Income Tax Act — I-3.3 13
axpayer of the vehicle, E is the amount determined under paragraph (7.1)(d) in respect of the vehicle at the time of disposition, F is the maximum amount determined for C in the definition undepreciated capital cost in subsection (21) in respect of the vehicle, G is the amount determined under paragraph (7.1)(f) in respect of the vehicle at the time of disposition, and H is the maximum amount determined for J in the definition undepreciated capital cost in subsection (21) in respect of the vehicle. Deemed capital cost of certain property (7.1) For the purposes of this Act, where section 80 applied to reduce the capital cost to a taxpayer of a depreciable property or a taxpayer deducted an amount under subsection 127(5) or (6), 127.44(3), 127.45(6), 127.48(3), 127.49(6) or 127.491(10) in respect of a depreciable property or received or is entitled to receive assistance from a government, municipality or other public authority in respect of, or for the acquisition of, depreciable property, whether as a grant, subsidy, forgivable loan, deduction from tax, investment allowance or as any other form of assistance other than (a) an amount described in paragraph 37(1)(d), (b) an amount deducted as an allowance under section 65, (b.1) an amount included in income by virtue of paragraph 12(1)(u) or 56(1)(s), or (b.2) an amount received as an excluded loan as defined in subsection 12(11), the capital cost of the property to the taxpayer at any particular time shall be deemed to be the amount, if any, by which the total of (c) the capital cost of the property to the taxpayer, determined without reference to this subsection, subsection 13(7.4) and section 80, and (d) such part, if any, of the assistance as has been repaid by the taxpayer, pursuant to an obligation to repay all or any part of that assistance, in respect of that property before the disposition thereof by the taxpayer and before the particular time exceeds the total of (e) where the property was acquired in a taxation year ending before the particular time, all amounts deducted under subsection 127(5) or (6), 127.44(3), 127.45(6), 127.48(3), 127.49(6) or 127.491(10) by the taxpayer for a taxation year ending before the particular time, (f) the amount of assistance the taxpayer has received or is entitled, before the particular time, to receive, and (g) all amounts by which the capital cost of the property to the taxpayer is required because of section 80 to be reduced at or before that time, in respect of that property before the disposition thereof by the taxpayer. Receipt of public assistance (7.2) For the purposes of subsection 13(7.1), where at any time a taxpayer who is a beneficiary of a trust or a member of a partnership has received or is entitled to receive assistance from a government, municipality or other public authority whether as a grant, subsidy, forgivable loan, deduction from tax, investment allowance or as any other form of assistance, the amount of the assistance that may reasonably be considered to be in respect of, or for the acquisition of, depreciable property of the trust or partnership shall be deemed to have been received at that time by the trust or partnership, as the case may be, as assistance from the government, municipality or other public authority for the acquisition of depreciable property. Control of corporations by one trustee (7.3) For the purposes of paragraph (7)(e), where at a particular time one corporation would, but for this subsection, be related to another corporation by reason of both corporations being controlled by the same executor, liquidator of a succession or trustee and it is established that (a) the executor, liquidator or trustee did not acquire control of the corporations as a result of one or more estates or trusts created by the same individual or by two or more individuals not dealing with each other at arm’s length, and (b) the estate or trust under which the executor, liquidator or trustee acquired control of each