2003 Legislative Session: 4th Session, 37th Parliament
FIRST READING
The following electronic version is for informational
purposes only.
The printed version remains the official version.
HONOURABLE BILL BARISOFF
MINISTER OF PROVINCIAL REVENUE
HER MAJESTY, by and with the advice and consent of the Legislative Assembly of the Province of British Columbia, enacts as follows:
Corporation Capital Tax Act
1 Section 7.1 of the Corporation Capital Tax Act, R.S.B.C. 1996, c. 73, is amended
(a) by repealing subsection (2), and
(b) by adding the following subsections:
(5) A regulation made under subsection (2) may be made retroactive to June 6, 2000 or such later date as the Lieutenant Governor in Council may determine and a regulation made retroactive is deemed to come into force on the date specified in the regulation.
(6) Subsection (5) is repealed on September 1, 2002.
2 Section 10 is amended by striking out "At the end of a financial corporation's taxation year," and substituting "At the end of a taxation year of a financial corporation other than an authorized foreign bank,".
3 Section 11 is amended
(a) by repealing subsection (1) and substituting the following:
(1) In this section, "total assets" means
(a) in relation to a financial corporation other than an authorized foreign bank, the aggregate of the carrying values of the financial corporation's assets on its balance sheet at the end of its taxation year and includes the amounts by which the carrying values of its assets have been reduced by liabilities or deferred credits, and
(b) in relation to an authorized foreign bank, the aggregate of the carrying values of the authorized foreign bank's assets on its balance sheet at the end of its taxation year that are used or held in the course of its Canadian banking business before the application of risk weights under the OSFI risk-weighting guidelines. ,
(b) in subsection (2) by adding ", other than an authorized foreign bank," after "If a financial corporation",
(c) by adding the following subsections:
(2.1) If, in the course of carrying on its Canadian banking business, an authorized foreign bank owns shares of another financial corporation that has a permanent establishment in British Columbia, other than a financial corporation referred to in section 4 (3), there may be deducted from the total paid up capital of the authorized foreign bank an investment allowance equal to the proportion of the total paid up capital that the carrying values of those shares in the other financial corporation bear to the total assets of the authorized foreign bank.
(4) For the purposes of applying subsection (2.1) to an authorized foreign bank, the carrying values of the shares referred to in that subsection are the total value of those shares used or held in the course of its Canadian banking business at the end of its taxation year before the application of risk weights under the OSFI risk-weighting guidelines. , and
(d) in subsection (3) by adding "or (2.1)" after "subsection (2)".
4 Section 17 (1) is amended in paragraph (c) (ii) of the definition of "avoidance transaction" by striking out "federal or provincial Act" in both places and substituting "enactment of the Province, the government of Canada or another jurisdiction".
5 Section 29 is repealed and the following substituted:
29 (1) Despite a prior assessment, or if no assessment has been made, a corporation continues to be liable for any tax due under this Act.
(2) The administrator may assess or reassess a corporation for a tax or make an additional tax assessment against the corporation for a taxation year
(a) at any time
(i) if any person has made any misrepresentation or committed any fraud in making the return or supplying information under this Act for the taxation year,
(ii) if the corporation has filed a waiver with the administrator for the taxation year, in the form and containing the information required by the administrator, within 6 years from the date of delivery of a return for that taxation year, or
(iii) if the corporation has not delivered a return for the taxation year, or
(b) within 6 years from the date of delivery of a return for the taxation year.
(3) A waiver filed under subsection (2) (a) (ii) continues in effect until 6 months after the corporation files with the administrator a notice revoking the waiver in the form and containing the information required by the administrator.
6 Section 29 is amended by adding "financial" before "corporation" wherever it appears.
7 Section 48 is amended
(a) by repealing subsection (1) and substituting the following:
(1) The Lieutenant Governor in Council may make regulations referred to in section 41 of the Interpretation Act. , and
(b) by repealing subsection (4) and substituting the following:
(4) Without limiting subsection (1), the Lieutenant Governor in Council may make regulations as follows:
(a) prescribing anything that by this Act is to be prescribed or is to be determined by regulation;
(b) defining a word or phrase used but not defined in this Act;
(c) respecting the delivery of a return or the payment of estimated tax or an installment.
Freedom of Information and Protection of Privacy Act
8 Schedule 2 of the Freedom of Information and Protection of Privacy Act, R.S.B.C. 1996, c. 165, is amended by striking out the following:
| Public Body: | Mineral Tax Review Board | |
| Head: | Minister of Provincial Revenue . |
Hotel Room Tax Act
9 Section 1 of the Hotel Room Tax Act, R.S.B.C. 1996, c. 207, is amended by repealing the definition of "minister".
10 Section 4 (4) is amended by striking out ", with the approval of the minister,".
11 Section 17 is amended
(a) by adding the following subsection:
(8.1) Despite subsection (5) or (8), the director may enter into a written agreement with a person in which the person waives subsection (5) or (8), or both, and allows the director, in making an assessment or imposing a penalty, to consider and include any period specified in the agreement. , and
(b) by repealing subsection (9).
12 Section 18 (1) is amended by adding the following paragraph:
(a.1) a cancellation or suspension of a registration certificate or a refusal to grant a registration certificate under section 4 (4), .
13 The following section is added:
20.1 (1) Evidence that an assessment has been made or a penalty has been imposed under this Act is proof, in the absence of evidence to the contrary, that the amount stated in the assessment or imposed as a penalty is due and owing, and the onus of proving otherwise is on the person assessed or penalized.
(2) Subject to being amended, changed or varied on appeal or by reassessment, an assessment made or penalty imposed under this Act is valid and binding despite any error, defect or omission in the assessment or penalty or in procedure.
