SOR/2010-15120106
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EXCISE TAX ACTNew Harmonized Value-added Tax System Regulations, No. 2P.C.2010-79020106
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Her Excellency the Governor General in Council, on the recommendation of the Minister of Finance, pursuant to sections 236.01a, 277b and 277.1c of the Excise Tax Actd, hereby makes the annexed New Harmonized Value-added Tax System Regulations, No. 2.S.C. 2009, c. 32, s. 23(1)S.C. 1993, c. 27, s. 125(1)S.C. 2009, c. 32, s. 37(1)R.S., c. E-15InterpretationSOR/2019-59, s. 26(F)
DefinitionsThe following definitions apply in these Regulations.Act means the Excise Tax Act. (Loi)imported taxable supply has the same meaning as in section 217 of the Act. (fourniture taxable importée)provincial investment plan for a particular province at any time means an investment planthat is at that time a financial institution described in section 11 of the Selected Listed Financial Institutions Attribution Method (GST/HST) Regulations, the units of which are permitted, under the laws of Canada or a province, to be sold only in the particular province;that is at that time a stratified investment plan, all the series of which are provincial series for the particular province; orthat meets the following criteria:the investment plan has, throughout the taxation year in which the fiscal year of the investment plan that includes that time ends, a permanent establishment in the particular province, as determined in accordance with section 3 of the Selected Listed Financial Institutions Attribution Method (GST/HST) Regulations, andthe investment plan does not have, throughout that taxation year, a permanent establishment in a province other than the particular province, as determined in accordance with section 3 of the Selected Listed Financial Institutions Attribution Method (GST/HST) Regulations. (régime de placement provincial)provincial series of a financial institution for a particular province means a provincial series of the financial institution, as defined in subsection 1(1) of the Selected Listed Financial Institutions Attribution Method (GST/HST) Regulations, the units of which are permitted, under the laws of Canada or a province, to be sold in the particular province. (série provinciale)provincial stratified investment plan means a stratified investment plan (other than a provincial investment plan) with one or more provincial series. (régime de placement stratifié provincial)series has the same meaning as in subsection 1(1) of the Selected Listed Financial Institutions Attribution Method (GST/HST) Regulations. (série)stratified investment plan has the same meaning as in subsection 1(1) of the Selected Listed Financial Institutions Attribution Method (GST/HST) Regulations. (régime de placement stratifié)unit has the same meaning as in subsection 1(1) of the Selected Listed Financial Institutions Attribution Method (GST/HST) Regulations. (unité)Application of definitions to adaptationsFor greater certainty, the definitions in this section apply in subsections 218.1(1) and (1.2), 220.07(1) to (4) and 220.08(1) of the Act as adapted by these Regulations.SOR/2013-71, s. 4SOR/2019-59, s. 27
Permanent Establishment in a Province
Prescribed classesFor the purposes of subsection 132.1(3) of the Act, the following classes of persons are prescribed:charities;non-profit organizations; andselected public service bodies, as defined in subsection 259(1) of the Act.Permanent establishment in a provinceFor the purposes of subsection 132.1(3) of the Act, a person referred to in subsection (1) is deemed to have a permanent establishment in a province if a place in the province would be a permanent establishment (as defined for the purposes of Part IV of the Income Tax Regulations) of the person under the following circumstances:the person were a corporation; andthe person’s activities were a business for the purposes of the Income Tax Act.[Repealed, SOR/2019-59, s. 28][Repealed, SOR/2019-59, s. 28]SOR/2011-56, s. 25; SOR/2013-71, s. 5SOR/2019-59, s. 28
Travel and Other Allowances
PercentageFor the purposes of subparagraph (i) of the description of B in paragraph 174(f) of the Act,if all or substantially all of the supplies for which the allowance is paid were made in a particular participating province or if the allowance is paid for the use of the motor vehicle and all or substantially all of that use is in a particular participating province, the percentage is the total of the rate set out in subsection 165(1) of the Act and the tax rate for that particular participating province; andunless paragraph (a) applies, if all or substantially all of the supplies for which the allowance is paid were made in two or more participating provinces or if the allowance is paid for the use of the motor vehicle and all or substantially all of that use is in two or more participating provinces, the percentage is the total of the rate set out in subsection 165(1) of the Act and the lowest tax rate among the tax rates for those participating provinces.
Direct Sellers
Adjustment for participating provincesFor the purposes of the new harmonized value-added tax system, subsections 178.3(5) and (6) and 178.4(5) and (6) of the Act do not apply in respect of supplies of exclusive products made by independent sales contractors.
Non-Exclusive Use of Passenger Vehicle or Aircraft
Bringing between participating provincesFor the purpose of the description of I in subparagraph (iv) of the description of A in paragraph 202(4)(b) of the Act, the rate isin the case of the bringing into a participating province of a vehicle or aircraft from another participating province, the percentage determined by the formulaA - BwhereAis the tax rate for the participating province into which the vehicle or aircraft is brought, andBis the tax rate for the participating province from which the vehicle or aircraft is removed; andin any other case, 0%.
Property and Services Brought into a ProvinceInterpretation
DefinitionsThe following definitions apply in this Part.provincial rate, for or in relation to a province, means in the case of a participating province, the tax rate for that province; andin the case of a non-participating province, 0%. (taux provincial)specified item, in respect of a province, means property or a service that is an item included in a schedule to the Deduction for Provincial Rebate (GST/HST) Regulations and in respect of which an amount may be paid or credited under an Act of the legislature of the province. (article déterminé)
Tax on Importation of Goods
Prescribed goods — paragraph 212.1(2)(a)For the purpose of paragraph 212.1(2)(a) of the Act, goods the value of which is determined for the purposes of Division III of Part IX of the Act under section 15 of the Value of Imported Goods (GST/HST) Regulations are prescribed.2012, c. 19, s. 51
Tax on Imported Taxable Supplies
Prescribed extent — paragraph 218.1(1)(a) of ActFor the purposes of paragraph 218.1(1)(a) of the Act, the prescribed extent is an extent of at least 10%.SOR/2013-71, s. 6SOR/2019-59, s. 29
Adaptation — subsection 218.1(1) of ActIf a person is the recipient of an imported taxable supply of property or a service and the person is a provincial investment plan or provincial stratified investment plan at the time an amount of consideration for the supply becomes due or is paid without having become due, subsection 218.1(1) of the Act is adapted in respect of the amount of consideration for the supply as follows:
Subject to this Part,every person that is the recipient of an imported taxable supply of intangible personal property or a service and that is a provincial investment plan or provincial stratified investment plan at the time an amount of consideration for the supply becomes due or is paid without having become due must, for that amount of consideration and for each participating province, pay to Her Majesty in right of Canada, in addition to the tax imposed by section 218, tax equal to the amount determined by the formulaA × B × CwhereAis the tax rate for the participating province,Bis the value of that consideration that is paid or becomes due at that time, andCisin the case of a provincial stratified investment plan, the total of all amounts, each of which is the extent (expressed as a percentage) to which the property or service was acquired for consumption, use or supply in the course of activities relating to a provincial series of the person for the participating province, as determined in accordance with section 51 of the Selected Listed Financial Institutions Attribution Method (GST/HST) Regulations,in the case of a provincial investment plan for the participating province, 100%, andin the case of a provincial investment plan for a province other than the participating province, 0%; andevery personthat is a registrant and is the recipient of a supply of property included in paragraph (b) of the definition imported taxable supply in section 217, orthat is the recipient of a supply of property included in any of paragraphs (b.01) to (b.3) or (c.1) to (e) of the definition imported taxable supply in section 217and that is a provincial investment plan or a provincial stratified investment plan at the time an amount of consideration for the supply becomes due or is paid without having become due shall, for that amount of consideration and for each participating province, pay to Her Majesty in right of Canada, in addition to the tax imposed by section 218, tax equal to the amount determined by the formulaA × B × CwhereAis the tax rate for the participating province,Bis the value of that consideration that is paid or becomes due at that time, andCisin the case of a provincial stratified investment plan, the total of all amounts, each of which is the extent (expressed as a percentage) to which the property was acquired for consumption, use or supply in the course of activities relating to a provincial series of the person for the participating province, as determined in accordance with section 51 of the Selected Listed Financial Institutions Attribution Method (GST/HST) Regulations,in the case of a provincial investment plan for the participating province, 100%, andin the case of a provincial investment plan for a province other than the participating province, 0%.
SOR/2013-71, s. 6SOR/2019-59, s. 29
Non-application — paragraph 218.1(1)(a) of ActParagraph 218.1(1)(a) of the Act does not apply in respect of an amount of consideration for an imported taxable supply of intangible personal property or a service made to a person ifthe person is a provincial stratified investment plan at the time the amount of consideration becomes due or is paid without having become due; andthe amount determined by the following formula, expressed as a percentage, is less than 10%:A/BwhereAis the total of all amounts, each of which is the extent to which the property or service is acquired for consumption, use or supply in the course of activities relating to a provincial series of the person for a participating province, as determined in accordance with section 51 of the Selected Listed Financial Institutions Attribution Method (GST/HST) Regulations, andBis the total of all amounts, each of which is the extent to which the property or service is acquired for consumption, use or supply in the course of activities relating to a provincial series of the person for any province, as determined in accordance with section 51 of the Selected Listed Financial Institutions Attribution Method (GST/HST) Regulations.SOR/2013-71, s. 6SOR/2019-59, s. 29
Adaptation — subsection 218.1(1.2) of ActIf a person is a qualifying taxpayer, within the meaning of subsection 217.1(1) of the Act, for a specified year of the person, as defined in section 217 of the Act, and if the person is a provincial investment plan or provincial stratified investment plan at any time in a fiscal year of the person that ends in the specified year, subsection 218.1(1.2) of the Act is adapted in respect of the specified year as follows:Subject to this Part, every qualifying taxpayer that is a provincial investment plan or provincial stratified investment plan at any time in a fiscal year of the qualifying taxpayer that ends in a specified year of the qualifying taxpayer shall, for the specified year and for each particular participating province, pay to Her Majesty in right of Canada, in addition to the tax payable under section 218.01, tax calculated at the tax rate for the particular participating province onif an election under subsection 217.2(1) is in effect for the specified year, the amount determined by the formulaA + BwhereAis the total of all amounts, each of which is an amount in respect of an internal charge for the specified year that is greater than zero determined by the formulaA1 × A2whereA1is the internal charge, andA2isin the case of a provincial stratified investment plan, the total of all amounts, each of which is the extent (expressed as a percentage) to which the internal charge is attributable to outlays or expenses that were made or incurred to consume, use or supply the whole or part of property or of a qualifying service in respect of which the internal charge is attributable, in carrying on, engaging in or conducting an activity of the qualifying taxpayer relating to a provincial series of the qualifying taxpayer for the particular participating province, as determined in accordance with section 51 of the Selected Listed Financial Institutions Attribution Method (GST/HST) Regulations,in the case of a provincial investment plan for the particular participating province, 100%, andin the case of a provincial investment plan for a province other than the particular participating province, 0%, andBis the total of all amounts, each of which is an amount in respect of an external charge for the specified year that is greater than zero determined by the formulaB1 × B2whereB1is the external charge, andB2isin the case of a provincial stratified investment plan, the total of all amounts, each of which is the extent (expressed as a percentage) to which the whole or part of the outlay or expense, which corresponds to the external charge, was made or incurred to consume, use or supply the whole or part of property or of a qualifying service in respect of which the external charge is attributable, in carrying on, engaging in or conducting an activity of the qualifying taxpayer relating to a provincial series of the qualifying taxpayer for the particular participating province, as determined in accordance with section 51 of the Selected Listed Financial Institutions Attribution Method (GST/HST) Regulations,in the case of a provincial investment plan for the particular participating province, 100%, andin the case of a provincial investment plan for a province other than the particular participating province, 0%; andin any other case, the total of all amounts, each of which is an amount in respect of qualifying consideration for the specified year that is greater than zero determined by the formulaC × DwhereCis the qualifying consideration, andDisin the case of a provincial stratified investment plan, the total of all amounts, each of which is the extent (expressed as a percentage) to which the whole or part of the outlay or expense, which corresponds to the qualifying consideration, was made or incurred to consume, use or supply the whole or part of property or of a qualifying service in respect of which the qualifying consideration is attributable, in carrying on, engaging in or conducting an activity of the qualifying taxpayer relating to a provincial series of the qualifying taxpayer for the particular participating province, as determined in accordance with section 51 of the Selected Listed Financial Institutions Attribution Method (GST/HST) Regulations,in the case of a provincial investment plan for the particular participating province, 100%, andin the case of a provincial investment plan for a province other than the particular participating province, 0%.SOR/2019-59, s. 29
Tax on Property and Services Brought Into a Participating Province
Additional specified itemFor the purposes of this Division, property or a service in respect of which a person has been paid or credited, or is entitled to be paid or credited, a qualifying amount (as defined in section 1 of the Credit for Provincial Relief (HST) Regulations) is a specified item in respect of Ontario.SOR/2011-56, s. 26
Specified provincial taxFor the purposes of the new harmonized value-added tax system, paragraph (c) of the definition specified provincial tax in section 220.01 of the Act is adapted as follows:in the case of a vehicle registered in the province of Newfoundland and Labrador, the tax imposed under Part VIII of the Revenue Administration Act, S.N.L. 2009, c. R-15.01, as amended from time to time; andSOR/2011-56, s. 26
Specified provincial tax — OntarioFor the purposes of paragraph (d) of the definition specified provincial tax in section 220.01 of the Act, in the case of a vehicle registered in the province of Ontario, a prescribed tax is the tax imposed under the Retail Sales Tax Act, R.S.O. 1990, c. R.31, as amended from time to time.SOR/2012-191, s. 23
Specified provincial tax — Prince Edward IslandFor the purposes of paragraph (d) of the definition specified provincial tax in section 220.01 of the Act, in the case of a vehicle registered in the province of Prince Edward Island, the prescribed tax is the tax imposed under the Retail Sales Tax Act, S.P.E.I. 2012, c. 22, as amended from time to time.SOR/2013-44, s. 27
Calculation of tax — subsection 220.05(1)For the purposes of subsection 220.05(1) of the Act, the amount of tax payable under that subsection by a person that brings, at a particular time, tangible personal property into a participating province from another province is determined by the formulaA × BwhereAis the percentage determined by the formulaC - DwhereCis the tax rate for the participating province, andDisif the property is a specified item in respect of the other province, 0%, andin any other case, the provincial rate for the other province; andBisif the property is a specified motor vehicle that the person is required to register under the laws of the participating province relating to the registration of motor vehicles, the specified value in respect of the specified motor vehicle,if the property is not a specified motor vehicle referred to in paragraph (a) and consideration was paid or payable in respect of a supply of the property made by way of sale at any time to the person by another person with which the person dealt at arm’s length, the lesser of the value of that consideration and the fair market value of the property at the particular time, andin any other case, the fair market value of the property at the particular time.
Non-taxable property — subsection 220.05(3)For the purposes of paragraph 220.05(3)(b) of the Act, no tax is payable under subsection 220.05(1) of the Act in respect of property brought into a participating province by a person ifthe property is supplied by the person to a recipient that paid tax under section 220.06 of the Act in respect of the supply and is delivered or made available to the recipient in the participating province or sent by mail or courier to an address in the participating province;the total of all amounts, each of which is an amount of tax that would, in the absence of this paragraph and paragraphs 11(b) and 15(b), become payable under Division IV.1 of Part IX of the Act by the person and in respect of which subsection 220.09(3) of the Act would not apply if that tax became payable by the person, is $25 or less in the calendar month that includesin the case of property that is a specified motor vehicle that the person is required to register under the laws of the participating province relating to the registration of motor vehicles, the day that is the earlier of the day on which the person registers the vehicle and the day on or before which the person is required to register the vehicle, andin any other case, the day on which the property is brought into the participating province; orthe property is not a specified motor vehicle that the person is required to register under the laws of the participating province relating to the registration of motor vehicles, the person is a provincial investment plan or a provincial stratified investment plan and, in the case of a provincial stratified investment plan, the person is acquiring the property for the purpose of consumption, use or supply in the course of activities relating to one or more provincial series of the person.SOR/2012-191, s. 24(F)SOR/2019-59, s. 30
Non-taxable property — subsection 220.06(3)For the purposes of paragraph 220.06(3)(b) of the Act, no tax is payable under subsection 220.06(1) of the Act in respect of a supply of property made to a recipient that is delivered or made available to the recipient in a participating province, or is sent by mail or courier to an address in the participating province, ifthe supply is made by a person that paid tax under section 220.05 or 220.07 of the Act in respect of bringing the property into the participating province;the total of all amounts, each of which is an amount of tax that would, in the absence of this paragraph and paragraphs 10(b) and 15(b), become payable under Division IV.1 of Part IX of the Act by the recipient and in respect of which subsection 220.09(3) of the Act would not apply if that tax became payable by the recipient, is $25 or less in the calendar month that includes the day on which the property is delivered or made available to the recipient in the participating province; orthe recipient is a provincial investment plan or a provincial stratified investment plan and, in the case of a provincial stratified investment plan, the recipient is acquiring the property for the purpose of consumption, use or supply in the course of activities relating to one or more provincial series of the recipient.SOR/2012-191, s. 25(F)SOR/2019-59, s. 31
Non-taxable property — restrictionFor the purposes of paragraphs 220.05(3)(a) and 220.06(3)(a) of the Act, property that is included in section 18, 20 or 21 of Part I of Schedule X to the Act is prescribed property, except if the property is included in another section (other than sections 18, 20 and 21) of that Part.SOR/2011-56, s. 27
Adaptation — subsections 220.07(1) to (4) of ActIf a person imports goods, other than a specified motor vehicle, into Canada, if the person is a provincial investment plan or a provincial stratified investment plan at the time the goods are released and if, in the case of a provincial stratified investment plan, the goods are imported for the purpose of consumption, use or supply in the course of activities relating to one or more provincial series of the person, subsections 220.07(1) to (4) of the Act are adapted in respect of the importation as follows:
Subject to this Part, every person that imports goods, other than a specified motor vehicle, that are accounted for as commercial goods (as defined in subsection 212.1(1)) under section 32 of the Customs Act, that is a provincial investment plan or provincial stratified investment plan at the time the goods are released and that is liable under that Act to pay duties on the goods, or would be so liable if they were subject to duty, shall pay, in addition to the tax imposed under section 212, tax to Her Majesty in Right of Canada equal to the total of all amounts, each of which is determined for a participating province by the formulaA × B × CwhereAis the value of the goods,Bis the tax rate for the participating province, andCisin the case of a provincial stratified investment plan, the total of all amounts, each of which is the extent (expressed as a percentage) to which the person acquired the goods for consumption, use or supply in the course of activities relating to a provincial series of the person for the participating province, as determined in accordance with section 51 of the Selected Listed Financial Institutions Attribution Method (GST/HST) Regulations,in the case of a provincial investment plan for the participating province, 100%, andin the case of a provincial investment plan for a province other than the participating province, 0%.Tax under subsection (1) does not apply to goods included in Schedule VII.For the purposes of this section, the value of goods is equal to the value of the goods determined in accordance with section 215.Tax under subsection (1) on goods imported by a person becomes payable by that person on the day on which the goods are released.
SOR/2019-59, s. 32
Adaptation — subsection 220.08(1) of ActIf a person is the recipient of a taxable supply made in a particular province of property or a service, if the person is a provincial investment plan or provincial stratified investment plan at the time an amount of consideration for the supply becomes due or is paid without having become due and if, in the case of a provincial stratified investment plan, the person is acquiring the property or service for consumption, use or supply in the course of activities relating to one or more provincial series of the person, subsection 220.08(1) of the Act is adapted in respect of the amount of consideration for the supply as follows:
Subject to this Part, every person that is the recipient of a taxable supply made in a particular province of property or a service and that is a provincial investment plan or provincial stratified investment plan at the time an amount of consideration for the supply becomes due or is paid without having become due must pay to Her Majesty in right of Canada, in respect of the amount of consideration, tax equal to the amount determined in accordance with section 13 of the New Harmonized Value-added Tax System Regulations, No. 2.
SOR/2019-59, s. 32
Calculation of tax — subsection 220.08(1) of ActFor the purposes of subsection 220.08(1) of the Act, the amount of tax payable under that subsection by a recipient of a taxable supply made in a particular province of property or a service in respect of an amount of consideration for the supply that becomes due, or is paid without having become due, at any time is the total of all amounts, each of which is determined for a participating province by the formulaA × B × CwhereAis the percentage determined by the formulaD - EwhereDis the tax rate for the participating province, andEisif the property or service is a specified item in respect of the particular province, 0%, andin any other case, the provincial rate for the particular province;Bis the value of the consideration that is paid or becomes due at that time; andCisif the recipient is a stratified investment plan with one or more provincial series, the total of all amounts, each of which is the extent (expressed as a percentage) to which the recipient acquired the property or service for consumption, use or supply in the course of activities relating to a provincial series of the financial institution for the participating province, as determined in accordance with section 51 of the Selected Listed Financial Institutions Attribution Method (GST/HST) Regulations;if the recipient is a provincial investment plan for the participating province, 100%;if the recipient is a provincial investment plan for a province other than the participating province, 0%; andin any other case, the extent (expressed as a percentage) to which the recipient acquired the property or service for consumption, use or supply in the participating province.SOR/2013-71, s. 7SOR/2019-59, s. 33
[Repealed, SOR/2019-59, s. 34]
Non-taxable property and services — restrictionFor the purposes of paragraph 220.08(3)(a) of the Act, a supply that is included in section 4 of Part II of Schedule X to the Act is a prescribed supply, except if the supply is included in another section of that Part.SOR/2011-56, s. 28
Non-taxable property and services — subsection 220.08(3)For the purposes of paragraph 220.08(3)(b) of the Act, no tax is payable under subsection 220.08(1) of the Act in respect of an amount of consideration for a supply of property or a service made in a particular province to a person that becomes due, or is paid without having become due, at a particular time ifthe person is neither a provincial stratified investment plan that acquired the property or service for consumption, use or supply in the course of activities relating to one or more provincial series of the person nor a provincial investment plan and the extent to which the person acquired the property or service for consumption, use or supply in participating provinces that, at the particular time, have a tax rate that is greater than the provincial rate for the particular province is less than 10%;the person is a provincial stratified investment plan that acquired the property or service for consumption, use or supply in the course of activities relating to one or more provincial series of the person and the extent to which the person acquired the property or service for consumption, use or supply in the course of activities relating to one or more provincial series of the person for participating provinces having a tax rate that is greater than the provincial rate for the particular province is less than 10%, where that extent (expressed as a percentage) is determined by the formulaA/BwhereAis the total of all amounts, each of which is the extent to which the property or service is acquired for consumption, use or supply in the course of activities relating to a provincial series of the investment plan for a participating province having a tax rate that is greater than the provincial rate for the particular province, as determined in accordance with section 51 of the Selected Listed Financial Institutions Attribution Method (GST/HST) Regulations, andBis the total of all amounts, each of which is the extent to which the property or service is acquired for consumption, use or supply in the course of activities relating to a provincial series of the investment plan for any province, as determined in accordance with section 51 of the Selected Listed Financial Institutions Attribution Method (GST/HST) Regulations; orthe total of all amounts, each of which is an amount of tax that would, in the absence of this paragraph and paragraphs 10(b) and 11(b), become payable under Division IV.1 of Part IX of the Act by the person and in respect of which subsection 220.09(3) of the Act would not apply if that tax became payable by the person, is $25 or less in the calendar month that includes the particular time.SOR/2011-56, s. 29(F); SOR/2013-71, s. 9SOR/2019-59, s. 35
Rebates in Respect of Property and Services Removed from a Participating Province
Conditions for rebate — subsection 261.1(1)For the purpose of determining if a rebate is payable under subsection 261.1(1) of the Act to a person that is the recipient of a supply of property made in a participating province that removes the property from the participating province to another province, the following conditions are prescribed:the property is acquired for consumption, use or supply exclusively outside the participating province;if the person is a consumer of the property and the property is not a specified motor vehicle, the person is resident in the other province; andthe person pays all provincial levies, if any, that are payable by the person in respect of the property and that are prescribed for the purposes of section 154 of the Act.
Calculation of rebate — subsection 261.1(1)For the purposes of subsection 261.1(1) of the Act, the amount of a rebate payable under that subsection to a person that is a recipient of a supply of property made in a participating province that removes the property from the participating province to another province is determined by the formulaA - Bwhere Ais the amount of tax that became payable, and was paid, under subsection 165(2) of the Act by the person in respect of the supply; andBisif the property is a specified item in respect of the other province, zero, andin any other case, the amount of tax that would have become payable under subsection 165(2) of the Act by the person in respect of the supply if that tax were calculated at the provincial rate for the other province.
Conditions for rebate — section 261.2For the purposes of section 261.2 of the Act, a prescribed condition is payment by the person of all provincial levies, if any, that are payable by the person in respect of the property and that are prescribed for the purposes of section 154 of the Act.
Calculation of rebate — section 261.2For the purposes of section 261.2 of the Act, the amount of a rebate payable under that section to the person that imports property for consumption or use exclusively in a province is determined by the formulaA - BwhereAis the amount of tax paid under subsection 212.1(2) of the Act by the person in respect of the property; andBisif the property is a specified item in respect of the province, zero, andin any other case, the amount of tax that would have become payable under subsection 212.1(2) of the Act by the person in respect of the property if that tax were calculated at the provincial rate for the province.
Conditions for rebate — subsection 261.3(1)For the purposes of subsection 261.3(1) of the Act, a rebate is only payable to a person under that subsection in respect of a supply of intangible personal property or a service made in a participating province ifan amount of tax becomes payable, at a particular time, under subsection 165(2) of the Act by the person in respect of the supply calculated on an amount of consideration for the supply; andthe extent to which the person acquired the property or service for consumption, use or supply elsewhere than in participating provinces that, at the particular time, have a tax rate that is greater than, or equal to, the tax rate for the participating province is 10% or more.
Calculation of rebate — subsection 261.3(1)For the purposes of subsection 261.3(1) of the Act, the amount of a rebate payable under that subsection to a person that is the recipient of a supply made in a particular participating province of intangible personal property or a service is determined by the formulaA - BwhereAis the amount of tax referred to in paragraph 20(a) in respect of the supply; andBis the total of all amounts, each of which is determined for a participating province by the formulaC × DwhereCisif the property or service is a specified item in respect of the participating province, zero, andin any other case, the amount of tax that, at the particular time referred to in paragraph 20(a), would have become payable under subsection 165(2) of the Act by the person in respect of the supply if that tax were calculated on the amount of consideration referred to in that paragraph for the supply,if the tax rate for the participating province is lower than the tax rate for the particular participating province, at the tax rate for the participating province, andin any other case, at the tax rate for the particular participating province, andDis the extent (expressed as a percentage) to which the person acquired the property or service for consumption, use or supply in the participating province.
