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| This Act is current to December 31, 2024 | |||
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Part 1 — Definitions and Application
1 In this Act:
"alternative motor fuel" means alternative motor fuel as defined in the regulations;
"analyst" means a person designated as an analyst under section 66 (1);
"assessment" includes reassessment;
"aviation fuel" means fuel that is
(a) produced specifically for use in an aircraft that is not propelled by a turbine, and
(b) used in an aircraft as fuel for the engine that propels the aircraft;
"biodiesel fuel" means a fuel that is made up of mono-alkyl esters of long chain fatty acids derived from plant or animal matter;
"board member" means a member of a board of directors of a corporation and includes a person who is deemed to be a board member under section 45.2;
"buy" includes to obtain ownership by barter or exchange;
"calendar quarter" means a period
(a) beginning on January 1 and ending on the following March 31,
(b) beginning on April 1 and ending on the following June 30,
(c) beginning on July 1 and ending on the following September 30, or
(d) beginning on October 1 and ending on the following December 31;
"carrier" means a person who owns or operates one or more motor vehicles used interprovincially or internationally for the commercial carriage of passengers or goods;
"carrier decal" means a decal
(a) issued by the director under section 19 (6), or
(b) issued, in accordance with the International Fuel Tax Agreement, by another jurisdiction that is a party to that agreement;
"carrier licence" means a licence
(a) issued by the director under section 19 (1), or
(b) issued, in accordance with the International Fuel Tax Agreement, by another jurisdiction that is a party to that agreement;
"collector" means a person who is appointed as a collector under section 28 (1);
"coloured fuel" means
(a) fuel, other than propane, coloured in accordance with section 14 and the regulations, and
(b) the following fuels if they are used for a purpose for which coloured fuel is authorized to be used under section 15:
(ii) fuel of which at least 85% is ethanol;
"commercial motor vehicle" means a commercial vehicle as defined in the Commercial Transport Act;
"deputy collector" means a person who is deemed appointed as a deputy collector under section 33;
"diesel fuel" includes
(a) renewable diesel fuel, and
(b) ethanol when blended with diesel fuel or renewable diesel fuel;
"director" means a person appointed by the minister to administer this Act;
"farm" means land that is classified as a farm under the Assessment Act;
"farm truck" means a farm vehicle, as defined in the Commercial Transport Regulations, that is licensed as a farm vehicle under the Commercial Transport Act;
"farmer" means a person who operates a farm;
"fuel" means
(a) any gas or liquid, including biofuel, for use for generating power by means of an internal combustion engine,
(b) hydrogen for use in a fuel cell vehicle, or
"gasoline" means fuel that is not methanol based fuel, alternative motor fuel, aviation fuel, coloured fuel, jet fuel, propane, locomotive fuel, marine bunker fuel, natural gas, marine diesel fuel or motive fuel;
"heating oil" means a light fuel oil marketed or sold for use in a furnace, boiler or open flame burner;
"highway" means a highway as defined in the Motor Vehicle Act;
"highway project area" means
(a) an area under construction as a highway, or
(b) a highway under reconstruction or repair
by any government;
"hydrogenated-derived renewable diesel fuel" means a fuel that is
(a) made from plant or animal matter using a hydrogenation process, and
(b) suitable for use in a diesel engine as defined in section 1 (1) of Schedule 1 of the Carbon Tax Act;
"IFTA commercial vehicle" has the prescribed meaning;
"industrial machine" means
(a) a forklift, front end loader or lumber carrier, or
(b) a motor vehicle or class of motor vehicle that, by regulation, is designated as an industrial machine;
"internal combustion engine" includes a turbine engine that generates power by the use of fuel;
"International Fuel Tax Agreement" means the agreement entered into by the minister under section 17;
"jet fuel" means fuel that is
(a) produced specifically for use in an aircraft that is propelled by a turbine, and
(b) used in an aircraft as fuel for the turbine that propels the aircraft;
"licensed carrier" means a person who holds a carrier licence;
"light fuel oil" has the same meaning as in section 1 (1) of Schedule 1 of the Carbon Tax Act;
"litre" means,
(a) with respect to fuel in liquid form, one cubic decimetre, or
(b) despite paragraph (a), with respect to propane sold by weight, 0.5 kg;
"locomotive fuel" means fuel, other than propane and natural gas, for use in an internal combustion engine in any rolling stock or other vehicle when run on rails;
"manufacture" includes the production, refining or compounding of fuel;
"marine bunker fuel" means
(b) a combination of fuels including bunker oil
that is used in a ship as fuel for an internal combustion engine, but does not include marine diesel fuel;
"marine diesel fuel" means
(b) a combination of fuels including diesel fuel
that is used in a ship as fuel for an internal combustion engine, and has a viscosity of
(c) lower than 10 centistokes when measured at a temperature of 50°C, or
(d) 10 centistokes or higher when measured at a temperature of 50°C, but is sold as diesel fuel;
"methanol based fuel" means fuel of which at least 85% is methanol;
"mineral" means ore of metal and every natural substance that can be mined and that
(a) occurs in fragments or particles lying on, above or adjacent to the bedrock source from which it is derived, and is commonly described as talus,
(b) is in the place or position in which it was originally formed or deposited, or
(c) is loose, fragmentary or broken rock or float that, by decomposition or erosion of rock, is found in wash, loose earth, gravel or sand,
but does not include petroleum, natural gas, building and construction stone, marble, shale, clay, sand, gravel, volcanic ash, earth, soil, marl or peat;
"month" means a calendar month;
"motive fuel" means
(b) a combination of fuels including diesel fuel,
for use in propelling a motor vehicle, but does not include alternative motor fuel, locomotive fuel or coloured fuel;
"motive fuel user permit" means a permit issued under the regulations authorizing a person to use, to propel an IFTA commercial vehicle, motive fuel that was not taxed under this Act at the time of purchase;
"motor vehicle" means a vehicle that is designed to be self-propelled on land;
"natural gas" includes compressed natural gas;
"non-motor fuel oil" means a light fuel oil marketed or sold for a use other than
(a) for generating power by means of an internal combustion engine, or
(b) for use in a furnace, boiler or open flame burner;
"person" includes the government of Canada;
"person with disabilities" means a person who
(a) is permanently dependent on a wheelchair,
(b) is in receipt of a 100% disability pension through service while a member of Her Majesty's forces,
(c) receives, or would receive but for having reached 65 years of age, disability assistance or a supplement under the Employment and Assistance for Persons with Disabilities Act,
(c.1) resides on a reserve, within the meaning of the Indian Act (Canada), and receives, or would receive but for having reached 65 years of age, disability assistance or a supplement from the government of Canada, provided that the criteria for the disability assistance or supplement are substantially equivalent to the criteria for receiving disability assistance or a supplement under the Employment and Assistance for Persons with Disabilities Act,
(d) has suffered loss of a limb,
(e) has been certified by a medical practitioner or nurse practitioner as suffering from a permanent impairment of locomotion to the extent that it would be hazardous for the person to use public transportation,
(f) has been certified by a medical practitioner or nurse practitioner as suffering from a permanent sight impairment to the extent that the person would not be eligible to hold a driver's licence under the Motor Vehicle Act,
(f.1) has been certified by a medical practitioner or nurse practitioner as suffering from a permanent mental disability to the extent that it would be hazardous for the person to use public transportation,
(g) has suffered the complete and permanent functional loss of the lower limbs, or
(h) before March 12, 1980 qualified under an enactment to receive a rebate of fuel tax as a handicapped person;
"propane" includes liquefied petroleum gas that contains propane;
"purchase price" means the price in money and the actual value of any other consideration accepted by the seller or person from whom fuel passes as the price or on account of the price of the fuel together with the costs of and charges for delivery of the fuel, interest, customs, excise and transportation, whether or not shown separately on the invoice or in any books of account or in the computation of the price;
"purchaser" means a person who, within British Columbia, buys or receives delivery of fuel
(a) for the person's own use or for use by another person at the first person's expense, or
(b) on behalf of or as an agent for a principal for use by the principal or by other persons at the expense of the principal;
"refiner collector" means a person who is appointed as a refiner collector under section 28 (2.1);
"registered consumer" means a person who holds a registered consumer certificate;
"registered consumer certificate" means a registered consumer certificate issued under section 37;
"renewable diesel fuel" means
(b) hydrogenated-derived renewable diesel fuel;
"retail dealer", subject to section 1.1, means a person who, within British Columbia, sells fuel to a purchaser;
"road building machine" means a road building machine as defined in the Commercial Transport Act;
"security" includes all penalties and interest that are or may be added to security under this Act;
"sell" includes to transfer ownership by barter or exchange;
"ship" includes any vessel that is designed to be self-propelled in or on water;
"South Coast British Columbia Transportation Authority" means the authority continued under section 2 (1) of the South Coast British Columbia Transportation Authority Act;
"South Coast British Columbia transportation service region" has the same meaning as "transportation service region" in the South Coast British Columbia Transportation Authority Act;
"standard reference conditions" means, in the case of
(a) a gas, a temperature of 15°C and an atmospheric pressure of 101.325 kPa, and
(b) a liquid, a temperature of 15°C;
"tax", in relation to tax under this Act, includes all penalties and interest that are or may be added to that tax, and, except in section 43, includes
(a) an amount a person must pay to the government under section 49.1 (2), and
(b) an amount for which a person is personally liable to the government under section 57.2 (4);
"tractor" means a motor vehicle designed for use primarily as a power unit for drawing vehicles, machinery or equipment, and includes farm tractors and industrial tractors, but does not include
(a) a motor vehicle designed to carry goods or materials the weight of which rests entirely on the frame of the motor vehicle, or
(b) a truck tractor that is designed for use on public highways, or has been modified for that use, and that is eligible for licensing as a truck tractor under the Commercial Transport Act;
"vendor", subject to section 1.1, means a person who, within British Columbia, sells fuel for the first time after its manufacture in, or its importation into, British Columbia;
"wholesale dealer", subject to section 1.1, means a person who, within British Columbia, buys fuel for resale to a person other than a purchaser.
