T-0.1 - Act respecting the Québec sales tax

Section 433.15.3 Disposition versions

2022-06-08

433.15.3. For the purposes of paragraph 1 of the definition of “selected listed financial institution” in the first paragraph of section 433.15.1, the following rules apply:

(1)  if a financial institution is a bank or a credit union and if, at any time in a taxation year of the financial institution, the financial institution maintains a deposit or other similar account that is in the name of a person resident in a particular province or, at any time in that year, a loan that was made by the financial institution is outstanding and is secured by land situated in a particular province or, if not secured by land, is owing by a person resident in a particular province, the following rules apply:

(a)  the financial institution is deemed to have a permanent establishment in the particular province throughout the taxation year, and

(b)  an outstanding loan secured by land situated in the particular province and an outstanding loan, not secured by land, owing by a person resident in the particular province, where the loan is made by the financial institution, and a deposit or other similar account in the name of a person resident in the particular province that the financial institution maintains is deemed to be a loan or a deposit, as the case may be, of the permanent establishment referred to in subparagraph a and not of any other permanent establishment of the financial institution;

(2)  if a financial institution is an insurer that, at any time in a taxation year of the financial institution, is insuring a risk in respect of property ordinarily situated in a particular province or in respect of a person resident in a particular province, the financial institution is deemed to have a permanent establishment in the particular province throughout the taxation year;

(3)  if a financial institution is a trust and loan corporation, a trust corporation or a loan corporation and if, at any time in a taxation year of the financial institution, the financial institution conducts business (other than business in respect of loans) in a particular province or, at any time in that year, a loan that was made by the financial institution is outstanding and is secured by land situated in a particular province or, if not secured by land, is owing by a person resident in a particular province, the financial institution is deemed to have a permanent establishment in the particular province throughout the taxation year;

(4)  if a financial institution is a segregated fund of an insurer, the financial institution is deemed to have a permanent establishment in a particular province throughout a taxation year of the financial institution if, at any time in the taxation year, the insurer is qualified, under the laws of Canada or a province, to sell units of the financial institution in the particular province, or a person resident in the particular province holds one or more units of the financial institution;

(5)  if a financial institution is a distributed investment plan (other than a segregated fund of an insurer), the financial institution is deemed to have a permanent establishment in a particular province throughout a taxation year of the financial institution if, at any time in the taxation year, the financial institution is qualified, under the laws of Canada or a province, to sell or distribute units of the financial institution in the particular province, or a person resident in the particular province holds one or more units of the financial institution; and

(6)  if a financial institution is a private investment plan or an investment plan that is a pension entity of a pension plan and, at any time in a taxation year of the financial institution, a plan member of the financial institution is resident in a particular province, the financial institution is deemed to have a permanent establishment in the particular province throughout the taxation year.

For the purposes of the first paragraph, and despite sections 11 to 11.1.1, a person resident in Canada is considered to be resident in the province

(1)  if the person is an individual, where the person’s principal mailing address in Canada is located;

(2)  if the person is a corporation or a partnership, where the person’s principal business in Canada is located;

(3)  if the person is a trust governed by a registered retirement savings plan, a registered retirement income fund, a registered education savings plan, a registered disability savings plan or a tax-free savings account, within the meaning assigned to those expressions by section 1 of the Taxation Act (chapter I-3), where the principal mailing address in Canada of the annuitant of the registered retirement savings plan or registered retirement income fund, of the subscriber of the registered education savings plan or of the holder of the registered disability savings plan or tax-free savings account is located;

(4)  if the person is a trust, other than a trust described in subparagraph 3, where the trustee’s principal business in Canada is located or, if the trustee is not carrying on a business, where the trustee’s principal mailing address in Canada is located; and

(5)  in any other case, where the person’s principal business in Canada is located or, if the person is not carrying on a business, where the person’s principal mailing address in Canada is located.

A financial institution has a permanent establishment in a particular province throughout a taxation year of the financial institution if the financial institution has a permanent establishment in the particular province at any time in the taxation year.

