|
|
(a) the partnership is deemed not to have
acquired or imported the property or service
except as otherwise provided in subsection
175(1);
|
|
|
|
(b) where the member is not an individual,
for the purpose of determining an input tax
credit or rebate of the member in respect of
the property or service and, in the case of
property that is acquired or imported for use
as capital property of the member, applying
Subdivision d of Division II in relation to
the property, subsection (1) does not apply
to deem the member not to have acquired or
imported the property or service and the
member is deemed to be engaged in those
activities of the partnership; and
|
|
|
|
(c) where the member is not an individual
and the partnership at any time pays an
amount to the member as a reimbursement
and is entitled to claim an input tax credit in
respect of the property or service in
circumstances in which subsection 175(1)
applies, any input tax credit in respect of the
property or service that the member would,
but for this paragraph, be entitled to claim
in a return of the member that is filed with
the Minister after that time shall be reduced
by the amount of the input tax credit that the
partnership is entitled to claim.
|
|
|
|
|
|
|
|
|
|
| Supply to
partnership
|
(3) Where a person who is or agrees to
become a member of a partnership supplies
property or a service to the partnership
otherwise than in the course of the
partnership's activities
|
|
|
|
(a) where the property or service is acquired
by the partnership for consumption, use or
supply exclusively in the course of
commercial activities of the partnership,
any amount that the partnership agrees to
pay to or credit the person in respect of the
property or service is deemed to be
consideration for the supply that becomes
due at the time the amount is paid or
credited; and
|
|
|
|
(b) in any other case, the supply is deemed
to have been made for consideration that
becomes due at the time the supply is made
equal to the fair market value at that time of
the property or service acquired by the
partnership determined as if the person
were not a member of the partnership and
were dealing at arm's length with the
partnership.
|
|
| Deemed
supply to
partner
|
(4) Where a partnership disposes of
property of the partnership
|
|
|
|
(a) to a person who, at the time the
disposition is agreed to or otherwise
arranged, is or has agreed to become a
member of the partnership, or
|
|
|
|
(b) to a person as a consequence of that
person ceasing to be a member of the
partnership,
|
|
|
|
the following rules apply:
|
|
|
|
(c) the partnership is deemed to have made
to the person, and the person is deemed to
have received from the partnership, a
supply of the property for consideration that
becomes due at the time the property is
disposed of equal to the total fair market
value of the property (including the fair
market value of the person's interest in the
property) immediately before the time the
property is disposed of, and
|
|
|
|
(d) subsection 172(2) does not apply in
respect of the supply.
|
|
| Joint and
several
liability
|
(5) A partnership and each member or
former member (each of which is referred to
in this subsection as the ``member'') of the
partnership (other than a member who is a
limited partner and is not a general partner) are
jointly and severally liable for
|
|
|
|
(a) the payment or remittance of all
amounts that become payable or remittable
by the partnership under this Part before or
during the period during which the member
is a member of the partnership or, where the
member was a member of the partnership at
the time the partnership was dissolved, after
the dissolution of the partnership, except
that
|
|
|
|
(i) the member is liable for the payment
or remittance of amounts that become
payable or remittable before the period
only to the extent of the property and
money that is regarded as property or
money of the partnership under the
relevant laws of general application in
force in a province relating to
partnerships, and
|
|
|
|
(ii) the payment or remittance by the
partnership or by any member thereof of
an amount in respect of the liability
discharges the joint liability to the extent
of that amount; and
|
|
|
|
(b) all other obligations under this Part that
arose before or during that period for which
the partnership is liable or, where the
member was a member of the partnership at
the time the partnership was dissolved, the
obligations that arose upon or as a
consequence of the dissolution.
|
|
| Continuation
of partnership
|
(6) Where a partnership would, but for this
subsection, be regarded as having ceased to
exist, the partnership is deemed for the
purposes of this Part not to have ceased to exist
until the registration of the partnership is
cancelled.
