jswizzle3737/ontario_laws_and_regs huggingface dataset:
3 (1) Unless otherwise provided in this Act, any tax imposed by this Act shall be determined on the amount of the paid-up capital or other subject in respect of which the amount of the tax is to be ascertained as such paid-up capital or other subject stood at the close of the taxation year of the corporation for which the tax is imposed.  R.S.O. 1990, c. C.40, s. 3 (1); 2004, c. 16, s. 2 (2). Idem (2) Any tax imposed by this Act that is to be calculated in respect of, (a) the taxable income of a corporation; or (b) the gross premiums that become payable to insurance corporations, shall be calculated with reference to the taxable income earned or the gross premiums that become payable, as the case may be, during the taxation year of the corporation for which the respective tax is imposed.  R.S.O. 1990, c. C.40, s. 3 (2); 2004, c. 16, s. 2 (2). Same (3) The tax imposed by subsection 2 (2.1) shall be calculated by reference to administration fees paid in respect of the plan and, (a) to contributions made to the benefit plan if the plan is a funded benefit plan under section 74.2; or (b) to benefits paid under the plan if the plan is an unfunded benefit plan under that section.  1996, c. 1, Sched. B, s. 3 (1); 2004, c. 16, s. 2 (2). Same (4) The tax imposed by subsection 2 (2.2) shall be calculated by reference to the amount of premiums paid on insurance contracts, as defined in section 74.3, with insurers who do not hold licences under the Insurance Act.  1997, c. 43, Sched. A, s. 3; 2004, c. 16, s. 2 (2). Same (5) The tax imposed by subsection 2 (2.3) shall be calculated by reference to premiums and deposits collected by an insurance exchange, as defined in section 74.4.  1997, c. 43, Sched. A, s. 3; 2004, c. 16, s. 2 (2). Section Amendments with date in force (d/m/y) 1996, c. 1, Sched. B, s. 3 (1, 2) - 01/07/1993; 1997, c. 43, Sched. A, s. 3 - 01/01/1998 2004, c. 16, s. 2 (2)
- 01/01/2004
5.4 The provisions of Part XVI.1 of the Income Tax Act (Canada) apply in determining an amount that would be determined for the purposes of this Act, but for this section and section 5, in respect of a corporation for a taxation year commencing after December 31, 1997, with the following exceptions: 1. The reference to a person’s “filing-due date” for a taxation year in the definition of “documentation-due date” in subsection 247 (1) of the Income Tax Act (Canada) shall be read as a reference to the date on which the person is required to deliver a return under section 75 of this Act for the taxation year. 2. The reference to subsection 245 (1) of the Income Tax Act (Canada) in the definition of “tax benefit” in subsection 247 (1) of that Act shall be read as a reference to subsection 5 (1) of this Act. 3. The reference to section 245 of the Income Tax Act (Canada) in subsection 247 (2) of that Act shall be read as a reference to section 5 of this Act. 4. Subsections 76 (1), (2), (6), (8) and (9), sections 80, 81, 82, 84 and 107 and Division F of Part V of this Act apply instead of sections 152, 158, 159, 162 to 167 and Division J of Part I of the Income Tax Act (Canada). 5. Subsection 247 (3) of the Income Tax Act (Canada) does not apply.  2001, c. 23, s. 21; 2004, c. 16, s. 2 (2); 2005, c. 31, Sched. 5, s. 3. Section Amendments with date in force (d/m/y) 2001, c. 23, s. 21
- 01/01/1998 2004, c. 16, s. 2 (2)
- 01/01/2004 2005, c. 31, Sched. 5, s. 3 - 01/01/1998 PART II   INCOME TAX Division A — Liability for Income Tax
6 (1) Except as otherwise provided in this Part, every corporation liable to the taxes imposed under this Act by virtue of subsection 2 (1) shall, for every taxation year of the corporation, pay an income tax as hereinafter required upon its taxable income.  R.S.O. 1990, c. C.40, s. 6 (1); 2004, c. 16, s. 2 (2). Idem (2) Except as otherwise provided in this Part, every corporation liable to the taxes imposed under this Act by virtue of subsection 2 (2) shall, for every taxation year of the corporation, pay an income tax as hereinafter required upon its taxable income earned in Canada.  R.S.O. 1990, c. C.40, s. 6 (2); 2004, c. 16, s. 2 (2). Section Amendments with date in force (d/m/y) 2004, c. 16, s. 2 (2)
- 01/01/2004
7 The taxable income of a corporation for a taxation year is its income for the taxation year plus the additions required by Division C and less the deductions permitted by Division C.  R.S.O. 1990, c. C.40, s. 7; 2004, c. 16, s. 2 (2). Section Amendments with date in force (d/m/y) 2004, c. 16, s. 2 (2)
- 01/01/2004
8 The taxable income earned in Canada of a corporation for a taxation year is its taxable income earned in Canada determined under Division D.  R.S.O. 1990, c. C.40, s. 8; 2004, c. 16, s. 2 (2). Section Amendments with date in force (d/m/y) 2004, c. 16, s. 2 (2)
- 01/01/2004 Division B — Computation of Income basic rules
9 (1) Except as hereinafter provided, section 3 of the Income Tax Act (Canada) is applicable for the purposes of this Act in so far as the said section applies to corporations.  R.S.O. 1990, c. C.40, s. 9 (1); 2004, c. 16, s. 2 (2). Interpretation (2) In the application of the said section 3 for the purposes of this Act, the reference in paragraph (c) thereof to “subdivision e” shall be deemed to be a reference to Subdivision D of Division B of Part II of this Act, and the reference in the said section to “this Part” shall be deemed to be a reference to Part II of this Act.  R.S.O. 1990, c. C.40, s. 9 (2); 2004, c. 16, s. 2 (2). Losses deemed deducted, deductible or claimed (3) Subject to subsection 11 (3), for the purpose of computing the income and taxable income of a corporation for a taxation year, any amount deducted, deductible or claimed by the corporation under a provision of the Income Tax Act (Canada) in computing its income or taxable income, as the case may be, for a previous taxation year in respect of which the corporation was not subject to tax imposed by Part II of this Act shall be deemed, unless otherwise provided in Part II, to have been deducted, deductible or claimed, as the case may be, under the corresponding provision of this Act in computing the income or taxable income of the corporation, as the case may be, for that previous taxation year.  1994, c. 14, s. 3 (1); 2004, c. 16, s. 2 (2). Same (4) Despite subsections 111 (1) and (3) of the Income Tax Act (Canada), as made applicable by section 34 of this Act, in the application of subsection (3), where a corporation has deducted or claimed an amount in respect of a net capital loss, non-capital loss, restricted farm loss or farm loss, determined for a particular taxation year (in this subsection referred to as the “loss year”), in computing its taxable income for another taxation year, the total of such losses determined for the loss year and subsequent taxation years shall be deemed to be amounts deducted or claimed, as the case may be, under the provisions of the
