Community Small Business Investment Funds Act, 1992, S.O. 1992, c. 18

• Jurisdiction: Ontario

Community Small Business Investment Funds Act, 1992

S.O. 1992, CHAPTER 18

Consolidation Period: From July 1, 2019 to the e-Laws currency date.

Last amendment: 2019, c. 7, Sched. 17, s. 53.

CONTENTS

PART I
GENERAL

Interpretation

1 (1) In this Act,

“Canadian partnership” has the meaning assigned by section 102 of the Income Tax Act (Canada); (“société de personnes canadienne”)

“Class A share”, in respect of a corporation, means a share of a class of shares that entitle the holders thereof to,

(a) receive notice of and, subject to the legislation under which the corporation is organized, to attend and vote at all meetings of the shareholders of the corporation,

(b) receive dividends at the discretion of the board of directors of the corporation, and

(c) receive, on dissolution of the corporation, all the assets of the corporation that remain after payment of all amounts payable to the holders of all other classes of shares of the corporation; (“action de catégorie A”)

“Class B share”, in respect of a corporation, means a share of a class of shares that do not entitle the holders thereof to receive dividends but do entitle the holders thereof to,

(a) receive notice of and, subject to the legislation under which the corporation is organized, to attend and vote at all meetings of the shareholders of the corporation,

(b) receive, on dissolution of the corporation, an amount equal to the amount of the equity capital received by the corporation on the issue of the Class B shares, and

(c) in the case of a corporation registered under Part II or III, vote as a class to elect a majority of the board of directors of the corporation; (“action de catégorie B”)

“Commission”, “Director”, “material fact”, “misrepresentation” and “reporting issuer” have the meanings specified in the Securities Act; (“Commission”, “directeur”, “fait important”, “présentation inexacte des faits”, “émetteur assujetti”)

“common-law partner” has the meaning given to it in subsection 248 (1) of the Income Tax Act (Canada); (“conjoint de fait”)

“community small business investment fund corporation” means a corporation registered under Part III.1; (“fonds communautaire de placement dans les petites entreprises”)

“distribution” has the meaning specified in the Securities Act and “distribute”, “distributed” and “distributing” have corresponding meanings; (“placement”, “placer”, “placé”)

“eligible business activity” means, except for the purposes of Parts III.1 and III.2, a business activity of a corporation or partnership that would be an “active business carried on by a corporation”, as defined in subsection 125 (7) of the Income Tax Act (Canada) if the business activity were carried on by a corporation; (“activité commerciale admissible”)

“eligible investment” means,

(a) Repealed: 2011, c. 9, Sched. 7, s. 1.

(b) in respect of a labour sponsored investment fund corporation, an investment in an eligible business that is an eligible investment under Part III,

(c) in respect of a community small business investment fund corporation, an investment in an eligible business that is an eligible investment under Part III.1, and

(d) in respect of an Ontario commercialization investment fund, an investment in an eligible business that is an eligible investment under Part III.2; (“placement admissible”)

“eligible investor” means an eligible investor as defined in Part II, III, III.1 or III.2, as the context requires; (“investisseur admissible”)

“employee organization” means,

(a) a trade union,

(b) an association or federation of trade unions, or

(c) an association or federation of worker co-operatives; (“association d’employés”)

“equity capital”, in respect of a corporation, means the amount of consideration paid in money, calculated in the prescribed manner, for which shares of the corporation are issued; (“capitaux propres”)

“fiscal year”, in respect of a corporation or partnership, means the period for which the accounts of the business of the corporation or partnership have been ordinarily made up and accepted for the purposes of assessment under the Income Tax Act (Canada); (“exercice”)

“individual” has the meaning given to that term by subsection 248 (1) of the Income Tax Act (Canada); (“particulier”)

“investment corporation” means a corporation registered under Part II, III, III.1 or III.2; (“société de placement”)

“labour sponsored investment fund corporation” means a corporation registered under Part III; (“fonds de placement des travailleurs”)

“major shareholder”, in respect of a corporation, means a person who beneficially owns, directly or indirectly, 10 per cent or more of the voting rights attached to all voting shares of the corporation from time to time outstanding; (“actionnaire important”)

“Minister” means, unless the context indicates otherwise,

(a) the Minister of Finance in Parts II, III and III.1 and in the application of the provisions of this Part, Part IV and the regulations to or in respect of an investment corporation registered or previously registered under Part II, III or III.1, or

