Income Tax Act — I-3.3 127
e expenditure, as the case may be. (e) and (f) [Repealed, 1996, c. 21, s. 30] Time of acquisition (11.2) In applying subsections (5), (7) and (8), paragraphs (a) and (a.1) of the definition investment tax credit in subsection (9) and section 127.1, qualified property and first term shared-use-equipment are deemed not to have been acquired by a taxpayer — and expenditures incurred to acquire property described in paragraph 37(1)(b) are deemed not to have been incurred — before the property is considered to have become available for use by the taxpayer, determined without reference to paragraphs 13(27)(c) and (28)(d). Decertification of approved project property (11.3) For the purposes of the definition approved project property in subsection 127(9), a property that has been certified by the Minister of Regional Industrial Expansion, the Minister of Industry, Science and Technology or the member of the Queen’s Privy Council for Canada appointed to be the Minister for the purposes of the Atlantic Canada Opportunities Agency Act may have its certification revoked by the latter Minister where (a) an incorrect statement was made in the furnishing of information for the purpose of obtaining the certificate, or (b) the taxpayer does not conform to the plan described in that definition, and a certificate that has been so revoked shall be void from the time of its issue. Special rule for eligible salary and wages — apprentices (11.4) For the purpose of the definition eligible salary and wages in subsection (9), the eligible salary and wages payable by a taxpayer in a taxation year to an eligible apprentice in respect of the eligible apprentice’s employment in the taxation year is, if the eligible apprentice is employed by any other taxpayer who is related to the taxpayer (including a partnership that has a member that is related to the taxpayer) in the calendar year that includes the end of the taxpayer’s taxation year, deemed to be nil unless the taxpayer is designated in prescribed form by all of those related taxpayers to be the only employer of the eligible apprentice for the purpose of the taxpayer applying that definition to the salary and wages payable by the taxpayer to the eligible apprentice in that taxation year, in which case (a) the eligible salary and wages payable by the taxpayer in the taxation year to the eligible apprentice in respect of the eligible apprentice’s employment in the taxation year shall be the amount determined without reference to this subsection; and (b) the eligible salary and wages payable to the eligible apprentice by each of the other related taxpayers in their respective taxation years that end in the calendar year is deemed to be nil. Adjustments to qualified expenditures (11.5) For the purposes of the definition qualified expenditure in subsection (9), (a) the amount of an expenditure (other than a prescribed proxy amount) incurred by a taxpayer in a taxation year is deemed to be the amount of the expenditure determined without reference to subsections 13(7.1) and (7.4) and after the application of subsection (11.6); and (b) the amount of an expenditure incurred by a taxpayer in the taxation year that ends coincidentally with the end of the first period (within the meaning assigned in the definition first term shared-use-equipment in subsection (9)) or the second period (within the meaning assigned in the definition second term shared-use-equipment in subsection (9)) in respect of first term shared-use-equipment or second term shared-use-equipment, respectively, of the taxpayer is deemed to be 1/4 of the capital cost of the equipment determined after the application of subsection (11.6) in accordance with the following rules: (i) the capital cost to the taxpayer must be computed as if no amount were added because of section 21, and (ii) the capital cost to the taxpayer is determined without reference to subsections 13(7.1) and (7.4). Non-arm’s length costs (11.6) For the purpose of subsection 127