B.C. Reg. 113/2010

O.C. 233/2010
Deposited April 30, 2010

effective May 1, 2010

REPEALED BY B.C. REG. 91/2013 EFFECTIVE APRIL 1, 2013

Consumption Tax Rebate and Transition Act

Consumption Tax Rebate and Transition Regulation

[includes amendments up to B.C. Reg. 355/2012, March 18, 2013]

Point in Time
Contents
Part 1 — Definitions
  Definitions
Part 2 — Residential Energy Credit and Rebate
  Definitions
  When registrant must not provide a credit
  Application for rebate paid by director
  Application for reimbursement
  5.1  When director must not pay a rebate
  Energy credit and rebate amount
  Repayments to government
  Reimbursement subsequent to recovery of bad debt
  Repayment of reimbursement by registrant
  10  Document setting out amount of energy credit
  11  Records respecting provision of energy credit
  12  Retention of records
  13-14  Repealed
Part 3 — Point-of-Sale Rebates
  15  Definitions for this Part
  16  Qualifying property
Part 4 — Tax on Designated Property
  Division 1 — Provisions Relating to Payment of Tax
  17  Time of payment of tax — vehicles
  18  Time of payment of tax — boats and aircraft
  19  Prescribed time — section 22 of the Act
  20  Depreciated value
  Division 2 — Exemptions
  21  Designated property shipped out of province by seller
  22  Exemption for vehicles
  23  Purchase by new corporations
  24  Boat used by commercial fisher
  25  Transfer due to dissolution of marriage or relationship
  26  Vehicles modified to accommodate an individual with a disability
  27  Boats and aircraft brought into British Columbia
  28  Specified motor vehicle
  29  Vehicle assembled outside British Columbia
  30  Gifts
  31  Inheritance
  32  Temporary use
  33  Tax paid under the Act or Social Service Tax Act
  34  New resident's effects
  Division 3 — Refunds
  35  Refunds authorized
  36  Returns
  37  Designated property sent out of British Columbia within 30 days of purchase
  38  Designated property resold within 7 days
  39  Boat purchased by commercial fisher
  Division 4 — Records
  40  Records respecting designated property
  41  Retention of records
Part 5 — Residential Property Rebates
  42  Statement respecting amounts owing to government
Part 6 — General
  43  Certificate of lien form
  44  Calculation of interest
Part 7 — Offences
  45  Offences
Schedule

Part 1 — Definitions

Definitions

1In this regulation:

"Act" means the Consumption Tax Rebate and Transition Act;

"commercial activity" has the same meaning as in Part IX [Goods and Services Tax] of the federal Act;

"specified motor vehicle" has the same meaning as in Part IX of the federal Act.

[en. B.C. Reg. 215/2010, App. 2, s. 1.]

Part 2 — Residential Energy Credit and Rebate

Definitions

2(1)  In this Part, "registrant" has the same meaning as in paragraph (b) of the definition of "registrant" in section 1 of the Act.

(2)  In the Act, "heat" includes transferred energy that results in cooling.

(3)  For the purposes of this Part and section 1 of the Act:

"residential use" does not include use for a business, commercial or industrial purpose;

"residential dwelling" means any of the following:

(a) a house, cottage or other detached dwelling;

(b) a duplex;

(c) an apartment, condominium or townhouse;

(d) an apartment building or a condominium or townhouse complex, that is used only for the purpose of single family dwellings;

(e) an assisted living residence, as defined in the Community Care and Assisted Living Act;

(f) a long term residential care facility,

including that part of a multi-use building that is used for residential purposes and any land that is attributable to a building and used for residential purposes, but does not include any of the following:

(g) a building or part of a building referred to in paragraphs (a) to (f) while under original construction;

(h) a hotel, motel, lodge, resort or other building or part of a building providing overnight accommodation;

(i) a hospital or other institutional building;

(j) a bunk house or camp building for use in connection with a commercial or construction project;

(k) those parts of a building that are used for any purpose other than residential.