(b) the Minister of Research and Innovation in Part III.2 and in the application of the provisions of this Part, Part IV and the regulations to or in respect of an investment corporation registered or previously registered under Part III.2; (“ministre”)

“Ministry” means the Ministry of the Minister; (“ministère”)

“Ontario commercialization investment fund” means a corporation or partnership registered under Part III.2; (“fonds ontarien de financement de la commercialisation”)

“Ontario commercialization investment fund grant” means a grant for which an Ontario commercialization investment fund may apply under Part III.2; (“subvention ontarienne de financement de la commercialisation”)

“original purchaser” includes, where a Class A share is acquired by a trust governed by a registered retirement savings plan, the eligible investor whose investment corporation tax credit would take into account the amount of consideration paid to acquire or subscribe for the Class A shares held by the trust; (“premier acheteur”)

“permanent establishment” means,

(a) in respect of a corporation, a permanent establishment as defined by subsection 1 (1) of the Taxation Act, 2007, or

(b) in respect of a partnership, a permanent establishment determined under subsection 1 (1) of the Taxation Act, 2007 as if the partnership were a corporation; (“établissement stable”)

“person” means, except where the context requires otherwise, an individual, corporation, partnership, unincorporated association, unincorporated syndicate, unincorporated organization, trust, trustee, executor, administrator or other legal representative; (“personne”)

“prescribed” means prescribed by the regulations; (“prescrit”)

“qualifying corporation” means a corporation that is not,

(a) an investment corporation, or

(b) a qualifying financial institution or a specified corporation or insurance corporation related to the qualifying financial institution for the purposes of section 66.1 of the Corporations Tax Act or subdivision b of Division E of Part III of the Taxation Act, 2007; (“société admissible”)

“qualifying individual” means an individual who is ordinarily resident in Canada but does not include a trust; (“particulier admissible”)

“qualifying trust” has the same meaning as in subsection 127.4 (1) of the Income Tax Act (Canada); (“fiducie admissible”)

“registered retirement income fund” has the same meaning as in subsection 146.3 (1) of the Income Tax Act (Canada); (“fonds enregistré de revenu de retraite”)

“registered retirement savings plan” has the meaning assigned by subsection 146 (1) of the Income Tax Act (Canada); (“régime enregistré d’épargne-retraite”)

“regulations” means regulations made under this Act; (“règlements”)

“related group” has the meaning assigned by subsection 251 (4) of the Income Tax Act (Canada); (“groupe lié”)

“research oriented investment fund” means, with respect to a calendar year, a labour sponsored investment fund corporation that meets the requirements set out in subsection 16.1 (2); (“fonds de placement axé sur la recherche”)

“security” means a share of a class or series of shares of a corporation or a debt obligation; (“valeur mobilière”)

“stated capital” and “stated capital account” have the same meanings as in the Business Corporations Act or the Canada Business Corporations Act, as the case requires; (“capital déclaré”, “compte capital déclaré”)

“taxable Canadian corporation” has the meaning assigned by subsection 89 (1) of the Income Tax Act (Canada); (“société canadienne imposable”)

“trade” or “trading” includes the meaning specified in the Securities Act; (“opération”)

“trade union” means a provincial affiliate of a national or international trade union, a trade union holding province-wide bargaining rights, a certified provincial council of trade unions, a designated or certified provincial employee bargaining agency and a provincial organization of trade unions; (“syndicat”)

“voting share” means a share of a class or series of shares of a corporation carrying a voting right either under all circumstances or under circumstances that have occurred and are continuing, other than a share of a class or series that must vote separately by reason of a statutory requirement; (“action avec droit de vote”)

“worker co-operative” has the same meaning as in the Co-operative Corporations Act. (“coopérative de travail”) 1992, c. 18, s. 1 (1); 1994, c. 17, s. 76; 1997, c. 43, Sched. C, ss. 2 (1-9), 23 (2); 1998, c. 34, s. 12; 1999, c. 9, s. 50; 2000, c. 42, s. 1; 2004, c. 16, s. 1 (2); 2004, c. 31, Sched. 7, s. 1 (1-5); 2006, c. 9, Sched. C, s. 1; 2008, c. 19, Sched. V, s. 2 (1, 2); 2011, c. 9, Sched. 7, s. 1.

Interpretation, related persons

(2) Persons are related to each other if,

(a) they are related for the purposes of the Income Tax Act (Canada);

(b) one of them is a...