Income Tax Act — I-3.3 127.45
to upgrade the combustibility of specified waste material, other than spent pulping liquor, used all or substantially all to operate equipment described in this subparagraph or in subparagraph (i) or (ii), (iv) equipment for the distribution of heat energy within the system, (v) equipment that is physically and functionally integrated with equipment described in any of subparagraphs (i) to (iv) and that is ancillary equipment (such as control equipment) used primarily to support the functioning of equipment described in subparagraphs (i) to (iv), or (vi) described in any of subparagraphs (i) to (v) that is incorporated into a system that would not otherwise be described in paragraph (a) if the incorporation causes the system to satisfy the description in paragraph (a); and (c) is not (i) equipment used for the purpose of producing heat energy to operate electrical generating equipment, (ii) a building or other structure, (iii) equipment used to export heat energy from the system, (iv) equipment for the storage of feedstock or fuel, (v) pollution abatement equipment, (vi) a vehicle, or (vii) property described in any of Class 17, 57 or 58 of Schedule II to the Income Tax Regulations . ( matériel générateur de chaleur à partir de déchets de biomasse ) Interpretive rule — small nuclear energy property (1.1) For the purpose of this section, where a qualifying taxpayer has a leasehold interest in a small nuclear energy property (a) subject to subsection (4), the taxpayer is deemed to acquire the property when it acquires the leasehold interest in the property; (b) the capital cost of the leasehold interest in the property to the taxpayer is deemed to be its capital cost of the property; and (c) the property is deemed to be disposed of by the taxpayer when it ceases to hold the leasehold interest in the property for proceeds of disposition equal to the fair market value of the property at the time it ceases to hold the leasehold interest. Clean technology investment tax credit (2) If a qualifying taxpayer files with its return of income for a taxation year a prescribed form containing prescribed information, the taxpayer is deemed to have paid on its balance-due day for the year an amount on account of the taxpayer’s tax payable under this Part for the year equal to the taxpayer’s clean technology investment tax credit for the year. Time limit for application (3) A payment on account of tax payable shall not be deemed to be paid under subsection (2) if the taxpayer does not file with the Minister the prescribed form containing prescribed information referred to in subsection (2) in respect of the amount on or before the later of December 31, 2026 and the day that is one year after the taxpayer’s filing-due date for the year and, if the prescribed form is filed after the taxpayer’s filing-due date for the year, no payment by the taxpayer is deemed to arise under that subsection until the prescribed form containing the prescribed information has been filed with the Minister. Time of acquisition (4) For the purpose of this section, clean technology property is deemed not to have been acquired by a taxpayer 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). Special rules — adjustments (5) For the purpose of the definition clean technology investment tax credit in subsection (1), the capital cost of clean technology property to a taxpayer shall (a) not include any amount (i) in respect of which an amount was previously deducted under this section by any person, (ii) in respect of which any other clean economy tax credit (as defined in subsection 127.47(1)) was deducted by any person, (ii.1) in respect of any part of the capital cost of a property if a CCUS tax credit (as defined in subsection 127.44(1)) or a clean hydrogen tax credit (as defined in subsection 127.48(1)) was deducted by any person in respect of that property, (iii) that has,