|
|
| Continuation
of predecessor
partnership by
new
partnership
|
(7) Where
|
|
|
|
(a) a partnership (in this subsection referred
to as the ``predecessor partnership'') would,
but for this section, be regarded as having
ceased at any time to exist,
|
|
|
|
(b) a majority of the members of the
predecessor partnership that together had,
at or immediately before that time, more
than a 50% interest in the capital of the
predecessor partnership become members
of another partnership of which they
comprise more than half of the members,
and
|
|
|
|
(c) the members of the predecessor
partnership who become members of the
other partnership transfer to the other
partnership all or substantially all of the
property distributed to them in settlement of
their capital interests in the predecessor
partnership,
|
|
|
|
except where the other partnership is
registered or applies for registration under
section 240, the other partnership is deemed to
be a continuation of and the same person as the
predecessor partnership.
|
|
|
|
(2) Subsection (1) is deemed to have come
into force on April 24, 1996 except that
|
|
|
|
(a) subsection 272.1(2) of the Act, as
enacted by subsection (1), also applies for
the purpose of determining an input tax
credit for a reporting period beginning
on or before April 23, 1996 claimed in a
return that is received by the Minister of
National Revenue on or after that day or
deemed under paragraph 296(5)(a) of the
Act to have been claimed as a result of an
assessment made on or after that day;
|
|
|
|
(b) where a supply or disposition referred
to in subsection 272.1(3) or (4) of the Act,
as enacted by subsection (1), was made by
a registrant to another person on or
before April 23, 1996 and the amount
charged or collected as or on account of
tax under Part IX of the Act in respect of
the supply or disposition exceeds the
amount of tax under that Part that was
payable in respect of the supply or
disposition,
|
|
|
|
(i) where the Minister of National
Revenue receives, on or after April 23,
1996, an application under subsection
261(1) of the Act for a rebate of the
excess (other than an application
deemed under paragraph 296(5)(a) of
the Act to have been filed as a result of
an assessment made on or after that
day), subsections 272.1(3) and (4) of the
Act, as enacted by subsection (1), apply
to the supply or disposition for the
purpose of determining the amount of
the rebate if any, and
|
|
|
|
(ii) in any other case (except where the
Minister of National Revenue
received, before April 23, 1996, an
application under subsection 261(1) of
the Act for a rebate of the excess), the
amount charged or collected as or on
account of tax under Part IX of the Act
in respect of the supply or disposition is
deemed to be the amount of tax under
that Part that was payable in respect of
the supply or disposition; and
|
|
|
|
(c) subsection 272.1(5) of the Act, as
enacted by subsection (1), applies to
amounts that become payable or
remittable after April 23, 1996 and to all
other amounts and obligations
outstanding after that day.
|
|
| 1990, c. 45,
s. 12(1)
|
77. (1) Section 279 of the Act is replaced
by the following:
|
|
| Meaning of
``electronic
filing''
|
278.1 (1) For the purposes of this section,
``electronic filing'' means using electronic
media in a manner specified in writing by the
Minister.
|
|
| Application
for electronic
filing
|
(2) A person who is required to file with the
Minister returns under this Part and who meets
the criteria specified in writing by the Minister
may file with the Minister in prescribed
manner an application, in prescribed form
containing prescribed information, for
authorization to file the returns by way of
electronic filing.
|
|
Authoriza-
tion
|
(3) Where the Minister receives an
application of a person under subsection (2)
and is satisfied that the person meets the
criteria referred to in that subsection, the
Minister may, in writing, authorize the person
to file returns by way of electronic filing,
subject to such conditions as the Minister may
at any time impose.