Prescribed person — subsection 261.31(2) of ActFor the purposes of subsection 261.31(2) of the Act, a selected listed financial institution that is a provincial stratified investment plan is a prescribed person.Prescribed amount — subsection 261.31(2) of ActFor the purposes of subsection 261.31(2) of the Act, the amount of a rebate payable under that subsection to a person where tax under subsection 165(2) or section 212.1 or 218.1 of the Act or Division IV.1 of Part IX of the Act becomes payable by the person at a particular time is equal toif the person is a provincial stratified investment plan,if the tax is payable under subsection 165(2) of the Act in respect of a supply of property or a service, the total of all amounts, each of which is determined for a provincial series of the person by the formula(A – B) × CwhereAis the amount of that tax,Bisif the provincial series is for a participating province, the amount of tax that would have become payable under subsection 165(2) of the Act in respect of the supply at the particular time if that tax were calculated at the tax rate for that province, andin any other case, zero, andCis the extent (expressed as a percentage) to which the property or service was acquired for consumption, use or supply in the course of the activities relating to the provincial series, as determined in accordance with section 51 of the Selected Listed Financial Institutions Attribution Method (GST/HST) Regulations,if the tax is payable under section 212.1 or 218.1 or subsection 220.06(1) of the Act in respect of tangible personal property, the total of all amounts, each of which is determined for a provincial series of the person by the formula(D – E) × FwhereDis the amount of that tax,Eisif the provincial series is for a participating province, the amount of tax that would have become payable under that section or subsection in respect of the property at the particular time if that tax were calculated at the tax rate for that province, andin any other case, zero, andFis the extent (expressed as a percentage) to which the tangible personal property was acquired or imported for consumption, use or supply in the course of the activities relating to the provincial series, as determined in accordance with section 51 of the Selected Listed Financial Institutions Attribution Method (GST/HST) Regulations,if the tax is payable under subsection 220.05(1) or 220.07(1) of the Act in respect of bringing tangible personal property into a particular participating province, the total of all amounts, each of which is determined for a provincial series of the person by the formula(G – H) × IwhereGis the amount of that tax,Hisif the provincial series is for the particular participating province, the amount of that tax,if the provincial series is for a participating province other than the particular participating province, the amount of tax that would have become payable under that subsection in respect of the bringing in of the property if the property were brought into the other participating province, andin any other case, zero, andIis the extent (expressed as a percentage) to which the property was brought into the particular participating province for consumption, use or supply in the course of the activities relating to the provincial series, as determined in accordance with section 51 of the Selected Listed Financial Institutions Attribution Method (GST/HST) Regulations, andin any other case, zero;if the person is a provincial investment plan,if the tax is payable under subsection 165(2) of the Act in respect of a supply of property or a service, the amount determined by the formulaA – BwhereAis the amount of that tax, andBisif the person is a provincial investment plan for a participating province, the amount of tax that would have become payable under subsection 165(2) of the Act in respect of the supply at the particular time if that tax were calculated at the tax rate for that province, andin any other case, zero,if the tax is payable under section 212.1 or 218.1 or subsection 220.06(1) of the Act in respect of tangible personal property, the amount determined by the formulaC – DwhereCis the amount of that tax, andDisif the person is a provincial investment plan for a participating province, the amount of tax that would have become payable under that section or subsection in respect of the property at the particular time if that tax were calculated at the tax rate for that province, andin any other case, zero,if the tax is payable under subsection 220.05(1) or 220.07(1) of the Act in respect of bringing tangible personal property into a particular participating province, the amount determined by the formulaE – FwhereEis the amount of that tax, andFisif the person is a provincial investment plan for the particular participating province, the amount of that tax,if the person is a provincial investment plan for a participating province other than the particular participating province, the amount of tax that would have become payable under that subsection in respect of the bringing in of the property if the property were brought into the other participating province, andin any other case, zero, andin any other case, zero; andin any other case,if the tax is payable under subsection 165(2) of the Act in respect of a supply of property or a service, the amount determined by the formulaA – BwhereAis the amount of that tax, andBis the total of all amounts, each of which is determined for a participating province by the formulaC × DwhereCis the amount of tax that would have become payable under subsection 165(2) of the Act in respect of the supply at the particular time if that tax were calculated at the tax rate for the participating province, andDis the extent (expressed as a percentage) to which the person may reasonably be regarded as holding or investing funds for the benefit of persons that are resident in the participating province,if the tax is payable under section 212.1 or 218.1 or subsection 220.06(1) of the Act in respect of tangible personal property, the amount determined by the formulaE – FwhereEis the amount of that tax, andFis the total of all amounts, each of which is determined for a participating province by the formulaG × HwhereGis the amount of tax that would have become payable under that section or subsection in respect of the property at the particular time if that tax were calculated at the tax rate for the participating province, andHis the extent (expressed as a percentage) to which the person may reasonably be regarded as holding or investing funds for the benefit of persons that are resident in the participating province,where the tax is payable under section 218.1 or subsection 220.08(1) of the Act in respect of a supply of intangible personal property or a service on an amount of consideration for the supply, the amount determined by the formulaI – JwhereIis the amount of that tax, andJis the total of all amounts, each of which is determined for a participating province by the formulaK × LwhereKis the amount of tax that would have become payable under that section or subsection in respect of the supply at the particular time if the supply were acquired by the person for consumption, use or supply exclusively in the participating province, andLis the extent (expressed as a percentage) to which the person may reasonably be regarded as holding or investing funds for the benefit of persons that are resident in the participating province, andif the tax is payable under subsection 220.05(1) or 220.07(1) of the Act in respect of bringing tangible personal property into a particular participating province, the amount determined by the formulaM – NwhereMis the amount of that tax, andNis the total of all amounts, each of which is determined for a participating province by the formulaO × PwhereOis the amount of tax that would have become payable under that subsection in respect of the bringing in of the property if the property were brought into the participating province, andPis the extent (expressed as a percentage) to which the person may reasonably be regarded as holding or investing funds for the benefit of persons that are resident in the participating province.Prescribed amount — subsection 263.01(4) of ActFor the purposes of subsection 263.01(4) of the Act, an amount of tax that becomes payable by a person referred to in subsection (1), or that is paid by the person without having become payable, in respect of a supply that is acquired in whole or in part for consumption, use or supply in the course of activities related to a provincial series of the person is a prescribed amount of tax.SOR/2013-71, s. 10SOR/2019-59, s. 36
Restrictions on rebatesFor the purposes of paragraph 261.4(d) of the Act, the following are prescribed circumstances:in the case of a rebate under section 261.1 or 261.3 of the Act, the rebate is substantiated by a receipt that includes tax of at least $5 and the person is otherwise eligible for a rebate under that section of that tax; andthe total of all amounts, each of which is an amount of a rebate for which the person is otherwise eligible under any of sections 261.1 to 261.31 of the Act and in respect of which the rebate application is made, is at least $25.SOR/2013-71, s. 11
Non-taxable Property and Services
Additional specified itemFor the purposes of this Division, property in respect of which a person has been paid or credited, or is entitled to be paid or credited, a qualifying amount (as defined in section 1 of the Credit for Provincial Relief (HST) Regulations) is a specified item in respect of Ontario.SOR/2011-56, s. 30
Non-taxable propertyFor the purposes of section 23 of Part I of Schedule X to the Act, the following property is prescribed:property that would be non-taxable property under section 6 of Part I of Schedule X to the Act ifthe reference to “non-participating province” were read as a reference to “participating province”,the reference to “a participating province” were read as a reference to “another participating province”,the reference to “who is not resident in the participating provinces” were read as a reference to “who is resident in a participating province”, andthe reference to “that participating province” were read as a reference to “the particular participating province”;property that is given as a gift or bequest to an individual who is resident in a participating province and that is brought into a participating province, if the property ispersonal and household effects of an individual who died in a participating province and was, at the time of death, resident in a participating province, orpersonal and household effects received, by an individual who is resident in a participating province, as a result or in anticipation of the death of an individual who was resident in a participating province;medals, trophies and other prizes, not including usual merchantable goods, that are won in a participating province in competitions, that are bestowed, received or accepted in a participating province or that are donated by persons in a participating province, for heroic deeds, valour or distinction;property that is brought into a participating province at a particular time by a person after having been acquired in, or brought into, a particular participating province by the person at another time in circumstances in which tax was payable by the person under subsection 165(2) or 218.1(1) of the Act or Division IV.1 of Part IX of the Act ifthe rate at which that tax was calculated is greater than, or equal to, the tax rate for the participating province at the particular time,the person was not entitled to a rebate of any part of that tax under section 261.1 of the Act, andthe property was not a specified item in respect of the particular participating province at the other time;property that a person brings at any time into a participating province and that at that time is being supplied in a participating province to the person by way of lease, licence or similar arrangement under which continuous possession or use of the property is provided for a period of more than three months and in circumstances in which tax under subsection 165(1) of the Act is payable by the person in respect of that supply;property that is brought into a participating province at a particular time by a person after having been imported by the person at another time in circumstances in which tax was imposed under subsection 212.1(2) of the Act at the tax rate for a particular participating province ifthe rate at which that tax was calculated is greater than, or equal to, the tax rate for the participating province at the particular time,the person was not entitled to a rebate of any part of that tax under section 261.2 of the Act, andthe property was not a specified item in respect of the particular participating province at the other time;property that is brought into a participating province at a particular time by a person after having been used in and, at another time, removed from any participating province (in this paragraph referred to as the “specified province”) by the person ifthe tax rate for the specified province at the other time is greater than, or equal to, the tax rate for the participating province at the particular time,where tax was payable by the person under subsection 165(2) of the Act in respect of a supply of the property to the person made in the specified province, the person was not entitled to a rebate of any part of that tax under section 261.1 of the Act, andthe property was not a specified item in respect of the specified province at the other time; anda specified motor vehicle that is brought into a participating province by a person after having been supplied to the person by way of sale in a participating province in circumstances in which tax was not payable under subsection 165(1) of the Act in respect of the supply.SOR/2012-191, s. 26(E)
Non-taxable property and servicesFor the purposes of section 7 of Part II of Schedule X to the Act, a supply of a service (other than a custodial or nominee service in respect of securities or precious metals of the recipient of the supply) that is in respect of tangible personal property and that is acquired by the recipient of the supply in any circumstances is a prescribed supply if the tangible personal property is removed from a particular participating province to another participating province as soon after the service is performed as is reasonable having regard to the circumstances surrounding the removal and is not consumed, used or supplied in the particular participating province after the service is performed and before the removal of the property.
Non-taxable property and servicesFor the purposes of section 7 of Part II of Schedule X to the Act, a supply of a service rendered in connection with criminal, civil or administrative litigation (other than a service rendered before the commencement of such litigation) that is under the jurisdiction of a court or other tribunal established under the laws of a province, or that is in the nature of an appeal from a decision of a court or other tribunal established under the laws of a province, and that is acquired by the recipient of the supply in any circumstances is a prescribed supply.
Recapture of Specified Provincial Input Tax CreditsInterpretation
DefinitionsThe following definitions apply in this Part.British Columbia recapture amount means a specified provincial input tax credit in respect of the acquisition in British Columbia of property;the bringing into British Columbia of property; orthe acquisition of a service for consumption or use in British Columbia. (montant de récupération de la Colombie-Britannique)eligible roadway means a road, highway, bridge, tunnel or ferry landing that is for the passage of vehicles, but does not include a dedicated parking area, an airport runway, a shipyard, a driveway or a bicycle or pedestrian pathway. (voie admissible)farming has the meaning assigned by subsection 248(1) of the Income Tax Act. (agriculture)industry classification system means the North American Industry Classification System as it read on July 1, 2010.  (système de classification des industries)instalment period means any period beginning on the first day of the fourth fiscal month of a fiscal year of a person and ending on the last day of the third fiscal month of the immediately following fiscal year of the person.  (période d’acomptes)motor vehicle means a motorized vehicle designed for the transportation of individuals or of tangible personal property, but does not includea power-assisted bicycle;a snow vehicle;an all-terrain vehicle;an electrically propelled wheelchair;a street car;a vehicle that runs only on rails; ora farm tractor, or other farm machinery, acquired, or brought into a province, exclusively for use in farming activities. (véhicule automobile)Ontario recapture amount means a specified provincial input tax credit in respect ofthe acquisition in Ontario of property;the bringing into Ontario of property; orthe acquisition of a service for consumption or use in Ontario. (montant de récupération de l’Ontario)Prince Edward Island recapture amount means a specified provincial input tax credit in respect ofthe acquisition in Prince Edward Island of property;the bringing into Prince Edward Island of property; orthe acquisition of a service for consumption or use in Prince Edward Island. (montant de récupération de l’Île-du-Prince-Édouard)production means an activity (other than the assembling, processing or manufacturing of tangible personal property in a retail establishment or the storage of finished products) that is the assembling, processing or manufacturing of particular tangible personal property to create other tangible personal property that is different in nature or character from the particular tangible personal property;the generation of any form of energy or its transformation into another form of energy;the restoring of tangible personal property by its owner;the recording of images or sound on media;the cutting, transforming and handling of timber in a forest and the building and maintenance of forest access roads in the course of those activities;the extraction and processing of a mineral until the first stage of concentration or the equivalent;the transformation of toxic industrial waste into a non-toxic product; andif performed in conjunction with an activity referred to in any of paragraphs (a) to (g) by the same person that performed that activity,the detection, measurement, treatment, reduction or elimination of water, soil or air pollutants that are attributable to producing personal property,the transportation of refuse or waste derived from producing personal property,the quality control of personal property being produced or of production equipment, andthe cleaning, screening, sifting, wrapping, packing or putting into containers of property. (production)production equipment means machinery, tools, equipment and accessories;moulds and dies;media for recording images or sounds;plans, drawings, models and prototypes;components or spare parts of the property described in paragraphs (a) to (d);material used to produce or repair the property described in paragraphs (a) to (e); andexplosives and the material used to manufacture them. (matériel de production)qualifying motor vehicle means a motor vehicle acquired in, or brought into, a specified province that is licensed, or required to be licensed, for use on a public highway under the laws of the specified province relating to the licensing of motor vehicles and that weighs, while carrying its maximum capacity of fuel, lubricant and coolant, less than 3,000 kilograms at the time when the vehicle is first licensed, or first required to be licensed, under those laws. (véhicule automobile admissible)recapture period means any period of 12 calendar months that begins on July 1 of a calendar year; andoccurs between July 1, 2010 and June 30, 2021. (période de récupération)recapture rate applicable at a time in respect of a specified provincial input tax credit meansin the case of a specified provincial input tax credit that is a British Columbia recapture amount,in the case of a time that is on or after July 1, 2010 and before April 1, 2013, 100%, orin the case of a time that is on or after April 1, 2013, 0%;in the case of a specified provincial input tax credit that is an Ontario recapture amount,in the case of a time that is on or after July 1, 2010 and before July 1, 2015, 100%,in the case of a time that is on or after July 1, 2015 and before July 1, 2016, 75%,in the case of a time that is on or after July 1, 2016 and before July 1, 2017, 50%,in the case of a time that is on or after July 1, 2017 and before July 1, 2018, 25%, andin the case of a time that is on or after July 1, 2018, 0%; andin the case of a specified provincial input tax credit that is a Prince Edward Island recapture amount,in the case of a time that is on or after April 1, 2013 and before April 1, 2018, 100%,in the case of a time that is on or after April 1, 2018 and before April 1, 2019, 75%,in the case of a time that is on or after April 1, 2019 and before April 1, 2020, 50%,in the case of a time that is on or after April 1, 2020 and before April 1, 2021, 25%, andin the case of a time that is on or after April 1, 2021, 0%. (taux de récupération)specified energy means electricity, gas and steam; andanything (other than fuel for use in a propulsion engine) that can be used to generate energyby way of combustion or oxidization, orby undergoing a nuclear reaction in a reactor for the generation of energy. (forme d’énergie déterminée)specified province means Ontario, British Columbia or Prince Edward Island. (province déterminée)specified time means in respect of a specified provincial input tax credit of a person that is attributable to tax in respect of a supply, importation or bringing into a province of a specified property or service that becomes payable by the person, that is paid by the person without having become payable or that would have become payable by the person if the rules described in paragraphs 29(1)(a) to (g) applied in respect of that supply, importation or bringing in or if subsection 29(2) applied in respect of that bringing in,in the case where that tax would have only become payable by the person if the rules described in paragraphs 29(1)(a) to (g) applied in respect of that supply, importation or bringing in or if subsection 29(2) applied in respect of that bringing in, the day on which that tax would have become payable by the person; andin any other case, the earlier ofthe day on which that tax becomes payable by the person, andthe day that is the later of July 1, 2010 and the day on which that tax is paid by the person. (moment déterminé)SOR/2012-191, s. 27; SOR/2013-44, s. 28
Prescribed Persons
Large businessFor the purposes of the definition large business in subsection 236.01(1) of the Act, a person is a prescribed person for a recapture period if the person is a registrant whose recapture input tax credit threshold amount in respect of the recapture period exceeds $10,000,000.Large businessFor the purposes of the definition large business in subsection 236.01(1) of the Act, a person is a prescribed person at any time if, at that time, the person is a registrant that isa bank;a corporation licensed or otherwise authorized under the laws of Canada or of a province to carry on in Canada the business of offering to the public its services as a trustee;a credit union;an insurer or any other person whose principal business is providing insurance under insurance policies;a segregated fund of an insurer;an investment plan (as defined in subsection 149(5) of the Act);the Canada Deposit Insurance Corporation; ora person related to a person described in any of paragraphs (a) to (f).Recapture input tax credit threshold amountFor the purposes of this section, the recapture input tax credit threshold amount of a particular person in respect of a recapture period is equal to the total ofthe amount determined by the formulaA × (365/B)whereAis the total of all consideration (other than consideration referred to in section 167.1 of the Act that is attributable to goodwill of a business) that became due to the particular person in the last fiscal year (in this subsection referred to as the “base year”) of the particular person ending before the first day of the recapture period, or that was paid to the particular person in the base year without having become due, for taxable supplies (other than supplies of financial services and supplies by way of sale of real property that is capital property of the particular person) made in Canada, or made outside Canada through a permanent establishment in Canada, by the particular person, andBis the number of days in the base year,the total of all amounts, each of which is determined, in respect of a person (in this paragraph referred to as the “associate”) that is associated with the particular person at the end of the base year, by the formulaC × (365/D)whereCis the total of all consideration (other than consideration referred to in section 167.1 of the Act that is attributable to goodwill of a business) that became due to the associate in the last fiscal year of the associate ending before the first day of the recapture period, or that was paid to the associate in that fiscal year without having become due, for taxable supplies (other than supplies of financial services and supplies by way of sale of real property that is capital property of the associate) made in Canada, or made outside Canada through a permanent establishment in Canada, by the associate, andDis the number of days in the last fiscal year of the associate ending before the first day of the recapture period, andthe total of all amounts, each of which is determined, in respect of a person (in this paragraph referred to as the “vendor”) that makes a supply of a business to the particular person if, under the agreement for the supply, the particular person acquires, at any time during the 12-month period immediately preceding the recapture period, ownership, possession or use of all or substantially all of the property that can reasonably be regarded as being necessary for the particular person to be capable of carrying on the business and the vendor would, in the absence of paragraph (b), have a recapture input tax credit threshold amount exceeding $10,000,000 in respect of the particular recapture period that includes that time, by the formula(E/F) × (365 - G)whereEis the total of all consideration (other than consideration referred to in section 167.1 of the Act that is attributable to goodwill of a business) for taxable supplies (other than supplies of financial services and supplies by way of sale of real property that is capital property of the particular person) made in Canada, or made outside Canada through a permanent establishment in Canada, by the particular person that became due to the particular person during the 12-month period immediately preceding the recapture period or that was paid to the particular person in that 12-month period without having become due, in relation to the business acquired by the particular person,Fis the number of days in the 12-month period immediately preceding the recapture period that are after that time, andGis the number of days in the 12-month period immediately preceding the recapture period that are after that time and that are in the base year.ConsiderationFor the purposes of subsection (3), consideration for a supply of property or a service includesany amount that would, in the absence of subsection 153(4) of the Act, be included in the consideration for the supply;any amount that would, in the absence of subsection 156(2) of the Act, be consideration for the supply; andif the supply is made between persons not dealing at arm’s length, any amount by which the consideration is less than the fair market value of the property or service at the time the supply is made.Large business — partnershipIf a member (other than an individual) of a partnership acquires property or a service, or brings it into a specified province, for consumption, use or supply in respect of the activities of the partnership but not on the account of the partnership and the partnership is a large business, for the purposes of the definition large business in subsection 236.01(1) of the Act, the member is a prescribed person at any time in respect of that acquisition or bringing in if, at that time, the member is a registrant.Large business — joint ventureIf an operator (within the meaning of subsection 273(1) of the Act) that is a participant in a joint venture with a large business under an agreement referred to in that subsection acquires property or a service, or brings it into a specified province, under the agreement on behalf of the large business in the course of the activities for which the agreement was entered into and, at the time of the acquisition or bringing in, an election under subsection 273(1) of the Act made by the operator and the large business is in effect, for the purposes of the definition large business in subsection 236.01(1) of the Act, the operator is a prescribed person at any time in respect of that acquisition or bringing in.Large business — acquisition of controlIf, at any time in a recapture period, a person that is a large business acquires control of a corporation that is not a large business, the corporation and any persons associated with the corporation are, for the period beginning at that time and ending on the last day of the recapture period that includes the last day of the fiscal year of the corporation that includes that time, prescribed persons for the purposes of the definition large business in subsection 236.01(1) of the Act.Large business — amalgamationIf, at any time in a recapture period, two or more corporations (each of which is referred to in this subsection as a “predecessor”) are merged or amalgamated to form one corporation (in this subsection referred to as the “new corporation”) and the sum of the recapture input tax credit threshold amounts of the predecessors in respect of the recapture period exceeds $10,000,000, the new corporation is, for the period beginning at that time and ending on the last day of the recapture period that includes the last day of the first fiscal year of the new corporation, a prescribed person for the purposes of the definition large business in subsection 236.01(1) of the Act.Large business — acquisition of a businessIf a person makes, at any time in a recapture period, a supply of a business to another person that is not a large business, the person would, in the absence of paragraph (3)(b), have a recapture input tax credit threshold amount in respect of the recapture period exceeding $10,000,000, the other person is acquiring, under the agreement for the supply, ownership, possession or use of all or substantially all of the property that can reasonably be regarded as being necessary for the other person to be capable of carrying on the business and, after that time, the business is carried on by the other person, for the purposes of the definition large business in subsection 236.01(1) of the Act, the other person is a prescribed person for the period beginning on the earlier of the day that the other person begins to carry on the business and the day on which the other person acquires ownership, possession or use of all or substantially all of the property that can reasonably be regarded as being necessary for the other person to be capable of carrying on the business and ending on the last day of the recapture period.Large business — becoming a registrantIf, at any time in a recapture period, a person becomes a registrant and the recapture input tax credit threshold amount of the person or of another person that is associated with the person at that time exceeds $10,000,000 in respect of the recapture period, for the purposes of the definition large business in subsection 236.01(1) of the Act, the person is a prescribed person for the period beginning at that time and ending on the last day of the recapture period.Ceasing to be a large business — additionFor the purposes of the definition large business in subsection 236.01(1) of the Act, a person is a prescribed person at the time prescribed by section 30 or 32 in respect of a specified provincial input tax credit of the person in respect of a specified property or service if the person ceased to be a large businessbefore that time; andafterin the case of a qualifying motor vehicle in respect of which section 32 applies, the time when the person first uses the qualifying motor vehicle otherwise than exclusively for the purpose referred to in subparagraph 28(2)(g)(i), andin any other case, the specified time in respect of the specified provincial input tax credit.Ceasing to be a large business — deductionFor the purposes of the definition large business in subsection 236.01(1) of the Act, a person is a prescribed person at the time prescribed by section 33 in respect of a qualifying motor vehicle if the person ceased to be a large businessbefore that time; andafter the end of the reporting period in which the person was required to add an amount to its net tax for the reporting period as a consequence of subsection 31(2) in respect of a specified provincial input tax credit of the person in respect of the qualifying motor vehicle.Large business — exclusionDespite subsections (1) to (10), for the purposes of the definition large business in subsection 236.01(1) of the Act, a person is not a prescribed person at any time if, at that time, the person isa public service body;[Repealed, SOR/2013-71, s. 12]an entity of the government of Canada that is not listed in Schedule I of the Federal Provincial Fiscal Arrangements Act;a department (as defined in section 2 of the Financial Administration Act); oran entity of the government of a province that is eligible, pursuant to a provision of a sales tax harmonization agreement with that province, for a rebate of tax paid under Part IX of the Act.SOR/2012-191, s. 28; SOR/2013-71, s. 12
Prescribed Property or Service
Specified property or serviceFor the purposes of the definition specified property or service in subsection 236.01(1) of the Act, the following property and services are prescribed:a qualifying motor vehicle that is acquired in, or brought into, a specified province;motive fuel, other than diesel fuel, that is acquired in, or brought into, a specified province for consumption or use in the engine of a qualifying motor vehicle;property (other than property for maintenance or repair) that is acquired in, or brought into, a specified province by a person in respect of a qualifying motor vehicle acquired in, or brought into, a specified province by the person if the acquisition or bringing in of the property occurs within 365 days of the acquisition or bringing in of the qualifying motor vehicle;a service (other than a service for maintenance or repair) that is acquired for consumption or use in a specified province in respect of a qualifying motor vehicle acquired in, or brought into, a specified province by a person if the acquisition of the service occurs within 365 days of the acquisition or bringing in of the qualifying motor vehicle;specified energy that is acquired in, or brought into, a specified province other than qualifying heating oil, as defined in section 1 of the Deduction for Provincial Rebate (GST/HST) Regulations, acquired in, or brought into Prince Edward Island;a service described in paragraph (a) of the definition telecommunication service in subsection 123(1) of the Act if the service is acquired for consumption or use in a specified province;access to a telecommunications circuit, line, frequency, channel or partial channel, or to other similar means of transmitting a telecommunication (but not including a satellite channel), for use in providing a service described in paragraph (a) of the definition telecommunication service in subsection 123(1) of the Act if the access is acquired for consumption or use in a specified province; andfood, beverages or entertainment acquired in a specified province and in respect of which subsection 67.1(1) of the Income Tax Act applies or would apply if the person were a taxpayer under that Act.Specified property or service — exclusionDespite subsection (1), for the purposes of the definition specified property or service in subsection 236.01(1) of the Act, property or a service referred to in any of paragraphs (1)(a) to (h) is not a prescribed property or service if the property or service isspecified energy acquired in, or brought into, a specified province for consumption or use exclusively in the heating of asphalt to be used directly in the construction or maintenance of an eligible roadway;property or a service described in any of paragraphs (1)(e) to (g) acquired in, or brought into, a specified province by the organizer or sponsor of a convention for consumption or use exclusively at the convention;a 1-800, 1-866, 1-877 or 1-888 telephone service or a similar toll free telephone service or a service described in paragraph (1)(f) or (g) that is related to a 1-800, 1-866, 1-877 or 1-888 telephone service or a similar toll free telephone service;access to the Internet;a web-hosting service;a taxi the operation and custody of which is entrusted to a person by the holder of a taxi permit for the taxi; orproperty or service acquired in, or brought into, a specified province exclusively for the purpose ofbeing supplied by a person,becoming a component of tangible personal property that is to be supplied by a person, orin the case of property or a service described in paragraph (1)(f) or (g) acquired by a person operating a telecommunication service, being used directly and solely in the making of a taxable supply of a telecommunication service by the person.SOR/2013-44, s. 29
Prescribed Amount, Conditions and Circumstances
Specified provincial input tax creditFor the purposes of paragraph (b) of the definition specified provincial input tax credit in subsection 236.01(1) of the Act, a prescribed amount in respect of an amount that would be an input tax credit of a person in respect of a specified property or service attributable to tax under subsection 165(2) or section 212.1 or 218.1 of the Act or Division IV.1 of Part IX of the Act is all of the amount that would be such an input tax credit ifin the case where the specified property or service is acquired, or brought into a specified province, by the person for consumption, use or supply exclusively in the course of commercial activities and, as a result of the consumption, use or supply exclusively in the course of commercial activities, no tax under section 218.1 of the Act or Division IV.1 of Part IX of the Act is payable in respect of the acquisition or bringing in, tax under that section or that Division had been payable in respect of the acquisition or bringing in;in the case of a supply of the specified property or service deemed under subsection 143(1) of the Act to have been made outside Canada, the supply had not been deemed to have been made outside Canada;in the case of a supply of the specified property or service that is deemed under Part IX of the Act to have been made for nil consideration, the supply had not been deemed to have been made for nil consideration;in the case of a supply of the specified property or service that is deemed under paragraph 273(1)(c) of the Act not to be a supply, the supply had not been deemed not to be a supply;in the case where the specified property or service is supplied to the person in a specified province or brought into a specified province by the person and is an item included in the Schedule to the Deduction for Provincial Rebate (GST/HST) Regulations applicable to the specified province in respect of which an amount may be paid or credited under an Act of the legislature of the specified province, the specified property or service were not an item included in that Schedule;in the case of a supply of the specified property or service made between persons not dealing with each other at arm’s length for no consideration, the supply had been made for consideration, paid at the time the supply was made, of a value equal to the fair market value of the property or service at that time; andin the case of a supply of the specified property or service made between persons not dealing with each other at arm’s length for consideration less than the fair market value of the specified property or service at the time the supply is made, the value of the consideration were equal to the fair market value of the specified property or service at that time.Specified provincial input tax creditIf, at any time, a person brings tangible personal property into a specified province from a participating province and, as a consequence of that bringing in, the tangible personal property becomes a specified property or service at that time, for the purposes of paragraph (b) of the definition specified provincial input tax credit in subsection 236.01(1) of the Act, a prescribed amount in respect of an amount that would be an input tax credit of the person in respect of the tangible personal property attributable to tax under subsection 165(2) of the Act is equal to the amount determined by the formulaA - BwhereAis the amount that would be such an input tax credit ifa taxable supply (other than a zero rated supply) of the tangible personal property were made in the specified province to the person at that time,the consideration for the supply were equal to the value, determined under the description of B in section 9, in respect of the tangible personal property at that time,the tangible personal property were not an item included in the Schedule to the Deduction for Provincial Rebate (GST/HST) Regulations applicable to the specified province in respect of which an amount may be paid or credited under an Act of the legislature of the specified province, andtax in respect of the supply calculated on that consideration were paid by the person at that time; andBis the amount, if any, that is a specified provincial input tax credit of the person attributable to tax under Division IV.1 of Part IX of the Act in respect of that bringing in.SOR/2011-56, s. 31
