Versions of s. 138(12), definition “1975 branch accounting election deficiency”

1975 branch accounting election deficiency of an insurer that has made an election under subsection 138(9) of the Income Tax Act, chapter 148 of the Revised Statutes of Canada, 1952, as it read in its application to the 1977 taxation year, in respect of its 1975 taxation year means the amount determined by the formula(A + B) - (C + D + E + F + G) where A is such portion of the total of the insurer’s gross investment revenue and all amounts determined under paragraphs 138(4)(b) and 138(4)(c) as would have been required to be included in computing its income for its 1975 taxation year if it had not made the election under subsection 138(9) of that Act in respect of that year, and where it had made the election under subsection 138(9) of that Act in respect of its 1974 taxation year, it had adopted for its 1975 taxation year, with the concurrence of the Minister, the method required by subsection 138(9) of that Act if it had not elected under that subsection and the Minister had specified no terms and conditions under subsection 138(10) of that Act, B is the total of the amounts deducted in computing the insurer’s income for its 1975 taxation year under paragraphs 138(3)(b) and 138(3)(d), C is the total of the insurer’s gross investment revenue included in computing its income for its 1975 taxation year and the amounts included in computing its income for that year under paragraphs 138(4)(b) and 138(4)(c), D is such portion of the total of all amounts determined under paragraphs 138(3)(b) and 138(3)(d) as would have been deductible in computing the insurer’s income for its 1975 taxation year if it had not made the election under subsection 138(9) of that Act in respect of that year, and where it had made the election under subsection 138(9) of that Act in respect of its 1974 taxation year, it had adopted for its 1975 taxation year, with the concurrence of the Minister, the method required by subsection 138(9) of that Act if it had not elected under that subsection and the Minister had specified no terms and conditions under subsection 138(10) of that Act, E is the amount determined by the formula P - Q where P is the total of the insurer’s outlays or expenses that would have been deductible in computing its income from its insurance businesses for its 1975 taxation year (other than amounts deductible under subsection 138(3), section 140 and regulations made under paragraphs 20(1)(a) and 20(7)(c)), if it had not made the election under subsection 138(9) of that Act in respect of that year, and where it had made the election under subsection 138(9) of that Act in respect of its 1974 taxation year, it had adopted for its 1975 taxation year, with the concurrence of the Minister, the method required by subsection 138(9) of that Act if it had not elected under that subsection and the Minister had specified no terms and conditions under subsection 138(10) of that Act, Q is the total of the insurer’s outlays or expenses deducted in computing its income from its insurance businesses for its 1975 taxation year (other than amounts deducted under subsection 138(3), section 140 and regulations made under paragraphs 20(1)(a) and 20(7)(c)), F is the amount of the insurer’s 1975-76 excess policy dividend deduction, and G is the amount of the insurer’s 1975-76 excess policy dividend reserve;