2(1), (2) Repealed AR 43/98 s2.
(3) Repealed
AR 154/99 s2.
2.1 An election under section
26(1.7)(b) shall be made on or before the day that is the earliest of the days
on or before which
(a) the
purchaser,
(b) the
vendor, or
(c) a
corporation associated with the vendor
is required to file a
return of income pursuant to section 36(1) for the taxation year in which the
acquisition to which the election relates occurred.
AR 391/83 s2
3 Part XLIII of the federal
regulations applies for the purpose of prescribing the interest rate under any
section of the Act requiring a prescribed interest rate, except that
(a) the
reference to “Receiver General” in paragraph 4301(a) of the federal regulations
shall be read as a reference to “Provincial Treasurer”;
(b) subparagraph
4301(a)(ii) of the federal regulations shall be read as “3.5 per cent”;
(c) subparagraph 4301(b)(ii) of the federal
regulations shall be read as “0.0 per cent”.
AR 105/81
s3;503/82;222/84;8/89;43/98;154/99
3.1 Subsection 5800(1) of the
regulations made under the federal Act applies for the purpose of prescribing
the retention periods for records and books of account required to be retained
under section 61(3)(a) of the Act.
AR 391/83 s3
4 Repealed AR 43/98 s4.
Part 1
Allocation of Payment
NOTE: Section 5 is repealed with
respect to taxation years beginning after September 30, 1987. (See Alta. Reg. 389/87).
5 A payment received by the
Provincial Treasurer on account of amounts owing or required to be repaid by a
corporation under the Act for a particular taxation year shall be allocated by
the Provincial Treasurer as follows:
(a) if
the payment is received before the day of mailing of a notice of an original
assessment for the taxation year, the payment shall be applied
(i) first, if the corporation so specifies, to overpayments of
refundable tax credits in respect of that taxation year and then to tax payable
under the Act for that taxation year, and
(ii) in any other case, to tax payable under the Act for that taxation
year and then to overpayments of refundable tax credits;
(b) if the payment is received on or after the
day of mailing of a notice of an original assessment for the taxation year, the
payment shall be applied first to interest and penalties, if any, assessed
under the Act for that taxation year and the remainder, if any, shall be
applied first to tax assessed under the Act for that taxation year and then to
overpayments of refundable tax credits for that taxation year.
AR 105/81
s5;503/82;391/83;389/87
Part 2
Royalty Tax Credit, Royalty Tax Credit Gas Supplement, Royalty Credit and
Royalty Credit Gas Supplement
5.1(1) This Part applies for the purposes of sections 26, 26.1,
26.2, 26.4 and Part 11 of the Act.
(2) In
this Part, “period” with respect to a year means any of the following:
(a) the
period beginning on January 1 and ending on March 31;
(b) the
period beginning on April 1 and ending on June 30;
(c) the
period beginning on July 1 and ending on September 30;
(d) the period beginning on October 1 and ending
on December 31.
AR 230/90 s4;291/91
5.2(1) The specified rate for the period ending March 31, 1995 is
73.56%.
(2) The
specified rate for the period ending June 30, 1995 is 73.47%.
(3) The
Minister of Energy may by order, in respect of each period after June 30, 1995,
prescribe an amount as the royalty tax credit reference price for that period.
(4) The
specified rate for a period after June 30, 1995,
(a) if
the royalty tax credit reference price is $100 or less, is 0.75;
(b) if
the royalty tax credit reference price is more than $100 but $140 or less, is
an amount determined by the following formula:
0.75 - (2/40) X (royalty
tax credit reference price - $100)
100
(c) if
the royalty tax credit reference price is more than $140 but $210 or less, is
an amount determined by the following formula:
0.73 - (48/70) X (royalty
tax credit reference price - $140)
100
(d) if
the royalty tax credit reference price is more than $210, is 0.25.
(5) The
weighted average rate for a taxation year is the aggregate of the amounts that
are the product obtained when the specified rate for a period, all or part of
which falls in the taxation year, is multiplied by the proportion that the
number of days in the taxation year that are in that period is of the total
number of days in the taxation year.
(6) The moving average of the specified rates at
the end of a particular month in a taxation year is the aggregate of the
amounts that are the product obtained when the specified rate for a period, all
or part of which falls in the taxation year on or before the end of the month,
is multiplied by the proportion that the number of days in the period to the end
of the month is of the number of days in the taxation year to the end of the
month.
AR 291/91 s2;108/95
5.3 For the purposes of section
26(1)(c) of the Act, the following are prescribed leases:
7184100 257
7184100 258
7185050 264
7185070 269
7185070 270
7185070 271
7185080 275
7185080 276
7185090 278
7186020 283
7186020 284
7186030 289
7186040 298
7186060 304
7186060 305
7186070 306
7186120 314
7187040 321
AR 291/91 s2
5.4 Repealed AR 43/98 s4.
6 Repealed AR 222/84 s3.
Parts
3, 4 Repealed
AR 43/98 s5.
