Canada–Newfoundland and Labrador Atlantic Accord Implementation Act (S.C. 1987, c. 3)

Imposition of Insurance Companies Tax

Marginal note:Insurance companies tax in offshore area

• 208 (1) There shall be imposed, levied and collected under this Part in respect of the insurance premiums received by any company with respect to property that is situated in the offshore area at the time the insurance premiums become payable, in accordance with subsection (3), the taxes, interest and penalties that would be imposed, levied and collected under the Insurance Companies Tax Act if the property were situated in the Province.

• Marginal note:Exception

  (2) Despite subsection (1), if taxes are imposed in respect of any matter under the Insurance Companies Tax Act and taxes would, but for this subsection, be imposed under subsection (1) in respect of that matter, no taxes shall be imposed under subsection (1) in respect of that matter.

• Marginal note:Application of Newfoundland and Labrador legislation

  (3) Subject to this Act and the regulations made under it, the Insurance Companies Tax Act and any regulations made under section 107 of the Revenue Administration Act, S.N.L. 2009, c. R-15.01, as that Act is amended from time to time, apply, with any modifications that the circumstances require, for the purposes of this Part and, without limiting the generality of the foregoing,

  • (a) a reference in that Act to the Crown is to be read as a reference to Her Majesty in right of Canada;

  • (b) a reference in that Act to the province is to be read as a reference to the offshore area; and

  • (c) a reference in that Act to the Minister responsible for the administration of that Act is to be read as a reference to the Minister of Finance.

• Definition of company

  (4) In this section, company has the same meaning as in the Insurance Companies Tax Act.

Tax Administration Agreement

Marginal note:Power to collect

• 209 (1) Subject to subsection 212(1), where a tax administration agreement is entered into pursuant to subsection (3), taxes, interest, penalties and other sums payable under section 207 or 208 may be collected and administered and refunds in respect thereof may be granted by the Government of the Province on behalf of the Government of Canada in accordance with the terms and conditions of the agreement, as amended from time to time pursuant to subsection (4).

• Marginal note:Negotiation of tax administration agreement

  (2) The Minister of Finance shall, on the request of the Government of the Province, negotiate with the Provincial Minister of Finance a tax administration agreement with respect to the taxes, interest and penalties imposed under sections 207 and 208.

• Marginal note:Tax administration agreement

  (3) On completion of the negotiation of a tax administration agreement pursuant to subsection (2), the Minister of Finance, with the approval of the Governor in Council, shall, on behalf of the Government of Canada, enter into a tax administration agreement with the Government of the Province pursuant to which the Government of the Province shall, on behalf of the Government of Canada, collect and administer the taxes, interest, penalties and other sums payable under sections 207 and 208 and, without limiting the generality of the foregoing, grant refunds or make other payments in respect of those taxes, interest and penalties in accordance with the terms and conditions set out in the agreement.

• Marginal note:Amendments to the agreement

  (4) The Minister of Finance, with the approval of the Governor in Council, may, on behalf of the Government of Canada, enter into an agreement amending the terms and conditions of any tax administration agreement entered into pursuant to subsection (3).

• Marginal note:No further liability

  (5) A tax administration agreement may provide that, where any payment is received by the Government of the Province on account of any taxes, interest, penalties or other sums payable by a person under

  • (a) section 207 or 208, or

  • (b) both

    • (i) section 207 or 208, and

    • (ii) the Consumption Tax Acts or the Insurance Companies Tax Act,

  the payment so received may be applied by the Government of the Province towards the taxes, interest, penalties or other sums payable by the person under any such provision or Act in such manner as is specified in the agreement, notwithstanding that the person directed that the payment be applied in any other manner or made no direction as to its application.

• Marginal note:Idem

  (6) Any payment or part thereof applied by the Government of the Province in accordance with a tax administration agreement towards the taxes, interest, penalties or other sums payable by a person under section 207 or 208

  • (a) relieves that person of liability to pay such taxes, interest, penalties or other sums to the extent of the payment or part thereof so applied; and

  • (b) shall be deemed to have been applied in accordance with a direction made by that person.

• Marginal note:Proof of provision of tax administration agreement

  (7) A document purporting to be an agreement entered into pursuant to subsection (3) or (4) that is

  • (a) published in the Canada Gazette, or

  • (b) certified as such by, or on behalf of, the Receiver General, the Deputy Receiver General or the Minister of Finance

  is, in the absence of evidence to the contrary, evidence of the contents thereof and is admissible in evidence without proof of the signature or official character of the person purporting to have certified it.

