jswizzle3737/ontario_laws_and_regs huggingface dataset:
102. For the purposes of section 17 of the Act, there may be deducted in computing a corporation’s income for a taxation year such of the amounts determined in accordance with sections 103 to 107 and section 109 as are applicable.  R.R.O. 1990, Reg. 183, s. 102.
103. (1) In computing a corporation’s income for a taxation year from oil or gas operations, there may be deducted such amount as it may claim not exceeding the lesser of,  (a) 25 per cent of the amount, if any, by which the corporation’s resource profits from oil or gas operations for the taxation year, if the year ends after December 31, 1998, exceed four times the sum of the amounts, if any, deducted in computing the corporation’s income for that year under subsection 1202 (2) of the regulations made under the Income Tax Act (Canada), as made applicable by subsection 104 (2); and (b) the aggregate of the corporation’s earned depletion base as of the end of the year and the amount, if any, by which, (i) the aggregate determined under paragraph 1202 (4) (a) of the regulations made under the Income Tax Act (Canada), as made applicable by subsection 104 (2), in respect of the corporation for the year, exceeds, (ii) the amount, if any, by which the aggregate of all amounts that would be determined under clauses (e) to (k) of the definition of “earned depletion base” in subsection 101 (1) in computing the corporation’s earned depletion base as of the end of the year exceeds 33 1/3 per cent of the aggregate of all amounts that would be determined under clauses (a) to (d.1) of the definition of “earned depletion base” in subsection 101 (1) in computing the corporation’s earned depletion base as of the end of the year.  O. Reg. 355/98, s. 11 (1); O. Reg. 60/06, s. 2 (1). (2), (3) Revoked:  O. Reg. 60/06, s. 2 (2).
104. (1) For the purposes of computing the earned depletion base of a corporation, where, after the 19th day of April, 1977 and before the 13th day of November, 1981, control of the corporation is considered to have been acquired for the purposes of subsection 66 (11) of the Income Tax Act
(Canada) by a person or persons who did not control the corporation at the time when it last ceased to carry on active business, the amount by which the earned depletion base of the corporation at that time exceeds the aggregate of amounts otherwise deducted under section 103 in computing its income for taxation years ending after that time and before control was so acquired, shall be deemed to have been deducted under section 103 by the corporation in computing its income for taxation years ending before such acquisition of control.  R.R.O. 1990, Reg. 183, s. 104 (1). (2) The rules set out in subsections 1202 (2) to (11) of the regulations made under the Income Tax Act (Canada) apply for the purposes of this section in so far as they apply to income from the production of oil or gas from a natural accumulation of petroleum or natural gas in Canada, an oil or gas well or a petroleum deposit, except that, (a) the reference to Part I of the Income Tax Act (Canada) in paragraph 1202 (7) (b) shall be read as a reference to Part II of the Act; and (b) the portion of subparagraph 1202 (2) (b) (i) after clause (D) shall be read without reference to the words “and as if that income did not include any portion thereof designated under clause 66.7 (2) (b) (ii) (A) of the Act”.  O. Reg. 355/98, s. 12 (1). Note:  Subsection 104 (2), as remade by O. Reg. 355/98, s. 12 (1), applies to corporations for taxation years ending after February 17, 1987, except that, (a) any notification required to be given under paragraph 1202 (7) (g) or (h) of the regulations made under the Income Tax Act (Canada) shall be deemed to have been given within the required time if the Minister of Finance is notified in writing of the agreement referred to in that paragraph within one year after Ontario Regulation 355/98 is filed; (b) in respect of property acquired before January 15, 1987, or acquired before 1988 where the person acquiring the property is considered for the purposes of section 66.7 of the Income Tax Act (Canada), as adopted by section 21 of the Act, to have been under the obligation on January 15, 1987 to acquire the property under the terms of an agreement in writing entered into on or before January 15, 1987, (i) clause 1202 (2) (b) (i) (C) of the regulations made under the Income Tax Act (Canada) shall be read as follows: “(C) where the particular property was an interest in or a right to take or remove petroleum or natural gas or a right to take or remove minerals from a property, the production from that property,”, and (ii) the rules in subsection 1202 (9) of the regulations made under the Income Tax Act (Canada) shall not apply.  See:  O. Reg. 355/98, s. 12 (2). Additional Allowance in Respect of Certain Mines
105. (1) Subject to subsection (2), a corporation that operates in Canada a mine for the production of materials from a resource may deduct in computing its income for a taxation year such amounts as it may claim not exceeding 33 per cent of the amount determined under subsection 1209 (2) of the regulations made under the Income Tax Act (Canada). (2) The amount that may be claimed under subsection (1) shall not exceed the amount by which, (a) the amount determined under subsection 1209 (2) of the regulations made under the Income Tax Act (Canada), exceeds, (b) the amount that is the aggregate of, (i) the amounts, in respect of the amount determined under subsection 1209 (2), deducted pursuant to section 17 of the Act or subsection 62 (1) of the Corporations Tax Act, 1972, as that subsection read in its application to taxation years ending before the 20th day of April, 1977 in computing the income of the corporation in previous taxation years, and (ii) the amounts, in respect of the amount determined under the said subsection 1209 (2), deducted in computing the income of the corporation under any predecessor Act.  R.R.O. 1990, Reg. 183, s. 105. Frontier Exploration Allowances
