Excise Act (R.S.C., 1985, c. E-14)

Short Title

Marginal note:Short title

1 This Act may be cited as the Excise Act.

Application

Marginal note:Non-application of Act

• 1.1 (1) Despite anything in this Act, on the coming into force of Parts 3 and 4 of the Excise Act, 2001, this Act ceases to apply in respect of

  • (a) the manufacture of any goods or substance other than beer, malt liquor and any product manufactured in accordance with subsection 169(2); and

  • (b) the handling of, or the dealing with, anything that is or relates to any goods or substance other than beer, malt liquor and any product manufactured in accordance with subsection 169(2), to the extent that the Excise Act, 2001 applies to that handling or dealing.

• Meaning of beer and malt liquor

  (2) In subsection (1), beer and malt liquor have the meaning assigned by section 4.

Marginal note:Non-application — transformation of beer concentrate

• 1.2 (1) This Act does not apply to the transformation, by dilution or hydration, of beer concentrate into beer for consumption as a beverage on the premises where it is transformed if the transformation is done in a manner approved by the Minister.

• Marginal note:Meaning of beer

  (2) For the purposes of subsection (1), beer means a product that would be beer or malt liquor, as defined in section 4, if that definition were read without reference to its paragraph (b).

Interpretation

General

Marginal note:Definitions

2 In this Act,

bonding warehouse

bonding warehouse means any warehouse in which goods subject to excise may be stored or deposited without payment of the duty imposed by this Act; (entrepôt)

collector

collector means every officer of excise who is appointed to collect the duties imposed by this Act in any defined district or excise division; (receveur)

Commissioner

Commissioner means the Commissioner of Revenue appointed under section 25 of the Canada Revenue Agency Act; (commissaire)

Department

Department[Repealed, 1999, c. 17, s. 139]

departmental analyst

departmental analyst means a person employed as a chemical analyst in any department or agency of the government of Canada or of any province; (analyste de ministère)

departmental regulations

departmental regulations[Repealed, 1999, c. 17, s. 139]

Deputy Minister

Deputy Minister[Repealed, 1999, c. 17, s. 139]

excise division

excise division means the district or territory under the survey of the collector; (division d’accise)

holiday

holiday, in relation to any area in Canada, means a day that is a holiday for employees employed in that area

• (a) by the Canada Revenue Agency and who are entitled to additional compensation for work performed on that day, or

• (b) in the Public Service and to whom regulations made pursuant to the Financial Administration Act respecting terms and conditions of employment apply; (jour férié)

inspector

inspector means any superior officer or any inspector of excise who is appointed or authorized to perform the duties of inspector in any defined district or excise division; (inspecteur)

Minister

Minister means the Minister of National Revenue; (ministre)

ministerial regulations

ministerial regulations means all regulations made by the Minister under this Act; (règlements ministériels)

officer

officer means every officer of excise who is employed or appointed to the survey of manufactures, operations or premises subject to excise, and every person employed for the purpose of the administration or enforcement of this Act, including any member of the Royal Canadian Mounted Police; (préposé)

person

person means an individual, a partnership, a corporation, a trust, the estate of a deceased individual, a government or a body that is a society, a union, a club, an association, a commission or another organization of any kind; (personne)

possession

possession means not only having in one’s own personal possession, but also knowingly

• (a) having in the actual possession or custody of any other person, and

• (b) having in any place, whether belonging to or occupied by one’s self or not, for the use or benefit of one’s self or of any other person; (possession)

provincial analyst

provincial analyst means any analyst appointed by the government of any province and having authority to make any analysis for any public purpose; (analyste provincial)

regulations

regulations, unless the context indicates that the reference is to ministerial regulations, means regulations made by the Governor in Council under this Act; (règlements)

stamp

stamp means any distinctive mark, label or seal impressed on, printed on, marked on, indented into or affixed to any goods subject to excise, or any distinctive mark, label or seal impressed on, printed on, marked on, indented into or affixed to any package in which any of those goods are contained; (estampille)

subject to excise

subject to excise means subject to the provisions of this Act, of any other Act respecting duties of excise or of any proclamation, order in council or ministerial regulation published or made under those provisions; (sujet à l’accise, soumis à l’accise ou assujetti à l’accise)

subsequent offence

subsequent offence means an offence committed within five years after the date of a previous conviction; (récidive)

superior officer

superior officer means the Commissioner and any officer or member of a class of officers designated by the Minister; (fonctionnaire supérieur)

vehicle

vehicle means any motor vehicle, aircraft or other conveyance designed to be driven or drawn by any means including muscular power, and any part thereof, and includes any equipment necessary for the proper operation of the vehicle and any appurtenances of the vehicle; (véhicule)

vessel

vessel, where used to indicate a craft for navigation of the water, includes any ship, vessel or boat of any kind whatever, whether propelled by steam or otherwise and whether used as a sea-going vessel or on inland waters only, and also includes any vehicle; (vaisseau)

volume of absolute ethyl alcohol

volume of absolute ethyl alcohol means such volume measured at twenty degrees Celsius (20°C). (volume d’alcool éthylique absolu)

Marginal note:Possession

2.1 For the purposes of subsections 225(1) and (3) and 235(3), section 239.1 and subsections 240(1) and (2), where one of two or more persons, with the knowledge and consent of the rest, has anything in the person’s possession, it shall be deemed to be in the custody and possession of each and all of them.

