104.2 (1) In this Part, “advanced health technology business” means a business that is primarily engaged in using technology, (a) in the development of assistive medical devices, pharmaceutical drugs, regenerative medicine, biologics, medical procedures or surgical procedures, or (b) in human tissue engineering; (“entreprise de technologie médicale avancée”) “bioeconomy business” means a business that is primarily engaged in, (a) the production of biofuel, biogas or bioplastics, or (b) the development of technology or processes that enable the use of wind, water, a biomass resource, hydrogen, biofuel, biogas, landfill gas, solar energy, geothermal energy, tidal forces or thermal waste as a source of energy; (“entreprise de bioéconomie”) “biofuel” means a liquid fuel made from a biomass resource and includes the liquid fuels ethanol, methanol and biodiesel; (“biocarburant”) “biogas” means a gaseous fuel made from a biomass resource; (“biogaz”) “biomass resource” means, (a) organic matter that is derived from a plant and available on a renewable basis, including organic matter derived from dedicated energy crops, dedicated trees, agricultural food and feed crops, or (b) waste organic material from harvesting or processing agricultural products, including animal waste and rendered animal fat, forestry products, including wood waste, and sewage; (“ressource en biomasse”) “bioplastic” means a plastic made from a biomass resource; (“bioplastique”) “computer program” has the meaning assigned by section 2 of the Copyright Act (Canada); (“programme d’ordinateur”) “eligible commercialization business” means an active business, (a) that in the opinion of the Minister of Research and Innovation is, (i) an advanced health technology business, (ii) a bioeconomy business, (iii) a telecommunications, computer or digital technologies production business that is primarily engaged in activities described in categories 3341, 3342, 3344 or 5112 of the North American Industry Classification System 2007 – Canada, as published by Statistics Canada, or (iv) a business that is prescribed by or that satisfies the conditions prescribed by the Ontario Minister, (b) that in the opinion of the Minister of Research and Innovation has as its sole purpose, (i) the sale of property that derives more than 50 per cent of its value from eligible intellectual property, (ii) the sale of property an essential element of which is eligible intellectual property, (iii) the licensing of computer programs that are eligible intellectual property, or (iv) such other purpose as may be prescribed by the Ontario Minister, and (c) that satisfies such other conditions as may be prescribed by the Ontario Minister; (“entreprise de commercialisation admissible”) “eligible intellectual property” means, in respect of a business carried on by a qualifying corporation, property, (a) that was developed in the course of employment or academic study at a qualifying institute by one or more individuals, each of whom is an inventor for the purposes of the Patent Act
(Canada), an author for the purposes of the Copyright Act
(Canada), an individual prescribed by the Ontario Minister or an individual who satisfies conditions prescribed by the Ontario Minister, (b) that has never been legally or beneficially owned by anyone other than, (i) the qualifying institute where the research to develop the property was conducted, (ii) one or more individuals who created the property, each of whom was an employee or a student of the qualifying institute where the research was conducted at the time the intellectual property was created, (iii) the qualifying corporation, or (iv) one or more of the persons and entities referred to in subclause (i), (ii) or (iii), (c) that was disclosed to the qualifying institute where the research was conducted in a timely manner and not later than the required time in accordance with the institute’s official intellectual property disclosure policy, if the institute had such a policy, and (d) that is, (i) a patent issued under the Patent Act (Canada), (ii) intellectual property in respect of which, (A) an application for a patent was filed under the Patent Act (Canada) by a person described in subclause (b) (i), (ii), (iii) or (iv), and (B) a patent is issued pursuant to the application no later than the last day of the qualifying corporation’s 10th taxation year ending after incorporation, (iii) the copyright in a computer program that in the opinion of the Minister of Research and Innovation constitutes a technological advancement at the time the computer program is completed and meets such conditions as may be prescribed by the Ontario Minister, or (iv) intellectual property that is prescribed by the Ontario Minister or that satisfies such conditions as may be prescribed by the Ontario Minister; (“propriété intellectuelle admissible”) “qualifying institute” means an entity that is not required to pay tax under Part I of the Federal Act by reason of section 149 of that Act and that is, (a) a university in Ontario whose enrolment is counted for the purposes of calculating annual operating grants entitlements from the Government of Ontario, (b) a college of applied arts and technology in Ontario whose enrolment is counted for the purposes of calculating annual operating grants entitlements from the Government of Ontario, (c) an entity that is a non-profit organization prescribed by the Ontario Minister, that is a member of a class of non-profit organizations prescribed by the Ontario Minister or that meets the conditions prescribed by the Ontario Minister, (d) a college or university in Canada but outside Ontario whose enrolment is counted for the purposes of calculating annual operating grants entitlements from the government of a province, other than an elementary or secondary school, (e) a hospital research institute that meets the conditions prescribed by the Ontario Minister, or (f) an entity that is prescribed by or that satisfies the conditions prescribed by the Ontario Minister. (“institut admissible”)  2008, c. 24, s. 5. Qualifying corporation (2) A corporation is a qualifying corporation for the purposes of this Part for a taxation year if the corporation satisfies the following conditions: 1. It was incorporated in Canada after March 24, 2008 and before March 25, 2012 and was not formed as a result of an amalgamation or merger of two or more corporations. 2. It carried on one or more eligible commercialization businesses during the taxation year. 3. If its income as computed for the purposes of section 3 of the Income Tax Act (Canada) was greater than zero, all or substantially all of its gross revenue for the year was from one or more eligible commercialization businesses and all or substantially all amounts received or receivable by it on the disposition of capital property were from the disposition of capital property in the ordinary course of an eligible commercialization business. 4. If it was a member of a partnership for any period of time during the taxation year or a previous taxation year, throughout that period of time every other member of the partnership was a qualifying institute. 5. If it was a participant in a joint venture for any period of time during the taxation year or a previous taxation year, throughout that period of time every other member of the joint venture was a qualifying institute. 6. It has never been a beneficiary of a trust. 7. It has never operated all or part of a business that was previously operated by another corporation. 8. It has never operated all or part of a business that was previously operated by a person or entity that is not a corporation unless the business was operated by the person or entity for a period of not more than 90 days before the corporation was incorporated. 9. The taxation year is one of the corporation’s first 10 taxation years after it was incorporated. 10. It satisfies such other conditions as may be prescribed by the Ontario Minister.  2008, c. 24, s. 5. Tax (3) A reference in this Part to tax payable and paid under Divisions B and C of Part III does not include a reference to any interest or penalties payable under this Act.  2008, c. 24, s. 5. Section Amendments with date in force (d/m/y) 2008, c. 24, s. 5
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