AMENDMENTS NOT IN FORCE

• — 2012, c. 31, ss. 9(3) to (5)

  • • 9. (3) Paragraph 37(1)(d) of the Act is replaced by the following:

      • (d) the total of all amounts each of which is the amount of any government assistance or non-government assistance (as defined in subsection 127(9)) in respect of an expenditure described in paragraph (a) or (b), as paragraph (a) or (b), as the case may be, read in its application in respect of the expenditure, that at the taxpayer’s filing-due date for the year the taxpayer has received, is entitled to receive or can reasonably be expected to receive,

    • (4) Subsection 37(6) of the Act is replaced by the following:

      • Expenditures of a capital nature

        (6) For the purposes of section 13, an amount claimed under subsection (1) that may reasonably be considered to be in respect of a property described in paragraph (1)(b), as that paragraph read in its application in respect of the property, is deemed to be an amount allowed to the taxpayer in respect of the property under regulations made under paragraph 20(1)(a), and for that purpose the property is deemed to be of a separate prescribed class.

    • (5) Clause 37(6.1)(a)(i)(B) of the Act is replaced by the following:

      • (B) the lesser of the amounts determined immediately before that time in respect of the corporation under subparagraphs (1)(b)(i) and (ii), as those subparagraphs read on March 29, 2012, in respect of expenditures made, and property acquired, by the corporation before 2014, or

• — 2012, c. 31, s. 27(10)

  • • 27. (10) Paragraph (a) of the definition “qualified expenditure” in subsection 127(9) of the Act, as amended by subsection (9), is amended by adding “or” at the end of subparagraph (i) and by repealing subparagraph (iii).

• — 2012, c. 31, s. 27(23)

  • • 27. (23) Paragraph 127(11.2)(a) of the Act, as enacted by subsection (22), is replaced by the following:

      • (a) qualified property and qualified resource property are deemed not to have been acquired, and

• — 2012, c. 31, ss. 27(26) to (28)

  • • 27. (26) Subsection 127(11.5) of the Act, as amended by subsection (25), is replaced by the following:

      • Adjustments to qualified expenditures

        (11.5) For the purposes of the definition “qualified expenditure” in subsection (9), the amount of an expenditure (other than a prescribed proxy amount) incurred by a taxpayer in a taxation year is deemed to be the amount of the expenditure determined under subsection (11.6).

    • (27) The portion of subsection 127(11.6) of the Act after paragraph (b) and before paragraph (c) is replaced by the following:

      the amount of the expenditure incurred by the taxpayer for the service or property and the cost to the taxpayer of the property are deemed to be

    • (28) Subparagraph 127(11.6)(d)(i) of the Act is replaced by the following:

      • (i) the cost to the taxpayer of the property otherwise determined, and

• — 2012, c. 31, s. 28

  • • 28. (1) Subparagraph (f)(i) of the definition “refundable investment tax credit” in subsection 127.1(2) of the Act is replaced by the following:

      • (i) the portion of the amount required by subsection 127(10.1) to be added in computing the taxpayer’s investment tax credit at the end of the year that is in respect of qualified expenditures incurred by the taxpayer in the year, and

    • (2) Subsection 127.1(2.01) of the Act is replaced by the following:

      • Addition to refundable investment tax credit

        (2.01) In the case of a taxpayer that is a Canadian-controlled private corporation other than a qualifying corporation or an excluded corporation, the refundable investment tax credit of the taxpayer for a taxation year is the amount, if any, by which

        • (a) the total of

          • (i) the portion of the amount required by subsection 127(10.1) to be added in computing the taxpayer’s investment tax credit at the end of the year that is in respect of qualified expenditures incurred by the taxpayer in the year, and

          • (ii) all amounts determined under paragraph (a.1) of the definition “investment tax credit” in subsection 127(9) in respect of expenditures for which an amount is included in subparagraph (i)

        exceeds

        • (b) the total of

          • (i) the portion of the total of all amounts deducted by the taxpayer under subsection 127(5) for the year or a preceding taxation year (other than an amount deemed by subsection (3) to have been so deducted for the year) that can reasonably be considered to be in respect of the total determined under paragraph (a), and

          • (ii) the portion of the total of all amounts required by subsection 127(6) to be deducted in computing the taxpayer’s investment tax credit at the end of the year that can reasonably be considered to be in respect of the total determined under paragraph (a).

