Words and Phrases - "deducted"

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27
42
35
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20
10
8
51
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35
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58
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1

Prince Albert Pulp Co. Ltd. v. The Queen, 92 DTC 6189 (FCA)

In finding that the reduction of capital cost pursuant to s. 13(7.1) occurs in the year in respect of which the investment tax credit was utilized, rather than the subsequent year in which the return was filed claiming that credit, Hugessen J.A. stated (p. 6190):

"On their ordinary meaning the words 'has deducted' and 'deducted' in subsection 13(7.1) refer to operations effected in respect of the taxation year to which those deductions were applied, notwithstanding that the actual mathematical operations themselves may have taken place at a subsequent time."

Words and Phrases
deducted

Dominion of Canada General Insurance Co. v. The Queen, 86 DTC 6154, [1986] 1 CTC 423 (FCA)

inclusion of amount incorrectly deducted

The words of s. 12(1)(e) "are directed toward the inclusion in income of an 'amount' that was 'deducted' in the previous year and not toward an amount that was 'deductible' in that year." Where an amount was in fact deducted in a previous year by a taxpayer purporting to comply with the provisions of s. 20(1)(m), that amount will be brought into income under s. 12(1)(e) notwithstanding that the deduction in the previous year may not have been properly taken. "This is particularly so where, as here, the assessment of that [previous year's] income has been made and accepted and cannot now be challenged."

Words and Phrases
deducted
Locations of other summaries Wordcount
Tax Topics - Income Tax Act - Section 152 - Subsection 152(8) 104

Sears Canada Inc. v. The Queen, 89 DTC 5039 (FCA)

inclusion of deduction taken contrary to law

The amount of a s. 20(1)(m) reserve which RC had allowed as a deduction in computing the taxpayer's income in 1975 (a year not subject to appeal) was required to be added back in 1976 notwithstanding that the 1975 deduction was contrary to law. "[T]he obligation to add back the 1975 reserve depends entirely on the fact that it had been claimed and allowed, the legality thereof being immaterial."

Words and Phrases
deducted

Dubawn Holdings Inc. v. The Queen, 94 DTC 1252 (TCC)

A reserve which the taxpayer had erroneously deducted from income in his 1984 taxation year (which now was statute-barred) was required to be included in income for his 1985 taxation year. Mogan TCJ. stated (p. 1257):

"... if a reserve is in fact claimed and allowed in a particular taxation year, the legality of the allowance is not material and the amount that was in fact deducted must be included in computing the income for the immediately following year".

Words and Phrases
deducted