• 73. (1) The Regulations are amended by adding the following after section 5:

  5.1 If an event described in paragraph 5(1)(a), (b) or (d) occurs while the beneficiary of an RDSP is the subject of an election made under subsection 146.4(4.1) of the Income Tax Act, the issuer of the RDSP shall repay to the Minister, within the period set out in the issuer agreement, the lesser of

  • (a) the fair market value, immediately before the occurrence of the event, of the property held by the RDSP, and

  • (b) the amount determined by the formula

    A + B – C

    where

    A

    is the assistance holdback amount of the RDSP immediately before the beneficiary ceased to be a DTC-eligible individual,

    B

    is the amount of any grant or bond that is paid into the RDSP during the period beginning on the day on which the beneficiary ceased to be a DTC-eligible individual and ending on the day on which the event occurs, and

    C

    is the amount of any grant or bond that has been repaid since the day on which the beneficiary ceased to be a DTC-eligible individual.

  5.2 If an election made under subsection 146.4(4.1) of the Income Tax Act in respect of the beneficiary of an RDSP ceases to be valid because of paragraph 146.4(4.2)(b) of that Act, the issuer of the RDSP shall repay to the Minister, within the period set out in the issuer agreement, the lesser of

  • (a) the fair market value, immediately before the election ceases to be valid, of the property held by the RDSP, and

  • (b) the amount determined by the formula

    A + B – C

    where

    A

    is the assistance holdback amount of the RDSP immediately before the beneficiary ceased to be a DTC-eligible individual,

    B

    is the amount of any grant or bond that is paid into the RDSP during the period beginning on the day on which the beneficiary ceased to be a DTC-eligible individual and ending on the day on which the election ceases to be valid, and

    C

    is the amount of any grant or bond that has been repaid since the day on which the beneficiary ceased to be a DTC-eligible individual.

  • 5.3 (1) Subject to section 5.4, if a disability assistance payment is made, the issuer of the RDSP shall repay to the Minister, within the period set out in the issuer agreement, the least of the following amounts:

    • (a) $3 for every $1 of disability assistance payment made,

    • (b) the fair market value, immediately before the making of the disability assistance payment, of the property held by the RDSP, and

    • (c) the assistance holdback amount of the RDSP immediately before the making of the disability assistance payment.

  • (2) An issuer that repays the amount referred to in paragraph (1)(a) is to do so from the grants and bonds that were paid into the RDSP within the 10-year period preceding the making of the disability assistance payment, in the order in which they were paid into it.

  • 5.4 (1) If a disability assistance payment is made to a beneficiary who is the subject of an election made under subsection 146.4(4.1) of the Income Tax Act, the issuer of the RDSP shall repay to the Minister, within the period set out in the issuer agreement, the least of the following amounts:

    • (a) $3 for every $1 of disability assistance payment made,

    • (b) the fair market value, immediately before the making of the disability assistance payment, of the property held by the RDSP, and

    • (c) the amount determined by the formula

      A + B – C

      where

      A

      is the assistance holdback amount of the RDSP immediately before the beneficiary ceased to be a DTC-eligible individual,

      B

      is the amount of any grant or bond that is paid into the RDSP during the period beginning on the day on which the beneficiary ceased to be a DTC-eligible individual and ending on the day on which the disability assistance payment is made, and

      C

      is the amount of any grant or bond that has been repaid since the day on which the beneficiary ceased to be a DTC-eligible individual.

  • (2) An issuer that repays the amount referred to in paragraph (1)(a) is to do so from the grants and bonds that were paid into the RDSP within the 10-year period before the beneficiary ceased to be a DTC-eligible individual and those that were paid into the RDSP within the period referred to in the description of B in paragraph (1)(c), in the order in which they were paid into it.

  • (3) Subsection (1) does not apply in respect of any disability assistance payment made in the calendar year in which the beneficiary of the RDSP attains 60 years of age, or in any subsequent calendar year, if the total amount of disability assistance payments made to the beneficiary in that calendar year is less than or equal to the amount determined in accordance with paragraph 146.4(4)(l) of the Income Tax Act for that calendar year.

• (2) Subsection (1) comes into force on January 1, 2014.

