Sustaining Canada’s Economic Recovery Act (S.C. 2010, c. 25)
Full Document:
Assented to 2010-12-15
22. (1) The portion of subsection 117.1(1) of the Act before paragraph (a) is replaced by the following:
Marginal note:Annual adjustment
117.1 (1) The amount of $1,000 referred to in the formula in paragraph 8(1)(s), each of the amounts expressed in dollars in subparagraph 6(1)(b)(v.1), subsection 117(2), the description of B in subsection 118(1), subsection 118(2), paragraph (a) of the description of B in subsection 118(10), subsection 118.01(2), the descriptions of C and F in subsection 118.2(1), subsections 118.3(1), 122.5(3) and 122.51(1) and (2), the amounts of $925 and $1,680 referred to in the description of A, and the amounts of $10,500 and $14,500 referred to in the description of B, in the formula in subsection 122.7(2), the amount of $462.50 referred to in the description of C, and the amounts of $16,667 and $25,700 referred to in the description of D, in the formula in subsection 122.7(3), and each of the amounts expressed in dollars in Part I.2 in relation to tax payable under this Part or Part I.2 for a taxation year shall be adjusted so that the amount to be used under those provisions for the year is the total of
(2) Subsection (1) applies to the 2009 and subsequent taxation years.
23. (1) The definition “adjusted income” in subsection 122.5(1) of the Act is replaced by the following:
“adjusted income”
« revenu rajusté »
“adjusted income”, of an individual for a taxation year in relation to a month specified for the taxation year, means the total of the individual’s income for the taxation year and the income for the taxation year of the individual’s qualified relation, if any, in relation to the specified month, both calculated as if in computing that income no amount were
(a) included
(i) under paragraph 56(1)(q.1) or subsection 56(6),
(ii) in respect of any gain from a disposition of property to which section 79 applies, or
(iii) in respect of a gain described in subsection 40(3.21); or
(b) deductible under paragraph 60(y) or (z).
(2) Section 122.5 of the Act is amended by adding the following after subsection (3):
Marginal note:Shared-custody parent
(3.01) Notwithstanding subsection (3), if an eligible individual is a shared-custody parent (within the meaning assigned by section 122.6, but with the words “qualified dependant” in that section having the meaning assigned by subsection (1)) in respect of one or more qualified dependants at the beginning of a month, the amount deemed by subsection (3) to have been paid during a specified month is equal to the amount determined by the following formula:
1/2 × (A + B)
where
- A
- is the amount determined by the formula in subsection (3), calculated without reference to this subsection, and
- B
- is the amount determined by the formula in subsection (3), calculated without reference to this subsection and subparagraph (b)(ii) of the definition “eligible individual” in section 122.6.
(3) Paragraph 122.5(6)(b) of the Act is replaced by the following:
(b) in the absence of an agreement referred to in paragraph (a), the person is deemed to be, in relation to that month, a qualified dependant of the individuals, if any, who are, at the beginning of that month, eligible individuals (within the meaning assigned by section 122.6, but with the words “qualified dependant” in that section having the meaning assigned by subsection (1)) in respect of that person; and
(4) Subsection (1) applies to the 2000 and subsequent taxation years.
(5) Subsections (2) and (3) apply for amounts that are deemed to be paid during months after June 2011.
