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Streamlined Accounting (GST/HST) Regulations (SOR/91-51)

Regulations are current to 2020-12-28 and last amended on 2019-06-21. Previous Versions

Streamlined Accounting (GST/HST) Regulations

SOR/91-51

EXCISE TAX ACT

Registration 1990-12-18

Streamlined Accounting (GST/HST) Regulations

P.C. 1990-2748 1990-12-18

His Excellency the Governor General in Council, on the recommendation of the Minister of Finance, pursuant to subsection 277(1)Footnote * of the Excise Tax Act, is pleased hereby to make the annexed Regulations prescribing streamlined accounting methods and other matters for the purposes of section 227 of the Excise Tax Act.

 [Repealed, SOR/2006-162, s. 6]

Interpretation

  •  (1) In these Regulations,

    Act

    Act means the Excise Tax Act; (Loi)

    basic groceries

    basic groceries[Repealed, SOR/99-368, s. 2]

    capital asset

    capital asset of a person means

    • (a) property that is, or would be if the person were a taxpayer under the Income Tax Act, capital property of the person within the meaning of that Act, and

    • (b) in respect of a supply that was made by the person at any time before January 1, 2017, property that was, or would have been if the person were a taxpayer under the Income Tax Act, eligible capital property of the person within the meaning of that Act as it read at that time; (bien immobilisé)

    consideration

    consideration, in respect of a supply, includes all amounts credited to the recipient of the supply in respect of a trade-in (within the meaning of subsection 153(4) of the Act) accepted in full or partial consideration for the supply or, if the supplier and the recipient are not dealing with each other at arm’s length at the time the supply is made and the amount credited to the recipient in respect of the trade-in exceeds the fair market value of the trade-in at the time ownership of it is transferred to the supplier, that fair market value; (contrepartie)

    Division II

    Division II, Division III, Division IV, Division IV.1 and Division V means Division II, III, IV, IV.1 and V, respectively, of Part IX of the Act; (section II, section III, section IV, section IV.1 et section V)

    election

    election means an election under subsection 227(1) of the Act. (choix)

    eligible capital property

    eligible capital property[Repealed, 2016, c. 12, s. 96]

    improvement

    improvement[Repealed, SOR/99-368, s. 2]

    medical device

    medical device[Repealed, SOR/99-368, s. 2]

    prescription drug

    prescription drug[Repealed, SOR/99-368, s. 2]

    retail establishment

    retail establishment[Repealed, SOR/99-368, s. 2]

  • (2) For the purposes of these Regulations, the basic threshold amount for a reporting period of a registrant is equal to the amount determined by the formula

    (A + B) × (365 / C)

    where

    A
    is the total of all consideration (other than consideration referred to in section 167.1 of the Act that is attributable to goodwill of a business) that became due, or was paid without having become due, to the registrant in the threshold period for the reporting period for taxable supplies (other than supplies of financial services, supplies by way of sale of real property or capital assets of the registrant and supplies deemed under subsection 177(1.2) of the Act to be made by the registrant) that are or would be, but for that subsection, made in Canada by the registrant;
    B
    is the total of all tax under Division II that became collectible in the threshold period in respect of taxable supplies (other than supplies of financial services, supplies by way of sale of real property or capital assets of the registrant and supplies deemed under subsection 177(1.2) of the Act to be made by the registrant) that are or would be, but for that subsection, made in Canada by the registrant; and
    C
    is the number of days in the threshold period.
  • (3) For the purposes of these Regulations, the total threshold amount for a reporting period of a registrant is equal to the total of

    • (a) the amount determined by the formula

      (A + B) × (365 / C)

      where

      A
      is the total of all consideration (other than consideration referred to in section 167.1 of the Act that is attributable to goodwill of a business) for taxable supplies (other than supplies of financial services and supplies by way of sale of real property or capital assets of the registrant) made by the registrant that became due, or was paid without having become due, to the registrant in the threshold period for the reporting period,
      B
      is the total of all tax under Division II that became collectible in the threshold period in respect of taxable supplies (other than supplies of financial services and supplies by way of sale of real property or capital assets of the registrant) made by the registrant, and
      C
      is the number of days in the threshold period, and
    • (b) the total of all amounts, each of which is an amount in respect of a person (in this paragraph referred to as the “associate”) who was associated with the registrant at the end of the particular fiscal year of the associate that is the last fiscal year of the associate ending in that threshold period, determined by the formula

      (D + E) × (365 / F)

      where

      D
      is the total of all consideration (other than consideration referred to in section 167.1 of the Act that is attributable to goodwill of a business) for taxable supplies (other than supplies of financial services and supplies by way of sale of real property or capital assets of the associate) made by the associate that became due, or was paid without having become due, to the associate in the particular fiscal year,
      E
      is the total of all tax under Division II that became collectible in the particular fiscal year in respect of taxable supplies (other than supplies of financial services and supplies by way of sale of real property or capital assets of the associate) made by the associate, and
      F
      is the number of days in the particular fiscal year.
  • SOR/99-368, s. 2
  • 2016, c. 12, s. 96

PARTS I TO III[Repealed, SOR/99-368, s. 3]

PART IVStreamlined Accounting Quick Method

Interpretation

[SOR/93-242, s. 2(E)]
  •  (1) In this Part,

    basic groceries

    basic groceries of a registrant means property acquired or imported by the registrant for the purpose of making a supply of the property that is included in Part III of Schedule VI to the Act; (produit alimentaire de base)

    cost

    cost, to a registrant in a threshold period, of tangible personal property of a particular class or kind acquired by the registrant for a particular purpose, means the amount determined by the formula

    (A + B + C) × (365 / D)

    where

    A
    is the total of all consideration that became due, or was paid without becoming due, by the registrant in the threshold period for taxable supplies made in Canada to the registrant of tangible personal property of that class or kind acquired by the registrant for that purpose,
    B
    is the total value of all tangible personal property of that class or kind, determined in accordance with section 215 of the Act, imported by the registrant for that purpose,
    C
    is the total of all tax under any of Divisions II to IV.1 that became payable by the registrant in the threshold period in respect of tangible personal property of that class or kind acquired, imported or brought into a participating province by the registrant for that purpose, and
    D
    is the number of days in the threshold period; (coût)
    specified property

    specified property, in respect of a person, means property of the person other than real property and capital assets of the person; (bien déterminé)

    specified registrant

    specified registrant, at any time, means a registrant who

    • (a) throughout the four fiscal quarters of the registrant immediately preceding the fiscal quarter of the registrant that includes that time,

      • (i) was not a listed financial institution,

      • (ii) did not render a legal, accounting or actuarial service in the course of a professional practice of the registrant, and

      • (iii) did not render a book-keeping, financial consulting, tax consulting or tax return preparation service in the course of a commercial activity of the registrant,

    • (b) at that time, is not a charity or a selected public service body within the meaning of section 259 of the Act, or a public institution, and

    • (c) is not a qualifying non-profit organization, within the meaning of section 259 of the Act,

      • (i) at the beginning of the reporting period of the registrant that includes that time, where that reporting period is the fiscal month or fiscal quarter of the registrant, and

      • (ii) at the end of the reporting period of the registrant that includes that time, in any other case; (inscrit déterminé)

    specified supply

    specified supply means a taxable supply other than

    • (a) a supply by way of sale of real property or capital assets of the supplier,

    • (b) a zero-rated supply,

    • (c) a supply that is deemed under section 172 or 175.1 of the Act to have been made or to which section 173 of the Act applies,

    • (d) a supply made outside Canada,

    • (e) a supply in respect of which the recipient is not required to pay tax because of an Act of Parliament unless, in the case of a supply to Her Majesty in right of a province, Her Majesty in right of that province has agreed, under an agreement with Her Majesty in right of Canada, to pay the tax under Part IX of the Act in respect of the supply,

    • (f) a supply to which subsection 177(1.1) of the Act applies, and

    • (g) a supply deemed under subsection 177(1) or (1.2) of the Act to have been made by a registrant acting as an agent for another person. (fourniture déterminée)

  • (2) For the purposes of this Part, if a registrant acquires, imports or brings into a participating province tangible personal property that is to be incorporated into or to form a constituent or component part of tangible personal property manufactured or produced in Canada by the registrant, the registrant is deemed to have acquired or imported the property, or brought it into a participating province, as the case may be, for the purpose of supply by way of sale.

  • (3) Subject to subsection (4), for the purposes of this Part, the threshold period for a particular reporting period of a registrant is

    • (a) where an election by the registrant to determine the net tax of the registrant in accordance with this Part becomes effective in the fiscal year of the registrant that includes the particular reporting period, any period that consists of four fiscal quarters of the registrant and ends in one of the last two fiscal quarters of the registrant immediately preceding the fiscal quarter of the registrant in which the election becomes effective; or

    • (b) where an election by the registrant to determine the net tax of the registrant in accordance with this Part became effective before, and is in effect at, the beginning of the particular fiscal year of the registrant that includes the particular reporting period, the fiscal year of the registrant immediately preceding the particular fiscal year.

  • (4) Where an election by a registrant to determine the net tax of the registrant in accordance with this Part becomes effective on January 1, 1991, the following rules apply:

    • (a) where the election is filed with the Minister after the end of any fiscal year of the registrant ending in 1990, the threshold period for all reporting periods of the registrant ending in the fiscal year of the registrant that includes January 1, 1991 is the last fiscal year of the registrant ending before the time that the election is so filed; and

    • (b) where the election is not filed with the Minister after the end of any fiscal year of the registrant ending in 1990 and the registrant elects to adopt the last fiscal year of the registrant ending before the time the election is filed with the Minister as the threshold period for all reporting periods of the registrant ending in the fiscal year of the registrant that includes January 1, 1991 for the purpose of determining under subsection (5) the quick-method rate of the registrant for those reporting periods, that last fiscal year is that threshold period for that purpose.

  • (5) The quick-method rate of a registrant for a particular reporting period that applies in respect of a supply made by the registrant is

    • (a) where the cost to the registrant, in the threshold period for the particular reporting period, of all tangible personal property (other than basic groceries of the registrant and property in respect of the acquisition of which the registrant was not required to pay tax) acquired by the registrant for the purpose of supply by way of sale by the registrant is equal to at least 40% of the basic threshold amount for the particular reporting period, determined without reference to supplies included in Part III of Schedule VI to the Act,

      • (i) if the registrant makes the supply through a permanent establishment of the registrant in Ontario,

        • (A) 4.4%, if the supply is made in Ontario,

        • (B) 6.1%, if the supply is made in Nova Scotia, New Brunswick, Prince Edward Island or Newfoundland and Labrador, and

        • (C) 0%, if the supply is made in a non-participating province,

        • (C.1) and (D) [Repealed, SOR/2016-212, s. 4]

      • (ii) if the registrant makes the supply through a permanent establishment of the registrant in Nova Scotia, New Brunswick, Prince Edward Island or Newfoundland and Labrador,

        • (A) 3.3%, if the supply is made in Ontario,

        • (B) 5%, if the supply is made in Nova Scotia, New Brunswick, Prince Edward Island or Newfoundland and Labrador, and

        • (C) 0%, if the supply is made in a non-participating province, and

        • (C.1) and (D) [Repealed, SOR/2016-212, s. 4]

      • (iii) if the registrant makes the supply through a permanent establishment of the registrant in a non-participating province,

        • (A) 8.8%, if the supply is made in Ontario,

        • (B) 10.4%, if the supply is made in Nova Scotia, New Brunswick, Prince Edward Island or Newfoundland and Labrador, and

        • (C) 1.8%, if the supply is made in a non-participating province; and

      • (iii.1) and (iv) [Repealed, SOR/2016-212, s. 4]

    • (b) in any other case,

      • (i) if the registrant makes the supply through a permanent establishment of the registrant in Ontario,

        • (A) 8.8%, if the supply is made in Ontario,

        • (B) 10.4%, if the supply is made in Nova Scotia, New Brunswick, Prince Edward Island or Newfoundland and Labrador, and

        • (C) 1.8%, if the supply is made in a non-participating province,

        • (C.1) and (D) [Repealed, SOR/2016-212, s. 4]

      • (ii) if the registrant makes the supply through a permanent establishment of the registrant in Nova Scotia, New Brunswick, Prince Edward Island or Newfoundland and Labrador,

        • (A) 8.4%, if the supply is made in Ontario,

        • (B) 10%, if the supply is made in Nova Scotia, New Brunswick, Prince Edward Island or Newfoundland and Labrador, and

        • (C) 1.4%, if the supply is made in a non-participating province, and

        • (C.1) and (D) [Repealed, SOR/2016-212, s. 4]

      • (iii) if the registrant makes the supply through a permanent establishment of the registrant in a non-participating province,

        • (A) 10.5%, if the supply is made in Ontario,

        • (B) 12%, if the supply is made in Nova Scotia, New Brunswick, Prince Edward Island or Newfoundland and Labrador, and

        • (C) 3.6%, if the supply is made in a non-participating province.

