2010 PILS / CORPORATE TAX FILING

Transcription

1 Page 1 of PILS / CORPORATE TAX FILING Sheet Index: Title Page Input Information Summary Tax Rates & Exemptions 29 Adjusted Taxable Income 29 Taxable Income Additions 29 Taxable Income Deductions 29 OCT 29 Loans and Advances 29 Tax Deductions > Book 29 Sch 8 and 1 UCC&CEC Bridge Year Additions & Disp. Bridge Year Schedule 8 CCA Bridge Year CEC Bridge Year Sch 13 Tax Reserves Bridge Year Sch 7-1 Loss Cfwd Bridge Year Sch 7-3 Interest Bridge Year Taxable Income Bridge Year Taxable Income Additions Bridge Year Taxable Income Deductions Bridge Year Financing Fees Bridge Year OCT Bridge Year Loans and Advances Bridge Year PILs,Tax Provision 21 Schedule 7-2 FMV FMV Bump Supplementry Notes

2 Page 2 of 39 PILS / CORPORATE TAX FILING Name of Utility: Licence Number: File Number: Toronto Hydro-Electric System Limited ED RP-XXXX-XXXX

3 Page 3 of 39 Name of Utility: Toronto Hydro-Electric System Limited Licence Number: ED File Numbers: RP-XXXX-XXXX, Ratebase 2,128,257, DATA for PILS MODEL D 15 Net Income Before Taxes 83,853, DATA for PILS MODEL E 19 Calculation of Deemed Interest Debt Ratio 6.% 3-1 DATA for PILS MODEL D 16 Debt Rate % (as calculated) 5.16% DATA for PILS MODEL D 17 Deemed Interest to be recovered 65,882,342 Questions that must be answered Yes or No 1. Did the applicant elect to apply the FMV Bump-up of assets of October 1, 21 in their annual tax filings? Yes If No, please explain your reasons in the manager's summary.

4 Page 4 of 39 Name of Utility: Toronto Hydro-Electric System Limited Licence Number: ED File Numbers: RP-XXXX-XXXX, Has the applicant included in their reported UCC/ECE the FMV Bump-up of assets in this application? If No, please explain your reasons in the manager's summary. Yes 2. Does the applicant have any Investment Tax Credits (ITC)? Yes 3. Does the applicant have any Scientific Research and Experimental Development Expenditures? Yes 4. Does the applicant have any Capital Gains or Losses for tax purposes? Yes 5. Does the applicant have any Capital Leases? Yes 6. Does the applicant have any Loss Carry-Forwards (non-capital or net capital)? No 7. Has the applicant deducted regulatory assets for tax purposes in 28 and/or prior years? Yes If Yes, please explain your reasons in the manager's summary. 8. Since 1999, has the applicant acquired another regulated applicant's assets? No 9. Did the applicant pay dividends in 29 and/or prior years? Yes If Yes, please describe what was the tax treatment in the manager's summary. 1 Did the applicant elect to capitalize interest incurred on CWIP for tax purposes for 29 and/or prior years? No

5 Page 5 of 39 Name of Utility: Toronto Hydro-Electric System Limited Licence Number: ED File Numbers: RP-XXXX-XXXX, Applicant Toronto Hydro-Electric System Limited Regulated Affiliates (if applicable) Total OCT Rate Base Exemption 15,, 2,128,257,591 15,, 2,128,257,591 15,, Corporate Tax Rates for Bridge Year Income Range 5, to to >1,5, 5, 1,5, Federal 18.% Ontario 13.% Income Tax Rates used to gross up the true up variance Ontario SBD Clawback 31.% Capital Tax Rate.75% Surtax.%

6 Page 6 of 39 Name of Utility: Toronto Hydro-Electric System Limited Licence Number: ED File Numbers: RP-XXXX-XXXX, T2S1 line # Total for Legal Entity Non-Distribution Eliminations 28 Wires Only Income before PILs/Taxes A 72,243,431 72,243,431 Additions: Interest and penalties on taxes 13 Amortization of tangible assets ,467,57 155,467,57 Amortization of intangible assets 16 Recapture of capital cost allowance from 17 Schedule 8 Gain on sale of eligible capital property from 18 Income or loss for tax purposes- joint ventures 19 or partnerships Loss in equity of subsidiaries and affiliates 11 Loss on disposal of assets 111 Charitable donations ,1 55,1 Taxable Capital Gains ,63 99,63 Political Donations 114 Deferred and prepaid expenses 116 Scientific research expenditures deducted on 3,634, ,634,272 financial statements Capitalized interest 119 Non-deductible club dues and fees ,9 295,9 Non-deductible meals and entertainment 367, ,27 expense Non-deductible automobile expenses ,898 68,898 Non-deductible life insurance premiums 123 Non-deductible company pension plans 124 Tax reserves deducted in prior year 125 Reserves from financial statements- balance at 155,15, ,15,166 end of year Soft costs on construction and renovation of 127 buildings

7 Page 7 of 39 Name of Utility: Toronto Hydro-Electric System Limited Licence Number: ED File Numbers: RP-XXXX-XXXX, T2S1 line # Total for Legal Entity Non-Distribution Eliminations 28 Wires Only Book loss on joint ventures or partnerships 25 Capital items expensed 26 11,926 11,926 Debt issue expense 28 Development expenses claimed in current year 212 Financing fees deducted in books 216 Gain on settlement of debt 22 Non-deductible advertising 226 Non-deductible interest 227 Non-deductible legal and accounting fees 228 Recapture of SR&ED expenditures 231 Share issue expense 235 Write down of capital property 236 Amounts received in respect of qualifying environment trust per paragraphs 12(1)(z.1) 1) 237 and 12(1)(z.2) Other Additions Interest Expensed on Capital Leases 29 Realized Income from Deferred Credit 291 Accounts Pensions 292 Non-deductible penalties 293 Debt Financing Expenses for Book Purposes , ,546 See Attached ,18,18 37,18,18 Total Additions 353,541, ,541,162

8 Page 8 of 39 Name of Utility: Toronto Hydro-Electric System Limited Licence Number: ED File Numbers: RP-XXXX-XXXX, T2S1 line # Total for Legal Entity Non-Distribution Eliminations 28 Wires Only Deductions: Gain on disposal of assets per financial 2,271, ,271,84 statements Dividends not taxable under section Capital cost allowance from Schedule ,633, ,633,381 Terminal loss from Schedule 8 44 Cumulative eligible capital deduction from 933, ,452 Allowable business investment loss 46 Deferred and prepaid expenses 49 Scientific research expenses claimed in year 411 3,853,298 3,853,298 Tax reserves claimed in current year 413 Reserves from financial statements - balance at 147,413, ,413,621 beginning of year Contributions to deferred income plans 416 Book income of joint venture or partnership 35 Equity in income from subsidiary or affiliates 36 Other deductions: (Please explain in detail the nature of the item) Interest capitalized for accounting deducted for 39 tax Capital Lease Payments 391 Financing Fees for Tax Under S.2(1)(e) ,93 767,93 See Attached ,149,473 42,149,473 Total Deductions 36,22,212 36,22,212 Net Income for Tax Purposes 65,762,381 65,762,381

