Income Tax Act

111685340/96215/tlc96215_f

E4tlc96215

Definitions and

interpretation

In this Act:

amount has the same meaning as in the federal Act;

assessment has the same meaning as in the federal Act;

balance-due day has the same meaning as in the federal Act;

British Columbia means the Province of British Columbia;

business has the same meaning as in the federal Act;

Canadian-controlled private corporation has the same meaning as in

section 248 of the federal Act;

collection agreement means an agreement entered into under

section 69 (1);

corporation has the same meaning as in the federal Act;

court means the Supreme Court of British Columbia;

deputy head means,

if a collection agreement is not in effect, the deputy Provincial minister, or

if a collection agreement is in effect, the Commissioner of Revenue;

employed has the same meaning as in the federal Act;

employee has the same meaning as in the federal Act;

employer has the same meaning as in the federal Act;

federal Act means the Income Tax Act (Canada);

federal minister means,

in relation to the remittance of any amount as or on account of tax payable under this Act, the Receiver General for Canada, and

in relation to any other matter, the Minister of National Revenue;

federal regulations means the regulations made under the federal Act;

finance minister means the member of the Executive Council charged with the administration of the Financial Administration Act ;

fiscal period has the same meaning as in the federal Act;

income tax statute means, in relation to an agreeing province, the law of that province that imposes a tax similar to the tax imposed under this Act;

individual means a person other than a corporation and includes a trust or estate;

loss means a loss as determined in accordance with and for the purposes of the federal Act;

minister means,

if a collection agreement is not in effect, the Provincial minister, or

if a collection agreement is in effect, the federal minister;

ministry means the ministry of the Provincial minister;

permanent establishment has the same meaning as in the federal Act;

person , or any word or expression descriptive of a person, has the same meaning as in the federal Act;

Provincial minister means the member of the Executive Council charged with the administration of this Act;

regulation means a regulation made under this Act;

taxable income has the same meaning as in the federal Act;

taxation year has the same meaning as in

section 249 (1) of the federal Act;

taxpayer has the same meaning as in the federal Act.

The expression "last day of the taxation year", in the case of an individual who resided in Canada at any time in the taxation year but ceased to reside in Canada before the last day of that year, is deemed to be a reference to the last day in the taxation year on which the individual resided in Canada.

The tax payable by a taxpayer under this Act or under

Part I of the federal Act means the tax payable by the taxpayer as fixed by assessment or reassessment, subject to variation on objection or on appeal, if any, in accordance with this Act or

Part I of the federal Act, as the case may be.

For the purposes of this Act, unless they are at variance with the

definitions in this Act or in the regulations made under this Act, the

definitions in the federal Act, and the

definitions and

interpretations made by federal regulations, apply.

4.1

For the purposes of this Act, a series of transactions or events is deemed to include any related transactions or events completed in contemplation of the series.

In any case of doubt, the provisions of this Act must be applied and interpreted in a manner consistent with similar provisions of the federal Act.

Section 248 (11) of the federal Act applies for the purposes of this Act to the extent that that provision applies to sections 161 (1), (2) and (11), 164 (3) to (4) and 227 (8.3) and (9.2) of the federal Act.

6.1

Section 261 [Canadian and functional currency reporting] of the federal Act applies for the purposes of this Act as follows:

subject to paragraphs (

b) to (

d) of this subsection,

section 261 of the federal Act applies in respect of taxation years that begin on or after December 14, 2007;

the definition of "Canadian tax results" in

section 261 (1) of the federal Act applies to all taxation years;

section 261 (2) [Canadian currency requirement] of the federal Act applies to all taxation years;

section 261 (15) [amounts carried back] of the federal Act applies on and after December 14, 2007.

6.2

section 261 (5) of the federal Act applies to a taxpayer in respect of a particular taxation year, that section, as it applies for the purposes of this Act, applies to the taxpayer in respect of the particular taxation year.

If a provision, in this subsection referred to as "that section", of the federal Act or the federal regulations is made applicable for the purposes of this Act, that section, as amended from time to time before or after this subsection came into force, applies with such modifications as the circumstances require for the purposes of this Act as though it had been enacted as a provision of this Act, and in applying that

section for the purposes of this Act, in addition to any other modifications required by the circumstances,

a reference in that

section to tax under

Part I of the federal Act must be read as a reference to tax under this Act,

if that

section contains a reference to tax under any of Parts I.1 to XIV of the federal Act, that

section must be read without reference to tax under any of those Parts and without reference to any portion of that

section that applies only to or in respect of tax under any of those Parts,

a reference in that

section to a particular provision of the federal Act that is the same as or similar to a provision of this Act must be read as a reference to the provision of this Act,

any reference in that

section to a particular provision of the federal Act that applies for the purposes of this Act must be read as a reference to the particular provision as it applies for the purposes of this Act,

if that

section contains a reference to any of Parts I.1 to XIV of the federal Act or to a provision in any of those Parts, that

section must be read without reference to that Part or without reference to that provision, as the case may be, and without reference to any portion of that

section that applies only because of the application of any of those Parts or the application of a provision in any of those Parts,

subject to subsection (7.1), if that

section contains a reference to the Bankruptcy and Insolvency Act (Canada), that

section must be read without reference to the Bankruptcy and Insolvency Act (Canada),

subject to paragraph (h), a reference in that

section to the federal Act or the federal regulations must be read as including a reference to this Act or a regulation made under this Act,

a reference in that

section to the words "under this Act or under

an Act of a province with which the Minister of Finance has entered into an agreement for the collection of taxes payable to the province under that Act" must be read as a reference to this Act, and

subject to subsections (8) and (8.1), a reference in that

section to a word or expression set out in Column 1 of the following table must be read as a reference to the word or expression set out opposite it in Column 2:

TABLE

Column 1

Column 2

Her Majesty

Her Majesty in Right of the Province of British Columbia

Canada

British Columbia

Receiver General

finance minister

Commissioner of Revenue

deputy head

Deputy Attorney General of Canada

Deputy Attorney General of British Columbia

Tax Court of Canada

Supreme Court of British Columbia

Tax Court of Canada Act

Supreme Court Act

Federal Court of Canada

Supreme Court of British Columbia

Federal Court Act

Supreme Court Act

Registrar of the Tax Court of Canada

Registrar of the Supreme Court of British Columbia

Registry of the Federal Court

Registry of the Supreme Court of British Columbia

Criminal Code

Offence Act

Canada Revenue Agency

ministry

Minister

Provincial minister

7.1

Subsection (7) (

f) does not apply to

section 222 (8) (

d) of the federal Act as that

section applies for the purposes of this Act.

In applying any of the following provisions of the federal Act for the purposes of this Act, a reference in that provision to Canada must be read as a reference to Canada:

section 118.5;

section 118.6 (1);

b.1

the definition of "Canadian exploration expense" in

section 66.1 (6) of the federal Act as that definition applies for the purposes of

section 4.721 of this Act by virtue of paragraph (

b) of the definition of "BC flow-through mining expenditure" in

section 4.721 (1) of this Act;

the definition of "specified individual" in

section 120.4 of the federal Act as that definition applies for the purposes of sections 4 (1) and 4.84 of this Act;

c.01

the definition of "source individual" in

section 120.4 of the federal Act as that definition applies for the purposes of

section 4.84 of this Act;

c.1

the definition of "return of income" in

section 122.5 (1) of the federal Act as that definition applies for the purposes of sections 8.1 and 8.2 of this Act;

c.2

section 122.5 (6.2) as that

section applies for the purposes of sections 8.1, 8.2 and 8.3 of this Act;

the

definitions of "eligible individual" and "return of income" in

section 122.6 of the federal Act as those

definitions apply for the purposes of sections 13.07 to 13.095 of this Act;

d.1

section 222 (8) (c);

d.11

section 231.6;

d.2

the definition of "non-resident" in

section 248 (1) of the federal Act as that definition applies for the purposes of

section 122.5 (6.2) of the federal Act, as that

section applies for the purposes of sections 8.1, 8.2 and 8.3 of this Act;

the definition of "taxable income earned in Canada" in

section 248 (1) of the federal Act as that definition applies for the purposes of subsection (6.1) of this

section and Division 2 of

Part 1 of this Act;

section 261.

8.1

If a collection agreement is in effect, in applying the federal Act for the purposes of this Act,

a reference to the Commissioner of Revenue in the federal Act must continue to be read as a reference to the Commissioner of Revenue,

a reference to the Minister in the federal Act must continue to be read as a reference to the Minister, and

a reference to the Receiver General in the federal Act must continue to be read as a reference to the Receiver General.

[Repealed 2003-23-16.]

In this Act or a regulation made under this Act, if a reference to a provision of the federal Act or the federal regulations is followed by italicized text in square brackets that is or purports to be descriptive of the subject matter of the provision, the text in square brackets

is not part of this Act or the regulation, and

is to be considered to have been added editorially for convenience of reference only.

Income Tax

Liability for Tax

Liability for tax

An income tax must be paid as required in this Act for each taxation year by every individual

who was resident in British Columbia on the last day of the taxation year, or

who, not being resident in British Columbia on the last day of the taxation year, had income earned in the taxation year in British Columbia as defined in

section 4 (1).

An income tax must be paid as required in this Act for each taxation year by every corporation that maintained a permanent establishment in British Columbia at any time in the year.

Repealed

[Repealed 2000-15-3.]

Individual Income Tax

Definitions

In this Division:

appropriate percentage for a taxation year means the lowest percentage specified in

section 4.1 (1) that is applicable in determining tax payable under this Act for the year;

income earned in the taxation year in British Columbia means the income earned in the taxation year in British Columbia as determined in accordance with federal regulations made for purposes of the definition of "income earned in the year in a province" in

section 120 (4) of the federal Act;

income earned in the taxation year outside British Columbia means income for the year minus income earned in the taxation year in British Columbia;

income for the year means,

in the case of an individual to whom

section 114 of the federal Act applies who was resident in Canada during part only of the year, the individual's income for the year as defined in

section 120 (3) (

a) of the federal Act,

in the case of an individual who was not resident in Canada at any time in the year, the individual's income for the year as defined in

section 120 (3) (

b) of the federal Act,

in the case of an individual who is a specified individual in relation to the year, the individual's income for the year as defined in

section 120 (3) (

c) of the federal Act, and

in the case of any other individual, the individual's income for the year as determined in accordance with and for the purposes of the federal Act;

taxable income earned in Canada has the same meaning as in the federal Act.

[Repealed 2003-23-18.]

Amount of tax payable

4.1

Subject to subsections (2), (3) and (5) to (7) of this

section and to sections 4.52 and 4.8 to 4.84, the tax payable under this Act by an individual on the individual's taxable income for the 2008 and subsequent taxation years is as follows:

if the taxable income does not exceed $30 004, 5.6% of the taxable income;

if the taxable income exceeds $30 004 and does not exceed $60 009,

the highest amount that might be determined for an individual under paragraph (

a) of this subsection,

plus

7.7% of the taxable income that exceeds $30 004 and does not exceed $60 009;

if the taxable income exceeds $60 009 and does not exceed $70 000,

the highest amount that might be determined for an individual under paragraph (

b) of this subsection,

plus

10.5% of the taxable income that exceeds $60 009 and does not exceed $70 000;

if the taxable income exceeds $70 000 and does not exceed $85 000,

the highest amount that might be determined for an individual under paragraph (

c) of this subsection,

plus

12.29% of the taxable income that exceeds $70 000 and does not exceed $85 000;

if the taxable income exceeds $85 000 and does not exceed $150 000,

the highest amount that might be determined for an individual under paragraph (

d) of this subsection,

plus

14.7% of the taxable income that exceeds $85 000 and does not exceed $150 000;

[Repealed 2013-17-21.]

if the taxable income exceeds $150 000 and does not exceed $220 000,

the highest amount that might be determined for an individual under paragraph (

e) of this subsection,

plus

16.8% of the taxable income that exceeds $150 000 and does not exceed $220 000;

if the taxable income exceeds $220 000,

the highest amount that might be determined for an individual under paragraph (

g) of this subsection,

plus

20.5% of the taxable income that exceeds $220 000.

