Payments in Lieu of Taxes Act (R.S.C., 1985, c. M-13)

Marginal note:Regulations by Minister

10 The Minister may make regulations

• (a) establishing a form of application for a payment under this Act;

• (b) respecting the making of an interim payment in respect of a payment under this Act; and

• (c) respecting the recovery of any overpayments made to a taxing authority, including recovery by way of set-off against other payments under this Act to the taxing authority.

Payments by Crown Corporations

Marginal note:Regulations to be complied with in making grants

• 11 (1) Notwithstanding any other Act of Parliament or any regulations made thereunder,

  • (a) every corporation included in Schedule III or IV shall, if it is exempt from real property tax, comply with any regulations made under paragraph 9(1)(f) respecting any payment that it may make in lieu of a real property tax or a frontage or area tax; and

  • (b) every corporation included in Schedule IV shall, if it is exempt from business occupancy tax, comply with any regulations made under paragraph 9(1)(g) respecting any payment that it may make in lieu of a business occupancy tax.

• Definition of wholly owned

  (2) For the purposes of Schedules III and IV, a corporation is wholly owned if all the shares, membership interests or other evidences of interest in the corporation to which are attached votes that may be cast to elect directors of the corporation are held, directly or indirectly, other than by way of security, by, on behalf of, or for the benefit of one of the corporations included in those Schedules.

Advisory Panel

Marginal note:Appointment of members

• 11.1 (1) The Governor in Council shall appoint an advisory panel of at least two members from each province and territory with relevant knowledge or experience to hold office during good behaviour for a term not exceeding three years, which term may be renewed for one or more further terms. The Governor in Council shall name one of the members as Chairperson.

• Marginal note:Removal

  (1.1) A member appointed under subsection (1) may be removed for cause by the Governor in Council.

• Marginal note:Mandate

  (2) The advisory panel shall give advice to the Minister in the event that a taxing authority disagrees with the property value, property dimension or effective rate applicable to any federal property, or claims that a payment should be supplemented under subsection 3(1.1).

• Marginal note:Duties of Chairperson

  (3) The Chairperson shall supervise and direct the operation and functioning of the advisory panel.

• Marginal note:Establishment of divisions

  (4) The Chairperson may establish divisions of the advisory panel, and all or any of the powers, duties and functions of the panel may be exercised or performed by all or any of those divisions.

• Marginal note:Payments to members

  (5) Each member of the advisory panel is entitled to be paid, unless the member is employed in the federal public administration,

  • (a) remuneration in an amount fixed by the Governor in Council for each day or part of a day that the member is performing duties under this Act; and

  • (b) reasonable travel and other expenses incurred in the course of their duties under this Act while absent from their ordinary place of residence.

General

Marginal note:Agreements respecting leased properties

12 The Minister may enter into an agreement with the government of a province respecting the making of payments under this Act on any real property or immovable situated in the province that is prescribed under paragraph 9(1)(e) to be federal property.

Marginal note:Community pasture payment

13 Notwithstanding anything in this Act, federal property that, under an agreement with a province, is used as a community pasture may be excluded from the calculation of a payment in lieu of a real property tax if, with respect to that property, an alternative means of making a payment to a taxing authority in lieu of a real property tax is in effect.

Marginal note:Newly acquired property

14 Notwithstanding anything in this Act, when Her Majesty in right of Canada acquires taxable property, no payment shall be made under this Act in respect of that property for any part of the taxation year during which it was acquired.

Marginal note:No right conferred

15 No right to a payment is conferred by this Act.

Marginal note:Phase-in of payments in lieu

16 Notwithstanding anything in this Act or any regulation made under this Act, a payment in lieu of a real property tax that may be made under this Act in respect of any real property or immovable managed or held by a port authority mentioned in subsection 10(1) or 12(2) of the Canada Marine Act shall not exceed the following:

• (a) for a taxation year beginning in 1999, 25 per cent of the payment that may, but for this section, be made under this Act;

• (b) for a taxation year beginning in 2000, 50 per cent of the payment that may, but for this section, be made under this Act; and

• (c) for a taxation year beginning in 2001, 75 per cent of the payment that may, but for this section, be made under this Act.