Marginal note:Related persons

2.2 For the purposes of this Act, persons are related to each other if they are related persons within the meaning of subsections 251(2) to (6) of the Income Tax Act, except that

• (a) a reference in those subsections to “corporation” shall be read as a reference to “corporation or partnership”; and

• (b) a reference in those subsections to “shares” or “shareholders” shall, in respect of a partnership, be read as a reference to “rights” or “partners”, respectively.

Marginal note:Associated persons

• 2.3 (1) For the purposes of this Act, a particular corporation is associated with another corporation if, by reason of subsections 256(1) to (6) of the Income Tax Act, the particular corporation is associated with the other corporation for the purposes of that Act.

• Marginal note:Corporations controlled by same person or group

  (2) For the purposes of this Act, a person other than a corporation is associated with a particular corporation if the particular corporation is controlled by the person or by a group of persons of which the person is a member and each of whom is associated with each of the others.

• Marginal note:Partnership or trust

  (3) For the purposes of this Act, a person is associated with

  • (a) a partnership if the total of the shares of the profits of the partnership to which the person and all other persons who are associated with the person are entitled is more than half of the total profits of the partnership, or would be more than half of the total profits of the partnership if it had profits; and

  • (b) a trust if the total of the values of the interests in the trust of the person and all other persons who are associated with the person is more than half of the total value of all interests in the trust.

• Marginal note:Association with third person

  (4) For the purposes of this Act, a person is associated with another person if each of them is associated with the same third person.

Marginal note:Exception

2.4 If a corporation that is a licensed brewer would otherwise be related to another corporation that is also a licensed brewer by reason that the corporations are controlled by individuals connected by blood relationship, marriage or common-law partnership or adoption, the corporations are deemed not to be related for the purposes of section 170.1 if it is established that they deal with each other at arm’s length.

Distilleries

Marginal note:Definitions

• 3 (1) In this Act,

  alcohol

  alcohol, ethyl alcohol and spirits mean any material or substance, whether in liquid or any other form, containing any proportion by mass or by volume of absolute ethyl alcohol (C₂H₅OH); (alcool, alcool éthylique ou eau-de-vie)

  beer

  beer, wash or wort, as applied to distilleries, means all liquor made in whole or in part from grain, malt or other saccharine matter, whether or not the liquor is fermented or unfermented; (bière, moût fermenté ou moût)

  Canadian brandy

  Canadian brandy means spirits distilled exclusively from the juices of native fruits, without the addition of sugar or other saccharine matter; (brandy canadien)

  chemical still

  chemical still means any distilling apparatus that is kept and used by any person for the sole purpose of distilling water or reclaiming alcohol previously used in or for the preparation or manufacture of chemical, medicinal or pharmaceutical preparations, or that is used for scientific or industrial purposes, and not used for the manufacture or distillation of spirits, of which use in every case the Minister shall be the sole judge; (alambic de chimiste)

  closed spirit-receiver

  closed spirit-receiver means the vessel or vessels into which the spirit is conveyed for measurement; (récipient d’eau-de-vie fermé)

  distiller

  distiller means any person who conducts, works, occupies or carries on any distillery, who rectifies any spirits by any process whatever, either by himself or his agent, or who has in his possession, complete or partially completed, or who imports, makes or manufactures, in whole or in part, any still, worm, rectifying or other apparatus suitable for the manufacture of spirits, and everyone who makes or keeps beer or wash prepared, in preparation or fit for distilling, or low wines or faints, or who has in his possession or use a still or rectifying apparatus, shall be deemed to be a distiller; (distillateur)

  distillery

  distillery means any place or premises where

  • (a) any process of fermentation for the production of wash is carried on,

  • (b) any wash is kept or produced for the purpose of distillation,

  • (c) any mash-tub, fermenting-tun, worm or still for the distillation of spirits is set up or used,

  • (d) any process of distillation whatever of spirits is carried on,

  • (e) any process of rectification of spirits, either by re-distillation or filtration, or other process is carried on,

  • (f) any spirits are manufactured or produced from any substance whatever, by any process whatever, or

  • (g) any still, rectifier or other apparatus, suitable for the manufacture of spirits, is in whole or in part manufactured, made or kept,

  and every office, workshop, warehouse, granary, fermenting-room, mash-house, still-room, rectifying-house, vault, cellar, shed, yard or other place owned or occupied by or on behalf of, or for the use of, any distiller, or in which any part of his business as such is transacted, where any grain, matter, material or apparatus suitable for or adapted to the production of spirits, or that is or is to be used in the production or rectification of spirits, is kept or stored, where any of the products of the distillery are kept or stored or where any process of manufacture is carried on, shall be held to be included in and to form part of the distillery to which it is attached or appurtenant; (distillerie)

  rectifier

  rectifier means any pipe, vessel or still into which the spirit is conveyed for the purpose of rectification by re-distillation, filtration or any other process; (rectificateur)

  rectifying spirits

  rectifying spirits means the process of refining spirits by re-distillation, filtration or any other process; (rectification d’eau-de-vie)

  still

  still means any distilling apparatus whatever adapted or adaptable to the distillation of spirits; (alambic)

  worm

  worm means any pipe, condenser or other equipment used or intended to be used for the condensation of spirit vapour. (serpentin)

• Marginal note:Working of a distillery

  (2) Any use made of any still, worm, mash-tub or fermenting-tun, rectifying or other apparatus suitable for the manufacture of wash, beer or spirits, for the distillation or rectification of any spirits or for fermenting any beer or wash, or the making or commencing to make, or the importation of, any such still, worm, mash-tub, fermenting-tun, rectifying or other apparatus, shall be deemed to be a working of a distillery and acting as a distiller within the meaning of this Act.