Income Tax Act (Canada) in computing the taxable income of the corporation for previous taxation years in respect of which the corporation was not subject to tax under Part II of this Act, to the extent of the total of such losses deducted or claimed in computing taxable income of the corporation for the purposes of the Income Tax Act
(Canada) for such previous taxation years; if the total of such losses includes losses determined for more than one loss year, no loss for any year shall be deemed to have been deducted or claimed until all losses determined for previous loss years have been deducted or claimed or deemed to have been deducted or claimed.  1994, c. 14, s. 3 (1); 2004, c. 16, s. 2 (2). Section Amendments with date in force (d/m/y) 1994, c. 14, s. 3 (1, 2) - 17/12/1991 2004, c. 16, s. 2 (2)
- 01/01/2004
10 (1) Except as hereinafter provided, section 4 of the Income Tax Act
(Canada) is applicable for the purposes of this Act in so far as the said section applies to corporations.  R.S.O. 1990, c. C.40, s. 10 (1); 2004, c. 16, s. 2 (2). Interpretation (2) In the application of the said section 4 for the purposes of this Act, the references therein to “this Part” shall be deemed to be references to Part II of this Act.  R.S.O. 1990, c. C.40, s. 10 (2); 2004, c. 16, s. 2 (2). Section Amendments with date in force (d/m/y) 2004, c. 16, s. 2 (2)
- 01/01/2004 Subdivision A — Income or Loss from a Business or Property
11.1 (1) A corporation shall include in its income for a taxation year the total of all amounts, if any, each of which is the amount determined under subsection (2) of the corporation’s Ontario new technology tax incentive gross-up recapture in respect of a depreciable property of a prescribed class if an amount in respect of the depreciable property is required, under section 13 of the Income Tax Act (Canada), as made applicable by section 11, to be included in computing the corporation’s income for the taxation year or the income of a partnership, of which the corporation is a member at the end of the taxation year, for a fiscal period ending in the taxation year.  1997, c. 43, Sched. A, s. 6; 2004, c. 16, s. 2 (2). Amount of recapture (2) The amount of a corporation’s Ontario new technology tax incentive gross-up recapture in respect of a depreciable property of a prescribed class is the amount determined in accordance with the following formula: A = B/C – B where, “A” is the amount of the corporation’s Ontario new technology tax incentive gross-up recapture in respect of the depreciable property; “B” is the amount, (a) included under section 13 of the Income Tax Act (Canada), as made applicable by section 11, in computing the corporation’s income for the taxation year in respect of the depreciable property, or (b) included under section 13 of the Income Tax Act (Canada), as made applicable by section 11, in the income of the partnership for the fiscal period ending in the corporation’s taxation year, multiplied by the percentage of the partnership’s income or loss for the fiscal period to which the corporation is entitled or would be entitled if the partnership had had an income or loss for the fiscal period; and “C” is the fraction that is the corporation’s allocation factor for the taxation year that would be determined for the purposes of subsection 13.1 (1). 1997, c. 43, Sched. A, s. 6; 2004, c. 16, s. 2 (2). (3) Repealed:  1998, c. 5, s. 6. Section Amendments with date in force (d/m/y) 1997, c. 43, Sched. A, s. 6 - 07/05/1997; 1998, c. 5, s. 6 - 26/06/1998 2004, c. 16, s. 2 (2)
- 01/01/2004 Rules, Federal investment tax credit for scientific research and experimental development
13.1 (1) A corporation may deduct in computing its income from a business for a taxation year the amount determined in respect of the corporation for the year according to the following formula:  A = B/C – B where, “A” is the corporation’s Ontario new technology tax incentive gross-up for the taxation year; “B” is the total of all amounts for the taxation year, each of which is, (a) an amount deducted by the corporation under clause 11 (10) (a), in computing its income from a business for the taxation year, as an Ontario new technology tax incentive in respect of a prescribed depreciable property, or (b) an amount equal to the product of, (i) the amount deducted under clause 11 (10) (a), as an Ontario new technology tax incentive in respect of a prescribed depreciable property, by a partnership of which the corporation is a member, in computing the partnership’s income from a business for a fiscal period ending in the corporation’s taxation year, and (ii) the percentage of the partnership’s income or loss for the fiscal period to which the corporation is entitled; and “C” is the corporation’s Ontario allocation factor for the taxation year. 1997, c. 43, Sched. A, s. 8; 2004, c. 16, s. 2 (2). Ontario allocation factor (2) For the purposes of subsection (1), a corporation’s Ontario allocation factor for a taxation year is the fraction that would be determined under the definition of that term in subsection 12 (1).  1997, c. 43, Sched. A, s. 8; 2004, c. 16, s. 2 (2). Section Amendments with date in force (d/m/y) 1997, c. 43, Sched. A, s. 8 - 07/05/1997 2004, c. 16, s. 2 (2)
