C-303
Second Session, Fortieth Parliament,
57-58 Elizabeth II, 2009
HOUSE OF COMMONS OF CANADA
BILL C-303
An Act to amend the Income Tax Act (travel expenses)
first reading, February 10, 2009
Mr. Pacetti
402008
SUMMARY
This enactment amends the Income Tax Act to provide that a deduction from a taxpayer’s income may be made in respect of the expense of purchasing tickets for the taxpayer or a child of the taxpayer for non-business travel by airplane, train or bus if the travel involves crossing at least three different provincial boundaries.
Also available on the Parliament of Canada Web Site at the following address:http://www.parl.gc.ca
2nd Session, 40th Parliament,
57-58 Elizabeth II, 2009
house of commons of canada
BILL C-303
An Act to amend the Income Tax Act (travel expenses)
R.S., c. 1
(5th Supp.)
Her Majesty, by and with the advice and consent of the Senate and House of Commons of Canada, enacts as follows:
1. The Income Tax Act is amended by adding the following after section 62:
Definitions
62.1 (1) The following definitions apply in this section.
“child”« enfant »
“child” means an eligible child of a taxpayer as defined in section 63.
“travel expenses”« frais de voyage »
“travel expenses” means the cost of purchasing a ticket or tickets from a Canadian-based carrier for a trip or trips by airplane, train or bus within Canada where each trip is not related to a business purpose and requires crossing at least three different provincial boundaries.
Travel expenses
(2) Subject to subsections (3) to (5), there may be deducted in computing a taxpayer’s income for a taxation year amounts paid by the taxpayer in that year as or on account of travel expenses of the taxpayer or of one or more children of the taxpayer, to the extent that
(a) they were not paid on the taxpayer’s behalf in respect of, in the course of or because of, the taxpayer’s office or employment;
(b) they were not deductible because of this section in computing the taxpayer’s income for the preceding taxation year; and
(c) all reimbursements and allowances received by the taxpayer in respect of those expenses are included in computing the taxpayer’s income.
Rate of deduction
(3) Travel expenses are deductible under subsection (2) at the following rates:
(a) 100% if they are incurred to purchase a ticket or tickets for travel by bus;
(b) 75% if they are incurred to purchase a ticket or tickets for travel by train; and
(c) 40% if they are incurred to purchase a ticket or tickets for travel by airplane.
Maximum amount of deduction
(4) The amount that may be deducted under subsection (2) shall not exceed
(a) $2,000 for travel expenses relating to a ticket or tickets purchased for the use of the taxpayer; and
(b) $2,000 per child of the taxpayer for travel expenses relating to a ticket or tickets purchased for the use of the child.
Deduction by one taxpayer
(5) Travel expenses relating to a ticket or tickets purchased for the use of a child of a taxpayer may be deducted by only one taxpayer.
Published under authority of the Speaker of the House of CommonsAvailable from:Publishing and Depository ServicesPublic Works and Government Services Canada