Income Tax Act
14 Section 1 (1) of the Income Tax Act, R.S.B.C. 1996, c. 215, is amended
(a) by repealing the definitions of "deputy head", "minister" and "Provincial minister" and substituting the following:
"deputy head" means,
(a) if a collection agreement is not in effect, the deputy Provincial minister, or
(b) if a collection agreement is in effect, the Commissioner of Customs and Revenue;
"minister" means,
(a) if a collection agreement is not in effect, the Provincial minister, or
(b) if a collection agreement is in effect, the federal minister;
"Provincial minister" means the member of the Executive Council charged with the administration of this Act; ,
(b) by adding the following definitions:
"federal minister" means,
(a) in relation to the remittance of any amount as or on account of tax payable under this Act, the Receiver General for Canada, and
(b) in relation to any other matter, the Minister of National Revenue;
"finance minister" means the member of the Executive Council charged with the administration of the Financial Administration Act;
"ministry" means the ministry of the Provincial minister; , and
(c) by repealing the definition of "Receiver General for Canada".
15 Section 1 (7) is amended
(a) in paragraph (i) by striking out "subsection (8)," and substituting "subsections (8) and (8.1),",
(b) in the table following paragraph (i) by striking out "Provincial minister" in Column 2 opposite "Receiver General" in Column 1 and substituting "finance minister",
(c) in the table following paragraph (i) by striking out "Ministry of the Provincial minister" in Column 2 and substituting "ministry", and
(d) in the table following paragraph (i) by adding "Minister" in Column 1 and "Provincial minister" opposite in Column 2.
16 Section 1 is amended
(a) in subsection (8) (c) by striking out "the proposed",
(b) in subsection (8) by adding the following paragraph:
(e) the definition of "taxable income earned in Canada" in section 248 (1) of the federal Act as that definition applies for the purposes of Division 2 of Part 1 of this Act. ,
(c) by adding the following subsection:
(8.1) If a collection agreement is in effect, in applying the federal Act for the purposes of this Act,
(a) a reference to the Commissioner of Customs and Revenue in the federal Act must continue to be read as a reference to the Commissioner of Customs and Revenue,
(b) a reference to the Minister in the federal Act must continue to be read as a reference to the Minister, and
(c) a reference to the Receiver General in the federal Act must continue to be read as a reference to the Receiver General. , and
(d) by repealing subsection (9).
17 Section 4 (1) is amended
(a) in paragraph (c) of the definition of "income for the year" by striking out "the proposed", and
(b) by adding the following definition:
"taxable income earned in Canada" has the same meaning as in the federal Act.
18 Section 4 (2) is repealed.
19 Section 4.1 is amended
(a) in subsection (1) by striking out "(3), (5) and (6)" and substituting "(3) and (5) to (7)",
(b) in subsection (3) by striking out "(4) to (6)" and substituting "(4) to (7)", and
(c) by adding the following subsection:
(7) For the purposes of applying subsections (1) and (3) of this section to an individual who was not resident in Canada at any time in the taxation year, the phrase "taxable income" in subsections (1) and (3) must be read as "taxable income earned in Canada".
20 Section 4.71 is amended
(a) in subsection (2) (a) by striking out "or 180.1 (1.1)",
(b) in subsection (2) (b) (ii) by striking out "110 (1) (d), (d.1), (d.2), (d.3), (f)" and substituting "110 (1) (d) to (d.3), (f), (g)",
(c) in subsection (3) by striking out "the proposed", and
(d) by repealing subsection (4).
21 Section 4.77 is amended by striking out "taxable income for the year earned in Canada:" and substituting "taxable income earned in Canada for the year:".
22 Section 4.82 is amended
(a) by repealing subsection (1), and
(b) in subsection (2) by striking out "the proposed".
23 Section 10 (1) (b) is amended by striking out "Provincial".
24 Sections 11 (2) (b), (3) (b) and (4) (b) and 17 (3) (g) and (9) are amended by striking out "federal minister" and substituting "minister".
25 Sections 13.1 (5), 21 (15), 77.1 (2) and 95 (2) are amended by adding ", the federal minister, if a collection agreement is in effect," after "Provincial minister".
26 Section 14 (6) (b) is amended by striking out "section 131 (6) (d) (i)" and substituting "paragraph (a) of the description of "A" in the definition of "refundable capital gains tax on hand" in section 131 (6)".
27 Section 19 is amended
(a) in subsection (4) by striking out "tax otherwise payable" and substituting "notional tax" and by striking out "and despite sections 66.1 (6) (a) and 66.2 (5) (a) of the federal Act", and
(b) in subsection (5) by striking out "section 66.1 (6) (a) or 66.2 (5) (a)" and substituting "section 66.1 (6) or 66.2 (5)".
28 Section 21 is amended
(a) in subsections (3), (5) and (6) by striking out "Provincial", and
(b) in subsection (13) by striking out "Provincial minister under" in both places and substituting "minister under", and by striking out "Provincial minister must" and substituting "finance minister must".
29 Section 25.1 (1) (9) is amended
(a) by renumbering subsection (1) (9) as subsection (9), and
(b) in subsection (9) by adding ", the federal minister, if a collection agreement is in effect," after "Provincial minister".
30 Section 29 is amended
(a) by adding the following subsection:
(1.1) In applying section 152 (4.2) of the federal Act for the purposes of this Act, section 152 (4.2) (d) must be read as follows:
"(d) redetermine the amount, if any, deemed by section 8 (5) [refundable sales tax credit], 21 (10) [small business venture capital tax credit], 25 (5) [qualifying environmental trusts tax credit] or 25.1 (5) [mining exploration tax credit] of this Act to be paid or deducted on account of the taxpayer's tax payable under this Act for the year or deemed by section 10 (3) [BC Family Bonus] of this Act to be an overpayment on account of the taxpayer's liability under this Act for the year.", and
(b) in subsection (2) by adding ", 99 (2) or 105 (1)" after "section 4.721 (2)".
31 Section 30 is amended
(a) in subsection (1) by striking out "Provincial" and substituting "federal", and
(b) in subsections (2) and (3) by striking out "Provincial" wherever it appears.
32 Section 31 is amended by renumbering the section as section 31 (1) and by adding the following subsection:
(2) If a collection agreement is in effect, an individual who pays an amount in respect of a taxation year under section 155 (1) (a) or (b) of the federal Act and who is required to make a payment under section 155 of the federal Act, as it applies for the purposes of this Act, must pay an amount in respect of the year calculated under the same paragraph as it applies for the purposes of this Act.
