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Payments in Lieu of Taxes Act (R.S.C., 1985, c. M-13)

Act current to 2019-08-28 and last amended on 2019-07-15. Previous Versions

Payments in Lieu of Taxes Act

R.S.C., 1985, c. M-13

An Act respecting payments in lieu of taxes to municipalities, provinces and other bodies exercising functions of local government that levy real property taxes

Short Title

Marginal note:Short title

 This Act may be cited as the Payments in Lieu of Taxes Act.

  • R.S., 1985, c. M-13, s. 1
  • 2000, c. 8, s. 2

Interpretation

Marginal note:Definitions

  •  (1) In this Act,

    assessed dimension

    assessed dimension means the frontage, area, other dimension or other attribute of real property or immovables established by an assessment authority for the purpose of computing a frontage or area tax; (dimensions fiscales)

    assessed value

    assessed value means the value established for any real property or immovable by an assessment authority for the purpose of computing a real property tax; (valeur fiscale)

    assessment authority

    assessment authority means an authority that has power by or under an Act of Parliament or the legislature of a province to establish the assessed dimension or assessed value of real property or immovables; (autorité évaluatrice)

    business occupancy tax

    business occupancy tax means a tax levied on occupants in respect of their use or occupation of real property or immovables for the purpose of or in connection with a business; (taxe d’occupation commerciale)

    department

    department means

    • (a) any department named in Schedule I to the Financial Administration Act,

    • (a.1) any division or branch of the federal public administration named in Schedule I.1 to that Act,

    • (a.2) any commission under the Inquiries Act designated as a department for the purposes of the Financial Administration Act,

    • (b) any corporation established by or under an Act of Parliament or performing a function on behalf of the Government of Canada included in Schedule I to this Act; (ministères)

    effective rate

    effective rate means the rate of real property tax or of frontage or area tax that, in the opinion of the Minister, would be applicable to any federal property if that property were taxable property; (taux effectif)

    federal property

    federal property means, subject to subsection (3),

    • (a) real property and immovables owned by Her Majesty in right of Canada that are under the administration of a minister of the Crown,

    • (b) real property and immovables owned by Her Majesty in right of Canada that are, by virtue of a lease to a corporation included in Schedule III or IV, under the management, charge and direction of that corporation,

    • (c) immovables held under emphyteusis by Her Majesty in right of Canada that are under the administration of a minister of the Crown,

    • (d) a building owned by Her Majesty in right of Canada that is under the administration of a minister of the Crown and that is situated on tax exempt land owned by a person other than Her Majesty in right of Canada or administered and controlled by Her Majesty in right of a province, and

    • (e) real property and immovables occupied or used by a minister of the Crown and administered and controlled by Her Majesty in right of a province; (propriété fédérale)

    frontage or area tax

    frontage or area tax means any tax levied on the owners of real property or immovables that is computed by applying a rate to all or part of the assessed dimension of the property and includes any tax levied on the owners of real property or immovables that is in the nature of a local improvement tax, a development tax or a redevelopment tax, but does not include a tax in respect of mineral rights; (impôt sur la façade ou sur la superficie)

    Minister

    Minister means the Minister of Public Works and Government Services; (ministre)

    minister of the Crown

    minister of the Crown means a member of the Queen’s Privy Council for Canada in that member’s capacity of managing and directing or having responsibility for a department; (ministre fédéral)

    other attribute

    other attribute includes

    • (a) in relation to a tax levy for the purpose of financing all or part of the capital cost of a service to real property or immovables,