      • (iii.1) and (iv) [Repealed, SOR/2016-212, s. 4]

  • (5.01) For the purpose of determining under subsection (5) the quick-method rate applicable to a supply in respect of which the supplier is entitled to a deduction under subsection 234(3) of the Act, the supply is deemed to have been made in a non-participating province through a permanent establishment of the supplier in a non-participating province.

  • (5.02) For the purpose of determining under subsection (5) the quick-method rate of a registrant for a reporting period applicable to supplies made by the registrant through a permanent establishment of the registrant, the registrant may

    • (a) if substantially all of the specified supplies made by the registrant in the reporting period through that permanent establishment are made in a participating province, treat all of the specified supplies made by the registrant in the reporting period through that establishment as having been made in the participating province; and

    • (b) if substantially all of the specified supplies made by the registrant in the reporting period through that permanent establishment are made in non-participating provinces, treat all of the specified supplies made by the registrant in the reporting period through that establishment as having been made in a non-participating province.

  • (5.1) The net specified supplies of a registrant for a reporting period of the registrant is the amount determined by the formula

    A – B

    where

    A
    is the total of
    • (a) all consideration for specified supplies made by the registrant that became due, or was paid without having become due, to the registrant in the reporting period, and

    • (b) all amounts that became collectible, and all other amounts collected, by the registrant in the reporting period as or on account of tax under Division II in respect of specified supplies made by the registrant; and

    B
    is the total of all amounts each of which is an amount that the registrant has, in the reporting period, paid or credited to a person as or on account of
    • (a) a reduction in, or a rebate or refund of, all or part of the consideration for a specified supply made by the registrant to the person, or

    • (b) a refund of, or a credit for, tax under Division II charged to or collected from the person in respect of a specified supply made by the registrant.

  • (6) Where, at any time in the first fiscal quarter in a fiscal year of a registrant, the registrant ceases to be a registrant who may determine the net tax of the registrant in accordance with this Part or a revocation of an election by the registrant becomes effective, the quick-method rate for reporting periods of the registrant ending in that fiscal quarter is the quick-method rate for the reporting period of the registrant ending immediately before the beginning of that fiscal quarter.

  • (7) and (8) [Repealed, SOR/99-368, s. 4]

  • SOR/99-368, s. 4
  • SOR/2007-203, s. 1
  • SOR/2011-56, s. 18
  • SOR/2012-191, s. 13
  • SOR/2013-44, s. 5
  • 2016, c. 12, s. 97
  • SOR/2016-119, s. 4
  • SOR/2016-212, s. 4

Prescribed Registrants

  •  (1) Where

    • (a) a person is, at any time in a reporting period of the person, a specified registrant,

    • (b) the total threshold amount for the reporting period does not exceed $400,000, and

    • (c) the registrant was engaged in commercial activities throughout the 365-day period ending immediately before the beginning of the reporting period and an election of the registrant did not cease to have effect in that 365-day period because of a revocation of the election,

    the registrant is a registrant who may file an election, to take effect on the first day of the reporting period, to determine the net tax of the registrant in accordance with this Part.

  • (2) A registrant who has filed an election to determine the net tax of the registrant in accordance with this Part ceases to be a registrant who may so determine that net tax at the end of the earliest of

    • (a) the first fiscal year of the registrant that is a reporting period of the registrant in which the registrant ceases to be a specified registrant,

    • (b) the fiscal year of the registrant immediately before the first fiscal year of the registrant that is a reporting period of the registrant for which the total threshold amount exceeds $400,000,

    • (c) the first fiscal quarter of the registrant that includes a reporting period of the registrant for which the total threshold amount exceeds $400,000, and

    • (d) the fiscal quarter of the registrant immediately before the first fiscal quarter of the registrant that includes a reporting period of the registrant in which the registrant ceases to be a specified registrant.

  • SOR/99-368, s. 5
  • SOR/2012-191, s. 14

Calculation of Net Tax

  •  (1) Subject to subsection 21.3(1), if an election by a registrant to determine the net tax of the registrant in accordance with this Part is in effect during a particular reporting period of the registrant, the net tax of the registrant for the particular reporting period is equal to the positive or negative amount determined by the formula

    A + B - C - (1% × D)

    where

    A
    is the total of all amounts each of which is determined, in respect of all the particular supplies to which the same quick-method rate applies, by the formula

    E × F

    where

    E
    is the quick-method rate of the registrant for the particular reporting period that applies to the particular supplies, and
    F
    is the portion of the net specified supplies of the registrant for the particular reporting period attributable to the particular supplies;
    B
    is the total of
    • (a) all amounts that became collectible and all other amounts collected by the registrant in the particular reporting period as or on account of tax under Division II in respect of

      • (i) supplies (other than specified supplies) made by the registrant, and

      • (ii) supplies made on behalf of another person for whom the registrant acts as agent and in respect of which the registrant has made an election under subsection 177(1.1) of the Act,

    • (b) all amounts in respect of supplies (other than specified supplies) that are required under Division V to be added in determining the net tax for the particular reporting period, and

    • (c) the amount that is required under subsection 238.1(4) of the Act to be added in determining the net tax for the particular reporting period;

    C
    is the total of all amounts each of which is
    • (a) an input tax credit

      • (i) for the particular reporting period or a preceding reporting period of the registrant in respect of property (other than specified property) acquired, imported or brought into a participating province by the registrant or an improvement to that property,

      • (ii) for a reporting period of the registrant ending before the election became effective in respect of specified property or services (other than an improvement to property that is not specified property) acquired, imported or brought into a participating province by the registrant,

      • (iii) for the particular reporting period or a preceding reporting period of the registrant in respect of tangible personal property that is specified property acquired, imported or brought into a participating province by the registrant for the purpose of supply by way of sale and is deemed under subsection 177(1.2) of the Act to have been supplied by an auctioneer acting as agent for the registrant or is supplied by a person acting as agent for the registrant in circumstances in which subsection 177(1.1) of the Act applies, or

      • (iv) for the particular reporting period or a preceding reporting period of the registrant during which the election was in effect in respect of tangible personal property that is deemed under paragraph 180(e) of the Act to have been acquired by the registrant and under subsection 177(1) or (1.2) of the Act to have been supplied by the registrant,

      that is claimed in the return filed under Division V by the registrant for the particular reporting period,

    • (b) an amount in respect of a supply (other than a specified supply) that may be deducted by the registrant under Division V in determining the net tax for the particular reporting period and that is claimed in the return under Division V filed by the registrant for the particular reporting period,

    • (c) an amount equal to 2.8% of the portion of the registrant’s net specified supplies for the particular reporting period that is attributable to supplies which are made through a permanent establishment of the registrant in Ontario and to which the quick-method rate of 0% applies, or

    • (d) an amount equal to 4% of the portion of the registrant’s net specified supplies for the particular reporting period that is attributable to supplies which are made through a permanent establishment of the registrant in Nova Scotia, New Brunswick, Prince Edward Island or Newfoundland and Labrador and to which the quick-method rate of 0% applies; and

    • (e) [Repealed, SOR/2012-191, s. 15]

    • (f) [Repealed, SOR/2016-212, s. 5]

    D
    is
    • (a) where the election was not in effect,

      • (i) if the registrant became a registrant on a day in the registrant’s fiscal year that includes the particular reporting period, on that day, or

      • (ii) in any other case, on the first day of that fiscal year,

      nil,

    • (b) if the total net specified supplies of the registrant for all reporting periods of the registrant in that fiscal year during which the registrant was a registrant that end before the particular reporting period is equal to or greater than $30,000, nil, and

    • (c) in any other case,

      • (i) if the particular reporting period is the first reporting period in that fiscal year during which the registrant was a registrant, the lesser of the net specified supplies of the registrant for the particular reporting period and $30,000, and

      • (ii) if the particular reporting period is not the first reporting period in that fiscal year during which the registrant was a registrant, the lesser of

        • (A) the net specified supplies of the registrant for the particular reporting period, and

        • (B) the amount by which $30,000 exceeds the total net specified supplies of the registrant for all reporting periods of the registrant in that fiscal year during which the registrant was a registrant that end before the particular reporting period.

  • (2) For the purposes of paragraphs (b) and (c) of the description of E in subsection (1), the first reporting period of a registrant beginning after 1993 in a fiscal year of the registrant beginning before 1994 is deemed to be the first reporting period of the registrant in that fiscal year.

  • SOR/99-368, s. 6
  • SOR/2007-203, s. 2
  • SOR/2011-56, s. 19
  • SOR/2012-191, s. 15
  • SOR/2013-44, s. 6
  • SOR/2016-119, s. 5
  • SOR/2016-212, s. 5

Rules for New Registrants

[SOR/93-242, s. 2; SOR/99-368, s. 7]
  •  (1) For the purposes of this Part, where, on the first day of a reporting period of a registrant, the registrant has not been engaged in commercial activities throughout the 365 day period ending immediately before that day and it is reasonable to expect that the registrant will be, at the beginning of the particular fiscal year that is the first fiscal year of the registrant beginning at least 365 days after the registrant began to engage in commercial activities, a registrant who may file an election to determine the net tax of the registrant in accordance with this Part,

    • (a) the registrant is a registrant who may file an election, to take effect on that day, to determine the net tax of the registrant in accordance with this Part; and

    • (b) the quick-method rate of the registrant for reporting periods of the registrant ending before the beginning of the particular fiscal year is the rate prescribed by subsection 15(5) that is reasonable in the circumstances.

    • (c) and (d) [Repealed, SOR/99-368, s. 8]

  • (2) to (4) [Repealed, SOR/99-368, s. 8]

  • SOR/93-242, s. 2
  • SOR/99-368, s. 8

PART VSpecial Quick Method for Public Service Bodies

Interpretation

  •  (1) In this Part,

    designated supply

    designated supply means

    • (a) a supply by way of sale of real property or capital assets of the supplier,

    • (b) a supply included in Part V of Schedule VI to the Act, and

    • (c) a supply made to Her Majesty in right of a province unless Her Majesty in right of that province has agreed, under an agreement with Her Majesty in right of Canada, to pay the tax under Part IX of the Act in respect of the supply; (fourniture désignée)

    retail establishment

    retail establishment of a registrant means a shop or store of the registrant at which the registrant primarily carries on the business of making supplies of property or services to consumers attending at the shop or store; (établissement de détail)

    specified facility operator

    specified facility operator means a non-profit organization that operates, otherwise than for profit, a health care facility within the meaning of paragraph (c) of the definition of that expression in section 1 of Part II of Schedule V to the Act; (exploitant d’établissement déterminé)

    specified property

    specified property[Repealed, 2016, c. 12, s. 98]

    specified supply

    specified supply, in respect of a registrant, means

    • (a) a supply by way of sale of real property,

    • (b) a supply by way of sale of a capital asset of the registrant that has a fair market value at the time of the supply of at least $10,000,

    • (c) a supply made by the registrant by way of sale of a capital asset of the registrant if the registrant has claimed, or is entitled to claim, an input tax credit in respect of the last supply to, or importation by, the registrant of the capital asset,

    • (d) a supply deemed under subsection 172(2), section 175.1 or subsection 183(5) or (6) of the Act to have been made by the registrant or a supply by the registrant to which subsection 173(1) of the Act applies,

    • (e) a zero-rated supply,

    • (f) a supply made outside Canada,

    • (g) a supply in respect of which the recipient is not required to pay tax because of an Act of Parliament unless, in the case of a supply to Her Majesty in right of a province, Her Majesty in right of that province has agreed, under an agreement with Her Majesty in right of Canada, to pay the tax under Part IX of the Act in respect of the supply,

    • (h) a supply to which subsection 177(1.1) of the Act applies, and

    • (i) a supply deemed under subsection 177(1) or (1.2) of the Act to have been made by a registrant acting as an agent for another person. (fourniture déterminée)

  • (2) For the purposes of this Part, the expressions external supplier, facility operator, municipality, qualifying non-profit organization and selected public service body have the meanings assigned by section 259 of the Act.

