Income Tax Act — I-3.3 127.44
n directly related to the installation of property that is described in Class 57 or 58 of Schedule II to the Income Tax Regulations or that is dual-use equipment. ( travaux préliminaires de CUSC ) projected eligible use percentage , in respect of a CCUS project, for a period is the amount, expressed as a percentage, determined by the formula A ÷ B where A is the quantity of captured carbon that the CCUS project is expected, based on the project’s most recent project plan, to support for storage or use in eligible use during the period; and B is the total quantity of captured carbon that the CCUS project is expected, based on the project’s most recent project plan, to support for storage or use in both eligible use and ineligible use during the period. ( pourcentage d’utilisation admissible prévu ) project plan means a plan for a CCUS project that (a) reflects a front-end engineering design study (or an equivalent study as determined by the Minister of Natural Resources) for the CCUS project; (b) describes the quantity of captured carbon that the CCUS project is expected to support for storage or use in each calendar year over its total CCUS project review period, in (i) eligible use, and (ii) ineligible use; (c) contains information required in guidelines published by the Minister of Natural Resources; and (d) is filed with the Minister of Natural Resources, in the form and manner determined by that Minister, (i) before the project’s first day of commercial operations, or (ii) if the project’s first day of commercial operations occurs before the Minister of Natural Resources accepts plan filings, within 90 days after the first day on which such filings are accepted. ( plan de projet ) qualified carbon capture expenditure of a taxpayer for a taxation year means an amount that is the portion of an expenditure incurred by the taxpayer to acquire a property in the year, in respect of a qualified CCUS project of the taxpayer, determined by the formula A × (B + C + D + E) × F where A is, in respect of property acquired by the taxpayer in the year (other than property situated outside of Canada), (a) the capital cost of property described in (and, in the case of property acquired before the first day of commercial operations of the project, verified by the Minister of Natural Resources as being property described in) (i) paragraph (a) of Class 57 in Schedule II to the Income Tax Regulations , or (ii) any of paragraphs (d) to (g) of Class 57 in Schedule II to the Income Tax Regulations in relation to equipment described in paragraph (a) of that Class, or (b) the proportion of the capital cost of dual-use equipment that, (i) if the equipment is described in subparagraph (a)(i) of the definition dual-use equipment in this subsection, or is acquired in relation to such equipment, the amount of energy expected to be produced for use in a qualified CCUS project over the project’s total CCUS project review period is of the total amount of energy expected to be produced by the equipment in that period (determined without regard to energy produced and consumed by the equipment in the process of producing energy), based on the project’s most recent project plan, (ii) if the equipment is described in subparagraph (a)‍(ii) of the definition dual-use equipment in this subsection, or is acquired in relation to such equipment, the mass of water expected to be supplied to a qualified CCUS project over the project’s total CCUS project review period is of the total mass of water expected to be processed by the equipment in that period, based on the project’s most recent project plan, (iii) if the equipment is described in subparagraph (a)(iii) of the definition dual-use equipment in this subsection, or is acquired in relation to such equipment, the amount of electrical energy expected to be transmitted by the equipment for use in a qualified CCUS project over the total CCUS project review period is of the total amount of electrical energy expected to