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Excise Tax Act (R.S.C., 1985, c. E-15)

Full Document:  

Act current to 2024-02-20 and last amended on 2024-01-01. Previous Versions

PART IXGoods and Services Tax (continued)

DIVISION IIGoods and Services Tax (continued)

SUBDIVISION CSpecial Cases

Becoming and Ceasing to be Registrant

Marginal note:Person becoming registrant

  •  (1) Where at any time a person becomes a registrant and immediately before that time the person was a small supplier, for the purpose of determining an input tax credit of the person, the person shall be deemed

    • (a) to have received, at that time, a supply by way of sale of each property of the person that was held immediately before that time for consumption, use or supply in the course of commercial activities of the person; and

    • (b) to have paid, at that time, tax in respect of the supply equal to the basic tax content of the property at that time.

  • Marginal note:Services and rental property

    (2) Subject to this Division, where at any time a person becomes a registrant, in determining the input tax credits of the person for the first reporting period of the person ending after that time,

    • (a) there may be included the total of any tax that became payable by the person before that time, to the extent that the tax was payable in respect of services to be supplied to the person after that time for consumption, use or supply in the course of commercial activities of the person or was calculated on the value of consideration that is a rent, royalty or similar payment attributable to a period after that time in respect of property that is used in the course of commercial activities of the person; and

    • (b) there shall not be included any tax that becomes payable by the person after that time, to the extent that the tax is payable in respect of services supplied to the person before that time or is calculated on the value of consideration that is a rent, royalty or similar payment attributable to a period before that time.

  • Marginal note:Properties on ceasing to be registrant

    (3) For the purposes of this Part, where a person ceases at any time to be a registrant,

    • (a) the person shall be deemed

      • (i) to have made, immediately before that time, a supply of each property of the person (other than capital property) that immediately before that time was held by the person for consumption, use or supply in the course of commercial activities of the person and to have collected, immediately before that time, tax in respect of the supply, calculated on the fair market value of the property at that time, and

      • (ii) to have received, at that time, a supply of the property by way of sale and to have paid, at that time, tax in respect of the supply equal to the amount determined under subparagraph (i); and

    • (b) where the person was, immediately before that time, using capital property of the person in commercial activities of the person, the person shall be deemed to have, immediately before that time, ceased using the property in commercial activities.

  • Marginal note:Services and rental properties

    (4) Where a person who engages in commercial activities ceases at any time to be a registrant,

    • (a) in determining the input tax credits of the person for the last reporting period of the person beginning before that time, there may be included the total of any tax that becomes payable by the person after that time, to the extent that the tax is payable in respect of services that were supplied to the person before that time for consumption, use or supply in the course of commercial activities of the person or is calculated on the value of consideration that is a rent, royalty or similar payment attributable to a period before that time in respect of property that is used in the course of commercial activities of the person; and

    • (b) in determining the net tax of the person for the last reporting period of the person beginning before that time, there shall be added to the total for A in the formula set out in subsection 225(1) any input tax credit claimed by the person before that time, to the extent that it relates to services to be supplied to the person after that time or to the value of consideration that is a rent, royalty or similar payment attributable to a period after that time.

  • Marginal note:Exception

    (5) Subsections (1) to (4) do not apply where section 171.1 applies and subsection (3) does not apply to property held by a person immediately before the person ceases to be a registrant where subsection 178.3(1), 178.4(1) or 178.5(1) or (2) applied to that property at an earlier time.

  • [NOTE: Application provisions are not included in the consolidated text
  • see relevant amending Acts and regulations.]
  • 1990, c. 45, s. 12
  • 1993, c. 27, s. 37
  • 1997, c. 10, s. 163
Taxi Businesses

Marginal note:Small suppliers

  •  (1) Where at any time a person who is a small supplier is engaged in a taxi business and other commercial activities in Canada, other than the supply by way of sale of real property, and the registration of the person under this Part does not apply to those other activities,

    • (a) the person shall be deemed, for the purposes of this Part, not to be a registrant at that time except in respect of that business and anything done by the person in the course of that business or in connection with it; and

    • (b) for the purposes of section 169 and Subdivision D, those other activities shall be deemed not to be commercial activities of the person at that time.

  • Marginal note:Becoming a registrant for other activities

    (2) Where at any time a person is engaged in a taxi business and other commercial activities in Canada, other than the supply by way of sale of real property, and the person’s registration under this Part begins, at that time, to apply to those other activities, the following rules apply:

    • (a) for the purpose of determining an input tax credit of the person, the person is deemed to have received, at that time, a supply by way of sale of each property of the person, other than capital property, that was held immediately before that time for consumption, use or supply in the course of those other activities and to have paid, at that time, tax in respect of the supply equal to the basic tax content of the property at that time; and

    • (b) for the purpose of determining the input tax credits of the person for the reporting period that includes that time, there may be included the total of any tax that became payable by the person before that time, to the extent that the tax is calculated on consideration, or a part thereof,

      • (i) that is reasonably attributable to a service that is to be rendered to the person after that time and that was acquired by the person for consumption, use or supply in the course of those other activities, or

      • (ii) that is a rent, royalty or similar payment in respect of property and that is reasonably attributable to a period after that time during which the property is used in the course of those other activities.

  • Marginal note:Ceasing to be a registrant for other activities

    (3) Where at any time a person is engaged in a taxi business and other commercial activities in Canada, other than the supply by way of sale of real property, and the person’s registration under this Part ceases, at that time, to apply to those other activities, the following rules apply:

    • (a) for the purposes of this Part, the person shall be deemed

      • (i) to have made, immediately before that time, a supply of each property of the person, other than capital property, that was held immediately before that time for consumption, use or supply in the course of those other activities, and to have collected, immediately before that time, tax in respect of the supply calculated on the fair market value of the property at that time, and

      • (ii) to have received, at that time, a supply of the property by way of sale and to have paid, at that time, tax in respect of the supply equal to the amount determined under subparagraph (i);

    • (b) in determining the input tax credits of the person for the reporting period that includes that time, there may be included tax that becomes payable by the person after that time, to the extent that the tax is calculated on consideration, or a part thereof,

      • (i) that is reasonably attributable to services that were rendered to the person before that time and that were acquired by the person for consumption, use or supply in the course of those other activities, or

      • (ii) that is a rent, royalty or similar payment in respect of property and that is reasonably attributable to a period before that time during which the property was used in the course of those other activities; and

    • (c) where, in determining an input tax credit claimed by the person in a return under section 238 for a reporting period of the person ending before that time, there was included an amount in respect of tax calculated on consideration, or a part thereof,

      • (i) that is reasonably attributable to services that are to be rendered to the person after that time, or

      • (ii) that is a rent, royalty or similar payment in respect of property and that is reasonably attributable to a period (in this paragraph referred to as the “lease period”) after that time,

      the amount shall be added in determining the net tax for the reporting period of the person that includes that time, to the extent to which the property is used by the person during the lease period, or the services were acquired by the person for consumption, use or supply, in the course of those other activities.

