Income Tax Act — I-3.3 127.44
cribed in) (a) paragraph (b) of Class 57 in Schedule II to the Income Tax Regulations , or (b) any of paragraphs (d) to (g) of Class 57 in Schedule II to the Income Tax Regulations in relation to equipment described in paragraph (b) of that Class; B is (a) if the time of the expenditure is after the first project period, nil, or (b) in any other case, the projected eligible use percentage for the first project period; C is (a) if the time of the expenditure is after the second project period, nil, or (b) in any other case, the projected eligible use percentage for the second project period; D is (a) if the time of the expenditure is after the third project period, nil, or (b) in any other case, the projected eligible use percentage for the third project period; E is the projected eligible use percentage for the fourth project period; and F is (a) if the time of the expenditure is before the second project period, 0.25, (b) if the time of the expenditure is during the second project period, 0.33, (c) if the time of the expenditure is during the third project period, 0.5, and (d) if the time of the expenditure is during the fourth project period, 1. ( dépense admissible pour le transport du carbone ) qualified carbon use expenditure of a taxpayer for a taxation year means an amount that is the capital cost incurred by the taxpayer to acquire in the year, in respect of a qualified CCUS project of the taxpayer, a property (other than property situated outside of Canada) that is (a) 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) any of paragraphs (a) to (e) of Class 58 in Schedule II to the Income Tax Regulations ; and (b) expected, based on the qualified CCUS project’s most recent project plan before the time the expenditure is incurred, to support storage or use of captured carbon solely in a manner described in paragraph (b) of the definition of eligible use . ( dépense admissible pour l’utilisation du carbone ) qualified CCUS expenditure means a (a) qualified carbon capture expenditure; (b) qualified carbon transportation expenditure; (c) qualified carbon storage expenditure; or (d) qualified carbon use expenditure. ( dépense de CUSC admissible ) qualified CCUS project means a CCUS project of a taxpayer that meets the following conditions: (a) it is expected, based on the project’s most recent project plan, to support the capture of carbon dioxide in Canada for a period that is at least equal to the total CCUS project review period for the project; (b) an initial project evaluation has been issued by the Minister of Natural Resources, in the form and manner determined by the Minister of Natural Resources, in respect of the project; (c) based on the most recent project plan for the project, its projected eligible use percentage equals or exceeds 10% in each of the following periods: (i) if the first project period begins after September of a calendar year, the period beginning on the first day of commercial operations and ending on December 31 of the following calendar year, and (ii) each calendar year of the project’s total CCUS project review period, other than a period that includes a year referred to in subparagraph (i); and (d) it is not a project that is (i) operated to service a unit (as defined under the Reduction of Carbon Dioxide Emissions from Coal-fired Generation of Electricity Regulations ) for which the commissioning date (as defined under the Reduction of Carbon Dioxide Emissions from Coal-fired Generation of Electricity Regulations ) was on or before April 7, 2022, and (ii) undertaken for the purpose of complying with emission standards that apply, or will apply, under the Reduction of Carbon Dioxide Emissions from Coal-fired Generation of Electricity Regulations . ( projet de CUSC admissible ) qualified concrete storage process means a process evaluated against the ISO