|
|
| Revocation
|
(4) The Minister may revoke an
authorization granted to a person under
subsection (3) where
|
|
|
|
(a) the person, in writing, requests the
Minister to revoke the authorization,
|
|
|
|
(b) the person fails to comply with any
condition imposed in respect of the
authorization or any provision of this Part,
|
|
|
|
(c) the Minister is no longer satisfied that
the criteria referred to in subsection (2) are
met, or
|
|
|
|
(d) the Minister considers that the
authorization is no longer required,
|
|
|
|
and shall notify the person in writing of the
revocation and its effective date.
|
|
| Deemed filing
|
(5) For the purposes of this Part, where a
person files a return by way of electronic
filing, it is deemed to be a return in prescribed
form filed with the Minister on the day the
Minister acknowledges acceptance of it.
|
|
| Execution of
documents
|
279. A return (other than a return filed by
way of electronic filing under section 278.1),
certificate or other document made by a
person (other than an individual) under this
Part or under a regulation made under this Part
shall be signed on behalf of the person by an
individual duly authorized to do so by the
person or the governing body of the person
and, where the person is a corporation or an
association or organization that has duly
elected or appointed officers, the president,
vice-president, secretary and treasurer
thereof, or other equivalent officers, are
deemed to be so duly authorized.
|
|
|
|
(2) Subsection (1) applies after
September 1994.
|
|
| 1993, c. 27,
s. 129(1)
|
78. (1) Paragraph 296(1)(e) of the Act is
replaced by the following:
|
|
|
|
(e) any amount which a person is liable to
pay or remit under subsection 177(1.1) or
Subdivision a or b.1 of Division VII,
|
|
| 1990, c. 45,
s. 12(1);
1993, c. 27,
s. 129(2), (3)
|
(2) Subsections 296(2) to (5) of the Act are
replaced by the following:
|
|
| Allowance of
unclaimed
credit
|
(2) Where, in assessing the net tax of a
person for a particular reporting period of the
person, the Minister determines that
|
|
|
|
(a) an amount (in this subsection referred to
as the ``allowable credit'') would have been
allowed as an input tax credit for the
particular reporting period or as a deduction
in determining the net tax for the particular
reporting period if it had been claimed in a
return under Division V for the particular
reporting period filed on the day that is the
day on or before which the return for the
particular reporting period was required to
be filed and the requirements, if any, of
subsection 169(4) or 234(1) respecting
documentation that apply in respect of the
allowable credit had been met,
|
|
|
|
(b) the allowable credit was not claimed by
the person in a return filed before the day
notice of the assessment is sent to the person
or was so claimed but was disallowed by the
Minister, and
|
|
|
|
(c) the allowable credit would be allowed,
as an input tax credit or deduction in
determining the net tax for a reporting
period of the person, if it were claimed in a
return under Division V filed on the day
notice of the assessment is sent to the person
or would be disallowed if it were claimed in
that return only because the period for
claiming the allowable credit expired
before that day,
|
|
|
|
the Minister shall, unless otherwise requested
by the person, take the allowable credit into
account in assessing the net tax for the
particular reporting period as if the person had
claimed the allowable credit in a return filed
for the period.
|
|
| Allowance of
unclaimed
rebate
|
(2.1) Where, in assessing the net tax of a
person for a reporting period of the person or
an amount (in this subsection referred to as the
``overdue amount'') that became payable by a
person under this Part, the Minister
determines that
|
|
|
|
(a) an amount (in this subsection referred to
as the ``allowable rebate'') would have been
payable to the person as a rebate if it had
been claimed in an application under this
Part filed on the particular day that is
|
|
|
|
(i) if the assessment is in respect of net tax
for the reporting period, the day on or
before which the return under Division V
for the period was required to be filed, or
|
|
|
|
(ii) if the assessment is in respect of an
overdue amount, the day on which the
overdue amount became payable by the
person,
|
|
|
|
and, where the rebate is in respect of an
amount that is being assessed, if the person
had paid or remitted that amount,
|
|
|
|
(b) the allowable rebate was not claimed by
the person in an application filed before the
day notice of the assessment is sent to the
person, and
|
|
|
|
(c) the allowable rebate would be payable to
the person if it were claimed in an
application under this Part filed on the day
notice of the assessment is sent to the person
or would be disallowed if it were claimed in
that application only because the period for
claiming the allowable rebate expired
before that day,
|
|
|
|
the Minister shall, unless otherwise requested
by the person, apply all or part of the
allowable rebate against that net tax or
overdue amount as if the person had, on the
particular day, paid or remitted the amount so
applied on account of that net tax or overdue
amount.