"imported fuel" means fuel, other than hydrogen and natural gas, that, as part or all of a single shipment, has entered British Columbia from outside of Canada in compliance with the Customs Act (Canada) and the regulations under that Act;
"release" has the same meaning as in the Customs Act (Canada);
"shipment" means fuel that is cargo
(a) in a single ship on a single trip,
(b) on a single barge towed or pushed by one or more ships on a single trip, or
(c) on 2 or more physically connected barges towed or pushed by one or more ships on a single trip, if all the fuel on the barges is owned by the same person.
(2) Subject to subsections (3) and (4) and the regulations, all of the following apply to a sale of imported fuel that occurs either before the imported fuel is released or after the imported fuel is released but before or at the time the imported fuel is removed from the ship or barge on which it entered British Columbia:
(a) the seller is not a retail dealer, even if the imported fuel is sold to a purchaser;
(b) the seller is not a vendor;
(c) the buyer is not a wholesale dealer, even if the buyer buys the imported fuel for resale to a person other than a purchaser.
(3) Subsection (2) (a) to (c) does not apply to a sale of imported fuel
(i) the imported fuel is a prescribed type of fuel or a prescribed subcategory of a type of fuel or is in a prescribed class of fuel, and
(ii) the amount of the imported fuel sold in that sale from that shipment is less than the amount prescribed for that prescribed type of fuel, prescribed subcategory of a type of fuel or prescribed class of fuel, or
(b) in prescribed circumstances.
(a) imported fuel is sold either before the imported fuel is released or after the imported fuel is released but before or at the time the imported fuel is removed from the ship or barge on which it entered British Columbia, and
(b) subsection (2) (a) to (c) does not, under subsection (3) or the regulations, apply to the sale,
subsection (2) does not apply to any subsequent sale of that fuel.
(5) A person who, within British Columbia, sells imported fuel for the first time in a sale to which subsection (2) (a) to (c) does not apply is the vendor of that fuel.
1.2 (1) If more than one person is subject to tax under the same provision of this Act in respect of the same fuel, each person is jointly and severally liable for the tax.
(2) If more than one person is required under the same provision of this Act to pay security to the government in respect of the same fuel, each person is jointly and severally liable to pay the security.
2 (1) The following are exempt from tax under this Act:
(a) [Repealed RS1996-317-2 (3).]
(b) fuel that is brought into British Columbia in the supply tank or in a supplemental supply tank of an aircraft or ship, if the fuel in the supply tank or supplemental supply tank is to be used in the operation of the aircraft or ship;
(c) up to and including 182 litres of fuel that is brought into British Columbia in the supply tank or a supplemental supply tank of a motor vehicle, other than an IFTA commercial vehicle or a locomotive, if the fuel in the supply tank or supplemental supply tank is to be used in the operation of the motor vehicle.
3.1 (1) Methanol based fuel and compressed natural gas are deemed to be liable to be taxed under this Act.
Part 2 — Imposition and Amount of Tax
4 (1) Subject to subsection (1.11), a purchaser of gasoline within an area
(a) outside the South Coast British Columbia transportation service region must pay to the government, at the time of purchase, tax on the gasoline at the rate of 7.75¢ per litre,
(b) inside the South Coast British Columbia transportation service region must pay to the government, at the time of purchase, tax on the gasoline at the rate of 13.75¢ per litre less the applicable rate of tax payable at the time of purchase under paragraph (c),
(c) inside the South Coast British Columbia transportation service region must pay to the South Coast British Columbia Transportation Authority, at the time of purchase, tax on the gasoline at the following rates:
(i) effective April 1, 1999, 8¢ per litre;
(ii) effective April 1, 2001, 9¢ per litre;
(ii.1) effective April 1, 2002, 11¢ per litre;
(iii) effective April 1, 2003, 11.5¢ per litre;
(iv) effective April 1, 2005, 12¢ per litre, and
(d) inside the South Coast British Columbia transportation service region, must, in addition to the tax payable under paragraph (c), pay to the South Coast British Columbia Transportation Authority, at the time of purchase,
(i) tax on the gasoline at the rate, not exceeding 3¢ per litre, set under section 27.1 of the South Coast British Columbia Transportation Authority Act,
(ii) tax on the gasoline at the rate, not exceeding 2¢ per litre, set under section 27.11 of the South Coast British Columbia Transportation Authority Act, and
(iii) tax on the gasoline at the rate, not exceeding 1.5¢ per litre, set under section 27.12 of the South Coast British Columbia Transportation Authority Act.
(1.1) If a purchaser takes delivery of gasoline within an area
(a) outside the South Coast British Columbia transportation service region, that purchaser is deemed to be a purchaser liable to pay tax under subsection (1) (a), and
(b) inside the South Coast British Columbia transportation service region, that purchaser is deemed to be a purchaser liable to pay tax under subsection (1) (b), (c) and (d).
(1.11) A purchaser of gasoline in a sale to which section 1.1 (2) (a) to (c) applies must pay to the government, at the prescribed time and in the prescribed manner, the tax under subsection (1) of this section.
(1.2) Subject to subsection (1.3), in addition to the tax payable under subsection (1), a licensed carrier who purchases gasoline in British Columbia must pay to the government, at the time of purchase, tax on the gasoline at a rate that is equal to the rate per litre, applicable for the period in which the gasoline is purchased, set out opposite the item "Gasoline" in column 2 of the Table in Schedule 1 of the Carbon Tax Act.
(1.3) A licensed carrier who purchases gasoline in a sale to which section 1.1 (2) (a) to (c) applies must pay to the government, on or before the last day of the month following the end of the calendar quarter in which the gasoline is purchased, the tax under subsection (1.2) of this section.
(2) A licensed carrier who uses in British Columbia gasoline on which tax is not otherwise payable under subsection (1) must pay to the government, on or before the last day of the month following the end of the calendar quarter in which the fuel was used, tax on that fuel at the rate established under subsection (1) (a).
(2.1) A licensed carrier who uses in British Columbia gasoline on which tax is not otherwise payable under subsection (1.2) must pay to the government, on or before the last day of the month following the end of the calendar quarter in which the gasoline was used, tax on that gasoline at the rate established under that subsection.
(3) A person who uses in British Columbia gasoline on which tax is not otherwise payable under this section must pay to the government, at the prescribed time and in the prescribed manner, tax on the gasoline at the rate set by subsection (1) (a).
5 (1) Subject to section 5.1 and subsection (1.1) of this section, a purchaser of coloured fuel must pay to the government, at the time of purchase, tax on the fuel at the rate of 3¢ per litre.
(1.1) A purchaser of coloured fuel in a sale to which section 1.1 (2) (a) to (c) applies must pay to the government, at the prescribed time and in the prescribed manner, the tax under subsection (1) of this section.
(2) A person who uses coloured fuel for a purpose authorized by section 15 and on which tax is not otherwise payable under this section or section 5.1 must pay to the government, at the prescribed time and in the prescribed manner, tax on that fuel at the rate set by subsection (1).
(2.1) Subsection (2) does not apply in respect of coloured fuel on which tax is payable under section 6 (3).
(3) A person who qualifies as a farmer may, if authorized by the regulations to do so, claim an exemption from tax imposed under this section, or a refund of tax paid under this section.
5.1 (1) Subject to subsection (2), a purchaser who
(a) purchases coloured fuel from a retail dealer through a cardlock system, or
(b) purchases more than 45 litres of coloured fuel from a retail dealer
must pay, at the time of purchase, the amount of tax that would be payable on the fuel if that fuel were not coloured fuel, unless the retail dealer obtains from the purchaser, at or before the time of sale, a declaration that the coloured fuel will be used for a purpose authorized under section 15.
(2) Subsection (1) does not apply if
(a) the purchaser is a farmer,
(b) the coloured fuel is marine diesel fuel or locomotive fuel, or
(i) is transferred by the retail dealer to the supply tank or supplemental supply tank of a ship that is in or on water at the time of transfer, and
(ii) is to be used in the operation of the ship.
(3) The declaration referred to in subsection (1) must be in a form specified by the director.
6 (1) Subject to subsection (1.1), a purchaser of marine diesel fuel or locomotive fuel must pay to the government, at the time of purchase, tax on the fuel at the rate of 3¢ per litre.
