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

Act current to 2014-10-15 and last amended on 2014-06-27. Previous Versions

Marginal note:Part XII.4 tax credit
  •  (1) In this section, the Part XII.4 tax credit of a taxpayer for a particular taxation year means the total of

    • (a) all amounts each of which is an amount determined by the formula

      A × B/C

      where

      A 
      is the tax payable under Part XII.4 by a qualifying environmental trust for a taxation year (in this paragraph referred to as the “trust’s year”) that ends in the particular year,
      B 
      is the amount, if any, by which the total of all amounts in respect of the trust that were included (otherwise than because of being a member of a partnership) because of the application of subsection 107.3(1) in computing the taxpayer’s income for the particular year exceeds the total of all amounts in respect of the trust that were deducted (otherwise than because of being a member of a partnership) because of the application of subsection 107.3(1) in computing that income, and
      C 
      is the trust’s income for the trust’s year, computed without reference to subsections 104(4) to 104(31) and sections 105 to 107, and
    • (b) in respect of each partnership of which the taxpayer was a member, the total of all amounts each of which is the amount that can reasonably be considered to be the taxpayer’s share of the relevant credit in respect of the partnership and, for this purpose, the relevant credit in respect of a partnership is the amount that would, if a partnership were a person and its fiscal period were its taxation year, be the Part XII.4 tax credit of the partnership for its taxation year that ends in the particular year.

  • Marginal note:Reduction of Part I tax

    (2) There may be deducted from a taxpayer’s tax otherwise payable under this Part for a taxation year such amount as the taxpayer claims not exceeding the taxpayer’s Part XII.4 tax credit for the year.

  • Marginal note:Deemed payment of Part I tax

    (3) There is deemed to have been paid on account of the tax payable under this Part by a taxpayer (other than a taxpayer exempt from such tax) for a taxation year on the taxpayer’s balance-due day for the year, such amount as the taxpayer claims not exceeding the amount, if any, by which

    • (a) the taxpayer’s Part XII.4 tax credit for the year

    exceeds

    • (b) the amount deducted under subsection 127.41(2) in computing the taxpayer’s tax payable under this Part for the year.

  • NOTE: Application provisions are not included in the consolidated text;
  • see relevant amending Acts. 1995, c. 3, s. 39;
  • 1997, c. 25, s. 38;
  • 1998, c. 19, ss. 34, 148.

Division E.1Minimum Tax

Marginal note:Obligation to pay minimum tax

 Notwithstanding any other provision of this Act but subject to subsection 120.4(3) and section 127.55, where the amount that, but for section 120, would be determined under Division E to be an individual’s tax payable for a taxation year is less than the amount determined under paragraph (a) in respect of the individual for the year, the individual’s tax payable under this Part for the year is the total of

  • (a) the amount, if any, by which

    • (i) the individual’s minimum amount for the year determined under section 127.51

    exceeds

    • (ii) the individual’s special foreign tax credit determined under section 127.54 for the year, and

  • (b) the amount, if any, required by section 120 to be added to the individual’s tax otherwise payable under this Part for the year.

  • NOTE: Application provisions are not included in the consolidated text;
  • see relevant amending Acts. R.S., 1985, c. 1 (5th Supp.), s. 127.5;
  • 1998, c. 19, s. 149;
  • 2000, c. 19, s. 37.