9 Page 9 of 39 Name of Utility: Toronto Hydro-Electric System Limited Licence Number: ED File Numbers: RP-XXXX-XXXX, T2S1 line # Total for Legal Entity Non-Distribution Eliminations 28 Wires Only Charitable donations from Schedule Taxable dividends deductible under section or 113, from Schedule 3 (item 82) Non-capital losses of preceding taxation years 331 from Schedule 4 Net-capital losses of preceding taxation years 332 from Schedule 4 Limited partnership losses of preceding taxation 335 years from Schedule 4 TAXABLE INCOME 65,762,381 65,762,381

10 Page 1 of 39 Attachment to 29 Adjusted Taxable Income Toronto Hydro Electric System Limited Licence Number: ED File Number: RP-XXXX-XXXX, Other Additions Amount Accounting gain recorded as Reg Asset 1,258,133 Reclass 27 actg gain to Reg liability re:bathurst taxed in ,325 Smart meter revenue generated in 29 but recorded as regulatory asset in 29 5,74,661 CDM OPEX of $368K recorded for actg in 29 and deducted for tax in ,72 27 LRAM SSM of $1.5 recorded in 27 actg income, taxable in 29 1,5, 27 LRAM SSM recorded in 28 actg income, taxable in 29 1,989,822 Carrying charges for 27 LRAM recorded in 28 actg income, taxable in ,414 Reversal of PILS Regulatory Variance deducted for actg 3,485,97 Reversal of deduction of true up PILS Reg Variance 1,77,795 ARO Accretion expense 279,68 Deferred revenue - 12(1)(a) add back 617,794 Lease inducement under 12(1)(x) 1, Fixed asset capital contributions under 12(1)(x) 18,549,739 Ontario 29 Co-op Credit 232,458 Ontario 29 Apprenticeship Credit 53,1 37,18,18

11 Attachment to 29 Adjusted Taxable Income Toronto Hydro Electric System Limited Licence Number: ED File Number: RP-XXXX-XXXX, Toronto Hydro-Electric System Limited Page 11 of 39 Other Deductions Amount ARO payments - deductible for tax 87,225 S.13(7.4) election - capital contributions 18,549,739 S. 13(7.4) election - deduction from class 13 1, AFUDC included in accounting income 2,751, Ontario CO-OP and Apprentice ITC taxed in 28; recorded for accounting in , SRED ITC taxed in 28, recorded for accounting in 29 1,157,425 Principal lease payments 27,257 Deferred revenue - 2(1)(m) deduction 617,794 Lease inducement amortization revenue 159,98 Lease inducement amortization revenue 621,471 Smart meter OPEX recorded as Reg Asset 3,17,93 IFRS OPEX, recorded as Reg Asset for acctg; deductible for tax in 29 2,926,932 IFRS OPEX carrying costs, recorded as Reg Assets for acctg; deduct in 29 16,215 Accrued 29 LRAM recorded in 29 actg income, but not taxable in ,52 29 LRAM carrying charges recorded in 9 actg income, not taxable in 29 2,961 Level III Stray voltage OPEX incurred in 29, recorded as Reg asset 9,5, Reversal of accounting reserve on GST receivable, taxed in 25 1,82,792 Software training costs recorded as Reg asset for actg, deductible for tax 293,753 42,149,473

12 Page 12 of 39 Name of Utility: Toronto Hydro-Electric System Limited Licence Number: ED File Numbers: RP-XXXX-XXXX, Detailed Calculation of the Ontario Capital Tax ONTARIO CAPITAL TAX PAID-UP CAPITAL From 29 Tax Return Non-Distribution Elimination Wires Only Paid-up capital stock 527,816, ,816,668 Retained earnings (if deficit, use negative sign) 288,68, ,68,672 Capital and other surplus excluding 12,757,392 12,757,392 appraisal surplus Loans and advances 1,493,6,826 1,493,6,826 Bank loans Bankers acceptances Bonds and debentures payable Mortgages payable Lien notes payable Deferred credits Contingent, investment, inventory and similar reserves 155,15, ,15,166 Other reserves not allowed as deductions Share of partnership(s), joint venture(s) paid-up capital Sub-total 2,477,393,724 2,477,393,724 Subtract: Amounts deducted for income tax purposes in excess of amounts booked (Not applicable) Deductible R&D expenditures and ONTTI costs deferred for income tax Total (Net) Paid-up Capital 2,477,393,724 2,477,393,724 ELIGIBLE INVESTMENTS Bonds, lien notes, interest coupons Mortgages due from other corporations Shares in other corporations Loans and advances to unrelated corporations Eligible loans and advances to related corporations Share of partnership(s) or joint venture(s) eligible investments Total Eligible Investments

13 Page 13 of 39 Name of Utility: Toronto Hydro-Electric System Limited Licence Number: ED File Numbers: RP-XXXX-XXXX, TOTAL ASSETS From 29 Trial Balance Non-Distribution Elimination Wires Only Total assets per balance sheet Mortgages or other liabilities deducted from assets Share of partnership(s)/ joint venture(s) total assets Deduct Investment in partnership(s)/joint venture(s) Total assets as adjusted Add: (if deducted from assets) Contingent, investment, inventory and similar reserves Other reserves not allowed as deductions 155,15, ,15,166 Deduct Amounts deducted for income tax purposes in excess of amounts booked (not applicable) Deductible R&D expenditures and ONTTI costs deferred for income tax Deduct Appraisal surplus if booked Other adjustments (if deducting, use negative sign) Total Assets 155,15, ,15,166 Investment Allowance Taxable Capital Net paid-up capital 2,477,393,724 2,477,393,724 Investment Allowance Taxable Capital 2,477,393,724 2,477,393,724 Capital Tax Calculation Deduction from taxable capital up to $15,, 15,, 15,, Net Taxable Capital 2,462,393,724 Rate.225% Ontario Capital Tax (Deductible, not grossed-up) 5,54,386

