I-3 - Taxation Act

Section 190 Disposition versions

2019-06-19

190. Where an individual who was the sole proprietor of a business disposed of it during a fiscal period of the business, the fiscal period is referred to in the third or fourth paragraph of section 7 and the individual makes a valid election under subsection 1 of section 25 of the Income Tax Act (R.S.C. 1985, c. 1, (5th Suppl.)) after 19 December 2006 in relation to the fiscal period, Division II of Chapter II is to be read without reference to the exception provided for in paragraph a of section 95, for the purpose of computing the individual’s income for the fiscal period.

Chapter V.2 of Title II of Book I applies in relation to an election made under subsection 1 of section 25 of the Income Tax Act.

1972, c. 23, s. 179; 1984, c. 15, s. 48; 1986, c. 19, s. 37; 1997, c. 31, s. 24; 2009, c. 5, s. 67; 2019, c. 14, s. 89.

2009-05-15

190. If an individual who was the sole proprietor of a business disposed of it during a fiscal period of the business, the fiscal period is referred to in the third or fourth paragraph of section 7 and the individual makes a valid election under subsection 1 of section 25 of the Income Tax Act (R.S.C. 1985, c. 1 (5th Suppl.)) after 19 December 2006 in relation to the fiscal period, Division II of Chapter II is to be read without reference to the exception provided for in paragraph a of section 95 and sections 188 and 189 are to be read without reference to paragraph d of section 188, for the purpose of computing the individual’s income for the fiscal period.

Chapter V.2 of Title II of Book I applies in relation to an election made under subsection 1 of section 25 of the Income Tax Act.

1972, c. 23, s. 179; 1984, c. 15, s. 48; 1986, c. 19, s. 37; 1997, c. 31, s. 24; 2009, c. 5, s. 67.

2006-03-01

190. (1)  Where an individual who was the sole proprietor of a business disposed of it during a fiscal period of the business, the fiscal period is, if the individual so elects and section 7.0.3 does not apply in respect of the business, deemed to have ended at the time it would have ended if the individual had not disposed of the business during the fiscal period.

(2)  An election under subsection 1 is not valid unless the individual is resident in Canada at the time when the fiscal period of the individual would, if the election were valid, be deemed to have ended.

(3)  For the purposes of computing the income of a taxpayer for the fiscal period of a business to which subsection 1 applies, Division II of Chapter II shall be read without reference to the exception provided for in paragraph a of section 95 and sections 188 and 189 shall be read without reference to paragraph d of the said section 188.

1972, c. 23, s. 179; 1984, c. 15, s. 48; 1986, c. 19, s. 37; 1997, c. 31, s. 24.