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DIVISION X
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TRANSITIONAL PROVISIONS FOR PARTICIPATING
PROVINCES
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Subdivision a
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Interpretation
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| Definitions
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348. The definitions in this section apply in
this Division.
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``announce-
ment date''
« date de
publication »
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``announcement date'' for a participating
province means October 23, 1996 in the
case of Nova Scotia, New Brunswick or
Newfoundland.
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``implementa-
tion date''
« date de mise
en oeuvre »
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``implementation date'' for a participating
province means April 1, 1997 in the case of
Nova Scotia, New Brunswick or
Newfoundland.
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``specified
pre-
implementation date''
« date de mise
en oeuvre
anticipée »
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``specified pre-implementation date'' for a
participating province means February 1,
1997 in the case of Nova Scotia, New
Brunswick or Newfoundland.
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Subdivision b
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Application
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| Real property
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349. (1) Subject to Subdivision c, where a
province is a participating province,
subsection 165(2) and the provisions of this
Part (other than Division IX) relating to tax
under that subsection apply to
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(a) any supply by way of sale of real
property made in that participating
province where ownership and possession
of the property are transferred on or after the
implementation date for that province,
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(b) any supply of real property made in a
participating province by way of lease,
licence or similar arrangement where all of
the consideration for the supply becomes
due or is paid, or is deemed to have become
due or to have been paid, on or after the
implementation date for that province and
is not deemed to have become due or to
have been paid before that day, and
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(c) any supply of real property made in a
participating province by way of lease,
licence or similar arrangement where part
of the consideration for the supply becomes
due or is paid, or is deemed to have become
due or been paid, on or after the
implementation date for that province,
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except that tax is not payable under that
subsection (otherwise than because of
Subdivision c) in respect of any part of the
consideration for a supply referred to in
paragraph (c) that becomes due or is paid
before that day and is not deemed to have
become due or to have been paid on or after
that day.
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| Personal
property and
services
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(2) Subject to Subdivision c, where a
province is a participating province,
subsection 165(2), section 218.1 and
subsection 220.08(1) and the provisions of
this Part (other than Division IX) relating to
tax under that section or either of those
subsections apply to
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(i) personal property or a service made in
that participating province,
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(ii) tangible personal property made
outside Canada to a person to whom the
property is delivered or made available,
or physical possession of the property is
transferred, in a participating province,
or
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(iii) intangible personal property or a
service made outside the participating
provinces where the property or service
is acquired for consumption, use or
supply in that participating province
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where all of the consideration for the supply
becomes due or is paid, or is deemed to have
become due or to have been paid, on or after
the implementation date for that province
and is not deemed to have become due or to
have been paid before that day, and
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(i) personal property or a service made in
that participating province,
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(ii) tangible personal property made
outside Canada to a person to whom the
property is delivered or made available,
or physical possession of the property is
transferred, in a participating province,
or
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(iii) intangible personal property or a
service made outside the participating
provinces where the property or service
is acquired for consumption, use or
supply in that participating province
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where part of the consideration for the
supply becomes due or is paid, or is deemed
to have become due or to have been paid, on
or after the implementation date for that
province,
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except that tax is not payable under any of
those provisions (otherwise than because of
Subdivision c) in respect of any part of the
consideration for a supply referred to in
paragraph (b) that becomes due or is paid
before that day and is not deemed to have
become due or to have been paid on or after
that day.
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| Imported
goods
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(3) Subject to Subdivision c, where a
province is a participating province, sections
212.1 and 220.07 and the provisions of this
Part (other than Division IX) relating to tax
under those sections apply to tangible
personal property, a mobile home that is not
affixed to land and a floating home imported
by a person on or after the implementation
date for that province and to such property that
is imported by a person before that day and
that is accounted for under subsection 32(1),
(2) or (5) of the Customs Act on or after that
day.
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| Tangible
personal
property
brought into a
participating
province
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(4) Subject to Subdivision c, where a
province is a participating province,
subsections 220.05(1) and 220.06(1) and the
provisions of this Part (other than Division IX)
relating to tax under those subsections apply
to tangible personal property, a mobile home
that is not affixed to land and a floating home
brought into that participating province on or
after the implementation date for that
province and to such property brought into
that province before that day by a carrier
where the property is delivered in the province
to a consignee on or after that day.
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Subdivision c
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Transition
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Transfer of
real property
before
implementa-
tion
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350. Where a taxable supply by way of sale
of real property is made in a participating
province and ownership or possession of the
property is transferred under the agreement
for that supply to the recipient of the supply
before the implementation date for that
province, no tax is payable under subsection
165(2) in respect of the supply.