Addition to Net Tax — Prescribed Time
Prescribed timeIf a person acquires or imports a specified property or service or brings it into a specified province and tax under subsection 165(2) or section 212.1 or 218.1 of the Act or Division IV.1 of Part IX of the Act in respect of the supply, importation or bringing in becomes payable by the person, is paid by the person without having become payable or would have become payable by the person if the rules described in paragraphs 29(1)(a) to (g) applied in respect of that supply, importation or bringing in or if subsection 29(2) applied in respect of that bringing in, for the purposes of subsection 236.01(2) of the Act, the prescribed time in respect of a specified provincial input tax credit of the person in respect of the specified property or service isif the specified property or service is a qualifying motor vehicle the supply of which is made under a lease and the person is required, in accordance with subsection 235(1) of the Act, to add an amount representing all or part of that tax in determining the net tax for a reporting period of the person, the last day of the appropriate reporting period determined under subsection 235(2) of the Act;if the specified property or service is food, beverages or entertainment and the person is required, in accordance with subsection 236(1) of the Act, to add an amount representing all or part of that tax in determining the net tax for a reporting period of the person, the last day of the appropriate reporting period determined under subsection 236(1.1) of the Act;in the case where that tax would have only become payable by the person if the rules described in paragraphs 29(1)(a) to (g) applied in respect of that supply, importation or bringing in or if subsection 29(2) applied in respect of that bringing in, the day that isthe particular day on which that tax would have become payable by the person ifthe reporting period of the person is a fiscal year,the reporting period of the person is a fiscal quarter and eitherthe particular day is in a fiscal month that is not the last fiscal month of the fiscal quarter, orthe particular day is in the last fiscal month of the fiscal quarter and the person has added an amount to its net tax in respect of the specified provincial input tax credit for the reporting period of the person that includes the particular day, orthe reporting period of the person is a fiscal month and the person has added an amount to its net tax in respect of the specified provincial input tax credit for the reporting period of the person that includes the particular day, andotherwise, the first day of the reporting period following the reporting period that includes the day on which that tax would have become payable by the person; andin any other case, the earlier ofthe day that isthe particular day on which that tax becomes payable by the person ifan input tax credit in respect of that tax is claimed in the return under Division V of Part IX of the Act filed for the reporting period that includes the particular day,the reporting period of the person is a fiscal year,the reporting period of the person is a fiscal quarter and eitherthe particular day is in a fiscal month that is not the last fiscal month of the fiscal quarter, orthe particular day is in the last fiscal month of the fiscal quarter and the person has added an amount to its net tax in respect of the specified provincial input tax credit for the reporting period of the person that includes the particular day, orthe reporting period of the person is a fiscal month and the person has added an amount to its net tax in respect of the specified provincial input tax credit for the reporting period of the person that includes the particular day, andotherwise, the first day of the reporting period following the reporting period that includes the day on which that tax becomes payable by the person, andthe day that is the later of July 1, 2010 andthe particular day on which that tax is paid by the person ifan input tax credit in respect of that tax is claimed in the return under Division V of Part IX of the Act filed for the reporting period that includes the particular day,the reporting period of the person is a fiscal year,the reporting period of the person is a fiscal quarter and eitherthe particular day is in a fiscal month that is not the last fiscal month of the fiscal quarter, orthe particular day is in the last fiscal month of the fiscal quarter and the person has added an amount to its net tax in respect of the specified provincial input tax credit for the reporting period of the person that includes the particular day, orthe reporting period of the person is a fiscal month and the person has added an amount to its net tax in respect of the specified provincial input tax credit for the reporting period of the person that includes the particular day, andotherwise, the first day of the reporting period following the reporting period that includes the day on which that tax is paid by the person.Prescribed time — Prince Edward IslandIn applying subsection (1) in respect of a specified provincial input tax credit that is a Prince Edward Island recapture amount, the reference to “July 1, 2010” in subparagraph (1)(d)(ii) is to be read as a reference to “April 1, 2013”.SOR/2012-191, s. 29; SOR/2013-44, s. 30
Addition to Net Tax — Prescribed MannerGeneral Rules
DefinitionsThe following definitions apply in this section.selected person means a person that is not a financial institution;a hotel, bar, coffee shop or restaurant;an auto repair shop; ora scrap metal dealer. (personne désignée)specified production energy means the part of specified energy acquired in, or brought into, a specified province by a selected person for consumption or use by the selected person in the production of tangible personal property intended for sale or in the production of production equipment used to produce such tangible personal property, but does not include the part of the specified energy acquired in, or brought into, the specified province for consumption or use by the selected person in equipment for the air conditioning, lighting, heating or ventilating of the production premises or in other equipment if that consumption or use is not integral to that production. (énergie déterminée pour la production)specified research energy means in the case of specified energy acquired in or brought into Ontario by a person, the part of the specified energy for consumption or use by the person in the course of activities in Ontario that are eligible scientific research and experimental development activities for the purposes of the Taxation Act, 2007, S.O. 2007, c. 11, Sch. A, and in respect of which the person deducts an amount in computing the person’s tax payable under that Act; orin the case of specified energy acquired in or brought into British Columbia by a person, the part of the specified energy for consumption or use by the person in the course of activities in British Columbia that are eligible scientific research and experimental development activities for the purposes of the Income Tax Act, R.S.B.C. 1996, c. 215, and in respect of which the person deducts an amount in computing the person’s tax payable under that Act. (énergie déterminée pour la recherche)specified salary and wages of an employee means any salary, wages and other remuneration of the employee and any other amount that is, or is to be, included as income from an office or employment in computing the income of the employee for the purposes of the Income Tax Act. (rémunération déterminée)Qualifying motor vehicles and related property or servicesIf, at any time during a reporting period of a person, the person is a large business and the particular time prescribed by section 30 in respect of a specified provincial input tax credit of the person in respect of a specified property or service described in any of paragraphs 28(1)(a) to (d) is in the reporting period, for the purposes of subsection 236.01(2) of the Act, the amount to be added to the net tax of the person for the reporting period in respect of the specified provincial input tax credit is determined by the formulaA × BwhereAisif the specified property or service is a qualifying motor vehicle in respect of which paragraph 30(1)(a) applies and the person is a large business at the time that would, in the absence of that paragraph, be the time prescribed by section 30 in respect of the specified provincial input tax credit, the specified provincial input tax credit,if the specified property or service is property or a service other than a qualifying motor vehicle in respect of which paragraph 30(1)(a) applies and the person is a large business at the particular time, the specified provincial input tax credit, andin any other case, zero; andBis the recapture rate applicable at the specified time in respect of the specified provincial input tax credit.Specified energyIf, at any time during a reporting period of a person, the person is a large business, the particular time prescribed by section 30 in respect of a specified provincial input tax credit of the person in respect of specified energy is in the reporting period and the person is a large business at the particular time, for the purposes of subsection 236.01(2) of the Act, the amount to be added to the net tax of the person for the reporting period in respect of the specified provincial input tax credit is determined by the formulaA × BwhereAisif an election is made by the person under subsection (7) for the recapture period that includes the particular time and an election made by the person under subsection (8) is in effect at the particular time, the amount determined by the formulaC × D × EwhereCis the specified provincial input tax credit,Dis the percentage determined by the formulaF/GwhereFisin the case of specified energy acquired in or brought into Ontario, the total of the specified salary and wages of each employee of the person that are paid by the person in the second last taxation year of the person immediately preceding the reporting period for anything done by the employee in the course of, or in relation to, the office or employment of the employee in Ontario to the extent that it can reasonably be considered that those specified salary and wages are not attributable to the direct engagement by the employee in activities that are eligible scientific research and experimental development activities for the purposes of the Taxation Act, 2007, S.O. 2007, c. 11, Sch. A, orin the case of specified energy acquired in or brought into British Columbia, the total of the specified salary and wages of each employee of the person that are paid by the person in the second last taxation year of the person immediately preceding the reporting period for anything done by the employee in the course of, or in relation to, the office or employment of the employee in British Columbia to the extent that it can reasonably be considered that those specified salary and wages are not attributable to the direct engagement by the employee in activities that are eligible scientific research and experimental development activities for the purposes of the Income Tax Act, R.S.B.C. 1996, c. 215, andGis the total of the specified salary and wages of each employee of the person that are paid by the person in the second last taxation year of the person immediately preceding the reporting period for anything done by the employee in the course of, or in relation to, the office or employment of the employee in the specified province where the specified energy was acquired or brought into, andEisif the specified provincial input tax credit is in respect of specified energy acquired in or brought into Ontario, the production carried on by the person in Canada during the last fiscal year of the person immediately preceding the reporting period is carried on primarily in Ontario and the most significant business activity of the person carried on in Canada in that fiscal year is described in the industry classification system under the code113, 211, 212, 322, 324, 325, 327 or 331, 4%,311, 312, 313, 314, 321, 326 or 332, 13%, or315, 316, 323, 333, 334, 335, 336, 337 or 339, 30%,if the specified provincial input tax credit is in respect of specified energy acquired in or brought into British Columbia, of all the production carried on by the person in Canada during the last fiscal year of the person immediately preceding the reporting period, at least 10% is carried on in British Columbia and the most significant business activity of the person carried on in Canada in that fiscal year is described in the industry classification system under the code113, 211, 212, 322, 324, 325, 327 or 331, 4%,311, 312, 313, 314, 321, 326 or 332, 13%, or315, 316, 323, 333, 334, 335, 336, 337 or 339, 30%, andin any other case, the percentage determined by the formulaH/IwhereHis the amount that would be the specified provincial input tax credit in respect of the specified energy if the specified energy did not include specified production energy and specified research energy, andIis the amount that would be the specified provincial input tax credit in respect of the specified energy if the specified energy did not include specified research energy,if an election made by the person under subsection (8) is in effect at the particular time and no election is made by the person under subsection (7) for the recapture period that includes the particular time, the amount determined by the formulaJ × KwhereJis the amount that would be the specified provincial input tax credit in respect of the specified energy if the specified energy did not include specified research energy, andKisif the specified provincial input tax credit is in respect of specified energy acquired in or brought into Ontario, the production carried on by the person in Canada during the last fiscal year of the person immediately preceding the reporting period is carried on primarily in Ontario and the most significant business activity of the person carried on in Canada in that fiscal year is described in the industry classification system under the code113, 211, 212, 322, 324, 325, 327 or 331, 4%,311, 312, 313, 314, 321, 326 or 332, 13%, or315, 316, 323, 333, 334, 335, 336, 337 or 339, 30%,if the specified provincial input tax credit is in respect of specified energy acquired in or brought into British Columbia, of all the production carried on by the person in Canada during the last fiscal year of the person immediately preceding the reporting period, at least 10% is carried on in British Columbia and the most significant business activity of the person carried on in Canada in that fiscal year is described in the industry classification system under the code113, 211, 212, 322, 324, 325, 327 or 331, 4%,311, 312, 313, 314, 321, 326 or 332, 13%, or315, 316, 323, 333, 334, 335, 336, 337 or 339, 30%,if the specified provincial input tax credit is in respect of specified energy acquired in or brought into Prince Edward Island, the production carried on by the person in Canada during the last fiscal year of the person immediately preceding the reporting period is carried on primarily in Prince Edward Island and the most significant business activity of the person carried on in Canada in that fiscal year is described in the industry classification system under the code113, 211, 212, 322, 324, 325, 327 or 331, 4%,311, 312, 313, 314, 321, 326 or 332, 13%, or315, 316, 323, 333, 334, 335, 336, 337 or 339, 30%, andin any other case, the percentage determined by the formulaL/MwhereLis the amount that would be the specified provincial input tax credit in respect of the specified energy if the specified energy did not include specified production energy and specified research energy, andMis the amount that would be the specified provincial input tax credit in respect of the specified energy if the specified energy did not include specified research energy,if an election is made by the person under subsection (7) for the recapture period that includes the particular time and no election by the person under subsection (8) is in effect at the particular time, the amount determined by the formulaN × OwhereNis the amount that would be the specified provincial input tax credit in respect of the specified energy if the specified energy did not include specified production energy, andOis the percentage determined by the formulaP/QwherePisin the case of specified energy acquired in or brought into Ontario, the total of the specified salary and wages of each employee of the person that are paid by the person in the second last taxation year of the person immediately preceding the reporting period for anything done by the employee in the course of, or in relation to, the office or employment of the employee in Ontario to the extent that it can reasonably be considered that those specified salary and wages are not attributable to the direct engagement by the employee in activities that are eligible scientific research and experimental development activities for the purposes of the Taxation Act, 2007, S.O. 2007, c. 11, Sch. A, orin the case of specified energy acquired in or brought into British Columbia, the total of the specified salary and wages of each employee of the person that are paid by the person in the second last taxation year of the person immediately preceding the reporting period for anything done by the employee in the course of, or in relation to, the office or employment of the employee in British Columbia to the extent that it can reasonably be considered that those specified salary and wages are not attributable to the direct engagement by the employee in activities that are eligible scientific research and experimental development activities for the purposes of the Income Tax Act, R.S.B.C. 1996, c. 215, andQis the total of the specified salary and wages of each employee of the person that are paid by the person in the second last taxation year of the person immediately preceding the reporting period for anything done by the employee in the course of, or in relation to, the office or employment of the employee in the specified province where the specified energy was acquired or brought into, andin any other case, the amount that would be the specified provincial input tax credit in respect of the specified energy if the specified energy did not include specified production energy and specified research energy; andBis the recapture rate applicable at the specified time in respect of the specified provincial input tax credit.TelecommunicationsIf, at any time during a reporting period of a person, the person is a large business, the particular time prescribed by section 30 in respect of a specified provincial input tax credit of the person in respect of a specified property or service described in paragraph 28(1)(f) or (g) is in the reporting period and the person is a large business at the particular time, for the purposes of subsection 236.01(2) of the Act, the amount to be added to the net tax of the person for the reporting period in respect of the specified provincial input tax credit is determined by the formulaA × BwhereAis 100% of the specified provincial input tax credit, except that the person may, if the specified property or service is provided to the person together with other property or services that are not a specified property or service (each of which is in this subsection referred to as an “element”) and the consideration for the specified property or service and each element is not separately identified, apply the following percentageif the specified property or service is acquired for consumption or use in British Columbia, 95%, andif the specified property or service is acquired for consumption or use in Ontario or Prince Edward Island and is provided to the person together withan element that is a service, 96%,an element that is property, 89%, andan element described in subparagraph (i) and an element described in subparagraph (ii), 86%; andBis the recapture rate applicable at the specified time in respect of the specified provincial input tax credit.Food, beverages and entertainmentIf, at any time during a reporting period of a person, the person is a large business and the time prescribed by section 30 in respect of a specified provincial input tax credit of the person in respect of a specified property or service described in paragraph 28(1)(h) is in the reporting period, for the purposes of subsection 236.01(2) of the Act, the amount to be added to the net tax of the person for the reporting period in respect of the specified provincial input tax credit is determined by the formulaA × BwhereAisif the person is a large business at the time that would, in the absence of paragraph 30(1)(b), be the time prescribed by section 30 in respect of the specified provincial input tax credit, 50% of the specified provincial input tax credit, andin any other case, zero; andBis the recapture rate applicable at the specified time in respect of the specified provincial input tax credit.FarmersDespite subsections (2) to (5), no amount is to be added to the net tax of a person for a reporting period of the person as a consequence of those subsections in respect of a specified provincial input tax credit of the person if the chief source of income for the taxation year of the person immediately preceding the reporting period is farming and all of the property or services to which the specified provincial input tax credit relates is primarily consumed or used in the person’s farming activities.Selected listed financial institutionsDespite subsections (2) to (5), no amount is to be added to the net tax of a person for a reporting period of the person as a consequence of those subsections in respect of a specified provincial input tax credit of the person in respect of an amount of tax that becomes payable by the person while the person is a selected listed financial institution unless the amount of taxis deemed to have been paid by the person under subsection 171(1) or 171.1(2) of the Act; oris prescribed for the purposes of paragraph 169(3)(c) of the Act or paragraph (a) of the description of F in subsection 225.2(2) of the Act.Election to use the SRED proxyFor the purposes of subsection (3), a person may, before the first day of a recapture period, elect, for the recapture period, to determine the amount to be added under that subsection in respect of a specified provincial input tax credit (other than a Prince Edward Island recapture amount) of the person in respect of specified energy in accordance with a method described in that subsection.Election to use the production proxyFor the purposes of subsection (3), if a person produces tangible personal property for sale, the person may elect to determine the amount to be added under that subsection in respect of a specified provincial input tax credit of the person in respect of specified energy in accordance with a method described in that subsection at all times when the election is in effect.Form and manner of filingAn election made under subsection (8) by a person shallbe made in prescribed form containing prescribed information;set out the day on which the election is to become effective, which shall be the first day of a recapture period;be filed with the Minister on or before the day on or before which the person must file a return under Division V of Part IX of the Act for the reporting period of the person that includes the day on which the election is to become effective; andremain in effect until a revocation of the election becomes effective.RevocationA person that has made an election under subsection (8) may revoke the election, effective on the first day of a recapture period that begins at least one year after the election became effective, by filing in prescribed manner with the Minister a notice of revocation in prescribed form containing prescribed information on or before the day on or before which the person must file a return under Division V of Part IX of the Act for the reporting period of the person that includes the day on which the revocation is to become effective.SOR/2012-191, s. 30; SOR/2013-44, s. 31; SOR/2013-71, s. 13
Special Case
Qualifying motor vehiclesIf a qualifying motor vehicle acquired in, or brought into, a specified province by a person is, only by virtue of subparagraph 28(2)(g)(i), not a specified property or service, the person is engaged in the business of supplying motor vehicles by way of sale and the person uses, at any time during the fiscal year when the person is a large business, the qualifying motor vehicle otherwise than exclusively for the purpose referred to in subparagraph 28(2)(g)(i), the following rules apply:for the purposes of the definition specified property or service in subsection 236.01(1) of the Act, the qualifying motor vehicle is a prescribed property; andfor the purposes of subsection 236.01(2) of the Actdespite section 30, the prescribed time in respect of a specified provincial input tax credit of the person in respect of the qualifying motor vehicle is the last day of each fiscal year of the person during which the person uses the qualifying motor vehicle otherwise than exclusively for the purpose referred to in subparagraph 28(2)(g)(i), anddespite subsection 31(2), the amount to be added to the net tax of the person for a reporting period of the person that includes the last day of a fiscal year referred to in subparagraph (i) of the person is determined by the formulaA × BwhereAis an amount determined by the formulaC × D × 2%whereCis the specified provincial input tax credit, andDis the number of fiscal months in the fiscal year during which the qualifying motor vehicle is used otherwise than exclusively for the purpose referred to in subparagraph 28(2)(g)(i) and during which the person is a large business, andBis the recapture rate applicable on the last day of the fiscal year in respect of the specified provincial input tax credit.SOR/2012-191, s. 31
Deduction from Net Tax
Prescribed timeIf a person, at any time, supplies a qualifying motor vehicle by way of sale or removes it from a specified province and registers it in another province and, as a consequence of subsection 31(2), the person added an amount to its net tax for a reporting period of the person in respect of a specified provincial input tax credit of the person in respect of the qualifying motor vehicle, for the purposes of subsection 236.01(3) of the Act, that time is the prescribed time in respect of the qualifying motor vehicle.
Prescribed mannerFor the purposes of subsection 236.01(3) of the Act, if a qualifying motor vehicle in respect of which a person added an amount under subsection 236.01(2) of the Act in determining its net tax and in respect of which paragraph 28(1)(a) applies is supplied by way of sale by the person to another person that is not related to the person, or is removed from a specified province and registered outside the specified province by the person, the person may deduct from its net tax for the reporting period of the person that includes the time prescribed in section 33 the amount determined by the formulaA × (B/C)whereAis the total of all amounts added under subsection 236.01(2) of the Act in respect of the last acquisition or bringing in of the qualifying motor vehicle by the person;Bisif the person supplies the qualifying motor vehicle and the recipient of the supply is not dealing at arm’s length with the person or if the person removes the motor vehicle from the specified province, the fair market value of the qualifying motor vehicle at that time, andin any other case, the consideration for the supply by way of sale of the qualifying motor vehicle; andCis the consideration in respect of the last acquisition, or the value in respect of the last bringing in, of the qualifying motor vehicle by the person in respect of which the amount determined under the description of A is attributable.SOR/2011-56, s. 32
RestrictionSection 34 does not apply in respect of a supply of a qualifying motor vehicle by a person made after March 31, 2013 or a removal of a qualifying motor vehicle by a person from British Columbia after that day, if the person added an amount under subsection 236.01(2) of the Act in respect of the last acquisition or bringing in of the qualifying motor vehicle by the person and that amount was in respect of a British Columbia recapture amount.SOR/2012-191, s. 32
Methods, Reporting and Accounting, and Compliance
Election to use the instalment methodA person may elect to have section 36 apply to the person at all times when the election is in effect.Condition — electionA person may not elect to have section 36 apply to the person beginning on a day in a particular fiscal year of the person if the particular fiscal year is the first fiscal year of the person.Form and manner of filingAn election made under subsection (1) by a person shallbe made in prescribed form containing prescribed information;set out the day on which the election is to become effective, which shall bethe first day of the fourth fiscal month of a fiscal year of the person, orif the person becomes a large business in a fiscal year of the person, the day on which the person becomes a large business;be filed with the Minister on or before the day on or before which the person must file a return under Division V of Part IX of the Act for the reporting period of the person that includes the day on which the election is to become effective; andremain in effect until a revocation of the election becomes effective.RevocationA person that has made an election under subsection (1) may revoke the election, effective on the first day of an instalment period that begins after the election became effective, by filing in prescribed manner with the Minister a notice of revocation in prescribed form containing prescribed information on or before the day on or before which the person must file a return under Division V of Part IX of the Act for the reporting period of the person that includes the day on which the revocation is to become effective.
Effect of electionFor the purposes of paragraph 236.01(4)(a) of the Act and despite sections 31 and 32, if an election made under subsection 35(1) by a person is in effect during an instalment period, the amount to be added to the net tax of the person for each particular reporting period of the person during which the person is a large business that ends at a time in the instalment period when the election is in effect is the total of all amounts each of which is determined, for a specified provincial input tax credit, by the formula(A/B) × C × DwhereAis all or part of the specified provincial input tax credit that would have been required to be added under subsection 236.01(2) of the Act for each reporting period of the person ending in the last fiscal year of the person that ends before the first day of the instalment period ifwhere the first day of that fiscal year is before July 1, 2010 and the specified provincial input tax credit is not a Prince Edward Island recapture amount, the new harmonized value-added tax system had been in effect, with all modifications as the circumstances may require, throughout that fiscal year in respect of each specified province (other than Prince Edward Island) and the harmonization date for the specified province had been the first day of that fiscal year,where the first day of that fiscal year is before April 1, 2013 and the specified provincial input tax credit is a Prince Edward Island recapture amount, the new harmonized value-added tax system had been in effect, with all modifications as the circumstances may require, throughout that fiscal year in respect of Prince Edward Island and the harmonization date for Prince Edward Island had been the first day of that fiscal year,no election under subsection 35(1) had been in effect, andthe recapture rate applicable at all times throughout that fiscal year had been 100%;Bis the number of fiscal months in the last fiscal year of the person that ends before the first day of the instalment period;Cisif the particular reporting period is a fiscal year, 12,if the particular reporting period is a fiscal month, 1, orif the particular reporting period is a fiscal quarter, 3; andDis the recapture rate applicable on the last day of the particular reporting period in respect of the specified provincial input tax credit.ReconciliationFor the purposes of paragraph 236.01(4)(a) of the Act, if an election made under subsection 35(1) by a person is in effect during a fiscal year of the person, the person shall, in determining the net tax of the person for a reporting period of the person that includes the last day of that fiscal year or for a reporting period of the person that begins after that fiscal year and ends on or before the last day of the third fiscal month following the last day of that fiscal year, add the positive amount or deduct the negative amount determined by the formulaA - BwhereAis the total of all amounts that, in the absence of subsection (1), would have been required under subsection 236.01(2) of the Act to be added to the net tax of the person as a consequence of section 31 or 32 for each reporting period of the person ending in the fiscal year; andBis the total of all amounts each of which is added to the net tax of the person as a consequence of subsection (1) or section 31 or 32 for each reporting period of the person ending in the fiscal year.Reconciliation on cessationDespite subsection (2), for the purposes of paragraph 236.01(4)(a) of the Act, if an election made under subsection 35(1) by a person is in effect during a particular fiscal year of the person and the person ceases to be a registrant at any time in the particular fiscal year, the person shall, in determining the net tax of the person for the particular reporting period in which the person ceases to be a registrant, add the positive amount or deduct the negative amount determined by the formula(A - B) + (C - D)whereAis the total of all amounts that, in the absence of subsection (1), would have been required under subsection 236.01(2) of the Act to be added to the net tax of the person as a consequence of section 31 or 32 for each reporting period of the person ending in the particular fiscal year;Bis the total of all amounts each of which was added to the net tax of the person as a consequence of subsection (1) or section 31 or 32 for each reporting period of the person ending in the particular fiscal year;Cisif an election made under subsection 35(1) was in effect during the fiscal year (in this subsection referred to as the “prior fiscal year”) immediately preceding the particular fiscal year and the person has not added or deducted an amount under subsection (2) in respect of that prior fiscal year in a reporting period ending before the particular reporting period, the total of all amounts that, in the absence of subsection (1), would have been required under subsection 236.01(2) of the Act to be added to the net tax of the person as a consequence of section 31 or 32 for each reporting period of the person ending in the prior fiscal year, andin any other case, zero; andDisif an election made under subsection 35(1) was in effect during the prior fiscal year and the person has not added or deducted an amount under subsection (2) in respect of that prior fiscal year in a reporting period ending before the particular reporting period, the total of all amounts each of which was added to the net tax of the person as a consequence of subsection (1) or section 31 or 32 for each reporting period of the person ending in the prior fiscal year, andin any other case, zero.Prescribed personIf a person is required under subsection (2) or (3) to add a positive amount, or deduct a negative amount, in determining its net tax for a reporting period of the person, for the purposes of the definition large business in subsection 236.01(1) of the Act, the person is a prescribed person in respect of that addition or deduction.SOR/2012-191, s. 33; SOR/2013-44, s. 32
Certain Benefits and Rebates
Qualifying motor vehiclesIf a registrant makes a supply of a qualifying motor vehicle to an individual or a person related to the individual at any time during a taxation year of the individual to which subsection 173(1) of the Act applies and, as a consequence of subsection 31(2), the registrant added an amount to its net tax for a reporting period of the registrant ending on or before that time in respect of a specified provincial input tax credit of the registrant in respect of the qualifying motor vehicle, for the purpose of determining an amount of tax under subparagraph 173(1)(d)(vi) of the Act in respect of an amount that is deemed to be the total consideration payable in respect of the provision of the qualifying motor vehicle during the taxation year, the reference in the portion of subclause (I) of the description of A in clause 173(1)(d)(vi)(B) of the Act after sub-subclause 2 to “the tax rate for the participating province” is to be read as a reference to “the percentage determined by the formulaD × (E - F)whereDis the tax rate for the participating province,Eis 100%, andFis the recapture rate (as defined in section 26 of the New Harmonized Valued-added Tax System Regulations, No. 2) applicable on the last day of the last reporting period of the registrant, in or before the taxation year of the individual, in respect of which an amount was added by the registrant under subsection 236.01(2) in determining its net tax in respect of the automobile”.
Restriction on rebate to partnerFor the purposes of the new harmonized value-added tax system, subsection 253(2) of the Act is adapted so that the reference to “the amount that would be an input tax credit of the partnership in respect of the property or service for the last reporting period of the partnership in its last fiscal year ending in that calendar year if” in that subsection before paragraph (a) is to be read as “the amount that would be an input tax credit of the partnership in respect of the property or service for the last reporting period of the partnership in its last fiscal year ending in that calendar year, other than the part of that amount that would have been required to be added to the net tax of the partnership in accordance with subsection 236.01(2), if”.
Rebate for Employees and Partners
Percentage — subsection 253(1)For the purpose of the description of F in paragraph (b) of the description of A in subsection 253(1) of the Act, the percentage is the rate at which the tax referred to in paragraph 253(1)(b) of the Act was payable.Percentage — subsection 253(1)For the purpose of the description of H in paragraph (c) of the description of A in subsection 253(1) of the Act, the percentage is the rate at which the tax under subsection 165(2) or section 212.1 or 218.1 of the Act or Division IV.1 of Part IX of the Act referred to in paragraph 253(1)(b) of the Act was payable.Percentage — subsection 253(2)For the purpose of the description of E in clause (B) of the description of A in subparagraph 253(2)(a)(ii) of the Act, the percentage is the rate at which the tax referred to in paragraph 253(1)(b) of the Act was payable by the individual in respect of the acquisition or importation of the instrument, or the bringing into a participating province of the instrument, as the case may be.Percentage — subsection 253(2)For the purpose of the description of G in clause (C) of the description of A in subparagraph 253(2)(a)(ii) of the Act, the percentage is the rate at which the tax under subsection 165(2) or section 212.1 or 218.1 of the Act or Division IV.1 of Part IX of the Act referred to in paragraph 253(1)(b) of the Act was payable by the individual in respect of the acquisition or importation of the instrument, or the bringing into a participating province of the instrument, as the case may be.Percentage — subsection 253(2)For the purpose of the description of E in clause (B) of the description of A in subparagraph 253(2)(c)(ii) of the Act, the percentage is the rate at which the tax referred to in paragraph 253(1)(b) of the Act was payable by the individual in respect of the acquisition or importation of the property or service, or the bringing into a participating province of the property, as the case may be.Percentage — subsection 253(2)For the purpose of the description of G in clause (C) of the description of A in subparagraph 253(2)(c)(ii) of the Act, the percentage is the rate at which the tax under subsection 165(2) or section 212.1 or 218.1 of the Act or Division IV.1 of Part IX of the Act referred to in paragraph 253(1)(b) of the Act was payable by the individual in respect of the acquisition or importation of the property or service, or the bringing into a participating province of the property, as the case may be.