When registrant must not provide a credit

3A registrant must not provide an energy credit in the following circumstances:

(a) the registrant does not deliver or provide the energy product to

(i)  a residential dwelling,

(ii)  a building that contains a residential dwelling, or

(iii)  a storage tank or facility located at a residential dwelling;

(b) in the case of a delivery or provision of propane, heating oil or kerosene to a residential dwelling, the registrant does not deliver or provide the propane, heating oil or kerosene

(i)  to the residential dwelling on a continuous basis by means of a pipe or other similar conduit, or

(ii)  to a storage tank or facility that is an improvement to real property at the residential dwelling;

(c) in the case of a delivery or provision of an energy product to a residential dwelling that is part of a multi-use building, the registrant does not deliver or provide the energy product to a storage tank or facility, or through a meter, that services only the part of the building that is used only for residential purposes;

(d) the person who must pay tax under section 165 (2) of the federal Act in respect of the taxable supply is one of the following persons:

(i)  a diplomatic agent of a diplomatic mission situated in Canada who is a citizen of the country operating the diplomatic mission;

(ii)  a senior official of United Nations' agency situated in Canada who has been accorded diplomatic privileges by the Department of Foreign Affairs and International Trade of the government of Canada;

(iii)  a career consular officer of a consular post situated in British Columbia, or of a consular post situated elsewhere in Canada but accredited in British Columbia, who is a citizen of the country operating the consular post;

(iv)  an administrative or support staff person of a consular post situated in British Columbia who is a citizen of the country operating the consular post;

(v)  a member of a visiting force, as defined in section 2 of the Visiting Forces Act (Canada);

(vi)  a spouse of a person referred to in subparagraphs (i) to (v).

(e) the person who, in accordance with a sales tax agreement, must pay tax under section 165 (2) of the federal Act in respect of the taxable supply is one of the following persons:

(i)  the Provincial government, as defined in section 52 of the Act;

(ii)  the British Columbia Housing Management Commission;

(iii)  the Provincial Rental Housing Corporation;

(iv)  the Public Guardian and Trustee.

[am. B.C. Regs. 215/2010, App. 2, s. 2; 31/2011, s. 1.]

Application for rebate paid by director

4A person may submit an application under section 10 (3) (a) of the Act only if

(a) the person has not submitted another application in the calendar year, or

(b) the person is submitting an application for a rebate of at least $100 and the person has submitted fewer than 3 applications in the calendar year.

Application for reimbursement

5When submitting an application under section 14 (1) (a) [claim for reimbursement] of the Act, a registrant must submit a separate application for each calendar month.

When director must not pay a rebate

5.1The director must not pay an energy rebate to a person referred to in section 3 (d) or (e) in respect of a taxable supply to the extent that the person may claim from the government of Canada a refund or rebate of the tax paid by the person under section 165 (2) of the federal Act in respect of the taxable supply.

[en. B.C. Reg. 215/2010, App. 2, s. 3; am. B.C. Reg. 31/2011, s. 2.]

Energy credit and rebate amount

6The amount determined for the purposes of sections 9 (1) and 10 (2) of the Act in respect of a taxable supply is the amount determined by the following formula:

amount = eligible consideration x tax rate
  where
eligible consideration  =  the value of the consideration for the supply other than the value of the consideration that is attributable to any of the following:
    (a)  service charges, including, without limitation, charges relating to any of the following:
      (i)  connection or disconnection of a service or equipment;
      (ii)  installations, inspections, testing, maintenance or repairs;
      (iii)  relocation or upgrade of a service or equipment;
      (iv)  analysis of the use of an energy product;
    (b)  administrative charges, including, without limitation, charges relating to any of the following:
      (i)  activation or cancellation of an account;
      (ii)  late payments;
      (iii)  interest;
      (iv)  returned or dishonoured payments;
      (v)  method of payment;
      (vi)  account adjustments;
      (vii)  account information;
    (c)  charges relating to equipment purchased or leased by the person acquiring the energy product;
    (d)  the power levy established under section 28 of the South Coast British Columbia Transportation Authority Act;
tax rate  =  the tax rate applied under section 165 (2) of the federal Act in respect of the taxable supply.

Repayments to government

7(1)  A person who must pay an amount to the government under section 11 (2) of the Act must pay the amount on or before the date that is 23 days after the last day of the month in which the portion of the energy product is used for a use other than for residential use in a residential dwelling.

(2)  A person who must pay an amount to the government under section 12 (2) (b) of the Act must pay the amount on or before the date that is 23 days after the last day of the month in which the consideration for the taxable supply is reduced.

Reimbursement subsequent to recovery of bad debt

8The amount determined for the purposes of section 13 (2) [reimbursement of energy credit] of the Act in respect of a taxable supply is the amount determined by the following formula:

amount = recovered amount x  (tax rate x eligible consideration)

total due
  eligible consideration  =  the eligible consideration as determined in accordance with the description of eligible consideration in section 6 of this regulation;
recovered amount  =  the amount recovered by the registrant in respect of the taxable supply to which section 231 (3) [recovery of bad debt] of the federal Act applies;
tax rate  =  the tax rate applied under section 165 (2) of the federal Act in respect of the taxable supply;
total due  =  the total of the consideration and tax imposed under Part IX of the federal Act in respect of the taxable supply.