- 01/01/2004
15 (1) Except as hereinafter provided, subdivision d of Division B of Part I of the Income Tax Act (Canada) is applicable for the purposes of this Act in so far as the said subdivision applies to corporations.  R.S.O. 1990, c. C.40, s. 15 (1); 2004, c. 16, s. 2 (2). Disposition of resource property (2) In the application of section 59 of the Income Tax Act (Canada) for the purposes of this Act, (a) subsection (1) and paragraphs (3.2) (a) and (3.3) (f) of the said section are not applicable; and (b) the references in subsection (2) of the said section to amounts deducted as a reserve in computing income for the immediately preceding taxation year shall include any amount deducted under section 16 of the Corporations Tax Act, being chapter 97 of the Revised Statutes of Ontario, 1980, in computing income for the immediately preceding taxation year.  R.S.O. 1990, c. C.40, s. 15 (2); 2004, c. 16, s. 2 (2). Application of Income Tax Act (Canada), s. 59.1 (3) In the application of section 59.1 of the Income Tax Act (Canada) for the purposes of this Act, the reference to “this Part” shall be read as a reference to Part V of this Act.  1994, c. 14, s. 5 (1); 2004, c. 16, s. 2 (2). Section Amendments with date in force (d/m/y) 1994, c. 14, s. 5 (1, 2) - 17/12/1991 2004, c. 16, s. 2 (2)
- 01/01/2004 Subdivision D — Deductions in Computing Income
16 (1) Except as hereinafter provided, section 60 of the Income Tax Act (Canada) is applicable for the purposes of this Act in so far as the said section applies to corporations.  R.S.O. 1990, c. C.40, s. 16 (1); 2004, c. 16, s. 2 (2). Corporation taxes deductible (2) In addition to the deductions permitted by virtue of subsection (1), there may be deducted in computing the income of a corporation for a taxation year all corporation taxes payable in the taxation year by the corporation.  R.S.O. 1990, c. C.40, s. 16 (2); 2004, c. 16, s. 2 (2). Definitions (3) In this section, “corporation income tax” means a tax imposed by the Parliament of Canada or by the Legislature of a province or by a municipality in the province that is declared by the regulations to be a tax of general application on the profits of corporations; (“impôt sur le revenu des sociétés”) “corporation tax” means a tax imposed by the Legislature of a province or by a municipality in the province that is declared by the regulations to be a tax on corporations, but does not include, (a) a corporation income tax, or (b) any other tax declared by the regulations not to be a corporation tax. (“impôt sur les sociétés”)  R.S.O. 1990, c. C.40, s. 16 (3); 2004, c. 16, s. 2 (2). Section Amendments with date in force (d/m/y) 2004, c. 16, s. 2 (2)
- 01/01/2004
16.1 Sections 61.3 and 61.4 of the Income Tax Act (Canada) apply for the purposes of this Act in so far as those sections apply to corporations.  1996, c. 29, s. 41 (1); 2004, c. 16, s. 2 (2). Section Amendments with date in force (d/m/y) 1996, c. 29, s. 41 (1, 2) - 22/02/1994 2004, c. 16, s. 2 (2)
- 01/01/2004
17 (1) There may be deducted in computing a corporation’s income for a taxation year such amount as an allowance, if any, in respect of, (a) a natural accumulation of petroleum or natural gas, oil or gas well, mineral resource or timber limit; or (b) the processing, to the prime metal stage or its equivalent, of ore from a mineral resource, as is allowed by regulation.  R.S.O. 1990, c. C.40, s. 17 (1); 2004, c. 16, s. 2 (2). Regulations (2) For greater certainty it is hereby declared that, in the case of a regulation made under subsection (1), (a) there may be prescribed by such regulation an amount in respect of any or all, (i) natural accumulations of petroleum or natural gas, oil or gas wells or mineral resources in which the corporation has an interest, or (ii) processing operations described in clause (1) (b) that are carried on by the corporation; and (b) despite any other provision contained in this Act, the Lieutenant Governor in Council may prescribe the formula by which the amount that may be allowed to the corporation by such regulation shall be determined.  R.S.O. 1990, c. C.40, s. 17 (2); 2004, c. 16, s. 2 (2). Lessee’s share of allowance (3) Where a deduction is allowed under subsection (1) in respect of a coal mine operated by a lessee, the lessor and lessee may agree as to what portion of the allowance each may deduct and, in the event that they cannot agree, the Minister may fix the portions.  R.S.O. 1990, c. C.40, s. 17 (3); 2004, c. 16, s. 2 (2). Idem (4) For the purpose of subsection (3), where an agreement has been made pursuant to subsection 65 (3) of the Income Tax Act (Canada), the ratio of the apportionment of the allowance that has been determined thereunder shall be deemed to apply for the purposes of this Act.  R.S.O. 1990, c. C.40, s. 17 (4); 2004, c. 16, s. 2 (2). Application (5) For the purpose of subsection 1 (3.1), this section applies in lieu of section 65 of the Income Tax Act (Canada).  R.S.O. 1990, c. C.40, s. 17 (5); 2004, c. 16, s. 2 (2); 2005, c. 28, Sched. D, s. 5. Section Amendments with date in force (d/m/y) 2004, c. 16, s. 2 (2)
- 01/01/2004 2005, c. 28, Sched. D, s. 5 - 01/01/2003
20 Subsections 66 (12.6) to (12.741), (16), (17), (18) and (19) of the Income Tax Act
(Canada) are applicable for the purposes of this Act in so far as they apply to corporations, except that in the application of these subsections,  (a) references to the “Minister” in subsections 66 (12.68), (12.69), (12.691), (12.7), (12.701), (12.73), (12.74) and (12.741) of that Act shall be read as references to the Minister of National Revenue; (b) the reference to “this Part” in subsection 66 (12.71) of that Act shall be read as a reference to Part II of this Act; (c) a prescribed form referred to in subsection 66 (12.68), (12.69) or (12.7) of that Act that was required to be filed, and that was filed, on or before the 19th day of March, 1987, shall be deemed to have been filed at the time required under that subsection; and (d) expenditures described in subparagraph 66.1 (6) (a) (i) or (ii.1) of that Act renounced before the 14th day of October, 1988 shall be deemed to have been renounced within ninety days after the 31st day of December, 1987.  R.S.O. 1990, c. C.40, s. 20; 1994, c. 14, s. 7 (1, 2); 1996, c. 29, s. 43 (1); 2004, c. 16, s. 2 (2). Section Amendments with date in force (d/m/y) 1994, c. 14, s. 7 (1, 2) - 17/12/1991; 1996, c. 29, s. 43 (1, 2) - 01/03/1993 2004, c. 16, s. 2 (2)
