Marginal note:Large payments

163. Every person who is required under this Act to pay any duty, interest or other amount to the Receiver General shall, if the amount is $50,000 or more, make the payment to the account of the Receiver General at

• (a) a bank;

• (b) an authorized foreign bank, as defined in section 2 of the Bank Act, that is not subject to the restrictions and requirements referred to in subsection 524(2) of that Act;

• (c) a credit union;

• (d) a corporation authorized under the laws of Canada or a province to carry on the business of offering its services as a trustee to the public; or

• (e) a corporation authorized under the laws of Canada or a province to accept deposits from the public and that carries on the business of lending money on the security of real property or immovables or investing in mortgages on real property or hypothecs on immovables.

Marginal note:Authority for separate returns

• 164. (1) A licensee who engages in one or more activities in separate branches or divisions may file an application, in the prescribed form and manner, with the Minister for authority to file separate returns and applications for refunds under this Act in respect of a branch or division specified in the application.

• Marginal note:Authorization by Minister

  (2) On receipt of the application, the Minister may, in writing, authorize the licensee to file separate returns and applications for refunds in relation to the specified branch or division, subject to any conditions that the Minister may at any time impose, if the Minister is satisfied that

  • (a) the branch or division can be separately identified by reference to the location of the branch or division or the nature of the activities engaged in by it; and

  • (b) separate records, books of account and accounting systems are maintained in respect of the branch or division.

• Marginal note:Revocation of authorization

  (3) The Minister may revoke an authorization if

  • (a) the licensee, in writing, requests the Minister to revoke the authorization;

  • (b) the licensee fails to comply with any condition imposed in respect of the authorization or any provision of this Act;

  • (c) the Minister is no longer satisfied that the requirements of subsection (2) in respect of the licensee are met; or

  • (d) the Minister considers that the authorization is no longer required.

• Marginal note:Notice of revocation

  (4) If the Minister revokes an authorization, the Minister shall send a notice in writing of the revocation to the licensee and shall specify in the notice the effective date of the revocation.

Marginal note:Small amounts owing

• 165. (1) If, at any time, the total of all unpaid amounts owing by a person to the Receiver General under this Act does not exceed a prescribed amount, the amount owing by the person is deemed to be nil.

• Marginal note:Small amounts payable

  (2) If, at any time, the total of all amounts payable by the Minister to a person under this Act does not exceed a prescribed amount, the Minister is not required to pay any of the amounts payable. The Minister may apply those amounts against a liability of the person.

Meaning of “electronic filing”

• 166. (1) For the purposes of this section, “electronic filing” means using electronic media in a manner specified in writing by the Minister.

• Marginal note:Filing of return by electronic filing

  (2) A person who is required to file with the Minister a return under this Act, and who meets the criteria specified in writing by the Minister for the purposes of this section, may file the return by way of electronic filing.

• Marginal note:Deemed filing

  (3) For the purposes of this Act, if a person files a return by way of electronic filing, it is deemed to be a return in the prescribed form filed with the Minister on the day the Minister acknowledges acceptance of it.

Marginal note:Execution of returns, etc.

167. A return, other than a return filed by way of electronic filing under section 166, a certificate or other document made by a person, other than an individual, under this Act shall be signed on behalf of the person by an individual duly authorized to do so by the person or the governing body of the person. If the person is a corporation or an association or organization that has duly elected or appointed officers, the president, vice-president, secretary and treasurer, or other equivalent officers, of the corporation, association or organization, are deemed to be so duly authorized.

Marginal note:Extension of time

• 168. (1) At any time, the Minister may, in writing, extend the time limited under this Act for a person to file a return or provide information.

• Marginal note:Effect of extension

  (2) If the Minister extends the time under subsection (1),

  • (a) the return shall be filed, or the information shall be provided, within the time so extended;

  • (b) any duty payable that the person is required to report in the return shall be paid within the time so extended; and

  • (c) interest is payable under section 170 as if the time had not been extended.

Marginal note:Demand for return

169. The Minister may, on demand served personally or by registered or certified mail, require any person to file, within any reasonable time that may be stipulated in the demand, a return under this Act for any period that may be designated in the demand.

Interest

Marginal note:Compound interest on amounts not paid when required

• 170. (1) If a person fails to pay an amount to the Receiver General as and when required under this Act, the person shall pay to the Receiver General interest on the amount. The interest shall be compounded daily at the prescribed rate and computed for the period beginning on the first day after the day on which the amount was required to be paid and ending on the day the amount is paid.

• Marginal note:Payment of interest that is compounded

  (2) For the purposes of subsection (1), interest that is compounded on a particular day on an unpaid amount of a person is deemed to be required to be paid by the person to the Receiver General at the end of the particular day, and, if the person has not paid the interest so computed by the end of the day after the particular day, the interest shall be added to the unpaid amount at the end of the particular day.

