II, s. 193, c. 21, s. 1101995, c. 3, s. 53, c. 21, s. 602007, c. 2, s. 53, c. 29, s. 292013, c. 34, s. 359, c. 40, s. 902014, c. 39, s. 722016, c. 12, s. 64
249.1(1)For the purposes of this Act, afiscal periodof a business or a property of a person or partnership means the period for which the person’s or partnership’s accounts in respect of the business or property are made up for purposes of assessment under this Act, but no fiscal period may end(a)in the case of a corporation, more than 53 weeks after the period began,(b)in the case of(i)an individual (other than an individual to whom section 149 or 149.1 applies or a trust),(i.1)a trust (other than a mutual fund trust if the fiscal period is one to which paragraph 132.11(1)(c) applies or a graduated rate estate),(ii)a partnership of which(A)an individual (other than an individual to whom section 149 or 149.1 applies or a graduated rate estate),(B)a professional corporation, or(C)a partnership to which this subparagraph applies,would, if the fiscal period ended at the end of the calendar year in which the period began, be a member of the partnership in the period, or(iii)a professional corporation that would, if the fiscal period ended at the end of the calendar year in which the period began, be in the period a member of a partnership to which subparagraph 249.1(1)(b)(ii) applies,after the end of the calendar year in which the period began unless, in the case of a business, the business is not carried on in Canada,(c)in the case of a partnership (other than a partnership to which subparagraph (b)(ii) or subsection (9) applies) that is a member of a partnership or has a member that is a partnership, after the end of the calendar year in which it began, if at the end of the calendar year(i)a corporation has a significant interest, as defined in section 34.2, in the partnership,(ii)the partnership is a member of another partnership in which a corporation has a significant interest as defined in section 34.2,(iii)a membership interest in the partnership is held directly, or indirectly through one or more partnerships, by a partnership described in subparagraph (i) or (ii), or(iv)the partnership holds directly, or indirectly through one or more partnerships, a membership interest in a partnership described in any of subparagraphs (i) to (iii), or(d)in any other case, more than 12 months after the period began,and, for the purpose of this subsection, the activities of a person to whom section 149 or 149.1 applies are deemed to be a business.Marginal note:Not a member of a partnership(2)For the purpose of subparagraph 249.1(1)(b)(ii) and subsection 249.1(4), a person or partnership that would not have a share of any income or loss of a partnership for a fiscal period of the partnership, if the period ended at the end of the calendar year in which the period began, is deemed not to be a member of the partnership in that fiscal period.Marginal note:Subsequent fiscal periods(3)Where a fiscal period of a business or a property of a person or partnership ends at any time, the subsequent fiscal period, if any, of the business or property of the person or partnership is deemed to begin immediately after that time.Marginal note:Alternative method(4)Paragraph 249.1(1)(b) does not apply to a fiscal period of a business carried on, throughout the period of time that began at the beginning of the fiscal period and ended at the end of the calendar year in which the fiscal period began,(a)by an individual (otherwise than as a member of a partnership), or(b)by an individual as a member of a partnership, where throughout that period(i)each member of the partnership is an individual, and(ii)the partnership is not a member of another partnership,where(c)in the case of an individual(i)who is referred to in paragraph 249.1(4)(a), or(ii)who is a member of a partnership no member of which is a graduated rate estate,an election in prescribed form to have paragraph 249.1(1)(b) not apply is filed with the Minister by the individual on or before the individual’s filing-due date, and with the individual’s return of income under Part I, for the taxation year that includes the first day of the first fiscal period of the business that begins after 1994, and(d)in the case of an individual who is a member of a partnership a member of which is a graduated rate estate, an election in prescribed form to have paragraph (1)(b) not apply is filed with the Minister by the individual on or before the earliest of the filing-due dates of the members of the partnership for a taxation year that includes the first day of the first fiscal period of the business that begins after 1994.Marginal note:Alternative method not applicable to tax shelter investments(5)Subsection 249.1(4) does not apply to a particular fiscal period of a business where, in a preceding fiscal period or throughout the period of time that began at the beginning of the particular period and ended at the end of the calendar year in which the particular period began, the expenditures made in the course of carrying on the business were primarily the cost or capital cost of tax shelter investments (as defined in subsection 143.2(1)).Marginal note:Revocation of election(6)Subsection 249.1(4) does not apply to fiscal periods of a business carried on by an individual that begin after the beginning of a particular taxation year of the individual where(a)an election in prescribed form to revoke an election filed under subsection 249.1(4) in respect of the business is filed with the Minister; and(b)the election to revoke is filed(i)in the case of an individual(A)who is not a member of a partnership, or(B)who is a member of a partnership no member of which is a graduated rate estate,by the individual on or before the individual’s filing-due date, and with the individual’s return of income under Part I, for the particular taxation year, and(ii)in the case of an individual who is a member of a partnership a member of which is a graduated rate estate, by the individual on or before the earliest of the filing-due dates of the members of the partnership for a taxation year that includes the first day of the first fiscal period of the business that begins after the beginning of the particular year.Marginal note:Change of fiscal period(7)No change in the time when a fiscal period ends may