33 Section 32 is amended by adding the following subsection:
(3) If a collection agreement is in effect, an individual who pays amounts in respect of a taxation year under section 156 (1) (a) or (b) of the federal Act and who is required to make payments under section 156 of the federal Act, as it applies for the purposes of this Act, must pay an amount in respect of the year calculated under the same paragraph as it applies for the purposes of this Act.
34 Section 33 (1) is repealed and the following substituted:
(1) Sections 157 (1), (2), (2.1) and (4) and 157.1 of the federal Act apply for the purposes of this Act.
35 Section 36 is amended
(a) by striking out "section 161 (4) of the federal Act" in both places and substituting "section 161 (4) or (4.01) of the federal Act",
(b) by striking out "section 161 (4) (c) or (d)" and substituting "section 161 (4) or (4.01)", and
(c) by adding "of section 161 (4) or (4.01) of the federal Act" after "same paragraph".
36 Sections 37 (2) and 38 (2) are amended by striking out "Provincial" and substituting "federal".
37 Sections 42 (3) (a) and (4) and 43 (1) are amended by striking out "Provincial" wherever it appears.
38 Section 47 is amended
(a) by renumbering the section as section 47 (1),
(b) in subsection (1) by striking out "220," and substituting "220 (2) to (7),", and
(c) by adding the following subsection:
(2) Subject to section 69, the Provincial minister must administer and enforce this Act.
39 Section 50 (2) is amended by striking out "Provincial" and substituting "federal".
40 Sections 51 (1), 56 (2) and (3) and 58 (1) are amended by striking out "Provincial" wherever it appears.
41 Section 59 is amended by striking out "Section 231 to 231.5," and substituting "Sections 231 to 231.5, 231.7,".
42 Section 63 is amended by adding "federal" before "minister".
43 Section 64 (1) is amended by adding the following definition:
"police officer" means a police officer as defined in section 462.48 (17) of the Criminal Code; .
44 Section 64 (1) is amended in paragraph (a) of the definition of "taxpayer information"
(a) in subparagraph (i) by adding "or finance minister or both" after "Provincial minister", and
(b) in subparagraph (ii) by striking out "the Provincial Minister or the Minister of National Revenue or both," and substituting "one or more of the Provincial minister, the finance minister or the federal minister,".
45 Section 64 is amended
(a) in subsection (5) (c) by adding the following subparagraph:
(iii.1) to an official of the ministry, solely for the purpose of monitoring the use of powers, the performance of duties and the exercise of discretion under this Act by the federal minister or the Commissioner of Customs and Revenue under a collection agreement, ,
(b) in subsection (5) (c) (iv) by striking out "Ministry of Finance and Corporate Relations," and substituting "ministry of the finance minister,",
(c) in subsection (5) by striking out "and" at the end of paragraph (i) and by adding the following paragraph:
(i.1) provide taxpayer information to a police officer solely for the purpose of investigating whether an offence has been committed under the Criminal Code, or the laying of an information or the preferring of an indictment, if
(i) the taxpayer information can reasonably be regarded as being necessary for the purpose of ascertaining
(A) the circumstances in which an offence under the Criminal Code may have been committed, or
(B) the identity of the person who may have committed an offence,
with respect to an official, or with respect to any person related to that official,
(ii) the official was or is engaged in the administration or enforcement of this Act, and
(iii) the offence can reasonably be considered to be related to that administration or enforcement, and , and
(d) in subsection (6) (a) by striking out "Ministry of Finance and Corporate Relations," and substituting "ministry or, under subsection (5) (c) (iv), the ministry of the finance minister,".
46 Section 65 is amended
(a) in subsection (2) by adding ", the finance minister or, if a collection agreement is in effect, the federal minister" after "Provincial minister", and
(b) in subsections (3) to (4) by adding "or finance minister" after "Provincial minister" wherever it appears.
47 Section 68 is amended
(a) in subsections (3) and (5) by striking out "Provincial", and
(b) in subsection (6) by striking out "by the minister," and substituting "by the federal minister," and by striking out "his or her deputy or an officer of his or her ministry" in both places and substituting "the deputy Provincial minister or an officer of the ministry".
48 Section 69 is amended
(a) in subsections (1) and (2) by striking out "Provincial" and substituting "finance",
(b) in subsection (3) by striking out "the minister," in both places and substituting "the federal minister," and by striking out "deputy head" and substituting "deputy Provincial minister",
(c) in subsection (4) (a) by adding "federal" before "minister", and
(d) by adding the following subsection:
(5) Despite subsection (3), the federal minister is not authorized to use, perform or exercise any of the following powers, duties or discretions of the Provincial minister:
(a) determining that a form is acceptable under section 11 (2) (b), (3) (b) or (4) (b);
(b) specifying forms under section 13 (3);
(c) respecting the collection and sharing of information under sections 13.1 (5), 21 (15), 25.1 (9), 77.1 (2) and 95 (2);
(d) respecting an appeal under section 18;
(e) respecting an information-sharing agreement under section 65;
(f) any power, duty or discretion under sections 68 (4) and 95 (1).
49 Section 70 is amended by adding "federal" before "minister" wherever it appears.
50 Section 71 is amended by striking out "Commissioner" and substituting "Receiver General for Canada".
51 Section 73 is amended
(a) in subsections (2) and (3) by striking out "Provincial" wherever it appears and substituting "finance", and
(b) in subsections (3) and (8) (b) by striking out "the minister" and substituting "the federal minister".
52 Sections 75 and 76 (1) are amended by striking out "Ministry of Finance and Corporate Relations" and substituting "ministry".
53 Section 77 is amended by striking out "Environment, Lands and Parks" and substituting "Sustainable Resource Management".
54 Section 79 (1) is amended by repealing the definition of "certifying authority" and substituting the following:
"certifying authority" means the Minister of Competition, Science and Enterprise; .
55 Sections 88, 89 (2) and (3), 90 (b) (ii), 92 and 94 are amended by striking out "Provincial" wherever it appears.
56 Section 99 is amended
(a) in subsection (3) (b) by striking out "and the 3 taxation years immediately following",
(b) in subsection (3) by adding the following paragraph:
(c) the total of the corporation's annual non-refundable tax credits for the 3 taxation years immediately following, less any of those amounts that were previously deductible by the corporation under subsection (2) for the subsequent year. , and
(c) in subsection (4) by adding "and (c)" after "subsection (3) (b)".