  • (3) Subject to this Part, the special quick-method rate of a registrant that applies, for a reporting period in a particular fiscal year of the registrant, in respect of a particular supply made by the registrant is

    • (a) in the case of a registrant that makes the particular supply in the course of an activity engaged in by the registrant acting in the registrant’s capacity as a specified facility operator, a qualifying non-profit organization, or a charity that is designated under section 178.7 of the Act, and not as a selected public service body,

      • (i) if the registrant makes the particular supply through a permanent establishment of the registrant in Ontario,

        • (A) 9.9%, if the particular supply is made in Ontario,

        • (B) 11.4%, if the particular supply is made in Nova Scotia, New Brunswick, Prince Edward Island or Newfoundland and Labrador, and

        • (C) 3%, if the particular supply is made in a non-participating province,

        • (C.1) and (D) [Repealed, SOR/2016-212, s. 6]

      • (ii) if the registrant makes the particular supply through a permanent establishment of the registrant in Nova Scotia, New Brunswick or Newfoundland and Labrador,

        • (A) 8.4%, if the particular supply is made in Ontario,

        • (B) 10%, if the particular supply is made in Nova Scotia, New Brunswick, Prince Edward Island or Newfoundland and Labrador, and

        • (C) 1.4%, if the particular supply is made in a non-participating province,

        • (C.1) and (D) [Repealed, SOR/2016-212, s. 6]

      • (iii) if the registrant makes the particular supply through a permanent establishment of the registrant in Prince Edward Island,

        • (A) 7.7%, if the particular supply is made in Ontario,

        • (B) 9.3%, if the particular supply is made in Nova Scotia, New Brunswick, Prince Edward Island or Newfoundland and Labrador, and

        • (C) 0.7%, if the particular supply is made in a non-participating province, and

      • (iv) if subparagraphs (i) to (iii) do not apply,

        • (A) 10.5%, if the particular supply is made in Ontario,

        • (B) 12%, if the particular supply is made in Nova Scotia, New Brunswick, Prince Edward Island or Newfoundland and Labrador, and

        • (C) 3.6%, if the particular supply is made in a non-participating province;

      • (iv.1) and (v) [Repealed, SOR/2016-212, s. 6]

    • (b) in the case of a registrant that makes the particular supply in the course of an activity engaged in by the registrant acting in the registrant’s capacity as a school authority,

      • (i) if the registrant makes the particular supply through a permanent establishment of the registrant in Ontario,

        • (A) 11%, if the particular supply is made in Ontario,

        • (B) 12.6%, if the particular supply is made in Nova Scotia, New Brunswick, Prince Edward Island or Newfoundland and Labrador, and

        • (C) 4.2%, if the particular supply is made in a non-participating province,

        • (C.1) and (D) [Repealed, SOR/2016-212, s. 6]

      • (ii) if the registrant makes the particular supply through a permanent establishment of the registrant in Nova Scotia,

        • (A) 10.4%, if the particular supply is made in Ontario,

        • (B) 12%, if the particular supply is made in Nova Scotia, New Brunswick, Prince Edward Island or Newfoundland and Labrador, and

        • (C) 3.6%, if the particular supply is made in a non-participating province,

        • (C.1) and (D) [Repealed, SOR/2016-212, s. 6]

      • (iii) if the registrant makes the particular supply through a permanent establishment of the registrant in New Brunswick, Prince Edward Island or Newfoundland and Labrador,

        • (A) 8.8%, if the particular supply is made in Ontario,

        • (B) 10.4%, if the particular supply is made in Nova Scotia, New Brunswick, Prince Edward Island or Newfoundland and Labrador, and

        • (C) 1.9%, if the particular supply is made in a non-participating province, and

        • (C.1) [Repealed, SOR/2016-119, s. 6]

        • (D) [Repealed, SOR/2016-212, s. 6]

      • (iv) if subparagraphs (i) to (iii) do not apply,

        • (A) 11.1%, if the particular supply is made in Ontario,

        • (B) 12.7%, if the particular supply is made in Nova Scotia, New Brunswick, Prince Edward Island or Newfoundland and Labrador, and

        • (C) 4.4%, if the particular supply is made in a non-participating province;

      • (iv.1) and (v) [Repealed, SOR/2016-212, s. 6]

    • (c) in the case of a registrant that makes the particular supply in the course of an activity engaged in by the registrant in the registrant’s capacity as a university or public college,

      • (i) if supplies made in the ordinary course of business through vending machines operated by the registrant and retail establishments of the registrant (other than a restaurant, cafeteria, pub or similar establishment) at which the registrant primarily makes supplies of tangible personal property account for at least 25% of the amount determined by the formula

        (A + B) × (365 / C)

        where

        A
        is the total of all consideration for taxable supplies (other than designated supplies) made in Canada by the registrant that became due, or was paid without becoming due, to the registrant in the fiscal year of the registrant immediately preceding the particular fiscal year,
        B
        is the total of all tax under Division II that became collectible in the fiscal year of the registrant immediately before the particular fiscal year in respect of taxable supplies (other than supplies by way of sale of real property or capital assets of the registrant) made by the registrant, and
        C
        is the number of days in the fiscal year of the registrant immediately preceding the particular fiscal year, and
        • (A) if the registrant makes the particular supply through a permanent establishment of the registrant in Ontario,

          • (I) 10.2%, if the particular supply is made in Ontario,

          • (II) 11.8%, if the particular supply is made in Nova Scotia, New Brunswick, Prince Edward Island or Newfoundland and Labrador, and

          • (III) 3.3%, if the particular supply is made in a non-participating province,

          • (III.1) and (IV) [Repealed, SOR/2016-212, s. 6]

        • (B) if the registrant makes the particular supply through a permanent establishment of the registrant in Nova Scotia,

          • (I) 9.6%, if the particular supply is made in Ontario,

          • (II) 11.2%, if the particular supply is made in Nova Scotia, New Brunswick, Prince Edward Island or Newfoundland and Labrador, and

          • (III) 2.7%, if the particular supply is made in a non-participating province,

          • (III.1) and (IV) [Repealed, SOR/2016-212, s. 6]

        • (C) if the registrant makes the particular supply through a permanent establishment of the registrant in New Brunswick, Prince Edward Island or Newfoundland and Labrador,

          • (I) 7%, if the particular supply is made in Ontario,

          • (II) 8.6%, if the particular supply is made in Nova Scotia, New Brunswick, Prince Edward Island or Newfoundland and Labrador, and

          • (III) 0%, if the particular supply is made in a non-participating province, and

          • (III.1) [Repealed, SOR/2016-119, s. 6]

          • (IV) [Repealed, SOR/2016-212, s. 6]

        • (D) if clauses (A) to (C) do not apply,

          • (I) 10.9%, if the particular supply is made in Ontario,

          • (II) 12.4%, if the particular supply is made in Nova Scotia, New Brunswick, Prince Edward Island or Newfoundland and Labrador, and

          • (III) 4.1%, if the particular supply is made in a non-participating province, and

        • (D.1) and (E) [Repealed, SOR/2016-212, s. 6]

      • (ii) when subparagraph (i) does not apply,

        • (A) if the registrant makes the particular supply through a permanent establishment of the registrant in Ontario,

          • (I) 10.7%, if the particular supply is made in Ontario,

          • (II) 12.3%, if the particular supply is made in Nova Scotia, New Brunswick, Prince Edward Island or Newfoundland and Labrador, and

          • (III) 3.9%, if the particular supply is made in a non-participating province,

          • (III.1) and (IV) [Repealed, SOR/2016-212, s. 6]

        • (B) if the registrant makes the particular supply through a permanent establishment of the registrant in Nova Scotia,

          • (I) 10.4%, if the particular supply is made in Ontario,

          • (II) 12%, if the particular supply is made in Nova Scotia, New Brunswick, Prince Edward Island or Newfoundland and Labrador, and

          • (III) 3.6%, if the particular supply is made in a non-participating province,

          • (III.1) and (IV) [Repealed, SOR/2016-212, s. 6]

        • (C) if the registrant makes the particular supply through a permanent establishment of the registrant in New Brunswick, Prince Edward Island or Newfoundland and Labrador,

          • (I) 8.9%, if the particular supply is made in Ontario,

          • (II) 10.5%, if the particular supply is made in Nova Scotia, New Brunswick, Prince Edward Island or Newfoundland and Labrador, and

          • (III) 2%, if the particular supply is made in a non-participating province, and

          • (III.1) [Repealed, SOR/2016-119, s. 6]

          • (IV) [Repealed, SOR/2016-212, s. 6]

        • (D) if clauses (A) to (C) do not apply,

          • (I) 11.1%, if the particular supply is made in Ontario,

          • (II) 12.7%, if the particular supply is made in Nova Scotia, New Brunswick, Prince Edward Island or Newfoundland and Labrador, and

          • (III) 4.4%, if the particular supply is made in a non-participating province;

        • (D.1) and (E) [Repealed, SOR/2016-212, s. 6]

    • (d) in the case of a registrant that makes the particular supply in the course of an activity engaged in by the registrant acting in the registrant’s capacity as an external supplier, a facility operator or a hospital authority,

      • (i) if the registrant makes the particular supply through a permanent establishment of the registrant in Ontario,

        • (A) 11%, if the particular supply is made in Ontario,

        • (B) 12.5%, if the particular supply is made in Nova Scotia, New Brunswick, Prince Edward Island or Newfoundland and Labrador, and

        • (C) 4.2%, if the particular supply is made in a non-participating province,

        • (C.1) and (D) [Repealed, SOR/2016-212, s. 6]

      • (ii) if the registrant makes the particular supply through a permanent establishment of the registrant in Nova Scotia,

        • (A) 10.8%, if the particular supply is made in Ontario,

        • (B) 12.4%, if the particular supply is made in Nova Scotia, New Brunswick, Prince Edward Island or Newfoundland and Labrador, and

        • (C) 4%, if the particular supply is made in a non-participating province,

        • (C.1) and (D) [Repealed, SOR/2016-212, s. 6]

      • (iii) if the registrant makes the particular supply through a permanent establishment of the registrant in New Brunswick, Prince Edward Island or Newfoundland and Labrador,

        • (A) 8.5%, if the particular supply is made in Ontario,

        • (B) 10.1%, if the particular supply is made in Nova Scotia, New Brunswick, Prince Edward Island or Newfoundland and Labrador, and

        • (C) 1.6%, if the particular supply is made in a non-participating province, and

        • (C.1) [Repealed, SOR/2016-119, s. 6]

        • (D) [Repealed, SOR/2016-212, s. 6]

      • (iv) if subparagraphs (i) to (iii) do not apply,

        • (A) 11.3%, if the particular supply is made in Ontario,

        • (B) 12.8%, if the particular supply is made in Nova Scotia, New Brunswick, Prince Edward Island or Newfoundland and Labrador, and

        • (C) 4.5%, if the particular supply is made in a non-participating province; and

      • (iv.1) and (v) [Repealed, SOR/2016-212, s. 6]

    • (e) in the case of a registrant that makes the particular supply in the course of an activity engaged in by the registrant acting in the registrant’s capacity as a municipality,

      • (i) if the registrant makes the particular supply through a permanent establishment of the registrant in Ontario,

        • (A) 11.1%, if the particular supply is made in Ontario,

        • (B) 12.6%, if the particular supply is made in Nova Scotia, New Brunswick, Prince Edward Island or Newfoundland and Labrador, and

        • (C) 4.3%, if the particular supply is made in a non-participating province,

        • (C.1) and (D) [Repealed, SOR/2016-212, s. 6]

      • (ii) if the registrant makes the particular supply through a permanent establishment of the registrant in Nova Scotia, New Brunswick or Newfoundland and Labrador,

        • (A) 10.5%, if the particular supply is made in Ontario,

        • (B) 12.1%, if the particular supply is made in Nova Scotia, New Brunswick, Prince Edward Island or Newfoundland and Labrador, and

        • (C) 3.7%, if the particular supply is made in a non-participating province,

        • (C.1) and (D) [Repealed, SOR/2016-212, s. 6]

      • (iii) [Repealed, SOR/2016-119, s. 6]

      • (iii.1) if the registrant makes the particular supply through a permanent establishment of the registrant in Prince Edward Island,

        • (A) 9.2%, if the particular supply is made in Ontario,

        • (B) 10.8%, if the particular supply is made in Nova Scotia, New Brunswick, Prince Edward Island or Newfoundland and Labrador, and

        • (C) 2.3%, if the particular supply is made in a non-participating province, and

        • (D) [Repealed, SOR/2016-212, s. 6]

      • (iv) [Repealed, SOR/2016-212, s. 6]

      • (v) if subparagraphs (i) to (iii.1) do not apply,

        • (A) 11.5%, if the particular supply is made in Ontario,

        • (B) 13%, if the particular supply is made in Nova Scotia, New Brunswick, Prince Edward Island or Newfoundland and Labrador, and

        • (C) 4.7%, if the particular supply is made in a non-participating province.