For the purposes of subsection (1) (b) (i), (c) (i), (d) (i), (e) (i), (g) (

i) and (h) (i), the highest amount that might be determined for an individual under subsection (1) (a), (b), (c), (d), (

e) or (g), as the case may be, must be rounded to the nearest multiple of one dollar or, if the highest amount is equidistant from 2 such consecutive multiples, to the higher multiple.

Subject to subsections (4) to (7) of this

section and to sections 4.52 and 4.8 to 4.84, if the individual is a trust, the tax payable under this Act by the trust on its taxable income for a taxation year is the total of the following:

the amount determined by the formula

H × I

where

is the highest percentage specified in subsection (1) of this

section that applies in determining tax that might be payable by an individual under this Act for the year, and

is the taxable income of the trust for the year;

section 122 (2) of the federal Act applies to the trust for the taxation year, the amount equal to the amount that would be determined under

section 122 (1) (

c) of the federal Act if

subparagraph (

i) of the description of "A" in

section 122 (1) (

c) of the federal Act were read as follows:

the rate of tax payable under the Income Tax Act (British Columbia) by the trust for each taxation year referred to in the description of B were the highest percentage specified in

section 4.1 (1) of that Act that applies in determining tax that might be payable by an individual under that Act for the year, and

the reference in the description of "B" in

section 122 (1) (

c) of the federal Act to "under this Part" were read as a reference to "under that Act".

Subsection (3) of this

section does not apply to a qualified disability trust, as defined in

section 122 (3) of the federal Act, or a graduated rate estate.

Subject to

section 4.85 (1), if the individual was resident in British Columbia on the last day of the taxation year and had income earned in the taxation year outside British Columbia, the tax payable under this Act is the amount determined by the formula

A ×

(B −

C) where

is the amount determined for the individual under

(a)

subsections (1) and (2) of this section, if the individual is not a trust to which subsection (3) applies, or

(b)

subsection (3), if the individual is a trust to which subsection (3) applies,

is the individual's income for the year, and

is the individual's income earned in the taxation year outside British Columbia.

Subject to

section 4.85 (2), if the individual was not resident in British Columbia on the last day of the taxation year but had income earned in the taxation year in British Columbia, the tax payable under this Act is the amount determined by the formula

A ×

where

is the amount determined for the individual under

(a)

subsections (1) and (2) of this section, if the individual is not a trust to which subsection (3) applies, or

(b)

subsection (3), if the individual is a trust to which subsection (3) applies,

is the individual's income earned in the taxation year in British Columbia, and

is the individual's income for the year.

For the purposes of applying subsections (1) and (3) of this

section to an individual who was not resident in Canada at any time in the taxation year, the phrase "taxable income" in subsections (1) and (3) must be read as "taxable income earned in Canada".

Deductions

4.2

The amounts that, in computing an individual's tax, may be deducted under sections 4.3, 4.31 to 4.65, 4.67, 4.69, 4.7 and 20.1 may be deducted only in the order indicated in

section 4.79 (1) and, subject to

section 4.84 (3) (b), only from the amount of tax payable under

section 4.1.

The amounts that, in computing an individual's tax, may be deducted under sections 4.68 and 4.71 may be deducted only in the order indicated in

section 4.79 (2) and, subject to

section 4.84 (3) (c), only from

the amount of tax payable under sections 4.8 to 4.83,

plus

the amount of tax payable under

section 4.1 minus any amounts deducted under the provisions referred to in subsection (1) of this section.

The amounts that, in computing an individual's tax, may be deducted under sections 4.301, 4.72, 4.721, 4.722, 13.1, 19.1 and 21 may be deducted only in the order indicated in

section 4.79 (3) and only from

[Repealed 2000-15-34.]

the amount of tax payable under sections 4.1 and 4.8 to 4.83 minus any amounts deducted under the provisions referred to in subsections (1) and (2) of this section.

Personal credits

4.3

For the purpose of computing the tax payable under this Act for a taxation year by an individual, there may be deducted an amount determined by the formula

A × B

where

is the appropriate percentage for the year,

is the total of

if the individual is entitled to a deduction under

section 118 (1) (

a) of the federal Act [spousal credit] for the year, an amount equal to the total of

the basic personal amount, and

an amount determined by the formula

B.1 − (C − B.2)

where

B.1

is the spouse or common-law partner amount,

B.2

is the spouse or dependent amount, and

is the greater of the spouse or dependent amount and the income for the year of the individual's spouse or common-law partner or, if the individual and the individual's spouse or common-law partner are living separate and apart at the end of that year by reason of a breakdown of their marriage or common-law partnership, the spouse's or common-law partner's income while married or in a common-law partnership and not so separated,

if the individual is entitled to a deduction under

section 118 (1) (

b) of the federal Act [equivalent to spousal credit] for the year by reason of a dependent person referred to in that section, an amount equal to the total of

the basic personal amount, and

an amount determined by the formula

C.1 − (D − C.2)

where

C.1

is the spouse or common-law partner amount,

C.2

is the spouse or dependent amount, and

is the greater of the spouse or dependent amount and the dependent person's income for the year,

if the individual is entitled to a deduction under

section 118 (1) (

c) of the federal Act [basic personal credit — single status] , the basic personal amount,

[Repealed 2018-4-15.]

d.1

if the individual is entitled to a deduction under

section 118 (1) (

d) of the federal Act [Canada caregiver credit] by reason of a dependant described in that section, the amount determined by the formula

$19 975 − D.1

where

D.1

is the greater of $15 419 and the dependant's income for the taxation year, and

e) and (f

[Repealed 2018-4-15.]

f.1

if the individual is entitled to a deduction in respect of a person under

section 118 (1) (

a) or (

b) of the federal Act and would also be entitled, but for

section 118 (4) (

c) of that Act, to a deduction in respect of the person because of

section 118 (1) (d) [Canada caregiver credit] of that Act, the amount by which the amount that would be determined under paragraph (d.1) of this subsection exceeds the amount determined under paragraph (

a) or (

b) of this subsection, as the case may be, in respect of the person.

1.1

In subsection (1):

basic personal amount means $9 713 as adjusted under

section 4.52;

spouse or common-law partner amount means $8 317 as adjusted under

section 4.52;

spouse or dependent amount means $832 as adjusted under

section 4.52.

Section 118 (4) to (6) of the federal Act applies for the purposes of this section.

[Repealed 2018-4-15.]

BC tax reduction credit

4.301

For the purpose of computing the tax payable under this Act for a taxation year by an individual, there may be deducted the amount determined by the formula

A − B

where

A is $690 , and

B is 3.56% of the amount, if any, by which the individual's income for the year exceeds $19 400.

Age credit

4.31

For the purpose of computing the tax payable under this Act for a taxation year by an individual who is entitled to a deduction under

section 118 (2) of the federal Act for the year, there may be deducted the amount determined by the formula

A × ($3 531 −

B) where

A is the appropriate percentage for the year, and

B is 15% of the amount, if any, by which the individual's income for the year would exceed $26 284 if no amount were included in respect of a gain from a disposition of property to which

section 79 of the federal Act applies in computing that income.

Pension credit

4.32

For the purpose of computing the tax payable under this Act for a taxation year by an individual who was resident in British Columbia on the last day of the taxation year and who is entitled to a deduction under

section 118 (3) of the federal Act for the year, there may be deducted the amount determined by the formula

A × B

where

A is the appropriate percentage for the year, and

B is the smaller of

(a) $1 000, and

(

b) the amount that is determined under paragraph (

b) of the description of "B" in

section 118 (3) of the federal Act and used in computing the individual's deduction under that

section for the taxation year.

[Repealed 2008-11-10.]

Adoption expense credit

4.33

For the purpose of computing the tax payable under this Act for a taxation year by an individual who was resident in British Columbia on the last day of the taxation year and who is entitled to a deduction under

section 118.01 of the federal Act for the year, there may be deducted the amount determined by the formula

A ×

where

is the amount deducted by the individual under

section 118.01 of the federal Act for the year,

is the appropriate percentage for the year, and

is the appropriate percentage for the year as defined in

section 248 (1) of the federal Act.

Repealed

4.34- 4.341

[Repealed 2017-12-18.]

Repealed

4.35

[Repealed 2017-12-20.]

Repealed

4.351

[Repealed 2017-12-22.]

BC education coaching tax credit

4.36

In this section:

coaching activity means coaching or supervising students who are participating in an extracurricular activity or program;

eligible coach means

a teacher, or

an individual in a prescribed class of individuals;

eligible coaching activity means a coaching activity that meets the following criteria:

the individual who is carrying out the coaching activity is an eligible coach;

the students who are participating in the extracurricular activity or program to which the coaching activity relates are students of a qualifying school;

the eligible coach is not paid to carry out the coaching activity;

First Nation land has the same meaning as in the First Nations Jurisdiction over Education in British Columbia Act (Canada);

participating First Nation has the same meaning as in the First Nations Jurisdiction over Education in British Columbia Act (Canada);

qualifying school means any of the following:

a school as defined in the School Act ;

a francophone school as defined in the School Act ;

a Provincial school as defined in the School Act ;

an independent school as defined in the Independent School Act ;

a school operated by the Nisg̱a'a Nation, or a treaty first nation, under its own laws;

teacher means an individual who is paid to provide an educational program to students of a qualifying school.

An individual is eligible for a deduction under this

section for a taxation year if the individual meets the following criteria:

the individual is resident in British Columbia on the last day of the taxation year;

the individual carries out 10 or more hours of eligible coaching activities during the taxation year;

the individual meets additional criteria that may be established by regulation;

if requested by the minister, the individual provides information in the form required by the minister to establish the individual's eligibility for the deduction.

For the purpose of computing the tax payable under this Act for a taxation year ending before January 1, 2018 by an individual who is eligible under subsection (2), there may be deducted an amount determined by multiplying $500 by the appropriate percentage for the year.

Without limiting

section 48 (1) and (2), the Lieutenant Governor in Council may make regulations as follows:

prescribing classes of individuals for the purposes of paragraph (

b) of the definition of "eligible coach" in subsection (1) of this section;

establishing criteria for the purposes of subsection (2) (

c) of this section.

In making regulations under subsection (4), the Lieutenant Governor in Council may make different regulations for different classes of individuals.

Regulations made under subsection (4) may be made retroactive to January 1, 2015 or a later date, and if made retroactive are deemed to have come into force on the date specified in the regulation.

Tax credit for volunteer firefighters and search and rescue volunteers

4.37

For the purpose of computing the tax payable under this Act for a taxation year by an individual who was resident in British Columbia on the last day of the taxation year and who is entitled to a deduction under

section 118.06 (2) or 118.07 (2) of the federal Act for the year, there may be deducted an amount determined by multiplying $6 000 by the appropriate percentage for the year.

If an amount is not included in computing the individual's income for a taxation year because of

section 81 (4) of the federal Act, no deduction may be made under this

section in computing the tax payable by the individual for the taxation year.

Charitable and other gifts

4.4

In this section, total gifts , in relation to an individual for a taxation year, means the amount that, in computing the individual's deduction under

section 118.1 (3) of the federal Act for the year, is used in the formula in that

section for the individual's total gifts for the year less any portion of that amount used in calculating a deduction claimed for a preceding taxation year by the individual or the individual's spouse or common-law partner under this

section or under a provision of an income tax statute of an agreeing or non­agreeing province that is similar to this section.

For the purpose of computing the tax payable under this Act for a taxation year by an individual who is entitled to a deduction under

section 118.1 (3) of the federal Act for the year, there may be deducted the amount the individual claims not exceeding the amount determined by the formula

(A × B) + (C × D) + (E ×

F) where

is the appropriate percentage for the year,

is the smaller of

(a)

$200, and

(

b) the individual's total gifts for the year,

is the highest percentage specified in

section 4.1 of this Act that applies in determining tax that might be payable under this Act for the year,

is,

(

a) in the case of a trust, other than a graduated rate estate or a qualified disability trust, as defined in

section 122 (3) of the federal Act, the amount, if any, by which its total gifts for the year exceeds $200, and

(

b) in any other case, the smaller of

(

i) the amount, if any, by which the individual's total gifts for the year exceeds $200, and

(ii)

the amount, if any, by which the individual's taxable income for the year exceeds the amount of $220 000 referred to in

section 4.1 (1) (h), as adjusted under

section 4.52,

is 16.8%, and

is the amount, if any, by which the individual's total gifts for the year exceed the total of

(a)

$200, and

(

b) the amount determined for D.