PART 2MEASURES IN RESPECT OF SALES TAX

R.S., c. E-15Excise Tax Act

Marginal note:1990, c. 45, s. 12(1)

• 74. (1) The definition “fiscal year” in subsection 123(1) of the Excise Tax Act is replaced by the following:

  “fiscal year”

  « exercice »

  “fiscal year” of a person means

  • (a) if section 244.1 applies to the person, the period determined under that section,

  • (b) if section 244.1 does not apply to the person and the person has made an election under section 244 that is in effect, the period that the person elected to be the fiscal year of the person, and

  • (c) in all other cases, the taxation year of the person;

• (2) Subsection 123(1) of the Act is amended by adding the following in alphabetical order:

  “participating employer”

  « employeur participant »

  “participating employer” of a pension plan means an employer that has made, or is required to make, contributions to the pension plan in respect of the employer’s employees or former employees, or payments under the pension plan to the employer’s employees or former employees, and includes an employer prescribed for the purposes of the definition “participating employer” in subsection 147.1(1) of the Income Tax Act;

  “pension entity”

  « entité de gestion »

  “pension entity” of a pension plan means a person in respect of the pension plan that is

  • (a) a person referred to in paragraph (a) of the definition “pension plan”,

  • (b) a corporation referred to in paragraph (b) of that definition, or

  • (c) a prescribed person;

  “pension plan”

  « régime de pension »

  “pension plan” means a registered pension plan (as defined in subsection 248(1) of the Income Tax Act)

  • (a) that governs a person that is a trust or that is deemed to be a trust for the purposes of that Act,

  • (b) in respect of which a corporation is

    • (i) incorporated and operated either

      • (A) solely for the administration of the registered pension plan, or

      • (B) for the administration of the registered pension plan and for no other purpose other than acting as trustee of, or administering, a trust governed by a retirement compensation arrangement (as defined in subsection 248(1) of that Act), where the terms of the arrangement provide for benefits only in respect of individuals who are provided with benefits under the registered pension plan, and

    • (ii) accepted by the Minister, under subparagraph 149(1)(o.1)(ii) of that Act, as a funding medium for the purpose of the registration of the registered pension plan, or

  • (c) in respect of which a person is prescribed for the purposes of the definition “pension entity”;

• (3) Subsection (1) is deemed to have come into force on July 1, 2009.

• (4) Subsection (2) is deemed to have come into force on September 23, 2009.

Marginal note:2010, c. 12, s. 58(1)

• 75. (1) The definitions “participating employer”, “pension entity” and “pension plan” in subsection 172.1(1) of the Act are repealed.

• (2) Subsection (1) is deemed to have come into force on September 23, 2009.

Marginal note:2009, c. 32, s. 14(1)

• 76. (1) Paragraph 218.1(1)(a) of the Act is replaced by the following:

  • (a) every person that is resident in a participating province and is the recipient of an imported taxable supply that is a supply of intangible personal property or a service that is acquired by the person for a prescribed purpose in respect of the supply or, in the absence of a prescribed purpose in respect of the supply, for consumption, use or supply in participating provinces to an extent that is prescribed, must, for each time an amount of consideration for the supply becomes due or is paid without having become due and for each participating province, pay to Her Majesty in right of Canada, in addition to the tax imposed by section 218, tax equal to the amount determined by the formula

    A × B × C

    where

    A

    is the tax rate for the participating province,

    B

    is the value of that consideration that is paid or becomes due at that time, and

    C

    is the prescribed percentage in respect of the supply or, in the absence of a prescribed percentage in respect of the supply, the extent (expressed as a percentage) to which the person acquired the property or service for consumption, use or supply in the participating province; and

• Marginal note:2009, c. 32, s. 14(1)

  (2) Clause (B) of the description of C in paragraph 218.1(1)(b) of the Act is replaced by the following:

  • (B) in any other case, the prescribed percentage in respect of the supply or, in the absence of a prescribed percentage in respect of the supply, the extent (expressed as a percentage) to which the person acquired the property or service for consumption, use or supply in the particular participating province.

• Marginal note:2001, c. 15, s. 8(2)

  (3) Subsection 218.1(1.1) of the Act is replaced by the following:

  • Marginal note:Delivery in a province

    (1.1) Section 3 of Part II of Schedule IX applies for the purpose of subparagraph (1)(b)(ii).

• Marginal note:2010, c. 12, s. 64(2)

  (4) The description of A₂ in the second formula in paragraph 218.1(1.2)(a) of the Act is replaced by the following:

  A₂

   is the prescribed percentage in respect of the internal charge or, in the absence of a prescribed percentage in respect of the internal charge, the extent (expressed as a percentage) to which the internal charge is attributable to outlays or expenses that were made or incurred to consume, use or supply the whole or part of property or of a qualifying service, in respect of which the internal charge is attributable, in carrying on, engaging in or conducting an activity of the qualifying taxpayer in the particular participating province, and

• Marginal note:2010, c. 12, s. 64(2)

  (5) The description of B₂ in the third formula in paragraph 218.1(1.2)(a) of the Act is replaced by the following:

  B₂

  is the prescribed percentage in respect of the external charge or, in the absence of a prescribed percentage in respect of the external charge, the extent (expressed as a percentage) to which the whole or part of the outlay or expense, which corresponds to the external charge, was made or incurred to consume, use or supply the whole or part of property or of a qualifying service, in respect of which the external charge is attributable, in carrying on, engaging in or conducting an activity of the qualifying taxpayer in the particular participating province; and

• Marginal note:2010, c. 12, s. 64(2)

  (6) The description of D in paragraph 218.1(1.2)(b) of the Act is replaced by the following:

  D

  is the prescribed percentage in respect of the qualifying consideration or, in the absence of a prescribed percentage in respect of the qualifying consideration, the extent (expressed as a percentage) to which the whole or part of the outlay or expense, which corresponds to the qualifying consideration, was made or incurred to consume, use or supply the whole or part of property or of a qualifying service, in respect of which the qualifying consideration is attributable, in carrying on, engaging in or conducting an activity of the qualifying taxpayer in the particular participating province.

