Stamping and Marking of Tobacco, Cannabis and Vaping Products Regulations

Contents

Her Excellency the Governor General in Council, on the recommendation of the Minister of National Revenue, pursuant to paragraphs 304(1)(f) and (o) of the Excise Act, 2001, hereby makes the annexed Stamping and Marking of Tobacco Products Regulations.^note

Interpretation

1 #

The definitions in this section apply in these Regulations.

Act means the Excise Act, 2001. (Loi)

carton means a paperboard box or wrapper containing 15 or fewer packages of cigarettes or 200 or fewer tobacco sticks. (cartouche)

case means a corrugated cardboard box in which packages or cartons of tobacco products, or packages of vaping products, are packed primarily for the purpose of transport and protection against damage. (caisse)

manufacturer means a manufacturer of tobacco products. (fabricant)

smokeless tobacco [Repealed, SOR/2011-6, s. 1]

Prescribed Package

2 #

For the purpose of paragraph (a) of the definition packaged in section 2 of the Act,

(a)raw leaf tobacco is packaged in a prescribed package when it is formed into a hand for sale or when a hand of raw leaf tobacco or broken portions of the leaf are packed for sale;

(b)a tobacco product is packaged in a prescribed package when it is packaged in the smallest package — including any outer wrapping that is customarily displayed to the consumer — in which it is normally offered for sale to the general public; and

(c)a cannabis product or a vaping product is packaged in a prescribed package when it is packaged in the smallest package — including any outer wrapper, package, box or other container — in which it is sold to the consumer.

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Prescribed Information

3 #

For the purposes of paragraph 34(b) of the Act, the prescribed information is

(a)the tobacco licensee’s name and address;

(b)the tobacco licensee’s licence number; or

(c)if the tobacco product is packaged by the licensee for another person, the person’s name and the address of their principal place of business.

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3.1 #

For the purposes of paragraph 35(1)(a) of the Act, the prescribed information is

(a)the name and address of the manufacturer who packaged the tobacco product;

(b)if the tobacco product was imported by a tobacco licencee, the licensee’s name and address or tobacco licence number; or

(c)if the tobacco product was imported by a person other than a tobacco licensee, the person’s name and address.

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3.2 #

(1)In the case of a package of manufactured tobacco that is to be exported and is intended for delivery to a foreign duty free shop or as foreign ships’ stores, the words “not for sale in Canada” and “vente interdite au Canada” are, in addition to the information set out in sections 3 and 3.1, prescribed information for the purposes of paragraphs 34(b) and 35(1)(a) of the Act.

(2)The words set out in subsection (1) must be printed in a conspicuous manner on the package.

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3.3 #

For the purposes of paragraphs 34(b) and 35(1)(a) of the Act, the following information is prescribed for cases of manufactured tobacco or cigars:

(a)if the case is packed with cartons, the number of cartons in the case and the number of packages in each carton; and

(b)if the case is packed with packages, the number of packages in the case and the weight of the tobacco product in each package.

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3.4 #

For the purposes of subsections 38(1) and (2) of the Act, the prescribed information is

(a)for packages of manufactured tobacco or cigars manufactured in Canada, the information set out in section 3;

(b)for packages of imported manufactured tobacco or cigars, the information set out in section 3.1; and

(c)for cases of manufactured tobacco or cigars, the information set out in section 3.3.

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3.5 #

For the purposes of the definition stamped in section 2 of the Act,

(a)the prescribed information for a carton of black stock cigarettes or black stock tobacco sticks is the information set out in Schedule 4;

(b)the prescribed information for a case of black stock cigarettes or black stock tobacco sticks is the information set out in Schedule 5; and

(c)the prescribed format is the format set out in the applicable Schedule and the prescribed manner is printing the information, in accordance with the specifications set out in that Schedule, on a conspicuous place on two opposing sides of the carton or case.

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3.6 #

For the purposes of paragraphs 158.46(1)(b) and (2)(a) of the Act, the prescribed information is

(a)one of the following:

(i)the vaping product licensee’s name and address,

(ii)the vaping product licensee’s licence number, or

(iii)if the vaping product is packaged by the vaping product licensee for another person, the person’s name and the address of their principal place of business; and

(b)the volume in millilitres of the vaping substance in liquid form, and the weight in grams of the vaping substance in solid form, contained in each vaping device or immediate container in the package and the number of vaping devices and immediate containers in the package.