Part 5
Financial Institutions
Capital Tax
11(1) For the purposes of the definition of SP in section 95(1) of
the Act, the percentage of a financial institution’s taxable capital that is
deemed to be used by it in a taxation year in a jurisdiction other than Canada
is calculated under the rules in sections 12 and 13, except that references to
“Alberta” shall be read as “Canada”.
(2) For
the purposes of the definitions of D and E in section 95(5) of the Act, the percentage
of a financial institution’s taxable capital that is deemed to be used by it in
a taxation year in a jurisdiction other than Alberta is calculated under the
rules in sections 12 and 13.
(3) For the purposes of the definition of A in
section 97(2) of the Act, the percentage of a financial institution’s adjusted
taxable capital that is deemed to be used by it in a taxation year in a
jurisdiction other than Alberta is calculated under the rules in sections 12
and 13, except that references to “taxable capital” shall be read as “adjusted
taxable capital”.
AR 230/90 s5;154/99
12(1) The percentage of the taxable
capital of a bank that is deemed to be used in a jurisdiction other than
Alberta in a taxation year is determined by the following formula:
where
A is the aggregate of the salaries and
wages paid in the year by the bank to its employees of its permanent
establishments in jurisdictions other than Alberta,
B is the aggregate of the salaries and
wages paid in the year by the bank to its employees employed in all
jurisdictions,
C is the aggregate amount of the loans
and deposits of the permanent establishments of the bank in jurisdictions other
than Alberta for the year, and
D is the aggregate amount of loans and
deposits of the bank in all jurisdictions for the year.
(2) For
the purposes of subsection (1), the amount of loans for a taxation year is 1/12
of the aggregate of the amounts outstanding on the loans made by the bank at
the close of business on the last day of each month in the year.
(3) For
the purposes of subsection (1), the amount of deposits for a taxation year is
1/12 of the aggregate of the amounts on deposit with the bank at the close of
business on the last day of each month in the year.
(4) For the purposes of subsections (2) and (3),
loans and deposits do not include bonds, stocks, debentures, items in transit
and deposits in favour of Her Majesty in right of Canada.
AR 230/90
s5;154/99;233/2000
13 The percentage of the taxable
capital of a loan and trust corporation that is deemed to be used in a
jurisdiction other than Alberta in a taxation year is determined by the
following formula:
where
E is the aggregate of the gross
revenue of the corporation for the year arising from
(a) loans
secured by real property situated in a jurisdiction other than Alberta in which
the corporation has a permanent establishment,
(b) loans
not secured by real property and made to persons residing in a jurisdiction
other than Alberta in which the corporation has a permanent establishment,
(c) loans
administered by permanent establishments of the corporation in a jurisdiction
other than Alberta and made to persons residing in a jurisdiction in which the
corporation has no permanent establishment, but not including loans secured by
real property situated in Alberta, and
(d) business
conducted at permanent establishments of the corporation in a jurisdiction
other than Alberta, other than the making of loans,
and
F is the total revenue of the
corporation for the year.
AR 230/90 s5;154/99
13.1(1) For the purposes of the definition
of PTC in section 97.1(1) of the Act, the portion of a bank’s taxable capital
employed in Canada that is used in jurisdictions outside Alberta in a taxation
year is determined by the following formula:
where
TC is the bank’s taxable capital employed
in Canada for the year,
A is the aggregate of the salaries and
wages paid in the year by the bank to its employees of its permanent
establishments in provinces other than Alberta,
B is the aggregate of the salaries and
wages paid in the year by the bank to its employees employed in Canada,
C is the aggregate amount of loans and
deposits of the permanent establishments of the bank in provinces other than
Alberta for the year, and
D is the aggregate amount of loans and
deposits of the bank in Canada for the year.
(2) For
the purposes of subsection (1), the amount of loans for a taxation year is 1/12
of the aggregate of the amounts outstanding on the loans made by the bank at
the close of business on the last day of each month in the year.
(3) For
the purposes of subsection (1), the amount of deposits for a taxation year is
1/12 of the aggregate of the amounts on deposit with the bank at the close of
business on the last day of each month in the year.
(4) For the purposes of subsections (2) and (3),
loans and deposits do not include bonds, stocks, debentures, items in transit
and deposits in favour of Her Majesty in right of Canada.