Repayment of reimbursement by registrant

9(1)  A registrant who must pay an amount to the government under section 16 (2) of the Act must pay the amount on or before the date that is 23 days after the last day of the month in which the obligation to pay the amount arose.

(2)  The amount determined for the purposes of section 16 (2) (c) of the Act in respect of a taxable supply is the amount determined by the following formula:

amount = reimbursed amount x  bad debt

total due
  bad debt  =  the amount used in the formula in section 231 (1) of the federal Act for the description of "B" in determining the deduction under that section in respect of the taxable supply;
reimbursed amount  =  the amount reimbursed by the director under section 13 (1) of the Act in respect of the taxable supply;
total due  =  the total of the consideration and tax imposed under Part IX of the federal Act in respect of the taxable supply.

Document setting out amount of energy credit

10If a registrant provides an energy credit to a person, the registrant must issue to the person a receipt, invoice or other document in respect of the taxable supply of the energy product that sets out as a separate item the amount of the energy credit.

Records respecting provision of energy credit

11(1)  A registrant who must provide an energy credit must keep, in accordance with subsections (2) and (3), all records relating to the provision of the energy credit, including, without limitation, records respecting the following:

(a) the sale of the energy product;

(b) the volume of energy product sold;

(c) all charges relating to the supply of the energy product;

(d) the amount credited under section 9 of the Act.

(2)  Each entry respecting an energy credit must be separate and distinguishable from other entries made in the record.

(3)  The records required to be kept under subsection (1) must be kept by the registrant at the registrant's principal office or principal place of business in British Columbia.

Retention of records

12(1)  A registrant who is required to keep records under section 11 must retain in British Columbia those records for a period of 5 years from the date the record is created.

(2)  If a registrant who is required to retain records under subsection (1) makes a written application to the director for permission to destroy a record, the director may authorize the requested destruction prior to the expiry of the period described in subsection (1).

(3)  Despite any other provision of this section, if a record might be necessary for the purposes of an appeal under section 41 [appeal to minister] or 42 [appeal to court] of the Act, the registrant required to keep the records must retain the record after the expiry of the period described in subsection (1) and until the appeals have been exhausted.

Repealed

13-14Repealed. [B.C. Reg. 215/2010, App. 2, s. 4.]

Part 3 — Point-of-Sale Rebates

Definitions for this Part

15In this Part:

"aircraft fuel" means a fuel that is

(a) suitable for use in aircraft engines, and

(b) marketed or sold as a fuel for use in those engines;

"composite property" means property that is wrapped, packaged or otherwise prepared for sale as a single product the only components of which are a printed book and

(a) a read-only medium that contains material all or substantially all of the value of which is reasonably attributable to one or more of the following:

(i)  a reproduction of the printed book, and

(ii)  material that makes specific reference to the printed book and its content and that supplements, and is integrated with, that content, or

(b) if the product is specially designed for use by students enrolled in a qualifying course, a read-only medium or a right to access a website, or both of them, that contains material that is related to the subject matter of the printed book;

"diesel fuel" means a fuel, other than aircraft fuel, heavy fuel oil or fuel marketed or sold as a fuel for use as heating oil, that is

(a) suitable for use in internal combustion engines of the compression-ignition type, and

(b) marketed or sold as a fuel for use in those engines;

"gasoline" means a gasoline type fuel, other than aircraft fuel, that is

(a) suitable for use in internal combustion engines, and

(b) marketed or sold as a fuel for use in those engines;

"national standard" means a standard of the National Standards of Canada, as they read on January 1, 2010, in the subject area CAN/CGSB-49, Garment Sizes, published by the Canadian General Standards Board;

"printed book" has the same meaning as in section 259.1 (1) of the federal Act;

"qualifying course" means a course in which the supply of the service of instructing

(a) is an exempt supply included in Part III of Schedule V to the federal Act, or

(b) would be an exempt supply included in Part III of Schedule V to the federal Act but for the fact that the supplier of the service has made an election under that Part;

"read-only medium" means a tangible medium that is designed for the read-only storage of information and other material in digital format.

[en. B.C. Reg. 215/2010, App. 1, s. 1.]

Qualifying property

16(1)  For the purposes of paragraph (a) of the definition of "qualifying property" in section 4 (1) of the Act, the following books are prescribed:

(a) a printed book or an update of a printed book;

(b) an audio recording all or substantially all of which is a spoken reading of a printed book;

(c) a bound or unbound printed version of scripture of any religion;

(d) a composite property.