• Marginal note:Minister may issue notice

  (3) The Minister may serve or send to a person who is required under this Act to pay an amount that may consist of principal and interest a notice specifying the amount owed by the person and a date by which the payment must be made.

• Marginal note:Effect of notice

  (4) If the person to whom a notice referred to in subsection (3) is served or sent pays in full the specified amount within the specified time, interest is not payable, despite subsection (1), on the amount for the period beginning on the date of the notice and ending on the day on which the amount is paid.

• Marginal note:Minimal interest amounts

  (5) If at any time a person has paid all amounts, other than interest, owed to Her Majesty under this Act and, immediately before that time, the total amount of interest owed by the person under this Act is less than the prescribed amount, the Minister may write off and cancel the interest owed.

Marginal note:Compound interest on amounts owed by Her Majesty

171. Interest shall be compounded daily at the prescribed rate on amounts owed by Her Majesty to a person and computed for the period beginning on the first day after the day on which the amount is required to be paid by Her Majesty and ending on the day on which the amount is paid or is applied against an amount owed by the person to Her Majesty.

Marginal note:Application of interest provisions if Act amended

172. For greater certainty, if a provision of an Act amends this Act and provides that the amendment comes into force on, or applies as of, a particular day that is before the day on which the provision is assented to, the provisions of this Act that relate to the calculation and payment of interest apply in respect of the amendment as though the provision had been assented to on the particular day.

Marginal note:Waiving or reducing interest

173. The Minister may at any time waive or reduce any interest payable by a person under this Act.

Refunds

Marginal note:Statutory recovery rights

174. Except as specifically provided under this Act, the Customs Act, the Customs Tariff or the Financial Administration Act, no person has a right to recover any money paid to Her Majesty as or on account of, or that has been taken into account by Her Majesty as, duty, interest or other amount payable under this Act.

Marginal note:Applications for refunds

• 175. (1) An application for a refund under this Act shall be filed with the Minister in the prescribed form and manner.

• Marginal note:Single application

  (2) Only one application may be made under this Act for a refund with respect to any matter.

Marginal note:Payment if error

• 176. (1) If a person has paid an amount as or on account of, or that was taken into account as, duty, interest or other amount payable under this Act in circumstances in which the amount was not payable by the person, whether the amount was paid by mistake or otherwise, the Minister shall pay a refund of that amount to the person.

• Marginal note:Restriction

  (2) A refund in respect of an amount shall not be paid to a person to the extent that

  • (a) the amount was taken into account as duty for a fiscal month of the person and the Minister has assessed the person for the month under section 188; or

  • (b) the amount paid was duty, interest or other amount assessed under that section.

• Marginal note:Application for refund

  (3) A refund of an amount shall not be paid to a person unless the person files an application for the refund within two years after the person paid the amount.

Marginal note:Restriction on refunds, etc.

177. A refund or a payment of an amount under this Act shall not be paid to a person to the extent that it can reasonably be regarded that

• (a) the amount has previously been refunded, remitted, applied or paid to that person under this or any other Act of Parliament; or

• (b) the person has applied for a refund, payment or remission of the amount under any other Act of Parliament.

Marginal note:Restriction re trustees

178. If a trustee is appointed under the Bankruptcy and Insolvency Act to act in the administration of the estate of a bankrupt, a refund or any other payment under this Act that the bankrupt was entitled to claim before the appointment shall not be paid after the appointment unless all returns required under this Act to be filed for fiscal months of the bankrupt ending before the appointment have been filed and all amounts required under this Act to be paid by the bankrupt in respect of those fiscal months have been paid.

Marginal note:Overpayment of refunds, etc.

• 179. (1) If an amount is paid to, or applied to a liability of, a person as a refund or other payment under this Act and the person is not entitled to the amount or the amount paid or applied exceeds the refund or other payment to which the person is entitled, the person shall pay to the Receiver General an amount equal to the refund, payment or excess on the day the amount is paid to, or applied to a liability of, the person.

• Marginal note:Effect of reduction of refund, etc.

  (2) For the purposes of subsection (1), if a refund or other payment has been paid to a person in excess of the amount to which the person was entitled and the amount of the excess has, by reason of section 177, reduced the amount of any other refund or other payment to which the person would, but for the payment of the excess, be entitled, the person is deemed to have paid the amount of the reduction to the Receiver General.

Marginal note:No refund on exported tobacco products or alcohol

180. Subject to this Act, the duty paid on any tobacco product or alcohol entered into the duty-paid market shall not be refunded on the exportation of the tobacco product or alcohol.