- 01/01/2004
21 Section 66.7 of the Income Tax Act (Canada), other than subsections (2), (8), (13) and (15) and paragraph (10) (h), is applicable for the purposes of this Act, except that in the application thereof, (a) references to “Canadian exploration and development expenses” shall be read as references to only Canadian exploration and development expenses incurred before the 20th day of May, 1981; (b) the section shall be read without the references to “foreign exploration and development expenses”, “foreign resource property” and “foreign resource properties”; and (c) references to “the Minister” in subsection (12.1) shall be read as references to the Minister of National Revenue.  R.S.O. 1990, c. C.40, s. 21; 1994, c. 14, s. 8 (1); 2004, c. 16, s. 2 (2). Section Amendments with date in force (d/m/y) 1994, c. 14, s. 8 (1, 2) - 17/12/1991 2004, c. 16, s. 2 (2)
- 01/01/2004
22 Subsection 66 (13.1) of the Income Tax Act (Canada) is applicable for the purposes of this Act and in the application thereof the reference to paragraph 66.2 (2) (c) of that Act shall be deemed to include a reference to clause 19 (1) (b).  R.S.O. 1990, c. C.40, s. 22; 2004, c. 16, s. 2 (2); 2004, c. 31, Sched. 9, s. 11. Section Amendments with date in force (d/m/y) 2004, c. 16, s. 2 (2)
- 01/01/2004; 2004, c. 31, Sched. 9, s. 11 - 16/12/2004
23 Section 66.8 of the Income Tax Act (Canada) is applicable for the purposes of this Act and in the application thereof the foreign exploration and development expenses referred to in clause (1) (a) (i) (D) of that section shall be limited to only those foreign exploration and development expenses that are deductible.  R.S.O. 1990, c. C.40, s. 23; 2004, c. 16, s. 2 (2). Section Amendments with date in force (d/m/y) 2004, c. 16, s. 2 (2)
- 01/01/2004
24 Section 66.3 of the Income Tax Act (Canada) is applicable for the purposes of this Act in so far as that section applies to corporations.  R.S.O. 1990, c. C.40, s. 24; 2004, c. 16, s. 2 (2). Section Amendments with date in force (d/m/y) 2004, c. 16, s. 2 (2)
- 01/01/2004
25 Section 66.6 of the Income Tax Act (Canada) is applicable for the purposes of this Act with the references therein to “this Part” read as references to Part II of this Act.  R.S.O. 1990, c. C.40, s. 25; 2004, c. 16, s. 2 (2). Section Amendments with date in force (d/m/y) 2004, c. 16, s. 2 (2)
- 01/01/2004 Subdivision E — Rules Relating to Computation of Income
27 (1) If a person at any time confers a benefit on a corporation either directly or indirectly by any means, the amount of the benefit shall be included in computing the corporation’s income or taxable income earned in Canada for the taxation year in which the benefit is conferred, to the extent that, (a) the amount of the benefit is not otherwise included in the corporation’s income or taxable income earned in Canada; and (b) the amount of the benefit would be so included if the amount were a payment made directly by the person to the corporation and the corporation were resident in Canada.  R.S.O. 1990, c. C.40, s. 27 (1); 2004, c. 16, s. 2 (2). Arm’s length (2) If it is established that a transaction was entered into by persons dealing at arm’s length, in good faith and not pursuant to or as part of any other transaction, and not to effect payment, in whole or in part, of an existing or future obligation, no party to the transaction shall be regarded for the purpose of this section as having conferred a benefit on a party with whom he, she or it was dealing.  R.S.O. 1990, c. C.40, s. 27 (2); 2004, c. 16, s. 2 (2). Section Amendments with date in force (d/m/y) 2004, c. 16, s. 2 (2)
- 01/01/2004 Subdivision F — Amounts not Included in Computing Income
28 There shall not be included in computing the income of a corporation for a taxation year, federal grants (a) an amount paid to a corporation on account of a grant under the Regional Development Incentives Act
(Canada) or the Employment Support Act (Canada); and other amounts (b) an amount determined in accordance with the rules provided in paragraph 81 (1) (b), (c), (l) or (m) of the Income Tax Act (Canada).  R.S.O. 1990, c. C.40, s. 28; 1994, c. 14, s. 10; 2004, c. 16, s. 2 (2). Section Amendments with date in force (d/m/y) 1994, c. 14, s. 10 - 23/06/1994 2004, c. 16, s. 2 (2)
- 01/01/2004 Subdivision G — Corporations Resident in Canada and Their Shareholders
30 (1) The provisions of subdivision i of Division B of Part I of the Income Tax Act
(Canada) are applicable in computing the income of a corporation for a taxation year for the purposes of this Act.  R.S.O. 1990, c. C.40, s. 30 (1); 2004, c. 16, s. 2 (2). Definition (2) In the application of the said subdivision i for the purposes of this Act, (a) the references therein to “Minister” shall be deemed to be references to the Minister of National Revenue for Canada; (b) the reference in subsection 94.1 (1) to “this Part” shall be deemed to be a reference to Part II of this Act; and (c) the aggregate referred to in paragraph 94.1 (1) (f) computed for the purposes of that Act shall apply for the purposes of this Act.  R.S.O. 1990, c. C.40, s. 30 (2); 2004, c. 16, s. 2 (2). Section Amendments with date in force (d/m/y) 2004, c. 16, s. 2 (2)
- 01/01/2004 Subdivision I — Partnerships and Their Members
