Deduction for Provincial Rebate (GST/HST) Regulations

Contents

Her Excellency the Governor General in Council, on the recommendation of the Minister of Finance, pursuant to subsection 234(3) and section 277 of the Excise Tax Act, hereby makes the annexed Deduction for Provincial Rebate (GST/HST) Regulations.^note^note

Interpretation

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The definitions in this section apply in these Regulations.

Act means the Excise Tax Act. (Loi)

aircraft fuel [Repealed, SOR/2012-191, s. 20]

children’s car seat means 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. (siège d’auto)

children’s clothing means garments (other than garments of a class that is used exclusively in sports or recreational activities, costumes, children’s diapers or children’s footwear) that are

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

(b)children’s garments

(i)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,

(ii)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

(iii)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

(c)hosiery or stretchy socks, hats, ties, scarves, belts, suspenders, mittens and gloves in sizes and styles designed for children or babies. (vêtements pour enfants)

children’s diaper means 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). (couche pour enfants)

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

(a)is designed for babies; or

(b)is designed for girls or boys and has an insole length of 24.25 centimetres or less. (chaussures pour enfants)

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. (bien mixte)

diesel fuel [Repealed, SOR/2012-191, s. 20]

feminine hygiene product means a product that is marketed exclusively for feminine hygiene purposes and is a sanitary napkin, tampon, sanitary belt, menstrual cup or other similar product. (produit d’hygiène féminine)

gasoline [Repealed, SOR/2012-191, s. 20]

motor fuel [Repealed, SOR/2012-191, s. 20]

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. (norme nationale)

printed book has the meaning assigned by subsection 259.1(1) of the Act. (livre imprimé)

provincial schedule in respect of a participating province means

(a)in the case of Ontario, Schedule 1;

(b)in the case of Nova Scotia, Schedule 2;

(c)in the case of New Brunswick, Schedule 3;

(d)[Repealed, SOR/2012-191, s. 20] (repealed)

(d.1)in the case of Prince Edward Island, Schedule 4.1; and

(e)in the case of Newfoundland and Labrador, Schedule 5. (annexe provinciale)

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

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

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

qualifying food and beverages means food or beverages (other than wine, spirits, beer, malt liquor or other alcoholic beverages) for human consumption that are, having regard to the nature of the product, the quantity sold or its packaging, sold in a form suitable for immediate consumption and that are

(a)food or beverages heated for consumption;

(b)salads not canned or vacuum sealed;

(c)sandwiches and similar products other than when frozen;

(d)platters of cheese, cold cuts, fruit or vegetables and other arrangements of prepared food;

(e)cakes, muffins, pies, pastries, tarts, cookies, doughnuts, brownies, croissants with sweetened filling or coating, or similar products if they are not prepackaged for sale to consumers and are sold as single servings in quantities of less than six;

(f)ice cream, ice milk, sherbet, frozen yoghurt, frozen pudding or non-dairy substitutes for any of the foregoing, or any product that contains any of the foregoing, sold in single servings and not prepackaged;

(g)food, the supply of which is a taxable supply (other than a zero-rated supply) that would be a zero-rated supply included in section 1 of Part III of Schedule VI to the Act if that section were read without reference to paragraph (q);

(h)non-carbonated beverages dispensed at the place where they are sold;

(i)any of the following beverages, the supply of which is not a zero-rated supply:

(i)milk (flavoured or unflavoured),

(ii)soy, rice or almond-based beverages or other similar non-dairy substitutes for milk, or

(iii)non-carbonated fruit juice beverages or fruit flavoured beverages, other than milk-based beverages, that contain 25% or more by volume of a natural fruit juice or combination of natural fruit juices or of a natural fruit juice or combination of natural fruit juices that have been reconstituted into the original state;

(j)any of the following beverages sold to a person at the same time as food or beverages that are described in any of paragraphs (a) to (i) and the supply of which is not a zero-rated supply:

(i)carbonated beverages dispensed at the place where they are sold, or

(ii)beverages (other than those described in any of paragraphs (a), (h) and (i)), provided that all of the following circumstances are satisfied:

(A)the cans, bottles or other primary containers in which they are sold contain a quantity not exceeding a single serving, and

(B)the beverages are not sold in multiples, prepackaged by the manufacturer or producer, of single servings; or

(k)any of the following food, sold to a person together with food or beverages that are described in any of paragraphs (a) to (i) for a single consideration:

(i)cakes, muffins, pies, pastries, tarts, cookies, doughnuts, brownies, croissants with sweetened filling or coating, or similar products if they are prepackaged for sale to consumers in quantities of less than six items each of which is a single serving,