(2)  For the purposes of paragraph (b) of the definition of "qualifying property" in section 4 (1) of the Act, the following children's clothing and footwear are prescribed:

(a) garments, other than garments of a class that is used exclusively in sports or recreational activities, costumes, children's diapers prescribed under subsection (3) of this section or footwear referred to in paragraph (b) of this subsection, that are

(i)  designed for babies, including baby bibs, bunting blankets and receiving blankets,

(ii)  children's garments

(A)  designed for girls and of a size not greater than the size that is girls' size 16 according to the national standard applicable to the garments,

(B)  designed for boys and of a size not greater than the size that is boys' size 20 according to the national standard applicable to the garments, or

(C)  if no national standard applies to the garments, designed for girls or boys and having a size designation of extra small, small, medium or large, or

(iii)  hosiery or stretchy socks, hats, ties, scarves, belts, suspenders, mittens and gloves in sizes and styles designed for children or babies;

(b) footwear, other than stockings, socks or similar footwear or footwear of a class that is used exclusively in sports or recreational activities, that is

(i)  designed for babies, or

(ii)  designed for girls or boys and has an insole length of 24.25 centimetres or less.

(3)  For the purposes of paragraph (c) of the definition of "qualifying property" in section 4 (1) of the Act, a prescribed children's diaper is a product that is designed for babies or children and that is

(a) a diaper,

(b) a diaper insert or liner,

(c) a training pant, or

(d) a rubber pant designed for use in conjunction with any of the items referred to in paragraphs (a) to (c).

(4)  For the purposes of paragraph (d) of the definition of "qualifying property" in section 4 (1) of the Act, the following children's car seats and car booster seats are prescribed:

(a) a restraint system or booster seat that conforms to the Canada Motor Vehicle Safety Standard 213, 213.1, 213.2 or 213.5 under the Motor Vehicle Restraint Systems and Booster Seats Safety Regulations (Canada);

(b) Repealed. [B.C. Reg. 215/2010, App. 3, s. 1.]

(5)  For the purposes of paragraph (e) of the definition of "qualifying property" in section 4 (1) of the Act, a prescribed feminine hygiene product is a product that is marketed exclusively for feminine hygiene purposes and that is a sanitary napkin, tampon, sanitary belt, menstrual cup or other similar product.

(6)  For the purposes of paragraph (f) of the definition of "qualifying property" in section 4 (1) of the Act, the following motor fuels are prescribed:

(a) gasoline;

(b) diesel fuel;

(c) aircraft fuel.

[en. B.C. Reg. 215/2010, App. 1, s. 1; am. B.C. Reg. 215/2010, App. 3, s. 1.]

Part 4 — Tax on Designated Property

Division 1 — Provisions Relating to Payment of Tax

Time of payment of tax — vehicles

17(1)  For the purposes of sections 19 and 20 of the Act in relation to the payment of tax on designated property that is a vehicle, the prescribed time for the payment of the tax is the earlier of

(a) the time that an application is made for the registration or licensing of the vehicle under the Commercial Transport Act or Motor Vehicle Act or the registration of the vehicle under the Motor Vehicle (All Terrain) Act, and

(b) the date that is 23 days after the last day of the month in which the vehicle was purchased at a sale in British Columbia, brought or sent into British Columbia or delivered in British Columbia.

(2)  The prescribed time for the payment of tax under section 21 of the Act in relation to a vehicle is the time that an application is made for the registration of the vehicle under the Commercial Transport Act, Motor Vehicle Act or Motor Vehicle (All Terrain) Act.

(3)  If a person must pay tax to the government on a vehicle under section 19, 20 or 21 of the Act at the time prescribed under subsection (1) (a) or (2) of this section, the person must pay the tax to the Insurance Corporation of British Columbia.

(4)  If a person must pay tax on a vehicle under section 19 or 20 of the Act at the time prescribed under subsection (1) (b) of this section, the person must, at the time of payment, file with the director a return in the form satisfactory to the director.

[en. B.C. Reg. 215/2010, App. 2, s. 5.]

Time of payment of tax — boats and aircraft

18(1)  For the purposes of section 19 of the Act in relation to the payment of tax on designated property that is a boat or aircraft, the prescribed time for the payment of the tax is the date that is 23 days after the last day of the month in which the boat or aircraft was purchased at a sale in British Columbia.

(2)  If a person must pay tax on a boat or aircraft under section 19 of the Act, the person must, at the time of payment, file with the director a return in the form satisfactory to the director.

[en. B.C. Reg. 215/2010, App. 2, s. 5.]

Prescribed time — section 22 of the Act

19For the purposes of section 22 (2) and (4) of the Act, the prescribed time is the date that is 23 days after the last day of the month in which the designated property was used as described in section 22 (1) (b) or (3) (b) of the Act.

