T-0.1, r. 2 - Regulation respecting the Québec sales tax

Section 383r1 Disposition versions

2017-04-12

383R1. For the purposes of this section and section 383R2, the expression:

“consideration”, in respect of a supply, includes all amounts credited to the recipient of the supply in respect of a trade-in, within the meaning of section 54.1 of the Act, accepted in full or partial consideration for the supply or, if the supplier and the recipient are not dealing with each other at arm’s length at the time the supply is made and the amount credited to the recipient in respect of the trade-in exceeds the fair market value of the trade-in at the time ownership of it is transferred to the supplier, that fair market value;

“government funding” of a person means:

(1) an amount of money, including a forgivable loan but not including any other loan or a refund, rebate or remission of, or credit in respect of, fees, duties or taxes imposed under any statute, that is readily ascertainable and is paid or payable to the person by a grantor:

(a) for the purpose of financially assisting him in attaining his purposes and not as consideration for supplies made by him; or

(b) as consideration for property or services that he makes available to other persons for their use or consumption, other than the grantor, individuals who are officers, employees, shareholders or members of the grantor, or persons related to the grantor or to such individuals, in a case where supplies of the property or services made by the person to such other persons are exempt supplies; and

(2) an amount of money paid or payable to the person by an intermediary organization that received the amount from a grantor, or by another organization that received the amount from an intermediary organization, where:

(a) in the case of an amount that, after 30 June 1992, becomes payable or is paid to the person, the intermediary organization or the other organization, as the case may be, provides to the person, at the time of the payment, a certificate, in the form determined by the Minister attesting that the amount is government funding; and

(b) the amount would be government funding of the person because of paragraph 1 if the amount were paid by the grantor directly to the person for the same purposes as it was paid to the person by the intermediary or the other organization, as the case may be, and if the reference to “grantor” in subparagraph b of paragraph 1 included a reference to that intermediary or other organization, as the case may be;

“grantor” means:

(1) a government or a municipality, other than a corporation all or substantially all of whose activities are commercial activities or activities consisting in the supply of financial services or both;

(2) a corporation that is controlled by a government or by a municipality and one of the main purposes of which is to fund charitable or non-profit endeavours;

(3) a board, trust, commission or other body that is established by a government, municipality or corporation referred to in subparagraph 2 and one of the main purposes of which is to fund charitable or non-profit endeavours; and

(4) a band of Indians within the meaning of the Indian Act (R.S.C. 1985, c. I-5), the Cree-Naskapi (of Quebec) Act (S.C. 1984, c. 18) or any other statute of the Parliament of Canada;

“municipality” has the meaning assigned by section 383 of the Act.

O.C. 1607-92, s. 383R1; O.C. 1463-2001, s. 21; O.C. 1149-2006, s. 3; O.C. 321-2017, s. 15.

2012-09-01

383R1. For the purposes of this section and section 383R2, the expression:

“consideration”, in respect of a supply, includes all amounts credited to the recipient of the supply in respect of a trade-in, within the meaning of section 54.1 of the Act, accepted in full or partial consideration for the supply or, if the supplier and the recipient are not dealing with each other at arm’s length at the time the supply is made and the amount credited to the recipient in respect of the trade-in exceeds the fair market value of the trade-in at the time ownership of it is transferred to the supplier, that fair market value;

“fiscal year”, in respect of a person, means his fiscal year within the meaning of Part IX of the Excise Tax Act (R.S.C. 1985, c. E-15) for the purposes of that Act;

“government funding” of a person means:

(1)  an amount of money, including a forgivable loan but not including any other loan or a refund, rebate or remission of, or credit in respect of, fees, duties or taxes imposed under any statute, that is readily ascertainable and is paid or payable to the person by a grantor:

(a)  for the purpose of financially assisting him in attaining his purposes and not as consideration for supplies made by him; or

(b)  as consideration for property or services that he makes available to other persons for their use or consumption, other than the grantor, individuals who are officers, employees, shareholders or members of the grantor, or persons related to the grantor or to such individuals, in a case where supplies of the property or services made by the person to such other persons are exempt supplies; and

(2)  an amount of money paid or payable to the person by an intermediary organization that received the amount from a grantor, or by another organization that received the amount from an intermediary organization, where:

(a)  in the case of an amount that, after 30 June 1992, becomes payable or is paid to the person, the intermediary organization or the other organization, as the case may be, provides to the person, at the time of the payment, a certificate, in the form determined by the Minister attesting that the amount is government funding; and

(b)  the amount would be government funding of the person because of paragraph 1 if the amount were paid by the grantor directly to the person for the same purposes as it was paid to the person by the intermediary or the other organization, as the case may be, and if the reference to “grantor” in subparagraph b of paragraph 1 included a reference to that intermediary or other organization, as the case may be;

“grantor” means:

(1)  a government or a municipality, other than a corporation all or substantially all of whose activities are commercial activities or activities consisting in the supply of financial services or both;

(2)  a corporation that is controlled by a government or by a municipality and one of the main purposes of which is to fund charitable or non-profit endeavours;

(3)  a board, trust, commission or other body that is established by a government, municipality or corporation referred to in subparagraph 2 and one of the main purposes of which is to fund charitable or non-profit endeavours; and

(4)  a band of Indians within the meaning of the Indian Act (R.S.C. 1985, c. I-5), the Cree-Naskapi (of Quebec) Act (S.C. 1984, c. 18) or any other statute of the Parliament of Canada.

O.C. 1607-92, s. 383R1; O.C. 1463-2001, s. 21; O.C. 1149-2006, s. 3.