(1.1) A purchaser of marine diesel fuel or locomotive fuel in a sale to which section 1.1 (2) (a) to (c) applies must pay to the government, at the prescribed time and in the prescribed manner, the tax under subsection (1) of this section.
(2) A person who uses marine diesel fuel or locomotive fuel on which tax is not otherwise payable under this section must pay to the government, at the prescribed time and in the prescribed manner, tax on that fuel at the rate set by subsection (1).
(3) A person who is not a purchaser but who, within British Columbia, transfers marine diesel fuel or locomotive fuel,
(a) for the person's own use or for use by another person at the first person's expense, or
(b) on behalf of or as agent for a principal for use by the principal or by another person at the principal's expense,
into the receptacle that supplies the turbine or other engine of a ship or of any rolling stock or other vehicle run on rails must pay to the government, at the prescribed time and in the prescribed manner, tax on the fuel at the rate set by subsection (1).
(4) A person who uses locomotive fuel other than in any rolling stock or other vehicle when run on rails must pay to the government, at the prescribed time and in the prescribed manner, tax equal to the difference between
(a) the tax that the person would have paid on that fuel if the fuel had not been taxed as locomotive fuel, and
(b) the tax paid by the person on that fuel.
(5) The tax payable under subsection (4) is in addition to any tax payable under the other provisions of this section.
7 (1) Subject to subsection (1.1), a purchaser of jet fuel must pay to the government, at the time of purchase, tax on the fuel at the rate of 2¢ per litre.
(1.1) A purchaser of jet fuel in a sale to which section 1.1 (2) (a) to (c) applies must pay to the government, at the prescribed time and in the prescribed manner, the tax under subsection (1) of this section.
(2) A person who uses jet fuel on which tax is not otherwise payable under this section must pay to the government, at the prescribed time and in the prescribed manner, tax on that fuel at the rate set by subsection (1).
(3) A person who is not a purchaser but who, within British Columbia, transfers jet fuel,
(a) for the person's own use or for use by another person at the first person's expense, or
(b) on behalf of or as agent for a principal for use by the principal or by another person at the principal's expense,
into the receptacle that supplies the turbine of an aircraft must pay to the government, at the prescribed time and in the prescribed manner, tax on the fuel at the rate set by subsection (1).
8 (1) Subject to subsection (1.1), a purchaser of aviation fuel must pay to the government, at the time of purchase, tax on the fuel at the rate of 2¢ per litre.
(1.1) A purchaser of aviation fuel in a sale to which section 1.1 (2) (a) to (c) applies must pay to the government, at the prescribed time and in the prescribed manner, the tax under subsection (1) of this section.
(2) A person who uses aviation fuel on which tax is not otherwise payable under this section must pay to the government, at the prescribed time and in the prescribed manner, tax on that fuel at the rate set by subsection (1).
(3) A person who is not a purchaser but who, within British Columbia, transfers aviation fuel,
(a) for the person's own use or for use by another person at the first person's expense, or
(b) on behalf of or as agent for a principal for use by the principal or by another person at the principal's expense,
into the receptacle that supplies the engine of an aircraft must pay to the government, at the prescribed time and in the prescribed manner, tax on the fuel at the rate set by subsection (1).
9 (1) In this section, "marketable gas" means gas that is available for sale for direct consumption as a domestic, commercial or industrial fuel or as an industrial raw material, or is delivered to a storage facility, whether it occurs naturally or results from processing natural gas.
(2) Subject to subsection (4), a person who uses in a stationary internal combustion engine natural gas on which tax is not payable under Division 2, 4 or 5 of Part 3 of the Provincial Sales Tax Act must pay to the government, at the prescribed time and in the prescribed manner, tax on the natural gas at the applicable rate set out in subsection (3), (5) or (6) of this section.
(3) The rate of tax payable under subsection (2) on natural gas that is used in a stationary internal combustion engine that compresses natural gas is as follows:
(a) if the compressor is located outside a gas processing plant and is used to move marketable gas from the gas processing plant to market or in or out of storage facilities, the rate of tax is 1.9¢ per each 810.32 litres, at standard reference conditions, of natural gas used;
(b) if the compressor is located within a gas processing plant and is used to compress marketable gas, the rate of tax is 1.1¢ per each 810.32 litres, at standard reference conditions, of natural gas used.
(4) Natural gas that is used in a stationary internal combustion engine that compresses natural gas is exempt from tax if the compressor
(a) is used to compress gas that is not marketable gas and is located
(ii) along a pipeline between a well head and a gas processing plant, or
(iii) within a gas processing plant,
(b) is used to transmit waste gas, composed primarily of hydrogen sulphide and carbon dioxide, within a gas processing plant or from a gas processing plant to a well, or
(c) is located at a well head and is used to inject waste gas into a depleted well for permanent disposal.
(5) The rate of tax payable under subsection (2) on natural gas that is used in a stationary internal combustion engine that pumps oil is as follows:
(a) if the pump is located at a well head or within an oil processing plant, the rate of tax is 1.1¢ per each 810.32 litres, at standard reference conditions, of natural gas used;
(b) if the pump is located along a pipeline that moves the oil from a well head to an oil processing plant, from an oil processing plant to market, or in or out of storage facilities, the rate of tax is 1.9¢ per each 810.32 litres, at standard reference conditions, of natural gas used.
(6) The rate of tax payable under subsection (2) in respect of natural gas that is used in a stationary internal combustion engine other than as described in subsections (3), (4) and (5) is 1.1¢ per each 810.32 litres, at standard reference conditions, of natural gas used.
9.1 (1) In this section, "sales tax" means tax under Division 2, 4 or 5 of Part 3 of the Provincial Sales Tax Act.
(2) If the director is satisfied that
(a) a person paid sales tax on natural gas and has not obtained or is not entitled to obtain a refund of that sales tax under the Provincial Sales Tax Act,
(b) the person used the natural gas in a stationary internal combustion engine, and
(c) the amount of sales tax paid by the person exceeds the amount of tax that would have been payable on the natural gas under section 9 of this Act if tax had been payable on that natural gas under that section,
the director must refund to the person, from the consolidated revenue fund, an amount equal to the difference between the amount of sales tax paid by the person and the amount of tax that would have been payable on the natural gas under section 9 of this Act if tax had been payable on that natural gas under that section.
(a) a person paid sales tax on natural gas,
(b) the person used the natural gas in a stationary internal combustion engine, and
(c) the amount of sales tax paid by the person is less than the amount of tax that would have been payable on the natural gas under section 9 of this Act if tax had been payable on that natural gas under that section,
the person must pay to the government, at the prescribed time and in the prescribed manner, tax under this Act in an amount equal to the amount by which the amount of tax that would have been payable under section 9 of this Act exceeds the amount of sales tax paid by the person.
10 (1) Subject to subsection (1.11), a purchaser of motive fuel within an area
(a) outside the South Coast British Columbia transportation service region must pay to the government, at the time of purchase, tax on the fuel at the rate of 8.25¢ per litre,
(b) inside the South Coast British Columbia transportation service region must pay to the government, at the time of purchase, tax on the fuel at the rate of 14.25¢ per litre less the applicable rate of tax payable at the time of purchase under paragraph (c),
(c) inside the South Coast British Columbia transportation service region must pay to the South Coast British Columbia Transportation Authority, at the time of purchase, tax on the fuel at the following rates:
(i) effective April 1, 1999, 8¢ per litre;
(ii) effective April 1, 2001, 9¢ per litre;
(ii.1) effective April 1, 2002, 11¢ per litre;
(iii) effective April 1, 2003, 11.5¢ per litre;
(iv) effective April 1, 2005, 12¢ per litre, and
(d) inside the South Coast British Columbia transportation service region, must, in addition to the tax payable under paragraph (c), pay to the South Coast British Columbia Transportation Authority, at the time of purchase,
(i) tax on the fuel at the rate, not exceeding 3¢ per litre, set under section 27.1 of the South Coast British Columbia Transportation Authority Act,
(ii) tax on the fuel at the rate, not exceeding 2¢ per litre, set under section 27.11 of the South Coast British Columbia Transportation Authority Act, and
(iii) tax on the fuel at the rate, not exceeding 1.5¢ per litre, set under section 27.12 of the South Coast British Columbia Transportation Authority Act.
(1.1) If a purchaser takes delivery of motive fuel within an area
(a) outside the South Coast British Columbia transportation service region, that purchaser is deemed to be a purchaser liable to pay tax under subsection (1) (a), and
(b) inside the South Coast British Columbia transportation service region, that purchaser is deemed to be a purchaser liable to pay tax under subsection (1) (b), (c) and (d).
(1.11) A purchaser of motive fuel in a sale to which section 1.1 (2) (a) to (c) applies must pay to the government, at the prescribed time and in the prescribed manner, the tax under subsection (1) of this section.
(1.2) Subject to subsection (1.3), in addition to the tax imposed under subsection (1), a licensed carrier who purchases motive fuel must pay to the government, at the time of purchase, tax on the motive fuel at a rate that is equal to the rate per litre, applicable for the period in which the motive fuel is purchased, set out opposite the item "Light Fuel Oil" in column 2 of the Table in Schedule 1 of the Carbon Tax Act.