(ii)ice cream, ice milk, sherbet, frozen yoghurt or frozen pudding, non-dairy substitutes for any of the foregoing, or any product that contains any of the foregoing, prepackaged and sold in single servings, or

(iii)food described in any of paragraphs 1(e) to (j) and (l) of Part III of Schedule VI to the Act. (aliments et boissons admissibles)

qualifying heating oil means fuel (other than heavy fuel oil or fuel sold as fuel for use in internal combustion engines) that is suitable for use as heating oil and is marketed or sold as fuel for use as heating oil for heating homes, buildings or similar structures. (huile de chauffage admissible)

qualifying newspaper means a print newspaper (other than a flyer, insert, magazine, periodical or shopper) that contains news, editorials, feature stories or other information of interest to the general public and that is published at regular intervals. (journal admissible)

read-only medium means a tangible medium that is designed for the read-only storage of information and other material in digital format. (support non inscriptible)

Prescribed Amount

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For the purposes of subsection 234(3) of the Act, the prescribed amount for an item included in the provincial schedule in respect of a participating province is the amount that may be paid or credited under an Act of the legislature of the participating province and that is equal to an amount of tax payable under Part IX of the Act in respect of that item.^note

Restrictions Related to Point-Of-Sale Rebates

2.1Coupons#

For the purposes of the new harmonized value-added tax system, section 181 of the Act is adapted according to the following rules:

(a)the reference to “a supply made in a participating province” in paragraph (a) of the definition tax fraction in subsection 181(1) of the Act is to be read as “a supply made in a participating province (other than a supply in respect of which the supplier pays to, or credits in favour of, the recipient of the supply an amount prescribed for the purposes of subsection 234(3) or a supply in respect of which the supplier credits a qualifying amount (as defined in section 1 of the Credit for Provincial Relief (HST) Regulations) to a person)”; and

(b)for the purposes of paragraphs 181(2)(b) and (c) of the Act, if the tax fraction referred to in those paragraphs is determined under paragraph (b) of the definition tax fraction in subsection 181(1) of the Act, the references in paragraphs 181(2)(b) and (c) of the Act to “tax collectible” is to be read as “tax collectible under subsection 165(1)” and the reference in paragraph 181(2)(c) of the Act to “tax payable” is to be read as “tax payable under subsection 165(1)”.

^note

2.2Restriction#

Section 234 of the Act is modified to adapt that section to the new harmonized value-added tax system by adding the following subsection after subsection (4) of that section:^note

Coming into Force

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These Regulations are deemed to have come into force on April 1, 1997.

Schedule 1 · Ontario Items (Section 1)

1 A printed book or an update of a printed book2 An audio recording all or substantially all of which is a spoken reading of a printed book3 A bound or unbound printed version of scripture of any religion4 A composite property5 Children’s clothing6 Children’s footwear7 A children’s diaper8 A feminine hygiene product9 A children’s car seat10 A qualifying newspaper11 Qualifying food and beverages sold to a person at a particular time, if the total of all consideration for all qualifying food and beverages sold to the person at the particular time is four dollars or less

Schedule 2 · Nova Scotia Items (Section 1)

Schedule 3 · New Brunswick Items (Section 1)

Schedule 4

Schedule 4.1 · Prince Edward Island Items (Section 1)

Schedule 5 · Newfoundland and Labrador Items (Section 1)

Related provisions

— SOR/2010-152, s. 13, as amended by SOR/2012-191, s. 44Until December 31, 2011, the children’s car seats referred to in the Deduction for Provincial Rebate (GST/HST) Regulations, as amended by sections 9 to 11, may, instead of conforming to the requirements of the Motor Vehicle Restraint Systems and Booster Seats Safety Regulations, conform to the requirements of the Motor Vehicle Restraint Systems and Booster Cushions Safety Regulations as they read on May 11, 2010 and as they were modified in their application by the Order Modifying the Operation of the Motor Vehicle Restraint Systems and Booster Cushions Safety Regulations and the Motor Vehicle Safety Regulations, which came into effect on May 1, 2009 and was published in the Canada Gazette, Part I, on May 9, 2009. — SOR/2016-306, s. 5Sections 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/2017-274, s. 4Section 2 applies in respect of tax thatbecomes payable after 2017 without having been paid before 2018; oris paid after 2017 without having become payable before 2018.

Federal laws of Canada reproduced under the Reproduction of Federal Law Order (SI/97-5); not the official version. Source: Justice Laws Website.