57 Section 111 (2) is amended by striking out '"Provincial minister"' and substituting '"minister", as defined in this Act'.
Land Tax Deferment Act
58 Section 4 of the Land Tax Deferment Act, R.S.B.C. 1996, c. 249, is amended
(a) by repealing subsection (2) and substituting the following:
(2) Despite subsection (1), the agreement is not terminated under subsection (1) if the eligible property
(a) is transferred to the surviving spouse on death of the owner, or
(b) is disposed of in the prescribed circumstances. , and
(b) in subsection (3) by striking out "spouse" and substituting "transferee".
59 Section 18 (2) is amended by adding the following paragraph:
(e) prescribing circumstances in which the disposal of eligible property does not terminate an agreement.
Logging Tax Act
60 Section 20 of the Logging Tax Act, R.S.B.C. 1996, c. 277, is repealed and the following substituted:
20 (1) Despite a prior assessment, or if no assessment has been made, a taxpayer continues to be liable for taxes due under this Act.
(2) The commissioner may assess or reassess a taxpayer for taxes for a taxation year
(a) at any time
(i) if the taxpayer has failed to file a return for the taxation year,
(ii) if any person has made any misrepresentation or committed any fraud in making the taxpayer's return or supplying information under this Act for the taxation year,
(iii) if the taxpayer has filed a waiver under subsection (3) for the taxation year, or
(iv) if the taxpayer has not filed a waiver in accordance with subsection (3) (b) for the taxation year, or
(b) within 5 years after the date of the original assessment for the taxation year.
(3) A taxpayer
(a) may file with the commissioner a waiver for the taxation year, in the form and containing the information required by the commissioner, within 5 years of the date of the original assessment, and
(b) must file with the commissioner a waiver for the taxation year, in the form and containing the information required by the commissioner, if the taxpayer has
(i) filed a waiver under section 152,
(ii) served a notice of objection under section 165, or
(iii) filed an appeal under section 169
of the Income Tax Act (Canada) for that taxation year.
(4) A waiver filed
(a) under subsection (3) (a) continues in effect until 6 months after the taxpayer files with the commissioner a notice revoking the waiver in the form and containing the information required by the commissioner, and
(b) under subsection (3) (b) continues in effect until 6 months after the taxpayer files with the commissioner
(i) a notice, in the form and containing the information required by the commissioner, that the waiver, objection or appeal filed under the Income Tax Act (Canada) has been terminated, and
(ii) a copy of any resulting reassessment under the Income Tax Act (Canada).
Mineral Tax Act
61 Section 1 (1) of the Mineral Tax Act, R.S.B.C. 1996, c. 291, is amended by repealing the definition of "board".
62 Section 22 (2) (c) is amended by striking out "Mineral Tax Review Board" and substituting "minister".
63 Sections 23 to 27 are repealed and the following substituted:
26 (1) If an operator objects to an assessment made under this Act, the operator or the operator's agent may appeal to the minister in accordance with this section.
(2) An appeal under this section must be made by serving a notice of appeal on the minister within 90 days after the date of the notice of the assessment.
(3) The notice of appeal must
(a) be in writing,
(b) be addressed to the minister at Victoria, and
(c) set out clearly the reasons for the appeal and all facts relative to it.
(4) On receiving the notice of appeal, the minister must
(a) consider the matter,
(b) affirm, amend or change the assessment, estimate, interest charge, penalty or the nature of the assessment, and
(c) promptly notify the appellant in writing of the result of the appeal.
27 (1) A decision of the minister under section 26 (4) may be appealed to the Supreme Court by an originating application.
(2) The Rules of Court relating to originating applications apply to appeals under this section, but Rule 49 does not apply.
(3) A petition commencing an appeal under this section must be filed in the court registry within 90 days after the date on the minister's notification of decision.
(4) Within 14 days after the filing of the petition under subsection (3), the petition must be served on the government in accordance with the Crown Proceeding Act.
(5) In the petition, the government must be designated "Her Majesty the Queen in right of the Province of British Columbia".
(6) An appeal under this section is a new hearing that is not limited to the evidence and issues that were before the minister.
(7) The court may
(a) dismiss the appeal,
(b) allow the appeal,
(c) vary the decision from which the appeal is made, or
(d) refer the decision back to the commissioner for reconsideration.
64 Section 29 (2) is amended by striking out "minister" and substituting "commissioner".
65 Section 38 (1) is amended by striking out "or the board".
66 Section 44 (2) (h) is repealed.
Motor Fuel Tax Act
67 Section 42 of the Motor Fuel Tax Act, R.S.B.C. 1996, c. 317, is amended by renumbering the section as section 42 (1) and by adding the following subsections:
(2) In making an estimate under this section the director must not consider or include a period longer than 6 years before the date of the first notice of assessment.
(3) Despite subsection (2), the director may enter into a written agreement with a person in which the person waives subsection (2) and allows the director, in making an estimate under this section, to consider and include any period specified in the agreement.
68 Section 43 is amended by adding the following subsection:
(5) Despite subsection (3), the director may enter into a written agreement with a person in which the person waives subsection (3) and allows the director, in making an assessment under this section, to consider and include any period specified in the agreement.
69 Section 44 is amended by adding the following subsections:
(5) In imposing a penalty under this section the director must not consider or include a period longer than 6 years before the date of the first notice of assessment.
(6) Despite subsection (5), the director may enter into a written agreement with a person in which the person waives subsection (5) and allows the director, in imposing a penalty under this section, to consider and include any period specified in the agreement.
70 Section 46 is amended by renumbering the section as section 46 (1) and by adding the following subsections:
(2) Evidence that a notice of assessment under subsection (1) has been issued is proof, in the absence of evidence to the contrary, that the amount estimated, assessed or imposed under this Act is due and owing, and the onus of proving otherwise is on the person liable to pay the amount estimated, assessed or imposed.