Medical expense credit

4.5

For the purpose of computing the tax payable under this Act for a taxation year by an individual who is entitled to a deduction under

section 118.2 (1) of the federal Act for the year, there may be deducted an amount determined by the formula

A × [(B − C) + D]

where

is the appropriate percentage for the year,

is the amount used in the formula in

section 118.2 (1) of the federal Act for B in computing the individual's deduction under that

section for the year,

is the smaller of $1 772 and 3% of the individual's income for the taxation year referred to in the description of "C" in

section 118.2 (1) of the federal Act, and

is the total of all amounts each of which is, in respect of a dependant of the individual, the amount determined by the formula

E − F

where

is the amount used in the formula in

section 118.2 (1) of the federal Act for E in computing the individual's deduction under that

section for the year, and

is the smaller of $1 772 and 3% of the dependant's income for the taxation year referred to in the description of "F" in

section 118.2 (1) of the federal Act.

The same 24 or 12 month period that is used in the formula in

section 118.2 (1) of the federal Act for B in computing the individual's deduction under that

section for the year must be used in computing the individual's deduction under this

section for the year.

In this section, dependant , in respect of the dependant of an individual for a taxation year, has the same meaning as in

section 118 (6) of the federal Act, but does not include a child of the individual who has not attained the age of 18 years before the end of the taxation year.

Credit for mental or physical impairment

4.51

For the purpose of computing the tax payable under this Act for a taxation year by an individual who is entitled to a deduction under

section 118.3 (1) of the federal Act for the year, there may be deducted an amount determined by the formula

A × $6 126

where

A is the appropriate percentage for the year.

For the purpose of computing the tax payable under this Act for a taxation year by an individual who is entitled to a deduction under

section 118.3 (2) of the federal Act for the year in respect of a person referred to in that section, there may be deducted the amount, if any, by which

the amount deductible under subsection (1) of this

section in computing that person's tax payable under this Act for the year or that would be so deductible if the person were liable under

section 2 to pay tax for the year,

exceeds

the amount that would be the person's tax payable under this Act for the year if the person were liable under

section 2 to pay tax for the year and if the only amounts deductible were the amounts under sections 4.3 [personal credits] , 4.31 [age credit] , 4.32 [pension credit] , 4.33 [adoption expense credit] , 4.36 [BC education coaching tax credit] , 4.37 [tax credit for volunteer firefighters and search and rescue volunteers] and 4.64 [credit for EI premium and CPP contribution] .

For the purpose of computing the tax payable under this Act for a taxation year by an individual who has not reached 18 years of age before the end of the taxation year and who is entitled to a deduction under

section 118.3 (1) of the federal Act for the year, there may be deducted an amount determined by the formula

A × ($3 574 −

B) where

is the appropriate percentage for the year, and

is the smaller of

(a)

$3 574, and

(

b) the amount, if any, by which the total of all amounts, each of which is an amount paid in the year for the care or supervision of the individual and included in computing the deductions under sections 63, 64 or 118.2 of the federal Act, exceeds $2 075.

3.1

For greater certainty,

section 64.01 of the federal Act applies for the purposes of subsection (3) of this section.

For the purpose of computing the tax payable under this Act for a taxation year by an individual who is entitled to a deduction under

section 118.3 (2) of the federal Act for the year in respect of a person referred to in that section, there may be deducted an amount determined by the formula

D − (T −

U) where

is the amount deductible under subsection (3) of this

section in computing that person's tax payable under this Act for the year or that would be so deductible if the person were liable under

section 2 to pay tax for the year,

is the amount that would be the person's tax payable under this Act for the year if the person were liable under

section 2 to pay tax for the year and if the only amounts deductible were the amounts under sections 4.3 [personal credits] , 4.31 [age credit] , 4.32 [pension credit] , 4.33 [adoption expense credit] , 4.36 [BC education coaching tax credit] , 4.37 [tax credit for volunteer firefighters and search and rescue volunteers] and 4.64 [credit for EI premium and CPP contribution] , and

is the amount by which the amount deductible under subsection (1) of this

section in computing the person's tax payable under this Act for the year, or that would be so deductible if the person were liable under

section 2 to pay tax for the year, exceeds any amount deducted for the year in respect of the person under subsection (2).

[Repealed 2002-19-7.]

Section 118.3 (3) of the federal Act applies for the purposes of subsections (2) and (4) of this section.

Indexing

4.52

In this section, relevant provision means the following:

section 4.1 (1) [amount of tax payable] ;

section 4.3 (1) [personal credits] ;

b.1

except in respect of the 2016 taxation year,

section 4.301 [BC tax reduction credit] ;

section 4.31 [age credit] ;

except in respect of the 2004 taxation year, the descriptions of "C" and "F" in

section 4.5 (1) [medical expense credit] ;

section 4.51 [credit for mental or physical impairment] ;

e.1

except in respect of the 2023 taxation year,

section 8.3 (6) [renter's tax credit] .

[Repealed 2023-23-58.]

Subject to subsections (4.1) to (4.6), for the purpose of computing the tax payable by an individual for a taxation year, other than the 2001 taxation year, each amount expressed in dollars in a relevant provision is to be adjusted so that the amount to be used under the relevant provision for the year is the total of

the amount that would, but for subsection (5) of this section, be the amount to be used under the relevant provision for the immediately preceding taxation year, and

the product obtained by multiplying

the amount referred to in paragraph (

a) of this subsection

the amount, adjusted in the manner that may be prescribed and rounded to the nearest one-thousandth, or, if the result obtained is equidistant from 2 consecutive one-thousandths, to the higher one-thousandth, that is determined by the formula

− 1

where

is the Consumer Price Index for British Columbia for the 12-month period that ended on the last September 30 before that year, and

is the Consumer Price Index for British Columbia for the 12-month period immediately preceding the period mentioned in the description of "A".

In subsection (4), specified amount means

the amount of $30 004 referred to in

section 4.1 (1) (

a) and (b),

the amount of $60 009 referred to in

section 4.1 (1) (

b) and (c),

the amount of $14 047 referred to in

section 4.3 (1) (d),

the amount of $11 661 referred to in

section 4.3 (1) (d),

the amount of $2 386 referred to in

section 4.3 (1) (e),

the amount of $3 531 referred to in

section 4.31,

the amount of $26 284 referred to in

section 4.31,

the amount of $1 637 referred to in

section 4.5,

the amount of $4 293 referred to in

section 4.51 (1),

the amount of $2 941 referred to in

section 4.51 (3), and

the amount of $2 000 referred to in

section 4.51 (3).

For the purpose of computing the tax payable by an individual for the 2001 taxation year, each specified amount is to be adjusted so that the amount to be used for the year is the specified amount plus the product obtained by multiplying

the specified amount

the amount, adjusted and rounded as described in subsection (2) (b) (ii), that is determined by applying the formula in that subsection.

4.1

For the purpose of computing the tax payable by an individual for the 2002 taxation year, each amount expressed in dollars in a relevant provision is to be adjusted in accordance with subsection (2), except the following:

the amount of $15 670 referred to in

section 4.3 (1) (d);

the amount of $12 096 referred to in

section 4.3 (1) (d);

the amount of $9 267 referred to in

section 4.3 (1) (e);

the amount of $5 693 referred to in

section 4.3 (1) (e);

the amount of $6 126 referred to in

section 4.51 (1);

the amount of $3 574 in both places where it is referred to in

section 4.51 (3);

the amount of $2 075 referred to in

section 4.51 (3).

4.2

For the purpose of computing the tax payable by an individual for the 2010 taxation year, each amount expressed in dollars in a relevant provision is to be adjusted in accordance with subsection (2), except the following amounts wherever they are referred to in

section 4.3 (1):

$11 000;

$9 653;

$965.

4.21

[Repealed 2013-17-25.]

4.22

For the purpose of computing the tax payable by an individual for the 2018 taxation year, each amount expressed in dollars in a relevant provision is to be adjusted in accordance with subsection (2), except

the amount of $150 000 referred to in

section 4.1 (

e) and (g), and

the amounts of $19 975 and $15 419 referred to in

section 4.3 (1) (d.1).

4.23

For the purpose of computing the tax payable by an individual for the 2020 taxation year, each amount expressed in dollars in a relevant provision is to be adjusted in accordance with subsection (2), except the amount of $220 000 referred to in

section 4.1 (1) (

g) and (h).

4.24

For the purpose of computing the tax payable by an individual for the 2026 taxation year, each amount expressed in dollars in a relevant provision is to be adjusted in accordance with subsection (2), except the amount of $690 referred to in

section 4.301 [BC tax reduction credit] .

4.25

For the purpose of computing the tax payable by an individual for the 2027 to 2030 taxation years, no amount expressed in dollars in a relevant provision is to be adjusted in accordance with subsection (2), except an amount expressed in dollars in

section 8.3 (6) [renter's tax credit] .

4.3

In subsections (4.4) to (4.6), specified amount means

the basic personal amount as defined in subsection (1.1) of

section 4.3 as if that subsection did not include the words "as adjusted under

section 4.52",

the spouse or common-law partner amount as defined in subsection (1.1) of

section 4.3 as if that subsection did not include the words "as adjusted under

section 4.52", and

the spouse or dependent amount as defined in subsection (1.1) of

section 4.3 as if that subsection did not include the words "as adjusted under

section 4.52".

4.4

For the purpose of computing the tax payable by an individual for the 2013 taxation year, each specified amount is to be adjusted so that the amount to be used for that year for the purpose of

section 4.3 (1) is the specified amount plus the product obtained by multiplying

the specified amount

the amount, adjusted and rounded as described in subsection (2) (b) (ii), that is determined by applying the formula in that subsection in respect of the period mentioned in the description of "A" in that subsection that ends on September 30, 2012.

4.5

For the purpose of computing the tax payable by an individual for the 2014 taxation year, each specified amount is to be adjusted so that the amount to be used for that year for the purpose of

section 4.3 (1) is the total of

the specified amount plus the product obtained by multiplying

the specified amount

the amount, adjusted and rounded as described in subsection (2) (b) (ii), that is determined by applying the formula in that subsection in respect of the period mentioned in the description of "A" in that subsection that ends on September 30, 2012, and

the product obtained by multiplying

the total amount calculated under paragraph (

a) of this subsection

the amount, adjusted and rounded as described in subsection (2) (b) (ii), that is determined by applying the formula in that subsection in respect of the period mentioned in the description of "A" in that subsection that ends on September 30, 2013.

4.6

For the purpose of computing the tax payable by an individual for the 2015 and subsequent taxation years, each specified amount is to be adjusted so that the amount to be used for each year for the purpose of

section 4.3 (1) is the total of

the amount that would, but for subsection (5) of this section, be the amount to be used as the specified amount, as adjusted for the purpose of computing the tax payable by an individual,

in the case of the 2015 taxation year, for the 2014 taxation year under subsection (4.5) of this section, and

in the case of a taxation year that begins after 2015, for the immediately preceding taxation year under this subsection, and

the product obtained by multiplying

the amount referred to in paragraph (

a) of this subsection

the amount, adjusted and rounded as described in subsection (2) (b) (ii), that is determined by applying the formula in that subsection in respect of the period mentioned in the description of "A" in that subsection that ends on September 30 of the immediately preceding taxation year.

If an amount to which subsection (2), (4), (4.4), (4.5) or (4.6) applies is not a multiple of one dollar when adjusted as provided in this section, it must be rounded to the nearest multiple of one dollar or, if it is equidistant from 2 such consecutive multiples, to the higher multiple.

If the amount determined by applying the formula in subsection (2) (b) (ii) would, but for this subsection, be a negative amount, that amount is deemed to be nil.