  • [NOTE: Application provisions are not included in the consolidated text
  • see relevant amending Acts and regulations.]
  • 1993, c. 27, s. 38
  • 1997, c. 10, s. 164
Appropriation of Property

Marginal note:Use by registrant

  •  (1) For the purposes of this Part, where a registrant who is an individual and who has, in the course of commercial activities of the registrant, acquired, manufactured or produced any property (other than capital property of the registrant) or acquired or performed any service appropriates the property or service, at any time, for the personal use, consumption or enjoyment of the registrant or another individual related to the registrant, the registrant shall be deemed

    • (a) to have made a supply of the property or service for consideration paid at that time equal to the fair market value of the property or service at that time; and

    • (b) except where the supply is an exempt supply, to have collected, at that time, tax in respect of the supply, calculated on that consideration.

  • Marginal note:Benefits to shareholders, etc.

    (2) For the purposes of this Part, where at any time a registrant that is a corporation, partnership, trust, charity, public institution or non-profit organization appropriates any property (other than capital property of the registrant) that was acquired, manufactured or produced, or any service acquired or performed, in the course of commercial activities of the registrant, to or for the benefit of a shareholder, partner, beneficiary or member of the registrant or any individual related to such a shareholder, partner, beneficiary or member, in any manner whatever (otherwise than by way of a supply made for consideration equal to the fair market value of the property or service), the registrant is deemed

    • (a) to have made a supply of the property or service for consideration paid at that time equal to the fair market value of the property or service at that time; and

    • (b) except where the supply is an exempt supply, to have collected, at that time, tax in respect of the supply, calculated on that consideration.

  • Marginal note:Application

    (3) This section does not apply to property or a service appropriated by a registrant to or for the benefit of a person where

    • (a) the registrant was, because of section 170, not entitled to claim an input tax credit in respect of the last acquisition or importation of the property or service by the registrant; or

    • (b) section 173 applies to the property or service so appropriated for the purpose of making it available to the person.

  • [NOTE: Application provisions are not included in the consolidated text
  • see relevant amending Acts and regulations.]
  • 1990, c. 45, s. 12
  • 1993, c. 27, s. 39
  • 1997, c. 10, s. 21
Pension Plans

Marginal note:Definitions

  •  (1) The following definitions apply in this section and in section 172.2.

    active member

    active member has the meaning assigned by subsection 8500(1) of the Income Tax Regulations. (participant actif)

    defined benefits pension plan

    defined benefits pension plan means the part of a pension plan that is in respect of benefits under the plan that are determined in accordance with a formula set forth in the plan and under which the employer contributions are not determined in accordance with a formula set forth in the plan. (régime de pension à prestations déterminées)

    defined contribution pension plan

    defined contribution pension plan means the part of a pension plan that is not a defined benefits pension plan. (régime de pension à cotisations déterminées)

    employer resource

    employer resource of a person means

    • (a) all or part of a labour activity of the person, other than the part of the labour activity consumed or used by the person in the process of creating, developing or bringing into existence property;

    • (b) all or part of property or a service supplied to the person, other than the part of the property or service consumed or used by the person in the process of creating, developing or bringing into existence property;

    • (c) all or part of property created, developed or brought into existence by the person; or

    • (d) any combination of the items referred to in paragraphs (a) to (c). (ressource d’employeur)

    excluded activity

    excluded activity, in respect of a pension plan, means an activity undertaken exclusively

    • (a) for compliance by a participating employer of the pension plan as an issuer, or prospective issuer, of securities with reporting requirements under a law of Canada or of a province in respect of the regulation of securities;

    • (b) for evaluating the feasibility or financial impact on a participating employer of the pension plan of establishing, altering or winding-up the pension plan, other than an activity that relates to the preparation of an actuarial report in respect of the plan required under a law of Canada or of a province;

    • (c) for evaluating the financial impact of the pension plan on the assets and liabilities of a participating employer of the pension plan;

    • (d) for negotiating changes to the benefits under the pension plan with a union or similar organization of employees;

    • (e) if the pension plan is a pooled registered pension plan, for compliance by a participating employer of the pension plan as a PRPP administrator of the pension plan with requirements under the Pooled Registered Pension Plans Act or a similar law of a province, provided the activity is undertaken exclusively for the purpose of making a taxable supply of a service to a pension entity of the pension plan that is to be made

      • (i) for consideration that is not less than the fair market value of the service, and

      • (ii) at a time when no election under subsection 157(2) made jointly by the participating employer and the pension entity is in effect; or

    • (f) in relation to a part of the pension plan that is a defined contribution pension plan or that is a defined benefits pension plan, if no pension entity of the pension plan administers that part of the pension plan or holds assets in respect of that part of the pension plan; or

    • (g) for prescribed purposes. (activité exclue)

    labour activity

    labour activity of a person means anything done by an individual who is or agrees to become an employee of the person in the course of, or in relation to, the office or employment of that individual. (activité de main-d’oeuvre)

    master pension group

    master pension group in respect of a particular person and another person means the group of one or more pension plans that consists of every pension plan that meets the following conditions:

    • (a) the particular person is a participating employer of the pension plan; and

    • (b) the other person is a master pension entity of the pension plan. (groupe de pension principal)

    participating employer

    participating employer[Repealed, 2012, c. 31, s. 75]

    pension activity

    pension activity, in respect of a pension plan, means an activity (other than an excluded activity) that relates to

    • (a) the establishment, management or administration of the pension plan or of a pension entity or master pension entity of the pension plan; or

    • (b) the management or administration of assets in respect of the pension plan, including assets held by a pension entity or master pension entity of the pension plan. (activité de pension)

    pension entity

    pension entity[Repealed, 2012, c. 31, s. 75]

    pension plan

    pension plan[Repealed, 2012, c. 31, s. 75]

    provincial factor

    provincial factor in respect of a pension plan and a participating province, for a fiscal year of a person that is a participating employer of the pension plan, means the amount (expressed as a percentage) determined by the formula

