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Income Tax Act (R.S.C., 1985, c. 1 (5th Supp.))

Full Document:  

Act current to 2024-05-14 and last amended on 2024-01-22. Previous Versions

PART XIXCommon Reporting Standard (continued)

Marginal note:Production of TIN

  •  (1) Every reportable person shall provide their TIN at the request of a reporting financial institution that is required under this Part to make an information return requiring the TIN.

  • Marginal note:Confidentiality of TIN

    (2) A person required to make an information return referred to in subsection (1) shall not knowingly use, communicate or allow to be communicated, otherwise than as required or authorized under this Act or a regulation, the TIN without the written consent of the reportable person.

  • Marginal note:Penalty for failure to provide TIN

    (3) Every reportable person who fails to provide on request their TIN to a reporting financial institution that is required under this Part to make an information return requiring the TIN is liable to a penalty of $500 for each such failure, unless

    • (a) an application for the assignment of the TIN is made to the relevant reportable jurisdiction not later than 90 days after the request was made and the TIN is provided to the reporting financial institution that requested it within 15 days after the reportable person received it; or

    • (b) the reportable person is not eligible to obtain a TIN from the relevant reportable jurisdiction (including because the relevant reportable jurisdiction does not issue TINs).

  • Marginal note:Assessment

    (4) The Minister may at any time assess any amount payable under subsection (3) by any person and, if the Minister sends a notice of assessment to the person, sections 150 to 163, subsections 164(1) and (1.4) to (7), sections 165 to 167 and Division J of Part I apply with such modifications as the circumstances require.

  • [NOTE: Application provisions are not included in the consolidated text
  • see relevant amending Acts and regulations.]
  • 2016, c. 12, s. 71

PART XXReporting Rules for Digital Platform Operators

Marginal note:Definitions

  •  (1) The following definitions apply in this Part.

    active seller

    active seller means a seller that either provides relevant services or sells goods during the reportable period or is paid or credited consideration in connection with relevant activities during the reportable period. (vendeur actif)

    consideration

    consideration means compensation in any form that is paid or credited to a seller in connection with relevant activities, the amount of which is known or reasonably knowable by the platform operator. (rémunération)

    entity

    entity has the same meaning as in subsection 270(1). (entité)

    excluded platform operator

    excluded platform operator means a platform operator that demonstrates to the satisfaction of the Minister that the platform’s entire business model is such that it does not

    • (a) allow sellers to derive a profit from the consideration; or

    • (b) have reportable sellers. (opérateur de platforme exclu)

    excluded seller

    excluded seller means a seller

    • (a) that is an entity for which the platform operator facilitated more than 2,000 relevant services for the rental of immovable property in respect of a property listing during the reportable period;

    • (b) that is a governmental entity (as defined in subsection 270(1));

    • (c) that is an entity the stock of which is regularly traded on an established securities market (as defined in subsection 270(1)) or a related entity (as defined in subsection 270(1)) of an entity the stock of which is regularly traded on an established securities market; or

    • (d) for which the platform operator solely facilitated less than 30 relevant activities for the sale of goods and for which the total amount of consideration paid or credited did not exceed $2,800 during the reportable period. (vendeur exclu)

    fiat currency

    fiat currency means a currency that is used by a country and is designated as legal tender in that country. (monnaie fiduciaire)

    financial account identifier

    financial account identifier means the unique identifying number or reference, available to the platform operator, of the bank account or other payment account to which consideration is paid or credited. (identifiant de compte financier)

    goods

    goods means any tangible property or, for civil law, any corporeal property. (bien)

    government verification service

    government verification service means an electronic process made available by a reportable jurisdiction to a platform operator for the purposes of ascertaining the identity and residence of a seller. (service public de vérification)

    immovable property

    immovable property means real or immovable property. (biens immobiliers)

    partner jurisdiction

    partner jurisdiction means each jurisdiction identified as a partner jurisdiction by the Minister on the Internet website of the Canada Revenue Agency or by any other means that the Minister considers appropriate. (juridiction partenaire)

    personal service

    personal service means a service involving time- or task-based work performed by one or more individuals at the request of a user, unless such work is purely ancillary to the overall transaction, but does not include a service provided by a seller pursuant to an employment relationship with the platform operator or a related entity (as defined in subsection 270(1)) of the platform operator. (service personnel)

    platform

    platform means a software, including a website or a part of it and applications, including mobile applications, accessible by users and allowing sellers to be connected to other users for the provision of relevant services or the sale of goods, directly or indirectly, to such users (including the collection and payment of consideration in respect of relevant activities), but does not include, in the provision of relevant services or the sale of goods, software exclusively allowing without any further intervention

    • (a) the processing of payments in relation to relevant activities;

    • (b) listing or advertising in relation to relevant activities; or

    • (c) redirecting or transferring of users to a platform. (plateforme)

    platform operator

    platform operator means an entity that contracts with sellers to make available all or part of a platform to such sellers. (opérateur de plateforme)

    primary address

    primary address means

    • (a) in respect of a seller that is an individual (other than a trust), the address of the seller’s principal place of residence; and

    • (b) in respect of a seller that is an entity, the address of the seller’s registered office. (adresse principale)

    property listing

    property listing includes all immovable property units located at the same street address and offered for rent on a platform by the same seller. (lot)

    relevant activity

    relevant activity means

    • (a) a relevant service; or

    • (b) the sale of goods for consideration. (activité visée)

    relevant service

    relevant service means, if provided for consideration:

    • (a) the rental of real or immovable property;

    • (b) a personal service;

