I-3 - Taxation Act

Section 651.2 Disposition versions

2006-03-01

651.2. Where at a particular time the terms that govern a trust are varied, the following rules apply:

(a)  subject to the second paragraph, for the purposes of sections 653 to 656.2, the trust is, at and after that time, deemed to be the same trust as, and a continuation of, the trust immediately before that time;

(b)  for the purposes of the definition of “personal trust” in section 1, paragraph n of section 257, section 686 and the definition of “excluded right or interest” in section 785.0.1, no interest of a beneficiary under the trust before its terms were varied is considered to be consideration for the interest of the beneficiary in that trust whose terms were varied.

Subparagraph a of the first paragraph does not affect the application of subparagraph a.1 of the first paragraph of section 653.

2003, c. 2, s. 154; 2004, c. 8, s. 131.