    A × B

    where

    A
    is the tax rate for the participating province on the last day of the fiscal year; and
    B
    is
    • (a) if the person made contributions to the pension plan during the fiscal year that may be deducted by the person under paragraph 20(1)(q) of the Income Tax Act in computing its income (in this paragraph referred to as “pension contributions”) and the number of active members of the pension plan who were employees of the person on the particular day that is the last day of the last calendar year ending on or before the last day of the fiscal year is greater than zero, the amount determined by the formula

      [(C/D) + (E/F)]/2

      where

      C
      is the total of all pension contributions made to the pension plan by the person during the fiscal year in respect of employees of the person who were resident in the participating province on the particular day,
      D
      is the total of all pension contributions made to the pension plan by the person during the fiscal year in respect of employees of the person,
      E
      is the number of active members of the pension plan who were, on the particular day, employees of the person and resident in the participating province, and
      F
      is the number of active members of the pension plan who were, on the particular day, employees of the person;
    • (b) if paragraph (a) does not apply and the number of active members of the pension plan who were employees of the person on the particular day that is the last day of the last calendar year ending on or before the last day of the fiscal year is greater than zero, the amount determined by the formula

      G/H

      where

      G
      is the number of active members of the pension plan who were, on the particular day, employees of the person and resident in the participating province, and
      H
      is the number of active members of the pension plan who were, on the particular day, employees of the person; or
    • (c) in any other case, zero. (facteur provincial)

    specified resource

    specified resource means property or a service that is acquired by a person for the purpose of making a supply of all or part of the property or service to a pension entity or a master pension entity of a pension plan of which the person is a participating employer. (ressource déterminée)

    specified supply

    specified supply of a participating employer of a pension plan to the pension plan means

    • (a) a taxable supply deemed to have been made under subsection (5) or (5.1) of all or part of property or a service that the participating employer acquired for the purpose of making a supply of all or part of the property or service to a pension entity or master pension entity of the pension plan;

    • (b) a taxable supply deemed to have been made under subsection (6) or (6.1) of an employer resource of the participating employer that the participating employer consumed or used for the purpose of making a supply of property or a service to a pension entity or master pension entity of the pension plan; or

    • (c) a taxable supply deemed to have been made under subsection (7) or (7.1) of an employer resource of the participating employer that the participating employer consumed or used in the course of pension activities in respect of the pension plan. (fourniture déterminée)

  • Marginal note:Excluded resource

    (2) For the purposes of this section, property or a service that is supplied to a particular person that is a participating employer of a pension plan by another person is an excluded resource of the particular person in respect of the pension plan if

    • (a) for each pension entity and master pension entity of the pension plan, no tax would become payable under this Part in respect of the supply if

      • (i) the supply were made by the other person to the pension entity or to the master pension entity, as the case may be, and not to the particular person, and

      • (ii) the pension entity or the master pension entity, as the case may be, and the other person were dealing at arm’s length; and

    • (b) where the supply is a supply of tangible personal property made outside Canada, the supply would not be an imported taxable supply (as defined in section 217) if the particular person were a registrant not engaged exclusively in commercial activities.

  • Marginal note:Time of acquisition

    (3) For the purposes of this section, if, at a particular time, a supply of property described in paragraph 142(2)(a) or (b) is made to a person who is a participating employer of a pension plan and, at a later time, tax under section 212 becomes payable by the person in respect of the property

    • (a) the supply is deemed to have been made to the person at the later time and not at the particular time; and

    • (b) tax is deemed to have been payable in respect of the supply at the later time.

  • Marginal note:Specified pension entity

    (4) For the purposes of this section, if a person is a participating employer of a pension plan and the pension plan has,

    • (a) at all times in a fiscal year of the person, no more than one pension entity, that pension entity is the specified pension entity of the pension plan in respect of the person for the fiscal year; and

    • (b) in the fiscal year, two or more pension entities, the person and one of those pension entities may jointly elect, in prescribed form containing prescribed information, for that pension entity to be the specified pension entity of the pension plan in respect of the person for the fiscal year.

  • Marginal note:Acquisition for supply to pension entity

    (5) If a person is both a registrant and a participating employer of a pension plan at any time in a particular fiscal year of the person and is not a selected qualifying employer of the pension plan at that time, if the person acquires at that time a specified resource for the purpose of making a supply of all or part of the specified resource to a pension entity of the pension plan for consumption, use or supply by the pension entity in the course of pension activities in respect of the pension plan and if the specified resource is not an excluded resource of the person in respect of the pension plan, the following rules apply:

    • (a) for the purposes of this Part, the person is deemed to have made a taxable supply of the specified resource or part on the last day of the particular fiscal year;

    • (b) for the purposes of this Part, tax in respect of the taxable supply is deemed to have become payable on the last day of the particular fiscal year and the person is deemed to have collected that tax on that day;

    • (c) for the purposes of this Part, the tax referred to in paragraph (b) is deemed to be equal to the amount determined by the formula

      A + B

      where

      A
      is the amount determined by the formula

      C × D

      where

      C
      is the fair market value of the specified resource or part at the time it was acquired by the person, and
      D
      is the rate set out in subsection 165(1), and
      B
      is the total of all amounts, each of which is determined for a participating province by the following formula

      E × F

      where

      E
      is the fair market value of the specified resource or part at the time it was acquired by the person, and
      F
      is the provincial factor in respect of the pension plan and the participating province for the particular fiscal year; and
    • (d) for the purpose of determining an input tax credit of the pension entity under this Part and for the purposes of sections 232.01, 232.02 and 261.01, the pension entity is deemed

      • (i) to have received a supply of the specified resource or part on the last day of the particular fiscal year,

      • (ii) to have paid tax in respect of that supply on that day equal to the amount determined by the formula

        A − B

        where

        A
        is
        • (A) if the pension entity is a selected listed financial institution on that day, the amount determined for A in paragraph (c), and

        • (B) in any other case, the amount of tax determined under paragraph (c), and

        B
        is the total of all amounts, each of which is a part of the amount determined for A
        • (A) that is not included in determining the person’s net tax for the reporting period that includes the last day of the particular fiscal year, or

        • (B) that the person has recovered or is entitled to recover by way of rebate, refund or remission, or otherwise, under this or any other Act of Parliament, and

      • (iii) to have acquired the specified resource or part for consumption, use or supply in the course of its commercial activities to the same extent that the specified resource or part was acquired by the person for the purpose of making a supply of the specified resource or part to the pension entity for consumption, use or supply by the pension entity in the course of pension activities in respect of the pension plan that are commercial activities of the pension entity.