[en. B.C. Reg. 215/2010, App. 2, s. 5.]

Depreciated value

20For the purposes of section 24 of the Act, the depreciated value of the designated property is the amount determined by the following formula:

depreciated value = price – [price x depreciation]
where
price  =  either,
    (a)  in the case of a gift, the fair market value of the designated property at the time the gift was received, or
    (b)  in any other case, the purchase price of the designated property;
depreciation  =  the depreciation determined as the total of the following:
    (a)  for designated property that is an aircraft, 25% for each year or 2.0833% for each month;
    (b)  for designated property that is a vehicle, 30% for each year or 2.5% for each month;
    (c)  for designated property that is a boat, 15% for each year or 1.25% for each month,
    for which the designated property was used by the person liable to pay tax under the Act or another person referred to in section 20 or 21 of the Act.

[en. B.C. Reg. 215/2010, App. 2, s. 5.]

Division 2 — Exemptions

Designated property shipped out of province by seller

21A purchaser is exempt from paying tax under section 19 of the Act in relation to designated property if

(a) the designated property is purchased for use outside of British Columbia,

(b) after the designated property is purchased, no use is made of the designated property while it is in British Columbia other than to store it and to send it out of British Columbia,

(c) the seller sends the designated property out of British Columbia, and

(d) the purchaser does not take possession of the designated property in British Columbia.

[en. B.C. Reg. 215/2010, App. 2, s. 5.]

Exemption for vehicles

22A purchaser is exempt from paying tax under section 19 of the Act in relation to designated property that is a vehicle if

(a) the vehicle is purchased primarily for use outside British Columbia,

(b) the vehicle will not be registered or licensed under the Commercial Transport Act or Motor Vehicle Act or registered under the Motor Vehicle (All Terrain) Act, and

(c) the vehicle will not be used for a business purpose in British Columbia.

[en. B.C. Reg. 215/2010, App. 2, s. 5.]

Purchase by new corporations

23(1)  Subject to subsection (3), a corporation is exempt from paying tax under section 19 of the Act on the purchase of designated property if

(a) the corporation purchased the designated property, at any time on or before the day the corporation starts to carry on business, from a person (the "seller") who wholly owns and controls the corporation,

(b) at the time the corporation purchased the designated property, the corporation was registered under Subdivision d of Division V of Part IX of the federal Act,

(c) the corporation uses the designated property in a commercial activity of the corporation,

(d) the seller paid tax or was exempt from tax on the designated property under

(i)  the Act,

(ii)  the Social Service Tax Act, or

(iii)  section 165 (2), 212.1 or 218.1 or Division IV.1 of Part IX of the federal Act, and

(e) the seller wholly owns and controls the corporation for a period of not less than 8 months after the date of the purchase referred to in paragraph (a).

(2)  Subject to subsections (3) and (4), a corporation is exempt from paying tax under section 19 of the Act on the purchase of designated property if

(a) the corporation purchased the designated property, at any time on or before the day the corporation starts to carry on business, from a person (the "seller") who does not wholly own and control the corporation,

(b) at the time the corporation purchased the designated property, the corporation was registered under Subdivision d of Division V of Part IX of the federal Act,

(c) the corporation uses the designated property in a commercial activity of the corporation,

(d) the seller paid tax or was exempt from tax on the designated property under

(i)  the Act,

(ii)  the Social Service Tax Act, or

(iii)  section 165 (2), 212.1 or 218.1 or Division IV.1 of Part IX of the federal Act,

(e) the consideration for the purchase of the designated property by the corporation is the concurrent issue or transfer of the corporation's own shares to the seller, and

(f) the seller is the beneficial and legal owner of the shares referred to in paragraph (e) for a period of not less than 8 months after the date the shares were issued or transferred to the seller.

(3)  A corporation is not exempt under subsection (1) or (2) if the seller

(a) was exempt from tax on the designated property under the Act or the Social Service Tax Act because the seller

(i)  purchased the designated property for resale, or

(ii)  qualified for exemption by reason of the seller's use of the designated property and the corporation is not entitled to a similar exemption, or

(b) was exempt from tax on the designated property under section 165 (2), 212.1 or 218.1 or Division IV.1 of Part IX of the federal Act because the seller qualified for exemption by reason of the seller's use of the designated property and the corporation is not entitled to a similar exemption.

(4)  If the actual value of the shares issued or transferred in consideration for the purchase of the designated property is

(a) at least equal to the actual value of the designated property, all the purchase price is exempt from tax, or

(b) less than the actual value of the designated property, the difference between the actual value of the designated property and the actual value of the shares issued or transferred is subject to the tax.