        • (C.1) and (D) [Repealed, SOR/2016-212, s. 6]

  • (4) For the purpose of determining under subsection (3) the special quick-method rate applicable to a supply in respect of which the supplier is entitled to a deduction under subsection 234(3) of the Act,

    • (a) the supply is deemed to have been made in a non-participating province; and

    • (b) the supplier is deemed to have made the supply through a permanent establishment of the supplier in a non-participating province.

  • (5) For the purpose of determining under subsection (3) the special quick-method rate of a registrant for a reporting period, the registrant may,

    • (a) if substantially all of the supplies (other than specified supplies) made in the reporting period by the registrant through a permanent establishment of the registrant are made in a participating province, treat all of the supplies made by the registrant in the reporting period through that establishment as having been made in the participating province; and

    • (b) if substantially all of the supplies (other than specified supplies) made in the reporting period by the registrant through a permanent establishment of the registrant are made in non-participating provinces, treat all of the supplies made by the registrant in the reporting period through that establishment as having been made in a non-participating province.

  • SOR/99-368, s. 9
  • SOR/2002-272, s. 1
  • SOR/2007-203, s. 3
  • SOR/2011-56, s. 20
  • SOR/2012-191, s. 16
  • SOR/2013-44, s. 7
  • 2016, c. 12, s. 98
  • SOR/2016-4, s. 3
  • SOR/2016-119, s. 6
  • SOR/2016-212, s. 6

Prescribed Registrant

  •  (1) A registrant (other than a listed financial institution and a prescribed registrant for the purposes of subsection 188(5) of the Act) that is, on the first day of a reporting period of the registrant, a specified facility operator, a qualifying non-profit organization, a charity that is designated under section 178.7 of the Act or a selected public service body is a registrant who may file an election, to take effect on that day, to determine the net tax of the registrant in accordance with this Part if an election by the registrant did not cease to have effect in the 365-day period ending immediately before that day because of a revocation of the election.

  • (2) A registrant that is a non-profit organization (other than a selected public service body and a specified facility operator) that has filed an election to determine the net tax of the registrant in accordance with this Part ceases to be a registrant who may so determine that net tax immediately before the beginning of any fiscal year of the registrant in which the registrant is not a qualifying non-profit organization

    • (a) at the end of the year where that year is a reporting period of the registrant; or

    • (b) at the beginning of the year in any other case.

  • SOR/99-368, s. 10
  • SOR/2002-272, s. 2

Calculation of Net Tax

  •  (1) Subject to subsections (2) and 21.3(1), if an election by a registrant to determine the net tax of the registrant in accordance with this Part is in effect during a particular reporting period of the registrant, the net tax of the registrant for the particular reporting period is equal to the positive or negative amount determined by the formula

    A + B - C

    where

    A
    is the total of all amounts each of which is determined, in respect of all the particular supplies to which the same special quick-method rate applies, by the formula

    D × (E - F)

    where

    D
    is the special quick-method rate of the registrant for the particular reporting period that applies to the particular supplies,
    E
    is the total of
    • (a) all consideration that became due, or was paid without becoming due, to the registrant in the particular reporting period for the particular supplies that are taxable supplies (other than designated supplies, supplies of financial services, specified supplies and supplies deemed under section 181.1 or subsection 200(2) of the Act to have been made) made in Canada by the registrant, and

    • (b) all amounts that became collectible, and all other amounts collected, by the registrant in the particular reporting period as or on account of tax under Division II in respect of the particular supplies that are taxable supplies (other than specified supplies and supplies deemed under section 181.1 or subsection 200(2) of the Act to have been made) made by the registrant, and

    F
    is the total of all amounts each of which is an amount that the registrant has, in the particular reporting period, paid or credited to a person as or on account of
    • (a) a reduction in, or a rebate or refund of, all or part of the consideration for a particular supply (other than a designated supply or a specified supply) made in Canada by the registrant, or

    • (b) a refund of, or a credit for, tax under Division II charged to or collected from the person in respect of a particular supply (other than a specified supply);

    B
    is the total of
    • (a) all amounts each of which is an amount that became collectible, or was collected, by the registrant in the particular reporting period as or on account of tax under Division II in respect of

      • (i) specified supplies made by the registrant, or

      • (ii) supplies made on behalf of another person for whom the registrant acts as agent and in respect of which the registrant has made an election under subsection 177(1.1) of the Act,

    • (b) all amounts in respect of specified supplies that are required under Division V to be added in determining the net tax for the particular reporting period,

    • (b.1) the amount required under subsection 238.1(4) of the Act to be added in determining the net tax for the particular reporting period,

    • (c) all amounts each of which is an amount of tax that is deemed under subsection 200(2) of the Act to have been collected by the registrant in the particular reporting period or a preceding reporting period of the registrant in respect of a supply (other than a specified supply), to the extent that the registrant applies for a rebate of the amount in an application filed under section 259 of the Act for the particular reporting period, and

    • (d) all amounts each of which is an amount of tax

      • (i) that the registrant is deemed, under subsection 199(3) of the Act, to have paid in the particular reporting period or a preceding reporting period of the registrant in respect of a supply of property, and

      • (ii) in respect of which the registrant applies for a rebate in an application filed under section 259 of the Act for the particular reporting period,

      to the extent that the registrant was previously deemed, under subsection 200(2) of the Act, to have collected tax in respect of a supply of the property and that supply was not a specified supply; and

    C
    is the total of
    • (a) all amounts each of which is an input tax credit of the registrant

      • (i) for the particular reporting period or a preceding reporting period of the registrant during which the election was in effect in respect of real property acquired by way of purchase by the registrant or an improvement to the property,

      • (ii) for the particular reporting period or a preceding reporting period of the registrant during which the election was in effect in respect of a supply by way of sale to, importation by, or bringing into a participating province by, the registrant of personal property that is acquired, imported or brought into the participating province by the registrant for use as a capital asset of the registrant and that has a fair market value at the time of the supply or bringing into the province, or a value as determined under section 215 of the Act at the time of the importation, of at least $10,000,

      • (iii) for the particular reporting period or a preceding reporting period of the registrant during which the election was in effect in respect of an improvement to a capital asset (other than real property) of the registrant, if the registrant has claimed, or is entitled to claim, an input tax credit in respect of the last supply to, or importation by, the registrant of the capital asset,

      • (iv) for a reporting period of the registrant ending before the election became effective,

      • (v) for the particular reporting period or a preceding reporting period of the registrant during which the election was in effect in respect of tangible personal property (other than property referred to in subparagraph (ii)) that is acquired, imported or brought into a participating province for supply by way of sale and is deemed under subsection 177(1.2) of the Act to have been supplied by an auctioneer acting as agent for the registrant or is supplied by a person acting as agent for the registrant in circumstances in which subsection 177(1.1) applies, or

      • (vi) for the particular reporting period or a preceding reporting period of the registrant during which the election was in effect in respect of tangible personal property that is deemed under paragraph 180(e) of the Act to have been acquired by the registrant and under subsection 177(1) or (1.2) of the Act to have been supplied by the registrant,

      and is claimed in the return under Division V filed by the registrant for the particular reporting period,

    • (b) all amounts in respect of specified supplies that may be deducted under Division V in determining the net tax for the particular reporting period and that are claimed in the return under Division V filed by the registrant for the particular reporting period, and

    • (c) an amount that may be deducted under paragraph 346(1)(a) of the Act in determining the net tax for the particular reporting period.

  • (2) Subject to subsection 21.3(1), if a registrant carries on the business of supplying telephone services, electricity or natural gas in a separate division or department of the registrant and an election by the registrant to determine the net tax of the registrant in accordance with this Part is in effect during a particular reporting period of the registrant, the net tax of the registrant for the particular reporting period is equal to the positive or negative amount determined by the formula

    A + B

    where

    A
    is the amount that would be the net tax of the registrant for the particular reporting period determined under subsection (1) if the registrant did not carry on the business and all property and services acquired, imported or brought into a participating province by the registrant otherwise than primarily for consumption, use or supply in the course of carrying on the business were the only property and services acquired, imported or brought by the registrant; and
    B
    is the amount that would be the net tax of the registrant for the particular reporting period determined in accordance with section 225 of the Act if the business were the only activity engaged in by the registrant and the property and services acquired, imported or brought into a participating province by the registrant primarily for consumption, use or supply in the course of the business were the only property and services acquired, imported or brought by the registrant.
  • (3) If an election by a registrant that is a university or public college to determine the net tax for reporting periods of the registrant in accordance with this Part becomes effective in the particular fiscal year of the registrant that is the first fiscal year of the registrant in which the registrant carries on the business of making taxable supplies through a retail establishment (other than a restaurant, cafeteria, pub or similar establishment) and those supplies are primarily supplies of tangible personal property, the special quick-method rate for a particular supply made by the registrant in the course of an activity that the registrant engages in acting in the registrant’s capacity as a university or public college and for reporting periods of the registrant ending in the particular fiscal year is, if it is reasonable to expect that the special quick-method rate for such a supply and for reporting periods of the registrant ending in the fiscal year of the registrant immediately following the particular fiscal year will be a particular percentage set out in subparagraph 19(3)(c)(i), that particular percentage.

  • SOR/99-368, s. 11
  • SOR/2006-162, s. 7(E)
  • SOR/2007-203, s. 4
  • SOR/2011-56, s. 21
  • 2016, c. 12, s. 99

PART V.1Streamlined Input Tax Credit Method

Interpretation

  •  (1) For the purposes of this Part, the threshold amount for a fiscal year of a registrant is equal to the total of

    • (a) the amount determined by the formula

      A × 365/B

      where

      A
      is the total of all consideration (other than consideration referred to in section 167.1 of the Act that is attributable to goodwill of a business) for taxable supplies (other than supplies of financial services and supplies by way of sale of real property that is capital property of the registrant) made by the registrant that became due, or was paid without having become due, to the registrant in the immediately preceding fiscal year (in this subsection referred to as the “base year”) of the registrant, and
      B
      is the number of days in the base year, and
    • (b) the total of all amounts each of which is an amount, in respect of a person (in this paragraph referred to as the “associate”) who was associated with the registrant at the end of the particular fiscal year of the associate that is the last fiscal year of the associate ending in the base year, determined by the formula

      C × 365/D

      where

      C
      is the total of all consideration (other than consideration referred to in section 167.1 of the Act that is attributable to goodwill of a business) for taxable supplies (other than supplies of financial services and supplies by way of sale of real property that is capital property of the associate) made by the associate that became due, or was paid without having become due, to the associate in the particular fiscal year, and
      D
      is the number of days in the particular fiscal year.
  • (2) For the purposes of this Part, the threshold amount for a particular fiscal quarter in a particular fiscal year of a registrant is equal to the total of

    • (a) the total of all consideration (other than consideration referred to in section 167.1 of the Act that is attributable to goodwill of a business) for taxable supplies (other than supplies of financial services and supplies by way of sale of real property that is capital property of the registrant) made by the registrant that became due, or was paid without having become due, to the registrant in the preceding fiscal quarters in the particular fiscal year, and

    • (b) the total of all amounts each of which is an amount in respect of a person (in this paragraph referred to as the “associate”) who was associated with the registrant at the beginning of the particular fiscal quarter equal to the total of all consideration (other than consideration referred to in section 167.1 of the Act that is attributable to goodwill of a business) for taxable supplies (other than supplies of financial services and supplies by way of sale of real property that is capital property of the associate) made by the associate that became due, or was paid without having become due, to the associate in the fiscal quarters of the associate that end in the particular fiscal year of the registrant before the beginning of the particular fiscal quarter of the registrant.