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Transfer of
single unit
residential
complex after
implementa-
tion
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351. (1) Where
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(a) a taxable supply by way of sale of a
single unit residential complex is made in a
participating province to an individual
under an agreement in writing between the
supplier and the individual entered into on
or before the announcement date for that
province, and
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(b) ownership of the complex is not
transferred to the individual under the
agreement before the implementation date
for that province and possession thereof is
transferred to the individual under the
agreement on or after that implementation
date,
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the following rules apply:
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(c) no tax is payable under subsection
165(2) in respect of the supply made under
that agreement or in respect of any supply
of the complex deemed under subsection
191(1) to have been made before possession
thereof is transferred to the individual under
that agreement, and
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(d) no amount in respect of tax payable
under subsection 165(2), section 212.1 or
subsection 218.1(1), 220.05(1), 220.06(1),
220.07(1) or 220.08(1) shall be included in
determining an input tax credit of the
supplier in respect of
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(i) the complex, the land included in the
complex or an improvement thereto, or
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(ii) any other property or service to the
extent that it was acquired, imported or
brought into a participating province by
the supplier for consumption or use in
making a supply of the complex.
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| Resupply of a
single unit
residential
complex
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(2) Where a supply referred to in paragraph
(1)(a) of a single unit residential complex is
made to a recipient who is a builder of the
complex only because of paragraph (d) of the
definition ``builder'' in subsection 123(1),
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(a) no tax is payable under subsection
165(2) in respect of any supply of the
complex made by that builder or any
successor in title other than
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(i) a taxable supply made by way of lease,
licence or similar arrangement, or
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(ii) a taxable supply by way of sale made
after either the builder or the successor
has used the complex as capital property
in a business of the builder or successor,
substantially renovated the complex or
made another supply by way of sale of the
complex and subsequently reacquired it;
and
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(b) no amount in respect of tax payable
under subsection 165(2), section 212.1 or
subsection 218.1(1), 220.05(1), 220.06(1),
220.07(1) or 220.08(1) shall be included in
determining an input tax credit of the
builder or successor in respect of any
property or service to the extent that it was
acquired, imported or brought into a
participating province by the builder or
successor for consumption or use in making
a supply of the complex in respect of which
tax under subsection 165(2) is not payable
because of paragraph (a).
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Transfer of
residential
condominium
unit after
implementa-
tion
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(3) Where
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(a) a taxable supply by way of sale of a
residential condominium unit is made in a
participating province to a person under an
agreement in writing between the supplier
and the person entered into on or before the
announcement date for that province, and
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(b) ownership of the unit is not transferred
to the person under the agreement before
the implementation date for that province
and possession thereof is transferred to the
person under the agreement on or after that
implementation date,
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the following rules apply:
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(c) no tax is payable under subsection
165(2) in respect of the supply made under
that agreement or in respect of any supply
of the unit deemed under subsection 191(1)
to have been made before possession
thereof is transferred to the person under
that agreement, and
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(d) no amount in respect of tax payable
under subsection 165(2), section 212.1 or
subsection 218.1(1), 220.05(1), 220.06(1),
220.07(1) or 220.08(1) shall be included in
determining an input tax credit of the
supplier in respect of
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(i) the unit, the land included in the unit
or an improvement thereto, or
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(ii) any other property or service to the
extent that it was acquired, imported or
brought into a participating province by
the supplier for consumption or use in
making a supply of the unit.
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| Resupply of a
residential
condominium
unit
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(4) Where a supply referred to in paragraph
(3)(a) of a residential condominium unit is
made to a recipient who is a builder of the unit
only because of paragraph (d) of the definition
``builder'' in subsection 123(1),
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(a) no tax is payable under subsection
165(2) in respect of any supply of the unit
made by that builder or any successor in
title other than
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(i) a taxable supply made by way of lease,
licence or similar arrangement, or
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(ii) a taxable supply by way of sale made
after either the builder or the successor
has used the unit as capital property in a
business of the builder or successor,
substantially renovated the unit or made
another supply by way of sale of the unit
and subsequently reacquired it; and
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(b) no amount in respect of tax payable
under subsection 165(2), section 212.1 or
subsection 218.1(1), 220.05(1), 220.06(1),
220.07(1) or 220.08(1) shall be included in
determining an input tax credit of the
builder or successor in respect of any
property or service to the extent that it was
acquired, imported or brought into a
participating province by the builder or
successor for consumption or use in making
a supply of the unit in respect of which tax
under subsection 165(2) is not payable
because of paragraph (a).