(5)  For the purposes of this section, a person, subject to subsection (6), wholly owns and controls a corporation if the person owns beneficially at least 95% of the outstanding shares of each class of shares of the corporation.

(6)  For the purposes of this section, a person referred to in subsection (5) continues to wholly own and control a corporation despite transferring,

(a) without consideration, shares in the corporation to a trustee of a trust whose only beneficiaries are one or more of the following:

(i)  the person;

(ii)  the person's spouse;

(iii)  the person's children, or

(b) with or without consideration, shares in the corporation to a trustee of a trust whose only beneficiaries are the person's spouse or the person and the person's spouse.

[en. B.C. Reg. 215/2010, App. 2, s. 5.]

Boat used by commercial fisher

24A person is exempt from paying tax under section 19 of the Act on designated property that is a boat if

(a) the person fishes for commercial purposes under the authority of the Fisheries Act (Canada),

(b) the person's gross income in the immediately preceding year from commercial fishing in waters in or adjacent to British Columbia is not less than $10 000, or who derived at least 51% of that gross income from commercial fishing in those waters, and

(c) the boat is used only in catching fish for human consumption under the authority referred to in paragraph (a).

[en. B.C. Reg. 215/2010, App. 2, s. 5.]

Transfer due to dissolution of marriage or relationship

25(1)  In this section, "spouse" means a person who

(a) is married to another person, or

(b) lived with another person in a marriage-like relationship for a period of at least 2 years.

(2)  A person is exempt from paying tax under section 19, 20 or 21 of the Act in relation to designated property that the person acquired from a spouse or a former spouse under

(a) an agreement dividing property under Part 5 or 6 of the Family Law Act,

(b) a written separation agreement, or a marriage agreement, referred to in the Family Relations Act, or

(c) an order of a court on the dissolution of marriage or marriage-like relationship.

[en. B.C. Reg. 355/2012.]

Vehicles modified to accommodate an individual with a disability

26An individual is exempt from paying tax under section 19, 20 or 21 of the Act in relation to designated property that is a vehicle if

(a) the vehicle is not to be used for a business, commercial or industrial purpose, and

(b) either

(i)  the vehicle

(A)  has been manufactured or modified specifically for the purpose of facilitating the placement or transportation of a wheelchair in the vehicle without having to collapse the wheelchair, and

(B)  has been acquired for the purpose of transporting an individual using a wheelchair, or

(ii)  the vehicle

(A)  is equipped with an auxiliary driving control to facilitate the operation of the vehicle by an individual with a disability, and

(B)  has been acquired for operation by an individual with a disability who requires the use of the auxiliary driving control to operate the vehicle.

[en. B.C. Reg. 215/2010, App. 2, s. 5.]

Boats and aircraft brought into British Columbia

27A person is exempt from paying tax under section 20 of the Act in relation to designated property that is a boat or aircraft.

[en. B.C. Reg. 215/2010, App. 2, s. 5.]

Specified motor vehicle

28A person is exempt from paying tax under section 20 or 21 of the Act in relation to a vehicle that is not a specified motor vehicle.

[en. B.C. Reg. 215/2010, App. 2, s. 5.]

Vehicle assembled outside British Columbia

29A person is exempt from paying tax under section 20 or 21 of the Act in relation to a specified motor vehicle if the vehicle was assembled outside British Columbia

(a) from parts acquired outside British Columbia by the person, and

(b) before the person brought or sent into British Columbia, or received delivery in British Columbia of, the vehicle.

[en. B.C. Reg. 215/2010, App. 2, s. 5.]

Gifts

30A person is exempt from paying tax under section 20 or 21 of the Act in relation to designated property brought or sent into British Columbia by, or delivered in British Columbia to, the person if

(a) that person received the designated property as a gift, and

(b) the person who provided the gift

(i)  paid tax on the designated property

(A)  under section 19 or 20 of the Act,

(B)  under the Social Service Tax Act, or

(C)  under section 165 (2), 212.1 or 218.1 or Division IV.1 of Part IX of the federal Act or under the law of a province that imposes a sales tax, and

(ii)  is, in respect of the tax paid on the designated property, not eligible for a refund under the Act, the federal Act or the laws of another province.

[en. B.C. Reg. 215/2010, App. 2, s. 5.]

Inheritance

31A person is exempt from paying tax under section 20 or 21 of the Act if the designated property is received as part of the distribution of a deceased's estate.

[en. B.C. Reg. 215/2010, App. 2, s. 5.]

