Sustaining Canada’s Economic Recovery Act (S.C. 2010, c. 25)

Assented to 2010-12-15

PART 2AMENDMENTS IN RESPECT OF EXCISE DUTIES AND SALES AND EXCISE TAXES

2002, c. 9, s. 5Air Travellers Security Charge Act

  •  (1) The definition “fiscal month” in section 2 of the Air Travellers Security Charge Act is replaced by the following:

    “fiscal month”

    « mois d’exercice »

    “fiscal month” means a fiscal month as determined under subsection 16(1).

  • (2) Section 2 of the Act is amended by adding the following in alphabetical order:

    “fiscal half-year”

    « semestre d’exercice »

    “fiscal half-year” means a fiscal half-year as determined under subsection 16(2).

    “fiscal year”

    « exercice »

    “fiscal year” of a designated air carrier means the same period that is the carrier’s fiscal year under Part IX of the Excise Tax Act.

    “reporting period”

    « période de déclaration »

    “reporting period” means a reporting period as determined under section 16.1.

 The Act is amended by adding the following after section 5:

Marginal note:Associated persons
  • 5.1 (1) For the purposes of this Act, a particular corporation is associated with another corporation if, by reason of subsections 256(1) to (6) of the Income Tax Act, the particular corporation is associated with the other corporation for the purposes of that Act.

  • Marginal note:Corporations controlled by same person or group

    (2) For the purposes of this Act, a person other than a corporation is associated with a particular corporation if the particular corporation is controlled by the person or by a group of persons of which the person is a member and each of whom is associated with each of the others.

  • Marginal note:Partnership or trust

    (3) For the purposes of this Act, a person is associated with

    • (a) a partnership if the total of the shares of the profits of the partnership to which the person and all other persons who are associated with the person are entitled is more than half of the total profits of the partnership, or would be more than half of the total profits of the partnership if it had profits; and

    • (b) a trust if the total of the values of the interests in the trust of the person and all other persons who are associated with the person is more than half of the total value of all interests in the trust.

  • Marginal note:Association with third person

    (4) For the purposes of this Act, a person is associated with another person if each of them is associated with the same third person.

  •  (1) The Act is amended by adding the following after section 15:

    Marginal note:No action for collection of charge

    15.1 No person, other than Her Majesty, may bring an action or proceeding against any person for acting in compliance or intended compliance with this Act by collecting an amount as or on account of the charge.

  • (2) Subsection (1) applies to any action or proceeding that has not, on or before July 13, 2010, been finally determined by the tribunals or courts of competent jurisdiction.

 The heading “Fiscal Month” before section 16 and section 16 of the Act are replaced by the following:

Fiscal Periods

Marginal note:Determination of fiscal months
  • 16. (1) The fiscal months of a designated air carrier shall be determined in accordance with the following rules:

    • (a) if fiscal months of the carrier have been determined under subsection 243(2) or (4) of the Excise Tax Act for the purposes of Part IX of that Act, each of those fiscal months is a fiscal month of the carrier for the purposes of this Act;

    • (b) if fiscal months of the carrier have not been determined under subsection 243(2) or (4) of the Excise Tax Act for the purposes of Part IX of that Act, the carrier may choose, at the time of registration under section 17, as their fiscal months for the purposes of this Act, fiscal months that meet the requirements set out in subsection 243(2) of the Excise Tax Act; and

    • (c) if paragraph (a) does not apply and the carrier has not chosen their fiscal months under paragraph (b), each calendar month is a fiscal month of the carrier for the purposes of this Act.

  • Marginal note:Determination of fiscal half-years

    (2) The fiscal half-years of a designated air carrier shall be determined in accordance with the following rules:

    • (a) the period beginning on the first day of the first fiscal month in a fiscal year of the carrier and ending on the earlier of the last day of the sixth fiscal month and the last day in the fiscal year is a fiscal half-year of the carrier; and

    • (b) the period, if any, beginning on the first day of the seventh fiscal month and ending on the last day in the fiscal year of the carrier is a fiscal half-year of the carrier.