  • Marginal note:Acquisition for supply to master pension entity

    (5.1) If a person that is a registrant acquires at any time in a particular fiscal year of the person a specified resource for the purpose of making a supply of all or part of the specified resource to a master pension entity for consumption, use or supply by the master pension entity in the course of pension activities in respect of any pension plan that is in the master pension group in respect of the person and the master pension entity at that time, if the person is not at that time a selected qualifying employer of any pension plan in the master pension group and if it is not the case that the specified resource is an excluded resource of the person in respect of any pension plan in the master pension group, the following rules apply:

    • (a) for the purposes of this Part, the person is deemed to have made a taxable supply of the specified resource or part on the last day of the particular fiscal year;

    • (b) for the purposes of this Part, tax in respect of the taxable supply is deemed to have become payable on the last day of the particular fiscal year and the person is deemed to have collected that tax on that day;

    • (c) for the purposes of this Part, the tax referred to in paragraph (b) is deemed to be equal to the total of all amounts, each of which is determined for each pension plan in the master pension group by the formula

      A + B

      where

      A
      is the amount determined by the formula

      C × D × E

      where

      C
      is the fair market value of the specified resource or part at the time it was acquired by the person,
      D
      is the rate set out in subsection 165(1), and
      E
      is the master pension factor in respect of the pension plan for the fiscal year of the master pension entity that includes the last day of the particular fiscal year, and
      B
      is the total of all amounts, each of which is determined for a participating province by the following formula

      F × G × H

      where

      F
      is the amount determined for C,
      G
      is the provincial factor in respect of the pension plan and the participating province for the particular fiscal year, and
      H
      is the master pension factor determined for E; and
    • (d) for each pension plan in the master pension group, the specified pension entity of the pension plan is deemed for the purpose of determining an input tax credit of the specified pension entity under this Part and for the purposes of sections 232.01, 232.02 and 261.01,

      • (i) to have received a supply of the specified resource or part on the last day of the particular fiscal year,

      • (ii) to have paid tax in respect of that supply on that day equal to the amount determined by the formula

        A − B

        where

        A
        is
        • (A) if the specified pension entity is a selected listed financial institution on that day, the amount determined for the pension plan under the description of A in paragraph (c), and

        • (B) in any other case, the amount of tax determined for the pension plan under paragraph (c), and

        B
        is the total of all amounts, each of which is a part of the amount determined for A
        • (A) that is not included in determining the person’s net tax for the reporting period that includes the last day of the particular fiscal year, or

        • (B) that the person has recovered or is entitled to recover by way of rebate, refund or remission, or otherwise, under this or any other Act of Parliament, and

      • (iii) to have acquired the specified resource or part for consumption, use or supply in the course of its commercial activities to the same extent that the specified resource or part was acquired by the person for the purpose of making a supply of the specified resource or part to the master pension entity for consumption, use or supply by the master pension entity in the course of pension activities of the master pension entity that are commercial activities of the master pension entity.

  • Marginal note:Consumption or use of employer resource for supply

    (6) If a person is both a registrant and a participating employer of a pension plan at any time in a particular fiscal year of the person and is not a selected qualifying employer of the pension plan at that time, if the person consumes or uses at that time an employer resource of the person for the purpose of making a supply of property or a service (in this subsection referred to as the “pension supply”) to a pension entity of the pension plan for consumption, use or supply by the pension entity in the course of pension activities in respect of the pension plan and if the employer resource is not an excluded resource of the person in respect of the pension plan, the following rules apply:

    • (a) for the purposes of this Part, the person is deemed to have made a taxable supply of the employer resource (in this subsection referred to as the “employer resource supply”) on the last day of the particular fiscal year;

    • (b) for the purposes of this Part, tax in respect of the employer resource supply is deemed to have become payable on the last day of the particular fiscal year and the person is deemed to have collected that tax on that day;

    • (c) for the purposes of this Part, the tax referred to in paragraph (b) is deemed to be equal to the amount determined by the formula

      A + B

      where

      A
      is the amount determined by the formula

      C × D

      where

      C
      is
      • (i) if the employer resource was consumed by the person during the particular fiscal year for the purpose of making the pension supply, the product obtained when the fair market value of the employer resource at the time the person began consuming it in the particular fiscal year is multiplied by the extent to which that consumption (expressed as a percentage of the total consumption of the employer resource by the person during the particular fiscal year) occurred when the person was both a registrant and a participating employer of the pension plan, or

      • (ii) otherwise, the product obtained when the fair market value of the use of the employer resource during the particular fiscal year as determined on the last day of the particular fiscal year is multiplied by the extent to which the employer resource was used during the particular fiscal year (expressed as a percentage of the total use of the employer resource by the person during the particular fiscal year) for the purpose of making the pension supply when the person was both a registrant and a participating employer of the pension plan, and

      D
      is the rate set out in subsection 165(1), and
      B
      is the total of all amounts, each of which is determined for a participating province by the following formula

      E × F

      where

      E
      is the amount determined for C, and
      F
      is the provincial factor in respect of the pension plan and the participating province for the particular fiscal year; and
    • (d) for the purpose of determining an input tax credit of the pension entity under this Part and for the purposes of sections 232.01, 232.02 and 261.01, the pension entity is deemed

      • (i) to have received a supply of the employer resource on the last day of the particular fiscal year,

      • (ii) to have paid tax in respect of that supply on that day equal to the amount determined by the formula

        A − B

        where

        A
        is
        • (A) if the pension entity is a selected listed financial institution on that day, the amount determined for A in paragraph (c), and

        • (B) in any other case, the amount of tax determined under paragraph (c), and

        B
        is the total of all amounts, each of which is a part of the amount determined for A
        • (A) that is not included in determining the person’s net tax for the reporting period that includes the last day of the particular fiscal year, or

        • (B) that the person has recovered or is entitled to recover by way of rebate, refund or remission, or otherwise, under this or any other Act of Parliament, and

      • (iii) to have acquired the employer resource for consumption, use or supply in the course of its commercial activities to the same extent that the property or service supplied in the pension supply was acquired by the pension entity for consumption, use or supply by the pension entity in pension activities in respect of the pension plan that are commercial activities of the pension entity.

