I-3 - Taxation Act

Section 439 Disposition versions

2006-03-01

439. For the purposes of sections 93 to 104, Chapter III of Title III and any regulations made under paragraph a of section 130 or section 130.1, where depreciable property of a prescribed class of a deceased individual is deemed under section 436 to be acquired by a person, except where the individual’s proceeds of disposition of the property under section 436 are redetermined under sections 93.1 to 93.3, and the capital cost to the individual of the property exceeds the amount determined under section 436 to be the cost to the person of the property, the following rules apply:

(a)  the capital cost to the person of the property is deemed to be equal to the capital cost to the individual of the property; and

(b)  the excess is deemed to have been allowed to the person as depreciation in respect of the property for the taxation years that ended before the acquisition.

1972, c. 23, s. 365; 1979, c. 18, s. 29; 1994, c. 22, s. 168; 1995, c. 49, s. 124.