I-3 - Taxation Act

Section 752.0.10.13 Disposition versions

2017-12-07

752.0.10.13. The rules set out in section 752.0.10.14 apply in respect of a gift made by an individual of a work of art that meets any of the following conditions if the gift is described in the definition of “total charitable gifts” in the first paragraph of section 752.0.10.1 or if the work of art is a cultural property described in section 232:

(a)  the work of art was created by the individual and is in the individual’s inventory;

(b)  the work of art was acquired by the individual under circumstances where section 430 applied; or

(c)  if the individual is a succession that arose on and as a consequence of the death of another individual who created the work of art, the work of art was in the other individual’s inventory immediately before the death.

1993, c. 64, s. 67; 1995, c. 49, s. 236; 2003, c. 2, s. 221; 2009, c. 5, s. 284; 2017, c. 29, s. 144.

2009-05-15

752.0.10.13. Subject to section 752.0.10.14, where at any time an individual makes a gift, described in either of the definitions of “total Crown gifts” and “total charitable gifts” in the first paragraph of section 752.0.10.1, of a work of art created by the individual that is property in the individual’s inventory, or acquired under circumstances where section 430 applied, and at that time the fair market value of the work of art exceeds its cost amount to the individual, the following rules apply:

(a)  where the gift is made by reason of the death of the individual, the gift is deemed to have been made immediately before the death; and

(b)  if the individual or the individual’s legal representative designates, after 19 December 2006 and in accordance with subsection 7 of section 118.1 of the Income Tax Act (R.S.C. 1985, c. 1 (5th Suppl.)), an amount in respect of the gift, the lesser of the fair market value of the work of art otherwise determined and the greatest of the amount of the advantage in respect of the gift, the cost amount to the individual of the work of art and the amount designated in respect of the gift in accordance with that subsection 7 is deemed to be both the individual’s proceeds of disposition of the work of art and, for the purposes of section 7.21, the fair market value of the gift.

Chapter V.2 of Title II of Book I applies in relation to a designation made under subsection 7 of section 118.1 of the Income Tax Act or in relation to a designation made under this section before 20 December 2006.

1993, c. 64, s. 67; 1995, c. 49, s. 236; 2003, c. 2, s. 221; 2009, c. 5, s. 284.

2006-03-01

752.0.10.13. Subject to section 752.0.10.14, where at any time an individual makes a gift, described in either of the definitions of “total Crown gifts” and “total charitable gifts” in the first paragraph of section 752.0.10.1, of a work of art created by the individual that is property in the individual’s inventory, or acquired under circumstances where section 430 applied, and at that time the fair market value of the work of art exceeds its cost amount to the individual, the following rules apply:

(a)  where the gift is made by reason of the death of the individual, the gift is deemed to have been made immediately before the death; and

(b)  the individual or the individual’s legal representative may designate in the fiscal return required to be filed by or for the individual under section 1000 for the year in which the gift is made, an amount that is deemed to be for the individual, the proceeds of disposition of the work of art and, for the purposes of section 752.0.10.1, the fair market value of the gift, that must not be greater than the fair market value nor less than the cost amount to the individual of the work of art at that time.

1993, c. 64, s. 67; 1995, c. 49, s. 236; 2003, c. 2, s. 221.