 in its preceding taxation year;

(b)  B is the amount by which the amount determined in the third paragraph is exceeded by the aggregate of

i.  80% of the aggregate of all amounts each of which is the amount of an enduring property of the charity, other than such a property described in subparagraph ii or received by the charity as a specified gift, or a legacy or an inheritance received by the charity in a taxation year that included any time before 1 January 1994, to the extent that it is expended in the year, and

ii.  the aggregate of all amounts each of which is the fair market value, when transferred, of an enduring property, other than such a property that was received by the charity as a specified gift, transferred by the charity in the year by way of gift to a qualified donee;

(c)  C is

i.  in the case of a private foundation, the aggregate of all amounts each of which is an amount received by it in its preceding taxation year from a registered charity, other than an amount that is a specified gift or an enduring property, or

ii.  in the case of a charitable organization or a public foundation, 80% of the aggregate of all amounts each of which is an amount received by it in its preceding taxation year from a registered charity, other than an amount that is a specified gift or an enduring property; and

(d)  D is the amount determined by the formula

E × 0.035 [F - (G + H)] / 365.

The amount to which subparagraph b of the second paragraph refers is the amount, claimed by the charity, that may not exceed the lesser of

i.  3.5% of the amount determined in subparagraph b of the fourth paragraph, and

ii.  the capital gains pool of the charity for the year.

In the formula in subparagraph d of the second paragraph,

(a)  E is the number of days in the taxation year;

(b)  F is

i.  the prescribed amount for the year, in respect of all or a portion of a property, other than a prescribed property, owned by the charity at any time in the 24 months immediately preceding the year that was not used directly in charitable activities or administration, if that amount is greater than $25,000, and

ii.  in any other case, nil;

(c)  G is the aggregate of the amount determined for the year in respect of the charity in accordance with subparagraph ii of subparagraph b of the second paragraph, and 5/4 of the aggregate of the amounts determined in accordance with subparagraph a of the second paragraph and subparagraph i of subparagraph b of the second paragraph; and

(d)  H is

i.  in the case of a private foundation, the amount determined for the year in accordance with subparagraph i of subparagraph c of the second paragraph in respect of the charity, or

ii.  in the case of a charitable organization or a public foundation, 5/4 of the amount determined for the year in accordance with subparagraph ii of subparagraph c of the second paragraph in respect of the charity.

1978, c. 26, s. 192; 1986, c. 15, s. 161; 1988, c. 18, s. 109; 1993, c. 64, s. 123; 1995, c. 49, s. 223; 1997, c. 14, s. 290; 2005, c. 38, s. 220,; [Please refer to the transitional rules when the section 985.9 applies to a taxation year starting before January 1st, 2009: 2005, c. 38, s. 220, par. 2.].