be made for the purposes of this Act without the concurrence of the Minister.Marginal note:Single-tier fiscal period alignment(8)The members of a partnership that has a fiscal period that begins before March 22, 2011 and that would, if this Act were read without reference to this subsection and subsection (10), end on a day after March 22, 2011, may elect to end that fiscal period on a particular day that is before the day on which the fiscal period would otherwise end (in this subsection and subsection (10) referred to as a “single-tier alignment election”) if(a)each member of the partnership is, on the particular day, a corporation that is not a professional corporation;(b)the partnership is not, on the particular day, a member of another partnership;(c)at least one member of the partnership is, on the particular day, a corporation that has a significant interest, as defined in section 34.2, in the partnership;(d)at least one member of the partnership referred to in paragraph (c) has a taxation year that ends on a day that differs from the day on which the fiscal period of the partnership would end if this Act were read without reference to this subsection and subsection (10);(e)the particular day is after March 22, 2011 and no later than the latest day that is the last day of the first taxation year that ends after March 22, 2011 of any corporation that has been a member of the partnership continuously since March 21, 2011; and(f)subsection (10) applies to the single-tier alignment election.Marginal note:Multi-tier fiscal period alignment — one-time election(9)The members of a partnership to which paragraph (1)(c) would apply if it were read without reference to this subsection may elect (in this subsection and subsections (10) and (11) referred to as a “multi-tier alignment election”) to end a fiscal period of the partnership on a particular day if(a)as a consequence of the multi-tier alignment election, the fiscal period of the partnership, and of each other partnership described in relation to the partnership by any of subparagraphs (1)(c)(ii) to (iv), ends on the particular day;(b)the particular day is before March 22, 2012; and(c)subsection (10) applies to the multi-tier alignment election.Marginal note:When subsection (9) ceases to apply(9.1)If paragraph (1)(c) did not apply to end the fiscal period of a partnership on December 31 of a calendar year (in this subsection referred to as the “preceding year”) because subsection (9) applies to the partnership, and to each other partnership described in relation to the partnership by any of subparagraphs (1)(c)(ii) to (iv), (in this subsection referred to collectively as the “aligned multi-tier partnerships” and each individually as an “aligned multi-tier partnership”),(a)subsection (9) ceases to apply — for the purpose of applying paragraph (1)(c) to each of the aligned multi-tier partnerships — in the calendar year following the preceding year (in this subsection referred to as the “current year”) if another partnership (in this subsection referred to as the “new partnership”) becomes in the current year a member of any of the aligned multi-tier partnerships, or any of the aligned multi-tier partnerships becomes in the current year a member of the new partnership, unless(i)the fiscal period of the new partnership, and each other partnership described in relation to the new partnership by any of subparagraphs (1)(c)(ii) to (iv), ends in the current year on the same day as the fiscal period of each of the aligned multi-tier partnerships, and(ii)each member (other than a partnership) of each aligned multi-tier partnership — or a subsidiary wholly-owned corporation of such a member — has been a member of the aligned multi-tier partnership from the end of the last fiscal period ending in the preceding year until the time at which the new partnership becomes a member of an aligned multi-tier partnership, or any of the aligned multi-tier partnerships becomes a member of the new partnership, as the case may be; and(b)if paragraph (a) does not apply because the conditions in subparagraphs (a)(i) and (ii) are met, the new partnership is deemed — for the purpose of applying paragraph (1)(c) to each of the aligned multi-tier partnerships and the new partnership in the current year and subsequent years — to have made the multi-tier alignment election referred to in subsection (9).Marginal note:Conditions to align a partnership fiscal period(10)This subsection applies to a single-tier alignment election or a multi-tier alignment election, as the case may be, for a partnership if(a)the election is filed in writing and in prescribed form with the Minister(i)in the case of a single-tier alignment election, by a corporation that is a member of the partnership on or before the day that is the earliest filing-due date of any corporation that is a member of the partnership for its first taxation year ending after March 22, 2011, and(ii)in the case of a multi-tier alignment election,(A)by a corporation that is a member of the partnership, or of a partnership described in relation to the partnership by any of subparagraphs (1)(c)(ii) to (iv), and(B)on or before the day that is the earliest filing-due date of any corporation that is a member of a partnership referred to in clause (A) for the first taxation year of the corporation ending after March 22, 2011;(b)as a consequence of the election, the fiscal period of each partnership to which the election applies is 12 months or less;(c)the election was made by a corporation that has the authority to act for the members of the partnership and each member of any other partnership described in relation to the partnership in subparagraph (1)(c)(ii) to (iv); and(d)no other election is filed with the Minister to end the fiscal period of the partnership, or of any other partnership described in relation to the partnership in subparagraph (1)(c)(ii) to (iv), on a day other than the particular day referred to in subsection (8) or (9), as the case may be.Marginal note:Deemed multi-tier alignment election(11)For the purposes of this Act, if paragraph (1)(c) applies to end the fiscal period of a partnership on December 31, 2011, a multi-tier alignment election under subsection (9) is deemed to have been made to end the fiscal period of the partnership on December 31, 2011.