  • (3) For the purposes of this Part, the purchase threshold for a fiscal year of a registrant is equal to the total of all amounts each of which

    • (a) is an amount that became due, or was paid without having become due, by the registrant in the immediately preceding fiscal year for a taxable supply, other than a zero-rated supply, of property or a service that was acquired in Canada by the registrant or was acquired outside Canada by the registrant and imported by the registrant; and

    • (b) is either

      • (i) included in determining the cost to the registrant of the property or service for the purposes of the Income Tax Act, or

      • (ii) tax payable by the registrant in respect of the acquisition or importation of the property or service.

  • (4) For the purposes of this Part, the purchase threshold of a registrant for a particular day is equal to the total of all amounts each of which

    • (a) is an amount that, on or before the particular day and in the fiscal year of the registrant that includes the particular day, became due, or was paid without having become due, by the registrant for a taxable supply, other than a zero-rated supply, of property or a service that was acquired in Canada by the registrant or was acquired outside Canada by the registrant and imported by the registrant; and

    • (b) is either

      • (i) included in determining the cost to the registrant of the property or service for the purposes of the Income Tax Act, or

      • (ii) tax payable by the registrant in respect of the acquisition or importation of the property or service.

  • (5) For the purposes of this Part, if any consideration for a supply of property or a service is deemed by section 152 of the Act to become due on any day and an amount of a tax, duty or fee that is

    has not become due on or before that day, that amount of the tax, duty or fee is deemed to have become due on that day.

  • SOR/99-368, s. 12

Prescribed Registrants

  •  (1) A registrant is a prescribed registrant who may make an election, to take effect on the first day of a reporting period of the registrant, to determine the net tax of the registrant in accordance with this Part if

    • (a) the threshold amount for the fiscal year of the registrant that includes the reporting period does not exceed $1,000,000;

    • (b) if the fiscal quarter of the registrant that includes the reporting period is not the first fiscal quarter in the fiscal year, the threshold amount for the fiscal quarter does not exceed $1,000,000;

    • (c) the purchase threshold for the fiscal year does not exceed $4,000,000;

    • (d) if the registrant is a public service body, it is reasonable to expect at the beginning of the reporting period that the purchase threshold for the registrant’s next fiscal year will not exceed $4,000,000; and

    • (e) the registrant is not a person described in paragraph 149(1)(a) of the Act at the beginning of the reporting period.

  • (2) A registrant who has elected to determine the net tax of the registrant in accordance with this Part ceases to be a registrant who may so determine that net tax at the earliest of

    • (a) if the threshold amount for the second or third fiscal quarter in a fiscal year of the registrant exceeds $1,000,000, the end of the first fiscal quarter in that fiscal year for which the threshold amount exceeds $1,000,000,

    • (b) if the threshold amount for a fiscal year of the registrant exceeds $1,000,000, the end of the first fiscal quarter in that fiscal year,

    • (c) if the registrant is not a public service body and the purchase threshold of the registrant for a particular day exceeds $4,000,000, the end of the immediately preceding day,

    • (d) if the registrant is a public service body and the purchase threshold for a fiscal year of the registrant exceeds $4,000,000, the end of the first fiscal quarter in that fiscal year, and

    • (e) if the registrant becomes a person described in paragraph 149(1)(a) of the Act during a fiscal quarter of the registrant, the end of that fiscal quarter.

  • SOR/99-368, s. 12
  • SOR/2012-191, s. 17

Calculation of Net Tax

  •  (1) If an election by a registrant to determine the net tax of the registrant in accordance with this Part is in effect during a reporting period of the registrant, the net tax of the registrant for the reporting period is, subject to this Part, the positive or negative amount of net tax for the reporting period determined in accordance with

    • (a) if the registrant has filed an election to determine the net tax of the registrant in accordance with Part IV that is in effect during the reporting period, Part IV;

    • (b) if the registrant has filed an election to determine the net tax of the registrant in accordance with Part V that is in effect during the reporting period, Part V; and

    • (c) in any other case, subsection 225(1) of the Act.

  • (2) If personal property or a service is supplied in Canada to a registrant by another person, or tangible personal property is supplied outside Canada to a registrant by another person and imported by the registrant, and the registrant is entitled to claim an input tax credit in respect of the property or service for any reporting period of the registrant, for the purposes of determining

    • (a) an input tax credit of the registrant in respect of the property or service for a particular reporting period of the registrant, and

    • (b) an amount that is required by subsection 235(1) of the Act to be added in determining the net tax of the registrant for any reporting period,

    for the purposes of this Part, the amount of tax under Division II or III, as the case may be, that became payable, or was paid without having become payable, by the registrant during the particular reporting period in respect of the supply or importation of the property or service is deemed to be equal to the amount determined by the formula

    A × B

    where

    A
    is the amount determined by the formula

    C / D

    where

    C
    is
    • (i) if tax under subsection 165(2) or section 212.1 of the Act was payable in respect of the supply or importation, the total of the rate set out in subsection 165(1) of the Act and the tax rate of the participating province that applied in respect of the supply or importation, and

    • (ii) in any other case, the rate set out in subsection 165(1) of the Act, and

    D
    is the total of 100% and the percentage determined for C, and
    B
    is the total of all amounts each of which is
    • (a) the consideration that became due, or was paid without having become due, by the registrant during the period in respect of the supply of the property or service to the registrant,

    • (b) the tax under Division II or III that became payable, or was paid without having become payable, by the registrant during the period in respect of the supply or importation of the property or service,

    • (c) in the case of tangible personal property that was imported by the registrant, the amount of a tax or duty imposed in respect of the property under the Act (other than Part IX), the Customs Act, the Special Import Measures Act or any other law relating to customs, that became due, or was paid without having become due, by the registrant during the period,

    • (d) the amount of a tax, duty or fee prescribed by paragraph 3(b) or (c) of the Taxes, Duties and Fees (GST/HST) Regulations that became due, or was paid without having become due, by the registrant during the period in respect of the property or service, other than tax imposed under an Act of a legislature of a province to the extent that the tax is recoverable by the registrant under that Act,

    • (e) a reasonable gratuity paid by the registrant during the period in connection with the supply, or

    • (f) interest, a penalty or other amount paid by the registrant during the period if the amount was charged to the registrant by the supplier because an amount of consideration, or an amount of a tax, duty or fee referred to in paragraph (c) or (d), that was payable in respect of the supply or importation was overdue.

  • (3) Subsection (2) does not apply to a passenger vehicle or aircraft acquired or imported by a registrant who is an individual or a partnership for use as capital property of the registrant otherwise than exclusively in commercial activities of the registrant.

  • (4) For the purposes of this Part, if any of paragraphs 13(7)(g) to (i) of the Income Tax Act deems an amount to be the capital cost to a registrant of a passenger vehicle for the purposes of section 13 of that Act, the amount, if any, by which

    • (a) the total of all amounts each of which is an amount of tax that is deemed by subsection (2) to have become payable, or to have been paid without having become payable, by the registrant in respect of the acquisition or importation of the vehicle or the acquisition or importation of an improvement to the vehicle,

    exceeds

    • (b) the amount determined by the formula

      A × B

      where

      A
      is the amount determined by the formula

      C / D

      where

      C
      is
      • (i) if tax under subsection 165(2) or section 212.1 of the Act was payable in respect of the acquisition or importation, the total of the rate set out in subsection 165(1) of the Act and the tax rate of the participating province that applied in respect of the acquisition or importation, and

      • (ii) in any other case, the rate set out in subsection 165(1) of the Act, and

      D
      is the total of 100% and the percentage determined for C, and
      B
      is the amount deemed by any of paragraphs 13(7)(g) to (i) of the Income Tax Act to be the capital cost to the registrant of the vehicle for the purposes of section 13 of that Act,

    shall not be included in determining an input tax credit of the registrant for any reporting period of the registrant.

  • (5) For the purpose of determining, in accordance with this Part, an input tax credit of a partnership, an employer, a charity or a public institution that pays an amount as a reimbursement in respect of property or a service acquired or imported by a member of the partnership, an employee of the employer or a volunteer who has given services to the charity or public institution and in respect of which the member, employee or volunteer was liable to pay tax under Division II or III, the amount of that tax is deemed, for the purpose of applying section 175 of the Act, to be equal to the amount that would be determined under subsection (2) if that subsection applied to the acquisition or importation by the member, employee or volunteer.

  • SOR/99-368, s. 12
  • SOR/2007-203, s. 5
  • 2019, c. 29, s. 80
  •  (1) An amount shall not be included in determining the value of B in subsection 21.3(2) in respect of a reporting period of a registrant during which an election to determine the net tax of the registrant in accordance with this Part is in effect if the amount became payable, or was paid without having become payable, by the registrant while the election was not in effect.

  • (2) If an election to determine the net tax of a registrant in accordance with this Part ceases to have effect during a reporting period of the registrant and tax under Division II or III becomes payable or is paid without having become payable by the registrant, after the election ceases to have effect but during the period, in respect of a supply or importation of property or a service, for the purposes referred to in paragraphs 21.3(2)(a) or (b), the amount of tax that became payable or was paid without having become payable by the registrant during the period in respect of that supply or importation is, despite subsection 21.3(2), deemed to be equal to the total of

    • (a) the amount that would, but for this subsection, be determined under subsection 21.3(2) in respect of that supply or importation, and

    • (b) the tax under Division II or III that became payable or was paid without having become payable by the registrant, after the election ceased to have effect but during the period, in respect of that supply or importation.

  • SOR/99-368, s. 12

Prescribed Part

 This Part is a prescribed Part for the purposes of subsection 227(4.2) of the Act.

  • SOR/99-368, s. 12

PART VIPrescribed Input Tax Credits

 Where an election by a registrant to determine the net tax of the registrant in accordance with any Part of these Regulations ceases at any time to have effect, every input tax credit that the registrant would have been entitled to include in determining the net tax for a reporting period of the registrant ending at or before that time, but for the fact that the registrant did not claim the input tax credit in any return under Division V filed by the registrant for a reporting period of the registrant ending at or before that time, is a prescribed input tax credit for the purposes of subsection 227(5) of the Act that the registrant may claim in a return filed for a reporting period of the registrant ending after that time.

  • SOR/93-242, s. 2(E)

PART VIIGeneral Rules

 [Repealed, SOR/99-368, s. 13]

  •  (1) Subsections 225(2) to (3.1) of the Act apply, with any modifications that the circumstances require, for the purpose of determining the net tax for a reporting period of a registrant in accordance with any Part of these Regulations.

  • (2) For the purposes of these Regulations, if, under subsection 168(3), (6) or (7) of the Act, tax under Division II in respect of a supply of property or a service becomes payable by a registrant on a particular day,

    • (a) the consideration on which that tax is calculated, and

    • (b) any tax, duty or fee prescribed by paragraph 3(b) or (c) of the Taxes, Duties and Fees (GST/HST) Regulations that is payable by the registrant in respect of the property or service and has not become due on or before that day,

    is deemed to have become due on that day.

