2nd Session, 43rd Legislature

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Bill 27

THE INCOME TAX AMENDMENT ACT

(Assented to                                         )

HIS MAJESTY, by and with the advice and consent of the Legislative Assembly of Manitoba, enacts as follows:

C.C.S.M. c. I10 amended

1   The Income Tax Act is amended by this Act.

2   In Rule 6 of subsection 4(1), the description of T in the formula is amended by replacing the part of clause (a) before subclause (i) with the following:

(a) 10.8% of the total of the amounts claimed by the individual for the taxation year under the following provisions:

3(1)   Subsection 4.6(2) is amended by replacing everything before clause (b) with the following:

Non-refundable credits for taxation year

4.6(2)   The total of an individual's non-refundable tax credits for a taxation year is the total of

(a) all amounts, each of which is 10.8% of an amount claimed for the year under any of subsections (3) to (17) and (19);

3(2)   Subsection 4.6(5) is amended by replacing everything after clause (b) with the following:

may claim the amount determined by the following formula for the taxation year:

$9,134 − A

In this formula, A is the amount that would be the spouse's or partner's income for the year if no amount were deducted under paragraph 20(1)(ww) of the federal Act, or if the individual and the spouse or partner are living separate and apart at the end of the year because of a breakdown of their marriage or partnership, the amount that would be the spouse's or partner's income for the year while married or in the common-law partnership and not so separated if no amount were deducted under that paragraph.

3(3)   Subsection 4.6(6) is amended by replacing everything after clause (b) with the following:

may claim the amount determined by the following formula for the taxation year:

$9,134 − A

In this formula, A is the amount that would be the dependant's income for the year if no amount were deducted under paragraph 20(1)(ww) of the federal Act.

3(4)   Subsection 4.6(12) is amended

(a) by striking out the description of P in the formula; and

(b) by replacing the formula with the following:

A − B/.108

3(5)   Subsection 4.6(13) is amended

(a) by striking out the description of P in the formula; and

(b) by replacing the formula with the following:

A + (B − C/.108) − (D + E)

3(6)   Subsection 4.6(14.1) is amended

(a) by striking out the description of P in the formula; and

(b) by replacing the formula with the following:

A − B/.108

3(7)   The description of C in the formula in subsection 4.6(16) is amended

(a) by striking out the description of P in the formula; and

(b) by replacing the formula with the following:

(D − E)/.108

4(1)   Clause 7.3(2.3)(b) is replaced with the following:

(b) the total of the following amounts:

(i) 15% of the total of the corporation's eligible expenditures made in the taxation year under a research and development contract with a university, college or other post-secondary educational institution in Manitoba or with a person approved for this purpose by the minister responsible for the administration of The Manitoba Development Corporation Act,

(ii) 7.5% of the total of the corporation's eligible expenditures that were made in the taxation year and are not included under subclause (i);

4(2)   Subsections 7.3(5) and (6) are amended by striking out "Where, after March 11, 1992," and substituting "If".

5   Subsection 7.20(2) is amended, in the part before clause (a), by striking out "ending after March 12, 2018".

6(1)   Subsection 10.4.1(1) is amended

(a) in the part before the formula, by striking out "subsections (1.1), (1.2) and (2)" and substituting "subsections (1.2) and (2)"; and

(b) in the descriptions of L and R₂ in the formula, by striking out "and before 2025".

6(2)   Subsection 10.4.1(1.2) is amended by striking out "that ends on or after March 7, 2019".

6(3)   Subsection 10.4.1(3) is amended, in clause (b) of the definition "eligible printing revenue",

(a) in the part before subclause (i), by striking out "and before 2025"; and

(b) in subclause (ii), by striking out ", provided before 2025,".

Coming into force

7(1)   Subject to subsection (2), this Act comes into force on the day it receives royal assent.

Coming into force — section 6

7(2)   Section 6 is deemed to have come into force on January 1, 2025.