  • Marginal note:Employer resource for supply to master pension entity

    (6.1) If a person that is a registrant consumes or uses at any time in a particular fiscal year of the person an employer resource of the person for the purpose of making a supply of property or a service (in this subsection referred to as the “pension supply”) to a master pension entity for consumption, use or supply by the master pension entity in the course of pension activities in respect of any pension plan that is in the master pension group in respect of the person and the master pension entity at that time, if the person is not at that time a selected qualifying employer of any pension plan in the master pension group and if it is not the case that the employer resource is an excluded resource of the person in respect of any pension plan in the master pension group, the following rules apply:

    • (a) for the purposes of this Part, the person is deemed to have made a taxable supply of the employer resource (in this subsection referred to as the “employer resource supply”) on the last day of the particular fiscal year;

    • (b) for the purposes of this Part, tax in respect of the employer resource supply is deemed to have become payable on the last day of the particular fiscal year and the person is deemed to have collected that tax on that day;

    • (c) for the purposes of this Part, the tax referred to in paragraph (b) is deemed to be equal to the total of all amounts, each of which is determined for each pension plan in the master pension group by the formula

      A + B

      where

      A
      is the amount determined by the formula

      C × D × E

      where

      C
      is
      • (i) if the employer resource was consumed by the person during the particular fiscal year for the purpose of making the pension supply, the product obtained when the fair market value of the employer resource at the time the person began consuming it in the particular fiscal year is multiplied by the extent to which that consumption (expressed as a percentage of the total consumption of the employer resource by the person during the particular fiscal year) occurred when the person was both a registrant and a participating employer of the pension plan, or

      • (ii) otherwise, the product obtained when the fair market value of the use of the employer resource during the particular fiscal year as determined on the last day of the particular fiscal year is multiplied by the extent to which the employer resource was used during the particular fiscal year (expressed as a percentage of the total use of the employer resource by the person during the particular fiscal year) for the purpose of making the pension supply when the person was both a registrant and a participating employer of the pension plan,

      D
      is the rate set out in subsection 165(1), and
      E
      is the master pension factor in respect of the pension plan for the fiscal year of the master pension entity that includes the last day of the particular fiscal year, and
      B
      is the total of all amounts, each of which is determined for a participating province by the following formula

      F × G × H

      where

      F
      is the amount determined for C,
      G
      is the provincial factor in respect of the pension plan and the participating province for the particular fiscal year, and
      H
      is the master pension factor determined for E; and
    • (d) for each pension plan in the master pension group, the specified pension entity of the pension plan is deemed for the purpose of determining an input tax credit of the specified pension entity under this Part and for the purposes of sections 232.01, 232.02 and 261.01,

      • (i) to have received a supply of the employer resource on the last day of the particular fiscal year,

      • (ii) to have paid tax in respect of that supply on that day equal to the amount determined by the formula

        A − B

        where

        A
        is
        • (A) if the specified pension entity is a selected listed financial institution on that day, the amount determined for the pension plan under the description of A in paragraph (c), and

        • (B) in any other case, the amount of tax determined for the pension plan under paragraph (c), and

        B
        is the total of all amounts, each of which is a part of the amount determined for A
        • (A) that is not included in determining the person’s net tax for the reporting period that includes the last day of the particular fiscal year, or

        • (B) that the person has recovered or is entitled to recover by way of rebate, refund or remission, or otherwise, under this or any other Act of Parliament, and

      • (iii) to have acquired the employer resource for consumption, use or supply in the course of its commercial activities to the same extent that the property or service supplied in the pension supply was acquired by the master pension entity for consumption, use or supply by the master pension entity in the course of pension activities of the master pension entity that are commercial activities of the master pension entity.

  • Marginal note:Employer resource other than for supply — pension entity

    (7) If a person is both a registrant and a participating employer of a pension plan at any time in a particular fiscal year of the person and is not a qualifying employer of the pension plan at that time, if the person consumes or uses at that time an employer resource of the person in the course of pension activities in respect of the pension plan, if the employer resource is not an excluded resource of the person in respect of the pension plan and if none of subsections (6), (6.1) and (7.1) applies to that consumption or use, the following rules apply:

    • (a) for the purposes of this Part, the person is deemed to have made a taxable supply of the employer resource (in this subsection referred to as the “employer resource supply”) on the last day of the particular fiscal year;

    • (b) for the purposes of this Part, tax in respect of the employer resource supply is deemed to have become payable on the last day of the particular fiscal year and the person is deemed to have collected that tax on that day;

    • (c) for the purposes of this Part, the tax referred to in paragraph (b) is deemed to be equal to the amount determined by the formula

      A + B

      where

      A
      is the amount determined by the formula

      C × D

      where

      C
      is
      • (i) if the employer resource was consumed by the person during the particular fiscal year in the course of pension activities in respect of the pension plan, the product obtained when the fair market value of the employer resource at the time the person began consuming it in the particular fiscal year is multiplied by the extent to which that consumption (expressed as a percentage of the total consumption of the employer resource by the person during the particular fiscal year) occurred when the person was both a registrant and a participating employer of the pension plan, or

      • (ii) otherwise, the product obtained when the fair market value of the use of the employer resource during the particular fiscal year as determined on the last day of the particular fiscal year is multiplied by the extent to which the employer resource was used during the particular fiscal year (expressed as a percentage of the total use of the employer resource by the person during the particular fiscal year) in the course of pension activities in respect of the pension plan when the person was both a registrant and a participating employer of the pension plan, and

      D
      is the rate set out in subsection 165(1), and
      B
      is the total of all amounts, each of which is determined for a participating province by the following formula

      E × F

      where

      E
      is the amount determined for C, and
      F
      is the provincial factor in respect of the pension plan and the participating province for the particular fiscal year; and
    • (d) for the purposes of determining, under section 261.01, an eligible amount of the specified pension entity of the pension plan in respect of the person for the particular fiscal year, the specified pension entity is deemed to have paid tax on the last day of the particular fiscal year equal to the amount determined by the formula

      A − B

      where

      A
      is
      • (i) if the specified pension entity is a selected listed financial institution on that day, the amount determined for A in paragraph (c), and

      • (ii) in any other case, the amount of tax determined under paragraph (c), and

      B
      is the total of all amounts, each of which is a part of the amount determined for A
      • (i) that is not included in determining the person’s net tax for the reporting period that includes the last day of the particular fiscal year, or

      • (ii) that the person has recovered or is entitled to recover by way of rebate, refund or remission, or otherwise, under this or any other Act of Parliament.