  • (3) For the purposes of determining any amount in accordance with these Regulations, other than an amount of net tax that is required by these Regulations to be determined in accordance with subsection 225(1) of the Act, the following rules apply:

    • (a) where at any time a supplier, in full or partial consideration for a supply of property or a service, accepts a coupon, voucher or other device (other than a gift certificate) that may be exchanged for the property or service or that entitles the recipient of the supply to a reduction of, or a discount on, the price of the property or service, and the supplier is entitled to be paid by another person an amount for the redemption of the coupon, voucher or device, the coupon, voucher or device shall be deemed to be consideration for the supply and tax calculated on that consideration shall be deemed to have become collectible, and to have been collected, at that time;

    • (b) where the consideration for a supply shown in the invoice in respect of the supply may be reduced if the amount thereof is paid within a time specified in the invoice and that consideration is so reduced, the consideration for the supply shall be deemed to be equal to the reduced amount of consideration and the total tax collected or collectible in respect of the supply shall be deemed to be equal to the tax calculated on the reduced amount of consideration;

    • (c) if consideration, or a part of it, for a taxable supply (other than a supply by way of sale of real property) made by a supplier in the course of activities engaged in by the supplier in a branch or division of the supplier becomes due, or is paid without having become due, to the supplier at a time when the branch or division is a small supplier division (within the meaning of subsection 129(1) of the Act), that consideration or part, as the case may be, is deemed not to be consideration for a taxable supply; and

    • (d) if property or a service is acquired by a person for consumption, use or supply in the course of activities engaged in by the person in a branch or division of the person and, at a time when the branch or division is a small supplier division (within the meaning of subsection 129(1) of the Act), an amount becomes due, or is paid without having become due, by the person for the supply of the property or service to the person, the amount shall not be included in determining the purchase threshold under subsection 21.1(3) for any fiscal year of the person.

  • (4) For the purpose of determining any amount in accordance with Part IV of these Regulations, other than an amount of net tax that is required by these Regulations to be determined in accordance with subsection 225(1) of the Act, if at any time a registrant, who has filed an election that is in effect at that time, makes a taxable supply of property or a service to a person with whom the registrant is not dealing at arm’s length for no consideration or for consideration less than the fair market value of the property or service at that time, the supply is deemed to have been made for consideration, paid at that time, equal to that fair market value and tax calculated on that consideration is deemed to have become collectible, and to have been collected, at that time.

  • SOR/99-368, s. 14
  • SOR/2019-59, s. 12(F)

RELATED PROVISIONS

  • — SOR/99-368, s. 15

      • 15 (1) Section 1 and subsection 2(2) are deemed to have come into force on April 1, 1997.

      • (2) The repeal of the definitions basic groceries, medical device, prescription drug and retail establishment in subsection 2(1) of the Regulations, as enacted by subsection 2(1), section 3, subsections 4(4) and 5(1), the definition retail establishment in subsection 19(1) of the Regulations, as enacted by subsection 9(3), and subsections 10(2), 13(2) and 14(4) apply for the purpose of determining the net tax of a registrant for reporting periods

        • (a) beginning after 1994 if the registrant’s election to determine net tax in accordance with any of Parts I to III of the Regulations was in effect on June 1, 1993, and

        • (b) beginning after June 1, 1993, in any other case,

        except that, for reporting periods beginning before 1997, the reference to “a specified facility operator” in subsection 20(1) of the Regulations, as enacted by subsection 10(2), shall be read as a reference to “a charity”.

      • (3) The repeal of the definition improvement in subsection 2(1) of the Regulations, as enacted by subsection 2(1), is deemed to have come into force on April 24, 1996.

      • (4) Subsection 2(3) is deemed to have come into force on March 1, 1994.

      • (5) Subsection 2(4) applies to trade-ins accepted as full or partial consideration if that consideration becomes due after June 30, 1997 or is paid after that day without having become due.

      • (6) Subsection 2(6) applies for the purpose of determining the basic threshold amount used in determining the quick-method rate that applies to supplies made after November 26, 1997.

      • (7) Subsections 2(5), (7) and (8), 6(1) and 11(1) and (8), sections 21.1 to 21.4 of the Regulations, as enacted by section 12, and subsections 13(1) and 14(1) and (3) apply for the purpose of determining the net tax of a registrant for reporting periods that are fiscal years ending after 1992 or fiscal months or fiscal quarters ending after February 1993, except that

        • (a) before April 1997, the reference to “(GST/HST)” in paragraph 21.1(5)(a) of the Regulations, as enacted by section 12, in paragraph (d) of the description of B in subsection 21.3(2) of the Regulations, as enacted by section 12, and in paragraph 24(2)(b) of the Regulations, as enacted by subsection 14(1), shall be read as a reference to “(GST)”;

        • (b) with respect to reporting periods of a registrant beginning

          • (i) before 1995, in the case of a registrant whose election to determine net tax in accordance with any of Parts I to III of the Regulations was in effect on June 1, 1993, and

          • (ii) on or before June 1, 1993, in the case of any other registrant,

          the portion of subsection 21.2(1) of the Regulations before paragraph (a), as enacted by section 12, shall be read as follows:

            • 21.2 (1) Subject to section 23, a registrant is a prescribed registrant who may make an election, to take effect on the first day of a reporting period of the registrant, to determine the net tax of the registrant in accordance with this Part if

        • (c) paragraphs 21.2(1)(c) and (d) and (2)(c) and (d) of the Regulations, as enacted by section 12, do not apply to fiscal years beginning before July 1993;

        • (d) the description of A in subsection 21.3(2) of the Regulations, as enacted by section 12, shall, before April 1997, be read as follows:

          A
          is the tax fraction, and
        • (e) the description of A in subsection 21.3(4) of the Regulations, as enacted by section 12, shall, before April 1997, be read as follows:

          A
          is the tax fraction, and
        • (f) in applying subsection 21.3(5) of the Regulations, as enacted by section 12, before 1997, it shall be read as if no reference were made to a public institution; and

        • (g) the reference in subsection 24(1) of the Regulations, as enacted by subsection 14(1), to “Subsections 225(2) to (3.1)” shall, before April 23, 1996, be read as a reference to “Subsections 225(2) and (3)”.

      • (8) Subsection 4(1) applies to property acquired, imported or brought into a participating province, as the case may be, after March 1997.

      • (9) Subsections 4(3) and 9(2) apply to supplies made after November 26, 1997.

      • (10) Subsections 6(3) and 11(7) apply to input tax credits in respect of property the supply of which is deemed to be made by an agent under subsection 177(1) or (1.2) of the Excise Tax Act, as enacted by subsection 26(1) of An Act to amend the Excise Tax Act, the Federal-Provincial Fiscal Arrangements Act, the Income Tax Act, the Debt Servicing and Reduction Account Act and related Acts, chapter 10 of the Statutes of Canada, 1997, except that, before April 1997, subparagraph (a)(v) of the description of C in subsection 21(1) of the Regulations, as enacted by subsection 11(7), shall be read without reference to the bringing of property into a participating province.

      • (11) The definition specified facility operator in subsection 19(1) of the Regulations, as enacted by subsection 9(3), and subsections 9(4) and 10(3) apply for the purpose of determining the net tax of a registrant for reporting periods beginning after 1996.

      • (12) Paragraph (c) of the definition specified supply in subsection 15(1) of the Regulations, as enacted by subsection 4(2), paragraph (d) of the definition specified supply in subsection 19(1) of the Regulations, as enacted by subsection 9(1), and subsections 11(2) and 14(2) are deemed to have come into force on December 31, 1990 except that in their application to supplies deemed to have been made before April 24, 1996, those paragraphs shall be read without reference to supplies deemed to have been made under section 175.1 of the Excise Tax Act.

      • (13) Paragraphs (b), (d) and (e) of the definition specified supply in subsection 15(1) of the Regulations, as enacted by subsection 4(2), subsections 4(5) and (7), paragraph 16(1)(b) of the Regulations, as enacted by subsection 5(2), subsections 5(3), 6(2) and 8(1) and the repeal of subsections 18(2) and (4) of the Regulations, as enacted by subsection 8(2), apply for the purpose of determining the net tax of a registrant for any reporting period beginning after

        • (a) June 1993, if the reporting period is a fiscal year of the registrant, and

        • (b) 1993, in any other case,

        except that

        • (c) subsections 4(7) and 5(3) do not apply for the purpose of determining the net tax of a registrant

          • (i) for the first reporting period of the registrant beginning after June 1993, if the reporting period was a fiscal year of the registrant and the registrant’s election to determine net tax in accordance with Part IV of the Regulations was in effect on June 1, 1993, and

          • (ii) for any reporting period beginning before 1995, if the reporting period of the registrant was not a fiscal year of the registrant and the registrant’s election to determine net tax in accordance with Part IV of the Regulations was in effect in the last reporting period of the registrant beginning before 1994, and

        • (d) paragraph (c) of the description of C in subsection 17(1) of the Regulations, as enacted by subsection 6(2), applies for the purpose of determining the net tax of a registrant for reporting periods beginning after March 1994.

      • (14) Paragraph (f) of the definition specified supply in subsection 15(1) of the Regulations, as enacted by subsection 4(2), and paragraph (h) of the definition specified supply in subsection 19(1) of the Regulations, as enacted by subsection 9(1), apply to supplies in respect of which an election is made under subsection 177(1.1) of the Excise Tax Act, as enacted by subsection 26(1) of An Act to amend the Excise Tax Act, the Federal-Provincial Fiscal Arrangements Act, the Income Tax Act, the Debt Servicing and Reduction Account Act and related Acts, chapter 10 of the Statutes of Canada, 1997.

      • (15) Subsections 4(6), 6(4), 9(5) to (9) and 11(3), (6) and (9) apply for the purpose of determining the net tax of a registrant for reporting periods ending after March 1997, except that

        • (a) the quick-method rate of a registrant for the reporting period of the registrant that includes April 1, 1997 and applies in respect of a supply is, in respect of consideration for the supply that is paid or becomes due before that day, the rate that would be the quick-method rate of the registrant for that period if those subsections did not come into force;

        • (b) the special quick-method rate of a registrant for the reporting period of the registrant that includes April 1, 1997 and applies in respect of a supply is, in respect of consideration for the supply that is paid or becomes due before that day, the rate that would apply in respect of the supply if those subsections did not come into force;

        • (c) the quick-method rate of a registrant for a reporting period of the registrant that ends before or includes July 1, 1997 and applies in respect of a supply is, in respect of consideration for the supply that is paid or becomes due before July 1, 1997, the rate that would apply if paragraph 15(5)(a) of the Regulations, as enacted by subsection 4(6), were read without reference to the words “and property in respect of the acquisition of which the registrant was not required to pay tax”;

        • (d) for the purpose of determining the net tax of a registrant for any reporting period beginning before November 27, 1997 and ending after April 1, 1997,

          • (i) the reference in subparagraph 15(5)(b)(iii) of the Regulations, as enacted by subsection 4(6), to “3.2%” shall be read as a reference to “2.7%”,

          • (ii) the reference in paragraph (c) of the description of C in subsection 17(1) of the Regulations, as enacted by subsection 6(4), to “2.1%” shall be read as a reference to “2.6%”,

          • (iii) the reference in clause 19(3)(a)(i)(B) of the Regulations, as enacted by subsection 9(5), to “3.2%” shall be read as a reference to “2.7%”,

          • (iv) the reference in clause 19(3)(b)(i)(B) of the Regulations, as enacted by subsection 9(5), to “5.4%” shall be read as a reference to “4.9%”,

          • (v) the reference in clause 19(3)(b)(ii)(A) of the Regulations, as enacted by subsection 9(5), to “10.7%” shall be read as a reference to “10.4%”,

          • (vi) the reference in clause 19(3)(b)(ii)(B) of the Regulations, as enacted by subsection 9(5), to “4.1%” shall be read as a reference to “2.4%”,

          • (vii) the reference in subclause 19(3)(c)(i)(A)(II) of the Regulations, as enacted by subsection 9(8), to “4.5%” shall be read as a reference to “4%”,

