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

Section 433.16r2 Disposition versions

2021-12-01

433.16R2. For the purposes of this section and sections 433.16R3 to 433.16R19,

“employer resource” has the meaning assigned by the first paragraph of section 289.2 of the Act;

“excluded property or service” means property or a service that is

(1)  electricity or a service described in paragraph 6 or 7 of the definition of "specified property or service" that is acquired by the organizer or sponsor of a convention as a related convention supply;

(2)  a 1-800 or 1-888 telephone service or a telephone service whose area code is an extension of such a telephone service and another telecommunication service that is related to the 1-800 or 1-888 telephone service or to the telephone service whose area code is an extension of such a telephone service;

(3)  an Internet access service;

(4)  a web-hosting service;

(5)  a taxi, the operation and custody of which is entrusted to a person by the holder of a taxi permit;

(6)  property or a service that is acquired or imported into Canada exclusively for the purpose of,

(a)  in the case of movable property or a service, again making a supply of it;

(b)  in the case of immovable property, again making a supply of it by sale;

(c)  in the case of corporeal movable property, becoming a component of other corporeal movable property that is to be supplied by a person; or

(d)  in the case of a service described in paragraph 6 or 7 of the definition of "specified property or service", acquired by a person operating a telecommunication service, being used directly and solely in the making of a taxable supply of another telecommunication service by the person; or

(7)  electricity, gas, fuel or steam used by a person to produce movable property, other than property intended to be incorporated by the person into an immovable and meals intended for sale, or to be used in the design or production of production equipment or conditioning materials used for the production of such movable property, either as an agent of production or to operate production equipment, except electricity, gas, fuel or steam used to power equipment for the air-conditioning, lighting, heating or ventilation of a production site;

“large business” has the meaning assigned by sections 551 to 551.4 of the Act to amend the Taxation Act, the Act respecting the Québec sales tax and other legislative provisions (1995, chapter 63), as amended from time to time;

“qualifying food, beverages and entertainment” means food, beverages or entertainment that is a specified property or service;

“qualifying fuel” means fuel that is a specified property or service;

“qualifying road vehicle” means a selected road vehicle that is a specified property or service, and property, other than fuel, or a service, in respect of a selected road vehicle, that is a specified property or service;

“qualifying telecommunication service” means property or a service described in paragraph 6 or 7 of the definition of "specified property or service";

“recapture rate” applicable at a particular time means the rate that is,

(1)  if that time is before 1 January 2018, 100%;

(2)  if that time is after 31 December 2017 but before 1 January 2019, 75%;

(3)  if that time is after 31 December 2018 but before 1 January 2020, 50%;

(4)  if that time is after 31 December 2019 but before 1 January 2021, 25%; and

(5)  if that time is after 31 December 2020, 0%;

“selected road vehicle” means a road vehicle weighing less than 3,000 kilograms required to be registered under the Highway Safety Code (chapter C-24.2) or under a law of another jurisdiction, but does not include

(1)  a farm tractor or farm machinery acquired, or brought into a province, for use exclusively in the operation of a farm by a farmer or a maple forest by a maple products producer; or

(2)  a vehicle acquired, or brought into a province, to be used only elsewhere than on public highways within the meaning of the Highway Safety Code or a similar law of another province, that is registered as a vehicle to be used for exclusive use on private land or roads and not intended for public highways, or its registration certificate provides for such use;

“specified energy” means electricity, gas or fuel, other than fuel acquired, or imported into Canada, for use in a propulsion engine, or steam;

“specified extent” of property or a service in respect of a specified class of specified property or service for a reporting period of a person means the percentage that is equal to,

(1)  if the property or service is a specified property or service of the specified class, 100%; and

(2)  in any other case, 0%;

“specified property or service” means property or a service, other than excluded property or service, that is

(1)  a selected road vehicle;

(2)  motive fuel, other than fuel oil including diesel fuel, that is acquired or imported into Canada to power the engine of a selected road vehicle;

(3)  property, other than property for maintenance or repair, that is acquired or imported into Canada by a person for consumption or use in respect of a selected road vehicle acquired or imported into Canada by the person, if the acquisition or importation of the property occurs within 12 months of the acquisition or importation of the selected road vehicle;

(4)  a service, other than a service for maintenance or repair, that is acquired by a person for consumption or use in respect of a selected road vehicle acquired or imported into Canada by the person, if the supply of the service occurs within 12 months of the acquisition or importation of the selected road vehicle;

(5)  specified energy;

(6)  a telephone service;

(7)  a telecommunication service or any telecommunication in respect of which tax under the Telecommunications Tax Act (chapter T-4) would apply but for section 14 of that Act and the definition of "user" in section 1 of that Act, and the second paragraph of section 4 of that Act were read with the reference to "Québec" replaced by a reference to "Canada"; or

(8)  food, beverages or entertainment in respect of which section 421.1 or 421.1.1 of the Taxation Act (chapter I-3) applies, or would apply if the person were a taxpayer under that Act, during a taxation year of the person;

