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

Marginal note:Execution of documents

279 A return (other than a return filed by way of electronic filing under section 278.1), certificate or other document made by a person (other than an individual) under this Part or under a regulation made under this Part shall be signed on behalf of the person by an individual duly authorized to do so by the person or the governing body of the person and the following persons are deemed to be so duly authorized:

• (a) if the person is a corporation or an association or organization that has duly elected or appointed officers, the president, vice-president, secretary, treasurer or other equivalent officers of the person; and

• (b) if the person is the estate of a deceased individual, the personal representative of the estate.

Marginal note:Interest

• 280 (1) Subject to this section and section 281, if a person fails to remit or pay an amount to the Receiver General when required under this Part, the person shall pay interest at the prescribed rate on the amount, computed for the period beginning on the first day following the day on or before which the amount was required to be remitted or paid and ending on the day the amount is remitted or paid.

• Marginal note:Interest on net tax of selected listed financial institutions

  (1.1) Despite subsection (1), if a selected listed financial institution that is required to pay an amount under subsection 228(2.1) on account of the financial institution’s net tax for a reporting period fails to pay all of that amount within the time specified in that subsection, the financial institution shall pay, on the amount not paid, interest at the prescribed rate, computed for the period beginning on the first day following that time and ending on the earlier of

  • (a) the day the total of the amount and interest is paid, and

  • (b) the day on or before which the financial institution is required under subsection 238(2.1) to file a final return for that reporting period.

• Marginal note:Interest on instalments

  (2) Despite subsection (1), if a person fails to pay all of an instalment payable by the person under subsection 237(1) within the time specified in that subsection, the person shall pay, on the amount of the instalment not paid, interest at the prescribed rate, computed for the period beginning on the first day following that time and ending on the earlier of

  • (a) the day the total of the amount and interest is paid, and

  • (b) the day on or before which the tax on account of which the instalment was payable is required to be remitted.

• Marginal note:Interest on instalments

  (3) Despite subsection (2), the total interest payable by a person under that subsection for the period beginning on the first day of a reporting period for which an instalment on account of tax is payable and ending on the day on or before which the tax on account of which the instalment was payable is required to be remitted shall not exceed the amount, if any, by which

  • (a) the amount of interest that would be payable under subsection (2) for the period by the person if no amount were paid by the person on account of instalments payable in the period

  exceeds

  • (b) the total of all amounts each of which is an amount of interest at the prescribed rate that applies in the case of interest to be paid to the Receiver General, calculated on an instalment of tax paid for the period beginning on the day of that payment and ending on the day on or before which the tax on account of which the instalment was payable is required to be remitted.

• Marginal note:Unpaid interest on instalments

  (4) If a person is required to pay interest under subsection (2) in respect of an instalment required under subsection 237(1) to be paid within the time specified in that subsection and the interest has not been paid on or before the day on or before which the tax on account of which the instalment was payable is required to be remitted, the interest is deemed, for the purposes of this Part, to be an amount required to be remitted by the person on or before that day that has not been remitted on or before that day.

• Marginal note:Unpaid interest on net tax of selected listed financial institutions

  (4.01) If a selected listed financial institution is required to pay interest under subsection (1.1) in respect of an amount required under subsection 228(2.1) to be paid within the time specified in that paragraph and the interest has not been paid on or before the day on or before which the financial institution is required under subsection 238(2.1) to file a final return for that reporting period, the interest is deemed, for the purposes of this Part, to be an amount required to be remitted by the financial institution on or before that day that has not been remitted on or before that day.

• Marginal note:Payment of interest

  (4.1) If interest is compounded on a partic­ular day on an amount that a person has failed to pay or remit when required under this Part, the interest so compounded is deemed, for the purposes of this section, to be required to be paid by the person to the Receiver General at the end of the particular day and, if the person has not paid the interest so computed by the end of the next following day, the interest shall be added to the amount at the end of the particular day.

• (5) and (6) [Repealed, 2006, c. 4, s. 146]

• Marginal note:Payment before specified date

  (7) If the Minister has served a demand that a person pay or remit on or before a specified date all tax, net tax, instalments, amounts under section 264, penalties and interest payable by the person under this Part on the date of the demand, and the person pays the total on or before the specified date, the Minister may waive interest for the period beginning on the first day following the date of the demand and ending on the day of payment.

Marginal note:Failure to file a return

280.1 Every person who fails to file a return for a reporting period as and when required under this Part is liable to pay a penalty equal to the sum of

• (a) an amount equal to 1% of the total of all amounts each of which is an amount that is required to be remitted or paid for the reporting period and was not remitted or paid, as the case may be, on or before the day on or before which the return was required to be filed, and

• (b) the amount obtained when one quarter of the amount determined under paragraph (a) is multiplied by the number of complete months, not exceeding 12, from the day on or before which the return was required to be filed to the day on which the return is filed.

Marginal note:Failure to file by electronic transmission

280.11 In addition to any other penalty under this Part, every person that fails to file a return under Division V for a reporting period as required by subsection 278.1(2.1) is liable to a penalty equal to an amount determined in prescribed manner.

