T-0.1 - Act respecting the Québec sales tax

Section 350.42.1 Disposition versions

2009-05-15

350.42.1. (Repealed).

2001, c. 53, s. 341; 2009, c. 5, s. 631.

2001-12-20

350.42.1. A charity may deduct the amount determined under the second paragraph in determining the net tax for its reporting period in which the charity is the recipient of a particular supply, other than a supply to which sections 75 and 75.1, 80 or 334 to 336 apply, made in Québec by way of sale of a used and empty returnable container that is a returnable container within the meaning of section 350.24, where

(1)  the charity acquires the container for the purpose of making a supply of the container when empty, or of the by-products of a process of recycling the container, in the course of a business of the charity;

(2)  the charity is not entitled to claim an input tax refund in respect of the container;

(3)  if the charity at any time makes a supply of the container in respect of which tax is or would be, but for sections 75 and 75.1, 80 and 334 to 336, collectible, section 350.26 does not apply in respect of that supply; and

(4)  the charity pays to the supplier, in respect of the particular supply, the total of

(a)  the portion (in this section referred to as the “refundable deposit”) of all tax or fees that were imposed in respect of the container under an Act of the Legislature of Québec respecting the regulation, control or prevention of waste and that, pursuant to that Act or an agreement entered into under that Act, is refundable to the supplier,

(b)  if tax is payable in respect of the particular supply, the tax calculated on the refundable deposit, and

(c)  in any other case, the amount of tax, calculated on the refundable deposit, that would be payable by the charity in respect of the particular supply if it were a taxable supply made by a registrant.

The amount that may be deducted by the charity is determined by the formula

A × B.

For the purposes of this formula,

(1)  A is 7.5%; and

(2)  B is the refundable deposit.

2001, c. 53, s. 341.