I-3 - Taxation Act

Section 1029.8.36.0.74 Disposition versions

2021-06-04

1029.8.36.0.74. (Repealed).

2000, c. 39, s. 176; 2001, c. 51, s. 228; 2003, c. 9, s. 270; 2009, c. 15, s. 253; 2021, c. 18, s. 121.

2009-06-04

1029.8.36.0.74. Where, in a fiscal period, a partnership carries on a recognized business in connection with which it incurs acquisition costs in respect of qualified property or pays rental expenses in respect of such property, each corporation that is a member of the partnership at the end of the fiscal period, that is not an excluded corporation for its taxation year in which the fiscal period ends is deemed, subject to the fourth paragraph, to have paid to the Minister on the corporation’s balance-due day for that year, on account of its tax payable for the year under this Part, an amount equal to 25% of the corporation’s share of the acquisition costs or rental expenses, as the case may be, if it encloses with its fiscal return it is required to file for that taxation year under section 1000 the documents referred to in the second paragraph.

The documents to which the first paragraph refers are the following:

(a)  the prescribed form containing the prescribed information; and

(b)  a copy of the valid certificate issued to the partnership in respect of the qualified property and referred to in the definition of “qualified property” in the first paragraph of section 1029.8.36.0.72.

For the purposes of the first paragraph, a corporation’s share of the acquisition costs incurred or rental expenses paid by a partnership in a fiscal period is equal to the agreed proportion of the costs in respect of the corporation for that fiscal period.

For the purpose of computing the payments that a corporation referred to in the first paragraph is required to make under subparagraph a of the first paragraph of section 1027, or any of sections 1145, 1159.7, 1175 and 1175.19 where they refer to that subparagraph a, for its taxation year in which the fiscal period of the partnership ends, the corporation is deemed to have paid to the Minister, on account of the aggregate of its tax payable for the year under this Part and of its tax payable for the year under Parts IV, IV.1, VI and VI.1, on the date on or before which each payment is required to be made, an amount equal to the lesser of

(a)  the amount by which the amount determined under the first paragraph for the year exceeds the aggregate of all amounts each of which is the portion of that amount that may reasonably be considered to be deemed to have been paid to the Minister under this paragraph in the year but before that date; and

(b)  the amount by which the amount of that payment, determined without reference to this chapter, exceeds the aggregate of all amounts each of which is an amount that is deemed, under this chapter but otherwise than under the first paragraph, to have been paid to the Minister on that date, for the purpose of computing that payment.

2000, c. 39, s. 176; 2001, c. 51, s. 228; 2003, c. 9, s. 270; 2009, c. 15, s. 253.

2006-03-01

1029.8.36.0.74. Where, in a fiscal period, a partnership carries on a recognized business in connection with which it incurs acquisition costs in respect of qualified property or pays rental expenses in respect of such property, each corporation that is a member of the partnership at the end of the fiscal period, that is not an excluded corporation for its taxation year in which the fiscal period ends is deemed, subject to the fourth paragraph, to have paid to the Minister on the corporation’s balance-due day for that year, on account of its tax payable for the year under this Part, an amount equal to 25% of the corporation’s share of the acquisition costs or rental expenses, as the case may be, if it encloses with its fiscal return it is required to file for that taxation year under section 1000 the documents referred to in the second paragraph.

The documents to which the first paragraph refers are the following:

(a)  the prescribed form containing the prescribed information; and

(b)  a copy of the valid certificate issued to the partnership in respect of the qualified property and referred to in the definition of “qualified property” in the first paragraph of section 1029.8.36.0.72.

For the purposes of the first paragraph, a corporation’s share of the acquisition costs incurred or rental expenses paid by a partnership in a fiscal period is equal to such proportion of the costs or expenses as the corporation’s share of the income or loss of the partnership for the fiscal period is of the income or loss of that partnership for that fiscal period, 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.

For the purpose of computing the payments that a corporation referred to in the first paragraph is required to make under subparagraph a of the first paragraph of section 1027, or any of sections 1145, 1159.7, 1175 and 1175.19 where they refer to that subparagraph a, for its taxation year in which the fiscal period of the partnership ends, the corporation is deemed to have paid to the Minister, on account of the aggregate of its tax payable for the year under this Part and of its tax payable for the year under Parts IV, IV.1, VI and VI.1, on the date on or before which each payment is required to be made, an amount equal to the lesser of

(a)  the amount by which the amount determined under the first paragraph for the year exceeds the aggregate of all amounts each of which is the portion of that amount that may reasonably be considered to be deemed to have been paid to the Minister under this paragraph in the year but before that date; and

(b)  the amount by which the amount of that payment, determined without reference to this chapter, exceeds the aggregate of all amounts each of which is an amount that is deemed, under this chapter but otherwise than under the first paragraph, to have been paid to the Minister on that date, for the purpose of computing that payment.

2000, c. 39, s. 176; 2001, c. 51, s. 228; 2003, c. 9, s. 270.