Federal-Provincial Fiscal Arrangements Act (R.S.C., 1985, c. F-8)

References in Other Acts

Marginal note:References in other Acts

25.7 Every reference to “Canada Health and Social Transfer” in any other Act of Parliament is to be read as a reference to “Canada Health Transfer and the Canada Social Transfer”.

Report

Marginal note:Report by Ministers

25.8 The Minister, the Minister of Health and the Minister of Employment and Social Development may, together or individually, prepare a report on the administration and operation of this Part and have the report laid before each House of Parliament.

Parliamentary Review

Marginal note:Review

• 25.9 (1) Parliament having authorized the appropriation of money for the Canada Health Transfer and the Wait Times Reduction Transfer for the purpose of giving effect to the 2004 10-Year Plan to Strengthen Health Care, a review of the progress in implementing that Plan shall be undertaken by such committee of the Senate, of the House of Commons or of both Houses of Parliament as may be designated or established, using the reports referred to in the Plan. The committee shall undertake the review on or before March 31, 2008 and three years thereafter.

• Marginal note:Report

  (2) The committee shall, within three months after beginning the review or within such further time as the Senate, the House of Commons or both Houses of Parliament, as the case may be, may authorize, submit a report on the result of that review to that House or both Houses.

Communiqués

Marginal note:Communiqués

25.91 For greater certainty and for the purposes of this Part (V.1), the 2004 10-Year Plan to Strengthen Health Care includes the communiqués released in respect of the First Ministers’ Meeting on the Future of Health Care that was held from September 13 to 15, 2004.

PART VIAlternative Payments for Standing Programs

Marginal note:Definitions

26 In this Part,

authorizing instrument

authorizing instrument[Repealed, 1995, c. 17, s. 54]

established programs

established programs[Repealed, 1995, c. 17, s. 54]

special welfare program

special welfare program[Repealed, 1995, c. 17, s. 54]

standing program

standing program[Repealed, 1995, c. 17, s. 54]

tax abatement

tax abatement means the percentage that is applied to the tax otherwise payable under this Part within the meaning assigned by subsection 120(4) of the Income Tax Act to determine the amount that is deemed by subsection 120(2) of that Act to have been paid by an individual on account of the individual’s tax for a taxation year; (abattement fiscal)

taxation year

taxation year means a taxation year within the meaning of the Income Tax Act. (année d’imposition)

Marginal note:Increase of individual deduction under Income Tax Act

• 27 (1) Where an agreement has, at any time before January 1, 1977, been entered into with a province under section 3 of the Established Programs (Interim Arrangements) Act, chapter E-8 of the Revised Statutes of Canada, 1970, the tax abatement applicable for the 1977 and subsequent taxation years shall be increased with respect to the income of an individual earned in any such taxation year in that province by adding to the percentage figure of the tax abatement both of the unit numbers set out in subsections (2) and (3).

• Marginal note:Tax abatement units

  (2) There shall be added 8.5 units where, in a province for a fiscal year, the Minister determines the increase under subsection (1) on the basis of the aggregate of

  • (a) seventy-five per cent of the additional tax abatement applicable in respect of the province for the calendar year ending in the fiscal year, and

  • (b) twenty-five per cent of the additional tax abatement applicable in respect of the province for the calendar year beginning in the fiscal year.

• Marginal note:Tax abatement units

  (3) There shall be added 5 units where, in a province for a fiscal year, the Minister determines the increase under subsection (1) on the basis of the calendar year ending in the fiscal year.

Marginal note:Recovery

28 The amount of additional tax abatement applicable in respect of a province in a fiscal year, as determined by the Minister under section 27, must be recovered out of any moneys payable to the province under this Act or as a debt due to the Government of Canada by the province.

Marginal note:Over-recovery

29 If the Minister determines that he or she has over-recovered any amount recoverable from a province under this Part, he or she must, within the prescribed time and in the prescribed manner, pay that province an amount equal to the over-recovery.

Marginal note:Under-recovery

29.1 If the Minister determines that he or she has under-recovered any amount recoverable from a province under this Part, he or she must recover an amount equal to the under-recovery either

• (a) within the prescribed time and in the prescribed manner, from any amount payable under this Act to that province, or

• (b) from that province as a debt due to Her Majesty in right of Canada.

Marginal note:Payment out of C.R.F.

30 The amounts authorized under this Part to be paid by the Minister must be paid out of the Consolidated Revenue Fund at such times and in such manner as may be prescribed.

PART VIIProvincial Taxes and Fees

Interpretation and Amendments to Schedules

Marginal note:Definitions

• 31 (1) In this Part,

  participating province

  participating province means a province in respect of which there is in force a reciprocal taxation agreement entered into with the government of that province; (province signataire)

  provincial tax or fee

  provincial tax or fee means

  • (a) any tax of general application payable on a value, price or quantity basis by the purchaser, lessee, user or consumer of tangible personal property or services subject to the tax in respect of the sale, rental, consumption or use of the property or services, except to the extent that the tax is payable in respect of property or services acquired for resale, lease or sub-lease,

  • (b) any fee of general application payable by the owner, user or lessee of any vehicle or item of mobile equipment drawn, propelled or driven by any kind of power in respect of the registration of the vehicle or item or the licensing or certification thereof or in respect of the transfer or renewal of any registration permit, licence or certificate issued for the use of the vehicle or item, and

  • (c) any tax of a like nature to a tax described in paragraph (a) or any fee of a like nature to a fee described in paragraph (b) that is from time to time prescribed; (taxe ou droit provincial)

  reciprocal taxation agreement

  reciprocal taxation agreement means an agreement referred to in section 32. (accord de réciprocité fiscale)

• Marginal note:Amendments to Schedule I

  (2) On consultation and agreement with the government of each participating province, the Governor in Council may, by order, amend Schedule I

  • (a) by adding thereto the name of any corporation owned by Her Majesty in right of Canada; or

  • (b) by deleting therefrom the name of any corporation.