New Housing RebatesInterpretation
Group of individualsIf a supply of a residential complex or a share of the capital stock of a cooperative housing corporation is made to two or more individuals or if two or more individuals construct or substantially renovate, or engage another person to construct or substantially renovate, a residential complex, the following rules apply in respect of those individuals:subject to paragraphs (b) and (c), the references in sections 41, 43, 45 and 46 and the references in section 256.21 of the Act to an individual are to be read as references to all of those individuals as a group;the references in subsection 41(2) and paragraphs 45(2)(a), 46(2)(a) and 46(5)(c) to the primary place of residence of an individual or a relation of the individual are to be read as references to the primary place of residence of any of those individuals or a relation of any of those individuals;the reference in paragraph 46(5)(d) to the particular individual or a relation of the particular individual is to be read as a reference to any of those individuals or a relation of any of those individuals; andonly one of those individuals may apply for a rebate under subsection 256.21(1) of the Act in respect of the complex or share, the amount of which is determined under section 41, 43, 45 or 46.2021, c. 23, s. 116
New Housing Rebates for Building and Land
DefinitionsIn this section, relation and single unit residential complex have the same meanings as in subsection 254(1) of the Act.Rebate in OntarioIf an individual is entitled to claim a rebate under subsection 254(2) of the Act in respect of a residential complex that is a single unit residential complex, or a residential condominium unit, acquired for use in Ontario as the primary place of residence of the individual or of a relation of the individual, or the individual would be so entitled if the total consideration (within the meaning of paragraph 254(2)(c) of the Act) in respect of the complex were less than $450,000, for the purposes of subsection 256.21(1) of the Act, the individual is a prescribed person and the amount of a rebate in respect of the complex under that subsection is equal to the lesser of $24,000 and the amount determined by the formulaA × BwhereAis 75%; andBis the total of all tax under subsection 165(2) of the Act paid in respect of the supply of the complex to the individual or in respect of any other supply to the individual of an interest in the complex.[Repealed, SOR/2012-191, s. 34]Application for rebateFor the purposes of subsection 256.21(2) of the Act, an application for a rebate, the amount of which is determined under subsection (2), must be filed within two years after the day on which ownership of the complex is transferred to the individual.RestrictionThe Minister shall pay a rebate in respect of a complex to an individual under subsection 256.21(1) of the Act, the amount of which is determined under subsection (2), only if the individual does not make an application for a rebate in respect of the complex under subsection 256(2) of the Act.Application to builderFor the purposes of the application of subsection 256.21(3) of the Act in respect of a rebate in relation to a residential complex that is a single unit residential complex or a residential condominium unit,the builder of the complex is a prescribed person;an individual who is a prescribed person under subsection (2) in respect of the complex is an individual of a prescribed class; andthe following circumstances are prescribed circumstances:the builder makes a taxable supply of the complex by way of sale to an individual described in paragraph (b) and transfers ownership of the complex to the individual under the agreement for the supply,the builder agrees to pay to, or to credit to or in favour of, the individual any rebate under subsection 256.21(1) of the Act, the amount of which is determined under subsection (2), that is payable to the individual in respect of the complex,tax under Division II of Part IX of the Act has been paid, or is payable, by the individual in respect of the supply,the individual, within two years after the day on which ownership of the complex is transferred to the individual under the agreement for the supply, submits an application, in accordance with subsection 256.21(3) of the Act, for the rebate, andthe tax payable in respect of the supply has not been paid at the time the individual submits an application to the builder for the rebate and, if the individual had paid the tax and made an application for the rebate, the rebate would have been payable to the individual under subsection 256.21(1) of the Act.SOR/2012-191, s. 34
New Housing Rebates for Building Only
Amounts and rates for participating provincesIn applying subsection 254.1(2) of the Act in respect ofa residential complex situated in Ontario,the references in that subsection to “$472,500” are to be read as references to “$508,500”,the references in that subsection to “$367,500” are to be read as references to “$395,500”,the reference in that subsection to “$105,000” is to be read as a reference to “$113,000”,the reference in paragraph (h) of that subsection to “1.71%” is to be read as a reference to “the lesser of $6,300 and 1.60%”, andthe reference in the description of A in the formula in paragraph (i) of that subsection to “1.71%” is to be read as a reference to “1.60%”;a residential complex situated in Nova Scotia,the references in that subsection to “$472,500” are to be read as references to “$513,000”,the references in that subsection to “$367,500” are to be read as references to “$399,000”,the reference in that subsection to “$105,000” is to be read as a reference to “$114,000”,the reference in paragraph (h) of that subsection to “1.71%” is to be read as a reference to “the lesser of $6,300 and 1.58%”, andthe reference in the description of A in the formula in paragraph (i) of that subsection to “1.71%” is to be read as a reference to “1.58%”;a residential complex situated in New Brunswick,the references in that subsection to “$472,500” are to be read as references to “$517,500”,the references in that subsection to “$367,500” are to be read as references to “$402,500”,the reference in that subsection to “$105,000” is to be read as a reference to “$115,000”,the reference in paragraph (h) of that subsection to “1.71%” is to be read as a reference to “the lesser of $6,300 and 1.57%”, andthe reference in the description of A in the formula in paragraph (i) of that subsection to “1.71%” is to be read as a reference to “1.57%”;[Repealed, SOR/2012-191, s. 35]a residential complex situated in Prince Edward Island,the references in that subsection to “$472,500” are to be read as references to “$517,500”,the references in that subsection to “$367,500” are to be read as references to “$402,500”,the reference in that subsection to “$105,000” is to be read as a reference to “$115,000”,the reference in paragraph (h) of that subsection to “1.71%” is to be read as a reference to “the lesser of $6,300 and 1.57%”, andthe reference in the description of A in the formula in paragraph (i) of that subsection to “1.71%” is to be read as a reference to “1.57%”; anda residential complex situated in Newfoundland and Labrador,the references in that subsection to “$472,500” are to be read as references to “$517,500”,the references in that subsection to “$367,500” are to be read as references to “$402,500”,the reference in that subsection to “$105,000” is to be read as a reference to “$115,000”,the reference in paragraph (h) of that subsection to “1.71%” is to be read as a reference to “the lesser of $6,300 and 1.57%”, andthe reference in the description of A in the formula in paragraph (i) of that subsection to “1.71%” is to be read as a reference to “1.57%”.SOR/2012-191, s. 35; SOR/2013-44, s. 33; SOR/2016-119, s. 14; SOR/2016-212, s. 13SOR/2025-77, s. 10
Rebate in OntarioIf an individual is entitled to claim a rebate under subsection 254.1(2) of the Act, or to be paid or credited the amount of such a rebate under subsection 254.1(4) of the Act, in respect of a building or part of it in which a residential unit forming part of a residential complex in Ontario is situated, or would be so entitled if the fair market value of the complex, at the time possession of the complex is given to the individual under the agreement for the supply of the complex to the individual, were less than $508,500, for the purposes of subsection 256.21(1) of the Act, the individual is a prescribed person and the amount of the rebate in respect of the complex under that subsection is equal to the lesser of $24,000 and 5.31% of the total consideration (within the meaning of paragraph 254.1(2)(h) of the Act) in respect of the complex.[Repealed, SOR/2012-191, s. 36]Application for rebateFor the purposes of subsection 256.21(2) of the Act, an application for a rebate, the amount of which is determined under subsection (1), must be filed within two years after the day on which possession of the complex is transferred to the individual.Application to builderFor the purposes of the application of subsection 256.21(3) of the Act in respect of a rebate in relation to a building or part of it in which a residential unit forming part of a residential complex is situated,the builder of the complex is a prescribed person;an individual who is a prescribed person under subsection (1) in relation to the complex is an individual of a prescribed class; andthe following circumstances are prescribed circumstances:the builder makes a supply of the complex to an individual under an agreement referred to in paragraph 254.1(2)(a) of the Act and transfers possession of the complex to the individual under the agreement,the builder agrees to pay to, or to credit to or in favour of, the individual any rebate under subsection 256.21(1) of the Act, the amount of which is determined under subsection (1), that is payable to the individual in respect of the complex, andthe individual, within two years after the day on which possession of the complex is transferred to the individual under the agreement for the supply, submits an application, in accordance with subsection 256.21(3) of the Act, for the rebate.SOR/2012-191, s. 36
Cooperative Housing Rebates
Amounts and rates for participating provincesIn applying subsection 255(2) of the Act in respect ofa residential complex situated in Ontario,the references in that subsection to “$472,500” are to be read as references to “$508,500”,the references in that subsection to “$367,500” are to be read as references to “$395,500”,the reference in that subsection to “$105,000” is to be read as a reference to “$113,000”,the reference in paragraph (g) of that subsection to “1.71%” is to be read as a reference to “the lesser of $6,300 and 1.60%”, andthe reference in the description of A in the formula in paragraph (h) of that subsection to “1.71%” is to be read as a reference to “1.60%”;a residential complex situated in Nova Scotia,the references in that subsection to “$472,500” are to be read as references to “$513,000”,the references in that subsection to “$367,500” are to be read as references to “$399,000”,the reference in that subsection to “$105,000” is to be read as a reference to “$114,000”,the reference in paragraph (g) of that subsection to “1.71%” is to be read as a reference to “the lesser of $6,300 and 1.58%”, andthe reference in the description of A in the formula in paragraph (h) of that subsection to “1.71%” is to be read as a reference to “1.58%”;a residential complex situated in New Brunswick,the references in that subsection to “$472,500” are to be read as references to “$517,500”,the references in that subsection to “$367,500” are to be read as references to “$402,500”,the reference in that subsection to “$105,000” is to be read as a reference to “$115,000”,the reference in paragraph (g) of that subsection to “1.71%” is to be read as a reference to “the lesser of $6,300 and 1.57%”, andthe reference in the description of A in the formula in paragraph (h) of that subsection to “1.71%” is to be read as a reference to “1.57%”;[Repealed, SOR/2012-191, s. 37]a residential complex situated in Prince Edward Island,the references in that subsection to “$472,500” are to be read as references to “$517,500”,the references in that subsection to “$367,500” are to be read as references to “$402,500”,the reference in that subsection to “$105,000” is to be read as a reference to “$115,000”,the reference in paragraph (g) of that subsection to “1.71%” is to be read as a reference to “the lesser of $6,300 and 1.57%”, andthe reference in the description of A in the formula in paragraph (h) of that subsection to “1.71%” is to be read as a reference to “1.57%”; anda residential complex situated in Newfoundland and Labrador,the references in that subsection to “$472,500” are to be read as references to “$517,500”,the references in that subsection to “$367,500” are to be read as references to “$402,500”,the reference in that subsection to “$105,000” is to be read as a reference to “$115,000”,the reference in paragraph (g) of that subsection to “1.71%” is to be read as a reference to “the lesser of $6,300 and 1.57%”, andthe reference in the description of A in the formula in paragraph (h) of that subsection to “1.71%” is to be read as a reference to “1.57%”.SOR/2012-191, s. 37; SOR/2013-44, s. 34; SOR/2016-119, s. 15; SOR/2016-212, s. 14SOR/2025-77, s. 11
Definition of relationIn this section, relation has the same meaning as in subsection 255(1) of the Act.Rebate in OntarioFor the purposes of subsection 256.21(1) of the Act, an individual is a prescribed person and the amount of the rebate under that subsection in respect of a share of the capital stock of a cooperative housing corporation is equal to the lesser of $24,000 and 5.31% of the total consideration referred to in paragraph (c), ifthe individual has acquired the share for the purpose of using a residential unit in a residential complex of the corporation that is situated in Ontario as the primary place of residence of the individual or of a relation of the individual;the corporation has paid tax under subsection 165(2) of the Act in respect of a taxable supply to the corporation of the complex; andthe individual is entitled to claim a rebate under subsection 255(2) of the Act in respect of the share or would be so entitled if the total (in this subsection referred to as the “total consideration”) of all amounts, each of which is the consideration payable for the supply to the individual of the share or an interest in the corporation, complex or unit, were less than $508,500.[Repealed, SOR/2012-191, s. 38]Application for rebateFor the purposes of subsection 256.21(2) of the Act, an application for a rebate, the amount of which is determined under subsection (2), must be filed within two years after the day on which ownership of the share is transferred to the individual.[Repealed, SOR/2012-191, s. 38]SOR/2012-191, s. 38
Rebates for Owner-built Homes
DefinitionsIn this section, relation has the same meaning as in subsection 256(1) of the Act.Rebate in OntarioIfan individual is entitled to claim a rebate under subsection 256(2) of the Act in respect of a residential complex that the individual has constructed or substantially renovated, or has engaged another person to construct or substantially renovate, and that is for use in Ontario as the primary place of residence of the individual or a relation of the individual, or the individual would be so entitled if the fair market value of the complex, at the time the construction or substantial renovation of the complex is substantially completed, were less than $450,000, andthe individual has paid all of the tax payable by the individual in respect of the supply by way of sale to the individual of the land that forms part of the complex or an interest in the land or in respect of the supply to, importation by, or bringing into Ontario by, the individual of any improvement to the land or, in the case of a mobile home or floating home, of the complex (the total of which tax under subsection 165(2) and sections 212.1, 218.1 and 220.05 to 220.07 of the Act is referred to in this subsection and subsection (4) as the “total tax in respect of the province”),for the purposes of subsection 256.21(1) of the Act, the individual is a prescribed person and the amount of the rebate in respect of the residential complex under that subsection is equal toif tax under subsection 165(2) of the Act is payable in respect of the supply by way of sale to the individual of the land that forms part of the complex or an interest in the land, the lesser of $24,000 and 75% of the total tax in respect of the province, orotherwise, the lesser of $16,080 and 75% of the total tax in respect of the province.[Repealed, SOR/2012-191, s. 39]Homes occupied before substantial completionIf an individual acquires an improvement in respect of the residential complex referred to in subsection (2) and tax in respect of the improvement becomes payable by the individual more than two years after the day on which the complex is first occupied as described in subparagraph 256(2)(d)(i) of the Act, that tax shall not be included under paragraph (2)(b) in determining, for the complex, the total tax in respect of the province.Mobile homes and floating homesFor the purposes of this section, a particular individual is deemed to have constructed a mobile home or floating home and to have substantially completed the construction immediately before the earlier of the times referred to in paragraph (d) and, in the case of a mobile home or floating home imported by the individual, any use or occupation of the home outside Canada is deemed not to be use or occupation of the home, ifthe particular individual at a particular time purchases, imports or brings into Ontario the mobile home or floating home and at the particular time the home has never been used or occupied by any individual as a place of residence or lodging in Canada;the particular individual does not file with the Minister or submit to the supplier an application for a rebate in respect of the home under section 254 or 254.1 of the Act or for a rebate in respect of the home under section 256.21 of the Act the amount of which is determined under subsection 41(2) or 43(1);the particular individual is acquiring, importing or bringing into Ontario the mobile home or floating home for use as the primary place of residence of the particular individual or of a relation of the particular individual; andthe first individual to occupy the mobile home or floating home in Canada at any time is the particular individual or a relation referred to in paragraph (c), or the particular individual at any time transfers ownership of the home under an agreement for an exempt supply by way of sale of the home.Application for rebateFor the purposes of subsection 256.21(2) of the Act, an application for a rebate in relation to a residential complex, the amount of which is determined under subsection (2), must be filed on or beforethe day (in this subsection referred to as the “due date”) that is the earliest ofthe day that is four years after the day on which the complex is first occupied as described in subparagraph 256(2)(d)(i) of the Act,the day that is two years after the day on which ownership is transferred as described in subparagraph 256(2)(d)(ii) of the Act, andthe day that is two years after the day on which construction or substantial renovation of the complex is substantially completed;any day after the due date allowed by the Minister under paragraph 256(3)(b) of the Act in respect of a rebate under section 256 of the Act in relation to the residential complex; orif paragraph (b) does not apply, any day after the due date that is set out in a written request filed with the Minister by the individual referred to in subsection (2) and that is satisfactory to the Minister.SOR/2012-191, s. 39
New Residential Rental Property Rebates
DefinitionsIn this subsection, percentage of total floor space, qualifying residential unit and relation have the same meanings as in subsection 256.2(1) of the Act.Meaning of provincial portion of basic tax contentIn this section, provincial portion of basic tax content, at a particular time, of property of a person means the amount that would be the basic tax content of the property at that time if no amount of tax under any of subsection 165(1) and sections 212 and 218 of the Act were included in determining that basic tax content.Land and building — OntarioSubject to subsections (13) to (15), if a person is entitled to claim a rebate under subsection 256.2(3) of the Act in respect of a residential complex, an interest in a residential complex or an addition to a multiple unit residential complex, situated in Ontario, or the person would be so entitled if the fair market value of the complex or addition were less than $450,000, for the purposes of subsection 256.21(1) of the Act, the person is a prescribed person and the amount of the rebate under that subsection in respect of the complex, interest or addition, as the case may be, is equal to the total of all amounts each of which is an amount, in respect of each residential unit that forms part of the complex or addition and that is a qualifying residential unit of the person at the specified time — being the time at which the tax in respect of the complex, interest or addition, as the case may be, first becomes payable in respect of the purchase from the supplier (within the meaning of subparagraph 256.2(3)(a)(i) of the Act) or is deemed to have been paid by the person in respect of the deemed purchase (within the meaning of subparagraph 256.2(3)(a)(ii) of the Act) — equal to the lesser of $24,000 and the amount determined by the formulaA × BwhereAis 75% of the total tax under subsection 165(2) of the Act that, at the specified time, is payable in respect of the purchase from the supplier or is deemed to have been paid in respect of the deemed purchase of the complex or addition; andBisif the unit is a single unit residential complex or a residential condominium unit, 1, andin any other case, the unit’s percentage of the total floor space.Land and building — Newfoundland and LabradorSubject to subsections (13) to (15), if a person is entitled to claim a rebate under subsection 256.2(3) of the Act in respect of a residential complex, an interest in a residential complex or an addition to a multiple unit residential complex, situated in Newfoundland and Labrador, for the purposes of subsection 256.21(1) of the Act, the person is a prescribed person and the amount of the rebate under that subsection in respect of the complex, interest or addition, as the case may be, is equal to the total of all amounts each of which is an amount, in respect of each residential unit that forms part of the complex or addition and that is a qualifying residential unit of the person at the specified time — being the time at which the tax in respect of the complex, interest or addition, as the case may be, first becomes payable in respect of the purchase from the supplier (within the meaning of subparagraph 256.2(3)(a)(i) of the Act) or is deemed to have been paid by the person in respect of the deemed purchase (within the meaning of subparagraph 256.2(3)(a)(ii) of the Act) — equal to the amount determined by the formulaA × ($450,000 − B)/$100,000whereAis the lesser of $12,600 and the amount determined by the formulaA1 × A2whereA1is 36% of the total tax under subsection 165(2) of the Act that, at the specified time, is payable in respect of the purchase from the supplier or is deemed to have been paid in respect of the deemed purchase of the complex or addition, andA2isif the unit is a single unit residential complex or a residential condominium unit, 1, andin any other case, the unit’s percentage of total floor space; andBis the greater of $350,000 andif the unit is a single unit residential complex or a residential condominium unit, the fair market value of the unit at the specified time, andin any other case, the amount determined by the formulaB1 × B2whereB1is the unit’s percentage of total floor space, andB2is the fair market value at the specified time of the residential complex or addition, as the case may be.Sale of building and lease of land — OntarioSubject to subsections (13) and (14), if a person is entitled to claim a rebate under subsection 256.2(4) of the Act in respect of a residential complex or an addition to a multiple unit residential complex, situated in Ontario, or the person would be so entitled if the fair market value of the complex or addition were less than $450,000 for the purposes of that subsection and subsection 254.1(2) of the Act and the amount determined by the first formula in subsection 256.2(4) of the Act were a positive amount, for the purposes of subsection 256.21(1) of the Act, the person is a prescribed person and the amount of the rebate in respect of the complex or addition under that subsection is equal to the total of all amounts each of which is an amount, in respect of a residential unit that forms part of the complex or addition, as the case may be, and is, in the case of a multiple unit residential complex or an addition to such a complex, a qualifying residential unit of the person at the specified time — being the time at which the person is deemed under section 191 of the Act to have made and received a taxable supply by way of sale of the complex or addition and to have paid tax in respect of that supply — determined by the formulaA - BwhereAis the lesser of $24,000 and the amount determined by the formulaA1 × A2whereA1is 75% of the tax under subsection 165(2) of the Act that is deemed under section 191 of the Act to have been paid by the person at the specified time, andA2isif the unit is a single unit residential complex or a residential condominium unit, 1, andin any other case, the unit’s percentage of total floor space; andBis the amount of the rebate, if any, under subsection 256.21(1) of the Act, the amount of which is determined under subsection 43(1), that the recipient of the exempt supply by way of sale referred to in subparagraph 256.2(4)(a)(i) of the Act is entitled to claim in respect of the complex or unit.Sale of building and lease of land — Newfoundland and LabradorSubject to subsections (13) and (14), if a person is entitled to claim a rebate under subsection 256.2(4) of the Act in respect of a residential complex or an addition to a multiple unit residential complex, situated in Newfoundland and Labrador, for the purposes of subsection 256.21(1) of the Act, the person is a prescribed person and the amount of the rebate in respect of the complex or addition under that subsection is equal to the total of all amounts each of which is an amount, in respect of a residential unit that forms part of the complex or addition, as the case may be, and is, in the case of a multiple unit residential complex or an addition to such a complex, a qualifying residential unit of the person at the specified time — being the time at which the person is deemed under section 191 of the Act to have made and received a taxable supply by way or sale of the complex or addition and to have paid tax in respect of that supply — determined by the formulaA × ($450,000 − B)/$100,000whereAis the lesser of $12,600 and the amount determined by the formulaA1 × A2whereA1is 36% of the tax under subsection 165(2) of the Act that is deemed under section 191 of the Act to have been paid by the person at the specified time, andA2isif the unit is a single unit residential complex or a residential condominium unit, 1, andin any other case, the unit’s percentage of total floor space; andBis the greater of $350,000 andif the unit is a single unit residential complex or a residential condominium unit, the fair market value of the unit at the specified time, andin any other case, the amount determined by the formulaB1 × B2whereB1is the unit’s percentage of total floor space, andB2is the fair market value at the specified time of the residential complex or addition, as the case may be.Cooperative housing corporation — OntarioSubject to subsections (13) and (14), if a cooperative housing corporation (in this subsection referred to as the “cooperative”) is entitled to claim a rebate in respect of a residential unit included in a residential complex situated in Ontario under subsection 256.2(5) of the Act, or would be so entitled if the fair market value of the residential complex were less than $450,000 and the amount determined by the first formula in that subsection were a positive amount, for the purposes of subsection 256.21(1) of the Act, the cooperative is a prescribed person in respect of the unit and the amount of the rebate in respect of the unit under that subsection is equal to the amount determined by the formulaA - BwhereAis the lesser of $24,000 and the amount determined by the formulaA1 × A2whereA1is 75% of the tax under subsection 165(2) of the Act that is payable in respect of the purchase from the supplier (within the meaning of subparagraph 256.2(5)(a)(i) of the Act) of the complex or an interest in the complex, as the case may be, or is deemed to have been paid in respect of the deemed purchase (within the meaning of subparagraph 256.2(5)(a)(ii) of the Act) of the complex or an addition to the complex, as the case may be, andA2isif the unit is a single unit residential complex, 1, andin any other case, the unit’s percentage of total floor space; andBis the amount of the rebate, if any, under subsection 256.21(1) of the Act, the amount of which is determined under subsection 45(2), that the recipient of the exempt supply of the unit referred to in paragraph 256.2(5)(c) of the Act is entitled to claim in respect of the unit.Cooperative housing corporation — Newfoundland and LabradorSubject to subsections (13) and (14), if a cooperative housing corporation (in this subsection referred to as the “cooperative”) is entitled to claim a rebate in respect of a residential unit included in a residential complex, situated in Newfoundland and Labrador, under subsection 256.2(5) of the Act, for the purposes of subsection 256.21(1) of the Act, the cooperative is a prescribed person in respect of the residential unit and the amount of the rebate in respect of the residential unit under that subsection is equal to the amount determined by the formulaA × ($450,000 − B)/$100,000whereAis the lesser of $12,600 and the amount determined by the formulaA1 × A2whereA1is 36% of the tax under subsection 165(2) of the Act that is payable in respect of the purchase from the supplier (within the meaning of subparagraph 256.2(5)(a)(i) of the Act) of the residential complex or an interest in the residential complex, as the case may be, or is deemed to have been paid in respect of the deemed purchase (within the meaning of subparagraph 256.2(5)(a)(ii) of the Act) of the residential complex or addition to the residential complex, as the case may be, andA2isif the unit is a single unit residential complex, 1, andin any other case, the unit’s percentage of total floor space; andBis the greater of $350,000 andif the residential unit is a single unit residential complex or a residential condominium unit, the fair market value of the residential unit at the particular time at which tax first becomes payable in respect of the purchase from the supplier or tax in respect of the deemed purchase is deemed to have been paid by the cooperative, andin any other case, the amount determined by the formulaB1 × B2whereB1is the unit’s percentage of total floor space, andB2is the fair market value of the residential complex at the particular time.Land leased for residential purposes — OntarioSubject subsections (13) and (14), if a person is entitled to claim a rebate under subsection 256.2(6) of the Act in respect of an exempt supply of land situated in Ontario, or the person would be so entitled if the amount determined for B in the formula in that subsection were less than $112,500, for the purposes of subsection 256.21(1) of the Act, the person is a prescribed person and the amount of the rebate in respect of the land under that subsection is equal toin the case of a supply of a site in a residential trailer park or in an addition to a residential trailer park, the lesser of $7,920 multiplied by the total number of sites in the park or addition, as the case may be, andif the person is deemed to have paid tax calculated on the fair market value of the park or addition in respect of the taxable supply referred to in subparagraph 256.2(6)(a)(ii) of the Act, 75% of the tax under subsection 165(2) of the Act that is deemed to have been paid in respect of that supply, orif the person is deemed to have paid tax at any time equal to the basic tax content of the park or addition in respect of the taxable supply referred to in subparagraph 256.2(6)(a)(ii) of the Act, 75% of the provincial portion of the basic tax content of the park or addition at that time; andin any other case, the lesser of $7,920 andif the person is deemed to have paid tax calculated on the fair market value of the land in respect of the taxable supply referred to in subparagraph 256.2(6)(a)(ii) of the Act, 75% of the tax under subsection 165(2) of the Act that is deemed to have been paid in respect of that supply, orif the person is deemed to have paid tax at any time equal to the basic tax content of the land in respect of the taxable supply referred to in subparagraph 256.2(6)(a)(ii) of the Act, 75% of the provincial portion of the basic tax content of the land at that time.Land leased for residential purposes — Newfoundland and LabradorSubject to subsections (13) and (14), if a person is entitled to claim a rebate under subsection 256.2(6) of the Act in respect of an exempt supply of land situated in Newfoundland and Labrador, for the purposes of subsection 256.21(1) of the Act, the person is a prescribed person and the amount of the rebate in respect of the land under that subsection is equal to the amount determined by the formulaA × ($112,500 − B)/$25,000whereAisin the case of a taxable supply in respect of which the person is deemed to have paid tax calculated on the fair market value of the land, 36% of the tax under subsection 165(2) of the Act that is deemed to have been paid in respect of that supply, andin the case of a taxable supply in respect of which the person is deemed to have paid tax equal to the basic tax content of the land, 36% of the provincial portion of the basic tax content of the land at the time at which the person is deemed to have paid the tax in respect of the taxable supply; andBis the greater of $87,500 andin the case of a supply of land included in paragraph 7(a) of Part I of Schedule V to the Act, the fair market value of the land at the time at which the person is deemed to have paid tax in respect of the taxable supply, andin the case of a supply of a site in a residential trailer park or in an addition to a residential trailer park, the fair market value, at the time at which the person is deemed to have paid the tax in respect of the taxable supply, of the park or addition, as the case may be, divided by the total number of sites in the park or addition, as the case may be, at that time.Application for rebateFor the purposes of subsection 256.21(2) of the Act, an application for a rebate, the amount of which is determined under this section, must be filed within two years after,in the case of a rebate in respect of a residential unit the amount of which is determined under any of subsections (3) to (6), the end of the month in which tax first becomes payable by the person, or is deemed to have been paid by the person, in respect of the unit or interest in the unit or in respect of the residential complex or addition, or interest therein, in which the unit is situated, as the case may be;in the case of a rebate the amount of which is determined under subsection (7) or (8), the end of the month in which the person makes the exempt supply referred to in that subsection; andin the case of a rebate the amount of which is determined under subsection (9) or (10), the end of the month in which the person is deemed to have paid the tax referred to in that subsection.[Repealed, SOR/2012-191, s. 40]Prescribed circumstancesThe following circumstances are prescribed for the purposes of subsection 256.21(1) of the Act in respect of any rebate, the amount of which is determined under this section, to a person:if the rebate is in respect of a taxable supply received by the person from another person, the person has paid all of the tax payable in respect of that supply;if the rebate is in respect of a taxable supply in respect of which the person is deemed to have collected tax in a reporting period of the person, the person has reported the tax in the person’s return under Division V of Part IX of the Act for the reporting period and has remitted all net tax remittable, if any, as reported in that return;no amount of tax included in determining the rebate would otherwise be included in determining a rebate of the person under section 256.1 of the Act or in determining a rebate of the person under section 256.21 of the Act, the amount of which is determined under any of sections 41, 43, 45 and 46; andno amount of tax that would otherwise be included in determining the rebate is included in determining a rebate of the person under section 259 of the Act.Application of subsection 256.2(9) of ActIf, in the absence of this subsection, a rebate under subsection 256.21(1) of the Act in respect of real property would not be payable to a person only because all or part of the tax included in determining the amount of a particular rebate in respect of the real property under section 256.2 of the Act would otherwise be included in determining the amount of a rebate of the person under section 259 of the Act, for the purpose of applying this section in respect of the real property, the person is deemed to be entitled to claim the particular rebate.RestrictionIf a person is entitled to include an amount of tax in determining, under this section, the amount of a particular rebate payable under subsection 256.21(1) of the Act in respect of real property and the person includes all or part of the amount of tax in determining the amount of a rebate of the person under section 259 of the Act that is claimed by the person at any time, for the purpose of applying section 256.21 of the Act in respect of the real property, the person is deemed to have never been entitled to include the amount of tax in determining the amount of the particular rebate.Special rulesFor the purposes of this section, subsection 256.2(8) of the Act applies with any necessary modifications.RestrictionsIn determining under this section the amount of a rebate payable to a person under subsection 256.21(1) of the Act, there shall not be included any amount of tax that the person is, under an Act of Parliament (other than the Act) or any other law,not required to pay or remit; orentitled to recover by way of a rebate, refund or remission.Exception — prescribed personIf, in the absence of this subsection, a person would be, under subsection (3), a prescribed person for the purposes of subsection 256.21(1) of the Act in respect of a qualifying residential unit (other than a unit located in a multiple unit residential complex) and, within one year after the unit is first occupied as a place of residence after the construction or last substantial renovation of the unit was substantially completed, the person makes a supply by way of sale (other than a supply deemed under section 183 or 184 of the Act to have been made) of the unit to a purchaser who is not acquiring the unit for use as the primary place of residence of the purchaser or of a relation of the purchaser, the person is deemed never to have been a prescribed person under subsection (3) for the purposes of subsection 256.21(1) of the Act in respect of the qualifying residential unit.SOR/2012-191, s. 40SOR/2024-157, s. 6
Rebate for Printed Books
Subsection 259.1(2) of the Act is modified to adapt that subsection to the new harmonized value-added tax system as follows:The Minister shall, subject to subsection (3), pay a rebate to a person that is, on the last day of a claim period of the person or of the person’s fiscal year that includes that claim period, a specified person equal to the amount of tax under section 165, 212, 212.1, 220.05, 220.06 or 220.07 that became payable in the claim period by the person in respect of the acquisition, importation or bringing into a participating province of specified property ifin the case of a specified person described in paragraph (f) of the definition specified person in subsection (1), the person does not acquire, import or bring in the specified property for any of the following purposes:the purpose of making a supply by way of sale of the specified property for consideration, andthe purpose of transferring ownership of the specified property to another person in the course of supplying another property or a service for consideration; andin any other case, the person does not acquire, import or bring in the specified property for any of the following purposes:the purpose of making a supply by way of sale of the specified property, andthe purpose of transferring ownership of the specified property to another person in the course of supplying another property or a service.SOR/2016-306, s. 3SOR/2023-161, s. 6
Ontario and British Columbia Real Property Transitional RulesInterpretation
DefinitionsThe following definitions apply in this Part.qualifying date for a province meansin the case of Ontario, June 18, 2009; andin the case of British Columbia, November 18, 2009. (date déterminée)specified province means Ontario or British Columbia. (province déterminée)Related personsFor the purposes of this Part, an individual is deemed not to deal at arm’s length with an aunt, uncle, nephew or niece of the individual.Group of personsIf a supply of a residential complex is made to two or more persons, or two or more persons construct or substantially renovate, or engage another person to construct or substantially renovate, a residential complex, the references in this Part to a person or an individual are to be read as references to all of those persons as a group, but only one of those persons may apply for a rebate under subsection 256.21(1) of the Act in respect of the complex, the amount of which is determined under this Part.