(a)in the case of a corporation, more than 53 weeks after the period began,(b)in the case of(i)an individual (other than an individual to whom section 149 or 149.1 applies or a trust),(i.1)a trust (other than a mutual fund trust if the fiscal period is one to which paragraph 132.11(1)(c) applies or a graduated rate estate),(ii)a partnership of which(A)an individual (other than an individual to whom section 149 or 149.1 applies or a graduated rate estate),(B)a professional corporation, or(C)a partnership to which this subparagraph applies,would, if the fiscal period ended at the end of the calendar year in which the period began, be a member of the partnership in the period, or(iii)a professional corporation that would, if the fiscal period ended at the end of the calendar year in which the period began, be in the period a member of a partnership to which subparagraph 249.1(1)(b)(ii) applies,after the end of the calendar year in which the period began unless, in the case of a business, the business is not carried on in Canada,(c)in the case of a partnership (other than a partnership to which subparagraph (b)(ii) or subsection (9) applies) that is a member of a partnership or has a member that is a partnership, after the end of the calendar year in which it began, if at the end of the calendar year(i)a corporation has a significant interest, as defined in section 34.2, in the partnership,(ii)the partnership is a member of another partnership in which a corporation has a significant interest as defined in section 34.2,(iii)a membership interest in the partnership is held directly, or indirectly through one or more partnerships, by a partnership described in subparagraph (i) or (ii), or(iv)the partnership holds directly, or indirectly through one or more partnerships, a membership interest in a partnership described in any of subparagraphs (i) to (iii), or(d)in any other case, more than 12 months after the period began,
(i)an individual (other than an individual to whom section 149 or 149.1 applies or a trust),(i.1)a trust (other than a mutual fund trust if the fiscal period is one to which paragraph 132.11(1)(c) applies or a graduated rate estate),(ii)a partnership of which(A)an individual (other than an individual to whom section 149 or 149.1 applies or a graduated rate estate),(B)a professional corporation, or(C)a partnership to which this subparagraph applies,would, if the fiscal period ended at the end of the calendar year in which the period began, be a member of the partnership in the period, or(iii)a professional corporation that would, if the fiscal period ended at the end of the calendar year in which the period began, be in the period a member of a partnership to which subparagraph 249.1(1)(b)(ii) applies,
(A)an individual (other than an individual to whom section 149 or 149.1 applies or a graduated rate estate),(B)a professional corporation, or(C)a partnership to which this subparagraph applies,
(i)a corporation has a significant interest, as defined in section 34.2, in the partnership,(ii)the partnership is a member of another partnership in which a corporation has a significant interest as defined in section 34.2,(iii)a membership interest in the partnership is held directly, or indirectly through one or more partnerships, by a partnership described in subparagraph (i) or (ii), or(iv)the partnership holds directly, or indirectly through one or more partnerships, a membership interest in a partnership described in any of subparagraphs (i) to (iii), or
(a)by an individual (otherwise than as a member of a partnership), or(b)by an individual as a member of a partnership, where throughout that period(i)each member of the partnership is an individual, and(ii)the partnership is not a member of another partnership,
(i)each member of the partnership is an individual, and(ii)the partnership is not a member of another partnership,
(c)in the case of an individual(i)who is referred to in paragraph 249.1(4)(a), or(ii)who is a member of a partnership no member of which is a graduated rate estate,an election in prescribed form to have paragraph 249.1(1)(b) not apply is filed with the Minister by the individual on or before the individual’s filing-due date, and with the individual’s return of income under Part I, for the taxation year that includes the first day of the first fiscal period of the business that begins after 1994, and(d)in the case of an individual who is a member of a partnership a member of which is a graduated rate estate, an election in prescribed form to have paragraph (1)(b) not apply is filed with the Minister by the individual on or before the earliest of the filing-due dates of the members of the partnership for a taxation year that includes the first day of the first fiscal period of the business that begins after 1994.
(i)who is referred to in paragraph 249.1(4)(a), or(ii)who is a member of a partnership no member of which is a graduated rate estate,
(a)an election in prescribed form to revoke an election filed under subsection 249.1(4) in respect of the business is filed with the Minister; and(b)the election to revoke is filed(i)in the case of an individual(A)who is not a member of a partnership, or(B)who is a member of a partnership no member of which is a graduated rate estate,by the individual on or before the individual’s filing-due date, and with the individual’s return of income under Part I, for the particular taxation year, and(ii)in the case of an individual who is a member of a partnership a member of which is a graduated rate estate, by the individual on or before the earliest of the filing-due dates of the members of the partnership for a taxation year that includes the first day of the first fiscal period of the business that begins after the beginning of the particular year.