In this section, the Consumer Price Index for British Columbia for any 12 month period is the result arrived at by

aggregating the Consumer Price Index for British Columbia, as published by Statistics Canada under the authority of the Statistics Act (Canada), adjusted in the manner that may be prescribed, for each month in that period,

dividing the aggregate obtained under paragraph (

a) by 12, and

rounding the result obtained under paragraph (

b) to the nearest one-thousandth or, if the result obtained is equidistant from 2 consecutive one-thousandths, to the higher one-thousandth.

The adjustment under this

section of an amount expressed in dollars in

section 4.1 (1) is not affected by the following:

a change to the taxation years specified or referred to in

section 4.1 (1);

a change to a percentage specified in

section 4.1 (1).

Tuition credit

4.6

Section 118.5 of the federal Act applies for the purposes of this Act except that, in addition to any other necessary modifications required for this Act, a reference in that

section to the appropriate percentage for the year is to be read as the appropriate percentage for the year as defined in

section 4 of this Act.

Repealed

4.61

[Repealed 2018-4-18.]

Unused tuition and education tax credits

4.62

For the purpose of computing the tax payable under this Act for a taxation year by an individual, there may be deducted the smaller of

the individual's unused tuition and education tax credits at the end of the preceding taxation year, and

the amount that would be the individual's tax payable under this Act for the year if the only amounts deductible were the amounts under the following sections:

section 4.3 [personal credits] ;

section 4.31 [age credit] ;

iii

section 4.32 [pension credit] ;

iii.1

section 4.33 [adoption expense credit] ;

iii.2) and (iii.21

[Repealed 2017-12-30.]

iii.3

[Repealed 2017-12-30.]

iii.31

[Repealed 2017-12-29.]

iii.4

section 4.36 [BC education coaching tax credit] ;

iii.5

section 4.37 [tax credit for volunteer firefighters and search and rescue volunteers] ;

section 4.51 [credit for mental or physical impairment] ;

section 4.64 [credit for EI premium and CPP contribution] .

Subject to subsections (3) and (4), an individual's unused tuition and education tax credits at the end of a taxation year is the amount determined by the formula

A + (B − C) − (D +

E) where

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

is the total of all amounts each of which may be deducted under

section 4.6 [tuition credit] in computing the individual's tax payable under this Act for the year,

is the smaller of the value of "B" and the amount that would be the individual's tax payable under this Act for the year if the only amounts deductible were the amounts under the following sections:

(

a) section 4.3 [personal credits] ;

(

b) section 4.31 [age credit] ;

(

c) section 4.32 [pension credit] ;

(c.1)

section 4.33 [adoption expense credit] ;

(c.2)

and (c.21) [Repealed 2017-12-30.]

(c.3)

[Repealed 2017-12-30.]

(c.31)

[Repealed 2017-12-29.]

(c.4)

section 4.36 [BC education coaching tax credit] ;

(c.5)

section 4.37 [tax credit for volunteer firefighters and search and rescue volunteers] ;

(

d) section 4.51 [credit for mental or physical impairment] ;

(

e) section 4.64 [credit for EI premium and CPP contribution] ,

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

is the tuition tax credit transferred for the year by the individual to the individual's spouse, common-law partner, parent or grandparent.

For the purpose of determining the amount that may be deducted under subsection (1) in computing the tax payable for a taxation year that begins after 2006 by an individual who was not resident in British Columbia on the last day of the preceding taxation year, the individual's unused tuition and education tax credits at the end of that year are deemed to equal the amount that would be the individual's unused tuition and education tax credits at the end of that year under

section 118.61 of the federal Act if the appropriate percentage applied under sections 118.5 and 118.6 of that Act in computing the individual's tuition and education tax credits had, at all material times, been the appropriate percentage as defined in

section 4 of this Act instead of the appropriate percentage as defined in the federal Act.

For the purpose of determining the amount that may be deducted under subsection (1) in computing the tax payable for a taxation year by an individual who was resident in British Columbia on the last day of the preceding taxation year, if the appropriate percentage for the taxation year is different from the appropriate percentage for the preceding taxation year, the individual's unused tuition and education tax credits at the end of the preceding taxation year are deemed to be the amount determined by the following formula:

amount =

× C

where

A =

the appropriate percentage for the taxation year;

B =

the appropriate percentage for the preceding taxation year;

C =

the amount of the individual's unused tuition and education tax credits at the end of the preceding taxation year.

[Repealed 2007-2-8.]

Credit for interest on student loan

4.63

For the purpose of computing the tax payable under this Act for a taxation year by an individual who is entitled to a deduction under

section 118.62 of the federal Act for the year, there may be deducted an amount determined by the formula

A × B

where

is the appropriate percentage for the year, and

is the amount used in the formula in

section 118.62 of the federal Act in computing the individual's deduction under that

section for the year.

Credit for EI premium and CPP contribution

4.64

Section 118.7 of the federal Act applies for the purposes of this Act except that a reference in that

section to the appropriate percentage for the year is to be read as the appropriate percentage for the year as defined in

section 4 (1) of this Act.

Transfer of unused credits to spouse or common-law partner

4.65

For the purpose of computing the tax payable under this Act for a taxation year by an individual who is entitled to a deduction under

section 118.8 of the federal Act for the year, there may be deducted an amount determined by the formula

A + B − C

where

is the tuition tax credit transferred for the year by the individual's spouse or common-law partner to the individual,

is the total of all amounts each of which is deductible under

section 4.31 [age credit] , 4.32 [pension credit] or 4.51 [credit for mental or physical impairment] in computing the tax payable by the spouse or common-law partner under this Act for the year or that would be so deductible if the spouse or common-law partner were liable under

section 2 to pay tax for the year, and

is the amount, if any, by which

(

a) the amount that would be the tax payable if the spouse or common-law partner were liable for tax under

section 2 for the year and if the only amounts deductible were the amounts under sections 4.3 (1) (c) [basic personal credit — single status] , 4.36 [BC education coaching tax credit] , 4.37 [tax credit for volunteer firefighters and search and rescue volunteers] , 4.62 [unused tuition and education tax credits] and 4.64 [credit for EI premium and CPP contribution]

exceeds

(

b) the smaller of

(

i) the total of all amounts that may be deducted under

section 4.6 [tuition credit] in computing the tax payable by the spouse or common-law partner under this Act for the year or that would be so deductible if the spouse or common-law partner were liable under

section 2 to pay tax for the year, and

(ii)

the amount that would be the tax payable by the spouse or common-law partner under this Act for the year if the spouse or common-law partner were liable under

section 2 to pay tax for the year and if the only amounts deductible were the amounts under sections 4.3 [personal credits] , 4.31 [age credit] , 4.32 [pension credit] , 4.33 [adoption expense credit] , 4.36 [BC education coaching tax credit] , 4.37 [tax credit for volunteer firefighters and search and rescue volunteers] , 4.51 [credit for mental or physical impairment] , 4.62 [unused tuition and education tax credits] and 4.64 [credit for EI premium and CPP contribution] .

Tuition tax credit transferred

4.66

In sections 4.65 [transfer of unused credits to spouse or common-law partner] and 4.67 [transfer of unused credits to parent or grandparent] , the tuition tax credit transferred for a taxation year by a person to an individual is the smaller of

the amount determined by the formula

A − B

where

is the smaller of

(

i) the total of all amounts that may be deducted under

section 4.6 [tuition credit] in computing the person's tax payable under this Act for the year or that would be so deductible if the person were liable under

section 2 to pay tax for the year, and

(ii)

the amount obtained by multiplying $5 000 by the appropriate percentage, and

is the amount that would be the person's tax payable under this Act for the year if the person were liable under

section 2 to pay tax for the year and if the only amounts deductible were the amounts under sections 4.3 [personal credits] , 4.31 [age credit] , 4.32 [pension credit] , 4.33 [adoption expense credit] , 4.36 [BC education coaching tax credit] , 4.37 [tax credit for volunteer firefighters and search and rescue volunteers] , 4.51 [credit for mental or physical impairment] , 4.62 [unused tuition and education tax credits] and 4.64 [credit for EI premium and CPP contribution] , and

the amount for the year that the person designates in writing for the purposes of

section 4.65 [transfer of unused credits to spouse or common-law partner] or 4.67 [transfer of unused credits to parent or grandparent] .

Transfer of unused credits to parent or grandparent

4.67

This

section applies if

for a taxation year a parent or grandparent of an individual is the only person designated in writing by the individual for the year for the purpose of this section, and

no other person is designated for the year for the purpose of

section 118.9 of the federal Act or a provision of an income tax statute of an agreeing or non-agreeing province that is similar to this section.

In the circumstances described in subsection (1), there may be deducted in computing the tax payable under this Act for the taxation year by the individual's parent or grandparent, as the case may be, the tuition tax credit transferred for the year by the individual to the parent or grandparent, as the case may be.

No deduction may be made under this

section in computing the tax payable by a parent or grandparent of an individual for a taxation year if the individual's spouse or common-law partner deducts an amount for the year in respect of the individual under

section 4.3 [personal credits] or 4.65 [transfer of unused credits to spouse or common-law partner] , or

a provision of an income tax statute of an agreeing or non-agreeing province that is similar to

section 4.3 or 4.65 of this Act.

Minimum tax credit

4.68

For the purpose of computing the tax payable under this Act for a taxation year by an individual who is entitled to a deduction under

section 120.2 of the federal Act for the year, there may be deducted the amount determined by the formula

A ×

where

is the amount deducted by the individual under

section 120.2 of the federal Act for the year,

is the appropriate percentage for the year, and

is the appropriate percentage for the year as defined in

section 248 (1) of the federal Act.

For the purposes of subsection (1) of this section, the result obtained by dividing B, as defined by that subsection, by C, as defined by that subsection, is to be rounded to the nearest one-thousandth or, if the result obtained by that division is equidistant from 2 consecutive one-thousandths, to the higher one-thousandth.

Dividend tax credit

4.69

For the purpose of computing the tax payable under this Act for a taxation year by an individual who was resident in British Columbia on the last day of the taxation year, there may be deducted the total of the following:

15% of any amount that is required by

section 82 (1) (b) (

i) of the federal Act to be included in computing the individual's income for the year under that Act;

43 11/19% of any amount that is required by

section 82 (1) (b) (ii) of the federal Act to be included in computing the individual's income for the year under that Act.

Overseas employment tax credit

4.7

For the purpose of computing the tax payable under this Act for a taxation year by an individual who was resident in British Columbia on the last day of the taxation year and who is entitled to a deduction under

section 122.3 of the federal Act for the year, there may be deducted the amount determined by the formula

A ×

where

is the amount deducted by the individual under

section 122.3 of the federal Act for the year,

is the amount that, but for this

section 4.7 and sections 4.68 [minimum tax credit] , 4.71 [foreign tax credit] , 4.721 [BC mining flow-through share tax credit] , 4.722 [political contributions] , 4.8 [minimum tax] , 4.81 [CPP/QPP disability benefits for previous years] , 4.82 [qualifying retroactive lump sum pension payments] , 4.83 [lump sum pension payment] , 4.84 [tax on split income] , 13.1 [net employee investment tax credit] , 19.1 [logging tax deduction] and 21 [small business venture capital tax credit] , would be the individual's tax payable under this Act for the year, and

is the amount that, but for sections 120, 120.2, 120.3, 120.31, 120.4 (2), 122.3, 126, 127, 127.4 and 127.5 of the federal Act and

section 40 of the Income Tax Application Rules (Canada), would be the individual's tax payable under

Part I of the federal Act for the year.

Foreign tax credit

4.71

For the purpose of computing the tax payable under this Act for a taxation year by an individual, there may be deducted the aggregate of the amounts determined under subsection (2) if

the individual resided in British Columbia on the last day of the taxation year, and

the individual had income for the year that included income earned in a country other than Canada in respect of which non-business-income tax was paid by the individual to the government of a country other than Canada.

[Repealed 2007-2-13.]