Application
ApplicationSubject to subsection (2) and to Division 3 and section 42 of the New Harmonized Value-added Tax System Regulations, subsection 165(2) of the Act and the provisions of Part IX of the Act (other than Divisions IX and X of that Part) relating to tax under that subsection apply toany supply of real property made in a specified province on or after July 1, 2010;any supply by way of sale of real property made in a specified province before July 1, 2010 if ownership and possession of that property are transferred to the recipient of the supply on or after July 1, 2010;any supply of real property made in a specified province before July 1, 2010 by way of lease, licence or similar arrangement if all of the consideration for the supply becomes due or is paid without having become due, or is deemed to have become due or to have been paid, on or after July 1, 2010 and is not deemed to have become due or to have been paid before that day; andany supply of real property made in a specified province before July 1, 2010 by way of lease, licence or similar arrangement if part of the consideration for the supply becomes due or is paid without having become due, or is deemed to have become due or to have been paid, on or after July 1, 2010.ExceptionSubject to Division 3, tax under subsection 165(2) of the Act is not payable in respect of any part of the consideration for a supply referred to in paragraph (1)(d) that becomes due or is paid before July 1, 2010 and is not deemed to have become due or to have been paid on or after that day.SOR/2013-44, s. 35
Agreement not indicating taxIfa builder of a residential complex makes a taxable supply by way of sale of the complex in a specified province under an agreement of purchase and sale entered into after the qualifying date for the specified province and before July 1, 2010,tax under subsection 165(2) of the Act becomes payable in respect of the supply,the agreement does not indicate in writingthe total tax payable in respect of the supply in a manner that clearly indicates the amount of that total and whether or not that amount takes into account any amount to be paid or credited in accordance with subsection 254(4) or 256.21(3) of the Act, andthe total of the rates at which tax is payable in respect of the supply, andthe builder is required under section 221 of the Act to collect tax in respect of the supply,the following rules apply:for the purposes of Part IX of the Act the consideration for the supply is deemed to be the amount determined by the formula(100%/A) × BwhereAis the total of 100% and the rate at which tax under subsection 165(2) of the Act is calculated in respect of the supply, andBis the consideration for the supply as otherwise determined under Part IX of the Act,for the purposes of Part IX of the Act, the builder is deemed to have collected, and the recipient is deemed to have paid, on the earlier of the day ownership of the complex is transferred to the recipient and the day possession of the complex is transferred to the recipient under the agreement, tax under subsection 165(2) of the Act calculated on the consideration for the supply, andfor the purposes of Part IX of the Act, if the recipient is entitled to claim a rebate under subsection 254(2) of the Act in respect of the complex and the builder, in accordance with subsection 254(4) of the Act, pays to, or credits to or in favour of, the recipient the amount of the rebate under subsection 254(2) of the Act, the recipient is deemed to be entitled to claim a rebate in respect of the complex under subsection 256.21(1) of the Act, the amount of which is determined under subsection 41(2) or (3), and the builder is deemed to have credited in favour of the recipient the amount of that rebate in accordance with subsection 256.21(3) of the Act on the earlier of the day ownership of the complex is transferred to the recipient and the day possession of the complex is transferred to the recipient under the agreement.
Transition
Transfer of single unit residential complex after June 2010Ifa particular taxable supply by way of sale of a single unit residential complex (other than a floating home or a mobile home) is made in a specified province to an individual under an agreement, evidenced in writing, entered into between the supplier (in this section referred to as the “original vendor”) and the individual on or before the qualifying date for the specified province,neither ownership nor possession of the complex is transferred to the individual under the agreement before July 1, 2010, andpossession of the complex is transferred to the individual under the agreement at any time on or after July 1, 2010,the following rules apply:no tax is payable under subsection 165(2) of the Act in respect of the particular supply,for the purposes of Part IX of the Act, if immediately after June 2010, the construction or last substantial renovation of the complex is less than 90% completed, the original vendor is deemed to have made another taxable supply in respect of the complex and to have collected, at the earlier of the time ownership of the complex is transferred to the individual and the time possession of the complex is transferred to the individual under the agreement, tax under Division II of Part IX of the Act in respect of the other supply equal to2% of the consideration for the particular supply if the construction or last substantial renovation of the complex is, immediately after June 2010, less than 10% completed,1.5% of the consideration for the particular supply if the construction or last substantial renovation of the complex is, immediately after June 2010, 10% or more but less than 25% completed,1% of the consideration for the particular supply if the construction or last substantial renovation of the complex is, immediately after June 2010, 25% or more but less than 50% completed,0.5% of the consideration for the particular supply if the construction or last substantial renovation of the complex is, immediately after June 2010, 50% or more but less than 75% completed, and0.2% of the consideration for the particular supply if the construction or last substantial renovation of the complex is, immediately after June 2010, 75% or more but less than 90% completed,for the purposes of paragraph (e), if the value of the consideration for the particular supply is less than the amount that would be the fair market value of the complex at the time the agreement is entered into if the construction of the complex or, in the case of a substantial renovation of the complex, the last substantial renovation of the complex, were substantially completed at that time, the consideration is deemed to be equal to that amount, andfor the purposes of Division 4, the complex is deemed not to be a specified single unit residential complex.Assignment of agreementThe rules in paragraphs (1)(d) to (g) apply in respect of an agreement described in paragraph (1)(a) in respect of a single unit residential complex (other than a floating home or a mobile home) if the following circumstances apply:the agreement is assigned to a particular individual;neither ownership nor possession of the complex is transferred to any individual under the agreement before July 1, 2010;possession of the complex is transferred to the particular individual under the agreement at any time on or after July 1, 2010; andthe following conditions are met in respect of the assignment of the agreement to the particular individual and in respect of every other assignment of the agreement made prior to the assignment to the particular individual:a novation of the agreement has not occurred,the original vendor of the complex and the individual who assigns the agreement deal with each other at arm’s length and are not associated with each other, andneither the original vendor of the complex nor any person that does not deal at arm’s length with, or that is associated with, the original vendor acquires an interest in the complex.In applying those rules, the reference to the “individual” in paragraph (1)(e) is to be read as a reference to the “particular individual”.First resellerIf an individual (in this section referred to as the “first reseller”) makes a taxable supply by way of sale (in this section referred to as the “first resale”) of a single unit residential complex (other than a floating home or a mobile home) to a particular individual under an agreement evidenced in writing and the first reseller is the recipient of a previous supply of the complex in respect of which no tax is payable under subsection 165(2) of the Act pursuant to subsection (1) or (2), no tax is payable under subsection 165(2) of the Act in respect of the first resale if the following conditions are satisfied:the first reseller acquires the complex primarily for the purpose of making a taxable supply by way of sale of the complex;possession of the complex is transferred to the first reseller after the construction or last substantial renovation of the complex is substantially completed;the original vendor of the complex and the first reseller deal with each other at arm’s length and are not associated with each other;eitherthe first reseller is a builder of the complex that is described in paragraphs (b) and (d) of the definition builder in subsection 123(1) of the Act but not in paragraphs (a), (c) and (e) of that definition and all or substantially all of the construction of the complex, or all or substantially all of the last substantial renovation of the complex and any subsequent construction or renovation, as the case may be, that is completed at the earlier of the time ownership of the complex is transferred and the time possession of the complex is transferred by the first reseller to the particular individual has been completed by a person other than the first reseller, orthe first reseller is a builder of the complex that is described only in paragraph (d) of the definition builder in subsection 123(1) of the Act; andneither the original vendor of the complex nor any person that does not deal at arm’s length with, or that is associated with, the original vendor acquires an interest in the complex.First reseller — disclosureIf a first reseller makes a first resale of a single unit residential complex (other than a floating home or a mobile home) to a particular individual and no tax is payable under subsection 165(2) of the Act in respect of the first resale pursuant to subsection (3), or no tax would have been payable under subsection 165(2) of the Act in respect of the first resale pursuant to subsection (3) if that subsection were read without reference to paragraph (3)(e), the first reseller shall indicate in writing to the particular individualthe name of the original vendor of the complex; andthat the first reseller was the recipient of a previous supply of the complex in respect of which no tax was payable under subsection 165(2) of the Act pursuant to subsection (1) or (2), as the case may be.Input tax credit — first resellerIf an individual makes a particular taxable supply by way of sale of a single unit residential complex (other than a floating home or a mobile home) to a person under an agreement evidenced in writing, the individual is the recipient of a previous supply of the complex in respect of which no tax is payable under subsection 165(2) of the Act pursuant to subsection (1) or (2) and tax under subsection 165(2) of the Act is payable in respect of the particular supply, for the purposes of determining an input tax credit of the individual and for the purposes of section 54, the individual is deemed to have received another taxable supply in respect of the complex and to have paid, at the time possession of the complex is transferred to the person, tax in respect of the other supply equal to 2% of the consideration for the previous supply made to the individual by the original vendor of the complex.Subsequent resellerIf an individual (in this section referred to as the “subsequent reseller”) makes a taxable supply by way of sale (in this section referred to as the “subsequent resale”) of a single unit residential complex (other than a floating home or a mobile home) to a particular individual under an agreement evidenced in writing and the subsequent reseller is the recipient of a previous supply of the complex in respect of which no tax is payable under subsection 165(2) of the Act pursuant to subsection (3) or this subsection, no tax is payable under subsection 165(2) of the Act in respect of the subsequent resale if the following conditions are satisfied:the subsequent reseller acquires the complex primarily for the purpose of making a taxable supply by way of sale of the complex;eitherthe subsequent reseller is a builder of the complex that is described in paragraphs (b) and (d) of the definition builder in subsection 123(1) of the Act but not in paragraphs (a), (c) and (e) of that definition and all or substantially all of the construction of the complex, or all or substantially all of the last substantial renovation of the complex and any subsequent construction or renovation, as the case may be, that is completed at the earlier of the time ownership of the complex is transferred and the time possession of the complex is transferred by the subsequent reseller to the particular individual has been completed by a person other than the subsequent reseller, orthe subsequent reseller is a builder of the complex that is described only in paragraph (d) of the definition builder in subsection 123(1) of the Act; andneither the original vendor of the complex nor any person that does not deal at arm’s length with, or that is associated with, the original vendor acquires an interest in the complex.Subsequent reseller — disclosureIf a subsequent reseller makes a subsequent resale of a single unit residential complex (other than a floating home or a mobile home) to a particular individual and no tax is payable under subsection 165(2) of the Act in respect of the subsequent resale pursuant to subsection (6), or no tax would have been payable under subsection 165(2) of the Act in respect of the subsequent resale pursuant to subsection (6) if that subsection were read without reference to paragraph (6)(c), the subsequent reseller shall indicate in writing to the particular individualthe name of the original vendor of the complex; andthat the subsequent reseller was the recipient of a previous supply of the complex in respect of which no tax was payable under subsection 165(2) of the Act pursuant to subsection (3) or (6), as the case may be.Agreement not indicating taxIfa first reseller or a subsequent reseller of a single unit residential complex (other than a floating home or a mobile home) makes a taxable supply by way of sale of the complex in a specified province under an agreement of purchase and sale,tax under subsection 165(2) of the Act becomes payable in respect of the taxable supply,the agreement does not indicate in writingthe total tax payable in respect of the supply in a manner that clearly indicates the amount of that total and whether or not that amount takes into account any amount to be paid or credited in accordance with subsection 254(4) or 256.21(3) of the Act, andthe total of the rates at which tax is payable in respect of the supply, andthe first reseller or subsequent reseller, as the case may be, is required under section 221 of the Act to collect tax in respect of the supply,the following rules apply:for the purposes of Part IX of the Act the consideration for the supply is deemed to be the amount determined by the formula(100%/A) × BwhereAis the total of 100% and the rate at which tax under subsection 165(2) of the Act is calculated in respect of the supply, andBis the consideration for the supply as otherwise determined under Part IX of the Act,for the purposes of Part IX of the Act, the first reseller or subsequent reseller, as the case may be, is deemed to have collected, and the recipient is deemed to have paid, on the earlier of the day ownership of the complex is transferred to the recipient and the day possession of the complex is transferred to the recipient under the agreement, tax under subsection 165(2) of the Act calculated on the consideration for the supply, andfor the purposes of Part IX of the Act, if the recipient is entitled to claim a rebate under subsection 254(2) of the Act in respect of the complex and the first reseller or subsequent reseller, as the case may be, pays to, or credits to or in favour of, the recipient the amount of the rebate under that subsection, the recipient is deemed to be entitled to claim a rebate in respect of the complex under subsection 256.21(1) of the Act, the amount of which is determined under subsection 41(2) or (3) and the first reseller or subsequent reseller, as the case may be, is deemed to have credited in favour of the recipient the amount of that rebate in accordance with subsection 256.21(3) of the Act on the earlier of the day ownership of the complex is transferred to the recipient and the day possession of the complex is transferred to the recipient under the agreement.Self-assessment on acquisition of real propertyIf a particular individual is the recipient of a taxable supply by way of sale of a single unit residential complex (other than a floating home or a mobile home) from another person, tax under subsection 165(2) of the Act is payable in respect of the supply, no tax would have been payable under subsection 165(2) of the Act in respect of the supply if subsection (2) were read without reference to subparagraph (2)(d)(iii), subsection (3) were read without reference to paragraph (3)(e) or subsection (6) were read without reference to paragraph (6)(c), whichever is applicable in respect of the taxable supply, and the other person would, in the absence of this subsection, be required under section 221 of the Act to collect tax in respect of the supply, the following rules apply:despite section 221 of the Act, the other person is not required to collect tax under subsection 165(2) of the Act in respect of the supply;the particular individual shall,if the particular individual is a registrant and acquired the complex for use or supply primarily in the course of commercial activities of the particular individual, on or before the day on or before which the particular individual’s return for the reporting period in which the tax became payable is required to be filed, pay the tax payable under subsection 165(2) of the Act in respect of the supply to the Receiver General and report that tax in that return, andin any other case, on or before the last day of the month following the calendar month in which the tax became payable, pay the tax payable under subsection 165(2) of the Act to the Receiver General and file with the Minister in prescribed manner a return in respect of the tax under subsection 165(2) of the Act in prescribed form containing prescribed information; andsubsection (8) does not apply in respect of the supply.[Repealed, SOR/2011-56, s. 33]SOR/2011-56, s. 33; SOR/2013-44, s. 36(F)
Transfer of residential condominium unit after June 2010Ifa particular taxable supply by way of sale of a residential condominium unit is made in a specified province to a person under an agreement, evidenced in writing, entered into between the supplier (in this section referred to as the “original vendor”) and the person on or before the qualifying date for the specified province,neither ownership nor possession of the unit is transferred to the person under the agreement before July, 1, 2010, andpossession of the unit is transferred to the person under the agreement at any time on or after July, 1, 2010,the following rules apply:no tax is payable under subsection 165(2) of the Act in respect of the particular supply,for the purposes of Part IX of the Act, the original vendor is deemed to have made another taxable supply in respect of the unit and to have collected, at the earlier of the time ownership of the unit is transferred to the person and the time possession of the unit is transferred to the person under the agreement, tax under Division II of Part IX of the Act in respect of the other supply equal to 2% of the consideration for the particular supply, andfor the purposes of paragraph (e) and Division 4, if the value of the consideration for the particular supply is less than the amount that would be the fair market value of the unit at the time the agreement is entered into if the construction of the unit or, in the case of a substantial renovation of the unit, the last substantial renovation of the unit, were substantially completed at that time, the consideration is deemed to be equal to that amount.[Repealed, SOR/2012-191, s. 41]Assignment of agreementThe rules in paragraphs (1)(d) to (f) apply in respect of an agreement described in paragraph (1)(a) in respect of a residential condominium unit if the following circumstances apply:the agreement is assigned to a particular person;neither ownership nor possession of the unit is transferred to any person under the agreement before July 1, 2010;possession of the unit is transferred to the particular person under the agreement at any time on or after July 1, 2010; andthe following conditions are met in respect of the assignment of the agreement to the particular person and in respect of every other assignment of the agreement made prior to the assignment to the particular person:a novation of the agreement has not occurred,the original vendor of the unit and the person that assigns the agreement deal with each other at arm’s length and are not associated with each other, andneither the original vendor of the unit nor any person that does not deal at arm’s length with, or that is associated with, the original vendor acquires an interest in the unit.In applying those rules, the reference to the “person” in paragraph (1)(e) is to be read as a reference to the “particular person”.First resellerIf a person (in this section referred to as the “first reseller”) makes a taxable supply by way of sale (in this section referred to as the “first resale”) of a residential condominium unit to a particular person under an agreement evidenced in writing and the first reseller is the recipient of a previous supply of the unit that in respect of which no tax is payable under subsection 165(2) of the Act pursuant to subsection (1) or (2), no tax is payable under subsection 165(2) of the Act in respect of the first resale if the following conditions are satisfied:the first reseller acquires the unit primarily for the purpose of making a taxable supply by way of sale of the unit;possession of the unit is transferred to the first reseller after the construction or last substantial renovation of the unit is substantially completed;the original vendor of the unit and the first reseller deal with each other at arm’s length and are not associated with each other;eitherthe first reseller is a builder of the unit that is described in paragraphs (b) and (d) of the definition builder in subsection 123(1) of the Act but not in paragraphs (a), (c) and (e) of that definition and all or substantially all of the construction of the unit, or all or substantially all of the last substantial renovation of the unit and any subsequent construction or renovation, as the case may be, that is completed at the earlier of the time ownership of the unit is transferred and the time possession of the unit is transferred by the first reseller to the particular person has been completed by a person other than the first reseller, orthe first reseller is a builder of the unit that is described only in paragraph (d) of the definition builder in subsection 123(1) of the Act; andneither the original vendor of the unit nor any person that does not deal at arm’s length with, or that is associated with, the original vendor acquires an interest in the unit.First reseller — disclosureIf a first reseller makes a first resale of a residential condominium unit to a particular person and no tax is payable under subsection 165(2) of the Act in respect of the first resale pursuant to subsection (3), or no tax would have been payable under subsection 165(2) of the Act in respect of the first resale pursuant to subsection (3) if that subsection were read without reference to paragraph (3)(e), the first reseller shall indicate in writing to the particular personthe name of the original vendor of the unit; andthat the first reseller was the recipient of a previous supply of the unit in respect of which no tax was payable under subsection 165(2) of the Act pursuant to subsection (1) or (2), as the case may be.Input tax credit — first resellerIf a particular person makes a particular taxable supply by way of sale of a residential condominium unit to another person under an agreement evidenced in writing, the particular person is the recipient of a previous supply of the unit in respect of which no tax is payable under subsection 165(2) of the Act pursuant to subsection (1) or (2) and tax under subsection 165(2) of the Act is payable in respect of the particular supply, for the purposes of determining an input tax credit of the particular person and for the purposes of section 54, the particular person is deemed to have received another taxable supply in respect of the unit and to have paid, at the time possession of the unit is transferred to the other person, tax in respect of the other supply equal to 2% of the consideration for the previous supply made to the particular person by the original vendor of the unit.Subsequent resellerIf a person (in this section referred to as the “subsequent reseller”) makes a taxable supply by way of sale (in this section referred to as the “subsequent resale”) of a residential condominium unit to a particular person under an agreement evidenced in writing and the subsequent reseller is the recipient of a previous supply of the unit in respect of which no tax is payable under subsection 165(2) of the Act pursuant to subsection (3) or this subsection, no tax is payable under subsection 165(2) of the Act in respect of the subsequent resale if the following conditions are satisfied:the subsequent reseller acquires the unit primarily for the purpose of making a taxable supply by way of sale of the unit;eitherthe subsequent reseller is a builder of the unit that is described in paragraphs (b) and (d) of the definition builder in subsection 123(1) of the Act but not in paragraphs (a), (c) and (e) of that definition and all or substantially all of the construction of the unit, or all or substantially all of the last substantial renovation of the unit and any subsequent construction or renovation, as the case may be, that is completed at the earlier of the time ownership of the unit is transferred and the time possession of the unit is transferred by the subsequent reseller to the particular individual has been completed by a person other than the subsequent reseller, orthe subsequent reseller is a builder of the unit that is described only in paragraph (d) of the definition builder in subsection 123(1) of the Act; andneither the original vendor of the unit nor any person that does not deal at arm’s length with, or that is associated with, the original vendor acquires an interest in the unit.Subsequent reseller — disclosureIf a subsequent reseller makes a subsequent resale of a residential condominium unit to a particular person and no tax is payable under subsection 165(2) of the Act in respect of the subsequent resale pursuant to subsection (6), or no tax would have been payable under subsection 165(2) of the Act in respect of the subsequent resale pursuant to subsection (6) if that subsection were read without reference to paragraph (6)(c), the subsequent reseller shall indicate in writing to the particular personthe name of the original vendor of the unit; andthat the subsequent reseller was the recipient of a previous supply of the unit in respect of which no tax was payable under subsection 165(2) of the Act pursuant to subsection (3) or (6), as the case may be.Agreement not indicating taxIfa first reseller or a subsequent reseller of a residential condominium unit makes a taxable supply by way of sale of the unit in a specified province under an agreement of purchase and sale,tax under subsection 165(2) of the Act becomes payable in respect of the taxable supply,the agreement does not indicate in writingthe total tax payable in respect of the supply in a manner that clearly indicates the amount of that total and whether or not that amount takes into account any amount to be paid or credited in accordance with subsection 254(4) or 256.21(3) of the Act, andthe total of the rates at which tax is payable in respect of the supply, andthe first reseller or subsequent reseller, as the case may be, is required under section 221 of the Act to collect tax in respect of the supply,the following rules apply:for the purposes of Part IX of the Act the consideration for the supply is deemed to be the amount determined by the formula(100%/A) × BwhereAis the total of 100% and the rate at which tax under subsection 165(2) of the Act is calculated in respect of the supply, andBis the consideration for the supply as otherwise determined under Part IX of the Act,for the purposes of Part IX of the Act, the first reseller or subsequent reseller, as the case may be, is deemed to have collected, and the recipient is deemed to have paid, on the earlier of the day ownership of the unit is transferred to the recipient and the day possession of the unit is transferred to the recipient under the agreement, tax under subsection 165(2) of the Act calculated on the consideration for the supply, andfor the purposes of Part IX of the Act, if the recipient is entitled to claim a rebate under subsection 254(2) of the Act in respect of the unit and the first reseller or subsequent reseller, as the case may be, pays to, or credits to or in favour of, the recipient the amount of the rebate under that subsection, the recipient is deemed to be entitled to claim a rebate in respect of the unit under subsection 256.21(1) of the Act, the amount of which is determined under subsection 41(2) or (3) and the first reseller or subsequent reseller, as the case may be, is deemed to have credited in favour of the recipient the amount of that rebate in accordance with subsection 256.21(3) of the Act on the earlier of the day ownership of the unit is transferred to the recipient and the day possession of the unit is transferred to the recipient under the agreement.Self-assessment on acquisition of real propertyIf a particular person is the recipient of a taxable supply by way of sale of a residential condominium unit from another person, tax under subsection 165(2) of the Act is payable in respect of the supply, no tax would have been payable under subsection 165(2) of the Act in respect of the supply if subsection (2) were read without reference to subparagraph (2)(d)(iii), subsection (3) were read without reference to paragraph (3)(e) or subsection (6) were read without reference to paragraph (6)(c), whichever is applicable in respect of the taxable supply, and the other person would, in the absence of this subsection, be required under section 221 of the Act to collect tax in respect of the supply, the following rules apply:despite section 221 of the Act, the other person is not required to collect tax under subsection 165(2) of the Act in respect of the supply;the particular person shall,if the particular person is a registrant and acquired the unit for use or supply primarily in the course of commercial activities of the particular person, on or before the day on or before which the particular person’s return for the reporting period in which the tax became payable is required to be filed, pay the tax payable under subsection 165(2) of the Act in respect of the supply to the Receiver General and report that tax in that return, andin any other case, on or before the last day of the month following the calendar month in which the tax became payable, pay the tax payable under subsection 165(2) of the Act to the Receiver General and file with the Minister in prescribed manner a return in respect of the tax under subsection 165(2) of the Act in prescribed form containing prescribed information; andsubsection (8) does not apply in respect of the supply.[Repealed, SOR/2011-56, s. 34]SOR/2011-56, s. 34; SOR/2012-191, s. 41; SOR/2013-44, s. 37(E)
