Excise Tax Act (R.S.C., 1985, c. E-15)

Marginal note:Dues in respect of employment

189. For the purposes of this Part, where an amount is paid by a person to an organization as

• (a) a membership due paid to a trade union as defined

  • (i) in section 3 of the Canada Labour Code, or

  • (ii) in any Act of the legislature of a province providing for the investigation, conciliation or settlement of industrial disputes,

  or to an association of public servants the primary object of which is to promote the improvement of the members’ conditions of employment or work,

• (b) a due that was, pursuant to the provisions of a collective agreement, retained by the person from an individual’s remuneration and paid to a trade union or association referred to in paragraph (a) of which the individual was not a member, or

• (c) a due to a parity or advisory committee or similar body, the payment of which was required under the laws of a province in respect of an individual’s employment,

the organization shall be deemed to have made an exempt supply to the person and the amount shall be deemed to be consideration for the supply.

Marginal note:Government fees

189.1 For the purposes of this Part, where a person who is the holder of, or an applicant for, a right the supply of which is an exempt supply described by paragraph 20(c) of Part VI of Schedule V is required to pay to a government or municipality or a board, commission or other body established by a government or municipality an amount that is levied for the purposes of recovering the costs of administration of a regulatory program relating to the right and a failure to pay the amount would result in a denial or loss of, a restriction in the exercise of, or a change in the person’s entitlements under, the right, the government, municipality or body, as the case may be, shall be deemed to have made an exempt supply to the person and the amount shall be deemed to be consideration for that supply.

Marginal note:Foreign conventions

189.2 Where a sponsor of a foreign convention

• (a) makes a supply of an admission to the convention,

• (b) makes a supply by way of lease, licence or similar arrangement of real property for use by the recipient of the supply exclusively as the site for the promotion, at the convention, of property or services supplied by, or a business of, the recipient, or

• (c) makes a supply of related convention supplies to a recipient of a supply referred to in paragraph (b),

the supply shall be deemed to have been made otherwise than in the course of a commercial activity of the sponsor.