Marginal note:Transfer of powers and duties

• 210 (1) Where a tax administration agreement is entered into, the Provincial Minister, on behalf of, or as agent for, the Minister of Finance, is hereby authorized to perform all the duties and to exercise all the powers and any discretion that the Minister of Finance or the Deputy Minister of Finance has under this Part.

• Marginal note:Transfer of powers and duties

  (2) If a tax administration agreement is entered into, the Minister of Finance of the Province may

  • (a) perform the duties and exercise any power or discretion that the Provincial Minister has under subsection (1) or otherwise under this Part; and

  • (b) designate officers of the Department of Finance of the Province to carry out any functions, perform any duties and exercise any powers that are similar to those that are carried out, exercised or performed by them on behalf of the Provincial Minister under the Consumption Tax Acts and the Insurance Companies Tax Act.

Imposition of Corporate Income Taxes

Marginal note:Imposition of corporate income tax in offshore area

• 211 (1) There shall be imposed, levied and collected under this Part in respect of the taxable income of a corporation earned in a taxation year in the offshore area, in accordance with subsection (3), the taxes, interest and penalties that would be imposed, levied and collected under the Newfoundland and Labrador Income Tax Act in respect of that taxable income if the offshore area were in the Province.

• Marginal note:Exception

  (2) Despite subsection (1), if taxes are imposed under the Newfoundland and Labrador Income Tax Act in respect of taxable income of a corporation earned in a taxation year in the Province and taxes would, but for this subsection, be imposed under subsection (1) in respect of that taxable income, no taxes shall be imposed under subsection (1) in respect of that taxable income.

• Marginal note:Application of Newfoundland and Labrador Income Tax Act

  (3) Subject to this Act and the regulations made under it, the Newfoundland and Labrador Income Tax Act and any regulations referred to in subsection (3.1) apply, with any modifications that the circumstances require, for the purposes of this Part and, without limiting the generality of the foregoing,

  • (a) a reference in that Act to Her Majesty in right of the Province of Newfoundland and Labrador is to be read as a reference to Her Majesty in right of Canada;

  • (b) a reference in that Act to the province is to be read as a reference to the offshore area; and

  • (c) a reference in that Act to the “Minister of Finance” is to be read as a reference to

    • (i) in relation to the remittance of any amount as or on account of tax payable under that Act, the Receiver General for Canada, and

    • (ii) in relation to any other matter, the Minister of National Revenue for Canada.

• Marginal note:Newfoundland and Labrador regulations

  (3.1) The following regulations apply for the purposes of subsection (3):

  • (a) any regulations made under the Newfoundland and Labrador Income Tax Act; and

  • (b) any regulations made under an Act that was replaced by the Newfoundland and Labrador Income Tax Act, to the extent that those regulations remain in force in accordance with the laws of the Province and are not inconsistent with the Newfoundland and Labrador Income Tax Act.

• Marginal note:Determination of taxable income earned in offshore area

  (4) For the purposes of this section, the taxable income of a corporation earned in a taxation year in the offshore area or in the Province shall be determined in accordance with rules prescribed by regulations for the purposes of the definition taxable income earned in the year in a province in subsection 124(4) of the Income Tax Act.

Marginal note:Remittance to Receiver General

• 212 (1) All taxes, interest, penalties or other sums payable under section 207, 208 or 211 are payable and shall be remitted to the Receiver General.

• Marginal note:Consolidated Revenue Fund

  (2) On the collection or receipt of any taxes, interest, penalties or other sums by the Government of the Province pursuant to this Part, the taxes, interest, penalties or other sums shall be deposited as soon as practicable to the credit of the Receiver General and paid into the Consolidated Revenue Fund in the manner prescribed by the Treasury Board under the Financial Administration Act.

• Marginal note:Collection of excess sums

  (3) Every person who knowingly collects or receives any sum of money as taxes under this Part in circumstances where the sum is not payable shall forthwith

  • (a) refund the sum to the person from whom he collected it; or

  • (b) if the person referred to in paragraph (a) is not known or readily ascertainable, pay the sum to the Receiver General.

Liability and Collection of Tax

Marginal note:Debts due to Her Majesty

213 All taxes, interest, penalties or other sums payable under section 207, 208 or 211 are debts due to Her Majesty in right of Canada and are recoverable as such from the person required to pay the taxes, interest, penalties or other sums in accordance with this Part.