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3.7 #

For the purposes of paragraph 158.47(1)(a) of the Act, the prescribed information is

(a)if the vaping product was imported by a vaping product licensee, the licensee’s name and address or vaping product licence number;

(b)if the vaping product was imported by a person other than a vaping product licensee, the person’s name and address; and

(c)the volume in millilitres of the vaping substance in liquid form, and the weight in grams of the vaping substance in solid form, contained in each vaping device or immediate container in the package and the number of vaping devices and immediate containers in the package.

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3.8 #

For the purposes of paragraphs 158.46(1)(b) and (2)(a) and 158.47(1)(a) of the Act, the following information is prescribed for cases of vaping products:

(a)the number of packages in the case; and

(b)the volume of the vaping substance in liquid form, and the weight of the vaping substance in solid form, contained in each package.

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3.9 #

For the purposes of subsections 158.5(1) and (2) of the Act, the prescribed information is

(a)for containers of vaping products manufactured in Canada, the information set out in section 3.6; and

(b)for containers of imported vaping products, the information set out in section 3.7.

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Prescribed Person

4 #

(1)For the purposes of subsections 25.1(1) and 158.36(1) of the Act, a prescribed person is a person that satisfies the requirements set out in paragraphs 2(2)(a) to (e) of the Regulations Respecting Excise Licences and Registrations.

(2)For the purposes of paragraph 25.3(2)(d) of the Act, a prescribed person is a person who transports a tobacco excise stamp on behalf of a person described in paragraph 25.3(2)(a) or (b) of the Act.

(3)For the purposes of paragraph 158.05(2)(c) of the Act, the following persons are prescribed:

(a)a person that transports a cannabis excise stamp on behalf of a person described in paragraph 158.05(2)(a) or (b) of the Act; and

(b)a person that has in their possession cannabis excise stamps only for the purpose of applying adhesive to the stamps on behalf of the cannabis licensee to which the stamps are issued.

(4)For the purposes of paragraph 158.38(2)(d) of the Act, the following persons are prescribed:

(a)a person that transports a vaping excise stamp on behalf of a person described in paragraph 158.38(2)(a) or (b) of the Act; and

(b)a person that has in their possession vaping excise stamps only for the purpose of applying adhesive to the stamps on behalf of the person to which the stamps are issued.

4.01 #

(1)If the Minister holds, at any time in a calendar month, security that a person has provided under subsection 158.36(3) of the Act and if the person is not a vaping product licensee throughout the calendar month, the person must file with the Minister an information return for the calendar month in respect of the possession and use of any vaping excise stamps issued to the person.

(2)If the Minister holds, at any time in a calendar month, security that a person has provided under subsection 25.1(3) of the Act and if the person is not a tobacco licensee throughout the calendar month, the person must file with the Minister an information return for the calendar month in respect of the possession and use of any tobacco excise stamps issued to the person.

(3)The information return of a person for a particular calendar month must

(a)be made in prescribed form containing prescribed information; and

(b)be filed in prescribed manner on or before the last day of the first calendar month following the particular calendar month.

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Security

4.1 #

(1)Subject to subsections (2) to (4), the amount of security for the purpose of subsection 25.1(3) of the Act is the greater of

(a)the amount equal to one half of the amount of duty that would be imposed under section 42 of the Act on tobacco products if they were stamped with

(i)the unaffixed tobacco excise stamps in the applicant’s possession at the time of application, and

(ii)the tobacco excise stamps to be issued in respect of the application; and

(b)$5,000.

(2)Subject to subsection (3), if the amount referred to in paragraph (1)(a) is greater than $5 million, the amount of security for the purpose of subsection 25.1(3) of the Act is $5 million.

(3)If a person has provided security under paragraph 23(3)(b) of the Act in an amount that is equal to or greater than the amount of security determined in accordance with subsection (1) or (2), as the case may be, the amount of security for the purpose of subsection 25.1(3) of the Act is nil.

(4)If a person has provided security under paragraph 23(3)(b) of the Act in an amount that is less than the amount of security determined in accordance with subsection (1) or (2), as the case may be, the amount of security for the purpose of subsection 25.1(3) of the Act is the difference between the amount of security determined in accordance with subsection (1) or (2), as the case may be, and the amount of security provided by the person under paragraph 23(3)(b) of the Act.

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4.11 #

(1)Subject to subsections (2) to (4), the amount of security for the purpose of subsection 158.36(3) of the Act is the greater of

(a)the total of

(i)$2.00 multiplied by the number of vaping excise stamps that either are in the applicant’s possession at the time of application or are to be issued in respect of the application and that are in respect of any specified vaping province, and

(ii)$1.00 multiplied by the number of vaping excise stamps that either are in the applicant’s possession at the time of application or are to be issued in respect of the application and that are not in respect of any specified vaping province, and

(b)$5,000.