(1.3) A licensed carrier who purchases motive fuel in a sale to which section 1.1 (2) (a) to (c) applies must pay to the government, on or before the last day of the month following the end of the calendar quarter in which the fuel is purchased, the tax under subsection (1.2) of this section.
(2) A licensed carrier who uses in British Columbia motive fuel on which tax is not otherwise payable under subsection (1) must pay to the government, on or before the last day of the month following the end of the calendar quarter in which the fuel was used, tax on that fuel at the rate established under subsection (1) (a).
(2.1) A licensed carrier who uses in British Columbia motive fuel on which tax is not otherwise payable under subsection (1.2) must pay to the government, on or before the last day of the month following the end of the calendar quarter in which the motive fuel was used, tax on the motive fuel at the rate established under that subsection.
(3) A person who uses in British Columbia motive fuel on which tax is not otherwise payable under this section must pay to the government, at the prescribed time and in the prescribed manner, tax on that fuel at the rate established by subsection (1) (a).
10.1 (1) Subject to subsection (1.1), a purchaser of an alternative motor fuel must pay to the government, at the time of purchase, tax on the fuel at the rate set out in the regulations.
(1.1) A purchaser of an alternative motor fuel in a sale to which section 1.1 (2) (a) to (c) applies must pay to the government, at the prescribed time and in the prescribed manner, the tax under subsection (1) of this section.
(2) A licensed carrier who uses in British Columbia alternative motor fuel on which tax is not otherwise payable under subsection (1) must pay to the government, on or before the last day of the month following the end of the calendar quarter in which the fuel was used, tax on that fuel at the rate established under the regulations.
(3) A person who uses in British Columbia alternative motor fuel on which tax is not otherwise payable under this section must pay to the government, at the prescribed time and in the prescribed manner, tax on that fuel at the rate established under the regulations.
(4) A rate established under the regulations for the purposes of this section must not exceed the rate set out in section 4 (1) (a).
10.3 (1) Subject to subsection (2), a purchaser of propane must pay to the government, at the time of purchase, tax on the propane at the rate of 2.7¢ per litre.
(2) A purchaser of propane in a sale to which section 1.1 (2) (a) to (c) applies must pay to the government, at the prescribed time and in the prescribed manner, the tax under subsection (1) of this section.
(3) A person who uses propane on which tax is not otherwise payable under this section must pay to the government, at the prescribed time and in the prescribed manner, tax on that propane at the rate set by subsection (1).
12 (1) The taxes imposed under sections 4 (1) (c) and (d) and 10 (1) (c) and (d) that are remitted to the minister as required under this Act
(a) are received by the minister as agent of the South Coast British Columbia Transportation Authority, and
(b) subject to subsections (2) (b) and (3) of this section, must be remitted by the minister to the South Coast British Columbia Transportation Authority.
(a) charge the South Coast British Columbia Transportation Authority a fee to recover the additional costs to the government of collecting and remitting the tax imposed under sections 4 (1) (c) and (d) and 10 (1) (c) and (d), and
(b) deduct the fee referred to in paragraph (a) of this subsection from the amount of tax received on behalf of the South Coast British Columbia Transportation Authority.
(3) The director may deduct from the amount of tax received by the minister on behalf of the South Coast British Columbia Transportation Authority any amounts that the director or minister is required, under this Act or any other enactment or as a result of a judgment of a court, to refund to collectors, wholesale dealers, retail dealers or purchasers.
(4) Despite the Financial Administration Act, any taxes received by the minister under subsection (1) of this section must be paid into the consolidated revenue fund.
(5) Without an appropriation other than this subsection, the amount that the minister must remit to the South Coast British Columbia Transportation Authority under subsection (1) (b) must be paid out of the consolidated revenue fund.
(6) Section 27 (1) (a) of the Financial Administration Act does not apply to the appropriation under subsection (5) of this section.
(7) The minister on behalf of the government may enter into a tax collection agreement with the South Coast British Columbia Transportation Authority with respect to the tax described in subsection (1) and the fee described in subsection (2).
12.1 (1) In this section, "Victoria regional transit service area" means the area established as the Victoria regional transit service area under section 25 of the British Columbia Transit Act.
(2) Subject to a regulation made under subsection (3) of this section, in addition to the tax payable under sections 4 and 10, a purchaser of gasoline or motive fuel that is delivered to that purchaser within the Victoria regional transit service area must pay to the government, at the time of purchase, for the raising of revenue for the purposes of the British Columbia Transit Act, a tax at the rate of 5.5¢ per litre on each litre of gasoline or motive fuel purchased by the purchaser.
(2.1) Despite the time for payment provided for in subsection (2), a purchaser of gasoline or motive fuel in a sale to which section 1.1 (2) (a) to (c) applies must pay to the government, at the prescribed time and in the prescribed manner, the tax under subsection (2) of this section.
(3) The Lieutenant Governor in Council may, by regulation,
(a) specify that the tax under subsection (2) does not apply to gasoline, or to motive fuel, in which event, the tax must not be collected on that fuel,
(b) suspend the operation of subsection (2) insofar as it relates to any part of the Victoria regional transit service area, in which event, while that suspension is in force, no tax is payable under subsection (2) by a purchaser of gasoline or motive fuel that is delivered to that purchaser within that part of the Victoria regional transit service area, and
(c) if a suspension has been prescribed under paragraph (b) of this subsection, prescribe that the suspension be terminated and that all or part of subsection (2) again comes into force in that part of the Victoria regional transit service area as of a prescribed date.
(4) The minister must pay out of the consolidated revenue fund, without an appropriation other than this subsection, to the regional transit commission for the Victoria regional transit service area amounts equivalent to the net revenue collected under subsection (2) or (2.1).
13 (1) In addition to the tax payable under sections 4, 10 and 12.1, a purchaser of gasoline or motive fuel within a prescribed area referred to in section 34 of the Transportation Act must, for the raising of revenue for the purposes of the BC Transportation Financing Authority continued under that Act, pay to the government, at the time of purchase, tax, prescribed under section 34 (2) (b) of that Act and not exceeding 6.75¢ per litre, on the gasoline or motive fuel.
(2) Despite the time for payment provided for in subsection (1), a purchaser of gasoline or motive fuel in a sale to which section 1.1 (2) (a) to (c) applies must pay to the government, at the prescribed time and in the prescribed manner, the tax under subsection (1) of this section.
(3) In addition to the tax payable under sections 4, 10 and 12.1, a person who, within a prescribed area referred to in section 34 of the Transportation Act, uses gasoline or motive fuel on which tax is not otherwise payable under this section must, for the raising of revenue for the purposes of the BC Transportation Financing Authority continued under that Act, pay to the government, at the time that any tax payable by that person under section 4 (3) or 10 (3) of this Act is payable, tax, prescribed under section 34 (2) (b) of the Transportation Act and not exceeding 6.75¢ per litre, on the gasoline or motive fuel.
(a) a purchaser purchased fuel for a particular purpose,
(b) the purchaser subsequently uses that fuel or allows that fuel to be used for another purpose, and
(c) the amount of tax paid on that fuel under this Act was less than the amount of tax that would have been payable under this Act if that fuel had been purchased for the purpose for which it was used,
the purchaser must pay to the government, at the prescribed time and in the prescribed manner, tax equal to the difference between
(d) the tax that the purchaser would have paid on that fuel if that fuel had been purchased for the purpose for which it was used, and
(e) the tax paid by the purchaser on that fuel.
(2) The tax payable under subsection (1) is in addition to any other tax payable under this Act.
Part 3 — Coloured Fuel and Motive Fuel
13.3 In this Part:
means an authorization provided under section 14 (1) or 14.1 (1);
means a person who holds an authorization.
14 (1) The director may, in writing, authorize a person to colour fuel subject to the terms and conditions the director considers appropriate.
(2) An authorized person must not delegate or transfer the authorized person's authority to colour fuel.
(3) A person must not colour fuel unless authorized to do so by an authorization.
(3.1) A person authorized to colour fuel must use the prescribed dye, the prescribed dyeing procedures and the prescribed equipment to colour the fuel.
(4) The director may suspend, for the period prescribed by the regulations, or cancel an authorization if the director is satisfied that the authorized person has neglected or refused to comply with
(a) a provision of this Act or the regulations,
(b) a term or condition imposed with respect to an authorization under subsection (1) or section 14.1,
(b.1) a term or condition relating to heating oil or non-motor fuel oil under section 16.2 (2) or 16.3 (2) or (3), or
(c) a term or condition imposed under subsection (9).
(5) A suspension or cancellation under subsection (4) does not relieve an authorized person from any obligation under this Act.
(6) Before cancelling an authorization, the director must give the authorized person notice of the grounds for the proposed cancellation and an opportunity to show why the authorization should not be cancelled, but the director may suspend an authorization under subsection (4) without advance notice to the authorized person.
(7) Suspension or cancellation of an authorization takes effect when the notice of the suspension or cancellation is given to the authorized person.
(9) The director may lift the suspension of an authorization after imposing on the authorized person the additional terms and conditions, if any, that the director considers appropriate.
14.1 (1) The director may, in writing, authorize a person to sell coloured fuel subject to the terms and conditions the director considers appropriate.
(2) An authorized person must not delegate or transfer the authorized person's authority to sell coloured fuel.
