Canada–Newfoundland and Labrador Atlantic Accord Implementation Act

Marginal note:Imposition of corporate income tax in offshore area

• 211 (1) There shall be imposed, levied and collected under this Part in respect of the taxable income of a corporation earned in a taxation year in the offshore area, in accordance with subsection (3), the taxes, interest and penalties that would be imposed, levied and collected under the Newfoundland and Labrador Income Tax Act in respect of that taxable income if the offshore area were in the Province.

• Marginal note:Exception

  (2) Despite subsection (1), if taxes are imposed under the Newfoundland and Labrador Income Tax Act in respect of taxable income of a corporation earned in a taxation year in the Province and taxes would, but for this subsection, be imposed under subsection (1) in respect of that taxable income, no taxes shall be imposed under subsection (1) in respect of that taxable income.

• Marginal note:Application of Newfoundland and Labrador Income Tax Act

  (3) Subject to this Act and the regulations made under it, the Newfoundland and Labrador Income Tax Act and any regulations referred to in subsection (3.1) apply, with any modifications that the circumstances require, for the purposes of this Part and, without limiting the generality of the foregoing,

  • (a) a reference in that Act to Her Majesty in right of the Province of Newfoundland and Labrador is to be read as a reference to Her Majesty in right of Canada;

  • (b) a reference in that Act to the province is to be read as a reference to the offshore area; and

  • (c) a reference in that Act to the “Minister of Finance” is to be read as a reference to

    • (i) in relation to the remittance of any amount as or on account of tax payable under that Act, the Receiver General for Canada, and

    • (ii) in relation to any other matter, the Minister of National Revenue for Canada.

• Marginal note:Newfoundland and Labrador regulations

  (3.1) The following regulations apply for the purposes of subsection (3):

  • (a) any regulations made under the Newfoundland and Labrador Income Tax Act; and

  • (b) any regulations made under an Act that was replaced by the Newfoundland and Labrador Income Tax Act, to the extent that those regulations remain in force in accordance with the laws of the Province and are not inconsistent with the Newfoundland and Labrador Income Tax Act.

• Marginal note:Determination of taxable income earned in offshore area

  (4) For the purposes of this section, the taxable income of a corporation earned in a taxation year in the offshore area or in the Province shall be determined in accordance with rules prescribed by regulations for the purposes of the definition taxable income earned in the year in a province in subsection 124(4) of the Income Tax Act.