  • Marginal note:Employer resource other than for supply — master pension entity

    (7.1) If a person that is a registrant consumes or uses at any time in a particular fiscal year of the person an employer resource of the person in the course of pension activities in respect of one or more pension plans that are in the master pension group in respect of the person and a master pension entity at that time, if the person is not at that time a qualifying employer of any pension plan in the master pension group, if it is not the case that the employer resource is an excluded resource of the person in respect of any pension plan in the master pension group, if the pension activities relate exclusively to the establishment, management or administration of the master pension entity or the management or administration of assets held by the master pension entity and if neither of subsections (6) and (6.1) applies to that consumption or use, the following rules apply:

    • (a) for the purposes of this Part, the person is deemed to have made a taxable supply of the employer resource (in this subsection referred to as the “employer resource supply”) on the last day of the particular fiscal year;

    • (b) for the purposes of this Part, tax in respect of the employer resource supply is deemed to have become payable on the last day of the particular fiscal year and the person is deemed to have collected that tax on that day;

    • (c) for the purposes of this Part, the tax referred to in paragraph (b) is deemed to be equal to the total of all amounts, each of which is determined for each particular pension plan in the master pension group by the formula

      A + B

      where

      A
      is the amount determined by the formula

      C × D × E

      where

      C
      is
      • (i) if the employer resource was consumed by the person during the particular fiscal year in the course of those pension activities, the product obtained when the fair market value of the employer resource at the time the person began consuming it in the particular fiscal year is multiplied by the extent to which that consumption (expressed as a percentage of the total consumption of the employer resource by the person during the particular fiscal year) occurred when the person was both a registrant and a participating employer of any pension plan in the master pension group, or

      • (ii) otherwise, the product obtained when the fair market value of the use of the employer resource during the particular fiscal year as determined on the last day of the particular fiscal year is multiplied by the extent to which the employer resource was used during the particular fiscal year (expressed as a percentage of the total use of the employer resource by the person during the particular fiscal year) in the course of those pension activities when the employer was both a registrant and a participating employer of any pension plan in the master pension group,

      D
      is the rate set out in subsection 165(1), and
      E
      is the master pension factor in respect of the particular pension plan for the fiscal year of the master pension entity that includes the last day of the particular fiscal year, and
      B
      is the total of all amounts, each of which is determined for a participating province by the following formula

      F × G × H

      where

      F
      is the amount determined for C,
      G
      is the provincial factor in respect of the particular pension plan and the participating province for the particular fiscal year, and
      H
      is the master pension factor determined for E; and
    • (d) for each pension plan in the master pension group, the specified pension entity of the pension plan is deemed — for the purposes of determining, under section 261.01, an eligible amount of the specified pension entity of the pension plan in respect of the person for the particular fiscal year — to have paid tax on the last day of the particular fiscal year equal to the amount determined by the formula

      A − B

      where

      A
      is
      • (i) if the specified pension entity is a selected listed financial institution on that day, the amount determined for the pension plan under the description of A in paragraph (c), and

      • (ii) in any other case, the amount of tax determined for the pension plan under paragraph (c), and

      B
      is the total of all amounts, each of which is a part of the amount determined for A
      • (i) that is not included in determining the person’s net tax for the reporting period that includes the last day of the particular fiscal year, or

      • (ii) that the person has recovered or is entitled to recover by way of rebate, refund or remission, or otherwise, under this or any other Act of Parliament.

  • Marginal note:Provision of information to pension entity

    (8) If any of subsections (5) to (7.1) applies in respect of a person that is a participating employer of a pension plan, the person shall, in prescribed form and in a manner satisfactory to the Minister, provide prescribed information to the pension entity of the pension plan that is deemed to have paid tax under that subsection.

  • Marginal note:Later addition to net tax of employer

    (8.01) If, in making an assessment of the net tax for a reporting period of a person, the Minister determines that the tax in respect of a supply of all or part of a specified resource deemed to have been made by the person under paragraph (5)(a) or (5.1)(a) or in respect of a supply of an employer resource deemed to have been made by the person under any of paragraphs (6)(a), (6.1)(a), (7)(a) and (7.1)(a) is greater than the amount of tax that had been accounted for in respect of the supply prior to the Minister’s assessment of the net tax for the reporting period and if the person has paid or remitted all amounts owing to the Receiver General in respect of the net tax for the reporting period, if any, the following rules apply:

    • (a) the person shall, in prescribed form and in a manner satisfactory to the Minister, provide prescribed information in respect of the supply to each pension entity that is deemed to have paid tax in respect of the specified resource or part or in respect of the employer resource, as the case may be, under whichever of paragraphs (5)(d), (5.1)(d), (6)(d), (6.1)(d), (7)(d) and (7.1)(d) is applicable (in this subsection referred to as the “applicable paragraph”) before the day that is one year after the later of

      • (i) the day on which the Minister sends the notice of the assessment, and

      • (ii) the first day on which all amounts owing to the Receiver General in respect of the net tax for the reporting period, if any, have been paid or remitted; and

    • (b) if the person provides the prescribed information to a particular pension entity in accordance with paragraph (a) and if the prescribed information is received by the particular pension entity on a particular day that is after the end of the last claim period (as defined in subsection 259(1)) of the particular pension entity that ends within two years after the day on which the supply was deemed to have been made, for the purposes referred to in the applicable paragraph,

      • (i) the particular pension entity is deemed to have paid on the particular day tax equal to the amount determined by the formula

        A × (B ÷ C)

        where

        A
        is the amount of tax in respect of the specified resource or part or in respect of the employer resource, as the case may be, that the particular pension entity is deemed to have paid under the applicable paragraph,
        B
        is the difference between the tax in respect of the supply and the amount of tax that had been accounted for in respect of the supply prior to the Minister’s assessment of the net tax for the reporting period, and
        C
        is the tax in respect of the supply, and
      • (ii) if the applicable paragraph is paragraph (5)(d), (5.1)(d), (6)(d) or (6.1)(d), the tax that the particular pension entity is deemed to have paid under subparagraph (i) is deemed to be paid in respect of the supply of the specified resource or part or in respect of the supply of the employer resource, as the case may be, that the particular pension entity is deemed to have received under the applicable paragraph.

  • Marginal note:Provision of information by master pension entity

    (8.1) A master pension entity of a pension plan shall, in a manner satisfactory to the Minister, provide the master pension factor in respect of the pension plan for a fiscal year of the master pension entity, and any other information that the Minister may specify, to each participating employer of the pension plan on or before the day that is 30 days after the first day of the fiscal year.