• (7) Subsections (1) and (2) apply in respect of any supply made on or after July 1, 2010.

• (8) Subsection (3) is deemed to have come into force on July 1, 2010.

• (9) Subsections (4) to (6) apply in respect of any specified year of a person that ends on or after July 1, 2010.

Marginal note:2010, c. 12, s. 68(1)

• 77. (1) The portion of subsection 220.05(3.1) of the Act before paragraph (a) is replaced by the following:

  • Marginal note:Pension entities

    (3.1) No tax is payable under subsection (1) in respect of property if a person that is a pension entity of a pension plan is the recipient of a particular supply of the property made by a participating employer of the pension plan and

• (2) Subsection (1) is deemed to have come into force on September 23, 2009.

Marginal note:2009, c. 32, s. 19(1)

• 78. (1) Subsection 220.08(1) of the Act is replaced by the following:

  Marginal note:Tax in participating province

  • 220.08 (1) Subject to this Part, every person that is resident in a participating province and is the recipient of a taxable supply made in a particular province of intangible personal property or a service that is acquired by the person for a prescribed purpose in respect of the supply or, in the absence of a prescribed purpose in respect of the supply, for consumption, use or supply in whole or in part in any participating province that is not the particular province must pay to Her Majesty in right of Canada, each time an amount of consideration for the supply becomes due or is paid without having become due, tax equal to the amount determined in prescribed manner.

• Marginal note:2010, c. 12, s. 69(1)

  (2) The portion of subsection 220.08(3.1) of the Act before paragraph (a) is replaced by the following:

  • Marginal note:Pension entities

    (3.1) No tax is payable under subsection (1) in respect of a particular supply of property or a service made by a participating employer of a pension plan to a person that is a pension entity of the pension plan if

• (3) Subsection (1) applies in respect of any supply made on or after July 1, 2010.

• (4) Subsection (2) is deemed to have come into force on September 23, 2009.

Marginal note:1997, c. 10, s. 208(1)

• 79. (1) Subsection 225.2(1) of the Act is replaced by the following:

  Marginal note:Selected listed financial institutions

  • 225.2 (1) For the purposes of this Part, a financial institution is a selected listed financial institution throughout a reporting period in a fiscal year that ends in a taxation year of the financial institution if the financial institution is

    • (a) a listed financial institution described in any of subparagraphs 149(1)(a)(i) to (x) during the taxation year; and

    • (b) a prescribed financial institution throughout the reporting period.

• Marginal note:1997, c. 10, s. 208(1)

  (2) Paragraph (a) of the description of F in subsection 225.2(2) of the Act is replaced by the following:

  • (a) all amounts of tax (other than a prescribed amount of tax) under subsection 165(2) in respect of supplies made in the participating province to the financial institution, or under section 212.1 calculated at the tax rate for the participating province, that

    • (i) became payable, or were paid without having become payable, by the financial institution during

      • (A) the particular reporting period, or

      • (B) any other reporting period of the financial institution that precedes the particular reporting period, provided that

        • (I) the particular reporting period ends within two years after the end of the financial institution’s fiscal year that includes the other reporting period, and

        • (II) the financial institution was a selected listed financial institution throughout the other reporting period,

    • (ii) were not included in determining the positive or negative amounts that the financial institution is required to add, or may deduct, under this subsection in determining its net tax for any reporting period of the financial institution other than the particular reporting period, and

    • (iii) are claimed by the financial institution in a return under this Division filed by the financial institution for the particular reporting period, and

• Marginal note:1997, c. 10, s. 208(1)

  (3) Paragraph (b) of the description of F in subsection 225.2(2) of the English version of the Act is replaced by the following:

  • (b) all amounts each of which is an amount, in respect of a supply made during the particular reporting period of property or a service to which the financial institution and another person have elected to have paragraph (c) of the description of A apply, equal to tax payable by the other person under any of subsection 165(2), sections 212.1 and 218.1 and Division IV.1 that is included in the cost to the other person of supplying the property or service to the financial institution; and

• Marginal note:1997, c. 10, s. 208(1)

  (4) Subsection 225.2(8) of the Act is repealed.

• (5) Subsections (1) and (2) apply in respect of any reporting period of a person that ends on or after July 1, 2010.

• (6) Subsection (4) is deemed to have come into force on July 1, 2010.