Transfer of condominium complex after June 2010Ifa particular taxable supply by way of sale of a condominium complex is made in a specified province to a person under an agreement, evidenced in writing, entered into between the supplier (in this section referred to as the “original vendor”) and the person on or before the qualifying date for the specified province,neither ownership nor possession of the complex is transferred to the person under the agreement before July 1, 2010, andat any time on or after July 1, 2010, ownership of the complex is transferred to the person under the agreement or the complex is registered as a condominium,the following rules apply:no tax is payable under subsection 165(2) of the Act in respect of the particular supply,for the purposes of Part IX of the Act, the original vendor is deemed to have made another taxable supply in respect of the complex and to have collected, on the earlier of the day ownership of the complex is transferred to the person under the agreement and the day that is sixty days after the day on which the complex is registered as a condominium, tax under Division II of Part IX of the Act in respect of the other supply equal to 2% of the consideration for the particular supply, andfor the purposes of paragraph (e) and Division 4, if the value of the consideration for the particular supply is less than the amount that would be the fair market value of the complex at the time the agreement is entered into if the construction of the complex or, in the case of a substantial renovation of the complex, the last substantial renovation of the complex, were substantially completed at that time, the consideration is deemed to be equal to that amount.Assignment of agreementThe rules in paragraphs (1)(d) to (f) apply in respect of an agreement described in paragraph (1)(a) in respect of a condominium complex if the following circumstances apply:the agreement is assigned to a particular person;neither ownership nor possession of the complex is transferred to any person under the agreement before July 1, 2010;at any time on or after July 1, 2010, ownership of the complex is transferred to the particular person or the complex is registered as a condominium; andthe following conditions are met in respect of the assignment of the agreement to the particular person and in respect of every other assignment of the agreement made prior to the assignment to the particular person:a novation of the agreement has not occurred,the original vendor of the complex and the person that assigns the agreement deal with each other at arm’s length and are not associated with each other, andneither the original vendor of the complex nor any person that does not deal at arm’s length with, or that is associated with, the original vendor acquires an interest in the complex.In applying those rules, the reference to the “person” in paragraph (1)(e) is to be read as a reference to the “particular person”.First resellerIf a person (in this section referred to as the “first reseller”) makes a taxable supply by way of sale (in this section referred to as the “first resale”) of a condominium complex, or any residential condominium unit located in a condominium complex, to a particular person under an agreement evidenced in writing and the first reseller is the recipient of a previous supply of the complex in respect of which no tax is payable under subsection 165(2) of the Act pursuant to subsection (1) or (2), no tax is payable under subsection 165(2) of the Act in respect of the first resale, if the following conditions are satisfied:the first reseller acquires the complex primarily for the purpose of making a taxable supply by way of sale of the complex or unit, as the case may be;possession of the complex is transferred to the first reseller after the construction or last substantial renovation of the complex is substantially completed;the original vendor of the complex and the first reseller deal with each other at arm’s length and are not associated with each other;eitherthe first reseller is a builder of the complex or unit, as the case may be, that is described in paragraphs (b) and (d) of the definition builder in subsection 123(1) of the Act but not in paragraphs (a), (c) and (e) of that definition and all or substantially all of the construction of the complex or unit, or all or substantially all of the last substantial renovation of the complex or unit and any subsequent construction or renovation, as the case may be, that is completed at the earlier of the time ownership of the complex or unit is transferred and the time possession of the complex or unit is transferred by the first reseller to the particular person has been completed by a person other than the first reseller, orthe first reseller is a builder of the complex or unit, as the case may be, that is described only in paragraph (d) of the definition builder in subsection 123(1) of the Act; andneither the original vendor of the complex nor any person that does not deal at arm’s length with, or that is associated with, the original vendor acquires an interest in the complex or unit, as the case may be.First reseller — disclosureIf a first reseller makes a first resale of a condominium complex, or any residential condominium unit located in a condominium complex, to a particular person and no tax is payable under subsection 165(2) of the Act in respect of the first resale pursuant to subsection (3), or no tax would have been payable under subsection 165(2) of the Act in respect of the first resale pursuant to subsection (3) if that subsection were read without reference to paragraph (3)(e), the first reseller shall indicate in writing to the particular person,the name of the original vendor of the complex; andthat the first reseller was the recipient of a previous supply of the complex in respect of which no tax was payable under subsection 165(2) of the Act pursuant to subsection (1) or (2), as the case may be.Input tax credit — first resellerIf a particular person makes a particular taxable supply by way of sale of a condominium complex, or any residential condominium unit located in a condominium complex, to another person under an agreement evidenced in writing, the particular person is the recipient of a previous supply of the complex in respect of which no tax is payable under subsection 165(2) of the Act pursuant to subsection (1) or (2) and tax under subsection 165(2) of the Act is payable in respect of the particular supply, for the purposes of determining an input tax credit of the particular person and for the purposes of section 54,if the particular supply is a supply of a condominium complex, the particular person is deemed to have received another taxable supply in respect of the complex and to have paid, at the time possession of the complex is transferred to the other person, tax in respect of the other supply equal to 2% of the consideration for the previous supply made to the particular person by the original vendor of the complex; orif the particular supply is a supply of a residential condominium unit located in a condominium complex, the particular person is deemed to have received another taxable supply in respect of the complex and to have paid, at the time possession of the unit is transferred to the other person, tax in respect of the other supply equal to 2% of the consideration for the previous supply made to the particular person by the original vendor of the complex multiplied by the percentage of total floor space (as defined in subsection 256.2(1) of the Act) of the unit.Subsequent reseller — condominium complexIf a person (in this section referred to as a “subsequent reseller”) acquires a condominium complex and makes a taxable supply by way of sale (in this section referred to as the “subsequent resale”) of the complex or any residential condominium unit located in the complex to a particular person under an agreement evidenced in writing and no tax is payable under subsection 165(2) of the Act pursuant to subsection (3) or this subsection in respect of the acquisition by the subsequent reseller of the complex, no tax is payable under subsection 165(2) of the Act in respect of the subsequent resale if the following conditions are satisfied:the subsequent reseller acquires the complex primarily for the purpose of making a taxable supply by way of sale of the complex or of any residential condominium unit located in the complex;eitherthe subsequent reseller is a builder of the complex or unit, as the case may be, that is described in paragraphs (b) and (d) of the definition builder in subsection 123(1) of the Act but not in paragraphs (a), (c) and (e) of that definition and all or substantially all of the construction of the complex or unit, or all or substantially all of the last substantial renovation of the complex or unit and any subsequent construction or renovation, as the case may be, that is completed at the earlier of the time ownership of the complex or unit is transferred and the time possession of the complex or unit is transferred by the subsequent reseller to the particular person has been completed by a person other than the subsequent reseller, orthe subsequent reseller is a builder of the complex or unit, as the case may be, that is described only in paragraph (d) of the definition builder in subsection 123(1) of the Act; andneither the original vendor of the complex nor any person that does not deal at arm’s length with, or that is associated with, the original vendor acquires an interest in the complex or unit, as the case may be.Subsequent reseller — disclosureIf a subsequent reseller makes a subsequent resale of a condominium complex, or any residential condominium unit located in a condominium complex, to a particular person and no tax is payable under subsection 165(2) of the Act in respect of the subsequent resale pursuant to subsection (6), or no tax would have been payable under subsection 165(2) of the Act in respect of the subsequent resale pursuant to subsection (6) if that subsection were read without reference to paragraph (6)(c), the subsequent reseller shall indicate in writing to the particular personthe name of the original vendor of the complex; andthat the subsequent reseller was the recipient of a previous supply of the complex or unit, as the case may be, in respect of which no tax was payable under subsection 165(2) of the Act pursuant to subsection (3) or (6), as the case may be.Subsequent reseller — residential condominium unitIf a person (in this section referred to as a “subsequent reseller”) acquires a residential condominium unit and makes a taxable supply by way of sale (in this section referred to as the “subsequent resale”) of the unit to a particular person under an agreement evidenced in writing and no tax is payable under subsection 165(2) of the Act pursuant to subsection (3), (6) or this subsection in respect of the acquisition by the subsequent reseller of the unit, no tax is payable under subsection 165(2) of the Act in respect of the subsequent resale if the following conditions are satisfied:the subsequent reseller acquires that unit primarily for the purpose of making a taxable supply by way of sale of the unit;eitherthe subsequent reseller is a builder of the unit that is described in paragraphs (b) and (d) of the definition builder in subsection 123(1) of the Act but not in paragraphs (a), (c) and (e) of that definition and all or substantially all of the construction of the unit, or all or substantially all of the last substantial renovation of the unit and any subsequent construction or renovation, as the case may be, that is completed at the earlier of the time ownership of the unit is transferred and the time possession of the unit is transferred by the subsequent reseller to the particular person has been completed by a person other than the subsequent reseller, orthe subsequent reseller is a builder of the unit that is described only in paragraph (d) of the definition builder in subsection 123(1) of the Act; andneither the original vendor of the condominium complex in which the unit is situated nor any person that does not deal at arm’s length with, or that is associated with, the original vendor acquires an interest in the unit.Subsequent reseller — disclosureIf a subsequent reseller makes a subsequent resale of a residential condominium unit located in a condominium complex to a particular person and no tax is payable under subsection 165(2) of the Act in respect of the subsequent resale pursuant to subsection (8), or no tax would have been payable under subsection 165(2) of the Act in respect of the subsequent resale pursuant to subsection (8) if that subsection were read without reference to paragraph (8)(c), the subsequent reseller shall indicate in writing to the particular personthe name of the original vendor of the complex; andthat the subsequent reseller was the recipient of a previous supply of the unit in respect of which no tax was payable under subsection 165(2) of the Act pursuant to subsection (3), (6) or (8), as the case may be.Agreement not indicating taxIfa first reseller or a subsequent reseller of a condominium complex or residential condominium unit makes a taxable supply by way of sale of the complex or unit in a specified province under an agreement of purchase and sale,tax under subsection 165(2) of the Act becomes payable in respect of the taxable supply,the agreement does not indicate in writingthe total tax payable in respect of the supply in a manner that clearly indicates the amount of that total and whether or not that amount takes into account any amount to be paid or credited in accordance with subsection 254(4) or 256.21(3) of the Act, andthe total of the rates at which tax is payable in respect of the supply, andthe first reseller or subsequent reseller, as the case may be, is required under section 221 of the Act to collect tax in respect of the supply,the following rules apply:for the purposes of Part IX of the Act the consideration for the supply is deemed to be the amount determined by the formula(100%/A) × BwhereAis the total of 100% and the rate at which tax under subsection 165(2) of the Act is calculated in respect of the supply, andBis the consideration for the supply as otherwise determined under Part IX of the Act,for the purposes of Part IX of the Act, the first reseller or subsequent reseller, as the case may be, is deemed to have collected, and the recipient is deemed to have paid, on the earlier of the day ownership of the complex or unit is transferred to the recipient and the day possession of the complex or unit is transferred to the recipient under the agreement, tax under subsection 165(2) of the Act calculated on the consideration for the supply, andfor the purposes of Part IX of the Act, if the recipient is entitled to claim a rebate under subsection 254(2) of the Act in respect of the complex and the first reseller or subsequent reseller, as the case may be, pays to, or credits to or in favour of, the recipient the amount of the rebate under that subsection, the recipient is deemed to be entitled to claim a rebate in respect of the complex under subsection 256.21(1) of the Act, the amount of which is determined under subsection 41(2) or (3), and the first reseller or subsequent reseller, as the case may be, is deemed to have credited in favour of the recipient the amount of that rebate in accordance with subsection 256.21(3) of the Act on the earlier of the day ownership of the complex or unit is transferred to the recipient and the day possession of the complex or unit is transferred to the recipient under the agreement.Self-assessment on acquisition of real propertyIf a particular person is the recipient of a taxable supply by way of sale of a condominium complex or residential condominium unit from another person, tax under subsection 165(2) of the Act is payable in respect of the supply, no tax would have been payable under subsection 165(2) of the Act in respect of the supply if subsection (2) were read without reference to subparagraph (2)(d)(iii), subsection (3) were read without reference to paragraph (3)(e), subsection (6) were read without reference to paragraph (6)(c) or subsection (8) were read without reference to paragraph (8)(c), whichever is applicable in respect of the taxable supply, and the other person would, in the absence of this subsection, be required under section 221 of the Act to collect tax in respect of the supply, the following rules apply:despite section 221 of the Act, the other person is not required to collect tax under subsection 165(2) of the Act in respect of the supply;the particular person shallif the particular person is a registrant and acquired the complex or unit for use or supply primarily in the course of commercial activities of the particular person, on or before the day on or before which the particular person’s return for the reporting period in which the tax became payable is required to be filed, pay the tax payable under subsection 165(2) of the Act in respect of the supply to the Receiver General and report that tax in that return, andin any other case, on or before the last day of the month following the calendar month in which the tax became payable, pay the tax payable under subsection 165(2) of the Act to the Receiver General and file with the Minister in prescribed manner a return in respect of the tax under subsection 165(2) of the Act in prescribed form containing prescribed information; andsubsection (10) does not apply in respect of the supply.[Repealed, SOR/2011-56, s. 35]SOR/2011-56, s. 35; SOR/2013-44, s. 38(E)
Non-registrant rebateFor the purposes of subsection 256.21(1) of the Act, if a person that is not a registrant is deemed to have paid tax under subsection 51(5), 52(5) or 53(5) in respect of a taxable supply that is in respect of a residential complex, the person is a prescribed person and the amount of the rebate in respect of the complex under subsection 256.21(1) of the Act is equal to the amount of that tax.Application for rebateFor the purposes of subsection 256.21(2) of the Act, an application for a rebate, the amount of which is determined under subsection (1), must be filed within two years after the day on which the tax referred to in that subsection is deemed to have been paid.SOR/2011-56, s. 36
Transitional New Housing Rebates
DefinitionsThe following definitions apply in this Division.estimated provincial levy, in respect of a rebate in relation to a specified residential complex or a specified single unit residential complex meansif, in an application filed for the rebate, the amount applied for is not based on the fair market value of the complex or the consideration for the supply of the complex, the amount determined by the formulaA × BwhereAisif the complex is not a residential condominium unit, the number of square metres of the interior floor space of the complex, andif the complex is a residential condominium unit, the total ofthe number of square metres of the interior floor space of the unit, andthe amount equal to the total number of square metres of interior floor space of the common areas of the condominium complex in which the unit is situated multiplied by the fraction obtained by dividing the number of square metres of interior floor space of the unit by the total number of square metres of interior floor space of all condominium units in the condominium complex, andBisif the complex is situated in Ontario, $45, orif the complex is situated in British Columbia, $60; andin any other case, the amount determined by the formulaA × 2%whereAisin the case where a builder of the complex was deemed under section 191 of the Act to have collected, at any time, tax in respect of the complex and the rebate is a rebate under subsection 256.21(1) of the Act, the amount of which is determined under subsection 56(4) or 57(4), that is payable to the builder in respect of the complex, the fair market value of the complex at that time,in the case where tax was deemed under paragraph 52(1)(e) to have been collected in respect of a taxable supply that is in respect of the complex and the rebate is a rebate under subsection 256.21(1) of the Act, the amount of which is determined under subsection 57(4), that is payable to the builder of the complex, the consideration for the supply,in the case of a complex that is a residential condominium unit, if tax was deemed under paragraph 53(1)(e) to have been collected in respect of a taxable supply that is in respect of the condominium complex in which the unit is situated and the rebate is a rebate under subsection 256.21(1) of the Act, the amount of which is determined under subsection 57(4), that is payable to the builder of the complex, the portion of the consideration for the supply that is attributable to that unit,in the case of a rebate under subsection 256.21(1) of the Act, in respect of which subparagraph (i) does not apply and the amount of which is determined under subsection 56(4), that is payable to an individual in respect of the complex, the consideration for the supply by way of sale of the complex to the individual, orin the case of a rebate under subsection 256.21(1) of the Act, in respect of which subparagraphs (i) to (iii) do not apply and the amount of which is determined under subsection 57(4), that is payable to a builder in respect of the complex, the consideration for the supply by way of sale of the complex by the builder. (prélèvement provincial estimé)specified residential complex meansa multiple unit residential complex (other than a multiple unit residential complex referred to in the definition single unit residential complex in subsection 254(1) of the Act) or an addition to a multiple unit residential complex, if the construction or last substantial renovation of the complex or addition began before July 1, 2010 and subsection 191(3) or (4) of the Act, as the case may be, did not apply, and would not have applied, in the absence of subsections 191(5) to (7) of the Act, after the day on which the construction or last substantial renovation began and before July 1, 2010, to deem a supply of the complex or addition to have been made; ora residential condominium unit in a condominium complex where the construction or last substantial renovation of the condominium complex began before July 1, 2010 and neither subsection 191(1) nor (2) of the Act applied, and would not have applied, in the absence of subsections 191(5) to (7) of the Act, after the construction or last substantial renovation began and before July 1, 2010, to deem a supply of the unit to have been made. (immeuble d’habitation déterminé)specified single unit residential complex means a residential complex, other than a floating home or a mobile home,that is a single unit residential complex (within the meaning of subsection 254(1) of the Act);the construction or last substantial renovation of which began before July 1, 2010; andthat was not occupied by any individual as a place of residence or lodging after the construction or last substantial renovation began and before July 1, 2010. (immeuble d’habitation à logement unique déterminé)Interior floor spaceSubject to subsection (3), for the purposes of this Division, the interior floor space of a complex or unit includes the width of its enclosing walls that are not adjacent to any other complex or unit and half of the width of its enclosing walls that are adjacent to another complex or unit.Interior floor spaceThe interior floor space of a complex and of the common areas of a condominium complex does not includestorage rooms, attics and basements, unless finished to a standard comparable to the living areas of the complexby the builder that supplies the complex to the person entitled to claim a rebate in respect of the complex, the amount of which is determined under this Division, or by any previous builder of the complex, if the complex is a specified single unit residential complex, andby a builder of the complex, in any other case;parking areas; andareas set aside for the placement of equipment for the heating or cooling of, or the supply of water, gas or electricity to, the complex or the condominium complex.SOR/2011-56, s. 37
Rebate for a specified single unit residential complexFor the purposes of subsection 256.21(1) of the Act, the following circumstances are prescribed circumstances in respect of a specified single unit residential complex:a builder of the complexis deemed under section 191 of the Act to have made a taxable supply of the complex as a consequence of giving possession or use of the complex to a person or of occupying it as a place of residence, ormakes a taxable supply by way of sale of the complex to an individual;the complex is situated in a specified province;tax under subsection 165(2) of the Act is payable in respect of the supply;if subparagraph (a)(i) applies, first possession or use of the complex as a place of residence, after substantial completion of its construction or last substantial renovation, occurs on or after July 1, 2010 and before July 1, 2014;if subparagraph (a)(ii) applies, possession of the complex is transferred to the individual on or after July 1, 2010 and before July 1, 2014; andthat construction or last substantial renovation of the complex is 10% or more completed immediately after June 2010.Prescribed property and personIf the circumstances described in subsection (1) are satisfied in respect of a complex, for the purposes of subsection 256.21(1) of the Act, the complex is prescribed property andin the case described in subparagraph (1)(a)(i), the builder referred to in paragraph (1)(a) is a prescribed person; andin the case described in subparagraph (1)(a)(ii), the individual referred to in that subparagraph is a prescribed person.Assignment of rebateIf the circumstances described in subsection (1) are satisfied in respect of a complex and subparagraph (1)(a)(ii) applies in respect of the complex, for the purposes of subsection 256.21(6) of the Act, the rebate under subsection 256.21(1) of the Act in respect of the complex, the amount of which is determined under subsection (4), is a prescribed rebate and that rebate may be assigned to the builder of the complex referred to in paragraph (1)(a).Amount of rebateIf the circumstances described in subsection (1) are satisfied in respect of a complex, for the purposes of subsection 256.21(1) of the Act, the amount of the rebate in respect of the complex under that subsection is100% of the estimated provincial levy for the complex if the construction or last substantial renovation of the complex is, immediately after June 2010, 90% or more completed;90% of the estimated provincial levy for the complex if the construction or last substantial renovation of the complex is, immediately after June 2010, 75% or more but less than 90% completed;75% of the estimated provincial levy for the complex if the construction or last substantial renovation of the complex is, immediately after June 2010, 50% or more but less than 75% completed;50% of the estimated provincial levy for the complex if the construction or last substantial renovation of the complex is, immediately after June 2010, 25% or more but less than 50% completed; or25% of the estimated provincial levy for the complex if the construction or last substantial renovation of the complex is, immediately after June 2010, 10% or more but less than 25% completed.SOR/2011-56, s. 38; SOR/2013-44, s. 39(E)
Rebate for specified residential complexFor the purposes of subsection 256.21(1) of the Act, the following circumstances are prescribed circumstances in respect of a specified residential complex:immediately before July 1, 2010, a builder of the specified residential complex situated in a specified province owns or has possession of the complex;the builder referred to in paragraph (a) had not, before July 1, 2010, transferred ownership or possession of the complex under an agreement of purchase and sale to any person who is not a builder of the complex;if the specified residential complex is not a residential condominium unit, the construction of the complex or, in the case of a substantial renovation, the last substantial renovation of the complex, is, immediately after June 2010, 10% or more completed;if the specified residential complex is a residential condominium unit that is being substantially renovated and the condominium complex in which the residential condominium unit is situated is not being substantially renovated, the last substantial renovation of the specified residential complex, is, immediately after June 2010, 10% or more completed; andif the specified residential complex is a residential condominium unit and the condominium complex in which the unit is situated is being constructed or substantially renovated, the construction of the condominium complex or, in the case of a substantial renovation, the last substantial renovation of the condominium complex, is, immediately after June 2010, 10% or more completed.Prescribed property and personIf the circumstances described in subsection (1) are satisfied in respect of a specified residential complex, for the purposes of subsection 256.21(1) of the Act, the complex is prescribed property and the builder of the complex is a prescribed person.Exception — prescribed personIf subsections 191(1) to (4) of the Act do not apply to a builder of a specified residential complex as a consequence of the application of any of subsections 191(5) to (7) of the Act, the builder is deemed never to have been a prescribed person under subsection (2) in respect of the complex for the purposes of subsection 256.21(1) of the Act.Amount of rebateIf the circumstances described in subsection (1) are satisfied in respect of a specified residential complex, for the purposes of subsection 256.21(1) of the Act, the amount of the rebate under that subsection isif the specified residential complex is not a residential condominium unit,100% of the estimated provincial levy for the specified residential complex if the construction or last substantial renovation of the specified residential complex is, immediately after June 2010, 90% or more completed,90% of the estimated provincial levy for the specified residential complex if the construction or last substantial renovation of the specified residential complex is, immediately after June 2010, 75% or more but less than 90% completed,75% of the estimated provincial levy for the specified residential complex if the construction or last substantial renovation of the specified residential complex is, immediately after June 2010, 50% or more but less than 75% completed,50% of the estimated provincial levy for the specified residential complex if the construction or last substantial renovation of the specified residential complex is, immediately after June 2010, 25% or more but less than 50% completed, or25% of the estimated provincial levy for the specified residential complex if the construction or last substantial renovation of the specified residential complex is, immediately after June 2010, 10% or more but less than 25% completed;if the specified residential complex is a residential condominium unit that is being substantially renovated and the condominium complex in which the residential condominium unit is situated is not being substantially renovated,100% of the estimated provincial levy for the specified residential complex if the substantial renovation of the specified residential complex is, immediately after June 2010, 90% or more completed,90% of the estimated provincial levy for the specified residential complex if the substantial renovation of the specified residential complex is, immediately after June 2010, 75% or more but less than 90% completed,75% of the estimated provincial levy for the specified residential complex if the substantial renovation of the specified residential complex is, immediately after June 2010, 50% or more but less than 75% completed,50% of the estimated provincial levy for the specified residential complex if the substantial renovation of the specified residential complex is, immediately after June 2010, 25% or more but less than 50% completed, or25% of the estimated provincial levy for the specified residential complex if the substantial renovation of the specified residential complex is, immediately after June 2010, 10% or more but less than 25% completed; orif the specified residential complex is a residential condominium unit and the condominium complex in which the unit is situated is being constructed or substantially renovated,100% of the estimated provincial levy for the specified residential complex if the construction or last substantial renovation of the condominium complex in which the unit is situated is, immediately after June 2010, 90% or more completed,90% of the estimated provincial levy for the specified residential complex if the construction or last substantial renovation of the condominium complex in which the unit is situated is, immediately after June 2010, 75% or more but less than 90% completed,75% of the estimated provincial levy for the specified residential complex if the construction or last substantial renovation of the condominium complex in which the unit is situated is, immediately after June 2010, 50% or more but less than 75% completed,50% of the estimated provincial levy for the specified residential complex if the construction or last substantial renovation of the condominium complex in which the unit is situated is, immediately after June 2010, 25% or more but less than 50% completed, or25% of the estimated provincial levy for the specified residential complex if the construction or last substantial renovation of the condominium complex in which the unit is situated is, immediately after June 2010, 10% or more but less than 25% completed.[Repealed, SOR/2012-191, s. 42]SOR/2012-191, s. 42
Application for rebateFor the purposes of subsection 256.21(2) of the Act, an application for a rebate, the amount of which is determined under this Division, must be filed before July 1, 2014.RestrictionIf a person is the builder of a complex, the Minister shall pay a rebate in respect of the complex to the person under subsection 256.21(1) of the Act, the amount of which is determined under subsection 56(4) or 57(4), only if the Minister is satisfied, by a certificate, statement or other documentary evidence as the Minister may require, that the person is in good standing with respect to the payment of all taxes, and fees relating to the construction activities of the builder, imposed under an Act of the legislature of the province in which the residential complex is situated.Rebate based on floor spaceIn determining under subsection 57(4) the amount of a rebate payable to a person in respect of a residential complex, the estimated provincial levy for the complex must be determined based on the interior floor space of the complex if the person applies for the rebate before the day on which tax under Part IX of the Act becomes payable in respect of a supply of the complex by the person.
