Bill 25 — Third Session, 18Th Legislature, 26 Elizabeth Ii the Legislative Assembly of Albert A Bill 25 the Insu Rance Corporation9Taxi~ Amendment Act, 1911 (Legislature 18, Session 3)

L18 S3 5727

Alberta — Bills

1977 BILL 25 Third Session, 18th Legislature, 26 Elizabeth II THE LEGISLATIVE ASSEMBLY OF ALBERT A BILL 25 THE INSU RANCE CORPORATION9TAXI~ AMENDMENT ACT, 1911 THE MINISTER OF CONSUMER AND CORPORATE AFFAIRS First Reading ............................................ . Second Reading .......................................... . Third Reading ........................................... . Printed by the Queen's Printer for the Province of Alberta, EDMONTON

Bill 25 BILL 25 1977 THE INSURANCE CORPORATIONS TAX AMENDMENT ACT, 1977 (Assented to , i977) HER MAJESTY, by and with the advice and consent of the Legislative Assembly of Alberta, enacts as follows: i. The insurance Corporations Tax Act is hereby amended.

Section 2 is amended by adding after clause (c.1) the following: (c.2) "'risk distribution plan" means a plan, agreement, scheme or arrangement entered into or established by insurance companies for the purpose of pooling, assigning or transferring risks among insurance com panies and which the Minister by order recognizes as a risk distribution plan for the purposes of this Act~

Section 3 is amended (

a) as to subsection (3) by adding ajier clause (

b) the following: (b.

I) in respect of premiums or portion thereof that an insurance company does not retain under a risk distribution plan, or (

b) by adding after subsection (3) the following:

(4) For the purpose <-of this Act, any premium or portion thereof that an insurance company, directly or indirectly, receives under a risk distribution plan is deemed not to be a reinsurance premium. 1

Explanatory Notes 1. This Bill will amend

chapter 188 of the Revised Statutes of Alberta 1970. 2. Defines "risk distribution plan".

Section 3 presently reads: 3.

(1) EvelY insurance company shall pay to the Minister for the lise of the Province a tax equal to two per cent Q/ the gross premiums receivable by it during the taxation year in respect of business transacted in the Province by the company, ajter deductingji'om the gross premiums (

a) an amount equal to the cash value Q/ dividends paid or credited to its policy-holders in that taxation year, and (

b) an amount equal to the premiums returned in that taxation year.

(2) For the purposes of subsection (1) "business transacted in the Province" means (

a) in the case of property insurance, all contracts on which premiums are receivable Fom, or in respect oJ: persons whose property was situated in the Province at the time their premiums became payable, and (

b) in the case of other insurance all contracts on which premiums are receivable from, or in respect oj; persons who were resident in the Province at the time their premiums became payable. 1

4. This Act comes intoforce on the day upon which it is assented to. 2

(3) The tax imposed under this

section is not payable, (

a) by a company transacting lite insurance, on amollnts receivable as consideration for an annuity contract, or (

b) in respect of premiums receivable under a contract of marine insurance, or (

c) by a reinsurer in respect of reinsurance premiums paid or credited to it by an insurer. 2 Title: 1977 (18th, 3rd) Bill 25, The Insurance Corporations Tax Amendment Act, 1977

Document details

Collection	Alberta — Bills
Citation	L18 S3 5727
Type	bill
Volume / chapter	L18 S3 5727
Language	en
Format	json
Source	PROVINCIAL
Identifier	1313f02e101f0f1314242fb4f4f0a12014101d7a

Source file is stored in the law ingest library (json).