The amount deductible under subsection (1), in respect of each country other than Canada, is the smaller of

the amount, if any, by which any non-business-income tax paid by the individual for the taxation year to the government of the other country exceeds the amount deductible by the individual for that year under

section 126 (1) of the federal Act, and

that proportion of the tax otherwise payable under this Act for that taxation year that

the amount, if any, by which the total of the individual's qualifying incomes exceeds the total of the individual's qualifying losses

for that year, if

section 114 of the federal Act does not apply, or

for the part of the year throughout which the individual was resident in Canada, if

section 114 of that Act applies,

from sources in the other country, on the assumption that

no businesses were carried on by the individual in that country,

no amount was deducted under

section 91 (5) of the federal Act in computing the individual's income for the year, and

the individual's income from employment in that country for the year was not from a source in that country to the extent of the smaller of the amounts determined in respect of the individual's income under paragraphs (

c) and (

d) of

section 122.3 (1) of the federal Act,

is of

the individual's income earned in British Columbia

in the year, if

section 114 of the federal Act does not apply, or

in the part of the year throughout which the individual was resident in Canada, if

section 114 of that Act applies,

minus any amounts deducted by the individual under

section 110.6 or 111 (1) (

b) of the federal Act or deductible by the individual under

section 110 (1) (

d) to (

g) of the federal Act for the year or in respect of the part of the year referred to in clause (

B) of this subparagraph, as the case may be.

2.1

In subsection (2) (b), tax otherwise payable under this Act , in relation to an individual for a taxation year, does not include the amount of tax payable under

section 4.8 [minimum tax] by the individual for the taxation year.

For the purposes of subsection (2) (b) (ii) (

A) of this section, if

section 114 of the federal Act does not apply to the individual in respect of the taxation year, the individual's income is to be computed without reference to

section 20 (1) (ww) of the federal Act.

[Repealed 2003-23-20.]

Under this section, the non-business-income tax paid by a taxpayer to the government of a country other than Canada in respect of the taxpayer's income for a year is the non-business-income tax paid by the taxpayer to the government of that country in respect of that year as determined under the definition of "non-business-income tax" in

section 126 (7) of the federal Act.

For the purposes of this section,

the government of a country other than Canada includes the government of a state, province or other political subdivision of that country,

if a taxpayer's income for a taxation year is in whole or in part from sources in more than one country other than Canada, subsection (2) must be read as providing for separate deductions in respect of each of the countries other than Canada,

if any income from a source in a particular country would be tax-exempt income but for the fact that a portion of the income is subject to an income or profits tax imposed by the government of a country other than Canada, the portion is deemed to be income from a separate source in the particular country, and

if, in computing a taxpayer's income for a taxation year from a business carried on by the taxpayer in Canada, an amount is included in respect of interest paid or payable to the taxpayer by a person resident in a country other than Canada, and the taxpayer has paid to the government of that other country a non-business-income tax for the taxation year with respect to the amount, the amount is, in applying the definition of "qualifying incomes" in subsection (7) for the purposes of subsection (2), deemed to be income from a source in that other country.

In this section, qualifying incomes , qualifying losses and tax-exempt income have the same meaning as in

section 126 (7) of the federal Act.

Supplementary credit for 2000 taxation year

4.72

For the purpose of computing the tax payable under this Act for the 2000 taxation year by an individual who is resident in British Columbia on the last day of that taxation year, there may be deducted the amount determined by the formula

A × B

where

is the appropriate percentage for the year, and

(a)

$600, if the individual deducts an amount in respect of a dependent spouse or other dependant under

section 118 (1) (

a) or (

b) of the federal Act, or

(b)

$300, in any other case.

BC mining flow-through share tax credit

4.721

In this section:

BC flow-through mining expenditure , in relation to an individual for a taxation year, means an expense that meets the following criteria:

the expense is deemed by one of the following sections of the federal Act to be incurred by the individual in the year:

section 66 (12.61) of the federal Act;

section 66 (18) of the federal Act as a consequence of the application of

section 66 (12.61) of the federal Act to a partnership, referred to in paragraph (

f) of this definition, of which the individual is a member;

the expense is an expense described in paragraph (

f) of the definition of "Canadian exploration expense" in

section 66.1 (6) of the federal Act;

the expense is not an expense in respect of the following:

trenching, if one of the purposes of the trenching is to carry out preliminary sampling, other than specified sampling;

digging test pits, other than digging test pits for the purpose of carrying out specified sampling;

iii

preliminary sampling, other than specified sampling;

the expense is an expense incurred by a corporation after July 30, 2001 in conducting mining exploration activity from or above the surface of the earth for the purpose of determining the existence, location, extent or quality of a mineral resource described in paragraph (

a) or (

d) of the definition of "mineral resource" in

section 248 (1) of the federal Act;

the expense is incurred in respect of mining exploration activity all or substantially all of which is conducted in British Columbia for the purpose of determining the existence, location, extent or quality of a mineral resource in British Columbia;

the expense is an expense in respect of which an amount is renounced in accordance with

section 66 (12.6) of the federal Act by the corporation to the individual, or to a partnership of which the individual is a member, under an agreement described in that

section and made after July 30, 2001;

the expense is not an expense that was renounced under

section 66 (12.6) of the federal Act to the corporation, or to a partnership of which the corporation is a member, unless that renunciation was under an agreement described in that

section and made after July 30, 2001;

individual has the same meaning as in

section 1 (1) but does not include a trust or estate;

mineral resource means a mineral resource referred to in paragraph (

a) of the definition of "flow-through mining expenditure" in

section 127 (9) of the federal Act;

specified sampling has the same meaning as in

section 127 (9) of the federal Act.

1.1

For the purposes of paragraph (

d) of the definition of "BC flow-through mining expenditure" and for greater certainty, an expense incurred by a corporation in a particular year includes an expense that is deemed by

section 66 (12.66) of the federal Act to be incurred in that particular year.

1.2

For greater certainty,

section 66 (12.6001) of the federal Act applies for the purposes of paragraphs (

f) and (

g) of the definition of "BC flow-through mining expenditure" in subsection (1) of this section.

1.3

For greater certainty, a reference in paragraph (

f) or (

g) of the definition of "BC flow-through mining expenditure" to an amount renounced in accordance with

section 66 (12.6) of the federal Act is a reference to that renounced amount as reduced, if applicable, in accordance with

section 66 (12.73) of the federal Act.

Subject to subsections (4) and (5), an individual may deduct from tax otherwise payable under this Act for a taxation year ending after 1997 an amount not exceeding the smaller of

the BC mining flow-through share tax credit of the individual at the end of the taxation year calculated in accordance with subsection (3), and

the tax otherwise payable by the individual under this Act for the taxation year.

The BC mining flow-through share tax credit of an individual at the end of a taxation year is the amount, if any, by which the total of

an amount equal to 20% of the total of all amounts each of which is a BC flow-through mining expenditure of the individual for the year, and

an amount equal to 20% of the total of all amounts each of which is a BC flow-through mining expenditure of the individual for the 10 taxation years immediately preceding, or the 3 taxation years immediately following, the taxation year,

exceeds

the total of all amounts each of which is an amount deducted under subsection (2) from the tax otherwise payable under this Act by the individual for a preceding taxation year that is in respect of BC flow-through mining expenditures of the individual for the taxation year or any of the 10 taxation years immediately preceding, or the 2 years immediately following, the taxation year.

An individual who wishes to claim a tax credit under this

section for a taxation year must file, with the return of income filed by the individual under

section 29 for the taxation year, an application for the tax credit in the form, and containing the information, required by the Commissioner of Income Tax.

In computing a tax credit under this section, an individual is not entitled to include an amount in respect of a BC flow-through mining expenditure of the individual for a taxation year unless the individual files the form containing the information required by subsection (4) in respect of that amount on or before the day that is one year after the individual's filing-due date for the taxation year that includes the effective date of a renunciation made in accordance with

section 66 (12.6) of the federal Act in respect of that expenditure.

Political contributions

4.722

In this section:

candidate means an individual who is a candidate within the meaning of

section 63 of the Election Act ;

eligible political contribution means a political contribution, as defined in the Election Act , that is made

by an individual to a registered political party, a registered constituency association or a candidate, and

in the form of cash or a negotiable instrument issued by the individual making the contribution, or by means of a credit card in the name of the individual making the contribution,

but does not include a political contribution that is made in contravention of the Election Act ;

financial agent means a financial agent or deputy financial agent under

Part 10 of the Election Act for a registered political party, a registered constituency association or a candidate;

registered constituency association means a registered constituency association as defined in the Election Act , but does not include a registered constituency association that is suspended under that Act;

registered political party means a registered political party as defined in the Election Act , but does not include a registered political party that is suspended under that Act.

Subject to this section, there may be deducted from the tax otherwise payable by an individual under this Part for a taxation year, in respect of the aggregate of all amounts each of which is an eligible political contribution, whichever of the following is applicable:

75% of the aggregate, if the aggregate does not exceed $100;

$75 plus 50% of the amount by which the aggregate exceeds $100, if the aggregate exceeds $100 and does not exceed $550;

the smaller of

$300 plus 33 1/3% of the amount by which the aggregate exceeds $550, and

$500.

To make a deduction under subsection (2), payment of each eligible political contribution that is included in the aggregate must be proved by filing with the minister receipts that

include the prescribed information,

are signed by the financial agent of the person to whom or organization to which the contribution is made, and

if applicable, are in the prescribed form.

[Repealed 2020-18-18.]

Sections 58 and 59 apply to a financial agent as if that person were carrying on business in British Columbia.

Without limiting authority under any other enactment, the Commissioner of Income Tax, or a person authorized by that official, is entitled to inspect and make copies or extracts of

all information filed under the Election Act with the Chief Electoral Officer, and

all records in relation to political contributions required to be kept under the Election Act or made for the purpose of complying with a requirement under that Act to file information regarding political contributions with the Chief Electoral Officer.

Without limiting authority under any other enactment, the Chief Electoral Officer is entitled to inspect and make copies or extracts of all information filed under this Act in relation to eligible political contributions.

The Lieutenant Governor in Council may make regulations for the purposes of this

section as follows:

prescribing the information that must be included in a receipt;

prescribing a form of receipt that must be used by registered political parties, registered constituency associations or candidates;

requiring the keeping of records and return of receipts;

restricting or qualifying the meaning of "eligible political contribution".

Restrictions on credits: trusts

4.73

No deduction may be made under

section 4.3 [personal credits] , 4.301 [BC tax reduction credit] , 4.31 [age credit] , 4.32 [pension credit] or 4.72 [supplementary credit for 2000 taxation year] in computing the tax payable by a trust for a taxation year.

Restrictions on credits: year of bankruptcy

4.74

Despite sections 4.3 to 4.65 and 4.67, for the purpose of computing an individual's tax payable under this Act for a taxation year that ends in a calendar year in which the individual becomes bankrupt, the individual is allowed only

the deductions the individual is entitled to under sections 4.32 [pension credit] , 4.33 [adoption expense credit] , 4.36 [BC education coaching tax credit] , 4.37 [tax credit for volunteer firefighters and search and rescue volunteers] , 4.4 [charitable and other gifts] , 4.5 [medical expense credit] , 4.6 [tuition credit] , 4.63 [credit for interest on student loan] and 4.64 [credit for EI premium and CPP contribution] that can reasonably be considered wholly applicable to the taxation year, and

the part of the deductions the individual is entitled to under sections 4.3 [personal credits] , 4.301 [BC tax reduction credit] , 4.31 [age credit] , 4.51 [credit for mental or physical impairment] , 4.65 [transfer of unused credits to spouse or common-law partner] , 4.67 [transfer of unused credits to parent or grandparent] and 4.72 [supplementary credit for 2000 taxation year] that can reasonably be considered applicable to the taxation year,

except that the total of the amounts so deductible for all taxation years of the individual in the calendar year under any of those provisions must not exceed the amount that would have been deductible under that provision in respect of the calendar year had the individual not become bankrupt.

Restrictions on credits: income earned outside BC

4.75

Despite sections 4.3, 4.301, 4.31, 4.4 to 4.65, 4.67 and 4.68, for the purpose of computing tax payable under this Act for a taxation year by an individual who was resident in British Columbia on the last day of the taxation year and had income earned in the year outside British Columbia, the amount that may be deducted under those provisions must not exceed the portion of that amount determined by the formula

A ×

(B −

C) where

is the total of the amounts the individual may deduct under those sections read without reference to this section,

is the individual's income for the year, and

is the individual's income earned in the taxation year outside British Columbia.