Revenue Fund

Marginal note:Revenue Fund

• 214 (1) There shall be established in the accounts of Canada an account to be known as the Newfoundland Offshore Petroleum Resource Revenue Fund.

• Marginal note:Change of name

  (1.1) The name of the Newfoundland Offshore Petroleum Resource Revenue Fund is changed to Newfoundland and Labrador Offshore Petroleum Resource Revenue Fund.

• Marginal note:References

  (1.2) A reference in any contract, document, instrument, proclamation or order in council to the Newfoundland Offshore Petroleum Resource Revenue Fund is, unless the context otherwise requires, to be read as a reference to the Newfoundland and Labrador Offshore Petroleum Resource Revenue Fund.

• Marginal note:Payment

  (2) The Federal Minister shall, at the times and in the manner prescribed,

  • (a) credit the Revenue Fund with

    • (i) where the Government of the Province has agreed to collect and is collecting in accordance with a tax administration agreement entered into pursuant to section 209, on behalf of the Government of Canada, taxes, interest, penalties and other sums payable under sections 207 and 208, an amount equal to the aggregate of the amounts on account of taxes, interest, penalties and other sums collected pursuant to those sections during any fiscal year, after taking into account any refunds, remissions or other payments that are applicable in respect of such taxes, interest, penalties and other sums,

    • (ii) an amount equal to the aggregate of the amounts assessed or reassessed in respect of any fiscal year on account of taxes imposed pursuant to section 211, after taking into account any credits, reductions, deductions, rebates, surtaxes and remissions that are applicable in respect of such taxes,

    • (iii) where the Government of the Province and the Board have entered into an agreement pursuant to section 98 and the Board is collecting, in accordance with the agreement, on behalf of the Government of Canada, royalties payable under section 97, an amount equal to the aggregate of such royalties that have been collected during any fiscal year, and

    • (iv) an amount equal to the aggregate of any amounts, other than those referred to in subparagraph (iii), received and not required to be returned during any fiscal year under Part II or any regulations made thereunder; and

  • (b) pay to Her Majesty in right of the Province, at the time and in the manner prescribed, any amount credited to the Revenue Fund pursuant to paragraph (a).

• Marginal note:Excess recoverable

  (3) Where, pursuant to subsection (2), Her Majesty in right of the Province has received any amount in excess of the amount to which it is entitled, the Federal Minister may recover as a debt due to Her Majesty in right of Canada an amount equal to such excess from any moneys that may be or may become payable to Her Majesty in right of the Province pursuant to subsection (2) or under any other Act of Parliament.

Jurisdiction of Courts

Marginal note:Jurisdiction of courts

• 215 (1) Every court in the Province has jurisdiction in respect of matters arising in the offshore area under this Part or Division VI of Part II or under any laws made applicable by this Part or that Division to the offshore area, to the same extent as the court has jurisdiction in respect of matters arising within its ordinary territorial division.

• Marginal note:Presumption

  (2) For the purposes of subsection (1), the offshore area shall be deemed to be within the territorial limits of the judicial centre of St. John’s.

• Marginal note:Saving

  (3) Nothing in this section limits the jurisdiction that a court may exercise apart from this section.

• Definition of court

  (4) In this section, court includes a judge thereof and any provincial court judge or justice.

Regulations

Marginal note:Regulations

216 The Governor in Council may, on the recommendation of the Minister of Finance, make regulations

• (a) excluding, for the purposes of this Act, any provision or any part of a provision of the Consumption Tax Acts, the Newfoundland and Labrador Income Tax Act, the Insurance Companies Tax Act or the Petroleum and Natural Gas Act as defined in subsection 97(1) or of any regulation referred to in subsection 97(4.1), 207(3.1), 208(3) or 211(3.1) that is inconsistent with this Act, the Atlantic Accord or any bilateral or international treaty, convention or agreement respecting taxation, tariffs or trade to which the Government of Canada is a signatory; and

• (b) prescribing anything that is by this Part to be prescribed.

Appropriation

Marginal note:Appropriation

217 In respect of any fiscal year, the Federal Minister may pay out of the Consolidated Revenue Fund, at such times and in such manner as may be prescribed,

• (a) an amount to Her Majesty in right of the Province on account of amounts that have been refunded or reimbursed during that fiscal year by the Government of the Province to taxpayers in respect of taxes paid under this Part; and

• (b) amounts payable during that fiscal year to Her Majesty in right of the Province pursuant to paragraph 214(2)(b).