(3) Subject to being amended, changed or varied on appeal or by reassessment, an estimate, assessment or penalty made or imposed under this Act is valid and binding despite any error, defect or omission in the estimate, assessment or penalty or in procedure.
71 Section 50 (1) (b) is amended by adding "or under the regulations" after "27 (3)".
72 Section 67 (2) is amended by striking out "A notice of assessment" and substituting "In a prosecution a notice of assessment".
Petroleum and Natural Gas Act
73 Part 10 of the Petroleum and Natural Gas Act, R.S.B.C. 1996, c. 361, is amended by adding the following section:
72.1 (1) The minister must appoint an employee of the ministry as the royalty administrator.
(2) The Minister of Provincial Revenue must appoint an employee of his or her ministry as the royalty collector.
74 Section 73 (3) is repealed and the following substituted:
(3) For the purposes of the regulations made under subsection (2), the Lieutenant Governor in Council may delegate powers to, and confer discretionary powers on, one or both of the following:
(a) the royalty administrator;
(b) the royalty collector.
75 Section 76 (2) is amended by striking out "administrator appointed under section 73 (3)," and substituting "collector,".
76 Section 77 is amended by striking out "administrator" wherever it appears and substituting "royalty collector".
Public Sector Employers Act
77 The Schedule to the Public Sector Employers Act, R.S.B.C. 1996, c. 384, is amended by striking out "Mineral Tax Review Board".
School Act
78 Section 118 of the School Act, R.S.B.C. 1996, c. 412, is repealed and the following added to Division 4 of Part 8:
118 (1) A municipality must apply in each taxation year to the following for the school tax portion of a grant in place of taxes for the taxation year in respect of land and improvements:
(a) an owner who is identified by the British Columbia Assessment Authority as
(i) exempt from paying school taxes levied under this Act, and
(ii) authorized to pay a grant in place of taxes;
(b) an owner who is exempt from paying school taxes levied under this Act and has paid a grant in place of taxes to the municipality in the previous taxation year.
(2) On or before February 1 in each year, a municipality must pay to the minister of finance any amount that has been received by the municipality in the preceding calendar year as the school tax portion of a grant in place of taxes.
(3) If a municipality does not apply for the school tax portion of a grant in accordance with subsection (1) and in the opinion of the Surveyor of Taxes the municipality would have received the grant if the municipality had applied for it, the Surveyor of Taxes may disallow all or part of the administration fee to which the municipality would otherwise be entitled under section 124 (10).
79 Section 119 is amended
(a) in subsection (2) by striking out "revenue" and substituting "finance",
(b) in subsection (6) by striking out ", on the recommendation of the minister,", and
(c) by repealing subsection (8).
80 Section 124 (10) is amended by striking out "section 125 (5)," and substituting "sections 118 (3) and 125 (5),".
81 Section 125 is amended
(a) in subsection (1) by adding "any grants in place of taxes that a municipality is required to pay to the minister of finance under section 118 and" after "means",
(b) in subsection (3) by striking out "penalties or interest" and substituting "penalties, interest or grants in place of taxes", and
(c) in subsections (4) (d) and (5) by striking out "minister of revenue" and substituting "Surveyor of Taxes".
82 Section 175 (2) (l) is amended by striking out "119 (3), (6) and (8)" and substituting "119 (3) and (6)".
Social Service Tax Act
83 Section 92 (6) of the Social Service Tax Act, R.S.B.C. 1996, c. 431, is amended by striking out "With the approval of the minister, the" and substituting "The".
84 Section 115 is amended by adding the following subsection:
(8) Despite subsection (3) or (6), the commissioner may enter into a written agreement with a person in which the person waives subsection (3) or (6), or both, and allows the commissioner, in making an assessment or imposing a penalty, to consider and include any period specified in the agreement.
85 Section 116 is amended
(a) by adding the following subsection:
(4.1) Despite subsection (4), the commissioner may enter into a written agreement with a person in which the person waives subsection (4) and allows the commissioner, in making an estimate, to consider and include any period specified in the agreement. , and
(b) by repealing subsection (6).
86 The following section is added:
116.1 (1) Evidence that an assessment or estimate has been made or a penalty has been imposed under this Act is proof, in the absence of evidence to the contrary, that the amount stated in the assessment or estimate or imposed as a penalty is due and owing, and the onus of proving otherwise is on the person liable to pay the amount estimated, assessed or imposed.
(2) Subject to being amended, changed or varied on appeal or by reassessment, an assessment, estimate or penalty made or imposed under this Act is valid and binding despite any error, defect or omission in the assessment, estimate or penalty or in procedure.
87 Section 118 (1) is amended by adding the following paragraph:
(a.1) disputes a cancellation or suspension of a registration certificate or a refusal to grant a registration certificate under section 92 (6), .
Tobacco Tax Act
88 Section 22 of the Tobacco Tax Act, R.S.B.C. 1996, c. 452, is amended
(a) in subsection (1) by striking out "subsections (2.2)" and substituting "subsections (2.3)",
(b) in subsection (6) by striking out "subsection (5)," and substituting "this section," and by striking out ", all or part of which may be before April 6, 1982",
(c) by adding the following subsection:
(6.1) Despite subsection (3) or (6), the director may enter into a written agreement with a person in which the person waives subsection (3) or (6), or both, and allows the director, in making an assessment or imposing a penalty, to consider and include any period specified in the agreement. ,
(d) by repealing subsections (7) and (7.1) and substituting the following:
(7.1) Evidence that a dealer has acquired tobacco is proof, in the absence of evidence to the contrary, that the dealer has sold that tobacco in British Columbia and has collected an amount at least equal to the tax payable by the consumer in respect of that tobacco, and the onus of proving otherwise is on the dealer. , and
(e) by repealing subsection (8).
89 Section 23 (1) is amended
(a) in paragraph (a) by striking out "section 22 (1) or (2)" and substituting "section 22", and
(b) in paragraph (b) by striking out "section 22 (5)" and substituting "section 22".
90 Sections 23 (3) and 43.1 (2) and (5) are amended by striking out "Minister of Finance and Corporate Relations" and substituting "minister".
