Bill 122 2004

An Act to amend the
Corporations Tax Act
to provide that fines and penalties
are not deductible

Her Majesty, by and with the advice and consent of the Legislative Assembly of the Province of Ontario, enacts as follows:

1.  The Corporations Tax Act is amended by adding the following section:

Fine or penalty not deductible

25.1  Despite any other provision of this Act, in computing its income for a taxation year, a corporation shall not deduct a fine or penalty imposed on it by law.

Commencement

2.  This Act comes into force on the day it receives Royal Assent.

Short title

3.  The short title of this Act is the Corporations Tax Amendment Act (Fines and Penalties not Deductible), 2004.

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EXPLANATORY NOTE

The Bill amends the Corporations Tax Act to provide that a corporation shall not deduct a fine or penalty imposed on it by law when computing its income for a taxation year.