Excise Act, 2001 (S.C. 2002, c. 22)

Act current to 2014-10-27 and last amended on 2014-06-19. Previous Versions

Marginal note:Additional duty on cigars

 In addition to the duty imposed under section 42, duty is imposed on cigars at the rates set out in Schedule 2 and is payable

  • (a) in the case of cigars manufactured and sold in Canada, by the tobacco licensee who manufactured the cigars, at the time of their delivery to a purchaser; and

  • (b) in the case of imported cigars, by the importer, owner or other person who is liable under the Customs Act to pay duty levied under section 20 of the Customs Tariff or who would be liable to pay that duty on the cigars if they were subject to that duty.

  • 2002, c. 22, s. 43;
  • 2014, c. 20, s. 63(F).

Definition of “inflationary adjusted year”

  •  (1) In this section, “inflationary adjusted year” means 2019 and every fifth year after that year.

  • Marginal note:Adjustments

    (2) Each rate of duty set out in sections 1 to 4 of Schedule 1 and paragraph (a) of Schedule 2 in respect of a tobacco product is to be adjusted on December 1 of a particular inflationary adjusted year so that the rate is equal to the greater of

    • (a) the rate determined by the formula

      A × B

      where

      A 
      is the rate of duty applicable to the tobacco product on November 30 of the particular inflationary adjusted year, and
      B 
      is the amount determined by the formula in subparagraph (i) or (ii), rounded to the nearest one-thousandth, or, if the amount is equidistant from two consecutive one-thousandths, rounded to the higher one-thousandth,
      • (i) if the particular inflationary adjusted year is 2019,

        C/D

        where

        C 
        is the Consumer Price Index for the 12-month period ending on September 30, 2019, and
        D 
        is the Consumer Price Index for the 12-month period that ended on September 30, 2013,
      • (ii) for any other particular inflationary adjusted year,

        E/F

        where

        E 
        is the Consumer Price Index for the 12-month period ending on September 30 of the particular inflationary adjusted year, and
        F 
        is the Consumer Price Index for the 12-month period ending on September 30 of the inflationary adjusted year that precedes the particular inflationary adjusted year; and
    • (b) the rate of duty referred to in the description of A in paragraph (a).

  • Marginal note:Rounding

    (3) The adjusted rate determined under subsection (2) is to be rounded to the nearest one-hundred-thousandth or, if the adjusted rate is equidistant from two consecutive one-hundred-thousandths, to the higher one-hundred-thousandth.

  • Marginal note:Consumer Price Index

    (4) In this section, the Consumer Price Index for any 12-month period is the result arrived at by

    • (a) aggregating the Consumer Price Index for Canada, as published by Statistics Canada under the authority of the Statistics Act, for each month in that period;

    • (b) dividing the aggregate obtained under paragraph (a) by 12; and

    • (c) rounding the result obtained under paragraph (b) to the nearest one-thousandth or, if the result obtained is equidistant from two consecutive one-thousandths, to the higher one-thousandth.

  • 2014, c. 20, s. 64.