32 (1) In determining for the purposes of this Act the income of a corporation that is a beneficiary of a trust, subdivision k of Division B of Part I of the Income Tax Act (Canada) is applicable in so far as the said subdivision applies to corporations that are beneficiaries of trusts, and any amount included in or deducted from the income of a corporation for a taxation year by virtue of that subdivision shall be included or deducted, as the case may be, in computing its income for the taxation year for the purposes of this Act.  R.S.O. 1990, c. C.40, s. 32 (1); 2004, c. 16, s. 2 (2). Idem (2) In the application of the said subdivision for the purposes of this Act, (a) subsection 1 (3.1) of this Act does not apply; and (b) the references therein to “Minister” shall be deemed to be references to the Minister of National Revenue for Canada.  R.S.O. 1990, c. C.40, s. 32 (2); 2004, c. 16, s. 2 (2); 2005, c. 28, Sched. D, s. 8. Anti-avoidance of provincial tax (3) If a trust, other than a mutual fund trust, is resident in a province other than Ontario and designates or elects an amount under the Income Tax Act (Canada) in respect of a beneficiary under the trust that is a corporation that has a permanent establishment in Ontario, the trust shall be deemed not to have designated or elected an amount under that Act for the purposes of this Act unless the designated or elected amount in each province in which the trust is resident is the same as the amount designated or elected for the purposes of the Income Tax Act (Canada).  1997, c. 43, Sched. A, s. 14 (1); 2004, c. 16, s. 2 (2). Section Amendments with date in force (d/m/y) 1997, c. 43, Sched. A, s. 14 (1, 2) - 25/11/1997 2004, c. 16, s. 2 (2)
- 01/01/2004 2005, c. 28, Sched. D, s. 8 - 01/01/2003 Division C — Computation of Taxable Income
33 (1) A corporation that is required under paragraph 132.1 (1) (d) of the Income Tax Act (Canada) to include an amount in its income for a taxation year for the purposes of that Act shall include the amount in its income for the taxation year for the purposes of this Act.  R.S.O. 1990, c. C.40, s. 33 (1); 2004, c. 16, s. 2 (2). Mutual fund trust unit (2) In computing the adjusted cost base to the corporation of a unit in a mutual fund trust, there shall be included any amount added to the adjusted cost base of the unit under subsection 132.1 (2) of that Act for the purposes of that Act.  R.S.O. 1990, c. C.40, s. 33 (2); 2004, c. 16, s. 2 (2). Section Amendments with date in force (d/m/y) 2004, c. 16, s. 2 (2)
- 01/01/2004
37.1 (1) In this section, “Authority” means the Ontario Strategic Infrastructure Financing Authority continued under subsection 2 (1) of the Ontario Strategic Infrastructure Financing Authority Act, 2002; (“Office”) “Ontario Jobs and Opportunity Bond” means a bond, debenture or other security, (a) that is issued by the Authority and is designated by it as an Ontario Jobs and Opportunity Bond, (b) that is issued by a subsidiary, trust, partnership or other entity established or acquired by the Authority and is designated by the Authority as an Ontario Jobs and Opportunity Bond, or (c) that is designated by the Minister as an Ontario Jobs and Opportunity Bond. (“obligation ontarienne de financement d’emplois et de projets”)  2002, c. 22, s. 40; 2004, c. 16, s. 2 (2); 2004, c. 31, Sched. 9, s. 14. Tax incentive (2) A corporation that owns an Ontario Jobs and Opportunity Bond at any time in a taxation year is entitled to receive a tax incentive under this section in respect of the interest received or receivable on the Bond in the taxation year.  2002, c. 22, s. 40; 2004, c. 16, s. 2 (2). Eligible corporation (3) A corporation is eligible to receive a tax incentive under this section if it satisfies the prescribed conditions.  2002, c. 22, s. 40; 2004, c. 16, s. 2 (2). Certificate (4) A certificate of the chair, a vice-chair, the chief executive officer or any officer of the Authority designated by its board of directors which states that an entity is a subsidiary, trust, partnership or other entity established or acquired by the Authority or that a bond, debenture or other security is an Ontario Jobs and Opportunity Bond is conclusive evidence of the facts stated.  2002, c. 22, s. 40; 2004, c. 16, s. 2 (2). Regulations (5) The Minister may make regulations, (a) prescribing the nature of the tax incentive and the manner in which it is calculated; (b) prescribing the conditions that must be satisfied for a corporation to be eligible to receive a tax incentive under this section; (c) prescribing circumstances in which a tax incentive must be repaid by a corporation and prescribing the rules applicable to the repayment; (d) prescribing any other matter that the Minister considers necessary or advisable for the purposes of this section.  2002, c. 22, s. 40; 2004, c. 16, s. 2 (2). Section Amendments with date in force (d/m/y) 2002, c. 22, s. 40
- 27/03/2003 2004, c. 16, s. 2 (2)
- 01/01/2004; 2004, c. 31, Sched. 9, s. 14 - 16/12/2004 Division E — Computation of Income Tax Payable
38 (1) The tax payable by a corporation for a taxation year under this Part on its taxable income or on its taxable income earned in Canada, as the case may be, is the amount determined by multiplying such amount by the specified basic rate of the corporation for the taxation year.  2000, c. 10, s. 2; 2004, c. 16, s. 2 (2). Specified basic rate (2) The specified basic rate of a corporation for a taxation year is the total of, (a) 15.5 per cent multiplied by the ratio of the number of days in the taxation year that are before May 2, 2000 to the number of days in the taxation year; (b) 14.5 per cent multiplied by the ratio of the number of days in the taxation year that are after May 1, 2000 and before January 1, 2001 to the total number of days in the taxation year; (c) 14 per cent multiplied by the ratio of the number of days in the taxation year that are after December 31, 2000 and before October 1, 2001 to the total number of days in the taxation year; (d) 12.5 per cent multiplied by the ratio of the number of days in the taxation year that are after September 30, 2001 and before January 1, 2004 to the total number of days in the taxation year; (e) 14 per cent multiplied by the ratio of the number of days in the taxation year that are after December 31, 2003 to the total number of days in the taxation year. (f)  Repealed:  2003, c. 7, s. 2. (g)  Repealed:  2003, c. 7, s. 2. 2000, c. 10, s. 2; 2001, c. 8, s. 20 (1); 2001, c. 23, s. 31 (1-3); 2002, c. 22, s. 41; 2003, c. 7, s. 2; 2004, c. 16, s. 2 (2). (3) Repealed:  2001, c. 23, s. 31 (4). (4) Repealed:  2001, c. 23, s. 31 (5). Section Amendments with date in force (d/m/y) 2000, c. 10, s. 2
