RSM324H1 Chapter Notes - Chapter 9: Life Insurance, Property Income, Gie
22 Feb 2017
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Chapter 9 other income, other deductions, and special rules for completing net income for tax. The employer can deduct unpaid remuneration only if it is paid within 180 days of its taxation year. If payment is delayed beyond that period, the employer can deduct the remuneration in a subsequent year when it is paid. The taxpayer is deemed to have sold the property for a price equal to the principal amount of the debt owing. Recapture of cca and/or a capital gain: fro(cid:373) the (cid:272)reditor"s perspe(cid:272)ti(cid:448)e, a fore(cid:272)losure (cid:373)ea(cid:374)s that a(cid:374) a(cid:373)ou(cid:374)t re(cid:272)ei(cid:448)a(cid:271)le has been satisfied. The creditor is deemed to have acquired the property at a cost equal to the principal amount of the debt outstanding, less any reserves that were previously claimed. Recognized gain or loss when the acquired property is eventually sold. The debtor achieves a gain from the transaction. The treatment of that gain for tax purposes is unusual.