(2)Subject to subsections (3) and (4), if the amount determined under paragraph (1)(a) is greater than $5 million, the amount of security for the purpose of subsection 158.36(3) of the Act is $5 million.

(3)If a person has provided security under paragraph 23(3)(b) of the Act in an amount that is equal to or greater than the amount of security determined in accordance with subsections (1) and (2), the amount of security for the purpose of subsection 158.36(3) of the Act is nil.

(4)If a person has provided security under paragraph 23(3)(b) of the Act in an amount that is less than the amount of security determined in accordance with subsections (1) and (2), the amount of security for the purpose of subsection 158.36(3) of the Act is the difference between the amount of security determined in accordance with subsections (1) and (2) and the amount of security provided by the person under paragraph 23(3)(b) of the Act.

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Excise Stamps

4.2 #

For the purposes of the definition stamped in section 2 of the Act and subsections 25.3(1), 158.05(1) and 158.38(1) of the Act, the prescribed manner of affixing an excise stamp to a package is by affixing the stamp

(a)in a conspicuous place on the package;

(b)in a manner that seals the package;

(c)in a manner that the stamp remains affixed to the package after the package is opened;

(d)in a manner that does not interfere with the stamp’s security features; and

(e)in a manner that does not obstruct any information that is required by or under an Act of Parliament to appear on the package.

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Prescribed Limit

5 #

(1)For the purposes of paragraphs 32(2)(j) and 35(2)(c) of the Act, the prescribed limit is five units of tobacco products.

(2)For the purposes of subsection (1), a unit of tobacco products consists of

(a)200 cigarettes;

(b)50 cigars;

(d)200 g of manufactured tobacco.

5.01 #

(1)For the purposes of paragraphs 158.44(3)(e) and 158.47(2)(c) and section 158.56 of the Act, the prescribed limit is five units of vaping products.

(2)For the purposes of subsection (1), a unit of vaping products consists of 120 millilitres of vaping substance in liquid form, or 120 grams of vaping substance in solid form, within any combination of not more than 12 vaping devices and immediate containers.

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Service Agreements in Respect of Cannabis Products

5.1 #

(1)For the purposes of this section, service agreement means an agreement, containing prescribed information, between a particular cannabis licensee (other than a cannabis licensee that is a producer of cannabis products solely because of their packaging of cannabis products) and another cannabis licensee under which the other cannabis licensee is to package, or affix a cannabis excise stamp to, cannabis products for the particular cannabis licensee.

(2)For the purposes of this section, a service agreement is an authorized service agreement from the effective date of its authorization under subsection (5) until the effective date of the revocation of the authorization of the service agreement under subsection (8).

(3)A cannabis licensee that is a party to a service agreement may apply to the Minister to have the service agreement authorized by the Minister for the purposes of this section.

(4)An application under subsection (3) in respect of a service agreement must

(a)be made in prescribed form containing prescribed information;

(b)include a copy of the service agreement; and

(c)be filed with the Minister in prescribed manner on or before the day that is 60 days before the proposed effective date of the authorization of the service agreement or any later day that the Minister may allow.

(5)If an application under subsection (3) in respect of a service agreement is filed with the Minister, the Minister must with all due dispatch

(a)consider the application and authorize or refuse to authorize the service agreement for the purposes of this section; and

(b)notify the applicant in writing of the decision and, if authorized, the effective date of the authorization.

(6)The Minister may, at any time, specify conditions that the Minister considers appropriate in respect of a service agreement authorized under subsection (5).

(7)If an authorized service agreement is to be amended or is, or is to be, no longer in effect, a party to the authorized service agreement must

(a)without delay so notify the Minister in writing; and

(b)if the authorized service agreement is to be amended, make an application under subsection (3) for the authorization of the amended service agreement.

(8)If the Minister is of the opinion that a party to an authorized service agreement is in contravention of the authorized service agreement, that any condition specified by the Minister under subsection (6) is not met or that the authorized service agreement is, or is to be, no longer in effect, the Minister

(a)may revoke the authorization of the service agreement; and

(b)must, if the Minister revokes the authorization of the service agreement, issue a notice of revocation of the authorization of the service agreement to each party to the service agreement specifying the effective date of the revocation.