Despite sections 4.3, 4.301, 4.31, 4.4 to 4.65, 4.67 and 4.68, for the purpose of computing tax payable under this Act for a taxation year by an individual who was not resident in British Columbia on the last day of the taxation year but had income earned in the year in British Columbia, the amount that may be deducted under those provisions must not exceed the portion of that amount determined by the formula

A ×

where

is the total of the amounts the individual may deduct under those sections,

is the individual's income earned in the taxation year in British Columbia, and

is the individual's income for the year.

Restrictions on credits: part-year residents

4.76

Despite sections 4.3 to 4.65 and 4.67 but subject to subsection (2) of this section, if an individual is resident in Canada throughout part of a taxation year and throughout another part of the year is non-resident, for the purpose of computing the individual's tax payable under this Act for the year,

the amount deductible for the year under each provision of those sections in respect of the part of the year that is not included in the period or periods referred to in paragraph (

b) must be computed as though that part of the year were the whole taxation year, and

the individual is allowed only

the deductions permitted under sections 4.32 [pension credit] , 4.33 [adoption expense credit] , 4.36 [BC education coaching tax credit] , 4.37 [tax credit for volunteer firefighters and search and rescue volunteers] , 4.4 [charitable and other gifts] , 4.5 [medical expense credit] , 4.6 [tuition credit] , 4.63 [credit for interest on student loan] and 4.64 [credit for EI premium and CPP contribution] that can reasonably be considered wholly applicable, and

the part of the deductions permitted under sections 4.3 [personal credits] , 4.301 [BC tax reduction credit] , 4.31 [age credit] , 4.51 [credit for mental or physical impairment] , 4.65 [transfer of unused credits to spouse or common-law partner] and 4.67 [transfer of unused credits to parent or grandparent] that can reasonably be considered applicable to the period or periods in the year throughout which the individual was resident in Canada, computed as though that period or those periods were the whole taxation year.

The amount deductible for the year under each provision referred to in subsection (1) (b) (

i) and (ii) must not exceed the amount that would have been deductible under that provision had the individual been resident in Canada throughout the year.

Restrictions on credits: non-residents

4.77

The following provisions of this Act do not apply for the purpose of computing the tax payable under this Act for a taxation year by an individual who at no time in the taxation year is resident in Canada unless all or substantially all of the individual's income for the year is included in computing the individual's taxable income earned in Canada for the year:

section 4.3 [personal credits] ;

a.1

section 4.301 [BC tax reduction credit] ;

section 4.31 [age credit] ;

[Repealed 2004-28-14.]

section 4.5 [medical expense credit] ;

section 4.51 (2), (4) and (6) [credit for dependant with impairment and partial dependency rules] ;

[Repealed 2018-4-25.]

section 4.65 [transfer of unused credits to spouse or common-law partner] ;

section 4.67 [transfer of unused credits to parent or grandparent] ;

section 4.72 [supplementary credit for 2000 taxation year] .

Credits in separate returns

4.78

This

section applies if

a separate return of income with respect to an individual is filed in accordance with

section 70 (2), 104 (23) or 150 (4) of the federal Act for a particular period, and

another return of income with respect to the individual is filed under this Act for a period ending in the calendar year in which the particular period ends.

For the purpose of computing the tax payable under this Act by an individual in a return referred to in subsection (1) (a), the only deductions allowed are those under the following provisions:

section 4.3 [personal credits] ;

section 4.31 [age credit] ;

section 4.32 [pension credit] ;

c.1

section 4.33 [adoption expense credit] ;

c.2) and (c.21

[Repealed 2017-12-43.]

c.3

[Repealed 2017-12-43.]

c.31

[Repealed 2017-12-44.]

c.4

section 4.36 [BC education coaching tax credit] ;

c.5

section 4.37 [tax credit for volunteer firefighters and search and rescue volunteers] ;

section 4.4 [charitable and other gifts] ;

section 4.5 [medical expense credit] ;

section 4.51 [credit for mental or physical impairment] ;

section 4.6 [tuition credit] ;

[Repealed 2018-4-25.]

section 4.62 [unused tuition and education tax credits] ;

section 4.63 [credit for interest on student loan] ;

section 4.64 [credit for EI premium and CPP contribution] ;

section 4.67 [transfer of unused credits to parent or grandparent] ;

section 4.72 [supplementary credit for 2000 taxation year] ;

section 20.1 [farmers' food donation tax credit] .

The total of all deductions claimed under sections 4.32 to 4.64 and 4.67 of this Act in the returns referred to in subsection (1) (

a) and (

b) filed in respect of the individual must not exceed the total that could be deducted under those provisions for the year with respect to the individual if no separate returns were filed under sections 70 (2), 104 (23) and 150 (4) of the federal Act.

Order of making deductions

4.79

For the purposes of

section 4.2 (1), the following provisions must be applied in the following order:

section 4.3 [personal credits] ;

section 4.31 [age credit] ;

b.1

[Repealed 2017-12-46.]

section 4.64 [credit for EI premium and CPP contribution] ;

section 4.32 [pension credit] ;

d.1

section 4.33 [adoption expense credit] ;

d.2) and (d.21

[Repealed 2017-12-47.]

d.3

[Repealed 2017-12-47.]

d.4

section 4.36 [BC education coaching tax credit] ;

d.5

section 4.37 [tax credit for volunteer firefighters and search and rescue volunteers] ;

section 4.51 [credit for mental or physical impairment] ;

section 4.62 [unused tuition and education tax credits] ;

section 4.6 [tuition credit] ;

[Repealed 2018-4-25.]

section 4.67 [transfer of unused credits to parent or grandparent] ;

section 4.65 [transfer of unused credits to spouse or common-law partner] ;

section 4.5 [medical expense credit] ;

section 4.4 [charitable and other gifts] ;

l.1

section 20.1 [farmers' food donation tax credit] ;

section 4.63 [credit for interest on student loan] ;

section 4.69 [dividend tax credit] ;

section 4.7 [overseas employment tax credit] .

For the purposes of

section 4.2 (2), the following provisions must be applied in the following order:

section 4.68 [minimum tax credit] ;

section 4.71 [foreign tax credit] .

For the purposes of

section 4.2 (3), the following provisions must be applied in the following order:

section 4.72 [supplementary credit for 2000 taxation year] ;

a.1

section 4.301 [BC tax reduction credit] ;

section 19.1 [logging tax deduction] ;

c) and (d

[Repealed 2007-2-17.]

section 4.722 [political contributions] ;

section 13.1 [net employee investment tax credit] ;

f.1

section 4.721 (2) [mining flow-through share tax credit] ;

section 21 [small business venture capital tax credit] .

Minimum tax

4.8

Subject to

section 4.85 [apportionment of additional taxes] , if tax is payable by an individual under

section 127.5 of the federal Act for a taxation year, there must be added in computing the individual's tax payable under this Act for the year the amount determined by the formula

A ×

where

is the amount determined under

section 120.2 (3) of the federal Act for the individual for the year,

is the appropriate percentage for the year, and

is the appropriate percentage for the year as defined in

section 248 (1) of the federal Act.

For the purposes of subsection (1) of this section, the result obtained by dividing B, as defined by that subsection, by C, as defined by that subsection, is to be rounded to the nearest one-thousandth or, if the result obtained by that division is equidistant from 2 consecutive one-thousandths, to the higher one-thousandth.

CPP/QPP disability benefits for previous years

4.81

Subject to

section 4.85 [apportionment of additional taxes] , there must be added in computing an individual's tax payable under this Act for a taxation year 49.5% of the amount, if any, added under

section 120.3 of the federal Act in computing the individual's tax payable under that Act for the year.

Qualifying retroactive lump sum pension payments

4.82

[Repealed 2003-23-22.]

Subject to

section 4.85 [apportionment of additional taxes] , there must be added in computing an individual's tax payable under this Act for a taxation year 49.5% of the amount, if any, added under

section 120.31 of the federal Act in computing the individual's tax payable under that Act for the year.

Lump sum pension payment

4.83

Subject to

section 4.85 [apportionment of additional taxes] , there must be added in computing an individual's tax payable under this Act for a taxation year 49.5% of the amount, if any, of the tax payable under

section 40 of the Income Tax Application Rules (Canada) by the individual for the year.

Tax on split income

4.84

[Repealed 2001-3-14.]

Subject to

section 4.85 [apportionment of additional taxes] , there must be added to a specified individual's tax payable under this Act for a taxation year an amount that is determined by multiplying the individual's split income for the year by the highest percentage specified in

section 4.1 that applies in determining tax that might be payable under this Act for the year.

Section 120.4 of the federal Act applies for the purposes of this Act except that, in addition to any other necessary modifications required for this Act,

subsection (2) of this

section applies instead of

section 120.4 (2) of the federal Act,

a.1

the reference in the description of "A" in

section 120.4 (3) of the federal Act to

section 118.3 of the federal Act must be read as a reference to

section 4.51 [credit for mental or physical impairment] of this Act,

the reference in paragraph (

a) of the description of "B" in

section 120.4 (3) of the federal Act to

section 121 of the federal Act must be read as a reference to

section 4.69 [dividend tax credit] of this Act, and

the reference in paragraph (

a) of the description of "B" in

section 120.4 (3) of the federal Act to

section 126 of the federal Act must be read as a reference to

section 4.71 [foreign tax credit] of this Act.

Apportionment of additional taxes

4.85

In the case of an individual who was resident in British Columbia on the last day of a taxation year and had income earned in the taxation year outside British Columbia, the tax that must be added under any of sections 4.8 to 4.84 in computing the individual's tax payable under this Act for the year is the amount determined by the formula

A ×

(B −

C) where

is the amount determined for the individual under

section 4.8, 4.81, 4.82, 4.83 or 4.84, as the case may be,

is the individual's income for the year, and

is the individual's income earned in the taxation year outside British Columbia.

In the case of an individual who was not resident in British Columbia on the last day of a taxation year and had income earned in the taxation year in British Columbia, the tax that must be added under any of sections 4.8 to 4.84 in computing the individual's tax payable under this Act for the year is the amount determined by the formula

A ×

where

is the amount determined for the individual under

section 4.8, 4.81, 4.82, 4.83 or 4.84, as the case may be,

is the individual's income earned in the taxation year in British Columbia, and

is the individual's income for the year.

Repealed

4.86

[Repealed 2000-15-41.]

Bankrupt individuals

4.87

Section 128 (2) of the federal Act applies for the purposes of this Act except that, in addition to any other necessary modifications required for this Act, that

section is to be read as if, in addition to the deductions referred to in clauses (

A) to (

C) of paragraph (e) (iii), that paragraph included a reference to the deductions under sections 4.301 [BC tax reduction credit] and 4.72 [supplementary credit for 2000 taxation year] of this Act.

Repealed

5-7

[Repealed 2000-15-6.]

Repealed

7.1

[Repealed RS1996-215-7.1 (8).]

Refundable sales tax credit

In this section:

adjusted income , in relation to an eligible individual for a taxation year, means the total of all amounts each of which would be the income for the year of the individual or the individual's cohabiting spouse or common-law partner if, in computing that income, no amount

were included in respect of a gain described in

section 40 (3.21) [deemed capital gain under

section 180.01] of the federal Act,

were included in respect of any gain from a disposition of property to which

section 79 [surrender of property by debtor] of the federal Act applies,

were included under

section 56 (6) [universal child care benefit] of the federal Act,

were deductible under

section 60 (y) [repayment of universal child care benefit] of the federal Act,

were included under

section 56 (1) (q.1) [registered disability savings plan payments] of the federal Act, and

were deductible under

section 60 (z) [repayment under the Canada Disability Savings Act] of the federal Act;

cohabiting spouse or common-law partner , in relation to an individual for a taxation year, means the person who, at the end of December 31 of that year, is the individual's cohabiting spouse or common-law partner, as defined in

section 122.6 of the federal Act;

eligible individual , in relation to a taxation year, means an individual other than a trust who, at the end of December 31 of that year, is resident in British Columbia and is

married or in a common-law partnership,

a parent of a child, or

at least 19 years of age;

qualified relation , in relation to an individual for a taxation year, means the person who, at the end of December 31 of that year,

is resident in British Columbia, and

is the individual's cohabiting spouse or common-law partner.