106. (1) A corporation may deduct in computing its income for a taxation year such amount as it may claim not exceeding the lesser of, (a) its income for the year, computed in accordance with Part II of the Act, if no deduction were allowed under this subsection; and (b) its frontier exploration base as of the end of the year (before making any deduction under this subsection for the year). (2) For the purposes of this section, “frontier exploration base”, of a corporation as of a particular time, means the amount by which, (a) the amount in respect of a particular oil or gas well in Canada determined under paragraphs 1207 (2) (a) and (a.1) of the regulations made under the Income Tax Act (Canada), exceeds the aggregate of, (b) all amounts deducted by the corporation under subsection (1) in computing its income for taxation years ending before the particular time, and (c) all amounts deducted under paragraphs 1207 (2) (c) and (d) of the regulations made under the Income Tax Act (Canada) in computing the corporation’s frontier depletion base at that particular time for the purposes of that Act.  R.R.O. 1990, Reg. 183, s. 106 (1, 2). (3) For the purposes of this section, the term “oil or gas well” has the meaning given to that term by subsection 1207 (6) of the regulations made under the Income Tax Act (Canada).  O. Reg. 355/98, s. 6 (1). Note: Subsection 106 (3), as remade by O. Reg. 355/98, s. 6 (1), applies to corporations for taxation years ending after March 31, 1985. See:  O. Reg. 355/98, s. 6 (2). Additional Allowance in Respect of Foreign Oil and Gas Wells
108.2 The following amounts are prescribed for the purposes of subsections 11.0.1 (3) and (5) of the Act: 1. An amount paid or payable to or received or receivable by the Crown in right of Canada for the use and benefit of a band or bands as defined in the Indian Act (Canada). 2. An amount paid or payable to or received or receivable by a Crown entity if the amount, i. may reasonably be regarded to be in respect of a rental for any property described in subparagraph (b) (ii) of the definition of “Canadian resource property” in subsection 66 (15) of the Income Tax Act (Canada), and ii. was paid or payable or received or receivable before the commencement of production of minerals in reasonable commercial quantities from the property referred to in subparagraph i. 3. An amount paid or payable to or received or receivable by a Crown entity if the amount may reasonably be regarded to be in respect of a rental for a right, licence or privilege to store fossil fuel underground in Canada. 4. An amount equal to the lesser of, i. an amount, A. that was paid or payable to or received or receivable by a Crown entity as a rental for property or a portion of a property described in paragraph (a) of the definition “Canadian resource property” in subsection 66 (15) of the Income Tax Act (Canada), and B. that was payable or receivable in a taxation year in which there was no taking of fossil fuel from the property or portion of the property to which the rental relates, and ii. an amount equal to $2.50 times the number of hectares of the property or portion of the property to which the amount referred to in subparagraph i relates.  O. Reg. 60/06, s. 4.
108.3 For the purposes of subsection 11.0.1 (4) of the Act, a corporation’s prescribed resource loss, if any, for a taxation year is the amount determined using the formula, BB – CC where, “BB” is the total of all amounts each of which is a Canadian exploration and development overhead expense made or incurred by the corporation in the year, other than an amount that is a Canadian exploration and development overhead expense because it is deemed to be a Canadian exploration expense or a Canadian development expense under subsection 21 (2) or (4) of the Income Tax Act
(Canada), and “CC” is the corporation’s adjusted resource profits for the year as determined under section 108.  O. Reg. 60/06, s. 4. Rules Prescribed for the Purposes of Subsection 26 (4.1) of the Act
108.4 (1) If, after December 31, 2006, a corporation described in subsection 26 (4.1) of the Act disposes of property described in that subsection for no proceeds of disposition or for proceeds of disposition less than the property’s fair market value at the time of the disposition, the corporation is deemed to receive proceeds of disposition on the disposition of the property equal to the fair market value of the property at the time of the disposition.  O. Reg. 60/06, s. 5. (2) For the purposes of subsection (1), the fair market value at the time of disposition of a property described in subsection 26 (4.1) of the Act is equal to the amount by which “DD” exceeds “EE” where, “DD” is the average proceeds of disposition per unit of the property received or receivable by the corporation from persons other than Crown entities on dispositions of the same type of property in the month that included the time of disposition, and “EE”  is the sum of, (a) the total of all expenses per unit of the property, including depreciation, incurred by the corporation in respect of that month that may reasonably be attributed to transmitting, transporting, marketing or processing the property, to the extent that those expenses are reasonable and necessary and do not include any cost of acquisition by the corporation of the property, and (b) the amount in respect of the unit disposed of by the corporation that may reasonably be considered to be paid or payable to or received or receivable by the Crown in right of Canada for the use and benefit of a band or bands as defined in the Indian Act (Canada).  O. Reg. 60/06, s. 5. (3) For the purposes of subsection (2), if a Crown entity disposes of the property or part of it to another Crown entity, both Crown entities shall be deemed to be the same Crown entity.  O. Reg. 60/06, s. 5. (4) If, after December 31, 2006, a corporation described in subsection 26 (4.1) of the Act acquires property described in that subsection that was produced in the operation described in that subsection for an amount in excess of the property’s fair market value at the time of the acquisition, the corporation shall be deemed to have acquired the property at the fair market value of the property at the time of the acquisition.  O. Reg. 60/06, s. 5. (5) For the purposes of subsection (4), the fair market value of a unit of property acquired by the corporation from a Crown entity is equal to the sum of, (a) the amount per unit, if any, paid or payable to the corporation by the Crown entity; and (b) the amount per unit, if any, paid or payable to the Crown in right of Canada by the Crown entity for the use and benefit of a band or bands as defined in the Indian Act (Canada).  O. Reg. 60/06, s. 5. Supplementary Depletion Allowances
109. Revoked:  O. Reg. 355/98, s. 31 (1). Note:  Despite its revocation by O. Reg. 355/98, s. 31 (1), section 109 continues to apply to corporations for taxation years commencing before May 7, 1997.  See:  O. Reg. 355/98, s. 30 (2).
