I-3 - Taxation Act

Section 1029.8.33.17 Disposition versions

2006-03-01

1029.8.33.17. Where, at a particular time, an eligible taxpayer or a qualified partnership pays, pursuant to a legal obligation, a particular amount that may reasonably be considered to be repayment of government assistance that reduced, pursuant to paragraph a or b of section 1029.8.33.16, a particular qualified expenditure of the taxpayer or partnership, as the case may be, for the purpose of computing an amount deemed to have been paid to the Minister for a taxation year under section 1029.8.33.13 or 1029.8.33.14, the following rules apply:

(a)  the particular amount is deemed, for the purposes of those sections 1029.8.33.13 and 1029.8.33.14, to be a qualified expenditure of the taxpayer or partnership, as the case may be, determined at that particular time; and

(b)  the amount that the eligible taxpayer or a taxpayer who is a member of the qualified partnership, as the case may be, is deemed to have paid to the Minister under those sections is deemed

i.  to be

(1)  where the particular qualified expenditure has been determined in respect of the taxpayer, equal to the amount that, were it not for that assistance, would have been deemed to have been paid to the Minister by the taxpayer under section 1029.8.33.13 in respect of the portion of that qualified expenditure corresponding to the assistance so repaid, or

(2)  where the particular qualified expenditure has been determined in respect of the qualified partnership, equal to the amount that, were it not for that assistance and if the taxpayer’s share of the income or loss of the partnership were the same as that determined at the end of the fiscal period of the partnership that includes the particular time, on the assumption that, if the income and loss of the partnership for that fiscal period are nil, the partnership’s income for that fiscal period is equal to $1,000,000, would have been deemed to have been paid to the Minister by the taxpayer under section 1029.8.33.14 in respect of the portion of the taxpayer’s share of that particular qualified expenditure corresponding to the assistance so repaid, and

ii.  paid to the Minister under the same section as the section under which, but for that assistance, the taxpayer would have been deemed to have paid an amount to the Minister in respect of the portion, corresponding to the assistance so repaid, of the particular qualified expenditure determined in the taxpayer’s respect or of the taxpayer’s share of the particular qualified expenditure determined in respect of the partnership, as the case may be.

1997, c. 85, s. 253; 2000, c. 39, s. 141; 2001, c. 7, s. 169; 2002, c. 40, s. 133.