Employment Insurance Act (S.C. 1996, c. 23)

Marginal note:Failure to file a return

• 152.27 (1) Every self-employed person who fails to file a return of their self-employed earnings for a year as and when required by section 152.22 is liable to a penalty of five per cent of the part of the amount of the premium required to be paid by them for the year that remained unpaid at the expiry of the time the return was required to be filed, except that, if that person is liable to a penalty under subsection 162(1) or (2) of the Income Tax Act in respect of the year, the Minister of National Revenue may reduce the penalty to which the person is liable under this section or may remit the penalty in whole or in part.

• Marginal note:Failure

  (2) Every person who fails to file a return as required by subsection 152.22(3) is liable to a penalty of $5 for each day of default, to a maximum of $50.

Marginal note:Application of Income Tax Act

• 152.28 (1) Subject to this Part and except as otherwise provided by regulation made under subsection (2), the provisions of Divisions I and J of Part I of the Income Tax Act with respect to payment of tax, assessments, objections to assessments, appeals, interest, penalties and excess refunds, and the provisions of Part XV of that Act (except section 221) and subsections 248(7) and (11) of that Act apply, with any modifications that the circumstances require, in relation to any amount paid or payable as or on account of the premium for a year in respect of self-employed earnings as though that amount were an amount paid or payable as or on account of tax under that Act.

• Marginal note:Regulations

  (2) The Minister of National Revenue may, with the approval of the Governor in Council, make regulations

  • (a) exempting any provision of Divisions I and J of Part I of the Income Tax Act from the application of subsection (1); or

  • (b) specifying that any provisions of either of those Divisions apply with the modifications specified in the regulations.

Marginal note:Priority in which payment to be applied

152.29 If any payment is made by a person to the Minister of National Revenue on account of taxes specified in section 228 of the Income Tax Act and of a premium under this Part in respect of self-employed earnings, despite any direction made by the person making the payment with respect to its application, the part of the payment that would be applied under that section in payment of tax under the Income Tax Act is, subject to section 37 of the Canada Pension Plan, to be applied in payment of a premium under this Part and is deemed to be a payment on account of the premium, and to the extent of the amount so applied, does not discharge liability for tax under the Income Tax Act, and any amount then remaining is to be applied in payment of tax under the Income Tax Act and discharges the liability of the person making the payment for that tax to the extent of that amount.

Marginal note:Refund of excess premium in respect of self-employed earnings

• 152.3 (1) If a self-employed person has paid, on account of the premium they are required to pay for a year in respect of their self-employed earnings, an amount in excess of the premium, the Minister of National Revenue

  • (a) may refund that part of the amount so paid in excess of the premium on sending the notice of assessment of the premium, without any application having been made for the refund; and

  • (b) shall make the refund after sending the notice of assessment, if an application for the refund is made in writing by the self-employed person not later than three years after the end of the year.

• Marginal note:Application

  (2) Subsections 96(11) to (13) apply in respect of refunds under subsection (1).

Application of other Provisions

Marginal note:Application of other provisions

• 152.31 (1) Subject to subsections (2) and (3), all the provisions of this Act, except sections 5 to 37, 48 and 56 to 65.2, that are not inconsistent with the provisions of this Part apply, with any modifications that the circumstances require, to this Part.

• Marginal note:Application of certain provisions

  (2) For the purposes of this Part,

  • (a) subsection 86(1) applies as though the reference to “an employer” in that subsection were a reference to “a self-employed person”; and

  • (b) subsection 88(5) applies as though the reference to “this Part” were a reference to “Part VII.1”.

• Marginal note:Application of section 102

  (3) Section 102 applies, with any modifications that the circumstances require, in respect of

  • (a) offences under paragraphs 106(4)(a), (d) and (e) committed in relation to any provision of this Part or regulations made under sections 152.26 and 152.28;

  • (b) offences under section 152.32; and

  • (c) any matter referred to in any of sections 152.21 to 152.3 or that relates to the application of any of those sections.

• Marginal note:Application of section 125

  (4) Section 125 applies in respect of

  • (a) offences under subsections 135(1) and 136(2) committed by self-employed persons and offences committed by them in relation to the contravention of any provision of regulations made under this Part, except regulations made under sections 152.26 and 152.28; and

  • (b) any matter referred to in this Part or that relates to the application of this Part, other than a matter referred to in any of sections 152.21 to 152.3 or in regulations made under sections 152.26 and 152.28.