      • (i) the actual or estimated cost of constructing a new building,

      • (ii) the number of rooms, living units or beds in a building, or

      • (iii) the number of persons in occupancy of a building, and

    • (b) in relation to a tax levy for the purpose of financing all or part of the operating cost of a service to real property or immovables, any prescribed criteria; (autre élément)

    prescribed

    prescribed means prescribed by regulations made by the Governor in Council under section 9; (Version anglaise seulement)

    property dimension

    property dimension means the frontage, area, other dimension or other attribute that, in the opinion of the Minister, would be established by an assessment authority in respect of federal property as the basis for computing the amount of any frontage or area tax that would be applicable to that property if it were taxable property; (dimensions effectives)

    property value

    property value means the value that, in the opinion of the Minister, would be attributable by an assessment authority to federal property, without regard to any mineral rights or any ornamental, decorative or non-functional features thereof, as the basis for computing the amount of any real property tax that would be applicable to that property if it were taxable property; (valeur effective)

    real property tax

    real property tax means a tax of general application to real property or immovables or any class of them that is

    • (a) levied by a taxing authority on owners of real property or immovables or, if the owner is exempt from the tax, on lessees or occupiers of real property or immovables, other than those lessees or occupiers exempt by law, and

    • (b) computed by applying a rate to all or part of the assessed value of taxable property; (impôt foncier)

    taxation year

    taxation year means the fiscal year of a taxing authority; (année d’imposition)

    taxable property

    taxable property means real property and immovables in respect of which a person may be required by a taxing authority to pay a real property tax or a frontage or area tax; (propriété imposable)

    taxing authority

    taxing authority means

    • (a) any municipality, province, municipal or provincial board, commission, corporation or other authority that levies and collects a real property tax or a frontage or area tax pursuant to an Act of the legislature of a province,

    • (b) any council of a band within the meaning of the Indian Act that levies and collects a real property tax or a frontage or area tax pursuant to an Act of Parliament,

    • (c) the band, as defined in subsection 2(1) of the Naskapi and the Cree-Naskapi Commission Act, if it levies and collects a tax on interests in Category IA-N land as defined in that subsection,

    • (c.1) any Cree First Nation, as defined in subsection 2(2) of the Cree Nation of Eeyou Istchee Governance Agreement Act that levies and collects a tax on interests in Category IA land, as defined in that subsection,

    • (d) the Council within the meaning of the Sechelt Indian Band Self-Government Act, chapter 27 of the Statutes of Canada, 1986, if it levies and collects a real property tax or a frontage or area tax in respect of Sechelt lands, as defined in that Act,

    • (e) a first nation named in Schedule II to the Yukon First Nations Self-Government Act, if it levies and collects a real property tax or a frontage or area tax in respect of settlement land, as defined in that Act, or in respect of lands in which an interest is transferred or recognized under section 21 of that Act,

    • (f) the Nisga’a Nation or a Nisga’a Village, as defined in the Nisga’a Final Agreement given effect by the Nisga’a Final Agreement Act, if it levies and collects a real property tax or a frontage or area tax in respect of Nisga’a Lands, as defined in that Agreement,

    • (g) the Tlicho Government, as defined in section 2 of the Tlicho Land Claims and Self-Government Act, if it levies and collects a real property tax or a frontage or area tax in respect of Tlicho lands, as defined in section 2 of the Mackenzie Valley Resource Management Act,

    • (g.1) the Déline Got’ine Government, as defined in section 2 of the Déline Final Self-Government Agreement Act, if it levies and collects a real property tax or a frontage or area tax in respect of Déline Lands, as defined in 22.1.1 of the Déline Final Self-Government Agreement that is approved, given effect and declared valid by that Act,

    • (h) the Nunatsiavut Government, as defined in section 2 of the Labrador Inuit Land Claims Agreement Act, or an Inuit Community Government, as defined in section 1.1.1 of the Labrador Inuit Land Claims Agreement approved by that Act, if it levies and collects a real property tax or a frontage or area tax in respect of Labrador Inuit Lands or Community Lands, as defined in section 1.1.1 of that Agreement, as the case may be,

    • (h.1) the Tla’amin Government, as defined in subsection 2(2) of the Tla’amin Final Agreement Act, if it levies and collects a real property tax or a frontage or area tax in respect of Tla’amin Lands, as defined in that subsection,

    • (i) the Tsawwassen Government, as defined in subsection 2(2) of the Tsawwassen First Nation Final Agreement Act, if it levies and collects a real property tax or a frontage or area tax in respect of Tsawwassen Lands, as defined in that subsection, or

