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Copyright © 2000: Queens Printer,
Statutes of Newfoundland 2000
AN ACT TO AMEND THE INCOME TAX ACT
(Assented to May 12, 2000)
1. S.8.2 Added
Be it enacted by the Lieutenant-Governor and House of Assembly in Legislative Session convened, as follows:
1. The Income Tax Act is amended by adding immediately after section 8.1 the following:
Equity tax credit
8.2 (1) An eligible investor may apply to the minister for a non refundable tax credit in respect of an eligible investment in an eligible corporation.
(2) The minister may give a tax credit to a person who applies under subsection (1).
(3) A tax credit given under subsection (2) shall be calculated in the manner prescribed by the regulations.
(4) A tax credit shall be deducted against the tax which is otherwise payable under this Act.
(5) The Lieutenant-Governor in Council may make regulations
(a) establishing the criteria for determining who is an eligible investor, what corporation is an eligible corporation and what investments are eligible investments;
(b) respecting the issuance of and the grounds for revocation of certificates of eligibility to corporations;
(c) limiting the amounts which an eligible corporation may raise through the use of credits;
(d) prescribing how funds raised may be used by a corporation;
(e) respecting the wind-up and dissolution of an eligible corporation;
(f) setting the amount of a tax credit that may be paid to an eligible investor;
(g) setting limits on the amounts of eligible investments;
(h) respecting the carrying forward or back of a credit;
(i) respecting the holding period for an eligible investment;
(j) prescribing penalties for failure to comply with the regulations; and
(k) generally to give effect to the purpose of this section.
2. This Act comes into force on a day to be proclaimed by the Lieutenant-Governor in Council.
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