91 The following section is added:
25.1 (1) Evidence that an assessment has been made or a penalty has been imposed under this Act is proof, in the absence of evidence to the contrary, that the amount stated in the assessment or imposed as a penalty is due and owing, and the onus of proving otherwise is on the person assessed or penalized.
(2) Subject to being amended, changed or varied on appeal or by reassessment, an assessment or penalty made or imposed under this Act is valid and binding despite any error, defect or omission in the assessment or penalty or in procedure.
92 The following section is added:
59 For the purposes of this Act and the regulations, one cigarette is deemed to contain one gram of tobacco.
93 If, on the date this section comes into force, an appeal to the Mineral Tax Review Board has been commenced under the Mineral Tax Act, the appeal is deemed to be an appeal to the minister under section 26 of the Mineral Tax Act, as enacted by this Act.
94 (1) Sections 1 (a), 2, 3, 6 and 7 are deemed to have come into force on September 1, 2002 and are retroactive to the extent necessary to give them effect on and after that date.
(2) Section 1 (b) is deemed to have come into force on February 19, 2002 and is retroactive to the extent necessary to give it effect on and after that date.
(3) Section 4 is deemed to have come into force on the date on which this Act received First Reading in the Legislative Assembly and is retroactive to the extent necessary to give it effect on and after that date.
(4) Section 5 is deemed to have come into force on August 31, 2002 and is retroactive to the extent necessary to give it effect on and after that date.
(5) Sections 16 (b), 17 (b), 19, 20 (b), 21, 30 (a), 32, 33 and 35 are deemed to have come into force on January 1, 2000 and are retroactive to the extent necessary to give them effect on and after that date.
(6) Section 20 (a) is deemed to have come into force on January 1, 2001 and is retroactive to the extent necessary to give it effect on and after that date.
(7) Section 29 (a) is deemed to have come into force on July 6, 2000 and is retroactive to the extent necessary to give it effect on and after that date.
(8) Sections 41, 43 and 45 (c) are deemed to have come into force on June 14, 2001 and are retroactive to the extent necessary to give them effect on and after that date.
(9) Section 56 is deemed to have come into force on September 1, 1999 and is retroactive to the extent necessary to give it effect on and after that date.
(10) Section 88 (a) is deemed to have come into force on June 30, 1995 and is retroactive to the extent necessary to give it effect on and after that date.
Corporation Capital Tax Act
SECTION 1: [Corporation Capital Tax Act, amends section 7.1]
(a) is consequential to the amendment to section 48 of the Act by this Bill, and
(b) changes the effective date of the repeal of a provision, in accordance with the intent of section 12 (b) of the Corporation Capital Tax Amendment Act, 2002.
SECTION 2: [Corporation Capital Tax Act, amends section 10] provides that an authorized foreign bank may not deduct any negative retained earnings from its aggregate paid up capital to determine its total paid up capital.
SECTION 3: [Corporation Capital Tax Act, amends section 11] clarifies the meaning of total assets and the carrying value of shares for an authorized foreign bank and provides for the calculation of net paid up capital for an authorized foreign bank.
SECTION 4: [Corporation Capital Tax Act, amends section 17 (1)] broadens the meaning of "avoidance transaction" to apply to a transaction undertaken primarily for the purpose of reducing taxes imposed by a jurisdiction outside of Canada.
SECTION 5: [Corporation Capital Tax Act, re-enacts section 29]
SECTION 6: [Corporation Capital Tax Act, amends section 29] changes references from "corporation" to "financial corporation".
SECTION 7: [Corporation Capital Tax Act, amends section 48]
(a) refers to the regulation making authority in the Interpretation Act, and
(b) provides for regulations defining words or phrases used but not defined in the Act.
Freedom of Information and Protection of Privacy Act
SECTION 8: [Freedom of Information and Protection of Privacy Act, amends Schedule 2] removes reference to the Mineral Tax Review Board.
Hotel Room Tax Act
SECTION 9: [Hotel Room Tax Act, amends section 1] removes an incorrect definition.
SECTION 10: [Hotel Room Tax Act, amends section 4 (4)] removes the requirement that the director obtain the approval of the minister before cancelling, suspending or refusing to grant a registration certificate.
SECTION 11: [Hotel Room Tax Act, amends section 17]
(a) provides for an agreement that allows the director to consider a period beyond the 6 year assessment period or the 3 year penalty period, and
(b) is consequential to the enactment by this Bill of section 20.1 of the Act.
SECTION 12: [Hotel Room Tax Act, adds section 18 (1) (a.1)] allows for an appeal to the minister from a decision of the director to cancel, suspend or refuse to grant a registration certificate.
SECTION 13: [Hotel Room Tax Act, enacts section 20.1] provides
Income Tax Act
SECTION 14: [Income Tax Act, amends section 1 (1)]
(a) clarifies the meaning of "deputy head" and "minister" and redefines "Provincial minister" to clarify references in the Income Tax Act to the Minister of Provincial Revenue,
(b) adds a definition of "federal minister" to clarify references in the Income Tax Act to the Receiver General for Canada and the Minister of National Revenue and adds definitions of "finance minister" and "ministry", and
(c) repeals a definition that is no longer necessary as a consequence of other amendments to section 1 of the Income Tax Act.
SECTION 15: [Income Tax Act, amends section 1 (7)]
(a) provides for further exceptions to the table following section 1 (7) (i) of the Income Tax Act,
(b) updates a reference to a minister,
(c) is consequential to the enactment of the definition of "ministry", and
(d) is consequential to the enactment of new definitions of "federal minister", "minister" and "Provincial minister".
SECTION 16: [Income Tax Act, amends section 1 (8), adds subsection (8.1) and repeals subsection (9)]
(a) AND (d) is consequential to the enactment of section 120.4 of the federal Act,
(b) ensures that in applying certain provisions of the federal Act, references to Canada remain unchanged despite the general rule in section 1 (7) of British Columbia's Income Tax Act requiring references to Canada to be read as references to British Columbia, and
(c) provides exceptions to the application of the table following section 1 (7) (i) of the Income Tax Act if a collection agreement is in effect.
SECTION 17: [Income Tax Act, amends section 4 (1)]
(a) is consequential to the enactment of section 120 (3) (c) of the federal Act, and
(b) adds a definition of "taxable income earned in Canada".
SECTION 18: [Income Tax Act, repeals section 4 (2)] is consequential to the enactment of section 120 (3) (c) of the federal Act.
SECTION 19: [Income Tax Act, amends section 4.1] provides for the calculation of tax payable, based on taxable income earned in Canada, for an individual who was not resident in Canada at any time in the taxation year.
SECTION 20: [Income Tax Act, amends section 4.71]
(a) removes a reference to a repealed provision of the federal Act,
(b) adds references to section 110 (1) (d.01) and (g) of the federal Act, and
(c) AND (d) is consequential to the enactment of section 20 (1) (ww) of the federal Act.
SECTION 21: [Income Tax Act, amends section 4.77] is consequential to the enacting of the definition of "taxable income earned in Canada" by this Bill.
SECTION 22: [Income Tax Act, amends section 4.82] is consequential to the enactment of section 120.31 of the federal Act.
SECTION 23: [Income Tax Act, amends section 10 (1) (b)] is consequential to the enactment of new definitions of "federal minister", "minister" and "Provincial minister".
SECTION 24: [Income Tax Act, amends sections 11 and 17] changes references to a minister consequential to the enactment of the definition of "minister".
SECTION 25: [Income Tax Act, amends sections 13.1 (5), 21 (15), 77.1 (2) and 95 (2)] is consequential to the enactment of new definitions of "federal minister", "minister" and "Provincial minister" and provides for the collection and sharing of information by the Provincial minister if a collection agreement is in effect.
SECTION 26: [Income Tax Act, amends section 14 (6) (b)] is consequential to the renumbering of the referenced section in the federal Act.
SECTION 27: [Income Tax Act, amends section 19 (4) and (5)] replaces a reference to "tax otherwise payable" with "notional tax" and is consequential to the renumbering of the referenced sections in the federal Act.
SECTION 28: [Income Tax Act, amends section 21]
(a) AND (b) is consequential to the enactment of new definitions of "federal minister", "minister" and "Provincial minister" and changes the reference to the appropriate minister.
SECTION 29: [Income Tax Act, amends section 25.1]
(a) corrects a numbering error, and
(b) is consequential to the enactment of new definitions of "federal minister", "minister" and "Provincial minister" and provides for the collection and sharing of information by the Provincial minister if a collection agreement is in effect.
SECTION 30: [Income Tax Act, amends section 29]
(a) provides for the application of a provision that allows the minister to redetermine the amount deemed to be paid or deducted or deemed to be an overpayment under the specified provisions of the Act if a taxpayer has applied for a reassessment after the expiration of the normal reassessment period, and
(b) allows a taxpayer to file a prescribed form to carry back scientific research and experimental development tax credits or manufacturing and processing tax credits rather than filing an amended return.
SECTION 31: [Income Tax Act, amends section 30] is consequential to the enactment of new definitions of "federal minister", "minister" and "Provincial minister".
SECTIONS 32 AND 33: [Income Tax Act, amends sections 31 and 32] require an individual who makes an installment payment to pay the amount calculated under the same paragraph of the federal Act, as it applies for the purposes of the Income Tax Act, as was used to calculate the amount payable under the federal Act.
SECTION 34: [Income Tax Act, repeals and replaces section 33 (1)] allows an eligible corporation to defer the payment of taxes for 6 months for tax installments due in January to March 2002.
SECTION 35: [Income Tax Act, amends section 36] is consequential to the rearranging and renumbering of provisions in the federal Act.
SECTIONS 36 AND 37: [Income Tax Act, amends sections 37, 38, 42 and 43] are consequential to the enactment of new definitions of "federal minister", "minister" and "Provincial minister".
SECTION 38: [Income Tax Act, amends section 47] clarifies the administration of the Act if a collection agreement is in effect.
SECTIONS 39 AND 40: [Income Tax Act, amends sections 50, 51, 56 and 58] are consequential to the enactment of new definitions of "federal minister", "minister" and "Provincial minister".
SECTION 41: [Income Tax Act, amends section 59] corrects an error and incorporates section 237.1 of the federal Act into the Income Tax Act to provide for an application for a compliance order if a person fails to comply with section 231.1 or 231.2 of the federal Act, as they apply for the purposes of the Income Tax Act.
SECTION 42: [Income Tax Act, amends section 63] is consequential to the enactment of new definitions of "federal minister", "minister" and "Provincial minister".
SECTION 43: [Income Tax Act, amends section 64 (1)] adds a definition.
SECTION 44: [Income Tax Act, amends section 64 (1)]
(a) adds a reference to the finance minister who may obtain taxpayer information, and
(b) is consequential to the enactment of a new definition of "federal minister" and adds a reference to the finance minister.
SECTION 45: [Income Tax Act, amends section 64 (5) and (6)]
(a) authorizes an official to provide taxpayer information to an official of the ministry for the monitoring of the federal minister and the Commissioner under a collection agreement,
(b) AND (d) updates references to ministries, and
(c) authorizes the disclosure of taxpayer information to a police officer for the purpose of investigating an offence under the Criminal Code relating to an official.
SECTION 46: [Income Tax Act, amends section 65] is consequential to the amendments to section 69 of the Income Tax Act.
SECTION 47: [Income Tax Act, amends section 68] is consequential to the enactment of new definitions of "deputy head", "federal minister", "minister" and "Provincial minister" and clarifies references to the deputy Provincial minister and ministry.
SECTION 48: [Income Tax Act, amends section 69]
(a) TO (c) clarifies references to ministers and the deputy head, and
(d) clarifies the powers, duties and discretions the federal minister is authorized to use, perform or exercise.
SECTION 49: [Income Tax Act, amends section 70] clarifies a reference to a minister.
SECTION 50: [Income Tax Act, amends section 71] corrects a reference.
SECTION 51: [Income Tax Act, amends section 73] is consequential to the enactment of new definitions of "federal minister", "minister" and "Provincial minister".
SECTIONS 52 AND 53: [Income Tax Act, amends sections 75 to 77] update references to ministries.
SECTION 54: [Income Tax Act, amends section 79 (1)] updates a reference to a minister.