1.1

Despite the

definitions of "eligible individual" and "qualified relation" in subsection (1), a person is not an eligible individual for a taxation year or a qualified relation of an individual for a taxation year if the person

dies before the end of the year,

is, at the end of the year, a person described in

section 149 (1) (

a) or (

b) of the federal Act, or

is, at the end of the year, confined to a prison or similar institution and has been confined for a period of, or periods the total of which in the year was, more than 6 months.

1.2

Section 122.5 (6.2) [non-residents and part-year residents] and (7) [effect of bankruptcy] of the federal Act applies for the purposes of this section.

An eligible individual is entitled to a sales tax credit for a taxation year if the individual files, with the individual's return of income under

section 29 for the taxation year, a form provided by the minister that contains the information necessary to establish the individual's claim for the sales tax credit.

2.1

Despite subsection (2), an eligible individual is not entitled to a sales tax credit for a taxation year ending after December 31, 2009 and before January 1, 2013.

The sales tax credit amount for a taxation year is the total of the following, less the excess income reduction under subsection (4):

$75 in respect of the eligible individual;

$75 in respect of the qualified relation of the eligible individual for that taxation year, if any.

The amount determined under subsection (3) is reduced by 2% of the amount by which the adjusted income of the eligible individual claiming the sales tax credit exceeds

$15 000, if the eligible individual does not have a cohabiting spouse or common-law partner, or

$18 000, if the eligible individual has a cohabiting spouse or common-law partner.

For the purpose of claiming the sales tax credit, an eligible individual who is entitled to a sales tax credit for a taxation year is deemed to have paid, at the end of the taxation year on account of the individual's tax under this Act for that taxation year, an amount equal to the sales tax credit.

If an individual is a qualified relation of another individual for a taxation year, only one of them may file a form under subsection (2) for the taxation year.

In applying this

section to an eligible individual who is a bankrupt at any time in a calendar year, the reference to "the individual's return of income under

section 29 for the taxation year" in subsection (2) of this

section must be read as excluding a return filed under

section 128 (2) (e) [where individual bankrupt] of the federal Act for any taxation year occurring in the calendar year.

Climate action tax credit

8.1

In this section, eligible individual , in relation to a month specified for a taxation year, means an individual, other than a trust,

who

has, before the specified month, attained the age of 19 years, or

was, at any time before the specified month,

a parent who resided with their child, or

married or in a common-law partnership, and

who was resident in British Columbia on the first day of the specified month and the preceding specified month.

The following provisions of

section 122.5 of the federal Act apply for the purposes of this

section in relation to a month specified for the 2021, 2022 and 2023 taxation years:

subsection (1) [definitions] , except the definition of "eligible individual";

subsection (2) [persons not eligible individuals, qualified relations or qualified dependants] ;

subsection (3.01) [shared-custody parent] ;

subsection (3.1) [when advance payment applies] ;

subsection (3.2) [advance payment] ;

subsection (4) [months specified] ;

subsection (5) [only one eligible individual] ;

subsection (6) [exception re qualified dependant] ;

subsection (6.1) [notification to Minister] ;

subsection (6.2) [non-residents and part-year residents] ;

subsection (7) [effect of bankruptcy] ;

a prescribed subsection.

If, in relation to a month specified for a taxation year before the 2024 taxation year, an eligible individual files a return of income for the taxation year, the eligible individual is deemed to have paid during the specified month, on account of the eligible individual's tax payable under this Act for the taxation year, an amount equal to 25% of the amount, if any, determined by the following formula:

amount = total credits − deduction

where

total credits

the total of the following:

(

a) the prescribed amount;

(

b) the prescribed amount, if the individual has a qualified relation in relation to the specified month;

(

c) the prescribed amount, if the individual has no qualified relation in relation to the specified month and is entitled to deduct an amount for the taxation year under

section 118 (1) of the federal Act because of paragraph (

b) of the description of "B" in that

section in respect of a qualified dependant of the individual in relation to the specified month;

(

d) the prescribed amount multiplied by the number of qualified dependants of the individual in relation to the specified month, other than a qualified dependant in respect of whom an amount is included under paragraph (

c) in computing the total for the specified month;

deduction

2% of the amount, if any, by which the individual's adjusted income for the taxation year in relation to the specified month exceeds,

(

a) if the individual has no qualified relation or qualified dependant in relation to the specified month, the prescribed amount, or

(

b) in any other case, the prescribed amount.

In applying

section 122.5 (3.1) [when advance payment applies] of the federal Act for the purposes of this section, the references to an amount expressed in dollars in that

section must be read as a reference to $10.

Despite

section 122.5 (5) of the federal Act, as it applies for the purposes of this Act, the individual who is the eligible individual, in relation to a specified month, under

section 122.5 (5) of the federal Act, as it applies for the purposes of that Act, is the individual who is the eligible individual, in relation to that specified month, for the purposes of this section.

Despite

section 122.5 (6) of the federal Act, as it applies for the purposes of this Act, a person who is the qualified dependant of an individual, in relation to a specified month, under

section 122.5 (6) of the federal Act, as it applies for the purposes of that Act, is the qualified dependant of that individual, in relation to that specified month, for the purposes of this section.

In applying

section 122.5 (6.1) of the federal Act for the purposes of this section, that

section must be read as including the following paragraph:

an individual becomes or ceases to be resident in British Columbia.

Without limiting

section 48 (1) and (2), the Lieutenant Governor in Council may make regulations as follows:

prescribing subsections of

section 122.5 of the federal Act for the purposes of subsection (2) of this section;

prescribing amounts for the purposes of subsection (3) of this section.

A regulation made under subsection (8) (

a) may be made retroactive to the date the prescribed subsection came into force for the purposes of the federal Act or a later date, and if made retroactive is deemed to have come into force on the specified date.

BC harmonized sales tax credit

8.2

In this section, eligible individual , in relation to a month specified for a taxation year, means an individual, other than a trust,

who

has, before the specified month, attained the age of 19 years, or

was, at any time before the specified month,

a parent who resided with their child, or

married or in a common-law partnership, and

who was resident in British Columbia on the first day of the specified month and the preceding specified month.

Subject to subsection (2.1),

section 122.5 of the federal Act, except the definition of "eligible individual" in subsection (1) and subsection (3), applies for the purposes of this

section in relation to a month specified for the 2009 to 2011 taxation years.

2.1

Despite subsection (3), an eligible individual is not deemed to have paid an amount under subsection (3), in relation to a month specified for the 2011 taxation year, after the specified month of January 2013.

If, in relation to a month specified for a taxation year, an eligible individual files a return of income for the taxation year, the eligible individual is deemed to have paid during the specified month, on account of the eligible individual's tax payable under this Act for the taxation year, an amount equal to 25% of the amount, if any, determined by the following formula:

amount = total credits − deduction

where

total credits

the total of the following:

(

a) the prescribed amount;

(

b) the prescribed amount, if the individual has a qualified relation in relation to the specified month;

(

c) the prescribed amount multiplied by the number of qualified dependants of the individual in relation to the specified month;

deduction

4% of the amount, if any, by which the individual's adjusted income for the taxation year in relation to the specified month exceeds,

(

a) if the individual has no qualified relation or qualified dependant in relation to the specified month, the prescribed amount, or

(

b) in any other case, the prescribed amount.

In applying

section 122.5 (3.1) [when advance payment applies] of the federal Act for the purposes of this section, the references to an amount expressed in dollars in that

section must be read as a reference to $10.

Despite

section 122.5 (5) of the federal Act, as it applies for the purposes of this Act, the individual who is the eligible individual, in relation to a specified month, under

section 122.5 (5) of the federal Act, as it applies for the purposes of that Act, is the individual who is the eligible individual, in relation to that specified month, for the purposes of this section.

Despite

section 122.5 (6) of the federal Act, as it applies for the purposes of this Act, a person who is the qualified dependant of an individual, in relation to a specified month, under

section 122.5 (6) of the federal Act, as it applies for the purposes of that Act, is the qualified dependant of that individual, in relation to that specified month, for the purposes of this section.

In applying

section 122.5 (6.1) of the federal Act for the purposes of this section, that

section must be read as including the following paragraph:

an individual becomes or ceases to be resident in British Columbia.

Without limiting

section 48 (1) and (2), the Lieutenant Governor in Council may make regulations prescribing amounts for the purposes of subsection (3) of this section.

Renter's tax credit

8.3

In this section:

adjusted income , in relation to an eligible individual for a taxation year, means the total of all amounts each of which would be the income for the year of the individual or the individual's cohabiting spouse or common-law partner if, in computing that income,

no amount were included in respect of a gain described in

section 40 (3.21) [deemed capital gain under

section 180.01] of the federal Act,

no amount were included in respect of any gain from a disposition of property to which

section 79 [surrender of property by debtor] of the federal Act applies,

no amount were included under

section 56 (6) [universal child care benefit] of the federal Act,

no amount were deductible under

section 60 (y) [repayment of universal child care benefit] of the federal Act,

no amount were included under

section 56 (1) (q.1) [registered disability savings plan payments] of the federal Act, and

no amount were deductible under

section 60 (z) [repayment under the Canada Disability Savings Act ] of the federal Act;

cohabiting spouse or common-law partner has the same meaning as in

section 122.6 of the federal Act;

eligible individual has the same meaning as in

section 8 (1) [refundable sales tax credit] of this Act;

eligible rental unit means a living accommodation in British Columbia but does not include prescribed rental units;

eligible tenant means an eligible individual who

occupies an eligible rental unit under a tenancy agreement, licence, sublease agreement or similar arrangement for at least 6 one-month periods in the taxation year, and

paid rent, or had rent paid on their behalf, to occupy the eligible rental unit;

rent does not include the following payments:

a payment to a person who is not at arm's length as described in

section 251 (1) of the federal Act;

a payment in respect of a capital lease;

a payment in respect of an amount that is not included in computing the income of the taxpayer under

section 6 (6) (

a) of the federal Act;

a payment in respect of a campsite, moorage or a manufactured home site as defined in the Manufactured Home Park Tenancy Act ;

a prescribed payment.

Despite the definition of "eligible tenant" in subsection (1), a person is not an eligible tenant for a taxation year if the person

dies before the end of the year,

is, at the end of the year, a person described in

section 149 (1) (

a) or (

b) of the federal Act, or

is, at the end of the year, confined to a prison or similar institution and has been confined for a period of, or periods the total of which in the year was, more than 6 months.

Section 122.5 (6.2) [non-residents and part-year residents] and (7) [effect of bankruptcy] of the federal Act applies for the purposes of this section.

An individual is deemed to have paid an amount determined under subsections (5) and (6) on December 31 of the taxation year on account of the individual's tax payable under this Act for a taxation year if

the individual is an eligible tenant, and

the individual files, with the individual's return of income under

section 29 for the taxation year, a form provided by the minister that contains the information necessary to establish the individual's claim for the tax credit under this section.

The amount that an individual is deemed to have paid under subsection (4) is, subject to subsection (6), $400 in respect of the individual.

The amount determined under subsection (5) is reduced by 2% of the amount by which the adjusted income of the individual claiming the tax credit under this

section exceeds $60 000 in respect of the individual.

Despite subsection (4), if, on December 31 of the taxation year, an individual is the cohabiting spouse or common-law partner of another individual and both individuals are eligible tenants, only the individual designated by the minister is eligible for the tax credit under this section.

7.1

In applying this

section to an individual who is a bankrupt at any time in a calendar year, the following rules apply:

the reference to "taxation year" in paragraph (

a) of the definition of "eligible tenant" in subsection (1) must be read as including any taxation year occurring in the calendar year;

the reference to "the individual's return of income under

section 29 for the taxation year" in subsection (4) (

b) of this

section must be read as excluding a return filed under

section 128 (2) (e) [where individual bankrupt] of the federal Act for any taxation year occurring in the calendar year.

Without limiting

section 48 (1) and (2) [power to make regulations] , the Lieutenant Governor in Council may make regulations as follows:

prescribing rental units or classes of rental units for the purposes of the definition of "eligible rental unit" in subsection (1) of this section;

prescribing types of payments for the purposes of the definition of "rent" in subsection (1) of this section.