110. For the purposes of subparagraph 66.1 (2) (a) (ii) of the Income Tax Act
(Canada) as made applicable by section 19 of the Act,  “prescribed deduction”, in respect of a corporation for a taxation year, means an amount deducted under subsection 1202 (2) of the regulations made under the Income Tax Act
(Canada), as made applicable by subsection 104 (2), by the corporation in computing its income for the year.  O. Reg. 355/98, s. 14 (1). Note:  Section 110, as remade by O. Reg. 355/98, s. 14 (1), applies to corporations for taxation years ending after February 17, 1987.  See:  O. Reg. 355/98, s. 14 (2).
111. The rules set out in section 1214 of the regulations made under the Income Tax Act (Canada) apply for the purposes of this Part.  R.R.O. 1990, Reg. 183, s. 111. PART II   ALLOWANCES IN RESPECT OF CAPITAL COST Deductions
303. (1) Despite subsections 302 (3) and (4), the amount of taxable income that shall be deemed to have been earned in a taxation year in a jurisdiction other than Ontario by an insurance corporation that is resident in Canada and that does not carry on a life insurance business is that proportion of the corporation’s taxable income for the year that the aggregate of, (a) the corporation’s net premiums for the year in respect of insurance on property situated in that other jurisdiction; and (b) the corporation’s net premiums for the year in respect of insurance, other than on property, from contracts with persons resident in that other jurisdiction, is of the total of such of the corporation’s net premiums for the year as are included in computing the corporation’s income for the purposes of the Act. (2) Despite subsections 302 (3) and (4), the amount of taxable income that shall be deemed to have been earned in a taxation year in a province or territory of Canada other than Ontario by an insurance corporation other than an insurance corporation to which subsection (1) applies, is that proportion of the corporation’s taxable income for the year that the aggregate of, (a) the corporation’s net premiums for the year in respect of insurance on property situated in that other province or territory of Canada; and (b) the corporation’s net premiums for the year in respect of insurance, other than on property, from contracts with persons resident in that other province or territory of Canada, is of the total of such of the corporation’s net premiums for the year as are included in computing the corporation’s income for the purposes of the Act. (3) In this section, “net premiums” means the aggregate of the gross premiums received by a corporation in a taxation year, other than consideration received by the corporation for annuities, minus the aggregate for the year of, (a) premiums paid by the corporation for reinsurance, (b) dividends or rebates paid or credited by the corporation to policyholders, and (c) rebates or returned premiums paid by the corporation in respect of the cancellation of policies. (4) For the purpose of subsection (1) or (2), where an insurance corporation had no permanent establishment in a jurisdiction outside Ontario in a taxation year, (a) a net premium for that year in respect of insurance on property situated in that jurisdiction shall be deemed to be a net premium in respect of insurance on property situated in the jurisdiction in which the permanent establishment of the corporation to which the net premium is reasonably attributable is situated; and (b) a net premium for that year in respect of insurance, other than on property, from contracts with persons resident in that jurisdiction shall be deemed to be a net premium in respect of insurance, other than on property, from contracts with persons resident in the jurisdiction which the permanent establishment of the corporation to which the net premium is reasonably attributable is situated.  R.R.O. 1990, Reg. 183, s. 303. Banks
304. (1) Despite subsections 302 (3) and (4), the amount of taxable income of a bank that shall be deemed to have been earned in a taxation year in a jurisdiction other than Ontario in which it had a permanent establishment is one-third of the aggregate of, (a) that proportion of the bank’s taxable income for the taxation year that the aggregate of the salaries and wages paid in the year by the bank to employees of the bank’s permanent establishments in that other jurisdiction is of the aggregate of all salaries and wages paid in the taxation year by the bank; and (b) twice that proportion of the bank’s taxable income for the taxation year that the aggregate amount of loans and deposits of the bank’s permanent establishments in that other jurisdiction for the taxation year is of the aggregate amount of all loans and deposits of the bank for the taxation year. (2) For the purpose of subsection (1), the amount of loans for a taxation year is one-twelfth of the aggregate of the amounts outstanding on the loans made by the bank at the close of business on the last day of each month in the taxation year. (3) For the purpose of subsection (1), the amount of deposits for a taxation year is one-twelfth of the aggregate of the amounts on deposit with the bank at the close of business on the last day of each month in the taxation year. (4) For the purpose of subsections (2) and (3), loans and deposits do not include bonds, stocks, debentures, items in transit and deposits in favour of Her Majesty in Right of Canada.  R.R.O. 1990, Reg. 183, s. 304. Trust and Loan Corporations
