Excise Tax Act

Marginal note:Rebate of payment made in error

• 261 (1) Where a person has paid an amount

  • (a) as or on account of, or

  • (b) that was taken into account as,

  tax, net tax, penalty, interest or other obligation under this Part in circumstances where the amount was not payable or remittable by the person, whether the amount was paid by mistake or otherwise, the Minister shall, subject to subsections (2) to (3), pay a rebate of that amount to the person.

• Marginal note:Restriction

  (2) A rebate in respect of an amount shall not be paid under subsection (1) to a person to the extent that

  • (a) the amount was taken into account as tax or net tax for a reporting period of the person and the Minister has assessed the person for the period under section 296;

  • (b) the amount paid was tax, net tax, penalty, interest or any other amount assessed under section 296; or

  • (c) a rebate of the amount is payable under subsection 215.1(1) or (2) or 216(6) or a refund of the amount is payable under section 69, 73, 74 or 76 of the Customs Act because of subsection 215.1(3) or 216(7).

• Marginal note:Restriction — emission allowance

  (2.1) A rebate in respect of an amount paid in respect of a supply of an emission allowance is not to be paid under subsection (1) to a person unless

  • (a) the person paid the amount to the Receiver General; or

  • (b) prescribed circumstances exist or prescribed conditions are met.

• Marginal note:Application for rebate

  (3) A rebate in respect of an amount shall not be paid under subsection (1) to a person unless the person files an application for the rebate within two years after the day the amount was paid or remitted by the person.

• Marginal note:One application per month

  (4) Subject to subsections (5) and (6), not more than one application for a rebate under this section may be made by a person in any calendar month.

• Marginal note:Application by branches and divisions

  (5) Where a person who is entitled to a rebate under this section is engaged in one or more activities in separate branches or divisions and is authorized under subsection 239(2) to file separate returns under Division V in relation to a branch or division,

  • (a) the person may file separate applications under this section in respect of the branch or division; and

  • (b) not more than one application for a rebate under this section in respect of the branch or division may be made by the person in any calendar month.

• Marginal note:Application of s. 239

  (6) Where a person who has not made an application under section 239 is entitled to a rebate under this section and is engaged in one or more activities in separate branches or divisions,

  • (a) section 239 applies to the person as if the references therein to “commercial activities” were references to “activities”, as if the references therein to “returns under this Division” and “returns” were references to “applications under section 261”, and as if the references therein to “registrant” were references to “person”; and

  • (b) where, because of this subsection, the person is authorized under section 239 to file separate applications for rebates under this section in relation to a branch or division, not more than one application for a rebate under this section in respect of the branch or division may be made by the person in any calendar month.