- 02/05/2000 2001, c. 8, s. 20 (1)
- 01/01/2002; 2001, c. 8, s. 20 (2)
- no effect - see 2001, c. 23, s. 31 (5)
- 01/10/2001; 2001, c. 23, s. 31 (1, 3-5) - 01/10/2001; 2001, c. 23, s. 31 (2)
- 01/01/2002 2002, c. 22, s. 41
- 09/12/2002 2003, c. 7, s. 2
- 01/01/2004 2004, c. 16, s. 2 (2)
- 01/01/2004
38.1 In addition to the tax, if any, otherwise payable under this Part by a bank for a taxation year ending after April 30, 1992 and commencing before November 1, 1993, the bank shall pay a surtax for each such taxation year calculated according to the following formula: S = 0.1 × T × A/B where: “S” is the amount of the surtax for the taxation year; “T” is the amount of tax, if any, otherwise payable under this Part by the bank for the taxation year, determined without reference to this section and section 40; “A” is the number of days in the taxation year after April 30, 1992 and before November 1, 1993; and “B” is the total number of days in the taxation year. 1994, c. 14, s. 12 (1); 2004, c. 16, s. 2 (2). Section Amendments with date in force (d/m/y) 1994, c. 14, s. 12 (1, 2) - 01/05/1992 2004, c. 16, s. 2 (2)
- 01/01/2004
39 (1) There may be deducted from the tax otherwise payable under this Part for a taxation year by a corporation an amount calculated using the formula, A × B in which, “A” is the specified basic rate of the corporation for the taxation year, as determined under subsection 38 (2), and “B” is that portion of the taxable income or the taxable income earned in Canada, as the case may be, of the corporation which is earned in the taxation year in each jurisdiction other than Ontario, determined under rules prescribed by the regulations. 2000, c. 10, s. 2; 2004, c. 16, s. 2 (2). Application provision, 2000 Budget (2) This section, as it is re-enacted by the Taxpayer Dividend Act, 2000, applies with respect to taxation years ending after May 1, 2000.  2000, c. 10, s. 2; 2004, c. 16, s. 2 (2). Section Amendments with date in force (d/m/y) 2000, c. 10, s. 2 - 02/05/2000 2004, c. 16, s. 2 (2)
- 01/01/2004
44 Where, under a contract, will or trust, made or created before the 14th day of May, 1953, a person is required to make a payment to a corporation and is required by the terms of the contract, will or trust to pay an additional amount measured by reference to tax payable by such corporation under Part I of the Income Tax Act (Canada) and Part II of this Act by reason of the payment, (a) the tax payable by the corporation under Part II of this Act for the taxation year in or in respect of which such payment is made or becomes payable is the amount that the tax of the corporation under Part II of this Act would be if no amount under the contract were included in computing its income for the taxation year plus, (i) the amount by which its tax under Part II of this Act would be increased by including in computing its income, (A) the payment, and (B) the amount by which its tax under Part I of the Income Tax Act
(Canada) would be increased by including the payment in computing its income, and (ii) the amount by which the tax of the corporation under Part II of this Act would be further increased by including, in computing its income for the taxation year, the amount fixed by subclause (i) or the additional payment, whichever is the lesser; and (b) if the person required to make the payment is a corporation and would otherwise be entitled to deduct the amounts payable under such a contract in computing its income for a taxation year, such corporation is not entitled to deduct the amount determined under subclause (a) (ii).  R.S.O. 1990, c. C.40, s. 44; 2004, c. 16, s. 2 (2). Section Amendments with date in force (d/m/y) 2004, c. 16, s. 2 (2)
- 01/01/2004 Division F — Special Rules Applicable in Certain Circumstances
45 If a corporation has become bankrupt, the rules provided in section 128 of the Income Tax Act (Canada) apply for the purposes of this Act.  1999, c. 9, s. 82; 2004, c. 16, s. 2 (2). Section Amendments with date in force (d/m/y) 1999, c. 9, s. 82 - 27/04/1995 2004, c. 16, s. 2 (2)
- 01/01/2004
45.1 Sections 128.1 and 128.2 of the Income Tax Act (Canada), in so far as they apply to corporations, are applicable for the purposes of this Act.  1996, c. 29, s. 52; 2004, c. 16, s. 2 (2). Section Amendments with date in force (d/m/y) 1996, c. 29, s. 52 - 01/01/1993 2004, c. 16, s. 2 (2)
- 01/01/2004 investment corporations
46 (1) If a corporation is an investment corporation throughout a taxation year, but is not a mutual fund corporation throughout the year, subsections 131 (1), (2, (3) and (6) of the Income Tax Act (Canada), as made applicable by section 48 of this Act, apply in respect of the corporation for the taxation year as if, (a) the corporation had been a mutual fund corporation throughout that and all previous taxation years ending after 1971 throughout which it was an investment corporation; and (b) its capital gains redemption for that and all previous taxation years ending after 1971, throughout which it would, but for the assumption made by clause (a), not have been a mutual fund corporation, were nil.  R.S.O. 1990, c. C.40, s. 46 (1); 1998, c. 34, s. 45 (1); 2004, c. 16, s. 2 (2). Idem (2) Subsection 48 (6) applies to a corporation to which this section applies.  R.S.O. 1990, c. C.40, s. 46 (2); 2004, c. 16, s. 2 (2). Income Tax Act (Canada), s. 130, part applicable (3) Paragraphs 130 (3) (a) and (b) and subsection 130 (4) of the Income Tax Act
(Canada) apply for the purposes of this Act.  1994, c. 14, s. 18 (1); 2004, c. 16, s. 2 (2). Section Amendments with date in force (d/m/y) 1994, c. 14, s. 18 (1, 2) - 17/12/1991; 1998, c. 34, s. 45 (1, 2) - 01/01/1991 2004, c. 16, s. 2 (2)
- 01/01/2004 mortgage investment corporations
47 Where a corporation was, throughout a taxation year, a mortgage investment corporation, as defined in subsection 130.1 (6) of the Income Tax Act (Canada), the rules provided in the said section 130.1 are applicable in computing its income for the taxation year for the purposes of this Act.  R.S.O. 1990, c. C.40, s. 47; 2004, c. 16, s. 2 (2). Section Amendments with date in force (d/m/y) 2004, c. 16, s. 2 (2)