14 Page 14 of 39 Attachment to 29 OCT Toronto Hydro Electric System Limited Licence Number: ED File Number: RP-XXXX-XXXX, Loans and Advances Holdbacks 1,983,1 AP Holdbacks 226,7 A/P BPP Rebate 1,366,133 Credit Balances - Banner 2,141,99 Retailer CR Balances 6,357,945 CR Balances - Service AR 13,326,673 Current Portion - Leases 217,669 Current portion - inducements 781,379 Current portion - deposits 15,773,183 Current portion - security deposits 1,228,786 Long-term liability - leases 446,943 Long-term note - THC 666,275,25 Long-term promissory note - THC 49,115,478 Long-term security deposits 7,984,745 Long-term deposits - Banner 25,713,653 Long-term deposits - interest 997,841 Regulatory Liability - RARA 3,598,327 Regulatory Liability 51,88,389 Regulatory Liability 2,13,243 Regulatory Liability 44,551 NBV of capital contribution 199,347,7 Lease inducement 1,72,126 Unearned revenue 617,794 rounding 2 1,493,6,826

15 Page 15 of 39 Name of Utility: Licence Number: File Numbers: Toronto Hydro-Electric System Limited ED RP-XXXX-XXXX, Methodology: This schedule starts with 28 Schedules 8 and 1, as filed in the actual 28 corporate tax returns; then the non-distribution assets are eliminated. The closing balances in this schedule are the starting point for the 29 Schedules. Class Class Description UCC End of Year Dec 31/9 per tax returns Less: Non- Distribution Portion Less: Disallowed FMV Increment UCC 21 Opening Balance 1 2 Distribution System - post 1987 and pre-feb. 22, 25 1,18,838,736 1,18,838,736 Distribution System - pre ,69, ,69,434 8 General Office/Stores Equip 33,686,839 33,686,839 Computer Hardware/ 1 Vehicles 21,716,944 21,716, Certain Automobiles 6,612 6, Computer Software 6,332,997 6,332, Lease # 1 356, , Lease #2 5,36,88 5,36, Lease # 3 1,229,455 1,229, Lease # 4 19,318 19, Lease # 5 14 Franchise 17 New Electrical Generating Equipment Acq'd after Feb 27/ Other Than Bldgs 11,622,536 11,622, Fibre Optic Cable 62,381 62, Certain Energy-Efficient Electrical Generating Equipment Computers & Systems Software acq'd post Mar 45 22/4 892, ,374 Data Network Infrastructure Equipment (acq'd post Mar 46 22/4) 47 Distribution Equipment (acq'd post Feb 22/5) 669,96, ,96,457 5 Computer software acquired after March 18, 27 2,287, 2,287, 98 WIP 148,394, ,394,419 SUB-TOTAL - UCC 2,478,439,734 2,478,439,734 CEC Goodwill CEC Land Rights CEC FMV Bump-up CEC Total 12,41,582 12,41,582 SUB-TOTAL - CEC 12,41,582 12,41,582

16 Page 16 of 39 Name of Utility: Licence Number: File Numbers: Toronto Hydro-Electric System Limited ED RP-XXXX-XXXX, Total Capital Assets for PILs Model CCA Class 21 Projected Capital Transactions 21 Projected Capital Transactions Additions Disposals Additions Disposals 162 Buildings and Fixtures Boiler Plant Equipment Reservoirs, Dams and Waterways Roads, Railroads and Bridges Buildings and Fixtures Roads and Trails Buildings and Fixtures Buildings and Fixtures 1 25,255, ,5 25,255, ,5 21 Electric Plant Purchased or Sold 1 22 Experimental Electric Plant Unclassified 1 23 Electric Plant and Equipment Leased to 1 Others 24 Electric Plant Held for Future Use 1 25 Completed Construction Not Classified-- 1 Electric 27 Other Utility Plant 1 SUBTOTAL - CLASS 1 25,255, ,5 25,255, ,5 162 Buildings and Fixtures Boiler Plant Equipment Reservoirs, Dams and Waterways Roads, Railroads and Bridges Buildings and Fixtures Station Equipment Towers and Fixtures Poles and Fixtures Overhead Conductors and Devices Underground Conduit Underground Conductors and Devices Roads and Trails Buildings and Fixtures Transformer Station Equipment - Normally Primary above 5 kv Distribution Station Equipment - Normally Primary below 5 kv Storage Battery Equipment Poles, Towers and Fixtures Overhead Conductors and Devices Underground Conduit Underground Conductors and Devices Line Transformers Services Meters 2

17 Page 17 of 39 Name of Utility: Licence Number: File Numbers: Toronto Hydro-Electric System Limited ED RP-XXXX-XXXX, Total Capital Assets for PILs Model CCA Class 21 Projected Capital Transactions 21 Projected Capital Transactions Additions Disposals Additions Disposals 1865 Other Installations on Customer's Premises Leased Property on Customer Premises Buildings and Fixtures Contributions and Grants - Credit 2 21 Electric Plant Purchased or Sold 2 22 Experimental Electric Plant Unclassified 2 23 Electric Plant and Equipment Leased to Others 2 24 Electric Plant Held for Future Use 2 25 Completed Construction Not Classified-- Electric 2 27 Other Utility Plant 2 xxx1 Fixed Assets for Conservation and Demand Management 2 xxx2 Smart Meters 2 SUBTOTAL - CLASS Street Lighting and Signal Systems Office Furniture and Equipment 8 2,19,731 2,19, Stores Equipment Tools, Shop and Garage Equipment 8 1,859,286 1,859, Measurement and Testing Equipment 8 41,239 41, Power Operated Equipment Communication Equipment Miscellaneous Equipment 8 74,249 74, Water Heater Rental Units Load Management Controls - Customer 8 Premises 1975 Load Management Controls - Utility 8 Premises 198 System Supervisory Equipment 8 1,8,3 1,8, Sentinel Lighting Rental Units Other Tangible Property 8 SUBTOTAL - CLASS 8 5,92,57 5,92,57 Fibre Optic Cable 42 SUBTOTAL - CLASS Computer Equipment - Hardware 45 SUBTOTAL - CLASS Computer Equipment - Hardware 5 SUBTOTAL - CLASS Computer Equipment - Hardware 52 5,15,664 5,15,664 SUBTOTAL - CLASS 52 5,15,664 5,15,664