(i)in the case of an individual(A)who is not a member of a partnership, or(B)who is a member of a partnership no member of which is a graduated rate estate,
(A)who is not a member of a partnership, or(B)who is a member of a partnership no member of which is a graduated rate estate,
(ii)in the case of an individual who is a member of a partnership a member of which is a graduated rate estate, by the individual on or before the earliest of the filing-due dates of the members of the partnership for a taxation year that includes the first day of the first fiscal period of the business that begins after the beginning of the particular year.
(a)each member of the partnership is, on the particular day, a corporation that is not a professional corporation;(b)the partnership is not, on the particular day, a member of another partnership;(c)at least one member of the partnership is, on the particular day, a corporation that has a significant interest, as defined in section 34.2, in the partnership;(d)at least one member of the partnership referred to in paragraph (c) has a taxation year that ends on a day that differs from the day on which the fiscal period of the partnership would end if this Act were read without reference to this subsection and subsection (10);(e)the particular day is after March 22, 2011 and no later than the latest day that is the last day of the first taxation year that ends after March 22, 2011 of any corporation that has been a member of the partnership continuously since March 21, 2011; and(f)subsection (10) applies to the single-tier alignment election.
(a)as a consequence of the multi-tier alignment election, the fiscal period of the partnership, and of each other partnership described in relation to the partnership by any of subparagraphs (1)(c)(ii) to (iv), ends on the particular day;(b)the particular day is before March 22, 2012; and(c)subsection (10) applies to the multi-tier alignment election.
(a)subsection (9) ceases to apply — for the purpose of applying paragraph (1)(c) to each of the aligned multi-tier partnerships — in the calendar year following the preceding year (in this subsection referred to as the “current year”) if another partnership (in this subsection referred to as the “new partnership”) becomes in the current year a member of any of the aligned multi-tier partnerships, or any of the aligned multi-tier partnerships becomes in the current year a member of the new partnership, unless(i)the fiscal period of the new partnership, and each other partnership described in relation to the new partnership by any of subparagraphs (1)(c)(ii) to (iv), ends in the current year on the same day as the fiscal period of each of the aligned multi-tier partnerships, and(ii)each member (other than a partnership) of each aligned multi-tier partnership — or a subsidiary wholly-owned corporation of such a member — has been a member of the aligned multi-tier partnership from the end of the last fiscal period ending in the preceding year until the time at which the new partnership becomes a member of an aligned multi-tier partnership, or any of the aligned multi-tier partnerships becomes a member of the new partnership, as the case may be; and(b)if paragraph (a) does not apply because the conditions in subparagraphs (a)(i) and (ii) are met, the new partnership is deemed — for the purpose of applying paragraph (1)(c) to each of the aligned multi-tier partnerships and the new partnership in the current year and subsequent years — to have made the multi-tier alignment election referred to in subsection (9).
(i)the fiscal period of the new partnership, and each other partnership described in relation to the new partnership by any of subparagraphs (1)(c)(ii) to (iv), ends in the current year on the same day as the fiscal period of each of the aligned multi-tier partnerships, and(ii)each member (other than a partnership) of each aligned multi-tier partnership — or a subsidiary wholly-owned corporation of such a member — has been a member of the aligned multi-tier partnership from the end of the last fiscal period ending in the preceding year until the time at which the new partnership becomes a member of an aligned multi-tier partnership, or any of the aligned multi-tier partnerships becomes a member of the new partnership, as the case may be; and
(a)the election is filed in writing and in prescribed form with the Minister(i)in the case of a single-tier alignment election, by a corporation that is a member of the partnership on or before the day that is the earliest filing-due date of any corporation that is a member of the partnership for its first taxation year ending after March 22, 2011, and(ii)in the case of a multi-tier alignment election,(A)by a corporation that is a member of the partnership, or of a partnership described in relation to the partnership by any of subparagraphs (1)(c)(ii) to (iv), and(B)on or before the day that is the earliest filing-due date of any corporation that is a member of a partnership referred to in clause (A) for the first taxation year of the corporation ending after March 22, 2011;(b)as a consequence of the election, the fiscal period of each partnership to which the election applies is 12 months or less;(c)the election was made by a corporation that has the authority to act for the members of the partnership and each member of any other partnership described in relation to the partnership in subparagraph (1)(c)(ii) to (iv); and(d)no other election is filed with the Minister to end the fiscal period of the partnership, or of any other partnership described in relation to the partnership in subparagraph (1)(c)(ii) to (iv), on a day other than the particular day referred to in subsection (8) or (9), as the case may be.