305. (1) Despite subsections 302 (3) and (4), the amount of taxable income that shall be deemed to have been earned in a taxation year by a bank mortgage subsidiary as defined in section 1 of the Loan and Trust Corporations Act, a trust and loan corporation, a trust corporation or a loan corporation in a jurisdiction other than Ontario in which it had a permanent establishment is that proportion of the corporation’s taxable income for the taxation year that the gross revenue for the taxation year of the corporation’s permanent establishments in that other jurisdiction is of the total gross revenue for the taxation year of the corporation.  O. Reg. 453/92, s. 3. (2) For the purpose of subsection (1), “gross revenue for the taxation year of the corporation’s permanent establishments in that other jurisdiction” means the aggregate of the gross revenue of a corporation for the taxation year arising from, (a) loans secured by real property situated in that other jurisdiction, (b) loans not secured by real property to persons residing in that other jurisdiction, (c) loans administered by a permanent establishment of the corporation in that other jurisdiction made to persons residing in another jurisdiction in which the corporation has no permanent establishment but not including loans secured by real property situated in another jurisdiction in which the corporation has a permanent establishment, and (d) business conducted at the permanent establishments of the corporation in that other jurisdiction, other than revenue in respect of loans.  R.R.O. 1990, Reg. 183, s. 305 (2). Railway Corporations
307. (1) Despite subsections 302 (3) and (4), the amount of taxable income of an airline corporation that shall be deemed to have been earned in a taxation year in a province or territory of Canada other than Ontario in which it had a permanent establishment is an amount equal to one-quarter of the aggregate of, (a) that proportion of the corporation’s taxable income for the taxation year that the capital cost of all fixed assets of the corporation, except for aircraft, in that province or territory of Canada at the end of the taxation year is of the capital cost of all the corporation’s fixed assets, except for aircraft, in Canada at the end of the taxation year; and (b) that proportion of the corporation’s taxable income for the taxation year that three times the revenue plane distance flown by the corporation’s aircraft in that province or territory of Canada during the taxation year is of the total revenue plane distance flown by the corporation’s aircraft in Canada during the taxation year. (2) For the purpose of clause (1) (b), “revenue plane distance flown” shall be weighted according to the take-off weight of the aircraft operated. (3) For the purpose of subsection (2), “take-off weight”, of an aircraft, means the take-off weight determined under subsection 407 (3) of the regulations made under the Income Tax Act (Canada).  R.R.O. 1990, Reg. 183, s. 307. (4) For the purposes of clauses (1) (b) and 328 (1) (b), the total revenue plane distance flown by a corporation’s aircraft in Canada during a taxation year shall not include the revenue plane distance flown during the taxation year by the corporation’s aircraft in a province or territory of Canada in which the corporation had no permanent establishment.  O. Reg. 306/97, s. 2 (1). Note:  Subsection 307 (4), as made by subsection 2 (1) of O. Reg. 306/97, applies to taxation years of corporations commencing after 1992.  See:  O. Reg. 306/97, s. 2 (2). Grain Elevator Operators
308. Despite subsections 302 (3) and (4), the amount of taxable income of a corporation the chief business of which is the operation of grain elevators that shall be deemed to have been earned by that corporation in a taxation year in a jurisdiction other than Ontario in which it had a permanent establishment is one-half the aggregate of, (a) that portion of the corporation’s taxable income for the taxation year that the quantity of grain received in the taxation year in the elevators operated by the corporation in that other jurisdiction is of the total quantity of grain received in the taxation year in all the elevators operated by the corporation; and (b) that proportion of the corporation’s taxable income for the taxation year that the aggregate of salaries and wages paid in the taxation year by the corporation to employees of the permanent establishments in that other jurisdiction is of the aggregate of all salaries and wages paid in the taxation year by the corporation.  R.R.O. 1990, Reg. 183, s. 308. Bus and Truck Operators
309. Despite subsections 302 (3) and (4), the amount of taxable income of a corporation the chief business of which is the transportation of goods, the transportation of passengers or the transportation of goods and passengers (other than by the operation of a railway, ship or airline service) that shall be deemed to have been earned by that corporation in a taxation year in a jurisdiction other than Ontario in which it had a permanent establishment is one-half the aggregate of, (a) that proportion of the corporation’s taxable income for the taxation year that the distance driven by the corporation’s vehicles, whether owned or leased (hereinafter referred to as “its vehicles”), on roads in that other jurisdiction in the taxation year is of the total distance driven by its vehicles in the taxation year on roads (other than on roads in a jurisdiction in which the corporation had no permanent establishment); and (b) that proportion of the corporation’s taxable income for the taxation year that the aggregate of salaries and wages paid in the taxation year by the corporation to employees of the permanent establishments in that other jurisdiction is of the aggregate of all salaries and wages paid in the taxation year by the corporation.  R.R.O. 1990, Reg. 183, s. 309. Pipeline Operators
