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1st Session, 37th Parliament, 49-50 Elizabeth II, 2001
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House of Commons of Canada
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BILL C-26 |
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An Act to amend the Customs Act, the
Customs Tariff, the Excise Act, the
Excise Tax Act and the Income Tax Act
in respect of tobacco
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SHORT TITLE |
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Short title
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1. This Act may be cited as the Tobacco Tax
Amendments Act, 2001.
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R.S., c. 1 (2nd
Supp.)
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CUSTOMS ACT |
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1993, c. 25,
s. 70(1)
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2. (1) Paragraph 24(1)(c) of the Customs
Act is replaced by the following:
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(2) Subsection (1) is deemed to have come
into force on April 6, 2001.
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1997, c. 36
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CUSTOMS TARIFF |
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3. (1) Subsection 21(2) of the Customs
Tariff is replaced by the following:
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Duty on
tobacco
imported by
traveller
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(2) There shall be levied on traveller's
tobacco, at the time of its importation, and
paid in accordance with the Customs Act, a
duty of
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Exception -
excise
duty-paid
manufactured
tobacco
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(3) A duty shall not be levied under this
section on manufactured tobacco imported by
an individual for their personal use if it is
stamped in accordance with the Excise Act
and duty has been imposed on it under section
200 of that Act.
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Definitions
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(4) The definitions in this subsection apply
in this section.
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``goods
subject to
excise'' « marchandis es assujetties à l'accise »
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``goods subject to excise'' means
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``traveller's
tobacco'' « tabac du voyageur »
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``traveller's tobacco'' means manufactured
tobacco that is imported by a person at any
time and
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(2) Subsection (1) is deemed to have come
into force on April 6, 2001, except that
subsection 21(2) of the Act, as enacted by
subsection (1), does not apply to tobacco
imported before October 1, 2001.
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4. (1) Paragraph 83(a) of the Act is
replaced by the following:
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(2) Subsection (1) comes into force or is
deemed to have come into force on October
1, 2001.
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5. (1) Section 92 of the Act is amended by
adding the following after subsection (2):
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Non-applicati
on to
Canadian
manufactured
tobacco
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(3) This section does not apply to any tax
imposed under Part III of the Excise Tax Act,
or any duty imposed under the Excise Act, in
respect of manufactured tobacco that is
manufactured or produced in Canada.
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(2) Subsection (1) is deemed to have come
into force on April 6, 2001, except that
subsection 92(3) of the Act, as enacted by
subsection (1), does not apply to
manufactured tobacco entered into a
bonding warehouse before that day.
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6. (1) Note 4 to Chapter 98 of the List of
Tariff Provisions set out in the schedule to
the Act is replaced by the following:
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4. For the purpose of this Chapter, ``duties''
means duties or taxes levied or imposed on
imported goods under Part 2 of the Act (other
than subsection 21(2)), the Excise Act, the
Excise Tax Act, the Special Import Measures
Act or any other Act of Parliament relating to
customs.
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(2) Subsection (1) comes into force or is
deemed to have come into force on October
1, 2001.
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R.S., c. E-14
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EXCISE ACT |
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1993, c. 25,
s. 32(1); 1999,
c. 17,
par. 144(1)(c)
(E)
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7. (1) The portion of the definition ``cigar
stamp'' in section 6 of the Excise Act before
paragraph (a) is replaced by the following:
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``cigar stamp'' « estampille de cigares »
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``cigar stamp'' means any stamp required by
this Act and the ministerial regulations to be
affixed to a cigar, or a package, carton, box,
crate or other container containing cigars,
entered for consumption or imported into
Canada, to indicate
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1994, c. 37,
s. 2; 1999,
c. 17,
par. 144(1)(c)
(E)
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(2) The portion of the definition ``tobacco
stamp'' in section 6 of the Act before
paragraph (a) is replaced by the following:
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``tobacco
stamp'' « estampille de tabac »
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``tobacco stamp'' means any stamp required
by this Act and the ministerial regulations
to be impressed on, printed on, marked on,
indented into or affixed to a cigarette, or a
package, carton, box, crate or other
container containing manufactured
tobacco, entered for consumption or
imported into Canada, or to be affixed to
Canadian raw leaf tobacco entered for
consumption, to indicate
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(3) Section 6 of the Act is amended by
adding the following in alphabetical order:
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``foreign duty
free shop'' « boutique hors taxes à l'étranger »
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``foreign duty free shop'' has the meaning
assigned by subsection 2(1) of the Excise
Tax Act;
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``foreign
ships' stores'' « provisions de bord à l'étranger »
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``foreign ships' stores'' has the meaning
assigned by subsection 2(1) of the Excise
Tax Act;
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(4) Subsection (3) is deemed to have come
into force on April 6, 2001.