2015, c. 21, s. 748; 2022, c. 23, s. 204.

2015-10-21

433.15.3. For the purposes of paragraph 1 of the definition of “selected listed financial institution” in the first paragraph of section 433.15.1, the following rules apply:

(1)  if a financial institution is a bank and if, at any time in a taxation year of the financial institution, the financial institution maintains a deposit or other similar account that is in the name of a person resident in a particular province or, at any time in that year, a loan that was made by the financial institution is outstanding and is secured by land situated in a particular province or, if not secured by land, is owing by a person resident in a particular province, the following rules apply:

(a)  the financial institution is deemed to have a permanent establishment in the particular province throughout the taxation year, and

(b)  an outstanding loan secured by land situated in the particular province and an outstanding loan, not secured by land, owing by a person resident in the particular province, where the loan is made by the financial institution, and a deposit or other similar account in the name of a person resident in the particular province that the financial institution maintains is deemed to be a loan or a deposit, as the case may be, of the permanent establishment referred to in subparagraph a and not of any other permanent establishment of the financial institution;

(2)  if a financial institution is an insurer that, at any time in a taxation year of the financial institution, is insuring a risk in respect of property ordinarily situated in a particular province or in respect of a person resident in a particular province, the financial institution is deemed to have a permanent establishment in the particular province throughout the taxation year;

(3)  if a financial institution is a trust and loan corporation, a trust corporation or a loan corporation and if, at any time in a taxation year of the financial institution, the financial institution conducts business (other than business in respect of loans) in a particular province or, at any time in that year, a loan that was made by the financial institution is outstanding and is secured by land situated in a particular province or, if not secured by land, is owing by a person resident in a particular province, the financial institution is deemed to have a permanent establishment in the particular province throughout the taxation year;

(4)  if a financial institution is a segregated fund of an insurer, the financial institution is deemed to have a permanent establishment in a particular province throughout a taxation year of the financial institution if, at any time in the taxation year, the insurer is qualified, under the laws of Canada or a province, to sell units of the financial institution in the particular province, or a person resident in the particular province holds one or more units of the financial institution;

(5)  if a financial institution is a distributed investment plan (other than a segregated fund of an insurer), the financial institution is deemed to have a permanent establishment in a particular province throughout a taxation year of the financial institution if, at any time in the taxation year, the financial institution is qualified, under the laws of Canada or a province, to sell or distribute units of the financial institution in the particular province, or a person resident in the particular province holds one or more units of the financial institution; and

(6)  if a financial institution is a private investment plan or an investment plan that is a pension entity of a pension plan and, at any time in a taxation year of the financial institution, a plan member of the financial institution is resident in a particular province, the financial institution is deemed to have a permanent establishment in the particular province throughout the taxation year.

For the purposes of the first paragraph, and despite sections 11 to 11.1.1, a person resident in Canada is considered to be resident in the province

(1)  if the person is an individual, where the person’s principal mailing address in Canada is located;

(2)  if the person is a corporation or a partnership, where the person’s principal business in Canada is located;

(3)  if the person is a trust governed by a registered retirement savings plan, a registered retirement income fund, a registered education savings plan, a registered disability savings plan or a tax-free savings account, within the meaning assigned to those expressions by section 1 of the Taxation Act (chapter I-3), where the principal mailing address in Canada of the annuitant of the registered retirement savings plan or registered retirement income fund, of the subscriber of the registered education savings plan or of the holder of the registered disability savings plan or tax-free savings account is located;

(4)  if the person is a trust, other than a trust described in subparagraph 3, where the trustee’s principal business in Canada is located or, if the trustee is not carrying on a business, where the trustee’s principal mailing address in Canada is located; and

(5)  in any other case, where the person’s principal business in Canada is located or, if the person is not carrying on a business, where the person’s principal mailing address in Canada is located.

A financial institution has a permanent establishment in a particular province throughout a taxation year of the financial institution if the financial institution has a permanent establishment in the particular province at any time in the taxation year.

2015, c. 21, s. 748.