310. Despite subsections 302 (3) and (4), the amount of taxable income of a corporation the chief business of which is the operation of a pipeline for oil, gas or water that shall be deemed to have been earned by that corporation in a taxation year in a province or territory of Canada other than Ontario in which it had a permanent establishment is one-half of the aggregate of, (a) that proportion of the corporation’s taxable income for the taxation year that the length of pipe of the corporation in that province or territory of Canada is of the length of pipe of the corporation in all provinces and territories of Canada in which it had a permanent establishment; and (b) that proportion of the corporation’s taxable income for the taxation year that the aggregate of salaries and wages paid in the taxation year by the corporation to employees of the corporation’s permanent establishments in that province or territory of Canada is of the aggregate of all salaries and wages paid in all the corporation’s permanent establishments in Canada in the taxation year by the corporation.  R.R.O. 1990, Reg. 183, s. 310. Navigation Corporations
311. (1) Despite subsections 302 (3) and (4), the amount of taxable income of a corporation the chief business of which is the operation of ships that shall be deemed to have been earned by the corporation in a taxation year in a province or territory of Canada other than Ontario in which it had a permanent establishment is the aggregate of, (a) that proportion of the corporation’s allocable income for the taxation year that the corporation’s port-call-tonnage in that province or territory of Canada is of the corporation’s port-call tonnage in all provinces and territories of Canada in which it had a permanent establishment; and (b) where the corporation’s taxable income for the taxation year exceeds the corporation’s allocable income for the taxation year, that proportion of the excess that the aggregate of the salaries and wages paid in the taxation year by the corporation to employees of the permanent establishments, other than a ship, in that province or territory of Canada, is of the aggregate of salaries and wages paid in the taxation year by the corporation to employees of permanent establishments, other than ships, in Canada. (2) For the purpose of subsection (1), “allocable income for the taxation year” means that proportion of the taxable income of the corporation for the taxation year that the corporation’s total port-call-tonnage in Canada is of the corporation’s total port-call-tonnage in all countries; “port-call-tonnage”, in a province, territory or country, means the aggregate of the products obtained by multiplying, for each ship operated by the corporation, the number of calls made in the taxation year by that ship at ports in that province, territory or country by the number of tons of the registered net tonnage of that ship.  R.R.O. 1990, Reg. 183, s. 311. Divided Businesses
312. Where part of the business of a corporation for a taxation year, other than a corporation described in section 303, 304, 305, 306, 307, 308, 309, 310 or 311 consisted of operations normally conducted by a corporation described in one of those sections, the corporation and the Minister may agree to determine the amount of taxable income deemed to have been earned in the taxation year in a jurisdiction other than Ontario as the aggregate of the amounts computed by, (a) applying the provisions of such of those sections as would have been applicable had the corporation been a corporation described therein to the portion of the corporation’s taxable income for the taxation year that might reasonably be considered to have arisen from that part of the business; and (b) applying the provisions of subsection 302 (3) to the remaining portion of the corporation’s taxable income for the taxation year.  R.R.O. 1990, Reg. 183, s. 312. Allocation of Taxable Income Earned in Canada of Non-Residents
313. For the purpose of section 39 of the Act, the taxable income earned in Canada of a corporation to which subsection 2 (2) of the Act applies shall be allocated to the provinces and territories of Canada in accordance with the rules set out in sections 314 to 318.  R.R.O. 1990, Reg. 183, s. 313.
314. Where a non-resident corporation not otherwise having a permanent establishment in Canada becomes taxable under the Act by virtue of clause 2 (2) (b) of the Act and where section 317 is not applicable, the gross revenue that arises from the sale or rental of real property situated in Canada shall be attributable to the province or territory where the real property is situated.  R.R.O. 1990, Reg. 183, s. 314. Rules
315. Where in a taxation year a corporation has no permanent establishment in Canada other than in Ontario, all of its taxable income earned in Canada for the year shall be deemed to have been earned in Ontario.  R.R.O. 1990, Reg. 183, s. 315.
