26 (1) In this Part, “adjusted taxable income” means, in respect of a corporation, (a) for a taxation year that ended before January 1, 2009, the corporation’s taxable income or taxable income earned in Canada for the year, as the case may be, determined under the Corporations Tax Act, or (b) for a taxation year ending after December 31, 2008, the amount that would be the corporation’s taxable income or taxable income earned in Canada for the year if, (i) the amount of the corporation’s adjusted Crown royalties for the year, as determined under subsection 36 (2), were added in determining the corporation’s income for the purposes of the Federal Act for the year, and (ii) the amount of the corporation’s notional resource allowance for the year under subsection 36 (3) were deducted in determining the corporation’s income for the purposes of the Federal Act for the year; (“revenu imposable rajusté”) “amalgamated corporation” means a corporation that is a “new corporation” for the purposes of section 87 of the Federal Act; (société issue de la fusion”) “Canadian reserve liabilities” has the meaning assigned by subsection 2400 (1) of the Federal regulations; (“passif de réserve canadienne”) “Ontario small business income” means, in respect of a corporation for a taxation year, the amount determined for the year under subsection 31 (3); (“revenu tiré d’une petite entreprise exploitée en Ontario”) “parent corporation” means a corporation that is a “parent” under subsection 88 (1) of the Federal Act; (“société mère”) “predecessor corporation” means a corporation that is a predecessor corporation referred to in section 87 of the Federal Act and includes a corporation that was a predecessor corporation of a predecessor corporation; (“société remplacée”) “small business deduction rate” means, in respect of a corporation for a taxation year, the percentage determined for the corporation for the year under subsection 31 (4); (“taux de la déduction accordée aux petites entreprises”) “subsidiary corporation” means, except for the purposes of Division D, a corporation that is a “subsidiary” under subsection 88 (1) of the Federal Act; (“filiale”) “taxable income” means, in respect of a corporation for a taxation year, (a) the corporation’s taxable income for the year as determined for the purposes of Part II of the Corporations Tax Act
or the Federal Act, as the context requires, if the taxation year ended before January 1, 2009, or (b) the corporation’s taxable income for the year as determined for the purposes of the Federal Act, if the taxation year ends after December 31, 2008; (“revenu imposable”) “total reserve liabilities” has the meaning assigned by section 8600 of the Federal regulations. (“passif total de réserve”)  2007, c. 11, Sched. A, s. 26 (1). Ontario domestic factor, corporation resident in Canada (2) For the purposes of this Part, the Ontario domestic factor for a taxation year of a corporation that is resident in Canada is the ratio of “A” to “B” where, “A” is equal to, (a) the corporation’s Ontario taxable income for the year if the corporation’s taxable income for the year is a positive amount, or (b) in any other case, the amount that would be the corporation’s Ontario taxable income for the year if the corporation’s taxable income for the year were $1,000, and “B” is equal to, (a) the corporation’s taxable income earned in the year in a province as determined under the Federal regulations made for the purposes of subsection 124 (4) of the Federal Act, if the corporation’s taxable income for the year is a positive amount, or (b) in any other case, the amount that would be the corporation’s taxable income earned in the year in a province as determined under the Federal regulations made for the purposes of subsection 124 (4) of the Federal Act if the corporation’s taxable income for the year were $1,000.  2007, c. 11, Sched. A, s. 26 (2). Canadian allocation factor, corporation resident in Canada (3) For the purposes of this Part, the Canadian allocation factor for a taxation year of a corporation that is resident in Canada is the ratio of “C” to “D” where, “C” is equal to, (a) the corporation’s taxable income earned in the year in a province, as determined under the Federal regulations made for the purposes of subsection 124 (4) of the Federal Act, if the corporation’s taxable income for the year is a positive amount, or (b) the amount that would be the corporation’s taxable income earned in the year in a province, as determined under the Federal regulations made for the purposes of subsection 124 (4) of the Federal Act if the corporation’s taxable income for the year were $1,000, in any other case, and “D” is equal to, (a) the corporation’s taxable income for the year if it is a positive amount, or (b) $1,000, in any other case.  2007, c. 11, Sched. A, s. 26 (3). Non-resident corporation (4) For the purposes of this Part, if a corporation is a non-resident corporation, (a) its Ontario domestic factor for a taxation year is equal to its Ontario allocation factor for the year; and (b) its Canadian allocation factor for a taxation year is one.  2007, c. 11, Sched. A, s. 26 (4). Foreign allocation factor (5) For the purposes of this Part, the foreign allocation factor for a taxation year of a corporation that is resident in Canada is one minus the corporation’s Canadian allocation factor for the year.  2007, c. 11, Sched. A, s. 26 (5). Regulations (6) A reference in any provision in this Part to something prescribed, determined or defined by the regulations shall be read as a reference to the thing as prescribed, determined or defined by the regulations made for the purposes of the corresponding provision of the Corporations Tax Act unless a regulation has been made under this Act to prescribe, determine or define the thing.  2007, c. 11, Sched. A, s. 26 (6). Same (7) A regulation made under the Corporations Tax Act that applies for the purposes of this Part shall be read with such modifications as may be required.  2007, c. 11, Sched. A, s. 26 (7).