Income Tax Act (R.S.C., 1985, c. 1 (5th Supp.))

Act current to 2015-08-04 and last amended on 2015-08-01. Previous Versions

Marginal note:Definitions
  •  (1) The definitions in this subsection apply in this section.

    “adjusted income”

    « revenu modifié »

    “adjusted income” of an individual for a taxation year has the meaning assigned by section 122.6.

    “eligible individual”

    « particulier admissible »

    “eligible individual” for a taxation year means an individual (other than a trust)

    • (a) who is resident in Canada throughout the year (or, if the individual dies in the year, throughout the portion of the year before the individual’s death);

    • (b) who, before the end of the year, has attained the age of 18 years; and

    • (c) the total of whose incomes for the year from the following sources is at least $2,500:

      • (i) offices and employments (computed without reference to paragraph 6(1)(f)),

      • (ii) businesses each of which is a business carried on by the individual either alone or as a partner actively engaged in the business, and

      • (iii) the program established under the Wage Earner Protection Program Act.

  • Marginal note:Deemed payment on account of tax

    (2) Where a return of income (other than a return of income filed under subsection 70(2), paragraph 104(23)(d) or 128(2)(e) or subsection 150(4)) is filed in respect of an eligible individual for a particular taxation year that ends at the end of a calendar year, there is deemed to be paid at the end of the particular year on account of the individual’s tax payable under this Part for the particular year the amount determined by the formula

    A - B

    where

    A 
    is the lesser of
    • (a) $1000, and

    • (b) the total of

      • (i) the amount determined by the formula

        (25/C) × D

        where

        C 
        is the appropriate percentage for the particular taxation year, and
        D 
        is the total of all amounts each of which is the amount determined by the formula in subsection 118.2(1) for the purpose of computing the individual’s tax payable under this Part for a taxation year that ends in the calendar year, and
      • (ii) 25% of the total of all amounts each of which is the amount deductible under section 64 in computing the individual’s income for a taxation year that ends in the calendar year; and

    B 
    is 5% of the amount, if any, by which
    • (a) the total of all amounts each of which is the individual’s adjusted income for a taxation year that ends in the calendar year

    exceeds

    • (b) $21,663.

  • NOTE: Application provisions are not included in the consolidated text;
  • see relevant amending Acts. 1998, c. 19, s. 32;
  • 2000, c. 14, s. 39, c. 19, s. 32;
  • 2001, c. 17, s. 108;
  • 2005, c. 19, s. 26, c. 30, s. 7;
  • 2006, c. 4, s. 70;
  • 2007, c. 2, s. 31;
  • 2009, c. 2, s. 37.