Prince Edward Island Real Property Transitional RulesInterpretation
Application of subsections 48(2) and (3)Subsections 48(2) and (3) apply for the purposes of this Part.SOR/2013-44, s. 40
Application
ApplicationSubject to subsection (2) and to Division 3 and section 58.24 of the New Harmonized Value-added Tax System Regulations, subsection 165(2) of the Act and the provisions of Part IX of the Act (other than Divisions IX and X of that Part) relating to tax under that subsection apply toany supply of real property made in Prince Edward Island on or after April 1, 2013;any supply by way of sale of real property made in Prince Edward Island before April 1, 2013 if ownership and possession of that property are transferred to the recipient of the supply on or after April 1, 2013;any supply of real property made in Prince Edward Island before April 1, 2013 by way of lease, licence or similar arrangement if all of the consideration for the supply becomes due or is paid without having become due, or is deemed to have become due or to have been paid, on or after April 1, 2013 and is not deemed to have become due or to have been paid before that day; andany supply of real property made in Prince Edward Island before April 1, 2013 by way of lease, licence or similar arrangement if part of the consideration for the supply becomes due or is paid without having become due, or is deemed to have become due or to have been paid, on or after April 1, 2013.ExceptionSubject to Division 3, tax under subsection 165(2) of the Act is not payable in respect of any part of the consideration for a supply referred to in paragraph (1)(d) that becomes due or is paid before April 1, 2013 and is not deemed to have become due or to have been paid on or after that day.SOR/2013-44, s. 40
Agreement not indicating taxIfa builder of a residential complex makes a taxable supply by way of sale of the complex in Prince Edward Island under an agreement of purchase and sale entered into after November 8, 2012 and before April 1, 2013,tax under subsection 165(2) of the Act becomes payable in respect of the supply,the agreement does not indicate in writingthe total tax payable in respect of the supply in a manner that clearly indicates the amount of that total and whether or not that amount takes into account any amount to be paid or credited in accordance with subsection 254(4) of the Act, andthe total of the rates at which tax is payable in respect of the supply, andthe builder is required under section 221 of the Act to collect tax in respect of the supply,the following rules apply:for the purposes of Part IX of the Act the consideration for the supply is deemed to be the amount determined by the formula(100%/A) × BwhereAis the total of 100% and the rate at which tax under subsection 165(2) of the Act is calculated in respect of the supply, andBis the consideration for the supply as otherwise determined under Part IX of the Act, andfor the purposes of Part IX of the Act, the builder is deemed to have collected, and the recipient is deemed to have paid, on the earlier of the day ownership of the complex is transferred to the recipient and the day possession of the complex is transferred to the recipient under the agreement, tax under subsection 165(2) of the Act calculated on the consideration for the supply.SOR/2013-44, s. 40
Transition
Transfer of single unit residential complex after March 2013Ifa particular taxable supply by way of sale of a single unit residential complex (other than a floating home or a mobile home) is made in Prince Edward Island to an individual under an agreement, evidenced in writing, entered into between the supplier (in this section referred to as the “original vendor”) and the individual on or before November 8, 2012,neither ownership nor possession of the complex is transferred to the individual under the agreement before April 1, 2013, andpossession of the complex is transferred to the individual under the agreement at any time on or after April 1, 2013,the following rules apply:no tax is payable under subsection 165(2) of the Act in respect of the particular supply,for the purposes of Part IX of the Act, if immediately after March 2013, the construction or last substantial renovation of the complex is less than 90% completed, the original vendor is deemed to have made another taxable supply in respect of the complex and to have collected, at the earlier of the time ownership of the complex is transferred to the individual and the time possession of the complex is transferred to the individual under the agreement, tax under Division II of Part IX of the Act in respect of the other supply equal to4.5% of the consideration for the particular supply if the construction or last substantial renovation of the complex is, immediately after March 2013, less than 10% completed,3.38% of the consideration for the particular supply if the construction or last substantial renovation of the complex is, immediately after March 2013, 10% or more but less than 25% completed,2.25% of the consideration for the particular supply if the construction or last substantial renovation of the complex is, immediately after March 2013, 25% or more but less than 50% completed,1.13% of the consideration for the particular supply if the construction or last substantial renovation of the complex is, immediately after March 2013, 50% or more but less than 75% completed, and0.45% of the consideration for the particular supply if the construction or last substantial renovation of the complex is, immediately after March 2013, 75% or more but less than 90% completed,for the purposes of paragraph (e), if the value of the consideration for the particular supply is less than the amount that would be the fair market value of the complex at the time the agreement is entered into if the construction of the complex or, in the case of a substantial renovation of the complex, the last substantial renovation of the complex, were substantially completed at that time, the consideration is deemed to be equal to that amount, andfor the purposes of Division 4, the complex is deemed not to be a specified single unit residential complex.Assignment of agreementThe rules in paragraphs (1)(d) to (g) apply in respect of an agreement described in paragraph (1)(a) in respect of a single unit residential complex (other than a floating home or a mobile home) if the following circumstances apply:the agreement is assigned to a particular individual;neither ownership nor possession of the complex is transferred to any individual under the agreement before April 1, 2013;possession of the complex is transferred to the particular individual under the agreement at any time on or after April 1, 2013; andthe following conditions are met in respect of the assignment of the agreement to the particular individual and in respect of every other assignment of the agreement made prior to the assignment to the particular individual:a novation of the agreement has not occurred,the original vendor of the complex and the individual who assigns the agreement deal with each other at arm’s length and are not associated with each other, andneither the original vendor of the complex nor any person that does not deal at arm’s length with, or that is associated with, the original vendor acquires an interest in the complex.In applying those rules, the reference to the “individual” in paragraph (1)(e) is to be read as a reference to the “particular individual”.Input tax credit — resaleIf an individual makes a particular taxable supply by way of sale of a single unit residential complex (other than a floating home or a mobile home) to a person under an agreement evidenced in writing, the individual is the recipient of a previous supply of the complex in respect of which no tax is payable under subsection 165(2) of the Act pursuant to subsection (1) or (2) and tax under subsection 165(2) of the Act is payable in respect of the particular supply, for the purposes of determining an input tax credit of the individual and for the purposes of section 58.07, the individual is deemed to have received another taxable supply in respect of the complex and to have paid, at the time possession of the complex is transferred to the person, tax in respect of the other supply equal to 4.5% of the consideration for the previous supply made to the individual by the original vendor of the complex.Self-assessment on acquisition of real propertyIf a particular individual is the recipient of a taxable supply by way of sale of a single unit residential complex (other than a floating home or a mobile home) from another person, tax under subsection 165(2) of the Act is payable in respect of the supply, no tax would have been payable under subsection 165(2) of the Act in respect of the supply if subsection (2) were read without reference to subparagraph (2)(d)(iii) and the other person would, in the absence of this subsection, be required under section 221 of the Act to collect tax in respect of the supply, the following rules apply:despite section 221 of the Act, the other person is not required to collect tax under subsection 165(2) of the Act in respect of the supply; andthe particular individual shall,if the particular individual is a registrant and acquired the complex for use or supply primarily in the course of commercial activities of the particular individual, on or before the day on or before which the particular individual’s return for the reporting period in which the tax became payable is required to be filed, pay the tax payable under subsection 165(2) of the Act in respect of the supply to the Receiver General and report that tax in that return, andin any other case, on or before the last day of the month following the calendar month in which the tax became payable, pay the tax payable under subsection 165(2) of the Act to the Receiver General and file with the Minister in prescribed manner a return in respect of the tax under subsection 165(2) of the Act in prescribed form containing prescribed information.SOR/2013-44, s. 40
Transfer of residential condominium unit after March 2013Ifa particular taxable supply by way of sale of a residential condominium unit is made in Prince Edward Island to a person under an agreement, evidenced in writing, entered into between the supplier (in this section referred to as the “original vendor”) and the person on or before November 8, 2012,neither ownership nor possession of the unit is transferred to the person under the agreement before April 1, 2013, andpossession of the unit is transferred to the person under the agreement at any time on or after April 1, 2013,the following rules apply:no tax is payable under subsection 165(2) of the Act in respect of the particular supply,for the purposes of Part IX of the Act, the original vendor is deemed to have made another taxable supply in respect of the unit and to have collected, at the earlier of the time ownership of the unit is transferred to the person and the time possession of the unit is transferred to the person under the agreement, tax under Division II of Part IX of the Act in respect of the other supply equal to 4.5% of the consideration for the particular supply, andfor the purposes of paragraph (e) and Division 4, if the value of the consideration for the particular supply is less than the amount that would be the fair market value of the unit at the time the agreement is entered into if the construction of the unit or, in the case of a substantial renovation of the unit, the last substantial renovation of the unit, were substantially completed at that time, the consideration is deemed to be equal to that amount.Assignment of agreementThe rules in paragraphs (1)(d) to (f) apply in respect of an agreement described in paragraph (1)(a) in respect of a residential condominium unit if the following circumstances apply:the agreement is assigned to a particular person;neither ownership nor possession of the unit is transferred to any person under the agreement before April 1, 2013;possession of the unit is transferred to the particular person under the agreement at any time on or after April 1, 2013; andthe following conditions are met in respect of the assignment of the agreement to the particular person and in respect of every other assignment of the agreement made prior to the assignment to the particular person:a novation of the agreement has not occurred,the original vendor of the unit and the person that assigns the agreement deal with each other at arm’s length and are not associated with each other, andneither the original vendor of the unit nor any person that does not deal at arm’s length with, or that is associated with, the original vendor acquires an interest in the unit.In applying those rules, the reference to the “person” in paragraph (1)(e) is to be read as a reference to the “particular person”.Input tax credit — resaleIf a particular person makes a particular taxable supply by way of sale of a residential condominium unit to another person under an agreement evidenced in writing, the particular person is the recipient of a previous supply of the unit in respect of which no tax is payable under subsection 165(2) of the Act pursuant to subsection (1) or (2) and tax under subsection 165(2) of the Act is payable in respect of the particular supply, for the purposes of determining an input tax credit of the particular person and for the purposes of section 58.07, the particular person is deemed to have received another taxable supply in respect of the unit and to have paid, at the time possession of the unit is transferred to the other person, tax in respect of the other supply equal to 4.5% of the consideration for the previous supply made to the particular person by the original vendor of the unit.Self-assessment on acquisition of real propertyIf a particular person is the recipient of a taxable supply by way of sale of a residential condominium unit from another person, tax under subsection 165(2) of the Act is payable in respect of the supply, no tax would have been payable under subsection 165(2) of the Act in respect of the supply if subsection (2) were read without reference to subparagraph (2)(d)(iii) and the other person would, in the absence of this subsection, be required under section 221 of the Act to collect tax in respect of the supply, the following rules apply:despite section 221 of the Act, the other person is not required to collect tax under subsection 165(2) of the Act in respect of the supply; andthe particular person shall,if the particular person is a registrant and acquired the unit for use or supply primarily in the course of commercial activities of the particular person, on or before the day on or before which the particular person’s return for the reporting period in which the tax became payable is required to be filed, pay the tax payable under subsection 165(2) of the Act in respect of the supply to the Receiver General and report that tax in that return, andin any other case, on or before the last day of the month following the calendar month in which the tax became payable, pay the tax payable under subsection 165(2) of the Act to the Receiver General and file with the Minister in prescribed manner a return in respect of the tax under subsection 165(2) of the Act in prescribed form containing prescribed information.SOR/2013-44, s. 40
Transfer of condominium complex after March 2013Ifa particular taxable supply by way of sale of a condominium complex is made in Prince Edward Island to a person under an agreement, evidenced in writing, entered into between the supplier (in this section referred to as the “original vendor”) and the person on or before November 8, 2012,neither ownership nor possession of the complex is transferred to the person under the agreement before April 1, 2013, andat any time on or after April 1, 2013, ownership of the complex is transferred to the person under the agreement or the complex is registered as a condominium,the following rules apply:no tax is payable under subsection 165(2) of the Act in respect of the particular supply,for the purposes of Part IX of the Act, the original vendor is deemed to have made another taxable supply in respect of the complex and to have collected, on the earlier of the day ownership of the complex is transferred to the person under the agreement and the day that is sixty days after the day on which the complex is registered as a condominium, tax under Division II of Part IX of the Act in respect of the other supply equal to 4.5% of the consideration for the particular supply, andfor the purposes of paragraph (e) and Division 4, if the value of the consideration for the particular supply is less than the amount that would be the fair market value of the complex at the time the agreement is entered into if the construction of the complex or, in the case of a substantial renovation of the complex, the last substantial renovation of the complex, were substantially completed at that time, the consideration is deemed to be equal to that amount.Assignment of agreementThe rules in paragraphs (1)(d) to (f) apply in respect of an agreement described in paragraph (1)(a) in respect of a condominium complex if the following circumstances apply:the agreement is assigned to a particular person;neither ownership nor possession of the complex is transferred to any person under the agreement before April 1, 2013;at any time on or after April 1, 2013, ownership of the complex is transferred to the particular person or the complex is registered as a condominium; andthe following conditions are met in respect of the assignment of the agreement to the particular person and in respect of every other assignment of the agreement made prior to the assignment to the particular person:a novation of the agreement has not occurred,the original vendor of the complex and the person that assigns the agreement deal with each other at arm’s length and are not associated with each other, andneither the original vendor of the complex nor any person that does not deal at arm’s length with, or that is associated with, the original vendor acquires an interest in the complex.In applying those rules, the reference to the “person” in paragraph (1)(e) is to be read as a reference to the “particular person”.Input tax credit — resaleIf a particular person makes a particular taxable supply by way of sale of a condominium complex, or any residential condominium unit located in a condominium complex, to another person under an agreement evidenced in writing, the particular person is the recipient of a previous supply of the complex in respect of which no tax is payable under subsection 165(2) of the Act pursuant to subsection (1) or (2) and tax under subsection 165(2) of the Act is payable in respect of the particular supply, for the purposes of determining an input tax credit of the particular person and for the purposes of section 58.07,if the particular supply is a supply of a condominium complex, the particular person is deemed to have received another taxable supply in respect of the complex and to have paid, at the time possession of the complex is transferred to the other person, tax in respect of the other supply equal to 4.5% of the consideration for the previous supply made to the particular person by the original vendor of the complex; orif the particular supply is a supply of a residential condominium unit located in a condominium complex, the particular person is deemed to have received another taxable supply in respect of the complex and to have paid, at the time possession of the unit is transferred to the other person, tax in respect of the other supply equal to 4.5% of the consideration for the previous supply made to the particular person by the original vendor of the complex multiplied by the percentage of total floor space (as defined in subsection 256.2(1) of the Act) of the unit.Self-assessment on acquisition of real propertyIf a particular person is the recipient of a taxable supply by way of sale of a condominium complex or residential condominium unit from another person, tax under subsection 165(2) of the Act is payable in respect of the supply, no tax would have been payable under subsection 165(2) of the Act in respect of the supply if subsection (2) were read without reference to subparagraph (2)(d)(iii) and the other person would, in the absence of this subsection, be required under section 221 of the Act to collect tax in respect of the supply, the following rules apply:despite section 221 of the Act, the other person is not required to collect tax under subsection 165(2) of the Act in respect of the supply; andthe particular person shallif the particular person is a registrant and acquired the complex or unit for use or supply primarily in the course of commercial activities of the particular person, on or before the day on or before which the particular person’s return for the reporting period in which the tax became payable is required to be filed, pay the tax payable under subsection 165(2) of the Act in respect of the supply to the Receiver General and report that tax in that return, andin any other case, on or before the last day of the month following the calendar month in which the tax became payable, pay the tax payable under subsection 165(2) of the Act to the Receiver General and file with the Minister in prescribed manner a return in respect of the tax under subsection 165(2) of the Act in prescribed form containing prescribed information.SOR/2013-44, s. 40
Non-registrant rebateFor the purposes of subsection 256.21(1) of the Act, if a person that is not a registrant is deemed to have paid tax under subsection 58.04(3), 58.05(3) or 58.06(3) in respect of a taxable supply that is in respect of a residential complex, the person is a prescribed person and the amount of the rebate in respect of the complex under subsection 256.21(1) of the Act is equal to the amount of that tax.Application for rebateFor the purposes of subsection 256.21(2) of the Act, an application for a rebate, the amount of which is determined under subsection (1), must be filed within two years after the day on which the tax referred to in that subsection is deemed to have been paid.SOR/2013-44, s. 40
Transitional New Housing Rebates
DefinitionsThe following definitions apply in this Division.estimated provincial levy, in respect of a rebate in relation to a specified residential complex or a specified single unit residential complex meansif, in an application filed for the rebate, the amount applied for is not based on the fair market value of the complex or the consideration for the supply of the complex, the amount determined by the formulaA × BwhereAisif the complex is not a residential condominium unit, the number of square metres of the interior floor space of the complex, andif the complex is a residential condominium unit, the total ofthe number of square metres of the interior floor space of the unit, andthe amount equal to the total number of square metres of interior floor space of the common areas of the condominium complex in which the unit is situated multiplied by the fraction obtained by dividing the number of square metres of interior floor space of the unit by the total number of square metres of interior floor space of all condominium units in the condominium complex, andBis $60; andin any other case, the amount determined by the formulaA × 4.5%whereAisin the case where a builder of the complex was deemed under section 191 of the Act to have collected, at any time, tax in respect of the complex and the rebate is a rebate under subsection 256.21(1) of the Act, the amount of which is determined under subsection 58.09(4) or 58.1(4), that is payable to the builder in respect of the complex, the fair market value of the complex at that time,in the case where tax was deemed under paragraph 58.05(1)(e) to have been collected in respect of a taxable supply that is in respect of the complex and the rebate is a rebate under subsection 256.21(1) of the Act, the amount of which is determined under subsection 58.1(4), that is payable to the builder of the complex, the consideration for the supply,in the case of a complex that is a residential condominium unit, if tax was deemed under paragraph 58.06(1)(e) to have been collected in respect of a taxable supply that is in respect of the condominium complex in which the unit is situated and the rebate is a rebate under subsection 256.21(1) of the Act, the amount of which is determined under subsection 58.1(4), that is payable to the builder of the complex, the portion of the consideration for the supply that is attributable to that unit,in the case of a rebate under subsection 256.21(1) of the Act, in respect of which subparagraph (i) does not apply and the amount of which is determined under subsection 58.09(4), that is payable to an individual in respect of the complex, the consideration for the supply by way of sale of the complex to the individual, orin the case of a rebate under subsection 256.21(1) of the Act, in respect of which subparagraphs (i) to (iii) do not apply and the amount of which is determined under subsection 58.1(4), that is payable to a builder in respect of the complex, the consideration for the supply by way of sale of the complex by the builder. (prélèvement provincial estimé)specified residential complex meansa multiple unit residential complex (other than a multiple unit residential complex referred to in the definition single unit residential complex in subsection 254(1) of the Act) or an addition to a multiple unit residential complex, if the construction or last substantial renovation of the complex or addition began before April 1, 2013 and subsection 191(3) or (4) of the Act, as the case may be, did not apply, and would not have applied, in the absence of subsections 191(5) to (7) of the Act, after the day on which the construction or last substantial renovation began and before April 1, 2013, to deem a supply of the complex or addition to have been made; ora residential condominium unit in a condominium complex where the construction or last substantial renovation of the condominium complex began before April 1, 2013 and neither subsection 191(1) nor (2) of the Act applied, and would not have applied, in the absence of subsections 191(5) to (7) of the Act, after the construction or last substantial renovation began and before April 1, 2013, to deem a supply of the unit to have been made. (immeuble d’habitation déterminé)specified single unit residential complex means a residential complex, other than a floating home or a mobile home,that is a single unit residential complex (within the meaning of subsection 254(1) of the Act);the construction or last substantial renovation of which began before April 1, 2013; andthat was not occupied by any individual as a place of residence or lodging after the construction or last substantial renovation began and before April 1, 2013. (immeuble d’habitation à logement unique déterminé)Interior floor spaceSubject to subsection (3), for the purposes of this Division, the interior floor space of a complex or unit includes the width of its enclosing walls that are not adjacent to any other complex or unit and half of the width of its enclosing walls that are adjacent to another complex or unit.Interior floor spaceThe interior floor space of a complex and of the common areas of a condominium complex does not includestorage rooms, attics and basements, unless finished to a standard comparable to the living areas of the complexby the builder that supplies the complex to the person entitled to claim a rebate in respect of the complex, the amount of which is determined under this Division, or by any previous builder of the complex, if the complex is a specified single unit residential complex, andby a builder of the complex, in any other case;parking areas; andareas set aside for the placement of equipment for the heating or cooling of, or the supply of water, gas or electricity to, the complex or the condominium complex.SOR/2013-44, s. 40
Rebate for a specified single unit residential complexFor the purposes of subsection 256.21(1) of the Act, the following circumstances are prescribed circumstances in respect of a specified single unit residential complex:a builder of the complexis deemed under section 191 of the Act to have made a taxable supply of the complex as a consequence of giving possession or use of the complex to a person or of occupying it as a place of residence, ormakes a taxable supply by way of sale of the complex to an individual;the complex is situated in Prince Edward Island;tax under subsection 165(2) of the Act is payable in respect of the supply;if subparagraph (a)(i) applies, first possession or use of the complex as a place of residence, after substantial completion of its construction or last substantial renovation, occurs on or after April 1, 2013 and before April 1, 2017;if subparagraph (a)(ii) applies, possession of the complex is transferred to the individual on or after April 1, 2013 and before April 1, 2017; andthat construction or last substantial renovation of the complex is 10% or more completed immediately after March 2013.Prescribed property and personIf the circumstances described in subsection (1) are satisfied in respect of a complex, for the purposes of subsection 256.21(1) of the Act, the complex is prescribed property andin the case described in subparagraph (1)(a)(i), the builder referred to in paragraph (1)(a) is a prescribed person; andin the case described in subparagraph (1)(a)(ii), the individual referred to in that subparagraph is a prescribed person.Assignment of rebateIf the circumstances described in subsection (1) are satisfied in respect of a complex and subparagraph (1)(a)(ii) applies in respect of the complex, for the purposes of subsection 256.21(6) of the Act, the rebate under subsection 256.21(1) of the Act in respect of the complex, the amount of which is determined under subsection (4), is a prescribed rebate and that rebate may be assigned to the builder of the complex referred to in paragraph (1)(a).Amount of rebateIf the circumstances described in subsection (1) are satisfied in respect of a complex, for the purposes of subsection 256.21(1) of the Act, the amount of the rebate in respect of the complex under that subsection is100% of the estimated provincial levy for the complex if the construction or last substantial renovation of the complex is, immediately after March 2013, 90% or more completed;90% of the estimated provincial levy for the complex if the construction or last substantial renovation of the complex is, immediately after March 2013, 75% or more but less than 90% completed;75% of the estimated provincial levy for the complex if the construction or last substantial renovation of the complex is, immediately after March 2013, 50% or more but less than 75% completed;50% of the estimated provincial levy for the complex if the construction or last substantial renovation of the complex is, immediately after March 2013, 25% or more but less than 50% completed; or25% of the estimated provincial levy for the complex if the construction or last substantial renovation of the complex is, immediately after March 2013, 10% or more but less than 25% completed.SOR/2013-44, s. 40
Rebate for specified residential complexFor the purposes of subsection 256.21(1) of the Act, the following circumstances are prescribed circumstances in respect of a specified residential complex:immediately before April 1, 2013, a builder of the specified residential complex situated in Prince Edward Island owns or has possession of the complex;the builder referred to in paragraph (a) had not, before April 1, 2013, transferred ownership or possession of the complex under an agreement of purchase and sale to any person who is not a builder of the complex;if the specified residential complex is not a residential condominium unit, the construction of the complex or, in the case of a substantial renovation, the last substantial renovation of the complex, is, immediately after March 2013, 10% or more completed;if the specified residential complex is a residential condominium unit that is being substantially renovated and the condominium complex in which the residential condominium unit is situated is not being substantially renovated, the last substantial renovation of the specified residential complex, is, immediately after March 2013, 10% or more completed; andif the specified residential complex is a residential condominium unit and the condominium complex in which the unit is situated is being constructed or substantially renovated, the construction of the condominium complex or, in the case of a substantial renovation, the last substantial renovation of the condominium complex, is, immediately after March 2013, 10% or more completed.Prescribed property and personIf the circumstances described in subsection (1) are satisfied in respect of a specified residential complex, for the purposes of subsection 256.21(1) of the Act, the complex is prescribed property and the builder of the complex is a prescribed person.Exception — prescribed personIf subsections 191(1) to (4) of the Act do not apply to a builder of a specified residential complex as a consequence of the application of any of subsections 191(5) to (7) of the Act, the builder is deemed never to have been a prescribed person under subsection (2) in respect of the complex for the purposes of subsection 256.21(1) of the Act.Amount of rebateIf the circumstances described in subsection (1) are satisfied in respect of a specified residential complex, for the purposes of subsection 256.21(1) of the Act, the amount of the rebate under that subsection isif the specified residential complex is not a residential condominium unit,100% of the estimated provincial levy for the specified residential complex if the construction or last substantial renovation of the specified residential complex is, immediately after March 2013, 90% or more completed,90% of the estimated provincial levy for the specified residential complex if the construction or last substantial renovation of the specified residential complex is, immediately after March 2013, 75% or more but less than 90% completed,75% of the estimated provincial levy for the specified residential complex if the construction or last substantial renovation of the specified residential complex is, immediately after March 2013, 50% or more but less than 75% completed,50% of the estimated provincial levy for the specified residential complex if the construction or last substantial renovation of the specified residential complex is, immediately after March 2013, 25% or more but less than 50% completed, or25% of the estimated provincial levy for the specified residential complex if the construction or last substantial renovation of the specified residential complex is, immediately after March 2013, 10% or more but less than 25% completed;if the specified residential complex is a residential condominium unit that is being substantially renovated and the condominium complex in which the residential condominium unit is situated is not being substantially renovated,100% of the estimated provincial levy for the specified residential complex if the substantial renovation of the specified residential complex is, immediately after March 2013, 90% or more completed,90% of the estimated provincial levy for the specified residential complex if the substantial renovation of the specified residential complex is, immediately after March 2013, 75% or more but less than 90% completed,75% of the estimated provincial levy for the specified residential complex if the substantial renovation of the specified residential complex is, immediately after March 2013, 50% or more but less than 75% completed,50% of the estimated provincial levy for the specified residential complex if the substantial renovation of the specified residential complex is, immediately after March 2013, 25% or more but less than 50% completed, or25% of the estimated provincial levy for the specified residential complex if the substantial renovation of the specified residential complex is, immediately after March 2013, 10% or more but less than 25% completed; orif the specified residential complex is a residential condominium unit and the condominium complex in which the unit is situated is being constructed or substantially renovated,100% of the estimated provincial levy for the specified residential complex if the construction or last substantial renovation of the condominium complex in which the unit is situated is, immediately after March 2013, 90% or more completed,90% of the estimated provincial levy for the specified residential complex if the construction or last substantial renovation of the condominium complex in which the unit is situated is, immediately after March 2013, 75% or more but less than 90% completed,75% of the estimated provincial levy for the specified residential complex if the construction or last substantial renovation of the condominium complex in which the unit is situated is, immediately after March 2013, 50% or more but less than 75% completed,50% of the estimated provincial levy for the specified residential complex if the construction or last substantial renovation of the condominium complex in which the unit is situated is, immediately after March 2013, 25% or more but less than 50% completed, or25% of the estimated provincial levy for the specified residential complex if the construction or last substantial renovation of the condominium complex in which the unit is situated is, immediately after March 2013, 10% or more but less than 25% completed.SOR/2013-44, s. 40
Application for rebateFor the purposes of subsection 256.21(2) of the Act, an application for a rebate, the amount of which is determined under this Division, must be filed before April 1, 2017.RestrictionIf a person is the builder of a complex, the Minister shall pay a rebate in respect of the complex to the person under subsection 256.21(1) of the Act, the amount of which is determined under subsection 58.09(4) or 58.1(4), only if the Minister is satisfied, by a certificate, statement or other documentary evidence as the Minister may require, that the person is in good standing with respect to the payment of all taxes, and fees relating to the construction activities of the builder, imposed under an Act of the legislature of the province in which the residential complex is situated.Rebate based on floor spaceIn determining under subsection 58.1(4) the amount of a rebate payable to a person in respect of a residential complex, the estimated provincial levy for the complex must be determined based on the interior floor space of the complex if the person applies for the rebate before the day on which tax under Part IX of the Act becomes payable in respect of a supply of the complex by the person.SOR/2013-44, s. 40
Application
Sections 1 and 40, subsections 47(1), (2), (12) and (13) and sections 48 to 53 are deemed to have come into force on June 18, 2009.
Part 1, sections 22, 37 and 38, subsections 47(11), (14) and (15) and sections 54 to 58 come into force, or are deemed to have come into force, on July 1, 2010.
Part 2 applies to any allowance paid by a person on or after July 1, 2010.
Part 3 applies to supplies made by independant sales contractors on or after the later of July 1, 2010 and the day on which these Regulations are first published in the Canada Gazette.
Part 4 applies in respect of the bringing into a participating province of a vehicle or aircraft from another participating province on or after July 1, 2010.
Section 6 is deemed to have come into force on February 25, 2010.
Sections 7, 13 to 15, 20, 21, 24 and 25 applyto any supply made on or after July 1, 2010; andin respect of any consideration for a supply that becomes due, or is paid without having become due, on or after July 1, 2010.
Sections 8 to 12, 16 to 19 and 23 come into force, or are deemed to have come into force, on July 1, 2010, except that section 9 is to be read without reference to paragraph (a) of the description of D with respect to property that a person brings into a participating province from Ontario, Nova Scotia or British Columbia (each of which is in this section referred to as the “listed province”) if the property was acquired in, or brought into, the listed province by the person before July 2010 and was not removed from the listed province until after June 2010.
Sections 26 to 36 apply in respect of any reporting period of a person that ends on or after July 1, 2010, except that, for the purposes of subsection 36(2), if any reporting period referred to in the portion of that subsection before the formula ends before April 1, 2011, the reference in that subsection to “a reporting period of the person that includes the last day of that fiscal year or for a reporting period of the person that begins after that fiscal year and ends on or before the last day of the third fiscal month following the last day of that fiscal year” is to be read as a reference to “the reporting period that includes April 1, 2011”.
Section 39 applies for the purposes of determining any rebate under section 253 of the Act in respect of 2010 and subsequent years.
Section 41 applies in respect of a residential complex that is supplied by way of sale, if ownership and possession are transferred under the agreement for the supply on or after July 1, 2010.
Subparagraphs 42(a)(i) to (iii) and (d)(i) to (iii) apply for the purposes of determining a rebate in respect of a supply, to a particular individual referred to in subsection 254.1(2) of the Act, of a building or part of it in which a residential unit forming part of a residential complex is situated if the supply of the complex referred to in paragraph 254.1(2)(d) of the Act is deemed under section 191 of the Act to have been made on or after July 1, 2010, unless no tax is payable under subsection 165(2) of the Act in respect of the supply referred to in that paragraph.Subparagraphs 42(a)(iv) and (v) and (d)(iv) and (v) apply for the purposes of determining a rebate in respect of a supply, to a particular individual referred to in subsection 254.1(2) of the Act, of a building or part of it in which a residential unit forming part of a residential complex is situated if the supply of the complex referred to in paragraph 254.1(2)(d) of the Act is deemed under section 191 of the Act to have been made on or after the later of July 1, 2010 and the day on which these Regulations are first published in the Canada Gazette, unless no tax is payable under subsection 165(2) of the Act in respect of the supply referred to in that paragraph.Subparagraphs 42(b)(i) to (iii), (c)(i) to (iii) and (e)(i) to (iii) apply for the purposes of determining a rebate in respect of a supply, to a particular individual referred to in subsection 254.1(2) of the Act, of a building or part of it in which a residential unit forming part of a residential complex is situated if the supply of the complex referred to in paragraph 254.1(2)(d) of the Act is deemed under section 191 of the Act to have been made on or after July 1, 2010, unless the agreement referred to in paragraph 254.1(2)(a) of the Act between the particular individual and the builder is entered into on or before April 6, 2010.Subparagraphs 42(b)(iv) and (v), (c)(iv) and (v) and (e)(iv) and (v) apply for the purposes of determining a rebate in respect of a supply, to a particular individual referred to in subsection 254.1(2) of the Act, of a building or part of it in which a residential unit forming part of a residential complex is situated if the supply of the complex referred to in 254.1(2)(d) of the Act is deemed under section 191 of the Act to have been made on or after the later of July 1, 2010 and the day on which these Regulations are first published in the Canada Gazette, unless the agreement referred to in paragraph 254.1(2)(a) of the Act between the particular individual and the builder is entered into before that day.