“specified resource” has the meaning assigned by the first paragraph of section 289.2 of the Act;

“total B amounts” for a reporting period of a selected listed financial institution means,

(1)  if the financial institution is a non-stratified investment plan and an election under section 49 or 61 of the Selected Listed Financial Institutions Attribution Method (GST/HST) Regulations made under the Excise Tax Act (R.S.C. 1985, c. E-15), or under section 433.19.1 or 433.19.10 of the Act, in respect of the financial institution is in effect throughout the reporting period, the aggregate of all amounts each of which is the total for A2 in the description of A in the formula in subsection 2 of section 48 of those Regulations, or the total A2 would be if the financial institution were a selected listed financial institution for the purposes of Part IX of the Excise Tax Act, for a particular day in the reporting period;

(2)  if the financial institution is a stratified investment plan, the aggregate of

(a)  all amounts each of which is the total for A2 in the formula in paragraph a of the description of A in the formula in subsection 1 of section 48 of the Selected Listed Financial Institutions Attribution Method (GST/HST) Regulations, or the total A2 would be if the financial institution were a selected listed financial institution for the purposes of Part IX of the Excise Tax Act, for a series of the financial institution for a particular day in the reporting period; and

(b)  all amounts each of which is the total for A5 in the formula in paragraph b of the description of A in the formula in subsection 1 of section 48 of those Regulations, or the total A5 would be if the financial institution were a selected listed financial institution for the purposes of Part IX of the Excise Tax Act, for a series of the financial institution for a particular day in the reporting period; and

(3)  in any other case, the total for B in the formula in subsection 2 of section 225.2 of the Excise Tax Act, or the total B would be if the financial institution were a selected listed financial institution for the purposes of Part IX of that Act, for the reporting period;

“total F amounts” for a reporting period of a selected listed financial institution means,

(1)  if the financial institution is a non-stratified investment plan and an election under section 49 or 61 of the Selected Listed Financial Institutions Attribution Method (GST/HST) Regulations, or under section 433.19.1 or 433.19.10 of the Act, in respect of the financial institution is in effect throughout the reporting period, or if the financial institution is a stratified investment plan, the total for D in the formula in the first paragraph of section 433.16.2 of the Act for the reporting period; and

(2)  in any other case, the total for F in the formula in the first paragraph of section 433.16 of the Act for the reporting period.

O.C. 320-2017, s. 4; O.C. 1448-2021, s. 7.

2017-04-12

433.16R2. For the purposes of this section and sections 433.16R3 to 433.16R19,

“employer resource” has the meaning assigned by the first paragraph of section 289.2 of the Act;

“excluded property or service” means property or a service that is

(1)  electricity or a service described in paragraph 6 or 7 of the definition of "specified property or service" that is acquired by the organizer or sponsor of a convention as a related convention supply;

(2)  a 1-800 or 1-888 telephone service or a telephone service whose area code is an extension of such a telephone service and another telecommunication service that is related to the 1-800 or 1-888 telephone service or to the telephone service whose area code is an extension of such a telephone service;

(3)  an Internet access service;

(4)  a web-hosting service;

(5)  a taxi, the operation and custody of which is entrusted to a person by the holder of a taxi permit;

(6)  property or a service that is acquired or imported into Canada exclusively for the purpose of,

(a)  in the case of movable property or a service, again making a supply of it;

(b)  in the case of immovable property, again making a supply of it by sale;

(c)  in the case of corporeal movable property, becoming a component of other corporeal movable property that is to be supplied by a person; or

(d)  in the case of a service described in paragraph 6 or 7 of the definition of "specified property or service", acquired by a person operating a telecommunication service, being used directly and solely in the making of a taxable supply of another telecommunication service by the person; or

(7)  electricity, gas, fuel or steam used by a person to produce movable property, other than property intended to be incorporated by the person into an immovable and meals intended for sale, or to be used in the design or production of production equipment or conditioning materials used for the production of such movable property, either as an agent of production or to operate production equipment, except electricity, gas, fuel or steam used to power equipment for the air-conditioning, lighting, heating or ventilation of a production site;

“large business” has the meaning assigned by sections 551 to 551.4 of the Act to amend the Taxation Act, the Act respecting the Québec sales tax and other legislative provisions (1995, chapter 63), as amended from time to time;

“qualifying food, beverages and entertainment” means food, beverages or entertainment that is a specified property or service;

“qualifying fuel” means fuel that is a specified property or service;

“qualifying road vehicle” means a selected road vehicle that is a specified property or service, and property, other than fuel, or a service, in respect of a selected road vehicle, that is a specified property or service;

“qualifying telecommunication service” means property or a service described in paragraph 6 or 7 of the definition of "specified property or service";

“recapture rate” applicable at a particular time means the rate that is,

(1)  if that time is before 1 January 2018, 100%;