18 Page 18 of 39 Name of Utility: Licence Number: File Numbers: Toronto Hydro-Electric System Limited ED RP-XXXX-XXXX, Total Capital Assets for PILs Model CCA Class 21 Projected Capital Transactions 21 Projected Capital Transactions Additions Disposals Additions Disposals 193 Transportation Equipment 1 11,455,567 11,455,567 SUBTOTAL - CLASS 1 11,455,567 11,455, Computer Software - CL ,86,853 34,86,853 SUBTOTAL - CLASS 12 34,86,853 34,86, Leasehold Improvements Leasehold Improvements Leasehold Improvements Leasehold Improvements Leasehold Improvements , ,684 SUBTOTAL - CLASS , ,684 New Electrical Generating Equipment Acq'd after Feb 27/ Other Than Bldgs SUBTOTAL - CLASS ,253,82 333,5 2,253,82 333,5 2,253,82 333,5 164 Engines and Engine-Driven Generators Turbogenerator Units Water Wheels, Turbines and Generators Fuel Holders, Producers and Accessories Prime Movers Generators Accessory Electric Equipment Miscellaneous Power Plant Equipment 43.1 SUBTOTAL - Generating Equipment Station Equipment 47 Towers and Fixtures 47 Poles and Fixtures 47 Overhead Conductors and Devices 47 63,532,71 63,532,71 Underground Conduit 47 19,935,144 19,935,144 Underground Conductors and Devices 47 44,553,486 44,553,486 Transformer Station Equipment - Normally 47 Primary above 5 kv 56,881,537 56,881,537 Distribution Station Equipment - Normally 47 Primary below 5 kv 2,351,847 2,351,847 Storage Battery Equipment 47 Poles, Towers and Fixtures 47 Overhead Conductors and Devices 47 Underground Conduit 47 Underground Conductors and Devices 47 Line Transformers 47 Services 47 15,474,959 15,474,959 Meters 47 4,821,985 4,821,985 Other Installations on Customer's Premises 47

19 Page 19 of 39 Name of Utility: Licence Number: File Numbers: Toronto Hydro-Electric System Limited ED RP-XXXX-XXXX, Total Capital Assets for PILs Model CCA Class 21 Projected Capital Transactions 21 Projected Capital Transactions Additions Disposals Additions Disposals Leased Property on Customer Premises 47 Fixed Assets for Conservation and Demand Management 47 Smart Meters 47 23,564,61 23,564, Contributions and Grants - Credit 47 SUBTOTAL - CLASS ,115, ,115, Property Under Capital Leases CL 275 Non-Utility Property Owned or Under Capital CL Leases SUBTOTAL - Capital Leases 166 Organization ECP 161 Miscellaneous Intangible Plant ECP 1616 Land Rights ECP 176 Land Rights ECP 186 Land Rights ECP 196 Land Rights ECP 26 Electric Plant Acquisition Adjustment ECP 265 Other Electric Plant Adjustment ECP 1,556,23 1,556, Franchises and Consents 14 SUBTOTAL - Eligible Capital Property 1,556,23 1,556, Land LAND 175 Land LAND 185 Land LAND 195 Land LAND SUBTOTAL - Land 255 Construction Work in Progress--Electric WIP Total Tier 1 and Tier 2 Adjustments 316,498,493 1,166, 316,498,493 1,166,

20 Page 2 of 39 Name of Utility: Toronto Hydro-Electric System Limited Licence Number: ED File Numbers: RP-XXXX-XXXX, For Leasehold Improvements, insert the number of lease years (cells I18 - I2) Class 1 Class Description UCC 21 Opening Balance 21 Projected Additions 21 Projected Dispositions UCC Before 1/2 Yr Adjustment 1/2 Year Rule {1/2 Additions Less Disposals} Reduced UCC Rate % 21 CCA UCC End of 21 Distribution System not in Cl post ,18,838,736 25,255, ,5 1,25,261,73 12,211,484 1,193,5,22 4% 47,722,9 1,157,539,694 2 Distribution System - pre ,69, ,69, ,69,434 6% 23,81, ,889,8 8 General Office/Stores Equip 33,686,839 5,92,57 38,779,346 2,546,254 36,233,93 2% 7,246,619 31,532,728 1 Computer Hardware/ Vehicles 21,716,944 11,455,567 33,172,511 5,727,784 27,444,728 3% 8,233,418 24,939, Certain Automobiles 6,612 6,612 6,612 3% 1,984 4, Computer Software 6,332,997 34,86,853 4,419,85 17,43,427 23,376,424 1% 23,376,424 17,43, Leasehold Improvement # 1 356, , ,144 SL 237, , Leasehold Improvement # 2 5,36,88 5,36,88 5,36,88 SL 2,14,435 3,21, Leasehold Improvement # 3 1,229,455 1,229,455 1,229,455 SL 351, , Leasehold Improvement # 4 19,318 19,318 19,318 SL 42, , Leasehold Improvement # 5 576, , , ,342 SL 57, ,16 14 Franchise 17 New Electrical Generating Equipment Acq'd after Feb 27/ Other Than Bldgs 11,622,536 2,253,82 333,5 13,542,856 96,16 12,582,696 8% 1,6,616 12,536,24 42 Fibre Optic Cable 62,381 62,381 62,381 12% 7,486 54,895 Certain Energy-Efficient Electrical 43.1 Generating Equipment 3%

21 Page 21 of 39 Name of Utility: Toronto Hydro-Electric System Limited Licence Number: ED File Numbers: RP-XXXX-XXXX, For Leasehold Improvements, insert the number of lease years (cells I18 - I2) Computers & Systems Software acq'd post Mar 22/4 892, , ,374 45% 41,568 49,86 Data Network Infrastructure Equipment (acq'd post Mar 22/4) 3% Distribution Equipment (acq'd post Feb 22/5) 669,96, ,115,728 9,212, ,557, ,654,321 8% 62,772, ,439, Computer hardware acquired after March 18, 27 2,287, 2,287, 2,287, 55% 1,257,85 1,29,15 Computer hardware acquired after January 29 and before February 211 5,15,664 5,15,664 5,15,664 1% 5,15, WIP 148,394, ,394, ,394, ,394,419 TOTAL 2,478,439, ,942,29 1,166, 2,792,216,24 154,335,313 2,637,88, ,636,56 2,68,579,518

22 Page 22 of 39 Name of Utility: Toronto Hydro-Electric System Limited Licence Number: ED File Numbers: RP-XXXX-XXXX, Additions Cumulative Eligible Capital Cost of Eligible Capital Property Acquired During the Year 1,556,23 12,41,582 Other Adjustments Subtotal 1,556,23 x 3/4 = 1,167,152 Non-taxable portion of a non-arm's length transferor's gain realized on the transfer of an ECP to the Corporation after Friday, December 2, 22 x 1/2 = 1,167,152 1,167,152 Amount transferred on amalgamation or wind-up of subsidiary Subtotal 13,568,734 Deductions Projected proceeds of sale (less outlays and expenses not otherwise deductible) from the disposition of all ECP during the year Other Adjustments t Subtotal x 3/4 = Cumulative Eligible Capital Balance 13,568,734 Taxation Year 21 Deduction 13,568,734 x 7% = 949,811 Cumulative Eligible Capital - 21 Closing Balance 12,618,923