Marginal note:Re-worked or destroyed tobacco products

181. The Minister may refund to a tobacco licensee the duty paid on a tobacco product that is re-worked or destroyed by the tobacco licensee in accordance with section 41 if the licensee applies for the refund within two years after the tobacco product is re-worked or destroyed.

Marginal note:Refund of tax to importer if foreign taxes paid

• 182. (1) The Minister may refund, to a person who has imported into a foreign country a tobacco product (as defined in section 55) that was manufactured in Canada and exported by the tobacco licensee who manufactured it to the foreign country in accordance with paragraph 50(4)(a), an amount determined in accordance with subsection (2) in respect of the product if

  • (a) the person provides evidence satisfactory to the Minister that

    • (i) all taxes and duties imposed on the product under the laws of the foreign country having national application have been paid, and

    • (ii) the container containing the product has printed on it or affixed to it tobacco markings; and

  • (b) the person applies to the Minister for the refund within two years after the product was exported to the foreign country.

• Marginal note:Determination of refund

  (2) The amount of the refund under subsection (1) is equal to the lesser of

  • (a) the total of the taxes and duties referred to in subparagraph (1)(a)(i) that are paid in respect of the tobacco product, and

  • (b) the amount of the special duty imposed under paragraph 56(1)(a) in respect of the product that is paid by the tobacco licensee who manufactured it.

• Marginal note:Overpayment of refund or interest

  (3) If an amount has been paid to a person as a refund in respect of a tobacco product exported by the tobacco licensee who manufactured it or as interest in respect of such a refund and a special duty under paragraph 56(1)(b) was imposed in respect of the product, the amount is deemed to be duty payable under this Act by the licensee that became payable during the fiscal month of the licensee in which the amount was paid to the person.

• Marginal note:Refund of special duty to tobacco licensee if foreign taxes paid

  (4) If a refund under subsection (1) has been paid in respect of an exported tobacco product, the Minister may refund to the tobacco licensee who manufactured the product the amount, if any, by which the special duty imposed under paragraph 56(1)(a) in respect of the product and paid by the licensee exceeds the amount of the refund under subsection (1) if the licensee applies to the Minister for the refund under this subsection within two years after the product was exported.

Marginal note:Refund of special duty to duty free shop licensee

• 183. (1) If a duty free shop licensee who holds a licence issued under section 22 sells, in accordance with the Customs Act, imported manufactured tobacco to an individual who is not a resident of Canada and who is about to depart Canada, the Minister may refund to the licensee the special duty paid under section 53 in respect of that portion of the total quantity of the tobacco exported by the individual on their departure that does not exceed

  • (a) in the case of cigarettes, 200 cigarettes;

  • (b) in the case of tobacco sticks, 200 sticks; and

  • (c) in the case of manufactured tobacco other than cigarettes and tobacco sticks, 200 g.

• Marginal note:Application

  (2) No refund shall be paid to a duty free shop licensee in respect of a sale of imported manufactured tobacco unless the licensee applies to the Minister for the refund within two years after the sale.

Marginal note:Payment if bad debt

• 184. (1) If an ad valorem duty under section 43 has been paid by a tobacco licensee in respect of an arm’s length sale of cigars and the licensee has established that any debt owing to the licensee in respect of the sale has become in whole or in part a bad debt and has accordingly written off all or part of the debt as a bad debt in the licensee’s books of account, an amount equal to the proportion of the amount of that duty that the amount of the debt written off is of the price for which the cigars were sold may, subject to this Act, be paid to that licensee if the licensee applies for a refund of the amount within two years after the end of the licensee’s fiscal month during which the debt was so written off.

• Marginal note:Recovery of payment

  (2) If a tobacco licensee recovers all or any part of a debt in respect of which an amount is paid to the licensee under subsection (1) (in this subsection referred to as the “refunded amount”), that licensee shall immediately pay to the Receiver General an amount equal to the proportion of the refunded amount that the amount of the debt so recovered is of the amount of the debt written off in respect of which the refunded amount was paid.

• Definition of “arm’s length sale”

  (3) In this section, “arm’s length sale” in respect of cigars means a sale of cigars by a tobacco licensee to a person with whom the licensee is dealing at arm’s length at the time of the sale.

Marginal note:Refund — imported bulk spirits

• 185. (1) If imported bulk spirits on which special duty has been paid are returned by a licensed user to the spirits licensee who supplied them to the licensed user, the Minister may refund the duty to the spirits licensee who paid the duty if the licensee applies for the refund within two years after the spirits are returned.

• Marginal note:Refund — packaged imported spirits

  (2) If imported spirits that are packaged and on which special duty has been paid are returned under prescribed conditions by a licensed user to the excise warehouse of the excise warehouse licensee who supplied them to the licensed user, the Minister may refund the duty to the excise warehouse licensee who paid the duty if the excise warehouse licensee applies for the refund within two years after the spirits are returned.