I-4 - Act respecting the application of the Taxation Act

Section 89 Disposition versions

1977-12-31

89. The presumption of acquisition at fair market value set out in paragraph b of section 422 of the Taxation Act (chapter I-3) does not apply to a taxpayer who has acquired property before 1972 unless he has acquired it in circumstances such that if sections 21 of the former Income Tax Act, 11a of the former Corporation Tax Act and 4 of the former Logging Tax Act continued to apply, this fair market value would be deemed paid or payable for purposes of computing income of a taxpayer from a business.

Moreover, the presumption of disposition at fair market value set out in paragraph c of section 422 of the Taxation Act does not apply to a taxpayer who has disposed of property before 1972.

The presumption set out in paragraph a of the said section applies to any acquisition of property by a taxpayer whenever it occurred, before or after the end of 1971.

1972, c. 24, s. 100.