23 Page 23 of 39 Name of Utility: Licence Number: File Numbers: Toronto Hydro-Electric System Limited ED RP-XXXX-XXXX, CONTINUITY OF RESERVES Test Year Adjustments Description Projected Balance at December 31, 29 Non-Distribution Eliminations Sign Convention: Increase (+) Decrease (-) 29 Utility Only Eliminate Amounts Not Relevant 29 Adjusted Utility for Test Year Balance (C/F Tab Sign Convention: "29 Adjusted Increase (+) Decrease (-) Taxable Income) Add (+) Deduct (-) Balance for Bridge Year (C/F to Tab "Bridge Year Taxable Income") Change During the Year Disallowed Expenses Capital Gains Reserves ss.4(1) Tax Reserves Not Deducted for accounting purposes Reserve for doubtful accounts ss. 2(1)(l) Reserve for goods and services not delivered ss. 2(1)(m) Reserve for unpaid amounts ss. 2(1)(n) Debt & Share Issue Expenses ss. 2(1)(e) Other tax reserves Total Financial Statement Reserves (not deductible for Tax Purposes) General Reserve for Inventory Obsolescence (non-specific) 445, , ,618 34,882 48,5 34,882 General reserve for bad debts Accrued Employee Future Benefits: 154,448, 154,448, 154,448, 9,393, 163,841, 9,393, - Medical and Life Insurance -Short & Long-term Disability -Accmulated Sick Leave - Termination Cost 256, , ,548 1,243,452 1,5, 1,243,452 - Other Post- Employment Benefits Provision for Environmental Costs Restructuring Costs Accrued Contingent Litigation Costs Accrued Self-Insurance Costs Other Contingent Liabilities Bonuses Accrued and Not Paid Within 18 Days of Year-End ss. 78(4) Unpaid Amounts to Related Person and Not Paid Within 3 Taxation Years ss. 78(1) Other Total 155,15, ,15, ,15,166 1,636,452 34, ,821,5 1,671,334

24 Page 24 of 39 Name of Utility: Toronto Hydro-Electric System Limited Licence Number: ED File Numbers: RP-XXXX-XXXX, Calculated Deemed 21 Interest Expense in 211 EDR model 21 Actual Interest Expense 21 Capitalized Interest (USoA 64) 21 Capitalized Interest (USoA 642) 21 Actual Interest 65,882,342 68,54, UNADJUSTED ACCOUNTING DATA L ,54, UNADJUSTED ACCOUNTING DATA L UNADJUSTED ACCOUNTING DATA L 432 Interest Forecast for Tier 1 or 2 Adjustments Total Interest 68,54,781 Excess Interest Expense for 21 PILs 2,172,439 Note: The applicant must indicate whether it made an election to capitalize interest incurred on CWIP for tax purposes for 28 and prior years.

25 Page 25 of 39 Name of Utility: Toronto Hydro-Electric System Limited Licence Number: ED File Numbers: RP-XXXX-XXXX, T2 S1 line # Bridge Year Taxable Income 29 Adjusted Taxable Income Variance Explanation for Variance Net Income Before Taxes 83,853,349 72,243,431 11,69,918 Additions: Interest and penalties on taxes 13 Amortization of tangible assets 2-4 ADJUSTED ACCOUNTING DATA P489 Amortization of intangible assets 2-4 ADJUSTED ACCOUNTING DATA P ,525, ,467,57 9,58, Recapture of capital cost allowance from Schedule 8 17 Gain on sale of eligible capital property from Schedule 1 18 Income or loss for tax purposes- joint ventures or partnerships 19 Loss in equity of subsidiaries and affiliates 11 Loss on disposal of assets 111 Charitable donations ,1-55,1 Taxable Capital Gains 113 1,418,887 99,63 59,284 Political Donations 114 Deferred and prepaid expenses 116 Scientific research expenditures deducted on financial statements 118 3,634,272-3,634,272 Capitalized interest 119 Non-deductible club dues and fees ,9-295,9 Non-deductible meals and entertainment expense ,27-367,27 Non-deductible automobile expenses ,898-68,898 Non-deductible life insurance premiums 123 Non-deductible company pension plans 124 Tax reserves beginning of year 125 Reserves from financial statements- balance at end of year ,821,5 155,15,166 1,671,334 Soft costs on construction and renovation of buildings 127 Capital additions projected for 21 Based on 21 projected balances Book loss on joint ventures or partnerships 25 Capital items expensed 26 11,926-11,926 Debt issue expense 28 Development expenses claimed in current year 212 Financing fees deducted in books , ,537 Gain on settlement of debt 22 Non-deductible advertising 226 Non-deductible interest 227 Non-deductible legal and accounting fees 228 Recapture of SR&ED expenditures 231 Share issue expense 235

26 Page 26 of 39 Name of Utility: Toronto Hydro-Electric System Limited Licence Number: ED File Numbers: RP-XXXX-XXXX, T2 S1 line # Bridge Year Taxable Income 29 Adjusted Taxable Income Variance Explanation for Variance Write down of capital property 236 Amounts received in respect of qualifying environment trust per paragraphs 12(1)(z.1) and 12(1)(z.2) 237 Other Additions: (please explain in detail the nature of the item) Interest Expensed on Capital Leases 29 Realized Income from Deferred Credit Accounts 291 Pensions 292 Non-deductible penalties , ,546 See Attached ,27,767 37,18,18-5,837, Total Additions 363,749,42 353,541,162 1,28,258 See "Bridge Year Taxable Income Additions" tab. Deductions: Gain on disposal of assets per financial statements 41 5,5, 2,271,84 3,228,916 Dividends not taxable under section Capital cost allowance from Schedule ,636,56 162,633,381 21,3,125 Capital asset additions projected for 21 Terminal loss from Schedule 8 44 Cumulative eligible capital deduction from Schedule 1 CEC , ,452 16,359 Allowable business investment loss 46 Deferred and prepaid expenses 49 Scientific research expenses claimed in year 411 3,853,298-3,853,298 Tax reserves end of year 413 Reserves from financial statements - balance at beginning of year ,15, ,413,621 7,736,545 Contributions to deferred income plans 416 Book income of joint venture or partnership 35 Equity in income from subsidiary or affiliates 36 Other deductions: (Please explain in detail the nature of the item) Interest capitalized for accounting deducted for tax 39 Capital Lease Payments 391 Financing Fees for Tax Under S.2(1)(e) / S.2(1)(e.1) ,63 767,93 111,7 See Attached ,824,656 42,149,473-5,324,817 See "Bridge Year Taxable Income Deductions" tab. Excess Interest (from Tab "Schedule 7-3") 395 2,172,439 2,172,439 Applicable to Bridge Year only

27 Page 27 of 39 Name of Utility: Toronto Hydro-Electric System Limited Licence Number: ED File Numbers: RP-XXXX-XXXX, T2 S1 line # Bridge Year Taxable Income 29 Adjusted Taxable Income Variance Explanation for Variance Total Deductions 385,113,181 36,22,212 25,9,969 NET INCOME FOR TAX PURPOSES 62,489,588 65,762,381-3,272,793 Charitable donations 311 Taxable dividends received under section 112 or Non-capital losses of preceding taxation years from Schedule Net-capital loss carried back from Limited partnership losses of preceding taxation years from Schedule TAXABLE INCOME (C/F to tab "Tax Provision) 62,489,588 65,762,381-3,272,793

