New Harmonized Value-added Tax System Regulations

Marginal note:Adaptation — paragraph 172.1(5)(c) of Act

• 58.59 (1) If a person is a participating employer of a pension plan that acquires property or a service for the purpose of making a supply of all or part of the property or service to a pension entity of the pension plan but not for the purpose of making a supply of any part of the property or service to a pension entity of the pension plan after September 2016, for the purposes of determining the value for B in paragraph 172.1(5)(c) of the Act, the amount for Prince Edward Island in respect of a taxable supply of all or part of the property or service deemed to have been made under paragraph 172.1(5)(a) of the Act is determined by adapting the description of F in paragraph 172.1(5)(c) of the Act to read as follows:

  F

  is the provincial factor in respect of the pension plan and the participating province for the particular fiscal year, determined as if the tax rate for Prince Edward Island on the last day of the particular fiscal year were 9%; and

• Marginal note:Adaptation — paragraph 172.1(5.1)(c) of Act

  (1.1) If a person acquires at any time property or a service for the purpose of making a supply of all or part of the property or service to a master pension entity for consumption, use or supply by the master pension entity in the course of pension activities in respect of any pension plan that is in the master pension group in respect of the person and the master pension entity at that time and if the acquisition is not for the purpose of making a supply after September 2016 of any part of the property or service to a master pension entity for consumption, use or supply by the master pension entity in the course of pension activities in respect of any pension plan that is in the master pension group in respect of the person and the master pension entity at that time, then, for the purposes of determining the value for B in paragraph 172.1(5.1)(c) of the Act, the amount for Prince Edward Island in respect of a taxable supply of all or part of the property or service deemed to have been made under paragraph 172.1(5.1)(a) of the Act is determined by adapting the description of G in paragraph 172.1(5.1)(c) of the Act to read as follows:

  G

  is the provincial factor in respect of the pension plan and the participating province for the particular fiscal year, determined as if the tax rate for Prince Edward Island on the last day of the particular fiscal year were 9%, and

• Marginal note:Adaptation — paragraphs 172.1(6)(c) and (7)(c) of Act

  (2) In respect of a fiscal year of a person that includes October 1, 2016, for the purposes of determining the value for B in paragraph 172.1(6)(c) of the Act and the value for B in paragraph 172.1(7)(c) of the Act, the amount for Prince Edward Island is determined by adapting the description of F in paragraph 172.1(6)(c) of the Act and the description of F in paragraph 172.1(7)(c) of the Act to read as follows:

  F

  is the provincial factor in respect of the pension plan and the participating province for the particular fiscal year, determined as if the tax rate for Prince Edward Island on the last day of the particular fiscal year were the rate determined by the formula

  9% + (1% × G/H)

  where

  G

  is the number of days in the particular fiscal year that are after September 2016, and

  H

  is the number of days in the particular fiscal year; and

• Marginal note:Adaptation — paragraph 172.1(6.1)(c) of Act

  (3) In respect of a fiscal year of a person that includes October 1, 2016, for the purposes of determining the value for B in paragraph 172.1(6.1)(c) of the Act, the amount for Prince Edward Island is determined by adapting the description of G in paragraph 172.1(6.1)(c) of the Act to read as follows:

  G

  is the provincial factor in respect of the pension plan and the participating province for the particular fiscal year, determined as if the tax rate for Prince Edward Island on the last day of the particular fiscal year were the rate determined by the formula

  9% + (1% × I/J)

  where

  I

  is the number of days in the particular fiscal year that are after September 2016, and

  J

  is the number of days in the particular fiscal year; and

• Marginal note:Adaptation — paragraph 172.1(7.1)(c) of Act

  (4) In respect of a fiscal year of a person that includes October 1, 2016, for the purposes of determining the value for B in paragraph 172.1(7.1)(c) of the Act, the amount for Prince Edward Island is determined by adapting the description of G in paragraph 172.1(7.1)(c) of the Act to read as follows:

  G

  is the provincial factor in respect of the particular pension plan and the participating province for the particular fiscal year, determined as if the tax rate for Prince Edward Island on the last day of the particular fiscal year were the rate determined by the formula

  9% + (1% × I/J)

  where

  I

  is the number of days in the particular fiscal year that are after September 2016, and

  J

  is the number of days in the particular fiscal year; and