316. Where in a taxation year a corporation had a permanent establishment in Ontario and a permanent establishment in one or more other provinces or territories of Canada, the corporation’s taxable income earned in Canada shall be allocated to the provinces and territories of Canada in accordance with sections 302, 303, 304, 305, 306, 308, 309, 310 and 312 or such of those sections as are applicable on the assumption that, (a) the corporation’s taxable income earned in Canada was the corporation’s total taxable income; (b) the permanent establishments of the corporation in the provinces and territories of Canada were the corporation’s only permanent establishments; and (c) the amounts and proportions referred to in such of those sections as are applicable related exclusively to the activity of the corporation at those permanent establishments, provided that, where a corporation to which this section applies ships merchandise to one or other of the corporation’s permanent establishments outside Canada, (d) the shipment shall be deemed to be a shipment of merchandise to a customer to whom the merchandise is sold; and (e) the corporation’s gross revenue in Canada is the gross revenue of the corporation’s permanent establishments in Canada including such amount from the shipment in determining the taxable income earned in Canada that is reasonably attributable to the business carried on by the corporation in Canada.  R.R.O. 1990, Reg. 183, s. 316.
317. Where in a taxation year the taxable income of a corporation earned in Canada was derived solely from the sale or rental of real property in Canada and the corporation owned real property that is situated in Ontario and real property that is situated in another province or territory of Canada, the corporation’s taxable income earned in Canada shall be allocated to the provinces and territories of Canada in accordance with section 302 on the assumption that, (a) the real property was a permanent establishment of the corporation in the province or territory; (b) the corporation’s taxable income earned in Canada was the corporation’s total taxable income; (c) the real property was the only real property owned by the corporation; and (d) the amounts and proportions allocated to the provinces and territories of Canada related exclusively to the activity of the corporation in the province or territory of Canada where the real property was situated.  R.R.O. 1990, Reg. 183, s. 317.
318. Where in a taxation year the taxable income of a corporation earned in Canada was derived, (a) solely from the disposition of, (i) taxable Canadian property, (ii) a Canadian resource property, or (iii) an income interest in a trust resident in Canada; or (b) partly from sources referred to in clause (a) and partly from the sale or rental of real property in Canada, the following rules apply: 1. That part of the income from sources referred to in clause (a) that is income from the disposition of property deemed to be situated in Ontario, under section 504, shall be attributed to Ontario and that part of the income from the disposition of property, other than property deemed situated in Ontario, shall be attributed to the province or territory in which the property is situated. 2. That part of the income that is income from the sale or rental of real property shall be allocated to the provinces and territories in Canada in accordance with section 302 under the assumptions set out in clauses 317 (a), (b), (c) and (d).  R.R.O. 1990, Reg. 183, s. 318. Allocation of Taxable Paid-Up Capital
319. The amount of the taxable paid-up capital of a corporation to which subsection 2 (1) of the Act applies that shall be deemed to have been used in a taxation year in a jurisdiction other than Ontario shall be determined in accordance with the rules set out in sections 320 to 328.  R.R.O. 1990, Reg. 183, s. 319. Rules
320. (1) Where in a taxation year a corporation had no permanent establishment outside Ontario, all of the corporation’s taxable paid-up capital for the taxation year shall be deemed to have been used in Ontario. (2) Where in a taxation year a corporation had no permanent establishment in Ontario, all of the corporation’s taxable paid-up capital shall be deemed to have been used in a jurisdiction other than Ontario. (3) Subject to subsection 302 (5), where, in a taxation year, a corporation had a permanent establishment in Ontario and a permanent establishment in a jurisdiction other than Ontario, the amount of the corporation’s taxable paid-up capital that shall be deemed to have been used in the taxation year in that other jurisdiction is, (a) in any case other than a case specified in clause (b) or (c), one-half the aggregate of, (i) that proportion of the corporation’s taxable paid-up capital that the gross revenue for the taxation year reasonably attributable to the permanent establishments in that other jurisdiction is of the corporation’s total gross revenue for the taxation year, and (ii) that proportion of the corporation’s taxable paid-up capital that the aggregate of the salaries and wages paid in the taxation year by the corporation to the employees of the permanent establishments in that other jurisdiction is of the aggregate of all salaries and wages paid in the taxation year by the corporation; (b) in any case where the gross revenue for the taxation year of the corporation is nil, that proportion of the corporation’s taxable paid-up capital that the aggregate of the salaries and wages paid in the taxation year by the corporation to employees of the permanent establishments in that other jurisdiction is of the aggregate of all salaries and wages paid in the taxation year by the corporation; and (c) in any case where the aggregate of the salaries and wages paid in the taxation year by the corporation is nil, that proportion of the corporation’s taxable paid-up capital that the gross revenue for the taxation year reasonably attributable to the permanent establishments in that other jurisdiction is of the corporation’s total gross revenue for the taxation year.  R.R.O. 1990, Reg. 183, s. 320. Banks