Delegation

Marginal note:Delegation

152.311 The Minister of National Revenue may authorize an officer or a class of officers to exercise powers or perform duties of that Minister under this Part.

Offences

Marginal note:Offence and punishment

152.32 Every person who contravenes section 152.22 is guilty of an offence and, in addition to any penalty otherwise provided, is liable on summary conviction to a fine of not less than $25 a day for each day the offence continues, to a maximum of $1,000.

Regulations

Marginal note:Regulations

152.33 The Commission may, with the approval of the Governor in Council, make regulations

• (a) defining or determining what is a week of unemployment for a self-employed person;

• (b) setting out the circumstances under which agreements referred to in subsection 152.02(4) are deemed to be terminated;

• (c) fixing, for any year, an amount for the purposes of subparagraph 152.07(1)(d)(i), or establishing a manner for determining that amount, which amount may not be less than $6,000;

• (d) for determining the average number of weeks of benefits for the purposes of paragraph 152.07(3)(b);

• (e) specifying, for the purpose of subsection 152.03(4), the circumstances when self-employed persons are deemed to be not working; and

• (f) prescribing anything that by this Part is to be prescribed.

Review of this Part

Marginal note:Review of this Part

152.34 Five years after the day on which this Part comes into force, the Minister must cause a review of this Part and its administration and operation to be conducted.

PART VIIISelf-employed Persons Engaged in Fishing

Marginal note:Regulations

• 153 (1) Notwithstanding anything in this Act, the Commission may, with the approval of the Governor in Council, make such regulations as it deems necessary respecting the establishment and operation of a scheme of employment insurance for self-employed persons engaged in fishing, including regulations

  • (a) including as a self-employed person engaged in fishing any person engaged in an activity or occupation related to or incidental to fishing; and

  • (b) including as an employer of a self-employed person engaged in fishing any person with whom the self-employed person enters into a contractual or other commercial relationship in respect of their occupation as a self-employed person engaged in fishing.

• Marginal note:Scheme may be different

  (2) The scheme established by the regulations may, with respect to any matter, be different from the provisions of this Act relating to that matter.

• Marginal note:Tabling of regulation

  (3) The Minister shall table the regulations in the House of Commons within three sitting days after the day on which they are made.

• Marginal note:Motion to repeal

  (4) The regulations come into force on the 10th sitting day after the day on which they are tabled, or on any later day specified in the regulations, unless a motion to repeal them, signed by not fewer than 30 members of the House of Commons, is filed with the Speaker of the House of Commons before the 10th sitting day.

• Marginal note:Consideration

  (5) If a motion to repeal the regulations is filed with the Speaker of the House of Commons in accordance with subsection (4), it shall be taken up and considered by the House of Commons within five sitting days after the day on which it is filed.

• Marginal note:Time for disposition of motion

  (6) The motion shall be taken up after the ordinary hour of daily adjournment, for a period of not more than four hours, and at the end of the debate the Speaker of the House of Commons shall, without delay or further debate or amendment, put every question necessary for the disposition of the motion.

• Marginal note:Adoption or defeat of motion

  (7) If the motion is adopted, the regulations are repealed, and if the motion is defeated, the regulations come into force on the day after the day on which the motion is defeated or on any later day specified in the regulations.

• Marginal note:Regulation repealed

  (8) The regulations are repealed if Parliament is prorogued or dissolved before the motion is disposed of or, if no motion has been filed, before the end of the period mentioned in subsection (4).

• Definition of sitting day

  (9) For the purpose of this section, sitting day means a day on which the House of Commons is sitting.

PART VIII.1Alternate Access to Special Benefits

Marginal note:Regulations

• 153.1 (1) Despite anything in this Act, the Commission shall, with the approval of the Governor in Council, make any regulations it considers necessary respecting the establishment and operation of a scheme to ensure that special benefits are provided to insured persons who have at least 600 hours of insurable employment in their qualifying period but who do not qualify to receive benefits under section 7, including regulations

  • (a) for establishing requirements to qualify to receive the benefits, the duration of entitlement to the benefits, benefit rates, disentitlement and disqualification from receiving the benefits and benefit repayment requirements; and

  • (b) varying the application of any other provision of this Act in relation to persons who have made claims under this Part and who subsequently make claims under Part I or VIII.