(i)in the case of a single-tier alignment election, by a corporation that is a member of the partnership on or before the day that is the earliest filing-due date of any corporation that is a member of the partnership for its first taxation year ending after March 22, 2011, and(ii)in the case of a multi-tier alignment election,(A)by a corporation that is a member of the partnership, or of a partnership described in relation to the partnership by any of subparagraphs (1)(c)(ii) to (iv), and(B)on or before the day that is the earliest filing-due date of any corporation that is a member of a partnership referred to in clause (A) for the first taxation year of the corporation ending after March 22, 2011;
(A)by a corporation that is a member of the partnership, or of a partnership described in relation to the partnership by any of subparagraphs (1)(c)(ii) to (iv), and(B)on or before the day that is the earliest filing-due date of any corporation that is a member of a partnership referred to in clause (A) for the first taxation year of the corporation ending after March 22, 2011;
[NOTE: Application provisions are not included in the consolidated textsee relevant amending Acts and regulations.]1996, c. 21, s. 611998, c. 19, s. 2401999, c. 22, s. 812001, c. 17, s. 1892011, c. 24, s. 732013, c. 34, s. 3602014, c. 39, s. 732017, c. 33, s. 78
250(1)For the purposes of this Act, a person shall, subject to subsection 250(2), be deemed to have been resident in Canada throughout a taxation year if the person(a)sojourned in Canada in the year for a period of, or periods the total of which is, 183 days or more;(b)was, at any time in the year, a member of the Canadian Forces;(c)was, at any time in the year,(i)an ambassador, minister, high commissioner, officer or servant of Canada, or(ii)an agent-general, officer or servant of a province,and was resident in Canada immediately prior to appointment or employment by Canada or the province or received representation allowances in respect of the year;(d)performed services, at any time in the year, in a country other than Canada under a prescribed international development assistance program of the Government of Canada and was resident in Canada at any time in the 3 month period preceding the day on which those services commenced;(d.1)was, at any time in the year, a member of the overseas Canadian Forces school staff who filed his or her return for the year on the basis that the person was resident in Canada throughout the period during which the person was such a member;(e)[Repealed, 1999, c. 22, s. 82(1)](f)was at any time in the year a child of, and dependent for support on, an individual to whom paragraph (b), (c), (d) or (d.1) applies and the person’s income for the year did not exceed the amount determined for F in subsection 118(1.1) for the year; or(g)was at any time in the year, under an agreement or a convention with one or more other countries that has the force of law in Canada, entitled to an exemption from an income tax otherwise payable in any of those countries in respect of income from any source (unless all or substantially all of the person’s income from all sources was not so exempt), because at that time the person was related to or a member of the family of an individual (other than a trust) who was resident in Canada.Marginal note:Idem(2)Where at any time in a taxation year a person described in paragraph (1)b), (c) or (d) ceases to be a person so described, or a person described in paragraph (1)(d.1) ceases to be a member of the overseas Canadian Forces school staff, that person shall be deemed to have been resident in Canada throughout the part of the year preceding that time and the spouse or common-law partner and child of that person who by reason of paragraph (1)(e) or (f) would, but for this subsection, be deemed to have been resident in Canada throughout the year shall be deemed to have been resident in Canada throughout that part of the year.Marginal note:Ordinarily resident(3)In this Act, a reference to a person resident in Canada includes a person who was at the relevant time ordinarily resident in Canada.Marginal note:Corporation deemed resident(4)For the purposes of this Act, a corporation shall be deemed to have been resident in Canada throughout a taxation year if(a)in the case of a corporation incorporated after April 26, 1965, it was incorporated in Canada;(b)in the case of a corporation that(i)was incorporated before April 9, 1959,(ii)was, on June 18, 1971, a foreign business corporation (within the meaning of section 71 of theIncome Tax Act, chapter 148 of the Revised Statutes of Canada, 1952, as it read in its application to the 1971 taxation year) that was controlled by a corporation resident in Canada,(iii)throughout the 10 year period ending on June 18, 1971, carried on business in any one particular country other than Canada, and(iv)during the period referred to in subparagraph 250(4)(b)(iii), paid dividends to its shareholders resident in Canada on which its shareholders paid tax to the government of the country referred to in that subparagraph,it was incorporated in Canada and, at any time in the taxation year or at any time in any preceding taxation year commencing after 1971, it was resident in Canada or carried on business in Canada; and(c)in the case of a corporation incorporated before April 27, 1965 (other than a corporation to which subparagraphs 250(4)(b)(i) to 250(4)(b)(iv) apply), it was incorporated in Canada and, at any time in the taxation year or at any time in any preceding taxation year of the corporation ending after April 26, 1965, it was resident in Canada or carried on business in Canada.Marginal note:Deemed non-resident(5)Notwithstanding any other provision of this Act (other than paragraph 126(1.1)(a)), a person is deemed not to be resident in Canada at a time if, at that time, the person would, but for this subsection and any tax treaty, be resident in Canada for the purposes of this Act but is, under a tax treaty with another country, resident in the other country and not resident in Canada.Marginal note:Continued corporation(5.1)Where a corporation is at any time (in this subsection referred to as the “time of continuation”) granted articles of continuance (or similar constitutional documents) in a particular jurisdiction, the corporation shall(a)for the purposes of applying this