Marginal note:Penalty — electronic payment

280.12 Every person that fails to comply with subsection 278(3) is liable to a penalty equal to $100 for each such failure.

Marginal note:Minimum interest and penalty

280.2 If at any time a person pays or remits all tax, net tax, instalments and amounts under section 264 payable by the person under this Part for a reporting period of the person and, immediately before that time, the total, for the reporting period, of all interest payable by the person under section 280 and penalties payable under section 280.1 is not more than $25, the Minister may cancel the total of the penalties and interest.

Marginal note:Dishonoured instruments

280.3 For the purposes of this Part and section 155.1 of the Financial Administration Act, any charge that becomes payable at any time by a person under that Act in respect of an instrument tendered in payment or settlement of an amount that is payable or remittable under this Part is deemed to be an amount that becomes payable by the person at that time under this Part. In addition, Part II of the Interest and Administrative Charges Regulations does not apply to the charge and any debt under subsection 155.1(3) of that Act in respect of the charge is deemed to be extinguished at the time the total of the amount and any applicable interest under this Part is paid.

Marginal note:Extension for returns

• 281 (1) The Minister may at any time extend in writing the time for filing a return, or providing information, under this Part.

• Marginal note:Effect of extension

  (2) If the Minister extends the time within which a return of a person is to be filed or information is to be provided by a person,

  • (a) the return shall be filed, or information shall be provided, within the time as so extended;

  • (b) any tax or net tax payable that the person is required to report in the return shall be paid or remitted within the time so extended;

  • (c) any interest payable under section 280 on any tax or net tax payable that the person is required to report in the return shall be calculated as though the tax or net tax were required to be paid on or before the day on which the extended time expires; and

  • (d) any penalty payable under section 280.1 in respect of the return shall be calculated as though the return were required to be filed on or before the day on which the extended time expires.

Marginal note:Waiving or cancelling interest

• 281.1 (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 cancel interest payable by the person under section 280 on an amount that is required to be remitted or paid by the person under this Part in respect of the reporting period.

• Marginal note:Waiving or cancelling penalties

  (2) 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 cancel all or any portion of any

  • (a) penalty that became payable by the person under section 280 before April 1, 2007, in respect of the reporting period; and

  • (b) penalty payable by the person under section 280.1, 280.11 or 284.01 in respect of a return for the reporting period.

Marginal note:Demand for return

282 The Minister may, on demand sent by the Minister, require any person to file, within any reasonable time stipulated in the demand, a return under this Part for any period or transaction designated in the demand.

Marginal note:Failure to answer demand

283 Every person who fails to file a return when required pursuant to a demand issued under section 282 is liable to a penalty equal to $250.

Marginal note:Failure to provide information

284 Every person who fails to provide any information or document when and as required under this Part or under a regulation made under this Part is, except where the Minister waives the penalty, liable to a penalty of $100 for every failure unless, in the case of information required in respect of another person, a reasonable effort was made by the person to obtain the information.

Marginal note:Failure to provide information

284.01 Every person that fails to report an amount prescribed by regulation, or to provide information prescribed by regulation, as and when required in a return prescribed by regulation, or that misstates such an amount or such information in such a return, is liable to pay a penalty, in addition to any other penalty under this Part, equal to an amount determined in prescribed manner for each such failure or misstatement by the person.

Marginal note:Failure to report actual amounts

• 284.1 (1) In addition to any other penalty under this Part, every reporting institution that fails to report an actual amount (other than an actual amount for which the reporting institution is allowed to provide a reasonable estimate pursuant to subsection 273.2(5)) when and as required in an information return required to be filed under subsection 273.2(3), or that misstates such an actual amount in the information return, and that does not exercise due diligence in attempting to report the actual amount is liable to a penalty, for each such failure or misstatement, equal to the lesser of $1,000 and 1% of the absolute value of the difference between the actual amount and

  • (a) if the reporting institution failed to report the actual amount when and as required, zero; or

  • (b) if the reporting institution misstated the actual amount, the amount reported by the reporting institution in the information return.

• Marginal note:Failure to provide reasonable estimates

  (2) In addition to any other penalty under this Part, every reporting institution that fails to provide a reasonable estimate for an amount that is not an actual amount, or for an actual amount for which the reporting institution is allowed to provide a reasonable estimate pursuant to subsection 273.2(5), when and as required in an information return required to be filed under subsection 273.2(3) for a fiscal year and that does not exercise due diligence in attempting to report such a reasonable estimate is liable to a penalty, for each such failure, equal to the lesser of $1,000 and 1% of the total of

  • (a) all amounts, each of which is an amount that became collectible by the reporting institution, or that was collected by the reporting institution, as or on account of tax under Division II in a reporting period in the fiscal year; and

  • (b) all amounts, each of which is an amount that the reporting institution claimed as an input tax credit in a return under Division V filed by the reporting institution for a reporting period in the fiscal year.

• Marginal note:Waiving or cancelling penalties

  (3) The Minister may waive or cancel all or any portion of a penalty payable under this section.