          • (viii) the reference in subclause 19(3)(c)(i)(B)(I) of the Regulations, as enacted by subsection 9(8), to “9.1%” shall be read as a reference to “8.8%”,

          • (ix) the reference in subclause 19(3)(c)(i)(B)(II) of the Regulations, as enacted by subsection 9(8), to “2.3%” shall be read as a reference to “0.8%”,

          • (x) the reference in subclause 19(3)(c)(ii)(A)(II) of the Regulations, as enacted by subsection 9(8), to “5.4%” shall be read as a reference to “4.9%”,

          • (xi) the reference in subclause 19(3)(c)(ii)(B)(I) of the Regulations, as enacted by subsection 9(8), to “10.8%” shall be read as a reference to “10.5%”,

          • (xii) the reference in subclause 19(3)(c)(ii)(B)(II) of the Regulations, as enacted by subsection 9(8), to “4.1%” shall be read as a reference to “2.5%”,

          • (xiii) the reference in clause 19(3)(d)(i)(B) of the Regulations, as enacted by subsection 9(9), to “5.8%” shall be read as a reference to “5.3%”,

          • (xiv) the reference in clause 19(3)(d)(ii)(A) of the Regulations, as enacted by subsection 9(9), to “10.6%” shall be read as a reference to “8.8%”,

          • (xv) the reference in clause 19(3)(d)(ii)(B) of the Regulations, as enacted by subsection 9(9), to “3.9%” shall be read as a reference to “0.8%”,

          • (xvi) the reference in clause 19(3)(e)(i)(B) of the Regulations, as enacted by subsection 9(9), to “5%” shall be read as a reference to “4.4%”, and

          • (xvii) the reference in clause 19(3)(e)(ii)(B) of the Regulations, as enacted by subsection 9(9), to “3.8%” shall be read as a reference to “2.6%”;

        • (e) for the purpose of determining the quick-method rate that applies to a supply made before November 27, 1997, subsection 15(5.01) of the Regulations, as enacted by subsection 4(6), shall be read as follows:

          • (5.01) Despite subsection (5), the quick-method rate applicable to a supply in respect of which the supplier is entitled to a deduction under subsection 234(3) of the Act is 2.5%.

        • (f) subparagraph (a)(ii) of the description of B in subsection 17(1) of the Regulations, as enacted by subsection 6(4), applies only to supplies made after March 1997; and

        • (g) for the purpose of determining the net tax of a charity for reporting periods beginning before 1997, the portion of paragraph 19(3)(a) of the Regulations before subparagraph (i), as enacted by subsection 9(5), shall be read as follows:

          • (a) in the case of a registrant that engages in the particular activity acting in the registrant’s capacity as a charity or qualifying non-profit organization and not as a selected public service body,

      • (16) Paragraph 16(1)(c) of the Regulations, as enacted by subsection 5(2), subsection 10(1) and section 21.5 of the Regulations, as enacted by section 12, are deemed to have come into force on March 1, 1993.

      • (17) Section 7 applies after 1993.

      • (18) The repeal of subsection 18(3) of the Regulations, as enacted by subsection 8(2), applies to fiscal quarters of a registrant

        • (a) in fiscal years of the registrant beginning after June 1993, if the reporting period of the registrant is a fiscal year; and

        • (b) beginning after 1993, in any other case.

      • (19) Paragraphs (e) to (g) of the definition specified supply in subsection 19(1) of the Regulations, as enacted by subsection 9(1), apply to reporting periods beginning after May 1993.

      • (20) Subsection 11(4) applies to supplies made after March 1997.

      • (21) Subsection 11(5) applies for the purpose of determining the net tax of a registrant for reporting periods beginning after March 1994.]

  • — SOR/2002-272, s. 3

    • 3 Sections 1 and 2 apply for the purpose of determining the net tax of a registrant for reporting periods beginning after February 24, 1998.

  • — SOR/2007-203, s. 6

      • 6 (1) Subsection 1(1) applies for the purpose of determining the net tax of a registrant for reporting periods beginning after 1996.

      • (2) Subsection 1(2) applies to property brought into a participating province on or after April 1, 1997.

      • (3) Subsections 1(3) to (5) apply for the purpose of determining the net tax of a registrant for reporting periods ending after June 2006, except that the quick-method rate of the registrant for the reporting period of the registrant that includes July 1, 2006 and that applies in respect of a supply is, in respect of consideration for the supply that is paid or becomes due before that day, the quick-method rate of the registrant for that period that would apply if those subsections did not come into force.

  • — SOR/2007-203, s. 7

      • 7 (1) Subsections 2(1) and (2) apply for the purpose of determining net tax for reporting periods ending after December 20, 2002.

      • (2) Subsection 2(3) applies for the purpose of determining the net tax of a registrant for reporting periods ending after June 2006, except that if a reporting period of the registrant includes July 1, 2006, paragraph (c) of the description of C in subsection 17(1) of the Regulations shall be read as follows:

        • (c) an amount determined by the formula

          [2.1% × (A - B)] + [2.5% × (C - D)]

          where

          A
          is in respect of specified supplies to which the quick-method rate of 0% applies, the total of
          • (a) all consideration for specified supplies made by the registrant that became due, or was paid without having become due, to the registrant during that particular reporting period but before July 1, 2006, and

          • (b) all amounts that became collectible, and all other amounts collected, by the registrant during that particular reporting period as or on account of tax under Division II at the rate of 7% in respect of specified supplies made by the registrant,

          B
          is the total of all amounts each of which is an amount that the registrant has, in that particular reporting period, paid or credited to a person as or on account of
          • (a) a reduction in, or a rebate or refund of, all or part of the consideration for a specified supply made by the registrant to the person, if the consideration for the specified supply became due, or was paid without having become due before July 1, 2006 and the quick-method rate in respect of the specified supply is 0%, or

          • (b) a refund of, or a credit for, tax under Division II charged to or collected from the person at the rate of 7% in respect of a specified supply made by the registrant, if the quick-method rate in respect of the specified supply is 0%,

          C
          is in respect of specified supplies to which the quick-method rate of 0% applies, the total of
          • (a) all consideration for specified supplies made by the registrant that became due, or was paid without having become due, to the registrant during that particular reporting period but on or after July 1, 2006, and

          • (b) all amounts that became collectible, and all other amounts collected, by the registrant during that particular reporting period as or on account of tax under Division II at the rate of 6% in respect of specified supplies made by the registrant, and

          D
          is the total of all amounts each of which is an amount that the registrant has, in that particular reporting period, paid or credited to a person as or on account of
          • (a) a reduction in, or a rebate or refund of, all or part of the consideration for a specified supply made by the registrant to the person, if the consideration for the specified supply became due, or was paid without having become due on or after July 1, 2006 and the quick-method rate in respect of the specified supply is 0%, or

          • (b) a refund of, or a credit for, tax under Division II charged to or collected from the person at the rate of 6% in respect of a specified supply made by the registrant, if the quick-method rate in respect of the specified supply is 0%.

  • — SOR/2007-203, s. 8

      • 8 (1) Subsection 3(1) is deemed to have come into force on January 1, 2005.

      • (2) Subsections 3(2) to (5), (7) and (9) apply for the purpose of determining the net tax of a registrant for reporting periods ending after June 2006, except that the special quick-method rate of the registrant for the reporting period of the registrant that includes July 1, 2006 and that applies in respect of a supply is, in respect of consideration for the supply that is paid or becomes due before that day, the special quick-method rate of the registrant for that period that would apply if those subsections did not come into force.

      • (3) Subsection 3(6) applies for the purpose of determining the net tax of a registrant for reporting periods ending after 2004, except that the special quick-method rate of the registrant for the reporting period of the registrant that includes January 1, 2005 and that applies in respect of a supply is, in respect of consideration for the supply that is paid or becomes due before that day, the special quick-method rate of the registrant for that period that would apply if that subsection did not come into force.

      • (4) Subsection 3(8) applies for the purpose of determining the net tax of a registrant for reporting periods ending after January 2004, except that the special quick-method rate of the registrant for the reporting period of the registrant that includes February 1, 2004 and that applies in respect of a supply is, in respect of consideration for the supply that is paid or becomes due before that day, the special quick-method rate of the registrant for that period that would apply if that subsection did not come into force.

  • — SOR/2007-203, s. 9

    • 9 Section 4 applies for the purpose of determining net tax for reporting periods ending after December 20, 2002.

  • — SOR/2007-203, s. 10

      • 10 (1) Subsection 5(1) applies for the purposes of determining an amount of tax that became payable or was paid without having become payable by a registrant during reporting periods ending after June 2006, except that for the reporting period of the registrant that includes July 1, 2006, the formula and the descriptions of A, B, C and D in subsection 21.3(2) of the Regulations shall be read as follows:

        (A × B) + (C × D)

        where

        A
        is
        • (a) if tax under subsection 165(2) or section 212.1 of the Act was payable in respect of the supply or importation, 15/115, and

        • (b) in any other case, 7/107, and

        B
        is the total of all amounts each of which is
        • (a) the consideration that became due, or was paid without having become due, by the registrant during that period but before July 1, 2006, in respect of the supply of the property or service to the registrant,

        • (b) the tax under Division II or III that became payable, or was paid without having become payable, by the registrant during that period but before July 1, 2006, in respect of the supply or importation of the property or service,

        • (c) in the case of tangible personal property that was imported by the registrant, the amount of a tax or duty imposed in respect of the property under the Act (other than Part IX), the Customs Act, the Special Import Measures Act or any other law relating to customs, that became due or was paid without having become due, by the registrant during that period but before July 1, 2006,

        • (d) the amount of a tax, duty or fee prescribed by paragraph 3(b) or (c) of the Taxes, Duties and Fees (GST/HST) Regulations that became due, or was paid without having become due, by the registrant during that period but before July 1, 2006, in respect of the property or service, other than tax imposed under an Act of a legislature of a province to the extent that the tax is recoverable by the registrant under that Act,

        • (e) a reasonable gratuity paid by the registrant during that period but before July 1, 2006, in connection with the supply, or

        • (f) interest, a penalty or other amount paid by the registrant during that period but before July 1, 2006, if the amount was charged to the registrant by the supplier because an amount of consideration, or an amount of a tax, duty or fee referred to in paragraph (c) or (d), that was payable in respect of the supply or importation was overdue,

        C
        is
        • (a) if tax under subsection 165(2) or section 212.1 of the Act was payable in respect of the supply or importation, 14/114, and

        • (b) in any other case, 6/106, and

        D
        is the total of all amounts each of which is
        • (a) the consideration that became due, or was paid without having become due, by the registrant during that period but on or after July 1, 2006, in respect of the supply of the property or service to the registrant,

        • (b) the tax under Division II or III that became payable, or was paid without having become payable, by the registrant during that period but on or after July 1, 2006, in respect of the supply or importation of the property or service,

        • (c) in the case of tangible personal property that was imported by the registrant, the amount of a tax or duty imposed in respect of the property under the Act (other than Part IX), the Customs Act, the Special Import Measures Act or any other law relating to customs, that became due, or was paid without having become due, by the registrant during that period but on or after July 1, 2006,

        • (d) the amount of a tax, duty or fee prescribed by paragraph 3(b) or (c) of the Taxes, Duties and Fees (GST/HST) Regulations that became due, or was paid without having become due, by the registrant during that period but on or after July 1, 2006, in respect of the property or service, other than tax imposed under an Act of a legislature of a province to the extent that the tax is recoverable by the registrant under that Act,

        • (e) a reasonable gratuity paid by the registrant during that period but on or after July 1, 2006, in connection with the supply, or

        • (f) interest, a penalty or other amount paid by the registrant during that period but on or after July 1, 2006, if the amount was charged to the registrant by the supplier because an amount of consideration, or an amount of a tax, duty or fee referred to in paragraph (c) or (d), that was payable in respect of the supply or importation was overdue.

      • (2) Subsection 5(3) applies for the purpose of determining an input tax credit in respect of a passenger vehicle for which tax on the acquisition or importation first became payable or was first paid without having become payable after June 2006.