|
|
| Application or
payment of
credit
|
(3) Where, in assessing the net tax of a
person for a particular reporting period of the
person, the Minister determines that there is
an overpayment of net tax for the particular
period, except where the assessment is made
in the circumstances described in paragraph
298(4)(a) or (b) after the time otherwise
limited therefor by paragraph 298(1)(a), the
Minister shall, unless otherwise requested by
the person,
|
|
|
|
|
|
|
|
(i) all or part of the overpayment
|
|
|
|
|
|
|
|
(ii) any amount (in this paragraph
referred to as the ``outstanding amount'')
that, on or before the particular day that
is the day on or before which the person
was required to file a return under this
Part for the particular period, the person
defaulted in paying or remitting under
this Part and that remains unpaid or
unremitted on the day notice of the
assessment is sent to the person,
|
|
|
|
as if the person had, on the particular day,
paid or remitted the amount so applied on
account of the outstanding amount;
|
|
|
|
|
|
|
|
(i) all or part of the overpayment that was
not applied under paragraph (a) together
with interest thereon at the prescribed
rate, computed for the period beginning
on the day that is twenty-one days after
the latest of
|
|
|
|
|
|
|
|
(B) the day on which the return for the
particular reporting period was filed,
and
|
|
|
|
(C) in the case of an overpayment that
is attributable to a payment or
remittance made on a day subsequent
to the days referred to in clauses (A)
and (B), that subsequent day,
|
|
|
|
and ending on the day on which the
person defaulted in paying or remitting
the outstanding amount referred to in
subparagraph (ii)
|
|
|
|
|
|
|
|
(ii) any amount (in this paragraph
referred to as the ``outstanding amount'')
that, on a day (in this paragraph referred
to as the ``later day'') after the particular
day, the person defaulted in paying or
remitting under this Part and that remains
unpaid or unremitted on the day notice of
the assessment is sent to the person,
|
|
|
|
as if the person had, on the later day, paid the
amount and interest so applied on account
of the outstanding amount; and
|
|
|
|
(c) refund to the person that part of the
overpayment that was not applied under
paragraphs (a) and (b) together with interest
thereon at the prescribed rate, computed for
the period beginning on the day that is
twenty-one days after the latest of
|
|
|
|
|
|
|
|
(ii) the day on which the return for the
particular reporting period was filed, and
|
|
|
|
(iii) in the case of an overpayment that is
attributable to a payment or remittance
made on a day subsequent to the days
referred to in subparagraphs (i) and (ii),
that subsequent day,
|
|
|
|
and ending on the day the refund is paid to
the person.
|
|
| Application or
payment of
rebate
|
(3.1) Where, in assessing the net tax of a
person for a particular reporting period of the
person or an amount (in this subsection
referred to as the ``overdue amount'') that
became payable by a person under this Part, all
or part of an allowable rebate referred to in
subsection (2.1) is not applied under that
subsection against that net tax or overdue
amount, except where the assessment is made
in the circumstances described in paragraph
298(4)(a) or (b) after the time otherwise
limited therefor by paragraph 298(1)(a), the
Minister shall, unless otherwise requested by
the person,
|
|
|
|
|
|
|
|
(i) all or part of the allowable rebate that
was not applied under subsection (2.1)
|
|
|
|
|
|
|
|
(ii) any other amount (in this paragraph
referred to as the ``outstanding amount'')
that, on or before the particular day that
is
|
|