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

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.