  • Marginal note:Selected qualifying employer

    (9) For the purposes of this section, a particular participating employer of a pension plan is a selected qualifying employer of the pension plan for a particular fiscal year of the particular participating employer if no election under subsection 157(2) made jointly by the particular participating employer and a pension entity of the pension plan is in effect in the particular fiscal year, if no election under subsection 157(2.1) made jointly by the particular participating employer and a master pension entity of the pension plan is in effect in the particular fiscal year, if the particular participating employer did not become a participating employer of the pension plan in the particular fiscal year, if the amount determined for A in the following formula is less than $5,000 and if the amount (expressed as a percentage) determined by the following formula is less than 10%:

    A/(B – C)

    where

    A
    is the total of all amounts, each of which is
    • (a) an amount of tax deemed to have been collected under any of subsections (5) to (7.1) by the particular participating employer in respect of a specified supply of the particular participating employer to the pension plan during the fiscal year (in this subsection referred to as the “preceding fiscal year”) of the particular participating employer preceding the particular fiscal year less the amount, if any, determined for B under paragraph (c) of whichever of those subsections is applicable in determining that amount of tax,

    • (b) if the particular participating employer is a selected qualifying employer of the pension plan for the preceding fiscal year, an amount of tax that would have been deemed to have been collected under any of subsections (5) to (6.1) by the particular participating employer during the preceding fiscal year in respect of a supply that would have been deemed to have been made under whichever of those subsections is applicable and that would be a specified supply of the particular participating employer to the pension plan, if the particular participating employer were not a selected qualifying employer, less the amount, if any, that would be determined for B under paragraph (c) of whichever of those subsections is applicable in determining that amount of tax,

    • (c) if the particular participating employer is a qualifying employer of the pension plan for the preceding fiscal year, an amount of tax that would have been deemed to have been collected under subsection (7) or (7.1) by the particular participating employer during the preceding fiscal year in respect of a supply that would have been deemed to have been made under whichever of those subsections is applicable and that would be a specified supply of the particular participating employer to the pension plan, if the particular participating employer were not a qualifying employer, less the amount, if any, that would be determined for B under paragraph (c) of whichever of those subsections is applicable in determining that amount of tax,

    • (d) an amount of tax deemed to have been collected under any of subsections (5) to (7.1) by another participating employer of the pension plan in respect of a specified supply of the other participating employer to the pension plan during a fiscal year of the other participating employer that ends in the preceding fiscal year, provided that the other participating employer is related at any time in the preceding fiscal year to the particular participating employer, less the amount, if any, determined for B under paragraph (c) of whichever of those subsections is applicable in determining that amount of tax,

    • (e) an amount of tax that would have been deemed to have been collected under any of subsections (5) to (6.1) by another participating employer of the pension plan during a fiscal year of the other participating employer that ends in the preceding fiscal year in respect of a supply that would have been deemed to have been made under whichever of those subsections is applicable and that would be a specified supply of the other participating employer to the pension plan if the other participating employer were not a selected qualifying employer, provided that the other participating employer is related at any time in the preceding fiscal year to the particular participating employer and is a selected qualifying employer of the pension plan for that fiscal year of the other participating employer, less the amount, if any, that would be determined for B under paragraph (c) of whichever of those subsections is applicable in determining that amount of tax, or

    • (f) an amount of tax that would have been deemed to have been collected under subsection (7) or (7.1) by another participating employer of the pension plan during a fiscal year of the other participating employer that ends in the preceding fiscal year in respect of a supply that would have been deemed to have been made under whichever of those subsections is applicable and that would be a specified supply of the other participating employer to the pension plan if the other participating employer were not a qualifying employer, provided that the other participating employer is related at any time in the preceding fiscal year to the particular participating employer and is a qualifying employer of the pension plan for that fiscal year of the other participating employer, less the amount, if any, that would be determined for B under paragraph (c) of whichever of those subsections is applicable in determining that amount of tax;

    B
    is the total of all amounts, each of which is
    • (a) an amount of tax under subsection 165(1) or section 212, 218 or 218.01 paid by a pension entity of the pension plan during a fiscal year of the pension entity that ends in the preceding fiscal year but only to the extent that the amount is an eligible amount (as defined in subsection 261.01(1)) for a claim period (as defined in that subsection) of the pension entity,

    • (b) an amount of tax deemed to have been collected under any of subsections (5) to (7.1) by a participating employer of the pension plan, including the particular participating employer, during a fiscal year of the participating employer that ends in the preceding fiscal year in respect of a specified supply of the participating employer to the pension plan less the amount, if any, determined for B under paragraph (c) of whichever of those subsections is applicable in determining that amount of tax, or

    • (c) an amount required to be added to the net tax of a pension entity of the pension plan under paragraph 232.01(5)(b) or 232.02(4)(b) for a reporting period of the pension entity that ends in the preceding fiscal year as a consequence of the issuance of a tax adjustment note under subsection 232.01(3) or 232.02(2) or, if less, the amount that would have been required to be so added if the pension entity were a selected listed financial institution; and

    C
    is the total of all amounts, each of which is
    • (a) the federal component amount of a tax adjustment note issued under subsection 232.01(3) or 232.02(2) by a participating employer of the pension plan, including the particular participating employer, to a pension entity of the pension plan during a fiscal year of the pension entity that ends in the preceding fiscal year, or

    • (b) a recoverable amount (as defined in subsection 261.01(1)) of a pension entity of the pension plan in respect of a claim period ending in a fiscal year of the pension entity that ends in the preceding fiscal year but only to the extent that the recoverable amount is in respect of an amount determined for A under paragraph (c) of whichever of subsections (5) to (7.1) is applicable in determining an amount of tax deemed to have been paid by the pension entity under this section for the purposes of section 261.01.