(3) A person must not sell coloured fuel unless the person has an authorization to sell coloured fuel.
(4) Section 14 (4) to (9) applies to an authorization under this section.
15 (1) A person must not purchase or use coloured fuel except for the purpose of operating one or more of the following:
(b) a tractor when used on other than a highway;
(c) an industrial machine when used on other than a highway;
(d) a prescribed type of motor vehicle when used by the logging industry other than on a highway;
(e) a prescribed type of motor vehicle when used by the mining industry other than on a highway in respect of a mineral mining operation;
(f) a stationary engine or portable engine;
(g) a road building machine within a highway project area or used by or for the government in construction or repair of roads maintained by the government;
(h) a commercial motor vehicle, other than a pick-up truck, when used on other than a highway for the transportation of
(i) drilling rigs, drilling equipment and supplies,
(ii) fuel, water, well-servicing equipment and supplies, and
(iii) geophysical and seismic equipment and supplies,
for persons actively engaged in exploring or drilling for petroleum and natural gas;
(i) a tractor when used on a highway by or on behalf of a farmer for the purposes of the farmer's farm;
(j) a farm truck being used by a farmer or other person in the operation of the farm;
(k) a tractor, a motor vehicle referred to in paragraph (m), an industrial machine or a road building machine, when proceeding to or returning from a location where the use of coloured fuel in the vehicle is otherwise authorized under paragraph (b), (c), (g) or (m);
(l) a vehicle that is ordinarily used for a purpose authorized under paragraph (d) or (e) and in respect of which a temporary operating permit has been issued under the Commercial Transport Act;
(m) a motor vehicle that is not licensed to operate on a highway.
(2) Despite subsection (1), a person must not carry coloured fuel in a supply tank connected to the engine of a motor vehicle if another supply tank connected to the engine of the motor vehicle contains fuel that is not coloured.
(3) A person who uses coloured fuel for a purpose not authorized by subsection (1) must pay to the government, at the prescribed time and in the prescribed manner, tax equal to the difference between
(a) the tax that the person would have paid on that fuel if the fuel had not been taxed as coloured fuel, and
(b) the tax paid by the person on that fuel.
(4) The tax payable under subsection (3) is in addition to any tax payable under section 5.
16 (1) A carrier who brings motive fuel into British Columbia in the supply tank of an IFTA commercial vehicle must
(a) have in the carrier's possession a carrier licence and display carrier decals on the IFTA commercial vehicle,
(b) have in the carrier's possession a motive fuel user permit, or
(c) immediately obtain a motive fuel user permit.
(2) A licensed carrier who brings gasoline into British Columbia in the supply tank of an IFTA commercial vehicle must have in the carrier's possession a carrier licence and display carrier decals on the IFTA commercial vehicle.
(3) Subject to the terms and conditions the Lieutenant Governor in Council specifies in the regulations, subsections (1) and (2) do not apply
(a) to a carrier who is a member of a prescribed class of carriers, or
(b) in respect of a vehicle that is part of a prescribed class of vehicles.
Part 3.1 — Heating Oil and Non-Motor Fuel Oil
16.1 In this Part, "colour", in respect of heating oil or non-motor fuel oil, means colour the heating oil or non-motor fuel oil in accordance with subsections (3) and (3.1) of section 14, as those provisions apply under section 16.2 (3), and the regulations.
16.2 (1) A person who is authorized to colour fuel under section 14 is authorized to colour heating oil and non-motor fuel oil.
(2) A reference to fuel in any term or condition of an authorization under section 14 (1) is deemed to include, so far as is applicable, a reference to heating oil and non-motor fuel oil.
(3) Section 14 (2), (3) and (3.1) applies in relation to the colouring of heating oil or non-motor fuel oil as if the heating oil or non-motor fuel oil were a fuel.
16.3 (1) A person who is authorized to sell coloured fuel under section 14.1 is authorized to sell coloured heating oil and coloured non-motor fuel oil.
(2) A reference to coloured fuel in any term or condition of an authorization under section 14.1 (1) is deemed to include, so far as is applicable, a reference to coloured heating oil and coloured non-motor fuel oil.
(3) If a person is not authorized to sell coloured fuel under section 14.1, the director may, in writing, authorize the person to sell coloured heating oil or coloured non-motor fuel oil subject to the terms and conditions the director considers appropriate.
(4) A person who is authorized to sell coloured heating oil or coloured non-motor fuel oil under subsection (1) or (3) must not delegate or transfer the person's authority to sell coloured heating oil or coloured non-motor fuel oil.
(5) A person must not sell coloured heating oil or coloured non-motor fuel oil unless the person is authorized to sell coloured heating oil or coloured non-motor fuel oil under subsection (1) or (3).
(6) Section 14 (4) to (9) applies to an authorization under subsection (3) of this section.
16.4 (1) A person must not sell or offer to sell heating oil if the heating oil is not coloured before it is sold or offered for sale, as the case may be.
(2) A person must not buy heating oil if the heating oil is not coloured before it is bought.
16.5 (1) If a person has bought a substance as heating oil, the person must not sell or offer to sell the substance as a fuel or as non-motor fuel oil.
(2) Subject to subsection (3), if a person has bought a substance as non-motor fuel oil, the person must not sell or offer to sell the substance
(b) if the substance was not coloured before the substance was bought, as heating oil.
(a) a person has bought a substance as non-motor fuel oil,
(b) the substance was not coloured before the substance was bought, and
(c) the person is authorized to colour non-motor fuel oil under section 16.2 (1),
the person may sell or offer to sell the substance as heating oil if the person colours the substance before the substance is sold or offered for sale, as the case may be.
16.6 If non-motor fuel oil is sold within British Columbia to a person
(a) for the person's own use or for use by another person at the first person's expense, or
(b) on behalf of or as agent for a principal for use by the principal or by other persons at the expense of the principal,
the seller, at or before the time of the sale, must obtain from the buyer a declaration in a form specified by the director.
16.7 (1) This section applies to a person in relation to a substance if the person
(a) manufactured the substance as heating oil or non-motor fuel oil in British Columbia,
(b) bought the substance as heating oil or non-motor fuel oil in British Columbia, or
(c) brought or sent the substance as heating oil or non-motor fuel oil into British Columbia, or received delivery of the substance as heating oil or non-motor fuel oil in British Columbia.
(2) A person to whom this section applies must not use or allow another person to use the substance to generate power by means of an internal combustion engine.
(3) If the substance is non-motor fuel oil, a person to whom this section applies must not use or allow another person to use the substance in a furnace, boiler or open flame burner.
(4) If the substance is heating oil, a person to whom this section applies must not use or allow another person to use the substance in a furnace, boiler or open flame burner unless the substance is coloured before it is used.
(5) A person who uses or allows another person to use a substance contrary to subsection (2), (3) or (4) must pay to the government, at the prescribed time and in the prescribed manner, tax at the rate of 15¢ per litre.
16.8 Except as provided by regulation, Parts 5 to 12, other than section 37, and the regulations apply to heating oil or non-motor fuel oil that is liable to be taxed under section 16.7 (5) as if the heating oil or non-motor fuel oil were a fuel and the type of that fuel were motive fuel.
Part 4 — International Fuel Tax Agreement
17 The minister may, on behalf of the government, enter into an agreement with one or more governments of other jurisdictions, whether inside or outside of Canada, respecting the interjurisdictional administration of the collection, remittance and enforcement of the tax imposed under this Act or under similar Acts in the other jurisdictions.
18 (1) Despite any other provision of this Act or any other Act, if tax or other moneys are collected or received by the government under this Act or under an agreement made under this Act, the minister may pay to another jurisdiction or to a licensed carrier that part of the tax and other moneys collected or received that is, under the International Fuel Tax Agreement, required to be paid to that other jurisdiction or the licensed carrier, as the case may be.
(2) Any payments made under subsection (1) may be paid out of the consolidated revenue fund.
19 (1) On application by a carrier, the director may, in accordance with the regulations, issue or renew or refuse to issue or renew to the carrier a licence under which the tax administration scheme contemplated by the International Fuel Tax Agreement is applied to the carrier.
(2) If the director refuses to issue or renew a licence to a carrier, the director must, on the request of the carrier, give written reasons to the carrier for the director's refusal.
(3) An application under subsection (1) must be in a form and manner specified by the director and must contain or incorporate by reference the terms and conditions of the licence with which the carrier agrees to comply and to which the carrier agrees to be bound, and any other information required by the director, in a manner specified by the director.
(3.1) Before the director issues or renews a licence under subsection (1), the director may require the applicant to deposit a bond under section 53 by the date specified by the director.
(3.2) The director may refuse to issue or renew a licence under subsection (1) if the applicant has failed to deposit a bond required under section 53 by the date specified by the director under subsection (3.1) of this section.
(4) The director may suspend or cancel a licence issued under this section if the licensee fails to comply with
(a) a provision of this Act or the regulations,
(b) the terms and conditions of the licence set out in the application, or
(c) a requirement of the director to deposit a bond under section 53.
(5) A suspension or cancellation of a licence under subsection (4) does not relieve a person from any other liability.
(6) The director must issue to a carrier, to whom a licence has been issued under this section, 2 decals for each motor vehicle that is
(a) owned or operated by the carrier, and
(b) used interprovincially or internationally for the commercial carriage of passengers or goods.
