Income Tax Regulations — (a)
Property (other than property included in Class 41.1, 41.2, 57 or 58) (a) not included in Class 28 that would otherwise be included in that Class if that Class were read without reference to paragraph (a) of that Class, and if subparagraphs (e)(i) to (iii) of that Class were read as follows: “(i) property that was acquired before the mine came into production and that would, but for this Class, be included in Class 10 because of paragraph (g), (k), (l) or (r) of that Class or would have been so included in that Class if it had been acquired after the 1971 taxation year, and property that would, but for this Class, be included in Class 41 because of subsection 1102(8) or (9), (ii) property that was acquired before the mine came into production and that would, but for this Class, be included in Class 10 because of paragraph (m) of that Class, or (iii) property that was acquired after the mine came into production and that would, but for this Class, be included in Class 10 because of paragraph (g), (k), (l) or (r) of that Class, and property that would, but for this Class, be included in Class 41 because of subsection 1102(8) or (9);” (a.1) that is the portion, expressed as a percentage determined by reference to capital cost, of property that (i) would, but for this Class, be included in Class 10 because of paragraph (g), (k) or (l) of that Class, or that is included in this Class because of subsection 1102(8) or (9), (ii) is not described in paragraph (a) or (a.2), (iii) was acquired by the taxpayer principally for the purpose of gaining or producing income from one or more mines that are operated by the taxpayer and situated in Canada, and that became available for use for the purpose of subsection 13(26) of the Act in a taxation year, and (iv) had not, before it was acquired by the taxpayer, been used for any purpose by any person or partnership with whom the taxpayer was not dealing at arm’s length, where that percentage is determined by the formula 100 × (([A - (B × 365 / C)]) / A) where A is the total of all amounts each of which is the capital cost of a property of the taxpayer that became available for use for the purpose of subsection 13(26) of the Act in the year and that is described in subparagraphs (i) to (iv) in respect of the mine or mines, as the case may be, B is 5% of the taxpayer’s gross revenue from the mine or mines, as the case may be, for the year, and C is the number of days in the year; (a.2) that (i) is property that would, but for this Class, be included in Class 10 because of paragraph (g), (k) or (l) of that Class or that is included in this Class because of subsection 1102(8) or (9), (ii) was acquired by the taxpayer in a taxation year principally for the purpose of gaining or producing income from one or more mines each of which (A) is one or more wells operated by the taxpayer for the extraction of material from a deposit of bituminous sands or oil shales, operated by the taxpayer and situated in Canada, (B) was the subject of a major expansion after March 6, 1996, and (C) is a mine in respect of which the Minister, in consultation with the Minister of Natural Resources, determines that the greatest designed capacity of the mine, measured in volume of oil that is not beyond the crude oil stage or its equivalent, immediately after the expansion was not less than 25% greater than the greatest designed capacity of the mine immediately before the expansion, (iii) was acquired by the taxpayer (A) after March 6, 1996, (B) before the completion of the expansion, and (C) in the course of and principally for the purposes of the expansion, and (iv) had not, before it was acquired by the taxpayer, been used for any purpose by any person or partnership with whom the taxpayer was not dealing at arm’s length; (a.3) that is property included in this Class because of subsection 1102(8) or (9), other than property described in paragraph (a) or (a.2) or the portion of property described in paragraph (a.1); (b) that