I-3 - Taxation Act

Section 844.12 Disposition versions

2023-09-26

844.12. The rules to which section 844.11 refers and that apply to the transfer of property at any time are as follows:

(a)  the transferee is, at and after that time, deemed to be the same corporation as and a continuation of the transferor in respect of

i.  any amount included under section 844.6 or deducted under section 844.7 in computing the transferor’s income for its transition year that can reasonably be attributed to the transferred business,

ii.  any amount deducted under section 844.8 or included under section 844.9 in computing the transferor’s income for a taxation year of the transferor that begins before that time that can reasonably be attributed to the transferred business, and

iii.  any amount that would–in the absence of this section and if the transferor existed and carried on an insurance business on each day that includes that time or is a subsequent day and on which the transferee carries on an insurance business–be required to be deducted under section 844.8 or included under section 844.9, in respect of any of those days, in computing the transferor’s income that can reasonably be attributed to the transferred business; and

(b)  for the purpose of determining, in respect of the day that includes that time or any subsequent day, any amount that is required to be deducted under section 844.8 or included under section 844.9 in computing the transferor’s income for each particular taxation year from the transferred business, the amount referred to in subparagraph a of the second paragraph of those sections is deemed to be nil.

2010, c. 25, s. 94; 2023, c. 19, s. 79.

2010-10-27

844.12. The rules to which section 844.11 refers and that apply to the transfer of property at any time are as follows:

(a)  the transferee is, at and after that time, deemed to be the same corporation as and a continuation of the transferor in respect of

i.  any amount included under section 844.6 or deducted under section 844.7 in computing the transferor’s income for its transition year that can reasonably be attributed to the transferred business,

ii.  any amount deducted under section 844.8 or included under section 844.9 in computing the transferor’s income for a taxation year of the transferor that begins before that time that can reasonably be attributed to the transferred business, and

iii.  any amount that would–in the absence of this section and if the transferor existed and carried on a life insurance business on each day that includes that time or is a subsequent day and on which the transferee carries on a life insurance business–be required to be deducted under section 844.8 or included under section 844.9, in respect of any of those days, in computing the transferor’s income that can reasonably be attributed to the transferred business; and

(b)  for the purpose of determining, in respect of the day that includes that time or any subsequent day, any amount that is required to be deducted under section 844.8 or included under section 844.9 in computing the transferor’s income for each particular taxation year from the transferred business, the amount referred to in subparagraph a of the second paragraph of those sections is deemed to be nil.

2010, c. 25, s. 94.