- 01/01/2004 mutual fund corporations
48.1 Section 132.2 of the Income Tax Act (Canada) applies for the purposes of this Act in so far as that section applies to corporations and, in the application of that section, the reference in paragraph 132.2 (1) (o) to “Part I.3” shall be read as a reference to Part III of this Act and the reference to “this Part” shall be read as a reference to Part II of this Act.  1996, c. 29, s. 54 (1); 2004, c. 16, s. 2 (2). Section Amendments with date in force (d/m/y) 1996, c. 29, s. 54 (1, 2) - 01/07/1994 2004, c. 16, s. 2 (2)
- 01/01/2004 non-resident-owned investment corporations
49 (1) The income of a non-resident-owned investment corporation for a taxation year shall be computed as if its only income for the year was the amount, if any, by which its taxable capital gains for the year exceeds its allowable capital losses for the year, from dispositions of taxable Canadian property or property that would be taxable Canadian property if at no time in the year the corporation had been resident in Canada.  R.S.O. 1990, c. C.40, s. 49 (1); 2004, c. 16, s. 2 (2). Computation of taxable income (2) The taxable income of a non-resident-owned investment corporation for a taxation year is its income determined under subsection (1), minus its net capital losses for taxation years preceding and a taxation year following the taxation year, as determined in accordance with section 111 of the Income Tax Act (Canada) as made applicable by section 34 of this Act.  R.S.O. 1990, c. C.40, s. 49 (2); 2004, c. 16, s. 2 (2). Income Tax Act (Canada), ss. 134, 134.2 applicable (3) Section 134 of the Income Tax Act (Canada) applies for the purposes of this Act and section 134.2 of that Act applies for the purposes of this Act in respect of a corporation that revokes, after February 27, 2000, an election to be taxed as a non-resident-owned investment corporation.  2004, c. 31, Sched. 9, s. 24. Section Amendments with date in force (d/m/y) 2004, c. 16, s. 2 (2)
- 01/01/2004; 2004, c. 31, Sched. 9, s. 24 - 28/02/2000 patronage dividends
50 (1) Sections 135 and 135.1 of the Income Tax Act (Canada) apply for the purposes of this Act, to the extent those sections apply to corporations, with respect to, (a) the deduction from income of payments made pursuant to allocations in proportion to patronage; and (b) the inclusion in income of payments received pursuant to allocations in proportion to patronage.  2006, c. 33, Sched. G, s. 4. Exception (2) Despite subsection (1), in the application of sections 135 and 135.1 of the Income Tax Act
(Canada), (a) subsections 135 (3) and 135.1 (7) of that Act do not apply for the purposes of this Act; and (b) paragraph 135.1 (4) (b) of that Act applies only to indebtedness entered into by a corporation after December 31, 2005.  2006, c. 33, Sched. G, s. 4. Section Amendments with date in force (d/m/y) 2004, c. 16, s. 2 (2)
- 01/01/2004 2006, c. 33, Sched. G, s. 4 - 01/01/2006 credit unions
52 (1) Except as hereinafter provided, the provisions of section 137.1 of the Income Tax Act (Canada) are applicable in computing the income of deposit insurance corporations and member institutions thereof for the purposes of this Act.  R.S.O. 1990, c. C.40, s. 52 (1); 2004, c. 16, s. 2 (2). Idem (2) In the application of subsection 137.1 (1) of the said Act for the purposes of this Act, the reference in paragraph (a) thereof to “this Part” shall be deemed to be a reference to Part II of this Act.  R.S.O. 1990, c. C.40, s. 52 (2); 2004, c. 16, s. 2 (2). Exception (3) Subsection 137.1 (9) of the said Act is not applicable for the purposes of this Act.  R.S.O. 1990, c. C.40, s. 52 (3); 2004, c. 16, s. 2 (2). Section Amendments with date in force (d/m/y) 2004, c. 16, s. 2 (2)
- 01/01/2004 insurance corporations and financial institutions
53 (1) Despite any other provision of this Act, except as hereinafter provided, the taxable incomes of insurance corporations that carry on an insurance business in Ontario shall, for the purposes of this Act, be computed in accordance with the rules provided in sections 138, 138.1, 140, 141, 141.1 and 142 of the Income Tax Act (Canada).  R.S.O. 1990, c. C.40, s. 53 (1); 2004, c. 16, s. 2 (2). Interpretation (2) In the application of subsection 138 (1) of the said Act for the purposes of this Act, the reference in paragraph (d) thereof to “this Part” shall be deemed to be a reference to Part II of this Act.  R.S.O. 1990, c. C.40, s. 53 (2); 2004, c. 16, s. 2 (2). Federal investment tax not deductible (3) Paragraph 138 (3) (g) of the Income Tax Act (Canada) is not applicable for the purposes of this Act.  R.S.O. 1990, c. C.40, s. 53 (3); 2004, c. 16, s. 2 (2). Section Amendments with date in force (d/m/y) 2004, c. 16, s. 2 (2)
- 01/01/2004
54 The rules provided in section 139 of the Income Tax Act (Canada), with respect to the conversion of a provincially incorporated life insurance corporation into a mutual corporation, are applicable for the purposes of this Act.  R.S.O. 1990, c. C.40, s. 54; 2004, c. 16, s. 2 (2). Section Amendments with date in force (d/m/y) 2004, c. 16, s. 2 (2)
- 01/01/2004
54.1 The provisions of sections 139.1 and 139.2 of the Income Tax Act (Canada), to the extent that they apply to corporations, apply for the purposes of this Act in respect of transactions occurring after December 15, 1998 in connection with the demutualization of insurance corporations.  2001, c. 23, s. 36; 2004, c. 16, s. 2 (2). Section Amendments with date in force (d/m/y) 2001, c. 23, s. 36 - 16/12/1998 2004, c. 16, s. 2 (2)
- 01/01/2004
55 Section 138.1 of the Income Tax Act (Canada) is, in so far as it applies to corporations, applicable for the purposes of this Act.  R.S.O. 1990, c. C.40, s. 55; 2004, c. 16, s. 2 (2). Section Amendments with date in force (d/m/y) 2004, c. 16, s. 2 (2)
- 01/01/2004