28 Page 28 of 39 Attachment to Bridge Year Adjusted Taxable Income Toronto Hydro Electric System Limited Licence Number: File Number: ED RP-XXXX-XXXX, Other Additions 21 Amount 29 Amount Variance Accounting gain recorded as Reg Asset - 1,258,133 (1,258,133) Reclass 27 actg gain to Reg liability re:bathurst taxed in ,325 (473,325) Smart meter revenue generated in 29 but recorded as regulatory asset in 29-5,74,661 (5,74,661) CDM OPEX of $368K recorded for actg in 29 and deducted for tax in ,72 (368,72) 27 LRAM SSM of $1.5 recorded in 27 actg income, taxable in 29-1,5, (1,5,) 27 LRAM SSM recorded in 28 actg income, taxable in 29-1,989,822 (1,989,822) Carrying charges for 27 LRAM recorded in 28 actg income, taxable in ,414 (212,414) Reversal of PILS Regulatory Variance deducted for actg - 3,485,97 (3,485,97) Reversal of deduction of true up PILS Reg Variance - 1,77,795 (1,77,795) ARO Accretion expense 195,92 279,68 (83,688) Deferred revenue - 12(1)(a) add back 855, 617, ,26 Lease inducement under 12(1)(x) 1, 1, - Fixed asset capital contributions under 12(1)(x) 28,74,336 18,549,739 1,19,597 Ontario 29 Co-op Credit 232,458 (232,458) Ontario 29 Apprenticeship Credit 53,1 (53,1) 29 ITC claimed 1,379,511 1,379,511 31,27,767 37,18,18 (5,837,251)

29 Page 29 of 39 Attachment to Bridge Year Adjusted Taxable Income Toronto Hydro Electric System Limited Licence Number: ED File Number: RP-XXXX-XXXX, Other Deductions 21 Amount 29 Amount Variance ARO payments - deductible for tax 4,325,328 87,225 4,238,13 S.13(7.4) election - capital contributions 28,74,336 18,549,739 1,19,597 S. 13(7.4) election - deduction from class 13 1, 1, - AFUDC included in accounting income - 2,751,871 (2,751,871) 28 Ontario CO-OP and Apprentice ITC taxed in 28; recorded for actg in ,985 (355,985) 27 SRED ITC taxed in 28, recorded for accounting in 29-1,157,425 (1,157,425) Principal lease payments 221,613 27,257 14,356 Deferred revenue - 2(1)(m) deduction 855, 617, ,26 Lease inducement amortization revenue 159,98 159,98 - Lease inducement amortization revenue 621, ,471 - Smart meter OPEX recorded as Reg Asset - 3,17,93 (3,17,93) IFRS OPEX, recorded as Reg Asset for acctg; deductible for tax in 29-2,926,932 (2,926,932) IFRS OPEX carrying costs, recorded as Reg Assets for acctg; deduct in 29-16,215 (16,215) Accrued 29 LRAM recorded in 29 actg income, but not taxable in ,52 (341,52) 29 LRAM carrying charges recorded in 9 actg income, not taxable in 29-2,961 (2,961) Level III Stray voltage OPEX incurred in 29, recorded as Reg asset - 9,5, (9,5,) Reversal of accounting reserve on GST receivable, taxed in 25-1,82,792 (1,82,792) Software training costs recorded as Reg asset for actg, deductible for tax - 293,753 (293,753) Donation expense not included in the acctg income re: Transfer of 265 Bayview 5, - 5, Opening balance of 3 reserve transferred in re: POEB 1,31, 1,31, 36,824,656 42,149,473 (5,324,817)

30 Attachment to Bridge Year Taxable Income Toronto Hydro Electric System Limited Licence Number: ED File Number: RP-XXXX-XXXX, Toronto Hydro-Electric System Limited Page 3 of 39 Financing Fees Continuity TAX TREATMENT Year of ITA Original Cost Expenditure Reference Ending NBV 23 Debt Issue Costs 2,988, S. 2(1)(e) 597, , , , , LOC fee 47, 25 S. 2(1)(e) 94, 94, 94, 94, 94, - 28 Agency Fees 28,2 28 S. 2(1)(e.1) 28,2-27 Debt Issue Costs 1,341,69 27 S. 2(1)(e) 268, , , , , Agency Fees 28,5 29 S. 2(1)(e.1) 28,5-29 DBRS Rating Maintenance Fee 75, 29 S. 2(1)(e.1) 75, - 21 Agency Fees 3, 21 S. 2(1)(e.1) 3, - 21 LOC set up fee 5, 21 S. 2(1)(e.1) 5, - 29 Debt Issuance 1,51, S. 2(1)(e) 32,65 32,65 32,65 32,65 32,66-21 Debt Issuance 1,146, 21 S. 2(1)(e) 229,2 229,2 229,2 229,2 229, Total S. 2(1)(e) 597, , , ,767 96,15 362, ,43 799,63 799,63 531, , , Total S. 2(1)(e.1) ,2 13,5 8, Total TOTAL 597, , , ,767 96,15 39, ,93 879,63 799,63 531, , , ACCOUNTING TREATMENT Year of Original Cost Expenditure Ending NBV 23 Debt Issue Costs 2,988, , , , ,883 6, , , , , ,67 164,49 25 LOC fee 47, 25 14, , ,667 52, Agency Fees 28, ,8 9,4 27 Debt Issue Costs 1,341, ,682 14,456 11,55 115, ,17 128, , ,887 15, , , Agency Fees 28, , 9,5 29 DBRS Rating Maintenance Fee 75, 29 6,25 68,75 21 Agency Fees 3, 21 2, 1, 21 LOC set up fee 5, 21 33,333 16, Debt Issuance 1,51, , ,71 128, ,42 14, ,26 154, , , , , Debt Issuance 1,146, 21 9,151 15,69 16,597 17,556 18,57 19,643 2,777 21,978 23,247 24,591 Total 194, ,883 43, ,55 23, , , , , ,45 458,358 38, ,322 34,718 35, , ,424 - ACCOUNTING TREATMENT Year of Original Cost Expenditure Ending NBV 23 Debt Issue Costs 2,988, LOC fee 47, Agency Fees 28, Debt Issue Costs 1,341, Agency Fees 28, DBRS Rating Maintenance Fee 75, Agency Fees 3, LOC set up fee 5, Debt Issuance 1,51, Debt Issuance 1,146, 21 26,11 27,514 29,13 3,785 32,563 34,445 36,434 38,539 4,766 43,121 45,612 48,247 51,35 53,983 57,12 6,41 63,89 Total 26,11 27,514 29,13 3,785 32,563 34,445 36,434 38,539 4,766 43,121 45,612 48,247 51,35 53,983 57,12 6,41 63,89 - ACCOUNTING TREATMENT Original Cost Year of Expenditure Ending NBV 23 Debt Issue Costs 2,988, LOC fee 47, Agency Fees 28, Debt Issue Costs 1,341, Agency Fees 28, DBRS Rating Maintenance Fee 75, Agency Fees 3, LOC set up fee 5, Debt Issuance 1,51, Debt Issuance 1,146, 21 67,581 71,485 75,615 23, Total 67,581 71,485 75,615 23,