(7) A carrier to whom a licence and decals are issued under this section must not assign or otherwise transfer that licence or those decals.
(8) A licensed carrier must not display the decals issued under subsection (6) unless that carrier is in compliance with this Act, the regulations and the terms and conditions of the licence set out in the application.
(9) A carrier whose carrier licence is suspended or cancelled must, immediately after that suspension or cancellation, return the carrier licence to the director and remove all decals issued under subsection (6) from the motor vehicles to which they were affixed.
20 (1) If the director is satisfied an amount has been paid as tax in circumstances where there was no legal obligation to pay the amount as tax, the director must refund, from the consolidated revenue fund, that amount to the person entitled to it.
(2) If the director is satisfied that a collector has remitted to the government an amount as collected taxes that the collector neither collected nor was required to collect under this Act, the director must refund the amount to the collector from the consolidated revenue fund.
(3) Subsection (2) applies to a person who sells fuel in a sale to which section 1.1 (2) (a) to (c) applies as if the person were a collector.
"person" has the same meaning as "claimant" in paragraph 6 (b) of the Taxation Agreement;
"Taxation Agreement" has the same meaning as in section 6.1 of the Nisg̱a'a Final Agreement Act.
(2) On application and on receipt of evidence establishing that a person is entitled to a refund as provided in the Taxation Agreement of tax paid by the person under this Act, the director must pay that refund from the consolidated revenue fund to that person.
20.101 (1) [Repealed 2011-11-62.]
(2) On application, and on receipt of evidence establishing that a person is entitled under a tax treatment agreement to a refund of tax paid by the person under this Act, the director must pay that refund from the consolidated revenue fund to that person.
20.11 (1) If the director is satisfied that a collector has paid an amount as security to the government in circumstances where there was no legal obligation to pay the amount as security, the director must refund, from the consolidated revenue fund, that amount to the collector.
(1.1) Subsection (1) applies to a person who sells fuel in a sale to which section 1.1 (2) (a) to (c) applies as if the person were a collector.
(1.2) Subject to subsection (3.01), if the director is satisfied that
(a) a deputy collector has paid an amount as security on fuel,
(b) the deputy collector is a refiner collector,
(c) the fuel was subsequently sold to another refiner collector, and
(d) the other refiner collector was not required, as a result of section 33 (2) or 40 (1.1), to pay security on the fuel,
the director must refund, from the consolidated revenue fund, that amount to the deputy collector.
(2) Subject to subsection (3.01), if the director is satisfied that a person who is a collector, deputy collector or retail dealer has paid security on fuel that
(a) was sold to a purchaser who is not liable to pay tax on that purchase, or
(b) was not sold and is not to be sold to a purchaser,
the director must pay from the consolidated revenue fund to the person the difference between the amount of security the person paid on the fuel and the amount of security or tax the person received for the fuel.
(3) Subject to subsection (3.01), if the director is satisfied that
(a) a person who is a collector, deputy collector or retail dealer has paid security on fuel,
(b) the amount of the security was calculated on the basis that the fuel would be sold to a purchaser who would be liable to pay tax at a particular rate established under this Act,
(c) the fuel was or will be sold to a purchaser liable to pay a lower rate of tax, and
(d) the person is not a deputy collector or retail dealer to whom a refund is payable under section 20.12,
the director must pay, from the consolidated revenue fund, to the person the difference between the amount of security the person paid on the fuel and the amount of security or tax the person received for the fuel.
(3.01) A refund is not payable under subsection (1.2), (2) or (3) in respect of the fuel if,
(a) in the case of a person who has paid security on fuel and has subsequently coloured and sold that fuel, the person has not complied with sections 14 and 14.1,
(b) in the case of a person who has paid security on coloured fuel and has subsequently sold that coloured fuel, the person has not complied with section 14.1, or
(c) in the case of a person who has paid security on a substance as a type of fuel or a subcategory of a type of fuel and has subsequently sold the substance as another type of fuel or another subcategory of a type of fuel, the person has not complied with section 29.
(3.1) Subject to subsection (3.2), if the director is satisfied that
(a) a collector, deputy collector or retail dealer has paid an amount as security on a substance bought as a fuel, and
(b) the substance was or will be sold in accordance with this Act as heating oil or non-motor fuel oil to a person
(i) for the person's own use or for use by another person at the first person's expense, or
(ii) on behalf of or as agent for a principal for use by the principal or by other persons at the expense of the principal,
the director must refund, from the consolidated revenue fund, that amount to the collector, deputy collector or retail dealer.
(3.2) A refund is not payable under subsection (3.1) in respect of the substance if, in the case of a collector, deputy collector or retail dealer who has paid security on the substance and has subsequently coloured that substance, the collector, deputy collector or retail dealer has not complied with section 16.2.
(4) A deputy collector or retail dealer who has received an amount under subsection (1.2), (2), (3) or (3.1) for a fuel is not entitled to and must not request a refund of the security from the person who sold the fuel to the deputy collector or retail dealer.
(5) If a vendor, wholesale dealer or retail dealer receives an amount under subsection (1.2), (2) or (3) for a fuel and subsequently receives security or collects tax or an amount as if it were tax on the fuel with respect to which the amount was paid, the vendor, wholesale dealer or retail dealer must pay to the government the amount received or collected on the fuel at the prescribed time and in the prescribed manner.
(6) If a vendor, wholesale dealer or retail dealer receives an amount under subsection (3.1) for a substance and subsequently receives security or collects tax, or an amount as if it were tax, as if the substance with respect to which the amount was paid were a fuel, the vendor, wholesale dealer or retail dealer must pay to the government the amount received or collected on the substance at the prescribed time and in the prescribed manner.
20.12 (1) The director must pay to a deputy collector, from the consolidated revenue fund, a refund in the amount determined under subsection (2) if the director is satisfied that
(a) the deputy collector has paid security on fuel that was not coloured fuel at the time the deputy collector bought the fuel,
(b) the deputy collector has coloured the fuel referred to in paragraph (a) and has sold that coloured fuel,
(c) the deputy collector, in colouring and selling the fuel referred to in paragraph (a), has complied with sections 14 and 14.1, and
(d) a refund is not payable under section 20.11 (2) to the deputy collector.
(2) The amount of the refund payable under subsection (1) is the amount equal to the difference between
(a) the amount of security the deputy collector paid on the fuel, and
(b) the amount of security the deputy collector would have been required to pay on the fuel if the rate of tax on that fuel were 3¢ per litre.
(3) The director must pay to a retail dealer, from the consolidated revenue fund, a refund in the amount determined under subsection (4) if the director is satisfied that
(a) the retail dealer has paid security on fuel that was not coloured fuel at the time the retail dealer bought the fuel,
(b) the retail dealer has coloured the fuel referred to in paragraph (a) and has sold that coloured fuel to a purchaser who was liable to pay tax under this Act on that purchase,
(c) the retail dealer, in colouring and selling the fuel referred to in paragraph (a), has complied with sections 14 and 14.1, and
(d) in the case of a retail dealer who has sold coloured fuel, other than coloured fuel referred to in section 5.1 (2) (b) or (c), to a purchaser, other than a farmer, referred to in section 5.1 (1) (a) or (b), the retail dealer
(i) has obtained from the purchaser, at or before the time of sale, or after the time of sale, the declaration referred to in section 5.1 (1), or
(ii) has collected from the purchaser the amount of tax imposed under section 5.1 (1).
(4) The amount of the refund payable under subsection (3) is the amount equal to the difference between
(a) the amount of security the retail dealer paid on the fuel, and
(b) the amount of tax the retail dealer received from the purchaser for that fuel.
(5) If a refund is paid under subsection (3) to a retail dealer who has obtained from the purchaser, after the time of sale, the declaration referred to in section 5.1 (1), the purchaser is deemed to be, at the time of sale, a purchaser who is
(a) required to pay an amount of tax under section 5 (1), and
(b) not required to pay an amount of tax under section 5.1 (1).
(6) If a deputy collector or retail dealer receives an amount under this section for a fuel and subsequently receives security or collects tax or an amount as if it were tax on the fuel with respect to which the amount was paid, the deputy collector or retail dealer must pay to the government the amount received or collected on the fuel at the prescribed time and in the prescribed manner.
20.2 (1) Despite sections 20 (2), 20.11 and 20.12, or any regulation that requires the payment of a refund of amounts collected or security to a corporation, if the director is satisfied that the total of the amount paid by one or more board members who are jointly and severally liable with the corporation under section 45.1 (1) and the amount, if any, paid by the corporation exceeds the amount owed by the corporation under this Act for the period that the board members who made the payments were jointly and severally liable with the corporation, the director must pay a refund from the consolidated revenue fund in accordance with the following:
(a) if only one board member paid all or a part of the amount for which one or more board members and the corporation were jointly and severally liable under section 45.1 (1), refund to the board member the amount of the excess up to the amount paid by the board member;
(b) if two or more board members paid the amount or a part of the amount for which the board members and the corporation were jointly and severally liable under section 45.1 (1), refund to the board members the amount of the excess divided proportionately between the board members, up to the amount paid by each board member;
(c) after making the payment under paragraph (a) or (b), refund to the corporation any remaining amount of the excess, up to the amount paid by the corporation.