(2)  if that time is after 31 December 2017 but before 1 January 2019, 75%;

(3)  if that time is after 31 December 2018 but before 1 January 2020, 50%;

(4)  if that time is after 31 December 2019 but before 1 January 2021, 25%; and

(5)  if that time is after 31 December 2020, 0%;

“selected road vehicle” means a road vehicle weighing less than 3,000 kilograms required to be registered under the Highway Safety Code (chapter C-24.2) or under a law of another jurisdiction, but does not include

(1)  a farm tractor or farm machinery acquired, or brought into a province, for use exclusively in the operation of a farm by a farmer or a maple forest by a maple products producer; or

(2)  a vehicle acquired, or brought into a province, to be used only elsewhere than on public highways within the meaning of the Highway Safety Code or a similar law of another province, that is registered as a vehicle to be used for exclusive use on private land or roads and not intended for public highways, or its registration certificate provides for such use;

“specified energy” means electricity, gas or fuel, other than fuel acquired, or imported into Canada, for use in a propulsion engine, or steam;

“specified extent” of property or a service in respect of a specified class of specified property or service for a reporting period of a person means the percentage that is equal to,

(1)  if the property or service is a specified property or service of the specified class, 100%; and

(2)  in any other case, 0%;

“specified property or service” means property or a service, other than excluded property or service, that is

(1)  a selected road vehicle;

(2)  motive fuel, other than fuel oil including diesel fuel, that is acquired or imported into Canada to power the engine of a selected road vehicle;

(3)  property, other than property for maintenance or repair, that is acquired or imported into Canada by a person for consumption or use in respect of a selected road vehicle acquired or imported into Canada by the person, if the acquisition or importation of the property occurs within 12 months of the acquisition or importation of the selected road vehicle;

(4)  a service, other than a service for maintenance or repair, that is acquired by a person for consumption or use in respect of a selected road vehicle acquired or imported into Canada by the person, if the supply of the service occurs within 12 months of the acquisition or importation of the selected road vehicle;

(5)  specified energy;

(6)  a telephone service;

(7)  a telecommunication service or any telecommunication in respect of which tax under the Telecommunications Tax Act (chapter T-4) would apply but for section 14 of that Act and the definition of "user" in section 1 of that Act, and the second paragraph of section 4 of that Act were read with the reference to "Québec" replaced by a reference to "Canada"; or

(8)  food, beverages or entertainment in respect of which section 421.1 or 421.1.1 of the Taxation Act (chapter I-3) applies, or would apply if the person were a taxpayer under that Act, during a taxation year of the person;

“specified resource” has the meaning assigned by section 289.5 of the Act;

“total B amounts” for a reporting period of a selected listed financial institution means,

(1)  if the financial institution is a non-stratified investment plan and an election under section 49 or 61 of the Selected Listed Financial Institutions Attribution Method (GST/HST) Regulations made under the Excise Tax Act (R.S.C. 1985, c. E-15), or under section 433.19.1 or 433.19.10 of the Act, in respect of the financial institution is in effect throughout the reporting period, the aggregate of all amounts each of which is the total for A2 in the description of A in the formula in subsection 2 of section 48 of those Regulations, or the total A2 would be if the financial institution were a selected listed financial institution for the purposes of Part IX of the Excise Tax Act, for a particular day in the reporting period;

(2)  if the financial institution is a stratified investment plan, the aggregate of

(a)  all amounts each of which is the total for A2 in the formula in paragraph a of the description of A in the formula in subsection 1 of section 48 of the Selected Listed Financial Institutions Attribution Method (GST/HST) Regulations, or the total A2 would be if the financial institution were a selected listed financial institution for the purposes of Part IX of the Excise Tax Act, for a series of the financial institution for a particular day in the reporting period; and

(b)  all amounts each of which is the total for A5 in the formula in paragraph b of the description of A in the formula in subsection 1 of section 48 of those Regulations, or the total A5 would be if the financial institution were a selected listed financial institution for the purposes of Part IX of the Excise Tax Act, for a series of the financial institution for a particular day in the reporting period; and

(3)  in any other case, the total for B in the formula in subsection 2 of section 225.2 of the Excise Tax Act, or the total B would be if the financial institution were a selected listed financial institution for the purposes of Part IX of that Act, for the reporting period;

“total F amounts” for a reporting period of a selected listed financial institution means,

(1)  if the financial institution is a non-stratified investment plan and an election under section 49 or 61 of the Selected Listed Financial Institutions Attribution Method (GST/HST) Regulations, or under section 433.19.1 or 433.19.10 of the Act, in respect of the financial institution is in effect throughout the reporting period, or if the financial institution is a stratified investment plan, the total for D in the formula in the first paragraph of section 433.16.2 of the Act for the reporting period; and

(2)  in any other case, the total for F in the formula in the first paragraph of section 433.16 of the Act for the reporting period.

O.C. 320-2017, s. 4.