  • Marginal note:Qualifying employer

    (10) For the purposes of this section, a particular participating employer of a pension plan is a qualifying employer of the pension plan for a particular fiscal year of the particular participating employer if the particular participating employer did not become a participating employer of the pension plan in the particular fiscal year, if the amount determined for A in the following formula is less than $5,000 and if the amount (expressed as a percentage) determined by the following formula is less than 10%:

    A/(B – C)

    where

    A
    is the total of all amounts, each of which is
    • (a) an amount of tax deemed to have been collected under subsection (7) or (7.1) by the particular participating employer in respect of a specified supply of the particular participating employer to the pension plan during the fiscal year (in this subsection referred to as the “preceding fiscal year”) of the particular participating employer preceding the particular fiscal year less the amount, if any, determined for B under paragraph (c) of whichever of those subsections is applicable in determining that amount of tax,

    • (b) if the particular participating employer is a qualifying employer of the pension plan for the preceding fiscal year, an amount of tax that would have been deemed to have been collected under subsection (7) or (7.1) by the particular participating employer during the preceding fiscal year in respect of a supply that would have been deemed to have been made under whichever of those subsections is applicable and that would be a specified supply of the particular participating employer to the pension plan, if the particular participating employer were not a qualifying employer, less the amount, if any, that would be determined for B under paragraph (c) of whichever of those subsections is applicable in determining that amount of tax,

    • (c) an amount of tax deemed to have been collected under subsection (7) or (7.1) by another participating employer of the pension plan in respect of a specified supply of the other participating employer to the pension plan during a fiscal year of the other participating employer that ends in the preceding fiscal year, provided that the other participating employer is related at any time in the preceding fiscal year to the particular participating employer, less the amount, if any, determined for B under paragraph (c) of whichever of those subsections is applicable in determining that amount of tax, or

    • (d) an amount of tax that would have been deemed to have been collected under subsection (7) or (7.1) by another participating employer of the pension plan during a fiscal year of the other participating employer that ends in the preceding fiscal year in respect of a supply that would have been deemed to have been made under whichever of those subsections is applicable and that would be a specified supply of the other participating employer to the pension plan if the other participating employer were not a qualifying employer, provided that the other participating employer is related at any time in the preceding fiscal year to the particular participating employer and is a qualifying employer of the pension plan for that fiscal year of the other participating employer, less the amount, if any, that would be determined for B under paragraph (c) of whichever of those subsections is applicable in determining that amount of tax;

    B
    is the total of all amounts, each of which is
    • (a) an amount of tax under subsection 165(1) or section 212, 218 or 218.01 paid by a pension entity of the pension plan during a fiscal year of the pension entity that ends in the preceding fiscal year but only to the extent that the amount is an eligible amount (as defined in subsection 261.01(1)) for a claim period (as defined in that subsection) of the pension entity,

    • (b) an amount of tax deemed to have been collected under any of subsections (5) to (7.1) by a participating employer of the pension plan, including the particular participating employer, during a fiscal year of the participating employer that ends in the preceding fiscal year in respect of a specified supply of the participating employer to the pension plan less the amount, if any, determined for B under paragraph (c) of whichever of those subsections is applicable in determining that amount of tax, or

    • (c) an amount required to be added to the net tax of a pension entity of the pension plan under paragraph 232.01(5)(b) or 232.02(4)(b) for a reporting period of the pension entity that ends in the preceding fiscal year as a consequence of the issuance of a tax adjustment note under subsection 232.01(3) or 232.02(2) or, if less, the amount that would have been required to be so added if the pension entity were a selected listed financial institution; and

    C
    is the total of all amounts, each of which is
    • (a) the federal component amount of a tax adjustment note issued under subsection 232.01(3) or 232.02(2) by a participating employer of the pension plan, including the particular participating employer, to a pension entity of the pension plan during a fiscal year of the pension entity that ends in the preceding fiscal year, or

    • (b) a recoverable amount (as defined in subsection 261.01(1)) of a pension entity of the pension plan in respect of a claim period ending in a fiscal year of the pension entity that ends in the preceding fiscal year but only to the extent that the recoverable amount is in respect of an amount determined for A under paragraph (c) of whichever of subsections (5) to (7.1) is applicable in determining an amount of tax deemed to have been paid by the pension entity under this section for the purposes of section 261.01.

  • Marginal note:New participating employer

    (11) For the purposes of this section, if a person becomes a participating employer of a pension plan in a particular fiscal year, the person is

    • (a) a selected qualifying employer of the pension plan for the particular fiscal year if it is reasonable to expect, at the time the person becomes a participating employer of the pension plan, that the person will be a selected qualifying employer of the pension plan for the fiscal year of the person following the particular fiscal year; and

    • (b) a qualifying employer of the pension plan for the particular fiscal year if it is reasonable to expect, at the time the person becomes a participating employer of the pension plan, that the person will be a qualifying employer of the pension plan for the fiscal year of the person following the particular fiscal year.

  • Marginal note:Mergers and amalgamations

    (12) If two or more corporations (each of which is referred to in this subsection as a “predecessor”), any of which is a participating employer of a pension plan, are merged or amalgamated to form one corporation (in this subsection referred to as the “new corporation”) that is a participating employer of the pension plan, otherwise than as the result of the acquisition of property of one corporation by another corporation pursuant to the purchase of the property by the other corporation or as the result of the distribution of the property to the other corporation on the winding-up of the corporation, despite section 271 and for the purposes of applying subsections (9) to (11) to the new corporation, the following rules apply:

    • (a) the new corporation is deemed to have a fiscal year (in this subsection referred to as the “prior fiscal year of the new corporation”) of 365 days immediately preceding the first fiscal year of the new corporation;

    • (b) any amount of tax deemed to have been collected under any of subsections (5) to (7.1) by a predecessor, or that would have been deemed to have been collected under any of those subsections if the predecessor were neither a selected qualifying employer nor a qualifying employer, at any time during the period of 365 days preceding the first fiscal year of the new corporation is deemed to have been collected under the same subsection by the new corporation, and not by a predecessor, on the last day of the prior fiscal year of the new corporation;

    • (c) any specified supply of a predecessor to the pension plan in respect of a taxable supply deemed to have been made under any of subsections (5) to (7.1), or that would have been deemed to have been made under any of those subsections if the predecessor were neither a selected qualifying employer nor a qualifying employer, at any time during the period of 365 days preceding the first fiscal year of the new corporation is deemed to be a specified supply of the new corporation to the pension plan and not of the predecessor; and

    • (d) the new corporation is deemed not to have become a participating employer of the pension plan.

  • Marginal note:Winding-up

    (13) If at any time a particular corporation that is a participating employer of a pension plan is wound up and not less than 90% of the issued shares of each class of the capital stock of the particular corporation were, immediately before that time, owned by another corporation that is a participating employer of the pension plan, despite subsection (11) and section 272 and for the purposes of applying the definition specified supply in subsection (1) in respect of the other corporation and applying subsections (9) and (10) to the other corporation, the other corporation is deemed to be the same corporation as, and a continuation of, the particular corporation.

  • [NOTE: Application provisions are not included in the consolidated text
  • see relevant amending Acts and regulations.]
  • 2010, c. 12, s. 58
  • 2012, c. 31, s. 75
  • 2013, c. 33, s. 44
  • 2014, c. 39, s. 94
  • 2017, c. 33, s. 114
  • 2023, c. 26, s. 115
 

Date modified: