SOR/99-17619994

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20253

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EXCISE TAX ACTAutomobile Operating Expense Benefit (GST/HST) RegulationsP.C.1999-62619994

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His Excellency the Governor General in Council, on the recommendation of the Minister of Finance, pursuant to subsection 173(1)a and section 277b of the Excise Tax Act, hereby makes the annexed Automobile Operating Expense Benefit (GST) Regulations.aS.C. 1997, c. 10, s. 165bS.C. 1993, c. 27, s. 125(1)Prescribed Percentages

1[Repealed, SOR/2007-202, s. 1]

2For the purposes of clause 173(1)(d)(vi)(A) of the Excise Tax Act, where a registrant supplies property or a service and an amount in respect thereof is required to be included in computing an individual’s income for the purposes of the Income Tax Act for a taxation year, the prescribed percentage of the total consideration that includes that amount is(a)9% if(i)the individual is an employee of the registrant and is required under subsection 6(1) of the Income Tax Act to so include the amount and the last establishment of the registrant at which the individual ordinarily worked, or to which the individual ordinarily reported, in the year in relation to that office or employment is located in Ontario, or(ii)the individual is a shareholder of the registrant, is required under subsection 15(1) of the Income Tax Act to so include the amount and the individual is resident in Ontario at the end of the year;(a.1)10% if(i)the individual is an employee of the registrant and is required under subsection 6(1) of the Income Tax Act to so include the amount and the last establishment of the registrant at which the individual ordinarily worked, or to which the individual ordinarily reported, in the year in relation to that office or employment is located in Nova Scotia, or(ii)the individual is a shareholder of the registrant, is required under subsection 15(1) of the Income Tax Act to so include the amount and the individual is resident in Nova Scotia at the end of the year;(b)11% if(i)the individual is an employee of the registrant and is required under subsection 6(1) of the Income Tax Act to so include the amount and the last establishment of the registrant at which the individual ordinarily worked, or to which the individual ordinarily reported, in the year in relation to that office or employment is located in New Brunswick, Prince Edward Island or Newfoundland and Labrador, or(ii)the individual is a shareholder of the registrant, is required under subsection 15(1) of the Income Tax Act to so include the amount and the individual is resident in New Brunswick, Prince Edward Island or Newfoundland and Labrador at the end of the year; and(c)[Repealed, SOR/2012-191, s. 19](c.1)[Repealed, SOR/2016-212, s. 7](d)3%, in any other case.SOR/2007-202, s. 2; SOR/2008-237, s. 1; SOR/2010-152, s. 8; SOR/2012-191, s. 19; SOR/2013-44, s. 8; SOR/2016-119, s. 7; SOR/2016-212, s. 7SOR/2025-77, s. 7

Amendment

3[Repealed, SOR/2007-202, s. 3]

Application

4[Repealed, SOR/2007-202, s. 4]

5[Repealed, SOR/2007-202, s. 5]

6[Repealed, SOR/2007-202, s. 6]

7[Repealed, SOR/2007-202, s. 7]

RELATED PROVISIONS — SOR/2007-202, s. 8

8Section 2 applies to amounts that are required to be included in computing an individual’s income for the purposes of the Income Tax Act for the 2006 and subsequent taxation years except that, in respect of the 2006 taxation year,(a)the reference in paragraph 2(a) of the Regulations, as amended by subsection 2(1), to “10%” is to be read as references to “10.5%”, and(b)the reference in paragraph 2(b) of the Regulations, as enacted by subsection 2(2), to “4%” is to be read as references to “4.5%”.

— SOR/2007-202, s. 9

9Sections 4 and 6 apply to amounts that are required to be included in computing an individual’s income for the purposes of the Income Tax Act for the 2006 and subsequent taxation years.

— SOR/2010-152, s. 19

19Section 8 applies to amounts that are required to be included in computing an individual’s income for the purposes of the Income Tax Act for the 2010 and subsequent taxation years except that,(a)in respect of the 2010 taxation year,(i)the reference in paragraph 2(a) of the Automobile Operating Expense Benefit (GST/HST) Regulations, as enacted by section 8, to “9%” is to be read as a reference to “6%” if the registrant is not a large business (as defined in subsection 236.01(1) of the Act) on December 31, 2010 and(A)in the case where the individual is an employee of the registrant, the last establishment of the registrant at which the individual ordinarily worked, or to which the individual ordinarily reported, in the year in relation to that office or employment is located in Ontario, or(B)in the case where the individual is a shareholder of the registrant, the individual is resident in Ontario at the end of the year,(ii)the reference in paragraph 2(a) of the Automobile Operating Expense Benefit (GST/HST) Regulations, as enacted by section 8, to “9%” is to be read as a reference to “4.5%” if the registrant is a large business (as defined in subsection 236.01(1) of the Act) on December 31, 2010, if(A)in the case where the individual is an employee of the registrant, the last establishment of the registrant at which the individual ordinarily worked, or to which the individual ordinarily reported, in the year in relation to that office or employment is located in Ontario, or(B)in the case where the individual is a shareholder of the registrant, the individual is resident in Ontario at the end of the year,(iii)the reference in paragraph 2(b) of the Automobile Operating Expense Benefit (GST/HST) Regulations, as enacted by section 8, to “11%” is to be read as a reference to “10%”, and(iv)the reference in paragraph 2(c) of the Automobile Operating Expense Benefit (GST/HST) Regulations, as enacted by section 8, to “5%” is to be read as a reference to “4%”;(b)in respect of the 2011 to 2014 taxation years, the reference in paragraph 2(a) of the Automobile Operating Expense Benefit (GST/HST) Regulations, as enacted by section 8, to “9%” is to be read as a reference to “6%” if the registrant is a large business (as defined in subsection 236.01(1) of the Act) on December 31 of the taxation year and(i)in the case where the individual is an employee of the registrant, the last establishment of the registrant at which the individual ordinarily worked, or to which the individual ordinarily reported, in the year in relation to that office or employment is located in Ontario; or(ii)in the case where the individual is a shareholder of the registrant, the individual is resident in Ontario at the end of the year;(c)in respect of the 2015 taxation year, the reference in paragraph 2(a) of the Automobile Operating Expense Benefit (GST/HST) Regulations, as enacted by section 8, to “9%” is to be read as a reference to “6.6%” if the registrant is a large business (as defined in subsection 236.01(1) of the Act) on December 31, 2015 and(i)in the case where the individual is an employee of the registrant, the last establishment of the registrant at which the individual ordinarily worked, or to which the individual ordinarily reported, in the year in relation to that office or employment is located in Ontario, and(ii)in the case where the individual is a shareholder of the registrant, the individual is resident in Ontario at the end of the year;(d)in respect of the 2016 taxation year, the reference in paragraph 2(a) of the Automobile Operating Expense Benefit (GST/HST) Regulations, as enacted by section 8, to “9%” is to be read as a reference to “7.2%” if the registrant is a large business (as defined in subsection 236.01(1) of the Act) on December 31, 2016 and(i)in the case where the individual is an employee of the registrant, the last establishment of the registrant at which the individual ordinarily worked, or to which the individual ordinarily reported, in the year in relation to that office or employment is located in Ontario, and(ii)in the case where the individual is a shareholder of the registrant, the individual is resident in Ontario at the end of the year;(e)in respect of the 2017 taxation year, the reference in paragraph 2(a) of the Automobile Operating Expense Benefit (GST/HST) Regulations, as enacted by section 8, to “9%” is to be read as a reference to “7.8%” if the registrant is a large business (as defined in subsection 236.01(1) of the Act) on December 31, 2017 and(i)in the case where the individual is an employee of the registrant, the last establishment of the registrant at which the individual ordinarily worked, or to which the individual ordinarily reported, in the year in relation to that office or employment is located in Ontario, and(ii)in the case where the individual is a shareholder of the registrant, the individual is resident in Ontario at the end of the year; and(f)in respect of the 2018 taxation year, the reference in paragraph 2(a) of the Automobile Operating Expense Benefit (GST/HST) Regulations, as enacted by section 8, to “9%” is to be read as a reference to “8.4%”if the registrant is a large business (as defined in subsection 236.01(1) of the Act) on December 31, 2018 and(i)in the case where the individual is an employee of the registrant, the last establishment of the registrant at which the individual ordinarily worked, or to which the individual ordinarily reported, in the year in relation to that office or employment is located in Ontario, and(ii)in the case where the individual is a shareholder of the registrant, the individual is resident in Ontario at the end of the year.

— SOR/2011-56, s. 56

56Subsection 12(24) applies to the 2010 and subsequent calendar years, except that, in respect of the 2010 calendar year,(a)the reference in subclause (i)(A)(I) of the description of E₃ in subsection 7(7) of the Games of Chance (GST/HST) Regulations, as enacted by subsection 12(24), to “the percentage referred to in paragraph 2(a) of the Automobile Operating Expense Benefit (GST/HST) Regulations” is to be read as a reference to “6%” if the last establishment of the authority at which the individual ordinarily worked, or to which the individual ordinarily reported, in the year in relation to the individual’s office or employment with the authority is located in Ontario;(b)the reference in subclause (i)(A)(II) of the description of E₃ in subsection 7(7) of the Games of Chance (GST/HST) Regulations, as enacted by subsection 12(24), to “the percentage referred to in paragraph 2(b) of the Automobile Operating Expense Benefit (GST/HST) Regulations” is to be read as a reference to “10%”; and(c)the reference in subclause (i)(A)(III) of the description of E₃ in subsection 7(7) of the Games of Chance (GST/HST) Regulations, as enacted by subsection 12(24), to “the percentage referred to in paragraph 2(c) of the Automobile Operating Expense Benefit (GST/HST) Regulations” is to be read as a reference to “4%”.

— SOR/2012-191, s. 63

63Subsection 19(1) applies in respect of amounts that are required to be included in computing an individual’s income for the purposes of the Income Tax Act for the individual’s 2013 taxation year.

— SOR/2012-191, s. 64

64Subsection 19(2) applies in respect of amounts that are required to be included in computing an individual’s income for the purposes of the Income Tax Act for the individual’s 2014 and subsequent taxation years.

— SOR/2013-44, s. 45, as amended by SOR/2016-212, s. 15

45Section 8 applies to amounts that are required to be included in computing an individual’s income for the purposes of the Income Tax Act for the 2013 to 2015 taxation years, except that(a)in respect of the 2013 taxation year, the reference in paragraph 2(c.1) of the Automobile Operating Expense Benefit (GST/HST) Regulations, as enacted by section 8, to “10%” is to be read as a reference(i)to “8.25%” if the registrant is not a large business (as defined in subsection 236.01(1) of the Excise Tax Act) on December 31, 2013, and(ii)to “5.63%” if the registrant is a large business (as defined in subsection 236.01(1) of the Excise Tax Act) on December 31, 2013;(b)in respect of the 2014 and 2015 taxation years, the reference in paragraph 2(c.1) of those Regulations, as enacted by section 8, to “10%” is to be read as a reference to “6.5%” if the registrant is a large business (as defined in subsection 236.01(1) of the Excise Tax Act) on December 31 of the taxation year.

— SOR/2016-119, s. 25

25Section 7 applies to amounts that are required to be included in computing an individual’s income for the purposes of the Income Tax Act for the 2016 and subsequent taxation years except that, in respect of the 2016 taxation year, the reference in paragraph 2(b) of the Automobile Operating Expense Benefit (GST/HST) Regulations to “11%” is to be read as a reference to “10%” if the individual is(a)an employee of the registrant and the last establishment of the registrant at which the individual ordinarily worked, or to which the individual ordinarily reported, in the year in relation to that office or employment is located in New Brunswick or Newfoundland and Labrador; or(b)a shareholder of the registrant and is resident in New Brunswick or Newfoundland and Labrador at the end of the year.

— SOR/2016-212, s. 26

26Section 7 applies to amounts that are required to be included in computing an individual’s income for the purposes of the Income Tax Act for the 2016 and subsequent taxation years except that,(a)in respect of the 2016 taxation year, the reference in paragraph 2(b) of the Automobile Operating Expense Benefit (GST/HST) Regulations to “11%” is to be read as a reference to “10%” if the individual is(i)an employee of the registrant and the last establishment of the registrant at which the individual ordinarily worked, or to which the individual ordinarily reported, in the year in relation to that office or employment is in New Brunswick or Newfoundland and Labrador, or(ii)a shareholder of the registrant and is resident in New Brunswick or Newfoundland and Labrador at the end of the year; and(b)if the individual is an employee of the registrant and the last establishment of the registrant at which the individual ordinarily worked, or to which the individual ordinarily reported, in the year in relation to that office or employment is located in Prince Edward Island or if the individual is a shareholder of the registrant and is resident in Prince Edward Island at the end of the year(i)in respect of the 2016 taxation year, the reference in paragraph 2(b) of the Automobile Operating Expense Benefit (GST/HST) Regulations to “11%” is to be read as a reference(A)to “10.25%” if the registrant is not a large business (as defined in subsection 236.01(1) of the Excise Tax Act) on December 31, 2016, and(B)to “6.63%” if the registrant is a large business (as defined in subsection 236.01(1) of the Excise Tax Act) on December 31, 2016,(ii)in respect of the 2017 taxation year, the reference in paragraph 2(b) of those Regulations to “11%” is to be read as a reference to “7%” if the registrant is a large business (as defined in subsection 236.01(1) of the Excise Tax Act) on December 31, 2017,(iii)in respect of the 2018 taxation year, the reference in paragraph 2(b) of those Regulations to “11%” is to be read as a reference to “7.8%” if the registrant is a large business (as defined in subsection 236.01(1) of the Excise Tax Act) on December 31, 2018,(iv)in respect of the 2019 taxation year, the reference in paragraph 2(b) of those Regulations to “11%” is to be read as a reference to “8.6%” if the registrant is a large business (as defined in subsection 236.01(1) of the Excise Tax Act) on December 31, 2019,(v)in respect of the 2020 taxation year, the reference in paragraph 2(b) of those Regulations to “11%” is to be read as a reference to “9.4%” if the registrant is a large business (as defined in subsection 236.01(1) of the Excise Tax Act) on December 31, 2020, and(vi)in respect of the 2021 taxation year, the reference in paragraph 2(b) of those Regulations to “11%” is to be read as a reference to “10.2%” if the registrant is a large business (as defined in subsection 236.01(1) of the Excise Tax Act) on December 31, 2021.

— SOR/2025-77, s. 19

19Section 7 applies to amounts that are required to be included in computing an individual’s income for the purposes of the Income Tax Act for the 2025 and subsequent taxation years except that, in respect of the 2025 taxation year, the reference in paragraph 2(a.1) of the Automobile Operating Expense Benefit (GST/HST) Regulations to “10%” is to be read as a reference to “10.25%”.

SOR/2025-772025-03-06