    • (c) the rental of a means of transport; or

    • (d) a prescribed service. (service visé)

    reportable jurisdiction

    reportable jurisdiction means

    • (a) for a reporting platform operator described in paragraph (a) of the definition reporting platform operator, Canada and any partner jurisdiction; and

    • (b) in any other case, Canada. (juridiction soumise à déclaration)

    reportable period

    reportable period means a calendar year during which a platform operator is a reporting platform operator. (période de déclaration)

    reportable seller

    reportable seller means an active seller, other than an excluded seller, that is determined by the platform operator based on the due diligence procedures set out in sections 283 to 287 to

    • (a) be resident in a reportable jurisdiction;

    • (b) have provided relevant services for the rental of immovable property located in a reportable jurisdiction; or

    • (c) have been paid or credited consideration in connection with relevant services for the rental of immovable property located in a reportable jurisdiction. (vendeur soumis à déclaration)

    reporting platform operator

    reporting platform operator means a platform operator, other than an excluded platform operator, if

    • (a) it is resident in Canada;

    • (b) it is resident, incorporated or managed in a partner jurisdiction, facilitates the provision of relevant activities by sellers resident in Canada or with respect to rental of immovable property located in Canada and elects to be a reporting platform operator; or

    • (c) it is not resident in Canada or a partner jurisdiction and it facilitates the provision of relevant activities by sellers resident in Canada or with respect to rental of immovable property located in Canada. (opérateur de plateforme soumis à déclaration)

    seller

    seller means a platform user that is registered at any time during the reportable period on the platform for the provision of a relevant service or the sale of goods. (vendeur)

    TIN

    TIN means

    • (a) the number used by the Minister to identify an individual or entity, including

      • (i) a social insurance number,

      • (ii) a business number, and

      • (iii) an account number issued to a trust; and

    • (b) in respect of a jurisdiction other than Canada, a taxpayer identification number, including a VAT/GST registration number issued by the jurisdiction of the primary address of the seller, or a functional equivalent in the absence of a taxpayer identification number. (NIF)

  • Marginal note:Interpretation

    (2) This Part relates to the implementation of the Model Rules set out in the Model Rules for Reporting by Platform Operators with respect to Sellers in the Sharing and Gig Economy approved by the Council of the Organisation for Economic Co-operation and Development and, unless the context otherwise requires, the provisions in this Part are to be interpreted consistently with the Model Rules, as amended from time to time.

  • [NOTE: Application provisions are not included in the consolidated text
  • see relevant amending Acts and regulations.]
  • 2023, c. 26, s. 78

Marginal note:Excluded seller

  •  (1) For the purpose of determining whether a seller is an excluded seller under paragraph (a) or (d) of that definition in subsection 282(1), a reporting platform operator may rely on its available records.

  • Marginal note:Excluded seller – entity

    (2) For the purpose of determining whether a seller that is an entity is an excluded seller under paragraph (b) or (c) of that definition in subsection 282(1), a reporting platform operator may rely on publicly available information or a confirmation from the seller.

  • [NOTE: Application provisions are not included in the consolidated text
  • see relevant amending Acts and regulations.]
  • 2023, c. 26, s. 78

Marginal note:Seller information – individual

  •  (1) The reporting platform operator must collect the following information for each seller that is an individual (other than a trust) and that is not an excluded seller

    • (a) the first and last name of the individual;

    • (b) the primary address of the individual;

    • (c) the TIN issued to the individual, including the jurisdiction of issuance; and

    • (d) the date of birth of the individual.

  • Marginal note:Seller information – entity

    (2) The reporting platform operator must collect the following information for each seller (other than a seller described in subsection (1)) that is not an excluded seller

    • (a) the legal name of the entity;

    • (b) the primary address of the entity;

    • (c) the TIN issued to the entity, including the jurisdiction of issuance; and

    • (d) the business registration number of the entity.

  • Marginal note:Government verification services

    (3) Notwithstanding subsections (1) and (2), the reporting platform operator is not required to collect information pursuant to paragraphs (1)(b) to (d) or (2)(b) to (d) in respect of a seller where the reporting platform operator relies on a government verification service to ascertain the identity and residence of the seller.

  • Marginal note:TIN collection

    (4) Notwithstanding paragraphs (1)(c) and (2)(c) and (d), the TIN or the business registration number, respectively, are not required to be collected if

    • (a) the jurisdiction of residence of the seller does not issue a TIN or business registration number to the seller; or

    • (b) the jurisdiction of residence of the seller does not require the collection of the TIN issued to such seller.

  • [NOTE: Application provisions are not included in the consolidated text
  • see relevant amending Acts and regulations.]
  • 2023, c. 26, s. 78

Marginal note:Verification of seller information

  •  (1) The reporting platform operator must determine whether the information collected under subsection 283(2) and sections 284 and 287 is reliable, using all records available to the reporting platform operator, as well as any publicly available electronic interface to ascertain the validity of the TIN.

  • Marginal note:Due diligence

    (2) Notwithstanding subsection (1), for the completion of the due diligence procedures pursuant to subsection 288(2), the reporting platform operator may determine whether the information collected pursuant to subsection 283(2) and sections 284 and 287 is reliable using electronically searchable records available to the reporting platform operator.

  • Marginal note:Verifying accuracy

    (3) For the purpose of paragraph 288(3)(b), despite subsections (1) and (2), in instances where the reporting platform operator has reason to know that any of the information items described in section 284 or 287 may be inaccurate by virtue of information provided by the Minister, it must verify such information item using reliable, independent-source documents, data or information.

  • [NOTE: Application provisions are not included in the consolidated text
  • see relevant amending Acts and regulations.]
  • 2023, c. 26, s. 78
 

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