Section 43 applies in respect of a building or part of it in which a residential unit forming part of a residential complex is situated if possession of the unit is given to the particular individual referred to in subsection 254.1(2) of the Act on or after July 1, 2010, unless the builder of the complex is deemed under section 191 of the Act to have made a supply of the complex in respect of which tax under subsection 165(2) of the Act did not apply.
Subparagraphs 44(a)(i) to (iii) and (d)(i) to (iii) apply for the purposes of determining a rebate in respect of a supply, by a cooperative housing corporation to a particular individual, of a share of the capital stock of the corporation if the rebate application is filed on or after July 1, 2010, unless the corporation paid no tax under subsection 165(2) of the Act in respect of the supply referred to in paragraph 255(2)(a) of the Act of the complex to the corporation.Subparagraphs 44(a)(iv) and (v) and (d)(iv) and (v) apply for the purposes of determining a rebate in respect of a supply, by a cooperative housing corporation to a particular individual, of a share of the capital stock of the corporation if the rebate application is filed on or after the later of July 1, 2010 and the day on which these Regulations are first published in the Canada Gazette, unless the corporation paid no tax under subsection 165(2) of the Act in respect of the supply referred to in paragraph 255(2)(a) of the Act of the complex to the corporation.Subparagraphs 44(b)(i) to (iii) apply for the purposes of determining a rebate in respect of a supply, by a cooperative housing corporation to a particular individual, of a share of the capital stock of the corporation acquired by the particular individual for the purpose of using a residential unit in a residential complex as the primary place of residence of the particular individual or a relation (as defined in subsection 255(1) of the Act) of the particular individual if the corporation paid tax under subsection 165(2) of the Act at a rate of 10% in respect of a taxable supply of the residential complex to the corporation, unless the agreement referred to in paragraph 255(2)(c) of the Act between the particular individual and the corporation is entered into on or before April 6, 2010.Subparagraphs 44(b)(iv) and (v) apply for the purposes of determining a rebate in respect of a supply, by a cooperative housing corporation to a particular individual, of a share of the capital stock of the corporation acquired by the particular individual for the purpose of using a residential unit in a residential complex as the primary place of residence of the particular individual or a relation (as defined in subsection 255(1) of the Act) of the particular individual if the corporation paid tax under subsection 165(2) of the Act at a rate of 10% in respect of a taxable supply of the residential complex to the corporation, unless the agreement referred to in paragraph 255(2)(c) of the Act between the particular individual and the corporation is entered into before the later of July 1, 2010 and the day on which these Regulations are first published in the Canada Gazette.Subparagraphs 44(c)(i) to (iii) and (e)(i) to (iii) apply for the purposes of determining a rebate in respect of a supply, by a cooperative housing corporation to a particular individual, of a share of the capital stock of the corporation if the rebate application is filed after April 6, 2010, unless the agreement referred to in paragraph 255(2)(c) of the Act between the particular individual and the corporation is entered into on or before that day.Subparagraphs 44(c)(iv) and (v) and (e)(iv) and (v) apply for the purposes of determining a rebate in respect of a supply, by a cooperative housing corporation to a particular individual, of a share of the capital stock of the corporation if the rebate application is filed on or after the later of July 1, 2010 and the day on which these Regulations are first published in the Canada Gazette, unless the agreement referred to in paragraph 255(2)(c) of the Act between the particular individual and the corporation is entered into before that day.
Section 45 applies in respect of a supply, by a cooperative housing corporation to an individual, of a share of the capital stock of the corporation if the individual is acquiring the share for the purpose of using a residential unit in a residential complex and the possession of the unit is first given on or after July 1, 2010 to the individual as an incidence of ownership of the share, unless tax under subsection 165(2) of the Act did not apply to the supply, referred to in paragraph 255(2)(a) of the Act, of the complex to the corporation.
Section 46 applies in respect of a residential complex in respect of which the particular individual referred to in paragraph 256(2)(c) of the Act paid tax under subsection 165(2), section 212.1 or 218.1 or any of sections 220.05 to 220.07 of the Act in respect of the land that forms part of the complex or an interest therein or in respect of any improvement to the land or complex.
Subsections 47(3) and (4) apply in respect of a residential complex, an interest in a residential complex or an addition if the particular time referred to in paragraph 256.2(3)(b) of the Act in respect of the residential complex, interest or addition is on or after July 1, 2010.Subsections 47(5) and (6) apply in respect of a residential complex or addition if the particular time referred to in paragraph 256.2(4)(c) of the Act in respect of the residential complex or addition is on or after July 1, 2010.Subsections 47(7) and (8) apply in respect of a residential unit included in a residential complex if possession of the unit is first given on or after July 1, 2010 as an incidence of ownership of a share of a cooperative housing corporation, unless tax under subsection 165(2) of the Act did not apply to the supply of the complex to the corporation referred to in subparagraph 256.2(5)(a)(i) or (ii) of the Act, as the case may be.Subsections 47(9) and (10) apply in respect of land if the exempt supply of the land referred to in paragraph 256.2(6)(a) of the Act is made on or after July 1, 2010.
Wind-Down — British Columbia
Despite Part 10,subsection 51(1) does not apply in respect of a taxable supply by way of sale of a single unit residential complex made in British Columbia if tax in respect of the supply becomes payable because of subsection 168(5) of the Act after March 31, 2013;subsection 51(2) does not apply in respect of an agreement described in paragraph 51(1)(a) in respect of a single unit residential complex situated in British Columbia if tax in respect of the taxable supply by way of sale of the single unit residential complex made under the agreement becomes payable because of subsection 168(5) of the Act after March 31, 2013;subsection 51(4) does not apply in respect of a first resale, referred to in subsection 51(3), of a single unit residential complex made in British Columbia if tax in respect of the first resale becomes payable because of subsection 168(5) of the Act after March 31, 2013;subsection 51(5) does not apply in respect of a particular taxable supply by way of sale, referred to in that subsection, of a single unit residential complex made in British Columbia if tax in respect of the supply becomes payable because of subsection 168(5) of the Act after March 31, 2013;subsection 51(7) does not apply in respect of a subsequent resale, referred to in subsection 51(6), of a single unit residential complex made in British Columbia if tax in respect of the subsequent resale becomes payable because of subsection 168(5) of the Act after March 31, 2013;subsection 52(1) does not apply in respect of a taxable supply by way of sale of a residential condominium unit made in British Columbia if tax in respect of the supply becomes payable because of subsection 168(5) of the Act after March 31, 2013;subsection 52(2) does not apply in respect of an agreement described in paragraph 52(1)(a) in respect of a residential condominium unit situated in British Columbia if tax in respect of the taxable supply by way of sale of the residential condominium unit made under the agreement becomes payable because of subsection 168(5) of the Act after March 31, 2013;subsection 52(4) does not apply in respect of a first resale, referred to in subsection 52(3), of a residential condominium unit made in British Columbia if tax in respect of the first resale becomes payable because of subsection 168(5) of the Act after March 31, 2013;subsection 52(5) does not apply in respect of a particular taxable supply by way of sale, referred to in that subsection, of a residential condominium unit made in British Columbia if tax in respect of the supply becomes payable because of subsection 168(5) of the Act after March 31, 2013;subsection 52(7) does not apply in respect of a subsequent resale, referred to in subsection 52(6), of a residential condominium unit made in British Columbia if tax in respect of the subsequent resale becomes payable because of subsection 168(5) of the Act after March 31, 2013;subsection 53(1) does not apply in respect of a taxable supply by way of sale of a condominium complex made in British Columbia if tax in respect of the supply becomes payable because of subsection 168(5) of the Act after March 31, 2013;subsection 53(2) does not apply in respect of an agreement described in paragraph 53(1)(a) in respect of a condominium complex situated in British Columbia if tax in respect of the taxable supply by way of sale of the condominium complex made under the agreement becomes payable because of subsection 168(5) of the Act after March 31, 2013;subsection 53(4) does not apply in respect of a first resale, referred to in subsection 53(3), of a condominium complex, or any residential condominium unit located in a condominium complex, made in British Columbia if tax in respect of the first resale becomes payable because of subsection 168(5) of the Act after March 31, 2013;subsection 53(5) does not apply in respect of a particular taxable supply by way of sale, referred to in that subsection, of a condominium complex, or any residential condominium unit located in a condominium complex, made in British Columbia if tax in respect of the supply becomes payable because of subsection 168(5) of the Act after March 31, 2013;subsection 53(7) does not apply in respect of a subsequent resale, referred to in subsection 53(6), of a condominium complex, or any residential condominium unit located in a condominium complex, made in British Columbia if tax in respect of the subsequent resale becomes payable because of subsection 168(5) of the Act after March 31, 2013;subsection 53(9) does not apply in respect of a subsequent resale, referred to in subsection 53(8), of a residential condominium unit located in a condominium complex made in British Columbia if tax in respect of the subsequent resale becomes payable because of subsection 168(5) of the Act after March 31, 2013; andsection 57 does not apply in respect of a specified residential complex situated in British Columbia if tax in respect of the first taxable supply of the complex made by the builder referred to in paragraph 57(1)(a) becomes payable because of subsection 168(5) of the Act, or is deemed under section 191 of the Act to have been paid, on or after April 1, 2013, unless an application for a rebate, the amount of which is determined under subsection 57(4), is filed with the Minister before February 17, 2012.SOR/2012-191, s. 43
RELATED PROVISIONS — SOR/2011-56, s. 76
Sections 28 and 29 applyto any supply made on or after July 1, 2010; andin respect of any consideration for a supply that becomes due, or is paid without having become due, on or after July 1, 2010.
 — SOR/2011-56, s. 77
Sections 31 and 32 apply in respect of any reporting period of a person that ends on or after July 1, 2010.
 — SOR/2011-56, s. 78
Subsections 33(1), 34(1) and 35(1) are deemed to have come into force on June 18, 2009, except that, before July 1, 2010, subsection 51(5) of the New Harmonized Value-added Tax System Regulations, No. 2, as enacted by subsection 33(1), subsection 52(5) of those Regulations, as enacted by subsection 34(1), and subsection 53(5) of those Regulations, as enacted by subsection 35(1), are to be read without reference to “and for the purposes of section 54”.
 — SOR/2011-56, s. 79
Subsection 33(2) applies in respect of any taxable supply by way of sale of a single unit residential complex made after the day on which these Regulations are published in the Canada Gazette, unless the supply is made pursuant to an agreement of purchase and sale, evidenced in writing, entered into on or before that day.
 — SOR/2011-56, s. 80
Subsection 34(2) applies in respect of any taxable supply by way of sale of a residential condominium unit made after the day on which these Regulations are published in the Canada Gazette, unless the supply is made pursuant to an agreement of purchase and sale, evidenced in writing, entered into on or before that day.
 — SOR/2011-56, s. 81
Subsection 35(2) applies in respect of any taxable supply by way of sale of a condominium complex or residential condominium unit made after the day on which these Regulations are published in the Canada Gazette, unless the supply is made pursuant to an agreement of purchase and sale, evidenced in writing, entered into on or before that day.
 — SOR/2011-56, s. 82
Section 36 applies to any rebate in respect of a residential complex for which an application is filed after the day on which these Regulations are published in the Canada Gazette, unless the rebate is in respect of tax deemed under subsection 51(9), 52(9) or 53(11) of the New Harmonized Value-added Tax System Regulations, No. 2, as the case may be, to have been paid in respect of the taxable supply by way of sale, referred to in whichever of those subsections is applicable, of the residential complex that is made pursuant to an agreement of purchase and sale, evidenced in writing, entered into on or before that day.
 — 2012, c. 19, s. 51(2)
Subsection (1) applies to goods imported on or after June 1, 2012.
 — SOR/2012-191, s. 53
Sections 4 and 5, the definition specified time in section 26 of the New Harmonized Value-added Tax System Regulations, No. 2, as enacted by subsection 27(2), and sections 28 to 30 apply in respect of any reporting period of a person that ends on or after July 1, 2010.
 — SOR/2012-191, s. 68
Subsection 34(1) applies in respect of a supply of a residential complex in respect of which tax becomes payable because of subsection 168(5) of the Act after March 31, 2012.
 — SOR/2012-191, s. 69
Subsections 34(2) to (5) apply in respect of a supply of a residential complex in respect of which tax becomes payable because of subsection 168(5) of the Act after March 31, 2013.
 — SOR/2012-191, s. 70
Section 35 and subsections 36(2) to (5) apply in respect of a building, or a part of a building, in which a residential unit forming part of a residential complex is situated if the builder of the complex is deemed under section 191 of the Act to have made a supply of the complex after March 31, 2013.
 — SOR/2012-191, s. 71
Subsection 36(1) applies in respect of a building, or a part of a building, in which a residential unit forming part of a residential complex is situated if the builder of the complex is deemed under section 191 of the Act to have made a supply of the complex after March 31, 2012.
 — SOR/2012-191, s. 72
Section 37 and subsection 38(2) apply in respect of a supply made by a cooperative housing corporation to an individual of a share of the capital stock of the corporation if tax in respect of the supply, referred to in paragraph 255(2)(a) of the Act, of the complex to the corporation becomes payable because of subsection 168(5) of the Act, or is deemed under section 191 of the Act to have been paid, after March 31, 2013.
 — SOR/2012-191, s. 73
Subsection 38(1) applies in respect of a supply made by a cooperative housing corporation to an individual of a share of the capital stock of the corporation if tax in respect of the supply, referred to in paragraph 255(2)(a) of the Act, of the complex to the corporation becomes payable because of subsection 168(5) of the Act, or is deemed under section 191 of the Act to have been paid, after March 31, 2012.
 — SOR/2012-191, s. 75
Subsection 39(1) applies to any rebate that is in respect of a residential complex in respect of which the construction or substantial renovation is substantially completed after March 31, 2012 and for which an application is filed with the Minister of National Revenue after that day.
 — SOR/2012-191, s. 76
Subsections 39(2) to (4), (6) and (7) apply to any rebate in respect of a residential complex for which an application is filed with the Minister of National Revenue after March 31, 2017.
 — SOR/2012-191, s. 77
Subsection 40(1) applies in respect of a residential complex, an interest in a residential complex or an addition in respect of which the particular time referred to in paragraph 256.2(3)(b) of the Act is after March 31, 2012.
 — SOR/2012-191, s. 78
Subsections 40(2) and (13) apply in respect of a residential complex, an interest in a residential complex or an addition in respect of which the particular time referred to in paragraph 256.2(3)(b) of the Act is after March 31, 2013.
 — SOR/2012-191, s. 79
Subsection 40(3) applies in respect of a residential complex or addition in respect of which the particular time referred to in paragraph 256.2(4)(c) of the Act is after March 31, 2012.
 — SOR/2012-191, s. 80
Subsection 40(4) applies in respect of a residential complex or addition in respect of which the particular time referred to in paragraph 256.2(4)(c) of the Act is after March 31, 2013.
 — SOR/2012-191, s. 81
Subsection 40(5) applies in respect of a residential unit included in a residential complex if tax in respect of the supply, referred to in subparagraph 256.2(5)(a)(i) or (ii) of the Act, of the complex becomes payable because of subsection 168(5) of the Act, or is deemed under section 191 of the Act to have been paid, after March 31, 2012.
 — SOR/2012-191, s. 82
Subsection 40(6) applies in respect of a residential unit included in a residential complex if tax in respect of the supply, referred to in subparagraph 256.2(5)(a)(i) or (ii) of the Act, of the complex becomes payable because of subsection 168(5) of the Act, or is deemed under section 191 of the Act to have been paid, after March 31, 2013.
 — SOR/2012-191, s. 83
Subsections 40(7) and (8) apply in respect of an exempt supply of land made by a person that results in the person being deemed to have made the taxable supply of the land referred to in subparagraph 256.2(6)(a)(ii) and to have paid tax after March 31, 2012 in respect of that supply.
 — SOR/2012-191, s. 84
Subsection 40(9) applies in respect of an exempt supply of land made by a person that results in the person being deemed to have made the taxable supply of the land referred to in subparagraph 256.2(6)(a)(ii) and to have paid tax after March 31, 2013 in respect of that supply.
 — SOR/2012-191, s. 85
Subsection 40(12) is deemed to have come into force on July 1, 2010, except that, if a person has filed an application for a rebate under section 259 of the Act before April 1, 2013 and, in determining the amount of that rebate, the person has included all or part of the amount of tax that the person would otherwise be entitled to include in determining the amount of a particular rebate under subsection 256.21(1) of the Act in respect of real property, the following rules apply:subsection 47(12.2) of the New Harmonized Value-added Tax System Regulations, No. 2, as enacted by subsection 40(12), does not apply in respect of the particular rebate;the person may, despite subsections 47(11) and (11.1) of those Regulations, file an application for the particular rebate before April 1, 2013;if, in the absence of this paragraph, the particular rebate would not be payable to the person only because of the application of subsection 256.2(7) of the Act in relation to another rebate under section 256.2 of the Act in respect of the real property, for the purpose of applying any of subsections 47(3) to (10) of those Regulations in respect of the real property, the person is deemed to be entitled to claim the other rebate; andany part of a rebate under section 259 of the Act claimed by the person that is attributable to the tax included in determining the amount of the particular rebate is to be deducted from the amount of the particular rebate.
 — SOR/2013-44, s. 49
Sections 21 to 26, 28, 29, 31 and 32 apply in respect of any reporting period of a person that ends on or after April 1, 2013, except that no person is liable to a penalty the amount of which is determined under the Electronic Filing and Provision of Information (GST/HST) Regulations in respect of amounts prescribed under those Regulations in respect of Prince Edward Island and to be reported in a specified return that is filed before the day that is the later of April 1, 2013 and the day on which these Regulations are first published in the Canada Gazette.
 — SOR/2013-44, s. 50
Subparagraphs 42(d.1)(i) to (iii) of the New Harmonized Value-added Tax System Regulations, No. 2, as enacted by section 33, apply for the purpose of determining a rebate in respect of a supply, to a particular individual referred to in subsection 254.1(2) of the Excise Tax Act, of a building or part of it in which a residential unit forming part of a residential complex is situated if the supply of the complex referred to in paragraph 254.1(2)(d) of that Act is deemed under section 191 of that Act to have been made on or after April 1, 2013, unless no tax is payable under subsection 165(2) of that Act in respect of the supply referred to in that paragraph.Subparagraphs 42(d.1)(iv) and (v) of the New Harmonized Value-added Tax System Regulations, No. 2, as enacted by section 33, apply for the purpose of determining a rebate in respect of a supply, to a particular individual referred to in subsection 254.1(2) of the Excise Tax Act, of a building or part of it in which a residential unit forming part of a residential complex is situated if the supply of the complex referred to in paragraph 254.1(2)(d) of that Act is deemed under section 191 of that Act to have been made on or after the later of April 1, 2013 and the day on which these Regulations are first published in the Canada Gazette, unless no tax is payable under subsection 165(2) of that Act in respect of the supply referred to in that paragraph.
 — SOR/2013-44, s. 51
Subparagraphs 44(d.1)(i) to (iii) of the New Harmonized Value-added Tax System Regulations, No. 2, as enacted by section 34, apply for the purpose of determining a rebate in respect of a supply, by a cooperative housing corporation to a particular individual, of a share of the capital stock of the corporation if the rebate application is filed on or after April 1, 2013, unless the corporation paid no tax under subsection 165(2) of the Excise Tax Act in respect of the supply referred to in paragraph 255(2)(a) of that Act of the complex to the corporation.Subparagraphs 44(d.1)(iv) and (v) of the New Harmonized Value-added Tax System Regulations, No. 2, as enacted by section 34, apply for the purpose of determining a rebate in respect of a supply, by a cooperative housing corporation to a particular individual, of a share of the capital stock of the corporation if the rebate application is filed on or after the later of April 1, 2013 and the day on which these Regulations are first published in the Canada Gazette, unless the corporation paid no tax under subsection 165(2) of the Excise Tax Act in respect of the supply referred to in paragraph 255(2)(a) of that Act of the complex to the corporation.
 — SOR/2013-71, s. 20
Section 1, sections 1 and 2, paragraphs 3(a) and (d) to (f) and sections 4 to 20, 22, 23, 25 and 27 to 72 of the Selected Listed Financial Institutions Attribution Method (GST/HST) Regulations, as enacted by section 2, sections 12 and 13 and Part 4 apply in respect of a reporting period of a person that ends on or after July 1, 2010, except thatin determining if a financial institution is a prescribed financial institution throughout a reporting period in a fiscal year that ends in a taxation year of the financial institution that begins before the day on which these Regulations are published in the Canada Gazette, Part II, the definition permanent establishment in subsection 1(1) of those Regulations, as enacted by section 2, is to be read without reference tothe words “other than an investment plan” in paragraphs (a) and (b), andparagraph (c);in determining under section 7 of those Regulations, as enacted by section 2, if an investment plan is a qualifying small investment plan for a particular fiscal year of the investment plan that begins on or before January 28, 2011 the description of A in subsection 7(1) of those Regulations is to be read without reference to paragraphs (b) and (c) and the description of B in that subsection is to be read without reference to paragraphs (b) and (c);in determining under section 7 of those Regulations, as enacted by section 2, if an investment plan is a qualifying small investment plan for a particular fiscal year of the investment plan that begins after January 28, 2011 and before the day on which these Regulations are published in the Canada Gazette, Part II, the investment plan may elect to read the description of A in subsection 7(1) of those Regulations without reference to paragraph (c) and the description of B in that subsection without reference to paragraphs (b) and (c);in determining if section 9 of those Regulations, as enacted by section 2, applies in respect of a reporting period of an investment plan that begins before the day on which these Regulations are published in the Canada Gazette, Part II, the investment plan may elect to read the reference to “preceding taxation year” in paragraph 13(a) of those Regulations, as enacted by section 2, as a reference to “taxation year”;before the day on which these Regulations are published in the Canada Gazette, Part II, subsection 14(1) of those Regulations, as enacted by section 2, is to be read without reference to “if section 13 does not apply in respect of a reporting period in the fiscal year”;before October 12, 2011, any reference to “revenu brut” in sections 16, 20, 22 and 23 of the French version of those Regulations, as enacted by section 2, is to be read as a reference to “recettes brutes”;in determining a selected listed financial institution’s percentage for a particular period that begins before the day on which these Regulations are published in the Canada Gazette, Part II under section 25 of those Regulations, as enacted by section 2, the financial institution may elect to read the references to “calendar quarter” in subsections 25(2) and (3) of those Regulations as references to “calendar month”;no person is liable to a penalty under subsection 52(12) or (13) of those Regulations, as enacted by section 2, in respect of information that is required to be provided to an investment plan on or before the day on which these Regulations are published in the Canada Gazette, Part II;if an election made under subsection 53(1) of those Regulations, as enacted by section 2, by an investment plan and the manager of the investment plan is in effect at a time that is on or before the particular day on which these Regulations are published in the Canada Gazette, Part II and that is immediately before the time at which the investment plan ceases to exist, the manager must file with the Minister of National Revenue a return described in subsection 53(5) of those Regulations, as enacted by section 2, on or before the day that is six months after the particular day unless the investment plan files the return on or before the particular day;if an election made under subsection 54(1) of those Regulations, as enacted by section 2, by an investment plan and the manager of the investment plan is in effect at a time that is on or before the particular day on which these Regulations are published in the Canada Gazette, Part II and that is immediately before the time at which the investment plan ceases to exist and if paragraph 54(11)(a) of those Regulations, as enacted by section 2 does not apply in respect of the election, the manager must file with the Minister of National Revenue a return described in paragraph 54(11)(b) of those Regulations, as enacted by section 2, on or before the later ofthe day that is six months after the particular day, andthe day on which the return would otherwise be required to be filed under subsection 54(8) of those Regulations, as enacted by section 2; andno person is liable to a penalty the amount of which is determined under section 7 of the Electronic Filing and Provision of Information (GST/HST) Regulations, as amended by section 16, in respect of a particular amount that isin respect of a specified return for a reporting period that is filed before the day on which these Regulations are published in the Canada Gazette, Part II, andprescribed, for the purposes of section 284.01 of the Excise Tax Act, by subsection 5(4) of those Regulations, as enacted by section 15.
 — SOR/2013-71, s. 23
Sections 6 to 10 applyto any supply made on or after July 1, 2010; andin respect of any consideration for a supply that becomes due, or is paid without having become due, on or after July 1, 2010.
 — SOR/2016-119, s. 29
Subsection 14(1) applies for the purposes of determining a rebate in respect of a supply to a particular individual referred to in subsection 254.1(2) of the Excise Tax Act of a building, or part of it, in which a residential unit forming part of a residential complex is situated if the supply of the complex referred to in paragraph 254.1(2)(d) of that Act is deemed under section 191 of that Act to have been made on or after July 1, 2016, unless possession or use of the complex is transferred to the recipient of the supply under a written agreement of purchase and sale entered into on or before March 30, 2016.
 — SOR/2016-119, s. 30
Subsection 14(2) applies for the purposes of determining a rebate in respect of a supply to a particular individual referred to in subsection 254.1(2) of the Excise Tax Act of a building, or part of it, in which a residential unit forming part of a residential complex is situated if the supply of the complex referred to in paragraph 254.1(2)(d) of that Act is deemed under section 191 of that Act to have been made on or after July 1, 2016, unless possession or use of the complex is transferred to the recipient of the supply under a written agreement of purchase and sale entered into on or before May 3, 2016.
 — SOR/2016-119, s. 31
Section 15 applies for the purposes of determining a rebate in respect of a supply, by a cooperative housing corporation to a particular individual, of a share of the capital stock of the corporation acquired by the particular individual for the purpose of using a residential unit in a residential complex as the primary place of residence of the particular individual or a relation (as defined in subsection 255(1) of the Excise Tax Act) of the particular individual if the corporation paid tax under subsection 165(2) of the Excise Tax Act at a rate of 10% in respect of a taxable supply of the residential complex to the corporation.
 — SOR/2016-212, s. 28
Section 13 applies for the purposes of determining a rebate in respect of a supply to a particular individual referred to in subsection 254.1(2) of the Excise Tax Act of a building, or part of it, in which a residential unit forming part of a residential complex is situated if the supply of the complex referred to in paragraph 254.1(2)(d) of that Act is deemed under section 191 of that Act to have been made on or after October 1, 2016, unless possession or use of the complex is transferred to the recipient of the supply under a written agreement of purchase and sale entered into on or before June 16, 2016.
 — SOR/2016-212, s. 29
Section 14 applies for the purposes of determining a rebate in respect of a supply, by a cooperative housing corporation to a particular individual, of a share of the capital stock of the corporation acquired by the particular individual for the purpose of using a residential unit in a residential complex as the primary place of residence of the particular individual or a relation (as defined in subsection 255(1) of the Excise Tax Act) of the particular individual if the corporation paid tax under subsection 165(2) of the Excise Tax Act at a rate of 10% in respect of a taxable supply of the residential complex to the corporation.
 — SOR/2016-306, s. 5
Sections 2 and 3 apply in respect of tax thatbecomes payable after 2016 without having been paid before 2017; oris paid after 2016 without having become payable before 2017.
 — SOR/2019-59, s. 49
Sections 7 to 7.02 of the New Harmonized Value-added Tax System Regulations, No. 2, as enacted by section 29, section 31, section 12.2 of those Regulations, as enacted by section 32, and sections 33 to 35 apply in respect of any supply made after July 22, 2016.
 — SOR/2019-59, s. 50
Section 7.03 of the New Harmonized Value-added Tax System Regulations, No. 2, as enacted by section 29, applies in respect of any specified year of a person that ends after July 22, 2016.
 — SOR/2019-59, s. 51
Section 30 applies in respect of property that is brought into a province after July 22, 2016.
 — SOR/2019-59, s. 52
Section 12.1 of the New Harmonized Value-added Tax System Regulations, No. 2, as enacted by section 32, applies in respect of goods released after July 22, 2016.
 — 2021, c. 23, s. 116(2)
 — SOR/2023-161, s. 11
Section 6 applies to any acquisition, importation or bringing into a participating province of property in respect of which taxbecomes payable after July 27, 2018 without having been paid on or before that day; oris paid after July 27, 2018 without having become payable on or before that day.
SOR/2025-772025-04-01SOR/2025-772025-03-06SOR/2024-1572024-06-27SOR/2023-1612023-07-132021, c. 232021-06-29SOR/2019-592019-03-04