321. (1) Despite subsection 320 (3), the amount of taxable paid-up capital of a bank that shall be deemed to have been used in a taxation year in a jurisdiction other than Ontario in which it had a permanent establishment is one-third of the aggregate of, (a) that proportion of the bank’s taxable paid-up capital for the taxation year that the aggregate of the salaries and wages paid in the year by the bank to the employees of the bank’s permanent establishments in that other jurisdiction is of the aggregate of all salaries and wages paid in the taxation year by the bank; and (b) twice that proportion of the bank’s taxable paid-up capital for the taxation year that the aggregate amount of loans and deposits of the bank’s permanent establishments in that other jurisdiction for the taxation year is of the aggregate amount of all loans and deposits of the bank for the taxation year. (2) For the purpose of subsection (1), the amount of loans for a taxation year is one-twelfth of the aggregate of the amounts outstanding on the loans made by the bank at the close of business on the last day of each month in the taxation year. (3) For the purpose of subsection (1), the amount of deposits for a taxation year is one-twelfth of the aggregate of the amounts on deposit with the bank at the close of business on the last day of each month in the taxation year. (4) For the purpose of subsections (2) and (3), loans and deposits do not include bonds, stocks, debentures, items in transit and deposits in favour of Her Majesty in Right of Canada.  R.R.O. 1990, Reg. 183, s. 321. Trust and Loan Corporations
322. (1) Despite subsection 320 (3), the amount of taxable paid-up capital that shall be deemed to have been used in a taxation year by a bank mortgage subsidiary as defined in section 1 of the Loan and Trust Corporations Act, a trust and loan corporation, a trust corporation or a loan corporation in a jurisdiction other than Ontario in which it had a permanent establishment is that proportion of the corporation’s taxable paid-up capital for the taxation year that the gross revenue for the taxation year of the corporation’s permanent establishments in that other jurisdiction is of the total gross revenue for the taxation year of the corporation.  O. Reg. 453/92, s. 5. (2) Subsection 305 (2) applies with necessary modifications to subsection (1).  R.R.O. 1990, Reg. 183, s. 322 (2). Railway Corporations
323. (1) Despite subsection 320 (3), the amount of taxable paid-up capital of a railway corporation that shall be deemed to have been used in a taxation year in a province or territory of Canada other than Ontario in which it had a permanent establishment is one-half the aggregate of, (a) that proportion of the corporation’s taxable paid-up capital for the taxation year that the corporation’s equated track length in that province or territory of Canada is of the corporation’s equated track length in Canada; and (b) that proportion of the corporation’s taxable paid-up capital for the taxation year that the corporation’s gross ton miles for the taxation year in the province or territory of Canada is of the corporation’s gross ton miles for the taxation year in Canada.  R.R.O. 1990, Reg. 183, s. 323 (1); O. Reg. 453/92, s. 6 (1). (2) For the purposes of subsection (1), “equated track length” means, in a specified place, the aggregate of, (a) the length of first main track, (b) 80 per cent of the length of other main tracks, and (c) 50 per cent of the length of yard tracks and sidings, in that place.  R.R.O. 1990, Reg. 183, s. 323 (2); O. Reg. 453/92, s. 6 (2). Grain Elevator Operators
324. Despite subsection 320 (3), the amount of taxable paid-up capital of a corporation the chief business of which is the operation of grain elevators that shall be deemed to have been used by that corporation in a taxation year in a jurisdiction other than Ontario in which it had a permanent establishment is one-half the aggregate of, (a) that proportion of the corporation’s taxable paid-up capital that the quantity of grain received in the taxation year in the elevators operated by the corporation in that other jurisdiction is of the quantity of grain received in the taxation year in all the elevators operated by the corporation; and (b) that proportion of the corporation’s taxable paid-up capital that the aggregate of salaries and wages paid in the taxation year by the corporation to employees of the permanent establishments in that other jurisdiction is of the aggregate of all salaries and wages paid in the taxation year by the corporation.  R.R.O. 1990, Reg. 183, s. 324. Bus and Truck Operators
325. Despite subsection 320 (3), the amount of taxable paid-up capital of a corporation, the chief business of which is the transportation of goods, the transportation of passengers or the transportation of goods and passengers (other than by the operation of a railway, ship or airline service), that shall be deemed to have been used by that corporation in a taxation year in a jurisdiction other than Ontario in which it had a permanent establishment is one-half the aggregate of, (a) that proportion of the corporation’s taxable paid-up capital that the distance driven by the corporation’s vehicles, whether owned or leased (hereinafter referred to as “its vehicles”), on roads in that other jurisdiction in the taxation year is of the total distance driven by its vehicles in the taxation year on roads (other than on roads in a jurisdiction in which the corporation had no permanent establishment); and (b) that proportion of the corporation’s taxable paid-up capital that the aggregate of salaries and wages paid in the taxation year by the corporation to employees of the permanent establishments in that other jurisdiction is of the aggregate of all salaries and wages paid in the taxation year by the corporation.  R.R.O. 1990, Reg. 183, s. 325. Pipeline Operators
