Statutes of Newfoundland and Labrador 2018 Chapter 15

Be it enacted by the Lieutenant-Governor and House of Assembly in Legislative Session convened, as follows:

SNL2000 cI-1.1
as amended

1. Section 5 of the Income Tax Act, 2000 is amended by renumbering paragraph (a.1) as paragraph (a.3) and adding immediately before that paragraph the following:

(a.1) "eligible search and rescue organization" means eligible search and rescue organization as defined in subsection 118.07(1) of the federal Act;

(a.2) "eligible search and rescue volunteer services" means eligible search and rescue volunteer services as defined in subsection 118.07(1) of the federal Act;

2. (1) Paragraph 15(1)(b) of the Act is repealed and the following substituted:

(b) amount that would be the individual's tax payable under this Part for the year if no amount were deductible under this Part, other than an amount deductible under this section and section 9, 12, 17, 17.1, 17.2, 17.3 or 17.4.

(2) Subsection 15(2) of the Act is repealed and the following substituted:

(2) An individual's unused tuition and education tax credits at the end of the taxation year is the amount determined by the formula

A + (B - C) - (D + E)

where

A is the individual's unused tuition and education credits at the end of the preceding taxation year;

B is the total of all amounts, each of which may be deducted under sections 13 and 14 in computing the individual's tax payable under this Part for the year;

C is the lesser of the value of B and the amount that would be the individual's tax payable under this Part for the year if no amount were deductible under this Part, other than an amount deductible under this section and section 9, 12, 17, 17.1, 17.2, 17.3 or 17.4;

D is the amount that the individual may deduct under subsection (1) for the year; and

E is the tuition and education tax credits transferred for the year by the individual to the individual's spouse, common law partner, parent or grandparent.

3. Section 17.3 of the Act is repealed and the following substituted:

Volunteer firefighters' tax credit

17.3 For the purpose of computing the tax payable under this Part for a taxation year by an individual who performs eligible volunteer firefighting services in the year, there may be deducted the amount determined by multiplying $3,000 by the appropriate percentage for the year if the individual

(a) performs in the year not less than 200 hours of services each of which is an hour of

(i) eligible volunteer firefighting services for a fire department, or

(ii) eligible search and rescue volunteer services for an eligible search and rescue organization;

(b) provides the certificates referred to in subsections 118.06(3) and 118.07(3) of the federal Act when requested by the Minister of National Revenue; and

4. The Act is amended by adding immediately after section 17.3 the following:

Search and rescue volunteer tax credit

17.4 For the purpose of computing the tax payable under this Part for a taxation year by an individual who performs eligible search and rescue volunteer services in the year, there may be deducted the amount determined by multiplying $3,000 by the appropriate percentage for the year if the individual

(a) performs in the year not less than 200 hours of services each of which is an hour of

(i) eligible search and rescue volunteer services for an eligible search and rescue organization, or

(ii) eligible volunteer firefighting services for a fire department;

(b) provides the certificates referred to in subsections 118.07(3) and 118.06(3) of the federal Act when requested by the Minister of National Revenue; and

5. (1) Paragraph 18(1)(a) of the Act is repealed and the following substituted:

(a) the amount that would be the spouse's or common law partner's tax payable under this Part for the year, or that would be so payable under this Part for the year if the spouse or common law partner were liable under section 6 to pay tax for the year, if no amount were deductible under this Part, other than an amount deductible under paragraph 9(1)(c) and sections 15, 17, 17.1, 17.2, 17.3 and 17.4;

(2) Subparagraph 18(1)(b)(ii) of the Act is repealed and the following substituted:

(ii) the amount that would be the spouse's or common law partner's tax payable under this Part for the year, or that would be so payable under this Part for the year if the spouse or common law partner were liable under section 6 to pay tax for the year, if no amount were deductible under this Part other than an amount deductible under sections 9, 12, 15, 17, 17.1, 17.2, 17.3 and 17.4.

(3) Paragraph 18(3)(a) of the Act is repealed and the following substituted:

(a) the amount determined by the formula

A - B

where

A is the lesser of

(i) the total of all amounts that may be deducted under sections 13 and 14 in computing the person's tax payable under this Part for the year, or that would be so deductible if the person were liable under section 6 to pay tax for the year, and

(ii) the amount obtained by multiplying $5,000 by the appropriate percentage for the taxation year; and

B is the amount that would be the person's tax payable under this Part for the year if no amount were deductible under this Part other than an amount deductible under sections 9, 12, 15, 17, 17.1, 17.2, 17.3 and 17.4; and

6. Subsection 23(2) of the Act is amended by adding immediately after paragraph (b.4) the following:

(b.5) section 17.4;

Commencement

7. This Act comes into force on January 1, 2019.