43.12 (1) A corporation that is an eligible sound recording company for a taxation year and complies with the requirements of this section may deduct from its tax otherwise payable under this Part for a taxation year, after making all the deductions for the taxation year claimed under sections 39, 40, 41, 43 and 43.3 to 43.11, an amount not exceeding the amount of its Ontario sound recording tax credit for the taxation year.  1998, c. 34, s. 43; 2004, c. 16, s. 2 (2). Same (2) A corporation referred to in subsection (1) that complies with the requirements of this section may deduct from its tax otherwise payable for the year under Parts III and IV an amount not exceeding the amount by which its Ontario sound recording tax credit for the taxation year exceeds the maximum amount, if any, deductible by the corporation for the year under subsection (1).  1998, c. 34, s. 43; 2004, c. 16, s. 2 (2). Amount of tax credit (3) The amount of a corporation’s Ontario sound recording tax credit for a taxation year is the sum of all amounts, each of which is in respect of an eligible Canadian sound recording in relation to which the corporation is an eligible sound recording company and each of which is equal to the lesser of “A” and “B”, where, “A” is 20 per cent of the qualifying expenditures incurred by the corporation after January 1, 1999 and before the end of the taxation year in respect of the recording to the extent that the expenditures were not included in determining the amount of the corporation’s available tax credit under this section for a prior taxation year, and “B” is an amount calculated in the manner prescribed by the regulations for the purposes of this subsection.  1998, c. 34, s. 43; 2004, c. 16, s. 2 (2). Corporate partner (4) If a corporation is a member of a partnership at the end of a fiscal period of the partnership in which the partnership would qualify for an Ontario sound recording tax credit in respect of one or more eligible Canadian sound recordings if the partnership were a corporation whose fiscal period was its taxation year, and if the corporation would be an eligible sound recording company for the taxation year in relation to the eligible Canadian sound recordings, the portion of the Ontario sound recording tax credit to which the partnership would be entitled if it were a corporation that may reasonably be considered to be the corporation’s share may be included in determining the amount of the corporation’s Ontario sound recording tax credit for the corporation’s taxation year.  1998, c. 34, s. 43; 2004, c. 16, s. 2 (2). Limited partner (5) Despite subsection (4), a limited partner’s share of an Ontario sound recording tax credit to which a partnership would be entitled if it were a corporation shall be deemed to be nil.  1998, c. 34, s. 43; 2004, c. 16, s. 2 (2). Application for certificate (6) In order to be eligible to deduct or claim an amount in respect of an Ontario sound recording tax credit under this section in respect of a sound recording, a corporation shall apply to the Ontario Media Development Corporation or a person designated by the Minister of Culture for certification that the sound recording is an eligible Canadian sound recording and that the corporation is an eligible sound recording company for the taxation year in relation to the eligible Canadian sound recording for the purposes of this section.  1998, c. 34, s. 43; 2004, c. 16, s. 2 (2); 2005, c. 31, Sched. 5, s. 9. Same (7) A corporation that applies for certification under this section shall provide to the designated person the information the designated person specifies for the purposes of making the determinations required under subsection (6).  1998, c. 34, s. 43; 2004, c. 16, s. 2 (2). Certificate (8) If the particular sound recording is an eligible Canadian sound recording for the purposes of this section and the corporation is an eligible sound recording company for the taxation year in relation to the recording, the designated person shall issue to the corporation a certificate so certifying.  1998, c. 34, s. 43; 2004, c. 16, s. 2 (2). No deduction or claim unless certificate delivered (9) No amount may be deducted or claimed under this section for a taxation year in respect of a sound recording unless the corporation delivers to the Minister with its return under section 75 for the taxation year the certificate issued under this section in respect of the sound recording, or a certified copy of the certificate.  1998, c. 34, s. 43; 2004, c. 16, s. 2 (2). Revocation of certificate (10) A certificate issued under this section may be revoked if, (a) an omission or incorrect statement was made and it is reasonable to believe that, if the omitted information had been disclosed or if the person designated had known that the statement was incorrect, the designated person would have found that the corporation was not an eligible sound recording company for the purposes of this section or that the recording was not an eligible Canadian sound recording for the purposes of this section; (b) the corporation is not an eligible sound recording company for the taxation year in relation to the eligible Canadian sound recording; or (c) the sound recording is not an eligible Canadian sound recording for the purposes of this section.  1998, c. 34, s. 43; 2004, c. 16, s. 2 (2). Same (11) A certificate that is revoked under this section shall be deemed never to have been issued.  1998, c. 34, s. 43; 2004, c. 16, s. 2 (2). Definitions (12) In this section, “eligible Canadian sound recording” means a sound recording that satisfies the rules prescribed by the regulations and is by an emerging Canadian artist or group; (“enregistrement sonore canadien admissible”) “eligible sound recording company” has the meaning prescribed by the regulations; (“société d’enregistrement sonore admissible”) “emerging Canadian artist or group” means an artist or group that satisfies the rules prescribed by the regulations; (“nouvel artiste ou ensemble canadien”) “qualifying expenditure” means an amount determined in the manner prescribed by the regulations in respect of an expenditure that satisfies the rules prescribed by the regulations. (“dépense admissible”)  1998, c. 34, s. 43; 2004, c. 16, s. 2 (2). Deemed tax payment (13) A corporation shall be deemed to pay on account of its tax payable under this Act for a taxation year an amount claimed by the corporation, not exceeding the amount, if any, by which “A” exceeds “B”, where, “A” is the corporation’s Ontario sound recording tax credit for the taxation year, and “B” is the maximum amount, if any, deductible by the corporation under subsections (1) and (2) in determining its tax payable under this Act for the taxation year.  1998, c. 34, s. 43; 2004, c. 16, s. 2 (2). Time of deemed payment (14) A corporation shall be deemed to make the payment referred to in subsection (13) and the Minister shall be deemed to apply the deemed payment on the day on or before which the corporation would be required under clause 78 (2) (b) to pay any balance of tax payable for the taxation year.  1998, c. 34, s. 43; 2004, c. 16, s. 2 (2). Section Amendments with date in force (d/m/y) 1998, c. 34, s. 43 - 01/01/1999 2004, c. 16, s. 2 (2)
- 01/01/2004 2005, c. 31, Sched. 5, s. 9 - 15/12/2005