• Marginal note:Scheme may be different

  (2) The scheme established by the regulations may, with respect to any matter, be different from the provisions of this Act relating to that matter.

• Marginal note:Limitation

  (3) The scheme established by the regulations may not provide special benefits to persons who are subject to an increase under section 7.1 in the number of hours of insurable employment required to qualify for benefits.

PART VIII.2Regulations — Provincial Plans

Marginal note:Regulations

• 153.2 (1) Despite any other provisions of this Act, if the Government of Canada has entered into an agreement with a province in respect of a provincial law that has the effect of reducing or eliminating special benefits, or benefits under Part VII.1, payable as described in subsection 69(2), the Commission may, with the approval of the Governor in Council, for the purposes of implementing the agreement and taking into account the application or effect of the provincial law, make any regulations that it considers necessary, including regulations

  • (a) respecting the manner in which and the extent to which any provision of this Act or the regulations applies; and

  • (b) adapting any provision of this Act or the regulations.

• Marginal note:Regulations

  (2) The regulations may provide for

  • (a) the making of any financial adjustments and for the crediting or charging of the amount of any of those adjustments to the Employment Insurance Operating Account, including

    • (i) refunds of overpayments with respect to employees’ premiums and premiums under Part VII.1,

    • (ii) adjustment payments between the prov­ince and the Government of Canada with respect to premiums, and

    • (iii) reimbursement by the province of benefits paid by the Government of Canada in accordance with any administrative agreement between the province and the Government of Canada;

  • (b) the exchange of any information obtained under the provincial law or this Act; and

  • (c) the administration of benefits payable under this Act to persons employed or residing in the province or who have made a claim under the provincial law — or to self-employed persons, within the meaning of subsection 152.01(1), who work or reside in the province or who have made a claim under the provincial law — and the increase or decrease in the amount of benefits payable and in the number of weeks for which benefits may be paid under this Act to and in respect of those persons.

PART VIII.3Interim Orders

Marginal note:COVID-19

• 153.3 (1) The Minister may, for the purpose of mitigating the economic effects of the coronavirus disease 2019 (COVID-19), make interim orders that

  • (a) add provisions, including provisions that provide for new benefits, to this Act or any regulation made under this Act;

  • (b) adapt provisions of this Act or any regulation made under this Act; or

  • (c) provide that any provisions of this Act or a regulation made under this Act do not apply in whole or in part.

• Marginal note:Restriction

  (2) An interim order is not to be made under subsection (1) in respect of Part IV or VII or in respect of a regulation made under this Act for the purposes of those Parts.

• Marginal note:Condition precedent — Minister of Finance

  (3) An interim order is not to be made under subsection (1) without the consent of the Minister of Finance.

• Marginal note:Condition precedent — President of the Treasury Board

  (4) An interim order is not to be made under subsection (1) in respect of Part III or in respect of a regulation made under this Act for the purposes of that Part without the additional consent of the President of the Treasury Board.

• Marginal note:Consultation with Commission

  (5) For greater certainty, the Minister may consult the Commission before making an interim order under subsection (1).

• Marginal note:Retroactive effect

  (6) An interim order made under subsection (1) may, if it so provides, have retroactive effect.

• Marginal note:Cessation of effect

  (7) An interim order made under subsection (1) must contain provisions that cause any provision added under paragraph (1)(a), any adaptation made under paragraph (1)(b) and any non-application provision made under paragraph (1)(c) to cease to apply on the earliest of

  • (a) the day, if any, specified in the interim order,

  • (b) the day on which the interim order is repealed, and

  • (c) the Saturday after the first anniversary of the day on which the interim order takes effect.

• Marginal note:Conflict

  (8) If an interim order made under subsection (1) or a provision added under paragraph (1)(a) provides that it applies despite any provision of this Act or any regulation made under this Act, the interim order or added provision prevails to the extent that it conflicts with this Act or any regulation made under this Act.

• Marginal note:Restriction

  (9) The power to make an interim order under subsection (1) is not to be exercised after September 30, 2020.