Excise Act, 2001 (S.C. 2002, c. 22)

Act current to 2017-04-12 and last amended on 2016-12-15. Previous Versions

Marginal note:Imposition — bulk wine taken for use
  •  (1) Duty is imposed on bulk wine that is taken for use at the rates set out in Schedule 6.

  • Marginal note:Payable by responsible person

    (2) Subject to sections 144 to 146, the duty is payable at the time the wine is taken for use and is payable by the person who is responsible for the wine at that time.

  • Marginal note:Exceptions

    (3) Subsection (1) does not apply to

    • (a) wine that is produced in Canada and composed wholly of agricultural or plant product grown in Canada; and

    • (b) wine that is produced by an individual for their personal use and that is consumed in the course of that use.

  • 2002, c. 22, s. 134;
  • 2007, c. 2, s. 56.
Marginal note:Imposition — wine packaged in Canada
  •  (1) Duty is imposed on wine that is packaged in Canada at the rates set out in Schedule 6.

  • Marginal note:Wine produced for personal use and by small producers

    (2) Subsection (1) does not apply to wine that is

    • (a) produced in Canada and composed wholly of agricultural or plant product grown in Canada;

    • (a.1) produced and packaged by an individual for their personal use; or

    • (b) produced by a wine licensee and packaged by or on behalf of the licensee during a fiscal month in a particular fiscal year of the licensee if

      • (i) the total sales by the licensee of products that are subject to duty under subsection (1), or that would have been so subject to duty in the absence of this subsection, in the fiscal year ending immediately before the particular fiscal year did not exceed $50,000, and

      • (ii) the total sales by the licensee of those products during the particular fiscal year before the fiscal month did not exceed $50,000.

  • Marginal note:Time of imposition

    (3) The duty is imposed at the time the wine is packaged. It is also payable at that time unless the wine is entered into an excise warehouse immediately after packaging.

  • Marginal note:Payable by responsible person

    (4) The duty is payable by the person who is responsible for the wine immediately before it is packaged.

  • Marginal note:Wine licensee ceases to be liable for duty

    (5) If an excise warehouse licensee becomes liable under section 140 for duty on the wine, the person required under subsection (4) to pay the duty ceases to be liable to pay it.

  • 2002, c. 22, s. 135;
  • 2007, c. 2, s. 57, c. 18, s. 100.
Marginal note:Duty payable on removal from warehouse
  •  (1) Subject to subsection (2), if packaged wine is removed from an excise warehouse for entry into the duty-paid market, duty is payable on the wine at the time of its removal and is payable by the excise warehouse licensee.

  • Marginal note:Removals for consignment sales

    (2) If a small wine licensee removes packaged wine that the licensee produced or packaged from the excise warehouse of the licensee for delivery and sale on a consignment basis at a retail store operated on behalf of two or more small wine licensees and that is not located on the premises of a wine licensee, the wine is deemed to be removed from the warehouse for entry into the duty-paid market at the time the wine is sold.

  • Meaning of small wine licensee

    (3) In this section, a wine licensee is a small wine licensee during a fiscal year of the licensee if, in the previous fiscal year, the total amount of wine sold by the licensee did not exceed 60,000 litres.

  • 2002, c. 22, s. 136;
  • 2007, c. 18, s. 101.
Marginal note:Duty payable on packaged wine taken for use

 Subject to sections 144 to 146, if non-duty-paid packaged wine that is in the possession of an excise warehouse licensee or a licensed user is taken for use, duty is payable on the wine at the time it is taken for use and is payable by the licensee or user.

Marginal note:Duty payable on unaccounted packaged wine
  •  (1) Duty is payable on non-duty-paid packaged wine that has been received by an excise warehouse licensee or a licensed user but that cannot be accounted for by the licensee or user

    • (a) as being in the excise warehouse of the licensee or the specified premises of the user;

    • (a.1) in the case of packaged wine described by subsection 136(2), as being in a store described by that subsection;

    • (b) as having been removed, used or destroyed in accordance with this Act; or

    • (c) as having been lost in prescribed circumstances, if the licensee or user fulfills any prescribed conditions.

  • Marginal note:When duty payable

    (2) Duty is payable by the licensee or user at the time the wine cannot be accounted for.

  • 2002, c. 22, s. 138;
  • 2007, c. 18, s. 102.
Marginal note:Duty on wine in marked special container relieved
  •  (1) Duty imposed under subsection 135(1) is relieved on wine that is contained in a marked special container of wine from which the marking has been removed in accordance with section 156.

  • Marginal note:Duty on returned wine relieved

    (2) Duty imposed under subsection 135(1) or levied under subsection 21.2(2) of the Customs Tariff is relieved on wine that is returned to the bulk wine inventory of a wine licensee in accordance with section 157.

Liability of Excise Warehouse Licensees and Licensed Users

Marginal note:Non-duty-paid packaged alcohol

 If non-duty-paid packaged alcohol is entered into an excise warehouse immediately after being packaged, the excise warehouse licensee is liable for the duty on the alcohol at the time it is entered into the warehouse.

Marginal note:Imported packaged alcohol

 If, in accordance with subsection 21.2(3) of the Customs Tariff, imported packaged alcohol is, without the payment of duty, released under the Customs Act to the excise warehouse licensee or licensed user who imported it, the excise warehouse licensee or licensed user is liable for the duty on the alcohol.

Marginal note:Transfer between warehouse licensees
  •  (1) If non-duty-paid packaged alcohol is removed from the excise warehouse of an excise warehouse licensee (in this subsection referred to as the “transferor”) to the excise warehouse of another excise warehouse licensee, at the time the alcohol is entered into the warehouse of the other licensee,

    • (a) the other licensee becomes liable for the duty on the alcohol; and

    • (b) the transferor ceases to be liable for the duty.

  • Marginal note:Transfer to licensed user

    (2) If non-duty-paid packaged alcohol is removed from an excise warehouse to the specified premises of a licensed user, at the time the alcohol is entered into those premises,

    • (a) the licensed user becomes liable for the duty on the alcohol; and

    • (b) the excise warehouse licensee ceases to be liable for the duty.

  • Marginal note:Transfer from licensed user

    (3) If non-duty-paid packaged alcohol is removed from the specified premises of a licensed user to an excise warehouse, at the time the alcohol is entered into the warehouse,

    • (a) the excise warehouse licensee becomes liable for the duty on the alcohol; and

    • (b) the licensed user ceases to be liable for the duty.

Non-dutiable Uses and Removals of Alcohol

Marginal note:Approved formulations

 The Minister may impose any conditions or restrictions that the Minister considers necessary in respect of the making, importation, packaging, use or sale of, or other dealing with, an approved formulation.

Marginal note:Non-dutiable uses — approved formulations

 Duty is relieved on bulk alcohol and non-duty-paid packaged alcohol used by a licensed user in an approved formulation.

 
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