I-3 - Taxation Act

Section 976.0.1 Disposition versions

2019-06-19

976.0.1. The amount to which paragraph d of section 976 refers in respect of a policy loan referred to in that paragraph is determined by the formula

A − B.

In the formula in the first paragraph,

(a)  A is the aggregate of

i.  the proceeds of the disposition in respect of the loan,

ii.  if the policy is issued after 31 December 2016 and, in the case where the particular time at which the policy is issued is determined under section 967.1, the repayment is at or after the particular time, the portion of the loan applied, immediately after the loan, to pay a premium under the policy as provided for under the terms and conditions of the policy, except to the extent that the portion is described in subparagraph 1 of subparagraph i of paragraph b.4 of section 966, and

iii.  the amount described in paragraph b of section 976.1, but not including any payment of interest in respect of the loan; and

(b)  B is the aggregate of all amounts each of which is an amount in respect of a repayment of the loan that is deductible under paragraph k of section 157, as it read before being struck out, or paragraph i of section 336, or referred to in subparagraph 2 of subparagraph ii of paragraph a of section 967.

2019, c. 14, s. 288.