24. (1) The definition “adjusted income” in section 122.6 of the Act is replaced by the following:
“adjusted income”
« revenu modifié »
“adjusted income”, of an individual for a taxation year, means the total of all amounts each of which would be the income for the year of the individual or of the person who was the individual’s cohabiting spouse or common-law partner at the end of the year if in computing that income no amount were
(a) included
(i) under paragraph 56(1)(q.1) or subsection 56(6),
(ii) in respect of any gain from a disposition of property to which section 79 applies, or
(iii) in respect of a gain described in subsection 40(3.21), or
(b) deductible under paragraph 60(y) or (z);
(2) Paragraph (b) of the definition “eligible individual” in section 122.6 of the Act is replaced by the following:
(b) is a parent of the qualified dependant who
(i) is the parent who primarily fulfils the responsibility for the care and upbringing of the qualified dependant and who is not a shared-custody parent in respect of the qualified dependant, or
(ii) is a shared-custody parent in respect of the qualified dependant,
(3) Section 122.6 of the Act is amended by adding the following in alphabetical order:
“shared-custody parent”
« parent ayant la garde partagée »
“shared-custody parent” in respect of a qualified dependent at a particular time means, where the presumption referred to in paragraph (f) of the definition “eligible individual” does not apply in respect of the qualified dependant, an individual who is one of the two parents of the qualified dependant who
(a) are not at that time cohabitating spouses or common-law partners of each other,
(b) reside with the qualified dependant on an equal or near equal basis, and
(c) primarily fulfil the responsibility for the care and upbringing of the qualified dependant when residing with the qualified dependant, as determined in consideration of prescribed factors,
(4) Subsection (1) applies to the 2000 and subsequent taxation years.
(5) Subsections (2) and (3) apply for overpayments that are deemed to arise after June 2011.
25. (1) Section 122.61 of the Act is amended by adding the following after subsection (1):
Marginal note:Shared-custody parent
(1.1) Notwithstanding subsection (1), if an eligible individual is a shared-custody parent in respect of one or more qualified dependants at the beginning of a month, the overpayment deemed by subsection (1) to have arisen during the month is equal to the amount determined by the formula
1/2 × (A + B)
where
- A
- is the amount determined by the formula in subsection (1), calculated without reference to this subsection, and
- B
- is the amount determined by the formula in subsection (1), calculated without reference to this subsection and subparagraph (b)(ii) of the definition “eligible individual” in section 122.6.
(2) Subsection (1) applies for overpayments that are deemed to arise after June 2011.
26. (1) Paragraph (b) of the definition “adjusted net income” in subsection 122.7(1) of the Act is replaced by the following:
(b) in computing that income, no amount were included under paragraph 56(1)(q.1) or subsection 56(6), in respect of any gain from a disposition of property to which section 79 applies or in respect of a gain described in subsection 40(3.21); and
(2) Subsection (1) applies to the 2000 and subsequent taxation years.
27. (1) Paragraph 127.55(f) of the Act is amended by striking out “or” at the end of subparagraph (ii), by adding “or” at the end of subparagraph (iii) and by adding the following after subparagraph (iii):
(iv) an employee life and health trust.
(2) Subsection (1) applies after 2009.
28. (1) Paragraph 128.1(4)(c) of the Act is replaced by the following:
Marginal note:Employee life and health trust
(b.1) notwithstanding paragraph (b), if the taxpayer is or was at any time an employee life and health trust,
(i) the taxpayer is deemed
(A) to have disposed, at the time (in this paragraph referred to as the “time of disposition”) that is immediately before the time that is immediately before the particular time, of each property owned by the taxpayer for proceeds equal to its fair market value at the time of disposition, which proceeds are deemed to have become receivable and to have been received by the taxpayer at the time of disposition, and
(B) to have carried on a business at the time of disposition, and
(ii) each property of the taxpayer is deemed
(A) to have been described in the inventory of the business referred to in clause (i)(B), and
(B) to have a cost of nil at the time of disposition;
Marginal note:Reacquisition
(c) the taxpayer is deemed to have reacquired, at the particular time, each property deemed by paragraph (b) or (b.1) to have been disposed of by the taxpayer, at a cost equal to the proceeds of disposition of the property;
(2) Paragraph (a) of the definition “excluded right or interest” in subsection 128.1(10) of the Act is amended by adding the following after subparagraph (vi):
(vi.1) an employee life and health trust,
(3) Subsections (1) and (2) apply after 2009.
- Date modified: