|
|
(2) Subsection (1) applies for the purpose
of determining the net tax of a charity for
reporting periods beginning after 1996.
|
|
| 1990, c. 45,
s. 12(1)
|
46. (1) Subsection 227(1) of the Act is
replaced by the following:
|
|
| Election for
streamlined
accounting
|
227. (1) A registrant (other than a charity)
who is a prescribed registrant or a member of
a prescribed class of registrants may elect to
determine the net tax of the registrant for a
reporting period during which the election is
in effect by a prescribed method.
|
|
|
|
(2) Section 227 of the Act is amended by
adding the following after subsection (5):
|
|
| Restriction on
input tax
credits
|
(6) Sections 231 to 236 do not apply for the
purpose of determining the net tax of a
registrant for a reporting period during which
an election made by the registrant under
subsection (1) is in effect, except as otherwise
provided in the Streamlined Accounting (GST)
Regulations.
|
|
|
|
(3) Subsection (1) applies for the purpose
of determining the net tax for any reporting
period of a charity beginning after 1996 and
any election by the charity under subsection
227(1) of the Act that would, but for this
subsection, have been in effect at the
beginning of the first reporting period of
the charity beginning after 1996 is deemed
to have ceased to have effect immediately
before that reporting period.
|
|
|
|
(4) Subsection (2) is deemed to have come
into force on December 17, 1990.
|
|
| 1993, c. 27,
s. 91(2)
|
47. (1) Subsection 228(4) of the Act is
replaced by the following:
|
|
| Self- assessment on acquisition of real property
|
(4) Where tax under Division II is payable
by a person in respect of a supply of real
property and the supplier is not required to
collect the tax and is not deemed to have
collected the tax,
|
|
|
|
|
|
|
|
|
|
| 1990, c. 45,
s. 12(1)
|
(2) Subsections 228(6) and (7) of the Act
are replaced by the following:
|
|
| Set-off of
refunds or
rebates
|
(6) Where at any time a person files a
particular return under this Part in which the
person reports an amount (in this subsection
referred to as the ``remittance amount'') that
is required to be remitted under subsection (2)
or paid under subsection (4) or Division IV by
the person and the person claims a refund or
rebate payable to the person at that time under
this Part (other than Division III) in the
particular return or in another return, or in an
application, filed under this Part with the
particular return, the person is deemed to have
remitted at that time on account of the person's
remittance amount, and the Minister is
deemed to have paid at that time on account of
the refund or rebate, an amount equal to the
lesser of the remittance amount and the
amount of the refund or rebate.
|
|
| Refunds and
rebates of
another
person
|
(7) A person may, in prescribed
circumstances and subject to prescribed
conditions and rules, reduce or offset the tax
that is required to be remitted under
subsection (2) or paid under subsection (4) or
Division IV by that person at any time by the
amount of any refund or rebate to which
another person may at that time be entitled
under this Part.
|
|
|
|
(3) Subsection (1) is deemed to have come
into force on April 23, 1996 except that,
before January 1, 1997, the reference in
paragraph 228(4)(a) of the Act, as enacted
by subsection (1), to ``report the tax in that
return'' shall be read as a reference to ``file
with the Minister in prescribed manner a
return in respect of the tax in prescribed
form containing prescribed information''.
|
|
|
|
(4) Subsection (2) is deemed to have come
into force on April 23, 1996.
|
|
| 1990, c. 45,
s. 12(1)
|
48. (1) Subsection 230(1) of the Act is
replaced by the following:
|
|
| Refund of
payment
|
230. (1) Where a person has paid
instalments for a reporting period of the
person, or any other amounts on account of the
person's net tax for the period, that exceed the
amount of the net tax remittable by the person
for the period and the person claims a refund
of the excess in a return for the period filed
under this Division by the person, the Minister
shall refund the excess to the person with all
due dispatch after the return is filed.
|
|
| 1990, c. 45,
s. 12(1)
|
(2) The portion of subsection 230(2) of the
Act before paragraph (a) is replaced by the
following:
|
|
| Restriction
|
(2) An amount paid on account of net tax for
a reporting period of a person shall not be
refunded to the person under subsection (1)
until such time as
|
|
| 1990, c. 45,
s. 12(1)
|
(3) Subsection 230(3) of the Act is
replaced by the following:
|
|
| Interest on
refund
|
(3) Where a refund of an amount that was
paid on account of net tax for a reporting
period of a person is paid to the person under
subsection (1), interest at the prescribed rate
shall be paid to the person on the refund for the
period beginning on the day that is twenty-one
days after the later of
|
|
|
|
|
|
|
|
|
|
|
|
and ending on the day the refund is paid.
|
|
|
|
(4) Subsections (1) to (3) are deemed to
have come into force on April 23, 1996 and
apply to any amount paid by the Minister of
National Revenue on or after that day.
|
|
| 1993, c. 27,
s. 92(1)
|
49. (1) Paragraph 230.2(2)(d) of the Act is
replaced by the following:
|
|
|
|
|
|
|
|
(2) Subsection (1) is deemed to have come
into force on January 1, 1995.
|
|
| 1990, c. 45,
s. 12(1)
|
50. (1) Section 231 of the Act is replaced
by the following:
|
|
| Bad debts
|
231. (1) Where a person has made a taxable
supply (other than a zero-rated supply) for
consideration to a recipient with whom the
person was dealing at arm's length, to the
extent that it is established that the
consideration and tax payable in respect of the
supply have become in whole or in part a bad
debt, the person may, in determining the net
tax for the person's reporting period in which
the bad debt is written off in the person's books
of account or for a subsequent reporting
period, deduct the amount determined by the
formula
|
|
|
|
A x B/C
|
|
|
|
where
|
|
|
|
A is the tax payable in respect of the supply,
|
|
|
|
B is the total of the consideration, tax and any
amount that can reasonably be attributed to
a tax imposed under an Act of the
legislature of a province that is a prescribed
tax for the purposes of section 154 (referred
to in this section as ``applicable provincial
tax'') remaining unpaid in respect of the
supply that was written off as a bad debt,
and
|
|
|
|
C is the total of the consideration, tax and
applicable provincial tax payable in respect
of the supply,
|
|
|
|
provided the person reports the tax collectible
in respect of the supply in the person's return
under this Division for the reporting period in
which the tax became collectible and remits
all net tax, if any, remittable as reported in that
return.
|
|
| Bad debts
|
(2) Where a financial institution that is a
member of a closely related group or of a
prescribed group has at any time purchased an
account receivable at face value and on a
non-recourse basis from another person that
was at that time a member of the group, to the
extent that it is established that the account
receivable has become in whole or in part a
bad debt, the institution may, in determining
its net tax for its reporting period in which the
bad debt is written off in its books of account
or for a subsequent reporting period, deduct an
amount to the extent that the other person
could have so deducted an amount under
subsection (1) if that other person had not sold
the account receivable and had written off the
bad debt in that other person's books of
account.
|
|
| Recovery of
bad debt
|
(3) Where a person recovers all or part of a
bad debt in respect of which the person has
made a deduction under subsection (1) or (2),
the person shall, in determining the net tax for
the reporting period of the person in which the
bad debt or part thereof is recovered, add the
amount determined by the formula
|
|
|
|
A x B/C
|
|
|
|
where
|
|
|
|
A is the amount of the bad debt recovered by
the person;
|
|
|
|
B is the tax payable in respect of the supply to
which the bad debt relates; and
|
|
|
|
C is the total of the consideration, tax and
applicable provincial tax payable in respect
of the supply.
