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

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Act current to 2018-07-05 and last amended on 2018-07-01. Previous Versions

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

    adoption period

    période d’adoption

    adoption period, in respect of an eligible child of an individual, means the period that

    • (a) begins at the earlier of the time that an application is made for registration with a provincial ministry responsible for adoption (or with an adoption agency licensed by a provincial government) and the time, if any, that an application related to the adoption is made to a Canadian court; and

    • (b) ends at the later of the time an adoption order is issued by, or recognized by, a government in Canada in respect of that child, and the time that the child first begins to reside permanently with the individual. (période d’adoption)

    eligible adoption expense

    dépense d’adoption admissible

    eligible adoption expense, in respect of an eligible child of an individual, means an amount paid for expenses incurred during the adoption period in respect of the adoption of that child, including

    • (a) fees paid to an adoption agency licensed by a provincial government;

    • (b) court costs and legal and administrative expenses related to an adoption order in respect of that child;

    • (c) reasonable and necessary travel and living expenses of that child and the adoptive parents;

    • (d) document translation fees;

    • (e) mandatory fees paid to a foreign institution;

    • (f) mandatory expenses paid in respect of the immigration of that child; and

    • (g) any other reasonable expenses related to the adoption required by a provincial government or an adoption agency licensed by a provincial government. (dépense d’adoption admissible)

    eligible child

    enfant admissible

    eligible child, of an individual, means a child who has not attained the age of 18 years at the time that an adoption order is issued or recognized by a government in Canada in respect of the adoption of that child by that individual. (enfant admissible)

  • Marginal note:Adoption expense tax credit

    (2) For the purpose of computing the tax payable under this Part by an individual for the taxation year that includes the end of the adoption period in respect of an eligible child of the individual, there may be deducted the amount determined by the formula

    A × B

    where

    A
    is the appropriate percentage for the taxation year; and
    B
    is the lesser of
    • (a) $15,000, and

    • (b) the amount determined by the formula

      C - D

      where

      C
      is the total of all eligible adoption expenses in respect of the eligible child, and
      D
      is the total of all amounts each of which is the amount of a reimbursement or any other form of assistance (other than an amount that is included in computing the individual’s income and that is not deductible in computing the individual’s taxable income) that any individual is or was entitled to receive in respect of an amount included in computing the value of C.
  • Marginal note:Apportionment of credit

    (3) Where more than one individual is entitled to a deduction under this section for a taxation year in respect of the adoption of an eligible child, the total of all amounts so deductible shall not exceed the maximum amount that would be so deductible for the year by any one of those individuals for that child if that individual were the only individual entitled to deduct an amount for the year under this section, and if the individuals cannot agree as to what portion of the amount each can so deduct, the Minister may fix the portions.

  • NOTE: Application provisions are not included in the consolidated text;
  • see relevant amending Acts. 2006, c. 4, s. 61;
  • 2013, c. 33, s. 9;
  • 2014, c. 20, s. 6.

 [Repealed, 2017, c. 20, s. 13]

  • NOTE: Application provisions are not included in the consolidated text;
  • see relevant amending Acts. 2007, c. 2, s. 21, c. 35, s. 37;
  • 2013, c. 34, s. 247;
  • 2017, c. 20, s. 13.

 [Repealed, 2014, c. 39, s. 32]

  • NOTE: Application provisions are not included in the consolidated text;
  • see relevant amending Acts. 2007, c. 2, s. 21, c. 35, s. 38;
  • 2014, c. 39, s. 32].

 [Repealed, 2016, c. 7, s. 15]

  • NOTE: Application provisions are not included in the consolidated text;
  • see relevant amending Acts. 2011, c. 24, s. 24;
  • 2014, c. 39, s. 33;
  • 2016, c. 7, s. 15.
Marginal note:Definitions
  •  (1) The following definitions apply in this section.

    eligible dwelling

    logement admissible

    eligible dwelling of an individual, at any time, means a housing unit (including the land subjacent to the housing unit and the immediately contiguous land, but not including the portion of such land that exceeds the greater of 1/2 hectare and the portion of such land that the individual establishes is necessary for the use and enjoyment of the housing unit as a residence) located in Canada if

    • (a) the individual (or a trust under which the individual is a beneficiary) owns, whether jointly with another person or otherwise, at that time, the housing unit or a share of the capital stock of a co-operative housing corporation acquired for the sole purpose of acquiring the right to inhabit the housing unit owned by the corporation; and

