I-0.4 - Mining Tax Act

Section 26.4 Disposition versions

2011-06-06

26.4. The amount that an operator may deduct for a fiscal year, as an additional allowance for a mine situated in Northern Québec, in computing its annual earnings from a mine under subparagraph h of subparagraph 2 of the fourth paragraph of section 8 must not exceed the lesser of

(1)  if the mine is situated

(a)  in the Near North, the amount by which $2,000,000 exceeds the aggregate of all amounts each of which is an amount deducted by the operator in computing its annual earnings from the mine for a preceding fiscal year under subparagraph h of subparagraph 2 of the fourth paragraph of section 8, or

(b)  in the Far North, the amount by which $5,000,000 exceeds the aggregate of all amounts each of which is an amount deducted by the operator in computing its annual earnings from the mine for a preceding fiscal year under subparagraph h of subparagraph 2 of the fourth paragraph of section 8; and

(2)  the part of the operator’s annual earnings from the mine for the fiscal year that is attributable to the operator’s eligibility period in respect of the mine.

Despite the first paragraph, the operator may deduct an amount, as an additional allowance for a mine situated in Northern Québec, in computing its annual earnings from the mine for a fiscal year under subparagraph h of subparagraph 2 of the fourth paragraph of section 8 only if

(1)  the mine has come into production in reasonable commercial quantities after 30 March 2010; and

(2)  the operator may not deduct an amount, as an additional allowance for a northern mine, in computing its annual earnings from the mine for the fiscal year under subparagraph g of subparagraph 2 of the fourth paragraph of section 8.

2011, c. 6, s. 58.