Temporary use

32A person is exempt from paying tax under section 20 or 21 of the Act in relation to designated property if

(a) the designated property is sent outside British Columbia within 30 days after the entry date of the designated property to be used primarily outside British Columbia, and

(b) the designated property is in British Columbia for use in British Columbia for less than 30 days in a calendar year,

[en. B.C. Reg. 215/2010, App. 2, s. 5.]

Tax paid under the Act or Social Service Tax Act

33(1)  A person is exempt from paying tax under section 20 or 21 of the Act in relation to designated property if

(a) tax under the Act has been paid previously by that person on that designated property, and

(b) the person is not eligible for a refund in respect of the tax paid previously under the Act on that designated property.

(2)  A person is exempt from paying tax under section 20 or 21 of the Act in relation to designated property if

(a) tax under the Social Service Tax Act has been paid previously by that person on that designated property and

(b) the person is not eligible for a refund in respect of the tax paid previously under that Act on that designated property.

[en. B.C. Reg. 215/2010, App. 2, s. 5.]

New resident's effects

34(1)  An individual who brings or sends into British Columbia, or receives delivery in British Columbia of, designated property for the individual's sole personal use is exempt from paying tax under section 20 or 21 of the Act if the designated property

(a) arrived in British Columbia within 6 months of the individual becoming a resident of British Columbia, or would have arrived within that time if it was not for circumstances that made it impractical for the individual to have brought the taxable property in within that time, and

(b) was owned, physically possessed and used by the individual for at least 30 days before the individual became a resident of British Columbia.

(2)  Subsection (3) applies to an individual who

(a) is exempt under subsection (1) in respect of designated property, and

(b) subsequently uses that designated property or allows that property to be used for a business purpose.

(3)  An individual to whom this subsection applies is exempt from paying tax under section 22 of the Act in respect of the designated property if

(a) the subsequent use for a business purpose does not occur within the first 6 months after that property was brought or sent into British Columbia or delivered in British Columbia,

(b) the individual

(i)  paid tax on the designated property under the law of a province that imposes a sales tax, and

(ii)  is not eligible for a refund of the tax paid on the designated property under the law of the other province, and

(c) the designated property was owned, physically possessed and used by the individual for more than 3 years before the individual moved to British Columbia.

[en. B.C. Reg. 215/2010, App. 2, s. 5.]

Division 3 — Refunds

Refunds authorized

35This Division provides for refunds for the purposes of section 30 (a) of the Act.

[en. B.C. Reg. 215/2010, App. 2, s. 5.]

Returns

36The director may refund tax paid under section 19 of the Act on designated property if the director is satisfied that, within 30 days after the date of the sale of the designated property to the applicant,

(a) ownership of the designated property was transferred to the previous owner,

(b) the designated property was returned to the previous owner, and

(c) the purchase price for the designated property was refunded to the applicant.

[en. B.C. Reg. 215/2010, App. 2, s. 5.]

Designated property sent out of British Columbia within 30 days of purchase

37The director may refund tax paid under section 19 of the Act on designated property if the director is satisfied that

(a) the designated property was subsequently sent out of British Columbia within 30 days of the date of purchase to be used primarily outside British Columbia, and

(b) the applicant paid tax on the designated property under Division IV.1 of Part IX of the federal Act or under the law of another jurisdiction that imposes a sales tax.

[en. B.C. Reg. 215/2010, App. 2, s. 5.]

Designated property resold within 7 days

38The director may refund tax paid under section 19 of the Act on designated property if the director is satisfied that the purchaser subsequently sold the designated property to another person at a sale in British Columbia within 7 days after the purchaser had purchased the designated property.

[en. B.C. Reg. 215/2010, App. 2, s. 5.]

Boat purchased by commercial fisher

39The director may refund tax paid under section 19 of the Act on designated property that is a boat if the director is satisfied that

(a) the purchaser fishes for commercial purposes under the authority of the Fisheries Act (Canada),

(b) the purchaser's gross income, in a 12 month period ending within a year after the purchase of the boat, from commercial fishing in waters in or adjacent to British Columbia is not less than $10 000, or who derived at least 51% of that gross income from commercial fishing in those waters, and

(c) the boat is used only in catching fish for human consumption under the authority referred to in paragraph (a).

[en. B.C. Reg. 215/2010, App. 2, s. 5.]

Division 4 — Records

Records respecting designated property

40(1)  Subsection (2) applies to a person who

(a) is required to pay tax under the Act in respect of designated property, or

(b) is exempt from paying tax under the Act in respect of designated property, other than by reason of an exemption under section 26 of the Act or section 27 of this regulation.

(2)  A person to whom this subsection applies must keep, in accordance with subsection (3), all records relating to the purchase, bringing or sending into British Columbia or the delivery in British Columbia of the designated property.

