Income Tax Act
Sections and provisions with full text and the judgments that cite each one.
Section 122.93 — Definitions
The following definitions apply in this section. eligible health care establishment means a hospital, nursing care facility, residential care facility, community care facility for the elderly, home…
Section 123 — Rate for corporations
The tax payable under this Part for a taxation year by a corporation on its taxable income or taxable income earned in Canada, as the case may be, (in this section referred to as its “amount…
Section 123.1 — Corporation surtax
There shall be added to the tax otherwise payable under this Part for each taxation year by a corporation (other than a corporation that was throughout the year an investment corporation or a…
Section 123.2
[Repealed, 2006, c. 4, s. 72]
Section 123.3 — Refundable tax — CCPC or substantive CCPC
There shall be added to the tax otherwise payable under this Part for each taxation year by a corporation that is a Canadian-controlled private corporation throughout the year — or a substantive CCPC…
Section 123.4 — Definitions
The definitions in this subsection apply in this section. CCPC rate reduction percentage [Repealed, 2003, c. 15, s. 78(1)] full rate taxable income of a corporation for a taxation year is if the…
Section 123.5 — Tax on personal services business income
There shall be added to the tax otherwise payable under this Part for each taxation year by a corporation an amount equal to 5% of the corporation’s taxable income for the year from a personal…
Section 123.6 — Definition
The following definition applies in this section. bank or life insurer group member means a corporation that is a bank; a life insurance corporation that carries on business in Canada; or a financial…
Section 124 — Deduction from corporation tax
There may be deducted from the tax otherwise payable by a corporation under this Part for a taxation year an amount equal to 10% of the corporation’s taxable income earned in the year in a province.…
Section 125 — Small business deduction
There may be deducted from the tax otherwise payable under this Part for a taxation year by a corporation that was, throughout the taxation year, a Canadian-controlled private corporation, an amount…
Section 125.1 — Manufacturing and processing profits deductions
There may be deducted from the tax otherwise payable under this Part by a corporation for a taxation year an amount equal to the corporation’s general rate reduction percentage for the taxation year…
Section 125.11
[Repealed, 2003, c. 28, s. 13(2)]
Section 125.2 — Definitions
The following definitions apply in this section. adjusted business income , of a corporation for a taxation year, has the same meaning as in Part LII of the Income Tax Regulations . ( revenu rajusté…
Section 125.21 — Part XIII tax — eligible bank affiliate
There may be deducted in computing the tax payable under this Part for a taxation year by a particular corporation that is throughout the year an eligible Canadian bank (as defined in subsection…
Section 125.3 — Deduction of Part I.3 tax
There may be deducted in computing the tax payable under this Part for a taxation year by a corporation (other than a corporation that was throughout the year a financial institution, within the…
Section 125.4 — Definitions
The definitions in this subsection apply in this section. assistance means an amount, other than a prescribed amount or an amount deemed under subsection (3) to have been paid, that would be included…
Section 125.5 — Definitions
The definitions in this subsection apply in this section. accredited film or video production certificate , in respect of a film or video production, means a certificate issued by the Minister of…
Section 125.6 — Definitions
The following definitions apply in this section. assistance means an amount, other than an amount received from the Aid to Publishers component of the Canada Periodical Fund or an amount deemed under…
Section 125.7 — Definitions
The following definitions apply in this section and in subsections 163(2.901) and (2.902). baseline remuneration , in respect of an eligible employee of an eligible entity, means the average weekly…
Section 126 — Foreign tax deduction
A taxpayer who was resident in Canada at any time in a taxation year may deduct from the tax for the year otherwise payable under this Part by the taxpayer an amount equal to such part of any…
Section 126.1
[Repealed, 2013, c. 34, s. 268]
Section 127 — Logging tax deduction
There may be deducted from the tax otherwise payable by a taxpayer under this Part for a taxation year an amount equal to the lesser of 2/3 of any logging tax paid by the taxpayer to the government…
Section 127.1 — Refundable investment tax credit
Where a taxpayer (other than a person exempt from tax under section 149) files with the taxpayer’s return of income (other than a return of income filed under subsection 70(2) or 104(23), paragraph…
Section 127.2 — Share-purchase tax credit
There may be deducted from the tax otherwise payable under this Part by a taxpayer for a taxation year an amount not exceeding the total of the taxpayer’s share-purchase tax credit for the year, and…
Section 127.3 — Scientific research and experimental development tax credit
There may be deducted from the tax otherwise payable under this Part by a taxpayer for a taxation year an amount not exceeding the total of the taxpayer’s scientific research and experimental…
Section 127.4 — Definitions