    • (3) Subsections (1) and (2) come into force on February 1, 2017.

• — 2012, c. 31, ss. 33(2) to (5)

  • • 33. (2) Section 146.1 of the Act is amended by adding the following after subsection (1):

      • Election

        (1.1) A subscriber under an RESP that allows accumulated income payments and a holder of an RDSP may jointly elect in prescribed form to have subsection (1.2) apply in respect of a beneficiary under the RESP if, at the time the election is made, the beneficiary is also the beneficiary under the RDSP and

        • (a) the beneficiary has a severe and prolonged mental impairment that prevents, or can reasonably be expected to prevent, the beneficiary from enrolling in a qualifying educational program at a post-secondary educational institution; or

        • (b) the RESP meets the conditions described in clause (2)(d.1)(iii)(A) or (B) to make an accumulated income payment.

      • Effect of election

        (1.2) If an election is made under subsection (1.1) and is filed by the promoter of the RESP with the Minister without delay, then notwithstanding paragraph (2)(d.1) and any terms of the RESP required by that paragraph, an accumulated income payment under the RESP may be made to the RDSP.

    • (3) Paragraph 146.1(2)(i.1) of the Act is replaced by the following:

      • (i.1) if the plan allows accumulated income payments, the plan provides that it must be terminated before March of the year following the year in which the first such payment is made out of the plan;

    • (4) Paragraph 146.1(7.1)(a) of the Act is replaced by the following:

      • (a) each accumulated income payment (other than an accumulated income payment made under subsection (1.2)) received in the year by the taxpayer under a registered education savings plan; and

    • (5) Subsections (2) to (4) come into force on January 1, 2014.

• — 2012, c. 31, ss. 35(2) to (5)

  • • 35. (2) Paragraph (d) of the definition “contribution” in subsection 146.4(1) of the Act is replaced by the following:

      • (d) other than for the purposes of paragraphs (4)(f) to (h) and (n) and paragraph (b) of the definition “advantage” in subsection 205(1),

        • (i) a specified RDSP payment as defined in subsection 60.02(1), or

        • (ii) an accumulated income payment made to the plan under subsection 146.1(1.2).

    • (3) Paragraph (c) of the definition “holder” in subsection 146.4(1) of the Act is replaced by the following:

      • (c) the beneficiary if, at that time, the beneficiary is not an entity described in paragraph (a) or (b) and has rights under the plan to make decisions (either alone or with other holders of the plan) concerning the plan, except where the only such right is a right to direct that disability assistance payments be made as provided for in subparagraph (4)(n)(ii).

    • (4) Subsection 146.4(1) of the Act is amended by adding the following in alphabetical order:

      “specified maximum amount”

      « plafond »

      “specified maximum amount”, for a calendar year in respect of a disability savings plan, means the amount that is the greater of

      • (a) the amount determined by the formula set out in paragraph (4)(l) in respect of the plan for the calendar year, and

      • (b) the amount determined by the formula

        A + B

        where

        A 

        is 10% of the fair market value of the property held by the plan trust at the beginning of the calendar year (other than annuity contracts held by the plan trust that, at the beginning of the calendar year, are not described in paragraph (b) of the definition “qualified investment” in subsection 205(1)), and

        B 

        is the total of all amounts each of which is

        • (i) a periodic payment under an annuity contract held by the plan trust at the beginning of the calendar year (other than an annuity contract described at the beginning of the calendar year in paragraph (b) of the definition “qualified investment” in subsection 205(1)) that is paid to the plan trust in the calendar year, or

        • (ii) if the periodic payment under such an annuity contract is not made to the plan trust because the plan trust disposed of the right to that payment in the calendar year, a reasonable estimate of that payment on the assumption that the annuity contract had been held throughout the calendar year and no rights under the contract were disposed of in the calendar year.