326. Despite subsection 320 (3), the amount of taxable paid up capital of a corporation the chief business of which is the operation of a pipeline for oil, gas or water that shall be deemed to have been used by that corporation in a taxation year in a province or territory of Canada other than Ontario in which it had a permanent establishment is one-half the aggregate of, (a) that proportion of the corporation’s taxable paid-up capital that the length of pipe of the corporation in that province or territory of Canada is of the length of pipe of the corporation in all provinces and territories of Canada in which it had a permanent establishment; and (b) that proportion of the corporation’s taxable paid-up capital that the aggregate of the salaries and wages paid in the taxation year by the corporation to employees of the corporation’s permanent establishments in that province or territory of Canada is of the aggregate of all salaries and wages paid in all the corporation’s permanent establishments in Canada in the taxation year by the corporation.  R.R.O. 1990, Reg. 183, s. 326. Navigation Corporations
327. (1) Despite subsection 320 (3), the amount of taxable paid-up capital of a corporation the chief business of which is operating ships that shall be deemed to have been used by the corporation in a taxation year in a province or territory of Canada other than Ontario in which it had a permanent establishment is the aggregate of, (a) that proportion of the corporation’s allocable paid-up capital that the corporation’s port-call-tonnage in that province or territory of Canada is of the corporation’s port-call-tonnage in all provinces and territories of Canada in which it had a permanent establishment; and (b) where the corporation’s taxable paid-up capital exceeds the corporation’s allocable paid-up capital, that proportion of the excess that the aggregate of the salaries and wages paid in the taxation year by the corporation to employees of the permanent establishments, other than a ship, in that province or territory of Canada is of the aggregate of salaries and wages paid in the taxation year by the corporation to employees of permanent establishments, other than ships, in Canada. (2) For the purpose of subsection (1), “allocable paid-up capital” means that portion of taxable paid-up capital of the corporation that the corporation’s port-call-tonnage in Canada is of the corporation’s total port-call-tonnage in all countries. (3) The definition of “port-call-tonnage” in subsection 311 (2) applies with necessary modifications to this section.  R.R.O. 1990, Reg. 183, s. 327. Airline Corporations
328. (1) Despite subsection 320 (3), the amount of taxable paid-up capital of an airline corporation that shall be deemed to have been used by that corporation in the taxation year in a province or territory of Canada other than Ontario in which it had a permanent establishment is an amount equal to one quarter of the aggregate of, (a) that proportion of the corporation’s taxable paid-up capital for the taxation year that the capital cost of all fixed assets of the corporation, except for aircraft, in that province or territory of Canada at the end of the taxation year is of the capital cost of all the corporation’s fixed assets, except for aircraft, in Canada at the end of the taxation year; and (b) that proportion of the corporation’s taxable paid-up capital for the taxation year that three times the revenue plane distance flown by the corporation’s aircraft in that province or territory of Canada during the taxation year is of the total revenue plane distance flown by the corporation’s aircraft in Canada during the taxation year.  R.R.O. 1990, Reg. 183, s. 328 (1). (2) Subsections 307 (2) and (3) apply with necessary modifications to subsection (1).  O. Reg. 306/97, s. 1. Allocation of Taxable Paid-Up Capital Employed in Canada of Non-Resident
329. For the purposes of clause 63 (1) (e) of the Act, the amount of the taxable paid-up capital employed in Canada of a corporation to which subsection 2 (2) of the Act applies shall be allocated to the provinces and territories of Canada in accordance with subsection 320 (3) and sections 321, 322, 323, 324, 325 and 326 or such of those subsections or sections as are applicable, on the assumption that the permanent establishments of the corporation in the provinces and territories of Canada were the corporation’s only permanent establishments and the amounts and proportions referred to in such of those subsections or sections as are applicable related exclusively to the activity of the corporation at those permanent establishments.  R.R.O. 1990, Reg. 183, s. 329.
330. Where in the calculation of any proportion under this Part, a particular unit of measurement is used, the same unit of measurement shall be used, where required, throughout the calculation.  R.R.O. 1990, Reg. 183, s. 330. Allocation of Taxable Paid-up Capital of Life Insurance Corporations
331. (1) For the purpose of clauses 74.1 (2) (d) and 74.1 (3) (c) of the Act, the proportion of the amount referred to in those clauses for a taxation year ending after April 30, 1992 that is deemed to have been used by the life insurance corporation in Canada but not in Ontario is the same proportion as the proportion of the taxable income of the corporation for the taxation year that is deemed to have been earned in jurisdictions other than Ontario under the rules prescribed in subsection 303 (2). (2) In the application of the rules prescribed in subsection 303 (2) for the purposes of subsection (1), if a life insurance corporation has no permanent establishment in a particular province or territory of Canada in a taxation year, a net premium that would otherwise be allocated to that province or territory shall be allocated to the province or territory in which the permanent establishment of the corporation to which the net premium is reasonably attributable is situated.  O. Reg. 298/98, s. 2. PART IV   PRESCRIBED CORPORATIONS Corporations