(2) A refund under subsection (1) (b) must be based on the ratio of the amounts paid by the board members who are jointly and severally liable under section 45.1 (1) for the applicable period of the refund.
(3) A refund may be paid under subsection (1) only to a board member or corporation who has applied for a refund.
"sale" means a sale referred to in subsection (2) (a);
"seller" means a collector, deputy collector or retail dealer;
"specified amount", in relation to a sale, means a portion, determined in the prescribed manner, of the amount remitted or paid to the government by the seller in respect of taxes or security payable under this Act on the sale.
(2) This section applies to a seller in respect of a sale if
(b) the seller, in accordance with this Act,
(i) remits the tax required under this Act to be collected for the sale, or
(ii) pays or has paid the security required under this Act to be paid in respect of the fuel,
(c) the person buying the fuel does not pay to the seller the full amount of the consideration in respect of the sale, and
(d) within 4 years of the date on which the tax or security referred to in paragraph (b) (i) or (ii), as the case may be, was remitted or paid, the seller writes off as unrealizable or uncollectable the amount owing by the person who bought the fuel.
(3) If a seller to whom this section applies in respect of a sale is a collector, the seller may deduct the specified amount from the amount of taxes or security that the seller is required to remit or pay under this Act in respect of the reporting period in which the seller writes off the amount owing referred to in subsection (2) (d).
(4) A deduction referred to in subsection (3) must be made in a form specified by the director.
(5) If the director is satisfied that
(a) this section applies to a seller in respect of a sale, and
(b) if the seller is a collector, the seller has not made a deduction under subsection (3) in respect of the sale,
the director must refund from the consolidated revenue fund the specified amount to the seller.
(6) If a seller who is a collector has made a deduction under subsection (3) or obtained a refund under subsection (5) and recovers some or all of the amount referred to in subsection (2) (d) with respect to which the refund was paid or the deduction was made, the seller must add an amount, determined in the prescribed manner, to the tax to be remitted or security to be paid by the seller under this Act in respect of the reporting period in which the recovery was made.
(7) If a seller, other than a seller referred to in subsection (6), who obtained a refund under subsection (5) recovers some or all of the amount referred to in subsection (2) (d) with respect to which the refund was paid, the seller must pay to the government an amount, determined in the prescribed manner, on or before the last day of the month following the month in which the recovery was made.
22 (1) If a person has paid tax imposed under section 4 or 10 in respect of fuel used for a purpose for which coloured fuel is authorized to be used under section 15 (1) (d), (e) or (h) or in respect of fuel used in a farm truck while being operated internationally for the purpose specified in section 15 (1) (j), the director must pay to that person from the consolidated revenue fund a refund equal to the difference between the tax paid on the fuel under section 4 or 10 and the tax that would have been payable under section 5 had the fuel been coloured fuel.
(2) If a person has also paid tax imposed under section 12.1 or 13 in respect of fuel described in subsection (1), the director must, in addition to the refund under subsection (1), pay from the consolidated revenue fund to that person a refund equal to the amount of tax paid on the fuel under section 12.1 or 13.
22.1 (1) The director must pay to a purchaser of coloured fuel, from the consolidated revenue fund, a refund in the amount determined under subsection (2) if the director is satisfied that
(a) the purchaser has paid an amount of tax under section 5.1 (1) on the coloured fuel,
(b) the purchaser would not have been required to pay the amount referred to in paragraph (a) if the retail dealer had obtained from the purchaser, at or before the time of sale, the declaration referred to in section 5.1 (1), and
(c) the purchaser has used the coloured fuel for a purpose authorized under section 15.
(2) The amount of the refund payable under subsection (1) is the amount equal to the difference between
(a) the amount of tax paid by the purchaser under section 5.1 (1), and
(b) the amount of tax that would have been payable by the purchaser under section 5 if the retail dealer had obtained from the purchaser, at or before the time of sale, the declaration referred to in section 5.1 (1).
23 (1) If a person with disabilities who is 16 years of age or older owns or leases a motor vehicle and has paid tax imposed by this Act on fuel used to propel the motor vehicle, the director must pay to the person from the consolidated revenue fund a refund equal to the tax paid during the period January 1 to December 31 up to a maximum of $500.
(2) A refund is payable under this section in respect of only one motor vehicle owned or leased by a person with disabilities.
24 If a person purchases, for the operation of a private passenger motor vehicle, motive fuel on which tax imposed by section 10 has been paid, the director must pay to the person from the consolidated revenue fund a refund of 0.5¢ per litre on the motive fuel purchased.
24.1 The director
(a) if authorized by the regulations, may pay from the consolidated revenue fund a refund of all or a portion of tax or security paid by an applicant for a refund, and
(b) if required by the regulations, must pay from the consolidated revenue fund a refund of all or a portion of tax or security paid by an applicant for a refund.
25 (1) To claim a refund under this Act, other than under section 20.1 or 20.101, a person must submit to the director
(a) subject to the regulations, a written application in a form and manner specified by the director and signed by the person who paid or remitted the amount claimed, and
(b) any information or document required by the director, in a manner specified by the director.
(2) For the purposes of subsection (1) (a), if the person who paid or remitted the amount claimed is a corporation, the application must be signed by a board member or authorized employee of the corporation.
(2.1) Despite anything in this Act or the regulations, the director is not required to pay a refund to a person who claims a refund under subsection (1) unless the requirements of subsections (1) and (2) are met.
(3) A person who is required to file a return for tax or security under this Act may
(a) instead of submitting a written application under subsection (1) (a), submit, as part of the return, a claim for a refund for the reporting period to which the return relates, and
(b) deduct the amount of the refund claimed from the amount of tax or security required to be remitted or paid by the person.
26 (1) Despite section 16 of the Financial Administration Act,
(a) a refund of less than $10 must not be made,
(b) a refund, other than a refund referred to in paragraph (c), must not be made on a claim for a refund that is received by the director more than 4 years after the date on which the amount claimed was paid or remitted, and
(c) a refund to a person under section 21 (5) must not be made on a claim for a refund that is received by the director more than 4 years after the date on which the person who sold the fuel referred to in section 21 writes off as unrealizable or uncollectable the amount owing by the person who bought that fuel.
(2) Despite the Limitation Act, an action for a refund must not be brought more than 4 years after the date on which the amount claimed was paid or remitted.
28 (1) Subject to subsection (3), and on receipt of an application in a form and manner specified by the director, the director may, if the director considers that the applicant is suitable,
(a) appoint a vendor to be a collector for a type or subcategory of a type of fuel, and
(b) make the appointment subject to any other conditions and limitations specified by the director.
(2) The director may limit the application of a collector's appointment to a subcategory of a type of fuel, if the subcategory is prescribed under this Act.
(2.1) On receipt of an application in a form and manner specified by the director, the director may
(a) appoint a collector to be a refiner collector with respect to the same type or subcategory of a type of fuel as the collector is appointed under subsection (1) (a), if
(i) the director considers the applicant suitable, and
(ii) the collector or one or more interrelated entities of the collector, individually or collectively, own and operate a crude oil refinery in Canada, and
(b) make the refiner collector appointment subject to any conditions and limitations specified by the director.
(2.11) Before the director makes an appointment under subsection (1) or (2.1), the director may require the applicant to deposit a bond under section 53 by the date specified by the director.
(2.12) The director may refuse to make an appointment under subsection (1) or (2.1) if the applicant has failed to deposit a bond required under section 53 by the date specified by the director under subsection (2.11) of this section.
(2.2) In this section, "interrelated entity", in relation to a collector, means a corporation, partnership, trust, joint venture or other incorporated or unincorporated entity that the director considers to be interrelated with the collector for the purpose of this section.
(2.3) Subject to subsection (2.4), the director may make an appointment under subsection (1) or (2.1) effective on an earlier date that is on or after the first day of the month in which the vendor's first sale of a type or subcategory of a type of fuel in British Columbia, and if the appointment is made effective on an earlier date the vendor is deemed to have been appointed a collector or refiner collector on the specified date.
(2.4) An appointment may not be made effective on a date that is earlier than 4 years before the director makes the appointment under subsection (1) or (2.1).
(3) Before an applicant is appointed as a collector, the applicant must enter into an agreement with the director, on behalf of the government, setting out the duties to be performed by the applicant when acting as a collector and any other matters the director considers necessary or advisable.
(4) A vendor must not sell, within British Columbia, fuel unless the vendor is appointed a collector for that type or subcategory of a type of fuel.
(5) This section does not apply to the sale of natural gas or hydrogen.
29 (1) Subject to subsection (2), a person other than
(b) a person who sells fuel in a sale to which section 1.1 (2) (a) to (c) applies
must not sell a substance as a type of fuel or a subcategory of a type of fuel unless the person bought the substance as that type of fuel or that subcategory of a type of fuel, as applicable.
(2) The director may, in writing and in circumstances, if any, or on conditions, if any, the director specifies, authorize a person, other than a person referred to in subsection (1) (a) or (b), to sell a substance as a type of fuel or a subcategory of a type of fuel in circumstances in which the person bought the substance as another type of fuel or another subcategory of a type of fuel, as applicable.
