Versions of s. 80(13)

I-3.3 — Income Tax Act · 2 versions · View current text

Historical text comes from the Justice Laws point-in-time corpus and is unofficial — not the official version.

2017-01-01 to present available View Source

Where a commercial obligation issued by a debtor is settled at any time in a taxation year, there shall be added, in computing the debtor’s income for the year from the source in connection with which the obligation was issued, the amount determined by the formula(A + B - C - D) × E where A is the remaining unapplied portion of the forgiven amount at that time in respect of the obligation, B is the lesser of the total of all amounts designated under subsection 80(11) by the debtor in respect of the settlement of the obligation at that time, and the residual balance at that time in respect of the settlement of the obligation, C is the total of all amounts each of which is an amount specified in an agreement filed under section 80.04 in respect of the settlement of the obligation at that time, D is ~~where~~if the debtor has designated amounts under subsections ~~80(5),~~(5), ~~80(7),~~(8), ~~80(8), 80(9)~~(9) and ~~80(10)~~(10) to the maximum extent permitted in respect of the settlement, the amount, if any, by which the total of all amounts each of which is an unrecognized loss at that time, in respect of the obligation, from the disposition of a property exceeds twice the total of all amounts each of which is an amount by which the amount determined before that time under this subsection in respect of a settlement of an obligation issued by the debtor has been reduced because of an amount determined under this paragraph, and in any other case, nil, and E is where the debtor is a partnership, 1, and in any other case, 1/2.

Full text

Where a commercial obligation issued by a debtor is settled at any time in a taxation year, there shall be added, in computing the debtor’s income for the year from the source in connection with which the obligation was issued, the amount determined by the formula(A + B - C - D) × E where A is the remaining unapplied portion of the forgiven amount at that time in respect of the obligation, B is the lesser of the total of all amounts designated under subsection 80(11) by the debtor in respect of the settlement of the obligation at that time, and the residual balance at that time in respect of the settlement of the obligation, C is the total of all amounts each of which is an amount specified in an agreement filed under section 80.04 in respect of the settlement of the obligation at that time, D is if the debtor has designated amounts under subsections (5), (8), (9) and (10) to the maximum extent permitted in respect of the settlement, the amount, if any, by which the total of all amounts each of which is an unrecognized loss at that time, in respect of the obligation, from the disposition of a property exceeds twice the total of all amounts each of which is an amount by which the amount determined before that time under this subsection in respect of a settlement of an obligation issued by the debtor has been reduced because of an amount determined under this paragraph, and in any other case, nil, and E is where the debtor is a partnership, 1, and in any other case, 1/2.
2004-08-31 to 2017-01-01 View Source

Where a commercial obligation issued by a debtor is settled at any time in a taxation year, there shall be added, in computing the debtor’s income for the year from the source in connection with which the obligation was issued, the amount determined by the formula(A + B - C - D) × E where A is the remaining unapplied portion of the forgiven amount at that time in respect of the obligation, B is the lesser of the total of all amounts designated under subsection 80(11) by the debtor in respect of the settlement of the obligation at that time, and the residual balance at that time in respect of the settlement of the obligation, C is the total of all amounts each of which is an amount specified in an agreement filed under section 80.04 in respect of the settlement of the obligation at that time, D is where the debtor has designated amounts under subsections 80(5), 80(7), 80(8), 80(9) and 80(10) to the maximum extent permitted in respect of the settlement, the amount, if any, by which the total of all amounts each of which is an unrecognized loss at that time, in respect of the obligation, from the disposition of a property exceeds twice the total of all amounts each of which is an amount by which the amount determined before that time under this subsection in respect of a settlement of an obligation issued by the debtor has been reduced because of an amount determined under this paragraph, and in any other case, nil, and E is where the debtor is a partnership, 1, and in any other case, 1/2.