(3)  The records required to be kept under subsection (2) must be kept by the person at the principal premises in British Columbia where the records of the person are kept.

[en. B.C. Reg. 215/2010, App. 2, s. 5.]

Retention of records

41(1)  A person who is required to keep records under section 40 must retain those records in British Columbia for a period of 5 years from the dates the records are created.

(2)  If a person who is required to retain records under subsection (1) makes a written application to the director for permission to destroy a record, the director may authorize the requested destruction prior to the expiry of the period described in subsection (1).

(3)  Despite any other provision of this section, if a record might be necessary for the purposes of an appeal under section 41 [appeal to minister] or 42 [appeal to court] of the Act, the person required to keep the records must retain the record after the expiry of the period described in subsection (1) and until the appeals have been exhausted.

[en. B.C. Reg. 215/2010, App. 2, s. 5.]

Part 5 — Residential Property Rebates

Statement respecting amounts owing to government

42(1)  In this section, "builder" has the same meaning as in Part IX [Goods and Services Tax] of the federal Act.

(2)  For the purpose of a rebate in respect of residential property in British Columbia under section 256.21 of the federal Act, the director may issue to a builder a statement if all amounts owing to the government by the builder under the Act and the following enactments have been paid:

(a) the Carbon Tax Act;

(b) the Home Owner Grant Act;

(c) the Hotel Room Tax Act;

(d) the Insurance Premium Tax Act;

(e) the Logging Tax Act;

(f) the Mineral Land Tax Act;

(g) the Mineral Tax Act;

(h) the Motor Fuel Tax Act;

(i) Part 9.1 of the Police Act;

(j) the Property Transfer Tax Act;

(k) Division 4 of Part 8 of the School Act;

(l) the Social Service Tax Act;

(m) the Taxation (Rural Area) Act;

(n) the Tobacco Tax Act.

(3)  If a builder to whom a statement has been issued under subsection (2) owes an amount to the government under the Act or another enactment referred to in subsection (2), the director may revoke the statement, effective on the date stated on the notice of revocation.

(4)  If the director revokes a statement issued under subsection (2), the director must provide the notice of revocation or a copy of the notice to the builder and the Canada Revenue Agency.

(5)  A statement issued under subsection (2) is valid for one year from the date it is issued unless the statement is revoked under subsection (3).

[en. B.C. Reg. 215/2010, App. 2, s. 5.]

Part 6 — General

Certificate of lien form

43The form set out in the Schedule is prescribed for the purposes of section 48 (2) (a) of the Act.

[en. B.C. Reg. 215/2010, App. 2, s. 5.]

Calculation of interest

44Interest payable under the Act must be

(a) compounded monthly, and

(b) calculated on the number of days since the last compounding of interest, or if no compounding has yet occurred, from the date that interest is payable under the Act.

[en. B.C. Reg. 215/2010, App. 2, s. 5.]

Part 7 — Offences

Offences

45A person who contravenes section 7, 9, 10, 11, 12, 17 (4) or 18 (2) commits an offence and is liable

(a) on a first conviction, to a fine of not less than $200 and not more than $500, and

(b) on a subsequent conviction for contravention of the same or another provision of this regulation, to a fine of not less than $500 and not more than $2 000.

[en. B.C. Reg. 215/2010, App. 2, s. 5.]

 

Schedule

[en. B.C. Reg. 215/2010, App. 2, s. 6.]

CREST          Province of British Columbia          Ministry of Finance

IN THE MATTER OF THE CONSUMPTION TAX REBATE AND TRANSITION ACT, S.B.C. 2010, CHAPTER 5, SECTION 48 AND IN THE MATTER OF THE INTEREST

OF .................................................................................................................................................... [name]

IN .................................................................................................................................................................

........................................................................................ [P.I.D. number and full legal description of land]

CERTIFICATE OF LIEN

I certify that:

1   ...........................................................................................................................................

     [Debtor name]

     ...........................................................................................................................................

     [Debtor address]

     is required to pay an amount under the Consumption Tax Rebate and Transition Act but has not paid that amount.

2   The amount remaining unpaid as of the date of this certificate is $....................................

AND TAKE NOTICE that on registration of this certificate in the land title office, the amount of the indebtedness to Her Majesty the Queen in right of the Province of British Columbia is a lien against the land described above.

Dated at........................................, British Columbia on..................................[Date]

......................................................................................

Director, Consumption Tax Rebate and Transition Act

[Provisions relevant to the enactment of this regulation: Consumption Tax Rebate and Transition Act, S.B.C. 2010, c. 5, sections 64 to 67]