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Marginal note:Prescribed person

2 For the purposes of subsection 278.1(2.1) of the Act, a person (other than a selected listed financial institution) that is a registrant is a prescribed person in respect of a reporting period of the person that is in a fiscal year of the person if

• (a) the person is not a charity;

• (b) the person is a large business (as defined in subsection 236.01(1) of the Act) at any time in the reporting period or in a preceding reporting period of the person in the fiscal year;

• (c) the person is a builder that

  • (i) makes a specified housing supply in respect of which tax under subsection 165(1) of the Act becomes payable at any time in the reporting period,

  • (ii) where the person is the recipient of a supply of a residential complex that is a qualifying housing supply, makes a supply of the residential complex in respect of which tax under subsection 165(2) of the Act becomes payable at any time in the reporting period, or

  • (iii) is deemed for the purposes of the Act to have collected, at any time in the reporting period, tax as a consequence of paragraph 51(1)(e), 52(1)(e), 53(1)(e), 58.04(1)(e), 58.05(1)(e) or 58.06(1)(e) of theNew Harmonized Value-added Tax System Regulations, No. 2; or

• (d) the person is a builder that claims, in accordance with subsection 228(6) of the Act, a transitional new housing rebate in a return under Division V of Part IX of the Act for the reporting period.

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Marginal note:Transitional new housing rebates

16 For the purposes of section 284.01 of the Act, if a person claims, in accordance with subsection 228(6) of the Act, an amount in respect of a transitional new housing rebate that is assigned to the person or to which the person is entitled in a specified return for a reporting period of the person, that amount is a prescribed amount and, if the person reports that amount as a deduction in determining the net tax of the person for the reporting period and as a consequence of that reporting fails to report that amount as required, the penalty under section 284.01 of the Act in respect of that prescribed amount is $250.

Marginal note:Penalty amount — section 14

15 The penalty under section 284.01 of the Act in respect of the particular amount that is in respect of a specified return for a particular reporting period of a person and that is prescribed, for the purposes of that section, by section 14 is, if the person failed to report the particular amount as and when required, equal to

• (a) if the person does not transmit, in accordance with subsection 254(5), 254.1(5) or 256.21(4) of the Act, as the case requires, any of the applications referred to in subsection 234(1) of the Act in respect of the rebates to the Minister, the total of

  • (i) an amount (in this section referred to as the “base penalty”) equal to 5% of the particular amount, and

  • (ii) the amount obtained when one-fifth of the base penalty is multiplied by the number of complete months, not exceeding five, that are included in the period that begins on the day on or before which the specified return was required to be filed and that ends on the earlier of

    • (A) the day on which an application for any of the rebates is transmitted to the Minister in accordance with the applicable subsection of the Act, or

    • (B) the day on which the Minister sends a notice of assessment that includes an assessment of the net tax for the reporting period taking into account that the person failed to report the particular amount; and

Marginal note:Penalty amount — section 12

13 The penalty under section 284.01 of the Act in respect of a specified number that is prescribed, for the purposes of that section, by section 12 is equal to $250 multiplied by the difference between the specified number and

• (a) if the person failed to provide the specified number as and when required, zero; or

• (b) if the person misstated the specified number, the number reported by the person in the specified return.

Marginal note:Penalty amount — sections 8 to 10

11 The penalty under section 284.01 of the Act in respect of a particular amount that is in respect of a specified return for a particular reporting period of a person and that is prescribed, for the purposes of that section, by any of sections 8 to 10 is equal to the sum of

• (a) an amount (in this section referred to as the “base penalty”) equal to 5% of the absolute value of the positive or negative amount determined by the formula

  A - B

  where

  A 

  is the particular amount, and

  B 

  is

  • (i) if the person failed to report the particular amount as and when required, zero, or

  • (ii) if the person misstated the particular amount, the amount reported by the person in the specified return; and

• (b) the amount obtained when one-fifth of the base penalty is multiplied by the number of complete months, not exceeding five, that are included in the period that begins on the day on or before which the specified return was required to be filed and that ends on the earlier of

  • (i) the day on which the person reports the particular amount and identifies the particular reporting period to the Minister in writing or in any other manner satisfactory to the Minister, and

  • (ii) the day on which the Minister sends a notice of assessment that includes an assessment of the net tax for the particular reporting period taking into account that the person failed to report, or misstated, the particular amount.