Reporting Periods

Marginal note:Reporting period — general
  • 16.1 (1) Subject to this section, the reporting period of a designated air carrier is a fiscal month.

  • Marginal note:Reporting period — semi-annual

    (2) On application in the prescribed form and manner by a designated air carrier, the Minister may, in writing, authorize the reporting period of that carrier to be a fiscal half-year in a particular fiscal year if

    • (a) the carrier has been registered for a period exceeding twelve consecutive fiscal months;

    • (b) the total of all charges and amounts collected or required to be collected under this Act by the carrier and any person associated with the carrier in the fiscal year ending immediately before the particular fiscal year did not exceed $120,000;

    • (c) the total of all charges and amounts collected or required to be collected under this Act by the carrier and any person associated with the carrier in the particular fiscal year does not exceed $120,000; and

    • (d) the carrier is in compliance with the Act.

  • Marginal note:Deemed revocation

    (3) An authorization under subsection (2) is deemed to be revoked if the total of all charges and amounts collected or required to be collected under this Act by the carrier and any person associated with the carrier exceeds $120,000 in a fiscal year, which revocation is effective as of the first day after the end of the fiscal half-year in which the excess occurs.

  • Marginal note:Revocation — other

    (4) The Minister may revoke an authorization if

    • (a) the carrier requests in writing the Minister to do so;

    • (b) the carrier fails to comply with the Act; or

    • (c) the Minister considers that the authorization is no longer required.

  • Marginal note:Notice of revocation

    (5) If the Minister revokes an authorization under subsection (4), the Minister shall send a notice in writing of the revocation to the carrier and shall specify in the notice the fiscal month for which the revocation becomes effective.

  • Marginal note:Deemed reporting period on revocation

    (6) If a revocation under subsection (4) becomes effective before the last day of a fiscal half-year of a carrier that is authorized under subsection (2), the period beginning on the first day of the fiscal half-year and ending immediately before the first day of the fiscal month for which the revocation becomes effective is deemed to be a reporting period of the carrier.

 Subsection 17(2) of the Act is replaced by the following:

  • Marginal note:Returns and payments

    (2) Every designated air carrier that is registered or is required to register shall, not later than the last day of the first month after each reporting period of the carrier,

    • (a) file a return with the Minister, in the prescribed form and manner containing all prescribed information, for that reporting period;

    • (b) calculate, in the return, the total of

      • (i) all charges required to be collected by the carrier during that reporting period other than such a charge that was collected by the carrier before that reporting period,

      • (ii) all amounts each of which is a charge collected by the carrier during that reporting period at a time before the charge became payable under subsection 11(2) if the time at which the charge becomes so payable is after the end of that reporting period, and

      • (iii) all other amounts collected as or on account of charges by the carrier during that reporting period that were not included in a calculation under subparagraph (i) or (ii) for a previous reporting period; and

    • (c) pay an amount equal to that total to the Receiver General.

Marginal note:2007, c. 18, s. 146

 Subsection 30(1) of the Act is replaced by the following:

Marginal note:Waiving or reducing interest
  • 30. (1) The Minister may, on or before the day that is 10 calendar years after the end of a reporting period of a person, or on application by the person on or before that day, waive or reduce any interest payable by the person under this Act on an amount that is required to be paid by the person under this Act in respect of the reporting period.

 Subsection 32(4) of the Act is replaced by the following:

  • Marginal note:Deduction of refund

    (4) A designated air carrier that has refunded or credited an amount under subsection (1) or (2) within two years after the day the amount was collected and that has issued to a person a document in accordance with subsection (3) may deduct the amount of the refund or credit from the amount payable by the carrier under subsection 17(2) for the reporting period of the carrier in which the document is issued to the person, to the extent that the amount of the charge has been included by the carrier in determining the amount payable by the carrier under subsection 17(2) for the reporting period or a preceding reporting period of the carrier.

 
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