Act (other than subsection 250(4)) in respect of all times from the time of continuation until the time, if any, of continuation in a different jurisdiction, be deemed to have been incorporated in the particular jurisdiction and not to have been incorporated in any other jurisdiction; and(b)for the purpose of applying subsection 250(4) in respect of all times from the time of continuation until the time, if any, of continuation in a different jurisdiction, be deemed to have been incorporated in the particular jurisdiction at the time of continuation and not to have been incorporated in any other jurisdiction.Marginal note:Residence of international shipping corporation(6)For the purposes of this Act, a corporation that was incorporated or otherwise formed under the laws of a country other than Canada or of a state, province or other political subdivision of such a country is deemed to be resident in that country throughout a taxation year and not to be resident in Canada at any time in the year, if(a)the corporation(i)has international shipping as its principal business in the year, or(ii)holds eligible interests in one or more eligible entities throughout the year and at no time in the year is the total of the cost amounts to it of all those eligible interests and of all debts owing to it by an eligible entity in which an eligible interest is held by it, by a person related to it or by a partnership affiliated with it less than 50% of the total of the cost amounts to it of all its property;(b)all or substantially all the corporation’s gross revenue for the year consists of any one or more of(i)gross revenue from international shipping,(ii)gross revenue from an eligible interest held by it in an eligible entity, and(iii)interest on a debt owing by an eligible entity in which an eligible interest is held by it, by a person related to it or by a partnership affiliated with it; and(c)the corporation was not granted articles of continuance in Canada before the end of the year.Marginal note:Partner’s gross revenue(6.01)For the purposes of paragraph (6)(b), an amount of profit allocated from a partnership to a member of the partnership for a taxation year is deemed to be gross revenue of the member from member’s interest in the partnership for the year.Marginal note:Service providers(6.02)Subsection (6.03) applies to a corporation, trust or partnership (in this subsection and subsection (6.03) referred to as the “relevant entity”) for a taxation year if(a)the relevant entity does not satisfy the condition in subparagraph (6)(a)(i), determined without reference to subsection (6.03);(b)all or substantially all the gross revenue of the relevant entity for the year consists of any one or more of(i)gross revenue from the provision of services to one or more eligible entities, other than services described in any of paragraphs (a) to (h) of the definitioninternational shippingin subsection 248(1),(ii)gross revenue from international shipping,(iii)gross revenue from an eligible interest held by it in an eligible entity, and(iv)interest on a debt owing by an eligible entity in which an eligible interest is held by it or a person related to it;(c)either the relevant entity is a subsidiary wholly-owned corporation (as defined in subsection 87(1.4)) of the eligible entity referred to in paragraph (b) or an eligible interest in each eligible entity referred to in paragraph (b) is held throughout the year by(i)the relevant entity,(ii)one or more persons related to the relevant entity (if the relevant entity and each such person is a corporation), or persons or partnerships affiliated with the relevant entity (in any other case), or(iii)any combination of the relevant entity and persons or partnerships described in subparagraph (ii); and(d)all or substantially all the shares of the capital stock of, or interests in, the relevant entity are held, directly or indirectly through one or more subsidiary wholly-owned corporations (as defined in subsection 87(1.4)), throughout the year by one or more corporations, trusts or partnerships that would be eligible entities if they did not own shares of, or interests in, the relevant entity.Marginal note:Service providers(6.03)If this subsection applies for a taxation year, then for the purposes of subsection (6) and paragraph 81(1)(c),(a)the relevant entity is deemed to have international shipping as its principal business in the year; and(b)the gross revenue described in subparagraph (6.02)(b)(i) is deemed to be gross revenue from international shipping.Marginal note:Definitions(6.04)The following definitions apply in this subsection and subsections (6) to (6.03).eligible entityeligible entity, for a taxation year, means(a)a corporation that is deemed by subsection (6) to be resident in a country other than Canada for the year; or(b)a partnership or trust, if(i)it satisfies the conditions in subparagraph (6)(a)(i) or (ii), and(ii)all or substantially all its gross revenue for the year consists of any combination of amounts described in any of subparagraphs (6)(b)(i) to (iii). (entité admissible)eligible interesteligible interestmeans(a)in respect of a corporation, shares of the capital stock of the corporation that(i)give the holders of those shares not less than 25% of the votes that could be cast at an annual meeting of the shareholders of the corporation, and(ii)have a fair market value that is not less than 25% of the fair market value of all the issued and outstanding shares of the capital stock of the corporation;(b)in respect of a trust, an interest as a beneficiary (as defined in subsection 108(1)) under the trust with a fair market value that is not less than 25% of the fair market value of all the interests of all beneficiaries under the trust; and(c)in respect of a partnership, an interest as a member of the partnership with a fair market value that is not less than 25% of the fair market value of all the membership interests in the partnership. (participation admissible)Marginal note:Holdings in eligible entities(6.05)For the purpose of determining whether a person or partnership (in this subsection referred to as the “holder”) holds an eligible interest in an eligible entity in subsections (6) to (6.04), the holder is deemed to hold all of the shares or interests, as the case may be, in the eligible entity held by(a)the holder;(b)if the holder is a corporation,(i)each corporation related to the holder, and(ii)each person, other than a corporation, or partnership that is affiliated with the holder; and(c)if the holder is not a corporation, each person or partnership affiliated with the holder.Marginal note:Residence ofinter vivostrusts(6.1)For the purposes of provisions of this Act that apply to a trust for a taxation year only where the trust has been resident in Canada throughout the year, where a particular trust ceases at any time to exist and the particular trust was resident in Canada immediately before that time, the particular trust is deemed to be resident in Canada throughout the period that begins at that time and ends at the end of the year.(7)[Repealed, 2011, c. 24, s. 74]
