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Excise Tax Act

Version of section 221 from 2003-01-01 to 2018-12-12:

Marginal note:Collection of tax

  •  (1) Every person who makes a taxable supply shall, as agent of Her Majesty in right of Canada, collect the tax under Division II payable by the recipient in respect of the supply.

  • Marginal note:Exception

    (2) A supplier (other than a prescribed supplier) who makes a taxable supply of real property by way of sale is not required to collect tax under Division II payable by the recipient in respect of the supply where

    • (a) the supplier is a non-resident person or is resident in Canada by reason only of subsection 132(2);

    • (b) the recipient is registered under Subdivision d and, in the case of a recipient who is an individual, the property is neither a residential complex nor supplied as a cemetery plot or place of burial, entombment or deposit of human remains or ashes;

    • (b.1) the supplier and the recipient have made an election under section 2 of Part I of Schedule V in respect of the supply; or

    • (c) the recipient is a prescribed recipient.

  • Marginal note:Idem

    (3) Where a carrier who makes a particular taxable supply of a service of transporting tangible personal property

    • (a) is provided with a declaration referred to in section 7 of Part VII of Schedule VI by the shipper, and

    • (b) at or before the time the tax in respect of the particular supply becomes payable the carrier did not know and could not reasonably be expected to know that

      • (i) the property was not being shipped for export,

      • (ii) the transportation by the carrier was not part of a continuous outbound freight movement in respect of the property, and

      • (iii) there was or was to be any diversion of the property to a final destination in Canada,

    the carrier is not required to collect tax in respect of the particular supply or any supply that is incidental to the particular supply.

  • (3.1) [Repealed, 2001, c. 15, s. 9]

  • Marginal note:Definitions

    (4) In subsection (3), continuous outbound freight movement and shipper have the same meanings as in Part VII of Schedule VI.

  • [NOTE: Application provisions are not included in the consolidated text
  • see relevant amending Acts and regulations.]
  • 1990, c. 45, s. 12
  • 1993, c. 27, s. 85
  • 1997, c. 10, s. 43.1
  • 2000, c. 30, s. 48
  • 2001, c. 15, s. 9

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