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Transfer of
condominium
complex after
implementa-
tion
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(5) Where
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(a) a taxable supply by way of sale of a
condominium complex is made in a
participating province to a person under an
agreement in writing between the supplier
and the person entered into on or before the
announcement date for that province, and
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(b) ownership and possession of the
complex are not transferred to the person
under the agreement before the
implementation date, and
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(c) at any time on or after the
implementation date, ownership of the
complex is transferred to the person under
the agreement or the complex is registered
as a condominium,
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the following rules apply:
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(d) no tax is payable under subsection
165(2) in respect of the supply made under
that agreement or in respect of any supply
of any residential condominium unit
located in the complex deemed under
subsection 191(1) to have been made before
ownership thereof is transferred to the
person under that agreement, and
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(e) no amount in respect of tax payable
under subsection 165(2), section 212.1 or
subsection 218.1(1), 220.05(1), 220.06(1),
220.07(1) or 220.08(1) shall be included in
determining an input tax credit of the
supplier in respect of
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(i) the complex, the land included in the
complex or an improvement thereto, or
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(ii) any other property or service to the
extent that it was acquired, imported or
brought into a participating province by
the supplier for consumption or use in
making a supply of the complex.
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| Resupply of
condominium
complex
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(6) Where a supply referred to in paragraph
(5)(a) of a condominium complex is made to
a recipient who is a builder of the complex
only because of paragraph (d) of the definition
``builder'' in subsection 123(1),
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(a) no tax is payable under subsection
165(2) in respect of any supply of the
complex or any residential condominium
unit located in the complex made by that
builder or any successor in title other than
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(i) a taxable supply made by way of lease,
licence or similar arrangement,
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(ii) a taxable supply by way of sale of the
condominium complex made after either
the builder or the successor has used the
complex as capital property in a business
of the builder or successor, substantially
renovated the complex or made another
supply by way of sale of the complex and
subsequently reacquired it, or
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(iii) a taxable supply by way of sale of a
residential condominium unit located in
the complex made after either the builder
or the successor has used the unit as
capital property in a business of the
builder or successor or made another
supply by way of sale of the unit and
subsequently reacquired it; and
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(b) no amount in respect of tax payable
under subsection 165(2), section 212.1 or
subsection 218.1(1), 220.05(1), 220.06(1),
220.07(1) or 220.08(1) shall be included in
determining an input tax credit of the
builder or successor in respect of any
property or service to the extent that it was
acquired, imported or brought into a
participating province by the builder or
successor for consumption or use in making
a supply of the complex or the residential
condominium unit located in the complex
in respect of which tax under subsection
165(2) is not payable because of paragraph
(a).
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| Transfer of
residential
condominium
unit by
limited
partnership
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(7) Where
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(a) an offering memorandum (within the
meaning assigned by subsection 336(6)), in
respect of an offer to sell interests in a
limited partnership, is issued to prospective
subscribers on or before the announcement
date for a participating province,
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(b) at the time the offering memorandum is
issued, it is proposed that the limited
partnership will exclusively engage in the
activities of acquiring land in that province
or a beneficial interest therein, constructing
a condominium complex on the land,
owning residential condominium units
located in the complex and supplying those
units by way of lease, licence or similar
arrangement for the purpose of their
occupancy by individuals as places of
residence,
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(c) the offering memorandum does not
provide for an increase in the subscription
prices (within the meaning assigned by
subsection 336(6)) of the interests in the
partnership because of a change in the
application of taxes and those subscription
prices are not increased after that day and
before the offer to sell the interests expires,
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(d) a particular interest in the limited
partnership is transferred to a subscriber in
accordance with the offering
memorandum,
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(e) the limited partnership, whether or not in
concert with another person,
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(i) acquires ownership of land in that
province or a beneficial interest therein
before the implementation date for that
province, and
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(ii) engages a person to construct a
condominium complex on that land
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under agreements in writing entered into on
or before the announcement date for that
province or under agreements in writing
entered into after that day that substantially
conform with terms and conditions relating
to those agreements as set out in the offering
memorandum,
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(f) the particular interest relates to a
particular residential condominium unit
that is owned by the limited partnership and
is located in the condominium complex,
and
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(g) possession of the particular residential
condominium unit is given on or after the
implementation date for that province to a
person under a lease, licence or similar
arrangement for the purpose of its
occupancy by an individual as a place of
residence,
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the following rules apply:
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