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8. (1) The Act is amended by adding the
following after section 52:
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Limitation on
entry of
tobacco into
bonding
warehouse
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52.1 Manufactured tobacco shall not be
entered into a bonding warehouse if it is
intended to be removed for
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(2) Subsection (1) is deemed to have come
into force on April 6, 2001.
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R.S., c. 7 (2nd
Supp.),
s. 63(1); 1993,
c. 25, s. 37;
1995, c. 41,
s. 109; 1999,
c. 17,
par. 144(1)(n)
(E)
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9. (1) Section 58 of the Act is replaced by
the following:
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Transfer of
goods other
than cigars
and
manufactured
tobacco in
bond
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58. (1) Goods, other than cigars and
manufactured tobacco, warehoused under this
Act may, without payment of duty, be
transferred or removed from one bonding
warehouse to another in bond, exported in
bond or released from bond to accredited
representatives for their personal or official
use, if the transfer, removal, exportation or
release is in accordance with the regulations
and the ministerial regulations.
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Removal to
customs
bonded
warehouse or
duty free shop
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(2) Goods subject to excise, other than
cigars and manufactured tobacco, may,
without payment of duty, be removed from a
bonding warehouse
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Delivery and
sale to be in
accordance
with
regulations
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(3) Goods removed under subsection (2)
shall be delivered and sold in accordance with
any ministerial regulations that apply.
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Definitions
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58.1 (1) The definitions in this subsection
apply in this section.
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``foreign
brand
tobacco'' « tabac de marque étrangère »
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``foreign brand tobacco'' means tobacco in
respect of which the excise tax imposed
under section 23.13 of the Excise Tax Act is
not payable because of section 23.3 of that
Act.
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``manufacture
d tobacco'' « tabac fabriqué »
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``manufactured tobacco'' does not include
partially manufactured tobacco or foreign
brand tobacco.
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``partially
manufactured
tobacco'' « tabac partiellement fabriqué »
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``partially manufactured tobacco'' means a
tobacco product made by a tobacco
manufacturer that is cut filler or cut rag or
that is manufactured less fully than cut filler
or cut rag.
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Categories of
manufactured
tobacco
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(2) For the purposes of subsection (4), each
of the following constitutes a category of
manufactured tobacco:
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Removal of
manufactured
tobacco in
bond
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(3) Manufactured tobacco may, without
payment of duty, be removed from a bonding
warehouse only if
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Maximum
quantity
permitted to
be exported in
bond
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(4) A tobacco manufacturer shall not, at a
particular time in a calendar year, remove a
particular quantity of a category of
manufactured tobacco from the
manufacturer's bonding warehouse for export
in bond if the total quantity of that category of
manufactured tobacco removed in the year up
to that time by the manufacturer from a
bonding warehouse for export in bond, plus
the particular quantity, exceeds 1.5% of the
total quantity of manufactured tobacco of that
category manufactured by the manufacturer in
the preceding calendar year.
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Quantities to
be excluded
for the
purpose of
subsection (4)
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(5) The total quantities referred to in
subsection (4) shall not include any quantity
of manufactured tobacco that was exported by
the manufacturer for delivery to a foreign duty
free shop or as foreign ships' stores.
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Removal of
cigars in bond
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(6) Cigars may, without payment of duty, be
removed from a bonding warehouse only if
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