(9)For the purposes of paragraph 158.05(2)(c) of the Act, a prescribed person is a particular cannabis licensee that is a party to an authorized service agreement and that has in their possession cannabis excise stamps that

(a)are issued to the other cannabis licensee that is a party to the authorized service agreement; and

(b)are to be affixed to a packaged cannabis product by the particular cannabis licensee in accordance with the authorized service agreement and in accordance with applicable conditions, if any, in respect of the authorized service agreement specified by the Minister under subsection (6).

(10)For the purposes of subparagraphs 158.13(c)(ii) and (d)(ii) of the Act, a prescribed condition is that the cannabis product is stamped by the other cannabis licensee in accordance with an authorized service agreement and in accordance with applicable conditions, if any, in respect of the authorized service agreement specified by the Minister under subsection (6).

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Tobacco Marking

6 #

In Schedule 3 (permitted additives and provisions relating to their use) —

(1)For the purposes of subsection 38(1) of the Act, the required tobacco markings are

(a)for containers of manufactured tobacco and cigars manufactured in Canada, the marking set out in Schedule 7; and

(b)for containers of manufactured tobacco and cigars manufactured outside Canada, the marking set out in Schedule 8.

(2)Despite paragraph (1)(a), the required tobacco marking for containers of cigars manufactured in Canada and intended for delivery to a duty free shop or as ships’ stores is the marking set out in Schedule 8.

(3)The tobacco markings must be printed on or affixed to the container in a conspicuous manner and in accordance with the specifications set out in the appropriate Schedule.

7 #

(1)For the purposes of subsection 38(2) of the Act, the required tobacco marking is the marking set out in Schedule 8.

(2)The tobacco marking must be printed on or affixed to the container in a conspicuous manner and in accordance with the specifications set out in Schedule 8.

Vaping Product Marking

8 #

(1)For the purposes of subsections 158.5(1) and (1.1) of the Act, the required vaping product markings are

(a)for containers of vaping products manufactured in Canada, the marking set out in Schedule 7; and

(b)for containers of vaping products manufactured outside Canada, the marking set out in Schedule 8.

(2)The vaping product markings must be printed on or affixed to the container in a conspicuous manner and in accordance with the specifications set out in the appropriate Schedule.

9 #

(1)For the purposes of subsection 158.5(2) of the Act, the required vaping product marking is the marking set out in Schedule 8.

(2)The vaping product marking must be printed on or affixed to the container in a conspicuous manner and in accordance with the specifications set out in Schedule 8.

Coming into Force

10 #

These Regulations are deemed to have taken effect on July 1, 2003.

Schedule 1

Schedule 2

Schedule 3

Schedule 4 · Information for Cartons of Black Stock Cigarettes and Black Stock Tobacco Sticks (Paragraph 3.5(a))

DUTY PAIDCANADADROIT ACQUITTÉThe following specifications apply:Background Colour: Pantone Peach 713Text Colour: Process Black 100%Text Font: Helvetica bold, minimum 7 pointFormat Width: minimum 2.9 cmFormat Height: minimum 1.4 cmFormat Border: minimum 1.5 point

Schedule 5 · Information for Cases of Black Stock Cigarettes and Black Stock Tobacco Sticks (Paragraph 3.5(b))

DUTY PAIDCANADADROIT ACQUITTÉThe following specifications apply:Text Colour: Process Black 100%Text Font: Helvetica bold, minimum 36 pointFormat Width: minimum 19 cmFormat Height: minimum 7 cmFormat Border: minimum 1.5 point

Schedule 6

Schedule 7 · Marking for Containers of Manufactured Tobacco, Cigars and Vaping Products Manufactured in Canada (Sections 6 and 8)

NOT FOR SALEVENTE INTERDITEIN/AU CANADAThe following specifications apply:Background Colour: Light BlueText Colour: Process Black 100%Text Font: Helvetica, minimum 8 pointSize: 7 cm × 19 cm

Schedule 8 · Marking for Containers of Manufactured Tobacco, Cigars and Vaping Products Manufactured Outside Canada, Containers of Cigars Manufactured in Canada and Intended for Delivery to a Duty Free Shop or as Ships’ Stores and Containers of Imported Manufactured Tobacco and Cigars Referred to in Subsection 38(2) of the Act (Sections 6 to 9)

DUTY NOT PAIDCANADADROIT NON ACQUITTÉThe following specifications apply:Text Colour: Process Black 100%Text Font: Helvetica, minimum 36 pointFormat Width: minimum 19 cmFormat Height: minimum 7 cmFormat Border: minimum 1.5 point

Schedule 9

Schedule 10

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