31 Page 31 of 39 Name of Utility: Toronto Hydro-Electric System Limited Licence Number: ED File Numbers: RP-XXXX-XXXX, If Rate Base is proxy for paid-up capital, use Section A If using actual paid-up capital, use Section B Section A Wires Only ONTARIO CAPITAL TAX Rate Base 2,128,257,591 Less: Exemption 15,, Deemed Taxable Capital 2,113,257,591 Rate in 21 - Note 1.75% Net Amount (Taxable Capital x Rate) 1,584,943 Section B Detailed Calculation of the Ontario Capital Tax ONTARIO CAPITAL TAX PAID-UP CAPITAL From 21Trial Balance Non-Distribution Elimination Wires Only Paid-up capital stock 527,816, ,816,668 Retained earnings (if deficit, use negative sign) 365,77, ,77,693 Capital and other surplus excluding appraisal surplus 12,757,392 12,757,392 Loans and advances 1,66,87,24 1,66,87,24 Bank loans Bankers acceptances Bonds and debentures payable Mortgages payable Lien notes payable Deferred credits 52,33,635 52,33,635 Contingent, investment, inventory and similar reserves 48,5 48,5 Other reserves not allowed as deductions 165,341, 165,341, Share of partnership(s), joint venture(s) paid-up capital Sub-total 2,783,89,912 2,783,89,912 Subtract: Amounts deducted for income tax purposes in excess of amounts booked (Not applicable) Deductible R&D expenditures and ONTTI costs deferred for income tax Total (Net) Paid-up Capital 2,783,89,912 2,783,89,912 ELIGIBLE INVESTMENTS Bonds, lien notes, interest coupons Mortgages due from other corporations Shares in other corporations Loans and advances to unrelated corporations Eligible loans and advances to related corporations Share of partnership(s) or joint venture(s) eligible investments Total Eligible Investments

32 Page 32 of 39 Name of Utility: Toronto Hydro-Electric System Limited Licence Number: ED File Numbers: RP-XXXX-XXXX, TOTAL ASSETS From 21 Trial Balance Non-Distribution Elimination Wires Only Total assets per balance sheet 3,7,433, 3,7,433, Mortgages or other liabilities deducted from assets Share of partnership(s)/ joint venture(s) total assets Deduct Investment in partnership(s)/joint venture(s) Total assets as adjusted 3,7,433, 3,7,433, Add: (if deducted from assets) Contingent, investment, inventory and similar reserves Other reserves not allowed as deductions 48,5 48,5 Deduct Amounts deducted for income tax purposes in excess of amounts booked Deductible R&D expenditures and ONTTI costs deferred for income tax Deduct Appraisal surplus if booked Other adjustments (if deducting, use negative sign) Total Assets 3,7,913,5 3,7,913,5 Investment Allowance Taxable Capital Net paid-up capital 2,783,89,912 2,783,89,912 Investment Allowance Taxable Capital 2,783,89,912 2,783,89,912 Capital Tax Calculation Deduction from taxable capital up to $15,, 15,, 15,, Net Taxable Capital 2,768,89,912 Rate (Note 1).75% Ontario Capital Tax (Deductible, not grossed-up) 2,76,668 Note 1: Subject to subsection 64(1) of Taxation Act, 27 (Ontario), a capital tax is imposed on all corporations with permanent establishments in Ontario; however, the Ontario capital tax is eliminated effective July 1, 21. The full year capital tax rate is.15%.

33 Page 33 of 39 Attachment to Bridge Year OCT Toronto Hydro Electric System Limited Licence Number: ED File Number: RP-XXXX-XXXX, Loans and Advances Current portion of Notes payable to Associated Companies 245,57, Long term Notes payable to Associated Companies 1,11,841,241 Holdbacks 1,23, Customer Credit Balances 26,6,474 Current portion of Customer Deposits 18,348,542 Unearned Revenue 855, Current portion of Lease Inducements 761,391 Current portion Leases 81,43 Long term portion of Lease Inducements 31,736 Long term portion of Leases 69,44 Long term customer deposits 38,152,774 Contributed Capital 217,833,32 Total 1,66,87,24

34 Page 34 of 39 Name of Utility: Toronto Hydro-Electric System Limited Licence Number: ED File Numbers: RP-XXXX-XXXX, Wires Only Regulatory Taxable Income - From 'Bridge Year Taxable Income' 62,489,588 Corporate Income Tax Rate 31.% Total Income Taxes 19,371,772 Investment Tax Credits 74, Miscellaneous Tax Credits 27, Small business deduction 4, Total Tax Credits 1,5, Corporate PILs/Income Tax Provision for Test Year 18,321,772 Ontario Capital Tax 2,76,668 INCLUSION IN RATES Income Tax (grossed-up) 26,553,293 Ontario Capital Tax (not grossed-up) 2,76,668 Tax Provision for 21 EDR Model Rate Recovery (EDR Model Tab "4-2 OUTPUT from PILS MODEL" cell E15) 28,629,961

35 Page 35 of 39 Name of Utility: Licence Number: File Numbers: Toronto Hydro-Electric System Limited ED RP-XXXX-XXXX, CCA Class October 1, 21 FMV Bump FMV Bump Non- Distribution Utility FMV Bump 162 Buildings and Fixtures 1 2,61,316 2,61, Boiler Plant Equipment Reservoirs, Dams and Waterways Roads, Railroads and Bridges Buildings and Fixtures Station Equipment 1 17,23,3 17,23,3 172 Towers and Fixtures Poles and Fixtures Overhead Conductors and Devices 1 79,23,615 79,23, Underground Conduit Underground Conductors and Devices 1 176,82,14 176,82, Roads and Trails Buildings and Fixtures Transformer Station Equipment - Normally Primary above 5 kv Distribution Station Equipment - Normally Primary below 5 kv Storage Battery Equipment Poles, Towers and Fixtures Overhead Conductors and Devices Underground Conduit Underground Conductors and Devices Line Transformers 1 5,725,985 5,725, Services Meters 1 13,381,544 13,381, Other Installations on Customer's Premises Leased Property on Customer Premises Buildings and Fixtures Contributions and Grants - Credit 1 21 Electric Plant Purchased or Sold 1 22 Experimental Electric Plant Unclassified 1 23 Electric Plant and Equipment Leased to Others 1 24 Electric Plant Held for Future Use 1 25 Completed Construction Not Classified--Electric 1 27 Other Utility Plant 1 xxx1 Fixed Assets for Conservation and Demand Management 1