55.1 (1) Sections 142.2 to 142.7 of the Income Tax Act (Canada) apply for the purposes of this Act in the same manner and subject to the same exceptions as those sections apply for the purposes of that Act.  1996, c. 29, s. 55; 2001, c. 23, s. 37; 2004, c. 16, s. 2 (2). Determining losses of entrant bank on winding-up of Canadian affiliate (2) If paragraphs 142.7 (12) (a) and (b) of the Income Tax Act (Canada) apply in respect of the winding-up of a Canadian affiliate of an entrant bank (within the meaning of subsection 142.7 (1) of that Act) or in respect of the dissolution of a Canadian affiliate of an entrant bank under a dissolution order (within the meaning of subsection 142.7 (12) of that Act), the rules in paragraphs 142.7 (12) (d) to (g) of that Act apply for the purposes of determining the non-capital loss or net capital loss of the entrant bank under this Act.  2004, c. 31, Sched. 9, s. 26. Exception (3) Subsection (2) does not apply unless, (a) before the later of the date determined under paragraph 142.7 (11) (b) of the Income Tax Act (Canada) and the day that is 180 days after the day the Budget Measures Act (Fall), 2004 receives Royal Assent, (i) the entrant bank and the Canadian affiliate jointly elect that subsection (2) applies, if the Canadian affiliate has not been wound up or dissolved before the election is made, or (ii) the entrant bank elects that subsection (2) applies, if the Canadian affiliate has been wound up or dissolved and ceases to exist before the election is made; or (b) the entrant bank and the Canadian affiliate have jointly elected under paragraph 142.7 (12) (c) of the Income Tax Act (Canada) to have section 142.7 of that Act apply.  2004, c. 31, Sched. 9, s. 26. Application of Income Tax Act (Canada), s. 142.7 (12) (h) (4) If subsection (2) applies in respect of the winding-up of a Canadian affiliate of an entrant bank or in respect of the dissolution of a Canadian affiliate of an entrant bank under a dissolution order, the rules in paragraph 142.7 (12) (h) of the Income Tax Act (Canada) apply in respect of the entrant bank.  2004, c. 31, Sched. 9, s. 26. Exception (5) Subsection (4) does not apply unless, for its particular taxation year referred to in paragraph 142.7 (12) (h) of the Income Tax Act (Canada), the entrant bank, (a) elects under paragraph 142.7 (12) (h) of that Act to have that paragraph apply; or (b) elects under this subsection before the date determined under clause (3) (a) that subsection (4) applies.  2004, c. 31, Sched. 9, s. 26. Application of subs. (2) (6) Subsection (2) applies only to taxation years for which an election by the affiliate and bank under paragraph 142.7 (12) (c) of the Income Tax Act (Canada) applies or to which section 142.7 of the Income Tax Act
(Canada) would have applied if an election had been made under paragraph 142.7 (12) (c) of that Act.  2004, c. 31, Sched. 9, s. 26. Section Amendments with date in force (d/m/y) 1996, c. 29, s. 55 - 23/02/1994 2001, c. 23, s. 37
- 28/06/1999 2004, c. 16, s. 2 (2)
- 01/01/2004; 2004, c. 31, Sched. 9, s. 26 - 28/06/1999 communal organizations
56 Section 143 of the Income Tax Act (Canada) is, in so far as it applies to corporations, applicable for the purposes of this Act.  R.S.O. 1990, c. C.40, s. 56; 2004, c. 16, s. 2 (2). Section Amendments with date in force (d/m/y) 2004, c. 16, s. 2 (2)
- 01/01/2004 tax shelters
57.3 (1) The corporate minimum tax payable by a corporation for a taxation year under this Part shall be the amount determined according to the following formula: CMT = (I – L1 – L2) × A × R where: “CMT” is the amount of the corporation’s corporate minimum tax for the taxation year; “I” is the amount of the corporation’s adjusted net income, if any, for the taxation year; “L1” is the amount of the corporation’s pre-1994 loss, if any, to be deducted for the taxation year; “L2” is the amount of the corporation’s eligible losses, if any, for the taxation year; “A” is the corporation’s Ontario allocation factor for the taxation year; and “R” is the rate of corporate minimum tax payable by the corporation for the taxation year. 1994, c. 14, s. 21 (1); 2004, c. 16, s. 2 (2). Deductions from tax (2) A corporation may deduct from the corporate minimum tax otherwise payable by it under this Part for a taxation year, (a) the amount of the corporation’s foreign tax credit, if any, for the taxation year, as determined under this Part, if the corporation is not a life insurance corporation; and (b) the amount of tax payable by the corporation under Part II for the taxation year, after all deductions from tax to which the corporation is entitled for the year under Part II, other than a deduction permitted under section 43.1.  1994, c. 14, s. 21 (1); 2004, c. 16, s. 2 (2). Section Amendments with date in force (d/m/y) 1994, c. 14, s. 21 (1, 2) - 01/01/1994 2004, c. 16, s. 2 (2)
- 01/01/2004
57.6 A corporation’s Ontario allocation factor for a taxation year for the purposes of this Part is the fraction equal to “A/B” where, (a) “A” equals the amount of taxable income of the corporation for the taxation year, or the taxable income of the corporation earned in Canada for the taxation year if the corporation is a corporation to which subsection 2 (2) applies, that would not be considered for the purposes of section 39 to have been earned in jurisdictions other than Ontario, except that the taxable income or the taxable income earned in Canada shall be deemed to be $1 if there would otherwise be no taxable income or taxable income earned in Canada for the year; and (b) “B” equals the amount of taxable income of the corporation for the taxation year, or the taxable income of the corporation earned in Canada for the taxation year if the corporation is a corporation to which subsection 2 (2) applies, except that the taxable income or the taxable income earned in Canada shall be deemed to be $1 if there would otherwise be no taxable income or taxable income earned in Canada for the year.  1994, c. 14, s. 21 (1); 2004, c. 16, s. 2 (2). Section Amendments with date in force (d/m/y) 1994, c. 14, s. 21 (1, 2) - 01/01/1994 2004, c. 16, s. 2 (2)
- 01/01/2004