Income Tax Act — I-3.3 18.2
ntity in respect of the taxpayer; and (b) would, in the absence of subsection (19), be included in (i) if the amount is paid or payable by the affiliate, the affiliate’s relevant affiliate interest and financing expenses for the affiliate taxation year and the other affiliate’s relevant affiliate interest and financing revenues for an affiliate taxation year, or (ii) if the amount is received or receivable by the affiliate, the affiliate’s relevant affiliate interest and financing revenues for the affiliate taxation year and the other affiliate’s relevant affiliate interest and financing expenses for an affiliate taxation year. ( intérêts pertinents entre sociétés affiliées ) special purpose loss corporation , for a taxation year, means a particular corporation that (a) is an eligible group entity in respect of a financial holding corporation to which the particular corporation has interest paid or payable in the year; (b) is formed or exists solely for the purpose of generating a loss of the particular corporation from the interest; and (c) would, in the absence of this section, have a loss for the year resulting from the interest that is, or will be, utilized exclusively by a financial institution group entity that is an eligible group entity in respect of the particular corporation. ( société à usage déterminé ayant subi des pertes ) specified participating percentage of a taxpayer, in respect of a controlled foreign affiliate of the taxpayer for an affiliate taxation year, means the percentage that would be the taxpayer’s aggregate participating percentage (as defined in subsection 91(1.3)), determined without regard to clause 95(2)(f.11)(ii)(D), in respect of the affiliate for the affiliate taxation year, if the definition participating percentage in subsection 95(1) were read without reference to (a) its paragraph (a); and (b) the portion of its paragraph (b) before its subparagraph (b)(i). ( pourcentage de participation déterminé ) specified pre-regime loss of a taxpayer, in respect of a taxation year, means the taxpayer’s non-capital loss for a preceding taxation year, if (a) the preceding year ends before February 4, 2022; (b) the taxpayer files with the Minister, in respect of the loss, an election in writing in prescribed manner under this definition; (c) the election specifies (i) the loss, (ii) each amount deducted, in respect of the loss, by the taxpayer under paragraph 111(1)(a) in computing its taxable income (A) for the year, and (B) each taxation year that precedes the year, and (iii) the taxpayer’s adjusted taxable income for the year; and (d) the election is filed on or before the filing-due date of the taxpayer for the year. ( perte antérieure au régime déterminée ) tax-indifferent means a person or partnership that is (a) a person exempt from tax under section 149; (b) a non-resident person; (c) a partnership more than 50% of the fair market value of all interests in which can reasonably be considered to be held, directly or indirectly through one or more trusts or partnerships, by any combination of persons described in paragraph (a) or (b); or (d) a trust resident in Canada if more than 50% of the fair market value of all interests as beneficiaries under the trust can reasonably be considered to be held, directly or indirectly through one or more trusts or partnerships, by any combination of persons described in paragraph (a) or (b). ( indifférent relativement à l’impôt ) taxpayer has the meaning assigned by subsection 248(1), but does not include a natural person or a partnership. ( contribuable ) transaction includes an arrangement or event. ( opération ) transferred capacity means an amount of transferred capacity of a transferor for a taxation year as determined under subsection (4). ( capacité transférée ) Excessive interest and financing expenses limitation (2) Notwithstanding any other provision of this Act, in computing the income for a taxation year of a taxpayer (other than an excluded entity