New Harmonized Value-added Tax System Regulations, No. 2

Marginal note:Prescribed percentage — subsection 218.1(1.2) of Act

7.02 For the purposes of applying the description of A₂ in the second formula in paragraph 218.1(1.2)(a) of the Act, the description of B₂ in the third formula in paragraph 218.1(1.2)(a) of the Act and the description of D in paragraph 218.1(1.2)(b) of the Act in the determination, under subsection 218.1(1.2) of the Act, of an amount of tax in respect of a particular participating province,

• (a) the prescribed percentage in respect of an internal charge, as defined in subsection 217.1(4) of the Act, or an external charge or qualifying consideration, as those terms are defined in section 217 of the Act, for a specified year of a stratified investment plan with one or more provincial series is

  • (i) in the case of an internal charge, the total of all amounts, each of which is the extent (expressed as a percentage) to which the internal charge is attributable to outlays or expenses that were made or incurred to consume, use or supply the whole or part of property or of a qualifying service, as defined in that section, in respect of which the internal charge is attributable, in carrying on, engaging in or conducting an activity of the investment plan relating to a provincial series of the investment plan for the particular participating province, as determined in accordance with section 51 of the Selected Listed Financial Institutions Attribution Method (GST/HST) Regulations,

  • (ii) in the case of an external charge, the total of all amounts, each of which is the extent (expressed as a percentage) to which the whole or part of the outlay or expense, which corresponds to the external charge, was made or incurred to consume, use or supply the whole or part of property or of a qualifying service, as defined in that section, in respect of which the external charge is attributable, in carrying on, engaging in or conducting an activity of the investment plan relating to a provincial series of the investment plan for the particular participating province, as determined in accordance with section 51 of the Selected Listed Financial Institutions Attribution Method (GST/HST) Regulations, and

  • (iii) in the case of qualifying consideration, the total of all amounts, each of which is the extent (expressed as a percentage) to which the whole or part of the outlay or expense, which corresponds to the qualifying consideration, was made or incurred to consume, use or supply the whole or part of property or of a qualifying service, as defined in that section, in respect of which the qualifying consideration is attributable, in carrying on, engaging in or conducting an activity of the investment plan relating to a provincial series of the investment plan for the particular participating province, as determined in accordance with section 51 of the Selected Listed Financial Institutions Attribution Method (GST/HST) Regulations;

• (b) the prescribed percentage in respect of an internal charge, as defined in subsection 217.1(4) of the Act, or an external charge or qualifying consideration, as those terms are defined in section 217 of the Act, for a specified year of a provincial investment plan for the particular participating province is 100%; and

• (c) the prescribed percentage in respect of an internal charge, as defined in subsection 217.1(4) of the Act, or an external charge or qualifying consideration, as those terms are defined in section 217 of the Act, for a specified year of a provincial investment plan for a province other than the particular participating province is 0%.