AR 154/99 s4
13.2 For the purposes of the
definition of PTC in section 97.1(1) of the Act, the portion of a loan and
trust corporation’s taxable capital employed in Canada that is used in
jurisdictions outside Alberta in a taxation year is determined by the following
formula:
where
TC is the corporation’s taxable capital
employed in Canada for the year,
E is the aggregate of the gross
revenue of the corporation for the year arising from
(a) loans
secured by real property situated in a province other than Alberta in which the
corporation has a permanent establishment,
(b) loans
not secured by real property and made to persons residing in a province other
than Alberta in which the corporation has a permanent establishment,
(c) loans
administered by permanent establishments of the corporation in provinces other
than Alberta and made to persons residing in a province in which the
corporation has no permanent establishment, but not including loans secured by
real property situated in Alberta, and
(d) business
conducted at permanent establishments of the corporation in provinces other
than Alberta, other than the making of loans,
and
F is the total gross revenue of the
corporation for the year.
AR 154/99 s4
14 Repealed AR 154/99 s4.
Part 6
Appeal Committee -
Avoidance Transactions
Definitions
15 In this Part,
(a) “Appeal
Committee” means the Appeal Committee established under section 72.4 of the
Act;
(b) “federal
assessment” means an assessment, reassessment or additional assessment under
the federal Act involving the application of subsection 245(2) of the federal
Act or a determination pursuant to subsection 152(1.11) of the federal Act;
(c) “GAAR
appeal” means an appeal under section 72.2(4) of the Act;
(d) “panel” means a panel of the Appeal
Committee.
AR 43/98 s6;154/99
Application for GAAR
appeal
16 A GAAR appeal by a corporation to the
Appeal Committee must
(a) be
submitted to the Provincial Treasurer,
(b) identify
the corporation that is making the appeal and set out the name, address and
telephone number of a contact person for the corporation,
(c) describe
the transaction that is the subject of the appeal and set out the grounds of
the appeal,
(d) contain
a consent authorizing the Provincial Treasurer to release to a panel all
relevant tax information about the corporation in the Provincial Treasurer’s
possession, including information received from the Minister of National
Revenue, and
(e) be signed by an officer of the corporation.
AR 43/98 s6
Formation of panels
17(1) Subject to subsection (2), if a corporation
has, within the time period specified in section 72.2(4) of the Act, made a
GAAR appeal that meets the requirements of section 16 of this Regulation, the
Provincial Treasurer shall
(a) select
the members of the Appeal Committee to form a panel to hear the appeal, and
(b) designate
the chair and vice-chair of the panel.
(2) If
a corporation makes a GAAR appeal in respect of a transaction that is the basis
of a federal assessment of the corporation, the Provincial Treasurer shall not form
a panel to hear the GAAR appeal unless
(a) all
rights of objection and appeal under the federal Act in respect of the federal
assessment have been exhausted or extinguished, and
(b) after those rights of objection and appeal
have been exhausted or extinguished, the corporation confirms that it wishes to
proceed with the GAAR appeal.
AR 43/98 s6;154/99
Adjournment by
Provincial Treasurer
18(1) The Provincial Treasurer may require a panel to
adjourn the hearing of a corporation’s GAAR appeal if, after the panel is
formed, there is a federal assessment of the corporation based on the
transaction upon which the GAAR appeal is based.
(2) The
Provincial Treasurer shall not direct the panel to resume the hearing of the
corporation’s GAAR appeal unless
(a) all
rights of objection and appeal under the federal Act in respect of the federal
assessment have been exhausted or extinguished, and
(b) after those rights of objection and appeal
have been exhausted or extinguished, the corporation confirms that it wishes to
proceed with the GAAR appeal.
AR 43/98 s6;154/99
Additional
information
19 A corporation shall supply any
information relating to the GAAR appeal that is required by the panel.
AR 43/98 s6
Parties
20 The parties to a GAAR appeal
are the corporation that makes the appeal and the Provincial Treasurer.
AR 43/98 s6
Procedure
21(1) The Appeal Committee shall establish general
procedures to be followed in a GAAR appeal.
(2) A panel may modify the general procedures to
fit the circumstances of a GAAR appeal.
AR 43/98 s6
Hearings
22(1) A panel may conduct a GAAR appeal with or
without hearings for the presentation of evidence and for oral argument, but a
panel shall hold a hearing if a party requests it.
(2) A
panel shall determine the time, date and place of hearings, taking into
consideration the convenience of the parties and of the panel members.
(3) A panel shall provide the parties with
sufficient notice of hearings.
AR 43/98 s6
Default
23 If a party fails to appear at
a hearing or to produce documentary evidence, the panel may make an order based
on the evidence before it, unless the party offers a explanation that is
satisfactory to the panel.
AR 43/98 s6
Panel decisions
24 A decision of a majority of
the members of a panel is a decision of the panel, but if there is no majority
decision, the decision of the chair of the panel governs.
AR 43/98 s6
Schedule Repealed AR 43/98 s7.