    • (5) Paragraphs 146.4(1.2)(b) to (f) of the Act are replaced by the following:

      • (b) the time that is immediately before the earliest time in a calendar year when the total disability assistance payments, other than non-taxable portions, made from the plan in the year and while it was a specified disability savings plan exceeds $10,000 (or such greater amount as is required to satisfy the condition in subparagraph (d)(i));

      • (c) the time that is immediately before the time that

        • (i) a contribution is made to the plan,

        • (ii) an amount described in any of paragraphs (a) and (b) and subparagraph (d)(ii) of the definition “contribution” in subsection (1) is paid into the plan,

        • (iii) the plan is terminated,

        • (iv) the plan ceases to be a registered disability savings plan as a result of the application of paragraph (10)(a), or

        • (v) is the beginning of the first calendar year throughout which the beneficiary under the plan has no severe and prolonged impairments with the effects described in paragraph 118.3(1)(a.1); and

      • (d) the time immediately following the end of a calendar year if

        • (i) in the year the total amount of disability assistance payments made from the plan to the beneficiary is less than the amount determined by the formula set out in paragraph (4)(l) in respect of the plan for the year (or such lesser amount as is supported by the property of the plan), and

        • (ii) the year is not the calendar year in which the plan became a specified disability savings plan.

• — 2012, c. 31, ss. 35(7), (8)

  • • 35. (7) Subparagraphs 146.4(4)(n)(i) to (iii) of the Act are replaced by the following:

      • (i) if the calendar year is not a specified year for the plan, the total amount of disability assistance payments made from the plan to the beneficiary in the calendar year shall not exceed the specified maximum amount for the calendar year, except that, in calculating that total amount, any payment made following a transfer in the calendar year from another plan in accordance with subsection (8) is to be disregarded if it is made

        • (A) to satisfy an undertaking described in paragraph (8)(d), or

        • (B) in lieu of a payment that would otherwise have been permitted to be made from the other plan in the calendar year had the transfer not occurred, and

      • (ii) if the beneficiary attained the age of 27 years, but not the age of 59 years, before the calendar year, the beneficiary has the right to direct that, within the constraints imposed by subparagraph (i) and paragraph (j), one or more disability assistance payments be made from the plan to the beneficiary in the calendar year;

    • (8) Subsection 146.4(4) of the Act is amended by adding the following after paragraph (n):

      • (n.1) the plan provides that, if the beneficiary attained the age of 59 years before a calendar year, the total amount of disability assistance payments made from the plan to the beneficiary in the calendar year shall not be less than the amount determined by the formula set out in paragraph (l) in respect of the plan for the calendar year (or such lesser amount as is supported by the property of the plan trust);

• — 2012, c. 31, ss. 35(10), (11)

  • • 35. (10) Subparagraph 146.4(4)(p)(ii) of the Act is replaced by the following:

      • (ii) the first calendar year

        • (A) if an election is made under subsection (4.1), that includes the time that the election ceases because of paragraph (4.2)(b) to be valid, and

        • (B) in any other case, throughout which the beneficiary has no severe and prolonged impairments with the effects described in paragraph 118.3(1)(a.1).

    • (11) Section 146.4 of the Act is amended by adding the following after subsection (4):

      • Election on cessation of DTC-eligibility

        (4.1) A holder of a registered disability savings plan may elect in respect of a beneficiary under the plan who is not a DTC-eligible individual for a particular taxation year if

        • (a) a medical doctor licensed to practise under the laws of a province certifies in writing that the nature of the beneficiary’s condition is such that, in the professional opinion of the medical doctor, the beneficiary is likely to become a DTC-eligible individual for a future taxation year;

        • (b) the beneficiary was a DTC-eligible individual for the year that immediately precedes the particular taxation year;

        • (c) the holder makes the election in a manner and format acceptable to the specified Minister before the end of the year immediately following the particular taxation year and provides the election and the medical certification in respect of the beneficiary to the issuer of the plan; and

        • (d) the issuer notifies the specified Minister of the election in a manner and format acceptable to the specified Minister.

      • Election

        (4.2) An election under subsection (4.1) ceases to be valid at the time that is the earlier of

        • (a) the beginning of the first taxation year for which the beneficiary is again a DTC-eligible individual; and

        • (b) the end of the fourth taxation year following the particular taxation year referred to in subsection (4.1).

      • (4.3) [In force]