  • — SOR/2011-56, s. 64

    • 64 Subsections 18(1) and (3) apply for the purpose of determining the net tax of a registrant for reporting periods ending after December 2007, except that the quick-method rate of the registrant for the reporting period of the registrant that includes January 1, 2008 and that applies in respect of a supply is, in respect of consideration for the supply that is paid or becomes due before that day, the quick-method rate of the registrant for that period that would apply if those subsections did not come into force.

  • — SOR/2011-56, s. 65

    • 65 Subsections 18(2), (4) and (5) apply for the purpose of determining the net tax of a registrant for reporting periods ending after June 2010, except that the quick-method rate of the registrant for the reporting period of the registrant that includes July 1, 2010 and that applies in respect of a supply is, in respect of consideration for the supply that is paid or becomes due before that day, the quick-method rate of the registrant for that period that would apply if those subsections did not come into force.

  • — SOR/2011-56, s. 66

    • 66 Subsection 19(1) applies for the purpose of determining the net tax of a registrant for reporting periods ending after December 2007, except that if a reporting period of the registrant includes January 1, 2008, paragraph (c) of the description of C in subsection 17(1) of the Streamlined Accounting (GST/HST) Regulations, as enacted by subsection 19(1), is to be read as follows:

      • (c) an amount determined by the formula

        [(2.5% × C1) + (2.8% × C2)] - [(2.1% × C3) + (2.5% × C4) + (2.8% × C5)]

        where

        C1
        is, in respect of specified supplies to which the quick-method rate of 0% applies, the total of
        • (i) all consideration for specified supplies made by the registrant that became due, or was paid without having become due, to the registrant during that particular reporting period but before January 1, 2008, and

        • (ii) all amounts that became collectible, and all other amounts collected, by the registrant during that particular reporting period as or on account of tax under Division II at the rate of 6% in respect of specified supplies made by the registrant,

        C2
        is, in respect of specified supplies to which the quick-method rate of 0% applies, the total of
        • (i) all consideration for specified supplies made by the registrant that became due, or was paid without having become due, to the registrant during that particular reporting period but on or after January 1, 2008, and

        • (ii) all amounts that became collectible, and all other amounts collected, by the registrant during that particular reporting period as or on account of tax under Division II at the rate of 5% in respect of specified supplies made by the registrant,

        C3
        is the total of all amounts each of which is an amount that the registrant has, in that particular reporting period, paid or credited to a person as or on account of
        • (i) a reduction in, or a rebate or refund of, all or part of the consideration for a specified supply made by the registrant to the person, if the consideration for the specified supply became due, or was paid without having become due, before July 1, 2006 and the quick-method rate in respect of the specified supply is 0%, or

        • (ii) a refund of, or a credit for, tax under Division II charged to or collected from the person at the rate of 7% in respect of a specified supply made by the registrant, if the quick-method rate in respect of the specified supply is 0%,

        C4
        is the total of all amounts each of which is an amount that the registrant has, in that particular reporting period, paid or credited to a person as or on account of
        • (i) a reduction in, or a rebate or refund of, all or part of the consideration for a specified supply made by the registrant to the person, if the consideration for the specified supply became due, or was paid without having become due, on or after July 1, 2006 and before January 1, 2008 and the quick-method rate in respect of the specified supply is 0%, or

        • (ii) a refund of, or a credit for, tax under Division II charged to or collected from the person at the rate of 6% in respect of a specified supply made by the registrant, if the quick-method rate in respect of the specified supply is 0%, and

        C5
        is the total of all amounts each of which is an amount that the registrant has, in that particular reporting period, paid or credited to a person as or on account of
        • (i) a reduction in, or a rebate or refund of, all or part of the consideration for a specified supply made by the registrant to the person, if the consideration for the specified supply became due, or was paid without having become due, on or after January 1, 2008 and the quick-method rate in respect of the specified supply is 0%, or

        • (ii) a refund of, or a credit for, tax under Division II charged to or collected from the person at the rate of 5% in respect of a specified supply made by the registrant, if the quick-method rate in respect of the specified supply is 0%; and

  • — SOR/2011-56, s. 67

    • 67 Subsection 19(2) applies for the purpose of determining the net tax of a registrant for reporting periods ending after June 2010, except that in applying paragraph (d) of the description of C in subsection 17(1) of the Streamlined Accounting (GST/HST) Regulations, as enacted by subsection 19(2), in respect of a reporting period of the registrant that includes July 1, 2010 and in respect of consideration for a supply that is paid or becomes due before that day, the reference to “4%” is to be read as a reference to “2.8%”.

  • — SOR/2011-56, s. 68

    • 68 Subsections 20(1), (3), (5), (7), (9) and (11) apply for the purpose of determining the net tax of a registrant for reporting periods ending after December 2007, except that the special quick-method rate of the registrant for the reporting period of the registrant that includes January 1, 2008 and that applies in respect of a supply is, in respect of consideration for the supply that is paid or becomes due before that day, the special quick-method rate of the registrant for that period that would apply if those subsections did not come into force.

  • — SOR/2011-56, s. 69

    • 69 Subsections 20(2), (4), (6), (8), (10) and (12) to (14) apply for the purpose of determining the net tax of a registrant for reporting periods ending after June 2010, except that the special quick-method rate of the registrant for the reporting period of the registrant that includes July 1, 2010 and that applies in respect of a supply is, in respect of consideration for the supply that is paid or becomes due before that day, the special quick-method rate of the registrant for that period that would apply if those subsections did not come into force.

  • — SOR/2011-56, s. 70

    • 70 Section 21 applies for the purpose of determining the net tax of a registrant for reporting periods ending on or after April 1, 1997.

  • — SOR/2012-191, s. 58

    • 58 Section 13 applies for the purpose of determining the net tax of a registrant for reporting periods ending after March 31, 2013, except that the quick-method rate of the registrant for the reporting period of the registrant that includes April 1, 2013 and that applies in respect of a supply is, in respect of consideration for the supply that is paid or becomes due before April 1, 2013, the quick-method rate of the registrant for that reporting period that would apply if that section had not come into force.

  • — SOR/2012-191, s. 59

    • 59 Sections 14 and 17 apply for the purpose of determining the net tax of a registrant for reporting periods beginning after 2012.

  • — SOR/2012-191, s. 60

    • 60 Section 15 applies for the purpose of determining the net tax of a registrant for reporting periods ending after March 31, 2013, other than in respect of the portion of the registrant’s net specified supplies (within the meaning of subsection 15(5.1) of the Streamlined Accounting (GST/HST) Regulations) for the reporting period of the registrant that includes April 1, 2013 that is attributable to supplies that are made before April 1, 2013 through a permanent establishment of the registrant in British Columbia.

  • — SOR/2012-191, s. 61

    • 61 Section 16 applies for the purpose of determining the net tax of a registrant for reporting periods ending after March 31, 2013, except that the special quick-method rate of the registrant for the reporting period of the registrant that includes April 1, 2013 and that applies in respect of a supply is, in respect of consideration for the supply that is paid or becomes due before April 1, 2013, the special quick-method rate of the registrant for that period that would apply if that section had not come into force.

  • — SOR/2013-44, s. 44

    • 44 Sections 5 to 7 apply for the purpose of determining the net tax of a registrant for reporting periods ending after March 2013, except that

      • (a) the registrant’s quick-method rate for the registrant’s reporting period that includes April 1, 2013 and that applies in respect of a supply is, in respect of consideration for the supply that is paid or becomes due before that day, the registrant’s quick-method rate for that period that would apply if section 5 did not come into force; and

      • (b) the registrant’s special quick-method rate for the registrant’s reporting period that includes April 1, 2013 and that applies in respect of a supply is, in respect of consideration for the supply that is paid or becomes due before that day, the registrant’s special quick-method rate for that period that would apply if section 7 did not come into force.

  • — SOR/2016-4, s. 7

    • 7 Subsection 3(1) applies for the purpose of determining the net tax of a registrant for reporting periods ending after 2015, except that the special quick-method rate of the registrant for the reporting period of the registrant that includes January 1, 2016 and that applies in respect of a supply is, in respect of consideration for the supply that is paid or becomes due before January 1, 2016, the special quick-method rate of the registrant for that reporting period that would apply if that subsection had not come into force.

  • — SOR/2016-4, s. 8

    • 8 Subsection 3(2) applies for the purpose of determining the net tax of a registrant for reporting periods ending after 2016, except that the special quick-method rate of the registrant for the reporting period of the registrant that includes January 1, 2017 and that applies in respect of a supply is, in respect of consideration for the supply that is paid or becomes due before January 1, 2017, the special quick-method rate of the registrant for that reporting period that would apply if that subsection had not come into force.

  • — SOR/2016-119, s. 21

    • 21 Section 4 applies for the purpose of determining the net tax of a registrant for reporting periods ending after June 2016, except that the quick-method rate of the registrant for the reporting period of the registrant that includes July 1, 2016 and that applies in respect of a supply is, in respect of consideration for the supply that is paid or becomes due before July 1, 2016, the quick-method rate of the registrant for that reporting period that would apply if that section had not come into force.

  • — SOR/2016-119, s. 22

    • 22 Section 5 applies for the purpose of determining the net tax of a registrant for reporting periods ending after June 2016, other than in respect of the portion of the registrant’s net specified supplies (as described in subsection 15(5.1) of the Streamlined Accounting (GST/HST) Regulations) for the reporting period of the registrant that includes July 1, 2016 that is attributable to supplies that are made before July 1, 2016 through a permanent establishment of the registrant in New Brunswick or Newfoundland and Labrador.

  • — SOR/2016-119, s. 23

    • 23 Subsections 6(1) to (27), (29) to (31) and (34) apply for the purpose of determining the net tax of a registrant for reporting periods ending after June 2016, except that the special quick-method rate of the registrant for the reporting period of the registrant that includes July 1, 2016 and that applies in respect of a supply is, in respect of consideration for the supply that is paid or becomes due before July 1, 2016, the special quick-method rate of the registrant for that reporting period that would apply if those subsections had not come into force.

  • — SOR/2016-119, s. 24

    • 24 Subsections 6(28), (32) and (33) apply for the purpose of determining the net tax of a registrant for reporting periods ending after December 31, 2016, except that the special quick-method rate of the registrant for the reporting period of the registrant that includes January 1, 2017 and that applies in respect of a supply is, in respect of consideration for the supply that is paid or becomes due before January 1, 2017, the special quick-method rate of the registrant for that reporting period that would apply if those subsections had not come into force.

  • — SOR/2016-212, s. 22

    • 22 Section 4 applies for the purpose of determining the net tax of a registrant for reporting periods ending after September 2016, except that the quick-method rate of the registrant for the reporting period of the registrant that includes October 1, 2016 and that applies in respect of a supply is, in respect of consideration for the supply that is paid or becomes due before October 1, 2016, the quick-method rate of the registrant for that reporting period that would apply if that section had not come into force.

  • — SOR/2016-212, s. 23

    • 23 Section 5 applies for the purpose of determining the net tax of a registrant for reporting periods ending after September 2016, other than in respect of the portion of the registrant’s net specified supplies (as described in subsection 15(5.1) of the Streamlined Accounting (GST/HST) Regulations) for the reporting period of the registrant that includes October 1, 2016 that is attributable to supplies that are made before October 1, 2016 through a permanent establishment of the registrant in Prince Edward Island.

  • — SOR/2016-212, s. 24

    • 24 Subsections 6(1) to (27) and (29) apply for the purpose of determining the net tax of a registrant for reporting periods ending after September 2016, except that the special quick-method rate of the registrant for the reporting period of the registrant that includes October 1, 2016 and that applies in respect of a supply is, in respect of consideration for the supply that is paid or becomes due before October 1, 2016, the special quick-method rate of the registrant for that reporting period that would apply if those subsections had not come into force.

  • — SOR/2016-212, s. 25

    • 25 Subsection 6(28) applies for the purpose of determining the net tax of a registrant for reporting periods ending after December 31, 2016, except that the special quick-method rate of the registrant for the reporting period of the registrant that includes January 1, 2017 and that applies in respect of a supply is, in respect of consideration for the supply that is paid or becomes due before January 1, 2017, the special quick-method rate of the registrant for that reporting period that would apply if that subsection had not come into force.

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