In this section, approved share means a share of the capital stock of a prescribed labour-sponsored venture capital corporation, but does not include a share issued by a registered labour-sponsored…
Section 127.41 — Part XII.4 tax credit
In this section, the Part XII.4 tax credit of a taxpayer for a particular taxation year means the total of all amounts each of which is an amount determined by the formula A × B/C where A is the tax…
Section 127.42 — Definitions
The following definitions apply in this section. designated province means a province specified by the Minister of Finance for a calendar year. ( province déterminée ) eligible farming expenses , of…
Section 127.421 — Definitions
The following definitions apply in this section. designated province means a province specified by the Minister of Finance for a calendar year. ( province déterminée ) fuel return specified , for a…
Section 127.43 — Definitions
The following definitions apply in this section. assistance means an amount, other than a prescribed amount or an amount deemed under subsection (2) to have been paid, that would be included under…
Section 127.44 — Definitions
The following definitions apply in this section, Part XII.7 and in Schedule II to the Income Tax Regulations . captured carbon means captured carbon dioxide that would otherwise be released into the…
Section 127.45 — Definitions
The following definitions apply in this section. clean technology investment tax credit of a qualifying taxpayer for a taxation year means the total of all amounts each of which is the specified…
Section 127.46 — Definitions
The following definitions apply in this section. apprenticeship requirements means the requirements set out in subsection (5). ( exigences à l’égard d’apprentis ) benefits means vacation, pension,…
Section 127.47 — Definitions
The following definitions apply in this section. at-risk amount has the meaning assigned by subsection 96(2.2). ( fraction à risques ) clean economy allocation provision means subsection 127.44(11);…
Section 127.48 — Definitions
The following definitions apply in this section. actual carbon intensity means the carbon intensity of hydrogen that is produced by a qualified clean hydrogen project of a taxpayer, based on the…
Section 127.49 — Definitions
The following definitions apply in this section. CTM investment tax credit of a qualifying taxpayer for a taxation year means the total of all amounts each of which is the specified percentage of the…
Section 127.491 — Definitions
The following definitions apply in this section. actual emission intensity means the emission intensity of a specified natural gas energy system of a qualifying entity, based on the actual carbon…
Section 127.5 — Obligation to pay minimum tax
Notwithstanding any other provision of this Act but subject to subsection 120.4(3) and section 127.55, where the amount that, but for section 120, would be determined under Division E to be an…
Section 127.51 — Minimum amount determined
An individual’s minimum amount for a taxation year is the amount determined by the formula A(B - C) - D where A is 20.5%; B is the individual’s adjusted taxable income for the year determined under…
Section 127.52 — Adjusted taxable income determined
Subject to subsection 127.52(2), an individual’s adjusted taxable income for a taxation year is the amount that would be the individual’s taxable income for the year or the individual’s taxable…
Section 127.53
[Repealed, 2014, c. 39, s. 45]
Section 127.531 — Basic minimum tax credit determined
An individual’s basic minimum tax credit for a taxation year is the total of all amounts each of which is 1/2 of an amount deducted under any of subsections 118(1), (2), (3) and (10), sections 118.01…
Section 127.54 — Definitions
In this section, foreign income of an individual for a taxation year means the total of the individual’s incomes for the year from businesses carried on by the individual in countries other than…
Section 127.55 — Application of s. 127.5
Section 127.5 does not apply in respect of a return of income of an individual filed under subsection 70(2), paragraph 104(23)(d) or 128(2)(e) or subsection 150(4); [Repealed, 2001, c. 17, s. 121(1)]…
Section 128 — Where corporation bankrupt
Where a corporation has become a bankrupt, the following rules are applicable: the trustee in bankruptcy shall be deemed to be the agent of the bankrupt for all purposes of this Act; the estate of…
Section 128.1 — Immigration
For the purposes of this Act, where at a particular time a taxpayer becomes resident in Canada, where the taxpayer is a corporation or a trust, the taxpayer’s taxation year that would otherwise…
Section 128.2 — Cross-border mergers
Where a corporation formed at a particular time by the amalgamation or merger of, or by a plan of arrangement or other corporate reorganization in respect of, 2 or more corporations (each of which is…
Section 128.3 — Former resident — replaced shares
If, in a transaction to which section 51, subparagraphs 85.1(1)(a)(i) and (ii), subsection 85.1(8) or section 86 or 87 applies, a person acquires a share (in this section referred to as the “new…
Section 129 — Dividend refund to private corporation
Where a return of a corporation’s income under this Part for a taxation year is made within 3 years after the end of the year, the Minister may, on sending the notice of assessment for the year,…
Section 130 — Deduction from tax
A corporation that was, throughout a taxation year, an investment corporation may deduct from the tax otherwise payable by it under this Part for the year an amount equal to 20% of the amount, if…