    • (j) a Maanulth Government, within the meaning of subsection 2(2) of the Maanulth First Nations Final Agreement Act, if it levies and collects a real property tax or a frontage or area tax in respect of Maanulth Lands, within the meaning of that subsection. (autorité taxatrice)

  • Marginal note:Deemed authority for purposes of the definition taxing authority

    (2) For the purposes of the definition taxing authority in subsection (1), where one authority collects a real property tax or a frontage or area tax that is levied by another authority, the authority that collects the tax shall be deemed to be the authority that levies and collects the tax.

  • Marginal note:Property not included in the definition federal property

    (3) For the purposes of the definition federal property in subsection (1), federal property does not include

    • (a) any structure or work, unless it is

      • (i) a building designed primarily for the shelter of people, living things, fixtures, personal property or movable property,

      • (ii) an outdoor swimming pool,

      • (iii) a golf course improvement,

      • (iv) a driveway for a single-family dwelling,

      • (v) paving or other improvements associated with employee parking, or

      • (vi) an outdoor theatre;

    • (b) any structure, work, machinery or equipment that is included in Schedule II;

    • (c) any real property or immovable developed and used as a park and situated within an area defined as urban by Statistics Canada, as of the most recent census of the population of Canada taken by Statistics Canada, other than national parks of Canada, national marine parks of Canada, national park reserves of Canada, national marine park reserves of Canada, national historic sites of Canada, national battlefields or heritage canals;

    • (d) any Indian reserve, or any land referred to in any of paragraphs (c) to (e) of the definition taxing authority in subsection 2(1), except for the part

      • (i) that is occupied for residential purposes by an employee of Her Majesty in right of Canada who would not, but for that employment, live on that reserve or land, or

      • (ii) that is occupied by a minister of the Crown;

    • (e) any real property or immovable for which an original Crown grant has not issued, except to the extent that it

      • (i) is designated for a specific use by or under an Act of Parliament, or

      • (ii) is used by an Indian within the meaning of the Indian Act or an Inuk and is prescribed under paragraph 9(1)(e);

    • (f) any real property for which an original Crown grant has not issued, except to the extent that it

      • (i) is reserved in the records of the Department of Indigenous Services at Whitehorse or Yellowknife for the use of a department or an agency of the Government of Canada, and is either situated within a municipality or, in the case of real property that is not situated within a municipality, used in accordance with the reservation, or

      • (ii) is situated within a municipality and is reserved in the records of the Department of Indigenous Services at Whitehorse or Yellowknife for the use of an Indian within the meaning of the Indian Act or an Inuk;

    • (g) any real property or immovable developed or used as a public highway that, in the opinion of the Minister, does not provide, as its primary function, immediate access to real property or immovables owned by Her Majesty in right of Canada; or

    • (h) unless otherwise prescribed, any real property or immovable leased to or occupied by a person or body, whether incorporated or not, that is not a department.

  • Marginal note:Effective rate — experimental farms

    (4) In determining the effective rate in respect of an experimental farm station, agricultural research station or other similar facility on federal property, the Minister shall take into account the rates of tax applicable to farms operated by agricultural enterprises.

  • R.S., 1985, c. M-13, s. 2
  • R.S., 1985, c. 20 (2nd Supp.), s. 5
  • 1991, c. 50, s. 32
  • 1992, c. 1, ss. 97, 141
  • 1994, c. 35, s. 37
  • 1996, c. 16, s. 60
  • 2000, c. 7, s. 25, c. 8, s. 3, c. 32, ss. 56, 70.1
  • 2003, c. 22, s. 224(E)
  • 2005, c. 1, s. 105, c. 27, ss. 20, 24
  • 2008, c. 32, s. 29
  • 2009, c. 18, s. 22
  • 2014, c. 11, s. 23
  • 2015, c. 24, s. 21
  • 2018, c. 4, s. 130
  • 2019, c. 29, s. 372
 
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