|
|
| Limitation
|
(4) A person may not claim a deduction
under subsection (1) or (2) in respect of an
amount that the person has, during a particular
reporting period of the person, written off in its
books of account as a bad debt unless the
deduction is claimed in a return under this
Division filed by the person within four years
after the day on or before which the return
under this Division for the particular reporting
period is required to be filed.
|
|
|
|
(2) Subsection (1) applies for the purpose
of determining the net tax for any reporting
period for which a return is filed after April
23, 1996, except that
|
|
|
|
|
|
|
|
|
|
| 1990, c. 45,
s. 12(1)
|
51. (1) The portion of subsection 232(1) of
the Act before paragraph (a) is replaced by
the following:
|
|
| Refund or
adjustment of
tax
|
232. (1) Where a particular person has
charged to, or collected from, another person
an amount as or on account of tax under
Division II in excess of the tax under that
Division that was collectible by the particular
person from the other person, the particular
person may, within two years after the day the
amount was so charged or collected,
|
|
|
|
(2) Subsection (1) applies
|
|
|
|
|
|
|
|
|
|
| 1993, c. 27,
s. 95(1)
|
52. (1) Subsection 234(1) of the Act is
replaced by the following:
|
|
| Deduction for
rebate
|
234. (1) Where, in the circumstances
described in subsection 252.41(2), 254(4) or
254.1(4), a registrant pays to, or credits in
favour of, a person an amount on account of a
rebate and transmits the application of the
person for the rebate to the Minister in
accordance with subsection 252.41(2), 254(5)
or 254.1(5), as the case requires, the registrant
may deduct the amount in determining the net
tax of the registrant for the reporting period in
which the amount is paid or credited.
|
|
|
|
(2) Subsection (1) applies after April 23,
1996.
|
|
| 1994, c. 9,
s. 14(1)
|
53. (1) Subsection 236(2) of the Act is
replaced by the following:
|
|
| Exception
|
(2) Subsection (1) does not apply to a
charity or a public institution.
|
|
|
|
(2) Subsection (1) applies to supplies of
food, beverages or entertainment received,
and allowances paid, by a registrant after
1996.
|
|
| 1993, c. 27,
s. 100(1)
|
54. (1) Paragraph 240(3)(b) of the Act is
replaced by the following:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| 1990, c. 45,
s. 12(1)
|
(2) Subsection 240(6) of the Act is
replaced by the following:
|
|
| Security
|
(6) Every person who
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
shall give and thereafter maintain security, in
an amount and a form satisfactory to the
Minister, that the person will pay or remit all
amounts payable or remittable by the person
under this Part.
|
|
| Failure to
comply
|
(7) Where, at any time, a person referred to
in subsection (6) fails to give or maintain, as
required under that subsection, security in an
amount satisfactory to the Minister, the
Minister may retain as security, out of any
amount that may be or may become payable
under this Part to the person, an amount not
exceeding the amount by which
|
|
|
|
|
|
|
|
exceeds
|
|
|
|
|
|
|
|
and the amount so retained is deemed
|
|
|
|
|
|
|
|
|
|
|
|
(3) Subsection (1) applies after April 23,
1996.
|
|
| 1990, c. 45,
s. 12(1)
|
55. (1) Subsection 245(1) of the Act is
replaced by the following:
|
|
| Reporting
period of non- registrant
|
245. (1) Subject to section 251, the
reporting period of a person who is not a
registrant is a calendar month.
|
|
| 1990, c. 45,
s. 12(1)
|
(2) The portion of subsection 245(2) of the
Act before paragraph (a) is replaced by the
following:
|
|
| Reporting
period of
registrant
|
(2) Subject to subsection 248(3) and
sections 251 and 265 to 267, the reporting
period of a registrant at a particular time in a
fiscal year of the registrant is
|
|
| 1994, c. 9,
s. 17(1)
|
(3) Paragraph 245(2)(a) of the Act is
amended by striking out the word ``or'' at
the end of subparagraph (i) and by
replacing subparagraph (ii) with the
following:
|
|
|
|
|
|