Marginal note:Pension benefits

• 5. (1) Where the Minister has sold, leased or otherwise transferred an airport to a designated airport authority, the Public Service Superannuation Act, the Supplementary Retirement Benefits Act and the regulations made under those Acts apply, in the manner and to the extent provided by the regulations made under subsection (3), to any person who meets all of the following criteria:

  • (a) the person is a designated employee for the airport and, immediately prior to the transfer date, was a contributor under the Public Service Superannuation Act;

  • (b) on the transfer date, the person became an employee of the designated airport authority;

  • (c) the President of the Treasury Board has not made a payment pursuant to section 40 of the Public Service Superannuation Act in respect of the pensionable service to that person’s credit under that Act immediately prior to the transfer date;

  • (d) the person has not received or opted to receive any annuity or other benefit under section 12 or 13 of the Public Service Superannuation Act in respect of the pensionable service to the person’s credit under that Act immediately prior to the transfer date; and

  • (e) the person elects, within one year after the transfer date and in such form and manner as the President of the Treasury Board may direct, to have the Public Service Superannuation Act, the Supplementary Retirement Benefits Act and the regulations made under those Acts apply to the person in the manner and to the extent provided by the regulations made under subsection (3).

• Marginal note:Election irrevocable

  (2) An election under paragraph (1)(e) is irrevocable.

• Marginal note:Regulations

  (3) The Governor in Council may, on the recommendation of the President of the Treasury Board, make regulations

  • (a) respecting the manner in which and the extent to which provisions, as amended, of the Acts and regulations referred to in subsection (1) apply to persons who make an election under paragraph (1)(e);

  • (b) adapting provisions of those Acts and regulations for the purposes of this section; and

  • (c) generally for carrying out the purposes and provisions of this section.

• Marginal note:Retroactivity

  (4) Regulations made under subsection (3) may, if they so provide, be retroactive and have effect with respect to any period before they were made.

6. and 7. [Repealed, 1998, c. 26, s. 72]

Marginal note:Exemption from income tax

• 8. (1) No tax is payable under Part I of the Income Tax Act by a corporation for a taxation year commencing after 1990 on that portion of its taxable income for the year that may reasonably be regarded as being derived from an airport business if

  • (a) throughout the year, the corporation was a designated airport authority and no part of the income or capital of the corporation was or became payable to, or otherwise available for the personal benefit of, any member or shareholder of the corporation; and

  • (b) all or substantially all of the gross revenue of the corporation, other than dividends received from a taxable Canadian corporation, in the year was derived from an airport business.

• Marginal note:Idem

  (2) No tax is payable under Parts I.3, IV and IV.1 of the Income Tax Act by a corporation for a taxation year commencing after 1990 for which no tax is payable on all or a portion of its taxable income by reason of subsection (1).

• Marginal note:Same meaning

  (3) Unless a contrary intention appears, words and expressions used in this section have the same meaning as in the Income Tax Act.

• Marginal note:Definitions

  (4) For the purposes of subsection (1),

  “airport business”

  « activités aéroportuaires »

  “airport business” means the business of operating an airport and any activities incidental or pertaining to that operation and, without restricting the generality of the foregoing, includes the rental or leasing of real property situated at the airport, the making of investments, the granting of franchises, concessions and licences and the provision of parking facilities at the airport and heliport facilities and bus services serving the airport, but does not include activities relating to the operation of a hotel, motel, restaurant, bar, retail or wholesale store, a motor vehicle rental or leasing service, a taxi or limousine service, a freight transportation service, an airline, an aircraft rental or leasing service, an aircraft fuelling or maintenance service, a currency exchange service or an amusement or entertainment centre or any prescribed activity;

  “taxation year”

  « année d’imposition »

  “taxation year”, in respect of a corporation, means

  • (a) where the corporation is designated as a designated airport authority in a taxation year of the corporation, only that part of that year following the designation, and

  • (b) where the corporation ceases to be a designated airport authority in a taxation year of the corporation, only that part of that year preceding the cessation.