59. Where the deficit reported in the financial statements of a corporation referred to in section 1136, 1140, 1141 or 1141.1 of the Taxation Act (chapter I‐3) for a taxation year would be nil were it not for the operations of any international financial centre operated by the corporation directly or through a partnership, or where the amount of surplus or retained surpluses and earnings of the corporation reported in its financial statements for that year is less than the amount that would be reported were it not for those operations, the corporation must include in computing its paid-up capital for the year, for the purposes of Part IV of that Act, 75 % of the lesser of(1) the amount that would be the deficit reported in the corporation’s financial statements for the year if only the operations of any international financial centre operated by the corporation or partnership were taken into account ; and
(2) the amount by which the amount that would be the surplus or the retained surpluses and earnings of the corporation reported in its financial statements for the year if the operations of any international financial centre operated by the corporation or partnership were not taken into account, exceeds any amount included as retained surpluses or earnings by the corporation in computing its paid-up capital under paragraph b of subsection 1 of section 1136, paragraph c of section 1140 or 1141 or paragraph d of section 1141.1, as the case may be, of the Taxation Act.