• Marginal note:Deemed amendment to Schedule I

  (2.1) Where a corporation is added or deemed to be added to Part I or II of Schedule III to the Financial Administration Act, the corporation shall be deemed to be added to Schedule I, and when that corporation is deleted from Part I or II of Schedule III to the Financial Administration Act, the corporation shall be deemed to be deleted from Schedule I.

• Marginal note:Amendments to Schedule I

  (2.2) The Governor in Council may, by order, amend Schedule I

  • (a) by adding thereto the name of any port authority established under the Canada Marine Act; or

  • (b) by deleting therefrom the name of any port authority.

• Marginal note:Amendments to Schedule II

  (3) The Governor in Council may, by order, amend Schedule II

  • (a) by adding thereto the name of any corporation owned by Her Majesty in right of Canada; or

  • (b) by deleting therefrom the name of any corporation.

Reciprocal Taxation Agreements

Marginal note:Reciprocal taxation agreements

32 Notwithstanding any other Act, the Minister may enter into reciprocal taxation agreements with the government of any province, providing, without restricting the generality of the foregoing, for all or any of the following matters, namely

• (a) for the payment by Her Majesty in right of Canada of any provincial tax or fee imposed or levied under a law of that province that would be payable by Her Majesty in right of Canada if that law were applicable thereto;

• (b) for the payment by Her Majesty in right of that province of any tax or fee imposed or levied under the Excise Tax Act that is payable by Her Majesty in right of that province and the waiver of the right to a payment in respect of that tax or fee provided in section 68.14 or 68.19 of that Act;

• (c) for the payment by Her Majesty in right of Canada to that province or the assignees of that province of amounts determined under the agreement in respect of amounts paid by Her Majesty in right of that province and amounts paid by persons identified in the agreement as or on account of any tax imposed under the Excise Tax Act;

• (d) for the payment by Her Majesty in right of Canada of interest on any amounts equal to any provincial tax or fee imposed or levied under a law of the province that would be collected by Her Majesty in right of Canada if that law were applicable to Her Majesty in right of Canada where those amounts have not been remitted or paid to the province at the rate and in the manner and at the time provided for in the applicable law of the province; and

• (e) for the collection and the remittance by Her Majesty in right of Canada of any provincial tax or fee imposed or levied under a law of the province that would be collected pursuant to that law by Her Majesty in right of Canada if that law were applicable to Her Majesty in right of Canada.

Marginal note:Payment out of Consolidated Revenue Fund

33 The amounts authorized to be paid by Her Majesty in right of Canada under a reciprocal taxation agreement may be paid out of the Consolidated Revenue Fund at such times and in such manner as may be prescribed.

Payment in Respect of Provincial Taxes and Fees by Crown Corporations

Marginal note:Payments in respect of provincial tax or fee imposed by participating province

34 Where, in respect of any transaction, matter or thing, a provincial tax or fee is imposed or levied under a law of a participating province and the provincial tax or fee would be payable by a corporation included in Schedule I if that law were applicable to the corporation, the corporation shall, in respect of any such transaction, matter or thing, pay the provincial tax or fee so imposed or levied as and when it would be required to do so if that law were applicable to it.

Marginal note:Settlement of disputes

• 35 (1) Where a dispute involving a corporation named in Schedule I arises as to whether, or the extent to which, any tax or fee imposed or levied under a law of a participating province is a provincial tax or fee, or as to the amount payable in respect of a provincial tax or fee, the dispute may be settled by an action, suit or other proceeding brought or taken by or against the corporation in the name of the corporation in any court that would have jurisdiction if the corporation were not a corporation owned by Her Majesty in right of Canada.

• Marginal note:Practice and procedure

  (2) Subject to subsection (3), the rules of practice and procedure of the court in which an action, suit or other proceeding is brought or taken pursuant to this section apply in that action, suit or other proceeding.

• Marginal note:Payment of judgment

  (3) No execution shall issue on a judgment against a corporation named in Schedule I given in any action, suit or other proceeding brought or taken pursuant to this section, but any money awarded by the judgment shall be paid forthwith out of any funds administered by the corporation.

Marginal note:Payments in respect of provincial tax or fee imposed by non-participating province

36 Where, in respect of any transaction, matter or thing, a provincial tax or fee is imposed or levied under a law of a province that is not a participating province and the provincial tax or fee would be payable by a corporation named in Schedule II if that law were applicable to the corporation, the corporation shall, in respect of any such transaction, matter or thing, pay the provincial tax or fee so imposed or levied as and when it would be required to do so if that law were applicable to it.

Marginal note:Determination by Governor in Council in case of doubt

37 Where, in the opinion of the Governor in Council, a doubt exists as to whether, or the extent to which, any tax or fee imposed or levied under a law of a province that is not a participating province is a provincial tax or fee within the meaning of paragraph (a) or (b) of the definition of that term in subsection 31(1), the Governor in Council may determine whether, or the extent to which, as the case may be, the tax or fee shall be deemed for the purposes of this Part to be a provincial tax or fee.

General

Marginal note:Liability of Crown not affected

38 Nothing in this Part or in any reciprocal taxation agreement shall be construed as limiting or otherwise affecting the liability of Her Majesty in right of Canada or of any corporation named in Schedule I or II to pay any tax or fee that Her Majesty in right of Canada or the corporation is otherwise liable to pay or that they would, but for this Part, be liable to pay.