Regulations made under subsection (8) may be made retroactive to January 1, 2023 or a later date, and if made retroactive are deemed to have come into force on the date specified in the regulation.

Repealed

9-13

[Repealed 2018-12-6.]

Definitions for climate action dividend

13.01

In this

section and sections 13.02 to 13.06:

cohabiting spouse or common-law partner has the same meaning as in

section 122.6 of the federal Act;

eligible individual , in respect of a qualified dependant, means a person who, on January 1, 2008,

resides with the qualified dependant,

is the parent of the qualified dependant who primarily fulfills the responsibility for the care and upbringing of the qualified dependant, and

is not described in

section 149 (1) (

a) or (

b) of the federal Act,

and for the purpose of this definition,

if a qualified dependant resides with the dependant's female parent, the parent who primarily fulfills the responsibility for the care and upbringing of the qualified dependant is presumed to be the female parent,

the presumption referred to in paragraph (

d) does not apply in the circumstances prescribed for the purposes of paragraph (

g) of the definition of "eligible individual" in

section 122.6 of the federal Act, and

the factors prescribed for the purposes of paragraph (

h) of the definition of "eligible individual" in

section 122.6 of the federal Act must be considered in determining what constitutes care and upbringing;

individual does not include a trust;

qualified dependant means a person who

on December 31, 2007, has not attained the age of 18 years,

is not a person in respect of whom an amount was deducted under paragraph (

a) of the description of "B" in

section 118 (1) of the federal Act in computing the tax payable by the person's spouse or common-law partner for the taxation year that includes December 31, 2007, and

is not a person in respect of whom a special allowance under the Children's Special Allowances Act (Canada) is payable for December 2007,

but does not include a person who, on January 1, 2008, is an eligible individual in respect of another person who is a qualified dependant;

refund of an overpayment means a refund of an amount deemed under

section 13.02 to be an overpayment.

Climate action dividend

13.02

An individual is deemed to have made an overpayment on account of the individual's liability under this Act for the 2006 taxation year if

on December 31, 2007, the individual

is resident in British Columbia, or

is not resident in British Columbia but is in a prescribed class of individuals, and

the individual

is at least 18 years of age on December 31, 2007,

is less than 18 years of age on December 31, 2007 and is an eligible individual in respect of a qualified dependant, or

iii

is in a prescribed class of individuals and meets the prescribed conditions on December 31, 2007.

The amount that an individual is deemed to have overpaid under subsection (1) is

in the case of an individual who is not an eligible individual in respect of a qualified dependant, $100, or

in the case of an individual who is an eligible individual in respect of one or more qualified dependants, $100 plus $100 for each qualified dependant.

Despite subsection (1), an individual is not deemed to have made an overpayment on account of the individual's liability under this Act for the 2006 taxation year if the individual is confined to a prison or similar institution for a period of at least 90 days that includes January 1, 2008.

Climate action dividend cannot be attached or assigned

13.03

A refund of an overpayment

cannot be charged or given as security,

cannot be assigned except under a prescribed Act,

cannot be garnished or attached,

is exempt from execution or seizure, and

cannot be retained by way of deduction or set-off under the Financial Administration Act .

Climate action dividend — general

13.04

Despite sections 34 and 40 (1.1), the following sections of the federal Act, as they apply for the purposes of this Act, do not apply to a refund of an overpayment:

section 160.1 (1) (b) [interest if excess refunded] ;

section 164 (2) [application of refund or repayment to other debts] ;

section 164 (3) [interest on refunds] .

Despite

section 40 (1), and

section 164 (1) (

b) of the federal Act as it applies for the purposes of this Act,

if an overpayment on account of an individual's liability under this Act is deemed to have arisen under

section 13.02 (1) (a) (

i) and (b) (

i) of this Act, the minister must, without application and with all due dispatch, refund the amount of the overpayment after the minister is provided with the information and records required by the regulations, and

subject to subsection (3), if an overpayment on account of an individual's liability under this Act is deemed to have arisen under

section 13.02 (1) of this Act, the Provincial minister must, with all due dispatch, refund the amount of the overpayment after

an application is filed in the form, and containing the information, required by the Commissioner of Income Tax, and

the Commissioner of Income Tax is provided with the information and records required by the regulations.

Subsection (2) (

b) does not apply if the minister has refunded the amount of the overpayment to the individual under subsection (2) (a).

Despite sections 41 and 42, no objection or appeal lies in respect of the determination of the entitlement of an individual to a refund of an overpayment.

Without limiting any provision of this Act or the federal Act, for the purpose of determining the entitlement of an individual to a refund of an overpayment, the Commissioner of Income Tax has powers equivalent to the federal minister under sections 231, 231.1 and 233 (1) of the federal Act, and for that purpose those sections apply.

If an individual receives a refund of an overpayment to which the individual is not entitled, the individual must repay the amount to

the minister, if the minister refunded the amount under subsection (2) (a), and

the Provincial minister, if the Provincial minister refunded the amount under subsection (2) (b).

Climate action dividend — no further assessments, determinations or decisions

13.05

Despite any other provision of this Act or the federal Act, as it applies for the purposes of this Act, an assessment, determination or decision may not be made on or after the prescribed date with respect to the entitlement of an individual to a refund of an amount deemed under

section 13.02 to be an overpayment.

The date prescribed for the purposes of subsection (1) may not be a date before August 1, 2010.

Climate action dividend regulations

13.06

Without limiting

section 48 (1) and (2), the Lieutenant Governor in Council may make regulations as follows:

prescribing classes of individuals for the purposes of

section 13.02 (1) (a) (ii);

prescribing classes of individuals for the purposes of

section 13.02 (1) (b) (iii);

prescribing conditions for the purposes of

section 13.02 (1) (b) (iii);

prescribing Acts for the purposes of

section 13.03 (b);

respecting the information and records to be provided under

section 13.04 (2) to the minister or Commissioner of Income Tax;

prescribing a date for the purposes of

section 13.05 (1).

In making regulations under subsection (1) (c), the Lieutenant Governor in Council may make different regulations for any different classes of individuals prescribed for the purposes of

section 13.02 (1) (b) (iii).

In making regulations under subsection (1) (e), the Lieutenant Governor in Council may delegate a matter to or confer a discretion on the minister or Commissioner of Income Tax.

Application of federal provisions —

interpretation for BC early childhood tax benefit

13.07

Section 122.6 of the federal Act applies for the purposes of this

section and sections 13.071 to 13.09 of this Act, except that, in addition to any other necessary modifications, paragraph (

a) of the definition of "qualified dependant" in

section 122.6 of the federal Act is to be read as if the phrase "18 years" were "6 years".

BC early childhood tax benefit

13.071

An overpayment on account of an individual's liability under this Act for a taxation year is deemed to have arisen during a month in relation to which the year is the base taxation year, if the following requirements are met:

the month is after March 2015 and before October 2020;

the individual has filed a return of income for that year;

if the minister so demands, the individual's cohabiting spouse or common-law partner at the end of the taxation year has filed a return of income for that year;

the individual was resident in British Columbia for a period that

includes the first day of that month, and

began before the first day of that month.

The amount of the overpayment deemed by subsection (1) to have arisen during a month in respect of an individual's liability under this Act for a taxation year is determined by the following formula:

amount =

{$660 × QD − [EAI × (QD × 1.32%)]}

where

EAI =

the amount, if any, by which the individual's adjusted income for the base taxation year exceeds $100 000;

QD =

the number of qualified dependants in respect of whom the individual was an eligible individual at the beginning of the month.

Despite subsection (2), if an eligible individual is a shared-custody parent in respect of one or more qualified dependants at the beginning of a month, the overpayment deemed by subsection (1) to have arisen during the month is equal to the amount determined by the following formula:

amount =

(A +

B) where

A =

the amount determined by the formula in subsection (2), calculated without reference to this subsection;

B =

the amount determined by the formula in subsection (2), calculated without reference to this subsection and subparagraph (b) (ii) of the definition of "eligible individual" in

section 122.6 of the federal Act as it applies for the purposes of this

section under

section 13.07 of this Act.

If an amount determined by applying the formula in subsection (2) or (3) would, but for this subsection, be a negative amount, that amount is deemed to be nil.

Section 122.61 (2) of the federal Act applies for the purposes of this section, except that, in addition to any other necessary modifications,

section 122.61 (2) of the federal Act is to be read as if

a reference to subsection (1) of

section 122.61 of the federal Act were a reference to subsection (1) of this section, and

the phrase "under this Part" were "under this Act".

For the purposes of this section, if an individual was resident in Canada for only part of a taxation year or was not resident in Canada at any time in a taxation year, the individual's income for the year is deemed to be equal to the amount that would have been the individual's income for the year had the individual been resident in Canada throughout the year.

For the purposes of this section, if an individual becomes bankrupt in a taxation year,

the individual's income for the year includes the individual's income for the taxation year that begins on January 1 of the calendar year that includes the date of bankruptcy, and

the total of all amounts deducted under

section 63 of the federal Act in computing the individual's income for the year includes the amount deducted under that

section for the individual's taxation year that begins on January 1 of the calendar year that includes the date of bankruptcy.

Application of federal provisions to BC early childhood tax benefit — rules about eligible individuals and their spouses or common-law partners

13.08

Section 122.62 (1), (2) and (4) to (8) of the federal Act applies for the purposes of this

section and sections 13.07, 13.071, 13.081 and 13.09 of this Act, except that, in addition to any other necessary modifications,

section 122.62 (4) of the federal Act is to be read as if the phrase "18 years" were "6 years", and

section 122.62 (5) (b), (6) (

b) and (7) (

b) of the federal Act is to be read as if

a reference to

section 122.61 (1) of the federal Act were a reference to

section 13.071 of this Act, and

the phrase "under this Part" were "under this Act".

BC early childhood tax benefit cannot be attached or assigned

13.081

A refund of an amount deemed by

section 13.071 to be an overpayment on account of an individual's liability under this Act for a taxation year

cannot be charged or given as security,

cannot be assigned except under a prescribed Act,

cannot be garnished or attached,

is exempt from execution or seizure, and

cannot be retained by way of deduction or set-off under the Financial Administration Act .

BC early childhood tax benefit regulations

13.09

Without limiting

section 48 (1) and (2), the Lieutenant Governor in Council may make regulations for the purposes of sections 13.07 to 13.081, including prescribing Acts for the purposes of

section 13.081 (b).

Application of federal provisions —

interpretation for BC family benefit

13.091

Section 122.6 of the federal Act applies, with any necessary modifications, for the purposes of this

section and sections 13.092 to 13.095 of this Act.

BC family benefit

13.092

An overpayment on account of an individual's liability under this Act for a taxation year, which overpayment is known as the BC family benefit, is deemed to have arisen during a month in relation to which the year is the base taxation year, if the following requirements are met:

the month is after September 2020;

the individual is an eligible individual in respect of one or more qualified dependants at the beginning of the month;

the individual has filed a return of income for that year;

if the minister so demands, the individual's cohabiting spouse or common-law partner at the end of the taxation year has filed a return of income for that year;

the individual was resident in British Columbia for a period that

includes the first day of that month, and

began before the first day of that month.

Subject to subsections (2.1) and (2.2), the amount of the overpayment deemed by subsection (1) to have arisen during a month in respect of an individual's liability under this Act for a taxation year is the greater of the following 2 amounts:

the amount determined by the following formula:

× [benefit + conditional supplement − (EAI × 4%)]

where

benefit

the amount based on the number of qualified dependants in respect of whom the individual was an eligible individual at the beginning of the month, as follows:

(

i) for one qualified dependant, $1 750;

(ii)

for 2 qualified dependants, $2 850;

(iii)

for 3 or more qualified dependants, the amount determined by the following formula:

$2 850 + [$900 × (number of qualified dependants − 2)];

conditional supplement

one of the following amounts:

(

i) if, at the beginning of the month, the individual is an eligible individual in respect of at least one qualified dependant and is not the cohabiting spouse or common-law partner of another individual, $500;

(ii)

in any other case, nil;

EAI

the amount, if any, by which the individual's adjusted income