CNLR 761/96 - Offshore Area Corporate Income Tax Regulations under the Offshore Area Corporate Income Tax Act

CONSOLIDATED NEWFOUNDLAND AND LABRADOR REGULATION 761/96 Offshore Area Corporate Income Tax Regulations under the Offshore Area Corporate Income Tax Act (O.C. 96-119) Amended by: 2001 c42 s45 CONSOLIDATED NEWFOUNDLAND AND LABRADOR REGULATION 761/96 Offshore Area Corporate Income Tax Regulations under the Offshore Area Corporate Income Tax Act (O.C. 96-119) Under the authority of section 23 of the Offshore Area Corporate Income Tax Act and the Subordinate Legislation Revision and Consolidation Act , the Lieutenant-Governor in Council makes the following regulations. REGULATIONS Analysis 1. Short title 2. Definitions 3. Percentage of taxable income 4. Application for payment 5. Notice 6. Interest payable by the minister and recipient 7. Obligations of eligible corporations 8. Redetermination 9. Notice under paragraph 6(2)(a) of the Act 10. Repeal Short title 1. These regulations may be cited as the Offshore Area Corporate Income Tax Regulations . 208/90 s1 Back to Top Definitions 2. In these regulations (a) "Act" means the Offshore Area Corporate Income Tax Act ; (b) "applicable rate" means the rate expressed as a percentage of taxable income that is applied to determine the tax payable by a large corporation under a provincial tax Act in respect of taxable income derived from an active business; (c) "large corporation" means a corporation other than a Canadian controlled private corporation; (d) "national average rate" for a taxation year means the arithmetic mean of the provincial rates for the year; (e) "provincial rate" in respect of a taxation year of an applicant means the applicable rate for the taxation year under a provincial tax Act and where more than one rate applies under a provincial tax Act during the taxation year, the provincial rate shall be the aggregate of the proportions of each rate that applied during the taxation year that the number of days during which each rate applied is to the number of days in the taxation year; and (f) "provincial tax Act" means all or any of the following as the context requires: (i) in the case of Alberta , the Alberta Corporate Income Tax Act, as amended or succeeded, (ii) in the case of British Columbia , the Income Tax Act ( British Columbia ), as amended or succeeded, (iii) in the case of Manitoba , The Income Tax Act ( Manitoba ), as amended or succeeded, (iv) in the case of New Brunswick , the Income Tax Act ( New Brunswick ), as amended or succeeded, (v) in the case of Newfoundland and Labrador , the Income Tax Act ( Newfoundland and Labrador ), as amended or succeeded, (vi) in the case of Nova Scotia , the Income Tax Act ( Nova Scotia ), as amended or succeeded, (vii) in the case of Ontario , the Corporations Tax Act ( Ontario ), as amended or succeeded, (viii) in the case of Prince Edward Island , the Income Tax Act ( Prince Edward Island ), as amended or succeeded, (ix) in the case of Quebec , the Taxation Act ( Quebec ), as amended or succeeded, (x) in the case of Saskatchewan , The Income Tax Act ( Saskatchewan ), as amended or succeeded, and (xi) in the case of a province admitted into Canada subsequent to November 10, 1990 , under the statute of the province imposing a tax upon the taxable income of corporations generally. 208/90 s2; 212/92 s1; 2001 c42 s45 Back to Top Percentage of taxable income 3. For the purpose of subsection 3(1) of the Act, the prescribed percentage of taxable income earned by the applicant in the offshore area in that taxation year is the amount by which the provincial rate for that taxation year under the Newfoundland and Labrador Act exceeds the national average rate for that taxation year. 208/90 s3; 212/92 s2; 2001 c42 s45 Back to Top Application for payment 4. (1) For the purpose of subsection 3(1) of the Act, an application for payment in respect of a taxation year must be submitted within 90 days of the mailing date of an assessment notice of the eligible corporation under the Federal Accord Act in respect of the year. (2) Each application in respect of a taxation year shall be accompanied by (a) a copy of the return of income of the eligible corporation under the Federal Tax Act for the year; (b) a copy of the notice of assessment in respect of the year; and (c) a certificate of an authorized signing officer of the corporation certifying that, to the best of his or her knowledge or belief, the return of income and application are true and complete in all material respects. (3) The minister may extend the time for filing an application under the Act where an application is made in writing within 2 years from the last day on which an application for payment may be made under the Act. 208/90 s4; 212/92 s3 Back to Top Notice 5. Notice to the minister under the Act shall (a) be delivered to the minister or to a person designated by the minister; (b) be accompanied by a true and complete copy of all relevant documentation, including the information required by subsection 4(2); and (c) where there is an assessment, describe the assessment in sufficient detail to enable the minister to make a determination or redetermination in accordance with the Act. 208/90 s5 Back to Top Interest payable by the minister and recipient 6. For the purpose of subsection 7(3) of the Act, the prescribed rate in respect of interest payable by the minister shall be the rate determined in accordance with subsection 164(3) of the Income Tax Act (Canada) and in respect of interest payable by a recipient shall be the rate determined in accordance with section 163.1 of the Income Tax Act (Canada). 208/90 s6 Back to Top Obligations of eligible corporations 7. (1) Where an eligible corporation has entered into an agreement with the minister providing for undertakings in respect of the administration and enforcement of the Act, a payment shall not be conditional upon the eligible corporation entering into additional undertakings with the minister in respect of the administration and enforcement of the Act. (2) The obligations of the eligible corporation under the agreement and under another agreement entered into under the agreement shall constitute undertakings of the eligible corporation for the purpose of the Act and these regulations. 208/90 s7 Back to Top Redetermination 8. A redetermination under subsection 4(2) of the Act shall be made by the minister, in writing, and either mailed to or served on the recipient. 208/90 s8 Back to Top Notice under paragraph 6(2)(a) of the Act 9. A notice to a recipient under paragraph 6(2)(a) of the Act shall be given by the minister, in writing, and either mailed to or served on the recipient. 208/90 s9 Back to Top Repeal 10. The Offshore Area Corporate Income Tax Regulations, Newfoundland Regulation 208/90, are repealed. ©Earl G. Tucker, Queen's Printer