Federal-Provincial Fiscal Arrangements Regulations, 2007 — Federal-Provincial Fiscal Arrangements Regulations, 2007
allocated corporation taxable income means, in relation to a province or territory for a fiscal year, the amount, calculated in respect of corporations — other than non-resident-owned investment corporations, as defined in subsection 133(8) of the Income Tax Act , and corporations that are prescribed federal Crown corporations for the purpose of section 27 of that Act and are agents of Her Majesty — on the basis of assessments or reassessments completed by the Canada Revenue Agency no later than December 31 of the calendar year that ends in the following fiscal year, determined by the formula A + (D × W) where A is the amount determined by the formula B - C where B is the sum of the corporations’ taxable income earned in the province or territory within the meaning of Part IV of the Income Tax Regulations for their taxation years ending in the calendar year that ends in the fiscal year — and for earlier taxation years, if that taxable income was not counted in their taxable income for those earlier years — in respect of which they are not eligible for a deduction under subsection 125(1) of the Income Tax Act , and C is the aggregate, over all assessments and reassessments completed in respect of investment corporations or mutual fund corporations, of the amounts determined by the formula G/H where G is the capital gains refund payable to the corporation under the Income Tax Act that constitutes income earned in the province or territory within the meaning of Part IV of the Income Tax Regulations for the corporation’s taxation year ending in the calendar year that ends in the fiscal year or for any earlier taxation year for which the refund was not taken into account in this calculation in relation to a previous fiscal year, and H is the percentage referred to in paragraph (a) of the description of A in the definition refundable capital gains tax on hand in subsection 131(6) of the Income Tax Act that applies to the taxation year for which the capital gains refund is payable; D is the sum of the corporations’ taxable income earned in the province or territory within the meaning of Part IV of the Income Tax Regulations for their taxation years ending in the calendar year that ends in the fiscal year — and for earlier taxation years, if that taxable income was not counted in their taxable income for those earlier years — in respect of which they are eligible for a deduction under subsection 125(1) of the Income Tax Act ; and W is the amount determined by the formula E/F where E is the aggregate, over all provinces and territories, of the amounts determined by the formula I × (D/J) where I is the small business tax rate under each province or territory’s income tax legislation that applies, as a result of the application of the provincial or territorial small business deduction, to income in respect of which the corporation is eligible for that deduction in the calendar year that ends in the fiscal year, D is the amount determined for D in the first formula in this definition, and J is the aggregate, over all provinces and territories, of the amounts determined for D, and F is the aggregate, over all provinces and territories, of the amounts determined by the formula K × (A/L) where K is each province or territory’s general corporate income tax rate for the calendar year that ends in the fiscal year, A has the same meaning as set out above, and L is the aggregate, over all provinces and territories, of the amounts determined for A for all the provinces and territories. ( revenu imposable réparti des personnes morales )