(a)sojourned in Canada in the year for a period of, or periods the total of which is, 183 days or more;(b)was, at any time in the year, a member of the Canadian Forces;(c)was, at any time in the year,(i)an ambassador, minister, high commissioner, officer or servant of Canada, or(ii)an agent-general, officer or servant of a province,and was resident in Canada immediately prior to appointment or employment by Canada or the province or received representation allowances in respect of the year;(d)performed services, at any time in the year, in a country other than Canada under a prescribed international development assistance program of the Government of Canada and was resident in Canada at any time in the 3 month period preceding the day on which those services commenced;(d.1)was, at any time in the year, a member of the overseas Canadian Forces school staff who filed his or her return for the year on the basis that the person was resident in Canada throughout the period during which the person was such a member;(e)[Repealed, 1999, c. 22, s. 82(1)](f)was at any time in the year a child of, and dependent for support on, an individual to whom paragraph (b), (c), (d) or (d.1) applies and the person’s income for the year did not exceed the amount determined for F in subsection 118(1.1) for the year; or(g)was at any time in the year, under an agreement or a convention with one or more other countries that has the force of law in Canada, entitled to an exemption from an income tax otherwise payable in any of those countries in respect of income from any source (unless all or substantially all of the person’s income from all sources was not so exempt), because at that time the person was related to or a member of the family of an individual (other than a trust) who was resident in Canada.
(i)an ambassador, minister, high commissioner, officer or servant of Canada, or(ii)an agent-general, officer or servant of a province,
(a)in the case of a corporation incorporated after April 26, 1965, it was incorporated in Canada;(b)in the case of a corporation that(i)was incorporated before April 9, 1959,(ii)was, on June 18, 1971, a foreign business corporation (within the meaning of section 71 of theIncome Tax Act, chapter 148 of the Revised Statutes of Canada, 1952, as it read in its application to the 1971 taxation year) that was controlled by a corporation resident in Canada,(iii)throughout the 10 year period ending on June 18, 1971, carried on business in any one particular country other than Canada, and(iv)during the period referred to in subparagraph 250(4)(b)(iii), paid dividends to its shareholders resident in Canada on which its shareholders paid tax to the government of the country referred to in that subparagraph,it was incorporated in Canada and, at any time in the taxation year or at any time in any preceding taxation year commencing after 1971, it was resident in Canada or carried on business in Canada; and(c)in the case of a corporation incorporated before April 27, 1965 (other than a corporation to which subparagraphs 250(4)(b)(i) to 250(4)(b)(iv) apply), it was incorporated in Canada and, at any time in the taxation year or at any time in any preceding taxation year of the corporation ending after April 26, 1965, it was resident in Canada or carried on business in Canada.
(i)was incorporated before April 9, 1959,(ii)was, on June 18, 1971, a foreign business corporation (within the meaning of section 71 of theIncome Tax Act, chapter 148 of the Revised Statutes of Canada, 1952, as it read in its application to the 1971 taxation year) that was controlled by a corporation resident in Canada,(iii)throughout the 10 year period ending on June 18, 1971, carried on business in any one particular country other than Canada, and(iv)during the period referred to in subparagraph 250(4)(b)(iii), paid dividends to its shareholders resident in Canada on which its shareholders paid tax to the government of the country referred to in that subparagraph,
(a)for the purposes of applying this Act (other than subsection 250(4)) in respect of all times from the time of continuation until the time, if any, of continuation in a different jurisdiction, be deemed to have been incorporated in the particular jurisdiction and not to have been incorporated in any other jurisdiction; and(b)for the purpose of applying subsection 250(4) in respect of all times from the time of continuation until the time, if any, of continuation in a different jurisdiction, be deemed to have been incorporated in the particular jurisdiction at the time of continuation and not to have been incorporated in any other jurisdiction.
(a)the corporation(i)has international shipping as its principal business in the year, or(ii)holds eligible interests in one or more eligible entities throughout the year and at no time in the year is the total of the cost amounts to it of all those eligible interests and of all debts owing to it by an eligible entity in which an eligible interest is held by it, by a person related to it or by a partnership affiliated with it less than 50% of the total of the cost amounts to it of all its property;(b)all or substantially all the corporation’s gross revenue for the year consists of any one or more of(i)gross revenue from international shipping,(ii)gross revenue from an eligible interest held by it in an eligible entity, and(iii)interest on a debt owing by an eligible entity in which an eligible interest is held by it, by a person related to it or by a partnership affiliated with it; and(c)the corporation was not granted articles of continuance in Canada before the end of the year.
