I-3 - Taxation Act

Section 851.30 Disposition versions

2009-05-15

851.30. For the purposes of paragraph a of section 657 and sections 657.1 and 663, in relation to a trust referred to in section 851.25, in respect of a congregation that, for a taxation year, makes the election referred to in the first paragraph of section 851.28, and subject to the third paragraph, the amount payable in the taxation year to a particular participating member of the congregation out of the income of the trust, determined without reference to paragraph a of section 657 and section 657.1, is the amount determined by the formula

A × B/C.

In the formula provided for in the first paragraph,

(a)  A is the taxable income of the trust for the year, determined without reference to paragraph a of section 657, section 657.1 and specified tax consequences for the year;

(b)  B is the amount determined for the year in respect of the particular participating member, under paragraph a of subsection 2 of section 143 of the Income Tax Act (R.S.C. 1985, c. 1 (5th Suppl.)), because of the election; and

(c)  C is the value, in respect of the trust for the year, of A in the formula in paragraph a of subsection 2 of section 143 of the Income Tax Act;

(d)  (subparagraph repealed);

(e)  (subparagraph repealed);

(f)  (subparagraph repealed).

However, when C in the formula in the first paragraph is, in respect of the trust for the year, an amount equal to zero, the amount determined by that formula for the year in respect of the particular participating member is deemed to be equal to zero.

1978, c. 26, s. 166; 2001, c. 53, s. 177; 2009, c. 5, s. 360.

2006-03-01

851.30. For the purposes of paragraphs a and b of section 657 and of section 663, in relation to a trust referred to in section 851.25, in respect of a congregation that elects in accordance with section 851.28 to have this section apply for a taxation year, the amount payable in the taxation year to a particular participating member of the congregation out of the income of the trust, determined without reference to paragraphs a and b of that section 657, is the amount determined by the formula

0.8 (A × B / C) + D + (0.2 A − E) / F.

In the formula provided for in the first paragraph,

(a)  A is the taxable income of the trust for the year, determined without reference to paragraphs a and b of section 657 and specified tax consequences for the year;

(b)  B is, where the particular participating member is identified in the election as a member to whom this section applies, in this section and section 851.31 referred to as a “designated member”, 1, and in any other case, 0.5;

(c)  C is the aggregate of the number of designated members of the congregation and 1/2 of the number of other participating members of the congregation in respect of the year;

(d)  D is the amount that is specified in the election as an additional allocation under this section to the particular participating member;

(e)  E is the aggregate of all amounts each of which is an amount specified in the election as an additional allocation under this section to a participating member of the congregation in respect of the year; and

(f)  F is the number of participating members of the congregation in respect of the year.

1978, c. 26, s. 166; 2001, c. 53, s. 177.