    • (b) the housing unit is ordinarily inhabited at any time during the eligible period by the individual, by the individual’s spouse or common-law partner or former spouse or common-law partner or by a child of the individual. (logement admissible)

    eligible period

    période d’admissibilité

    eligible period means the period that begins on January 28, 2009 and that ends on January 31, 2010. (période d’admissibilité)

    individual

    particulier

    individual does not include a trust. (particulier)

    qualifying expenditure

    dépense admissible

    qualifying expenditure of an individual means an outlay or expense that is made or incurred, by the individual or by a qualifying relation in respect of the individual during the eligible period, that is directly attributable to a qualifying renovation by the individual and that is the cost of goods acquired or services received during the eligible period and includes such an outlay or expense for permits required for, or for the rental of equipment used in the course of, the qualifying renovation, but does not include such an outlay or expense

    • (a) to acquire goods that have been used, or acquired for use or lease, by the individual or by a qualifying relation in respect of the individual, for any purpose whatever before they were acquired by the individual or the qualifying relation in respect of the individual;

    • (b) made or incurred under the terms of an agreement entered into before the eligible period;

    • (c) to acquire a property that can be used independently of the qualifying renovation;

    • (d) that is the cost of annual, recurring or routine repair or maintenance;

    • (e) to acquire a household appliance;

    • (f) to acquire an electronic home-entertainment device;

    • (g) for financing costs in respect of the qualifying renovation;

    • (h) made or incurred for the purpose of gaining or producing income from a business or property; or

    • (i) in respect of goods or services provided by a person not dealing at arm’s length with the individual, unless the person is registered for the purposes of Part IX of the Excise Tax Act. (dépense admissible)

    qualifying relation

    proche admissible

    qualifying relation in respect of an individual means a person who is the individual’s spouse or common-law partner, or a child of the individual who has not attained the age of 18 years before the end of 2009 (other than a child who was, at any time during the eligible period, a married person, a person who is in a common-law partnership or a person who has a child). (proche admissible)

    qualifying renovation

    travaux de rénovation admissibles

    qualifying renovation by an individual, at any time, means a renovation or alteration, of a property that is at that time an eligible dwelling of the individual or of a qualifying relation in respect of the individual, that is of an enduring nature and that is integral to the eligible dwelling. (travaux de rénovation admissibles)

  • Marginal note:Rules of application

    (2) For the purposes of this section,

    • (a) a qualifying expenditure of an individual includes an outlay or expense made or incurred by a co-operative housing corporation, a condominium corporation (or, for civil law, a syndicate of co-owners) or a similar entity (in this paragraph referred to as the “corporation”), in respect of a property that is owned, administered or managed by that corporation, and that includes an eligible dwelling of the individual, to the extent of the individual’s share of that outlay or expense, if

      • (i) the outlay or expense would be a qualifying expenditure of the corporation if the corporation were a natural person and the property were an eligible dwelling of that natural person, and

      • (ii) the corporation has notified the individual, in writing, of the individual’s share of the outlay or expense; and

    • (b) a qualifying expenditure of an individual includes an outlay or expense made or incurred by a trust, in respect of a property owned by the trust that includes an eligible dwelling of the individual, to the extent of the share of that outlay or expense that is reasonably attributable to the individual, having regard to the amount of the outlays or expenses made or incurred in respect of the eligible dwelling of the individual (including, for this purpose, common areas relevant to more than one eligible dwelling), if

      • (i) the outlay or expense would be a qualifying expenditure of the trust if the trust were a natural person and the property were an eligible dwelling of that natural person, and

      • (ii) the trust has notified the individual, in writing, of the individual’s share of the outlay or expense.

  • Marginal note:Home renovation tax credit

    (3) For the purposes of computing the tax payable under this Part by an individual for the individual’s 2009 taxation year, there may be deducted the amount determined by the formula

    A × (B – $1,000)

    where

    A
    is the appropriate percentage for the taxation year; and
    B
    is the lesser of $10,000 and the total of all amounts, each of which is a qualifying expenditure of the individual.
  • Marginal note:Interaction with medical expense credit

    (4) Notwithstanding paragraph 248(28)(b), an amount may be included in determining both an amount under subsection (3) and under section 118.2 if those amounts otherwise qualify to be included for the purposes of those provisions.

  • Marginal note:Apportionment of credit

    (5) If more than one individual is entitled to a deduction under this section for a taxation year in respect of a qualifying expenditure of an individual, the total of all amounts so deductible shall not exceed the maximum amount that would be so deductible for the year by any one of those individuals in respect of the qualifying expenditure, if that individual were the only individual entitled to deduct an amount for the year under this section, and if the individuals cannot agree as to what portion of the amount each can so deduct, the Minister may fix the portions.

  • NOTE: Application provisions are not included in the consolidated text;
  • see relevant amending Acts. 2009, c. 31, s. 4.
 
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