(i)has international shipping as its principal business in the year, or(ii)holds eligible interests in one or more eligible entities throughout the year and at no time in the year is the total of the cost amounts to it of all those eligible interests and of all debts owing to it by an eligible entity in which an eligible interest is held by it, by a person related to it or by a partnership affiliated with it less than 50% of the total of the cost amounts to it of all its property;
(i)gross revenue from international shipping,(ii)gross revenue from an eligible interest held by it in an eligible entity, and(iii)interest on a debt owing by an eligible entity in which an eligible interest is held by it, by a person related to it or by a partnership affiliated with it; and
(a)the relevant entity does not satisfy the condition in subparagraph (6)(a)(i), determined without reference to subsection (6.03);(b)all or substantially all the gross revenue of the relevant entity for the year consists of any one or more of(i)gross revenue from the provision of services to one or more eligible entities, other than services described in any of paragraphs (a) to (h) of the definitioninternational shippingin subsection 248(1),(ii)gross revenue from international shipping,(iii)gross revenue from an eligible interest held by it in an eligible entity, and(iv)interest on a debt owing by an eligible entity in which an eligible interest is held by it or a person related to it;(c)either the relevant entity is a subsidiary wholly-owned corporation (as defined in subsection 87(1.4)) of the eligible entity referred to in paragraph (b) or an eligible interest in each eligible entity referred to in paragraph (b) is held throughout the year by(i)the relevant entity,(ii)one or more persons related to the relevant entity (if the relevant entity and each such person is a corporation), or persons or partnerships affiliated with the relevant entity (in any other case), or(iii)any combination of the relevant entity and persons or partnerships described in subparagraph (ii); and(d)all or substantially all the shares of the capital stock of, or interests in, the relevant entity are held, directly or indirectly through one or more subsidiary wholly-owned corporations (as defined in subsection 87(1.4)), throughout the year by one or more corporations, trusts or partnerships that would be eligible entities if they did not own shares of, or interests in, the relevant entity.
(i)gross revenue from the provision of services to one or more eligible entities, other than services described in any of paragraphs (a) to (h) of the definitioninternational shippingin subsection 248(1),(ii)gross revenue from international shipping,(iii)gross revenue from an eligible interest held by it in an eligible entity, and(iv)interest on a debt owing by an eligible entity in which an eligible interest is held by it or a person related to it;
(i)the relevant entity,(ii)one or more persons related to the relevant entity (if the relevant entity and each such person is a corporation), or persons or partnerships affiliated with the relevant entity (in any other case), or(iii)any combination of the relevant entity and persons or partnerships described in subparagraph (ii); and
(a)the relevant entity is deemed to have international shipping as its principal business in the year; and(b)the gross revenue described in subparagraph (6.02)(b)(i) is deemed to be gross revenue from international shipping.
(a)a corporation that is deemed by subsection (6) to be resident in a country other than Canada for the year; or(b)a partnership or trust, if(i)it satisfies the conditions in subparagraph (6)(a)(i) or (ii), and(ii)all or substantially all its gross revenue for the year consists of any combination of amounts described in any of subparagraphs (6)(b)(i) to (iii). (entité admissible)
(i)it satisfies the conditions in subparagraph (6)(a)(i) or (ii), and(ii)all or substantially all its gross revenue for the year consists of any combination of amounts described in any of subparagraphs (6)(b)(i) to (iii). (entité admissible)
(a)in respect of a corporation, shares of the capital stock of the corporation that(i)give the holders of those shares not less than 25% of the votes that could be cast at an annual meeting of the shareholders of the corporation, and(ii)have a fair market value that is not less than 25% of the fair market value of all the issued and outstanding shares of the capital stock of the corporation;(b)in respect of a trust, an interest as a beneficiary (as defined in subsection 108(1)) under the trust with a fair market value that is not less than 25% of the fair market value of all the interests of all beneficiaries under the trust; and(c)in respect of a partnership, an interest as a member of the partnership with a fair market value that is not less than 25% of the fair market value of all the membership interests in the partnership. (participation admissible)
(i)give the holders of those shares not less than 25% of the votes that could be cast at an annual meeting of the shareholders of the corporation, and(ii)have a fair market value that is not less than 25% of the fair market value of all the issued and outstanding shares of the capital stock of the corporation;
(a)the holder;(b)if the holder is a corporation,(i)each corporation related to the holder, and(ii)each person, other than a corporation, or partnership that is affiliated with the holder; and(c)if the holder is not a corporation, each person or partnership affiliated with the holder.
(i)each corporation related to the holder, and(ii)each person, other than a corporation, or partnership that is affiliated with the holder; and
[NOTE: Application provisions are not included in the consolidated textsee relevant amending Acts and regulations.]R.S., 1985, c. 1 (5th Supp.), s. 2501994, c. 7, Sch