36 Page 36 of 39 Name of Utility: Licence Number: File Numbers: Toronto Hydro-Electric System Limited ED RP-XXXX-XXXX, CCA Class October 1, 21 FMV Bump FMV Bump Non- Distribution Utility FMV Bump xxx2 Smart Meters 1 SUBTOTAL - CLASS 1 339,44, ,44, Buildings and Fixtures Boiler Plant Equipment Reservoirs, Dams and Waterways Roads, Railroads and Bridges Buildings and Fixtures Station Equipment 2 9,166,247 9,166, Towers and Fixtures Poles and Fixtures Overhead Conductors and Devices 2 42,662,639 42,662, Underground Conduit Underground Conductors and Devices 2 95,582,87 95,582, Roads and Trails Buildings and Fixtures Transformer Station Equipment - Normally Primary above 5 kv Distribution Station Equipment - Normally Primary below 5 kv Storage Battery Equipment Poles, Towers and Fixtures Overhead Conductors and Devices Underground Conduit Underground Conductors and Devices Line Transformers 2 27,313,992 27,313, Services Meters 2 7,25,447 7,25, Other Installations on Customer's Premises Leased Property on Customer Premises Buildings and Fixtures Contributions and Grants - Credit 2 21 Electric Plant Purchased or Sold 2 22 Experimental Electric Plant Unclassified 2 23 Electric Plant and Equipment Leased to Others 2 24 Electric Plant Held for Future Use 2 25 Completed Construction Not Classified--Electric 2

37 Page 37 of 39 Name of Utility: Licence Number: File Numbers: Toronto Hydro-Electric System Limited ED RP-XXXX-XXXX, CCA Class October 1, 21 FMV Bump FMV Bump Non- Distribution Utility FMV Bump 27 Other Utility Plant 2 xxx1 Fixed Assets for Conservation and Demand Management 2 xxx2 Smart Meters 2 SUBTOTAL - CLASS 2 181,931, ,931, Street Lighting and Signal Systems Office Furniture and Equipment 8 24,914 24, Stores Equipment 8 1,813,98 1,813, Tools, Shop and Garage Equipment Measurement and Testing Equipment Power Operated Equipment Communication Equipment 8 2,62,452 2,62, Miscellaneous Equipment 8 4,228,318 4,228, Water Heater Rental Units Load Management Controls - Customer Premises Load Management Controls - Utility Premises System Supervisory Equipment 8 29,191,326 29,191, Sentinel Lighting Rental Units Other Tangible Property 8 SUBTOTAL - CLASS 8 37,86,99 37,86, Computer Equipment - Hardware 45 5,731,3 5,731,3 SUBTOTAL - CLASS 45 5,731,3 5,731,3 193 Transportation Equipment 1 5,31,287 5,31,287 SUBTOTAL - CLASS 1 5,31,287 5,31, Computer Software - CL ,621,766-36,621,766 SUBTOTAL - CLASS 12-36,621,766-36,621, Leasehold Improvements ,21-268, Leasehold Improvements Leasehold Improvements Leasehold Improvements 13 4 SUBTOTAL - CLASS ,21-268, Engines and Engine-Driven Generators Turbogenerator Units Water Wheels, Turbines and Generators Fuel Holders, Producers and Accessories Prime Movers Generators 43.1

38 Page 38 of 39 Name of Utility: Licence Number: File Numbers: Toronto Hydro-Electric System Limited ED RP-XXXX-XXXX, CCA Class October 1, 21 FMV Bump FMV Bump Non- Distribution Utility FMV Bump 168 Accessory Electric Equipment Miscellaneous Power Plant Equipment 43.1 SUBTOTAL - Generating Equipment 25 Property Under Capital Leases CL 275 Non-Utility Property Owned or Under Capital Leases CL SUBTOTAL - Capital Leases 166 Organization ECP 11,726,74 11,726, Miscellaneous Intangible Plant ECP 1616 Land Rights ECP 176 Land Rights ECP 186 Land Rights ECP 196 Land Rights ECP 26 Electric Plant Acquisition Adjustment ECP 265 Other Electric Plant Adjustment ECP 168 Franchises and Consents 14 SUBTOTAL - Eligible Capital Property 11,726,74 11,726, Land LAND 175 Land LAND 185 Land LAND 195 Land LAND SUBTOTAL - Land 255 Construction Work in Progress--Electric WIP Yard Improvements 17 5,854, 5,854, Total FMV Bump-up 55,56,31 55,56,31

39 Page 39 of 39 Fair Market Value (FMV) Bump Supplementry Toronto Hydro Electric System Limited Licence Number: ED File Number: RP-XXXX-XXXX, Class Class Description October 1, 21 FMV Bump Rate % Remaining balance of Bump 24 Remaining balance of Bump 26 Remaining balance of Bump 28 CCA of Bump 29 Remaining balance of Bump 29 CCA of Bump 21 Remaining balance of Bump 21 1 Buildings; Electrical generating or distributing equipment and plant (including structures) acquired after ,44,594 4% 287,966,36 265,389, ,583,237 9,783, ,799,98 9,391, ,47,912 2 Electrical generating or distributing equipment acquired before ,931,132 6% 142,42, ,58,79 11,899,567 6,653,974 14,245,593 6,254,736 97,99,857 8 Office furniture and equipment; Electrical generating equipment acquired after May 25, 1976 that has a max load of not more than 15kws; Portable electrical generating equipment and radio communication equipment acquired after May 25, ,86,99 2% 15,57,862 9,925,31 6,352,2 1,27,44 5,81,616 1,16,323 4,65,293 1 Automotive equipment & vehicle; Computer hardware - computer hardware and system software 11,32,587 3% 2,648,924 1,297, ,7 19,82 445,25 133, , Application software- - subject to half-year rule (36,621,766) 1% Leasehold Improvements - SL w/ estimated 5 year (268,21) 2% (53,642) Yard improvements 5,854, 8% 4,193,764 3,549,62 3,4,383 24,351 2,764,32 221,123 2,542,99 CEC Cumulative Eligible Capital 11,726,74 7% 8,772,184 7,587,62 6,562,5 459,344 6,12,76 427,189 5,675,517 Total 55,56,31 461,77, ,258, ,37,264 18,598,24 353,439,6 17,444, ,994,132