SECTION 55: [Income Tax Act, amends sections 88 to 90, 92 and 94] is consequential to the enactment of new definitions of "federal minister", "minister" and "Provincial minister".
SECTION 56: [Income Tax Act, amends section 99] provides consistency with the Scientific Research and Experimental Development tax credit provisions in the federal Act.
SECTION 57: [Income Tax Act, amends section 111 (2)] clarifies a reference to a minister.
Land Tax Deferment Act
SECTION 58: [Land Tax Deferment Act, amends section 4] provides that an agreement to defer taxes is not terminated if the eligible property is disposed of in accordance with the regulations and that a transferee must qualify for any subsequent deferral of tax.
SECTION 59: [Land Tax Deferment Act, adds section 18 (2) (e)] provides for regulations prescribing circumstances in which the disposal of eligible property does not terminate an agreement to defer taxes.
Logging Tax Act
SECTION 60: [Logging Tax Act, re-enacts section 20]
Mineral Tax Act
SECTION 61: [Mineral Tax Act, amends section 1 (1)] removes a definition.
SECTION 62: [Mineral Tax Act, amends section 22 (2) (c)] is consequential to the replacement of an appeal to the Mineral Tax Review Board with an appeal to the minister.
SECTION 63: [Mineral Tax Act, repeals sections 23 to 25 and re-enacts sections 26 and 27] replaces the appeal to the Mineral Tax Review Board with an appeal to the minister and a further appeal to the Supreme Court.
SECTION 64: [Mineral Tax Act, amends section 29 (2)] allows the commissioner to refund any mineral tax set aside or reduced on appeal.
SECTION 65: [Mineral Tax Act, amends section 38 (1)] removes a reference to the Mineral Tax Review Board.
SECTION 66: [Mineral Tax Act, repeals section 44 (2) (h)] is consequential to the elimination of appeals to the Mineral Tax Review Board.
Motor Fuel Tax Act
SECTION 67: [Motor Fuel Tax Act, amends section 42] provides a 6 year limitation period for making an estimate and provides for an agreement that allows the director to consider a period beyond the 6 year estimate period.
SECTION 68: [Motor Fuel Tax Act, adds section 43 (5)] provides for an agreement that allows the director to consider a period beyond the 6 year assessment period.
SECTION 69: [Motor Fuel Tax Act, adds section 44 (5) and (6)] provides a 6 year limitation period for imposing a penalty and provides for an agreement that allows the director to consider a period beyond the 6 year penalty period.
SECTION 70: [Motor Fuel Tax Act, amends section 46] provides
SECTION 71: [Motor Fuel Tax Act, amends section 50 (1) (b)] provides for an appeal to the minister from a decision of the director regarding a refund under the regulations.
SECTION 72: [Motor Fuel Tax Act, amends section 67 (2)] clarifies that the provision applies to a prosecution.
Petroleum and Natural Gas Act
SECTION 73: [Petroleum and Natural Gas Act, enacts section 72.1] provides for the appointment of a royalty administrator and royalty collector.
SECTION 74: [Petroleum and Natural Gas Act, repeals and replaces section 73 (3)] authorizes the Lieutenant Governor in Council to delegate powers to the royalty collector in addition to the royalty administrator.
SECTIONS 75 AND 76: [Petroleum and Natural Gas Act, amends sections 76 (2) and 77] replace references to the royalty administrator with references to the royalty collector.
Public Sector Employers Act
SECTION 77: [Public Sector Employers Act, amends the Schedule] removes a reference to the Mineral Tax Review Board.
School Act
SECTION 78: [School Act, re-enacts section 118] requires a municipality to apply for the school tax portion of a grant in place of taxes and authorizes the Surveyor of Taxes to disallow all or part of the administration fee if the municipality fails to make the required applications.
SECTION 79: [School Act, amends section 119] changes ministerial references and removes the requirement for the minister to send a notice to the Surveyor of Taxes respecting the taxation of rural areas.
SECTION 80: [School Act, amends section 124 (10)] provides an exception to the administration fee deduction a municipality may make from school taxes payable.
SECTION 81: [School Act, amends section 125]
SECTION 82: [School Act, amends section 175 (2) (l)] removes reference to a provision repealed by this Bill.
Social Service Tax Act
SECTION 83: [Social Service Tax Act, amends section 92 (6)] removes the requirement that the commissioner obtain the approval of the minister before cancelling, suspending or refusing to grant a registration certificate.
SECTION 84: [Social Service Tax Act, adds section 115 (8)] provides for an agreement that allows the director to consider a period beyond the 6 year assessment period or 3 year penalty period.
SECTION 85: [Social Service Tax Act, amends section 116]
(a) provides for an agreement that allows the director to consider a period beyond the 6 year assessment period or 3 year penalty period, and
(b) is consequential to the enactment by this Bill of section 116.1 of the Act.
SECTION 86: [Social Service Tax Act, enacts section 116.1] provides
SECTION 87: [Social Service Tax Act, adds section 118 (1) (a.1)] allows for an appeal to the minister from a decision of the commissioner to cancel, suspend or refuse to grant a registration certificate.
Tobacco Tax Act
SECTION 88: [Tobacco Tax Act, amends section 22]
(a) corrects a reference,
(b) expands the application of subsection (6) to the entire section and removes an outdated reference,
(c) provides for an agreement that allows the director to consider a period beyond the 6 year assessment period or 3 year penalty period,
(d) is consequential to the enactment by this Bill of section 25.1 of the Act and clarifies that the onus of proving otherwise is on the dealer, and
(e) removes a redundant provision.
SECTION 89: [Tobacco Tax Act, amends section 23 (1)] corrects references to allow for an appeal of all assessments and penalties made or imposed under section 22.
SECTION 90: [Tobacco Tax Act, amends sections 23 and 43.1] replaces an outdated ministerial reference.
SECTION 91: [Tobacco Tax Act, enacts section 25.1] provides
SECTION 92: [Tobacco Tax Act, enacts section 59] provides that one cigarette is deemed to contain one gram of tobacco.
SECTION 93: [Transitional -- Mineral Tax Act] allows any outstanding appeals to the board to continue before the minister.
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