30 (1) The director may, without advance notice to a collector, suspend the collector's appointment for a period of up to 60 days
(a) if the director is satisfied that the collector knowingly gave false information on an application for the appointment,
(b) if the collector refuses or neglects to comply with
(i) a provision of this Act or the regulations,
(ii) a condition or limitation specified by the director under section 28 (1),
(iii) a provision of the agreement referred to in section 28 (3), or
(iv) a requirement of the director to deposit a bond under section 53,
(b.1) with respect to an appointment as a refiner collector, if the director is satisfied that the condition referred to in section 28 (2.1) (a) (ii) is not being met, or
(c) if authorized by the regulations.
(1.1) If the director suspends an appointment of a collector under subsection (1), the director must, as soon as reasonably possible,
(a) advise the person of the reasons for the suspension, and
(b) provide the person with an opportunity to show the director why the suspension should be lifted.
(2) Subject to subsection (2.1), the director may, by notice given to a collector, cancel the collector's appointment
(a) if the director is satisfied that the collector knowingly gave false information on an application for the appointment,
(b) the collector refuses or neglects to comply with
(i) a provision of this Act or the regulations,
(ii) a condition or limitation specified by the director under section 28 (1),
(iii) a provision of the agreement referred to in section 28 (3), or
(iv) a requirement of the director to deposit a bond under section 53,
(b.1) with respect to an appointment as a refiner collector, if the director is satisfied that the condition referred to in section 28 (2.1) (a) (ii) is not being met, or
(c) if authorized by the regulations.
(2.1) Before cancelling an appointment under subsection (2), the director must
(a) give the collector notice of the reasons for the proposed cancellation, and
(b) provide the collector with an opportunity to show the director why the appointment should not be cancelled.
(3) Cancellation of an appointment under subsection (2) takes effect on the later of
(a) the date that notice of it is given to the collector, or
(b) the date stated in the notice.
(4) A suspension or cancellation of appointment under this section does not relieve a collector from any liability.
(5) If required by the regulations, the director must cancel a collector's appointment in accordance with the regulations.
(6) If the director cancels a collector's appointment under subsection (5), the director
(a) is not required to give advance notice of the cancellation to the collector, and
(b) must give written reasons to the collector.
(7) If the appointment of a person as a collector under the Carbon Tax Act is suspended under that Act, the appointment of that person as collector under this Act is automatically suspended without notice for the same period as the suspension under the Carbon Tax Act, if both appointments are in relation to the same substance.
(8) If the appointment of a person as a collector under the Carbon Tax Act is cancelled under that Act, the appointment of that person as collector under this Act is automatically cancelled without notice if both appointments are in relation to the same substance.
(9) If the appointment of a person as a collector under this Act or the Carbon Tax Act is suspended under either Act, the appointment of that person as refiner collector under this Act is automatically suspended without notice for the same period as the suspension under this Act or the Carbon Tax Act.
(10) If the appointment of a person as a collector under this Act or the Carbon Tax Act is cancelled under either Act, the appointment of that person as refiner collector under this Act is automatically cancelled without notice.
33 (1) If a wholesale dealer buys fuel
(a) from a collector, the wholesale dealer is deemed, with respect to that fuel, to have been appointed a deputy collector by the collector, or
(b) from a deputy collector, the wholesale dealer is deemed, with respect to that fuel, to have been appointed a deputy collector by the deputy collector
from whom the wholesale dealer bought that fuel.
(2) Subsection (1) does not apply to a wholesale dealer who is appointed a collector and who buys fuel from another collector in a sale described in section 38 (3).
(3) A person who is a deputy collector must comply with the obligations of a deputy collector imposed by this Act even if the person is also a collector or registered consumer with respect to other fuel.
(4) If a wholesale dealer buys fuel from a vendor whose appointment as a collector for the fuel is effective in accordance with section 28 (2.3), the appointment of the wholesale dealer as a deputy collector under subsection (1) (a) of this section is deemed to have been made at the time the wholesale dealer bought that fuel.
(5) If a wholesale dealer buys fuel from a deputy collector whose appointment as a deputy collector under subsection (1) (a) is effective in accordance with subsection (4), the appointment of the wholesale dealer as a deputy collector under subsection (1) (b) is deemed to have been made at the time the wholesale dealer bought the fuel.
34 (1) Subject to subsection (3) and the regulations, a retail dealer must collect the tax imposed by this Act at the time of selling fuel to a purchaser.
(2) A person who is a retail dealer must comply with the obligations of a retail dealer imposed under this Act even if the person is also a collector or a registered consumer with respect to other fuel.
(3) If a retail dealer sells to a registered consumer fuel that is the type or subcategory of a type of fuel specified on the registered consumer's certificate, the retail dealer is not required to collect tax from the registered consumer.
(4) Subject to sections 38, 39 and 40 and the regulations, a collector or deputy collector who sells fuel to a deputy collector or retail dealer must collect the tax from the deputy collector or retail dealer who bought the fuel.
(5) Subject to section 39 and the regulations, a deputy collector who buys fuel from a collector or other deputy collector must, on the demand of the collector or the other deputy collector, remit the tax on the fuel collected from a retail dealer or another deputy collector to the person who made the demand.
(6) Subject to section 40 and the regulations, a retail dealer who buys fuel from a collector or deputy collector must, on demand of the collector or deputy collector, remit the tax on the fuel collected from the purchaser to the person who made the demand.
(7) A retail dealer or deputy collector who does not remit the tax collected in accordance with subsection (5) or (6) must remit the tax collected to the government at the prescribed time and in the prescribed manner.
34.01 If a vendor's appointment as a collector for a fuel is effective in accordance with section 28 (2.3) and the collector sold, within British Columbia, the fuel within the period beginning on the date the appointment was effective in accordance with section 28 (2.3) and ending on the date the appointment was made by the director, the following apply in respect of that fuel:
(a) the collector or a deputy collector is relieved of any obligation under section 34 (4) to collect tax on the fuel to the extent that the tax on that fuel has been remitted to the government;
(b) a deputy collector is relieved of any obligation under section 34 (5) to remit tax on the fuel to the extent that the tax on that fuel has been remitted to the government;
(c) a retail dealer is relieved of any obligation under section 34 (6) to remit the tax on the fuel to the extent that the tax on that fuel has been remitted to the government;
(d) a retail dealer or deputy collector is relieved of any obligation under section 34 (7) to remit the tax collected on the fuel to the extent that the tax on that fuel has been remitted to the government;
(e) the collector is relieved of any obligation under section 38 (1) to pay security with respect to that fuel to the extent that the tax on that fuel has been remitted to the government;
(f) a deputy collector is relieved of any obligation under section 39 (1) to pay security with respect to that fuel to the extent that the tax on that fuel has been remitted to the government;
(g) a retail dealer is relieved of any obligation under section 40 (1) to pay security with respect to that fuel to the extent that the tax on that fuel has been remitted to the government.
34.1 A person who sells fuel is deemed to be an agent of the government and as agent must levy and collect tax as required by this Act.
35 (1) Subject to section 38, a collector must remit to the government all taxes collected by the collector under this Act at the prescribed time and in the prescribed manner.
(2) Despite section 21 and the regulations, any money received by a collector, deputy collector or retail dealer in respect of a sale of fuel, up to the full amount of the taxes owing, is deemed to be payment of the taxes owing by the purchaser under this Act.
35.1 (1) If a person collects an amount as if it were a tax imposed under this Act, the person must remit the amount collected to the government at the prescribed time and in the prescribed manner.
(1.1) A person, other than a collector or a deputy collector, who sells fuel to a retail dealer and receives money in respect of the tax payable on the fuel must remit that money to the government at the prescribed time and in the prescribed manner.
(a) a person, in respect of fuel, receives an amount as security under this Act or receives an amount as if it were security under this Act, or receives both, and
(b) the total amount received exceeds the amount of security the person paid on the fuel,
the person must remit to the government, at the prescribed time and in the prescribed manner, the difference between the total amount received for the fuel and the amount of security paid on the fuel.
(1.3) An amount that is remitted by a collector or deputy collector under subsection (1.2) may, unless the amount is refunded under this Act, be retained by the government in satisfaction of the collector's or deputy collector's obligation to collect and remit the tax imposed by this Act on a purchaser of the fuel.
(2) If a person collects an amount of tax under this Act or collects an amount as if it were tax under this Act,
(a) the person is deemed to hold the amount in trust for the government until the amount is remitted to the government in the manner and at the time required under this Act, and
(b) the amount collected is deemed to be held separate from and does not form a part of the person's money, assets or estate, whether or not the amount collected has in fact been kept separate and apart from either the person's own money or the assets of the estate of the person who collected the amount.
36 (1) Subject to the regulations, a collector who pays an amount of security as required under this Act in relation to a reporting period may deduct from the amount payable and retain a prescribed allowance for the reporting period.
(2) Despite any other Act, a person retaining an allowance under this section is not, by retaining the allowance, made ineligible as a member of the Legislative Assembly of British Columbia.
37 (1) Subject to subsection (3) and on receipt of an application in a form and manner specified by the director, the director may
(a) issue a registered consumer certificate for a type or subcategory of a type of fuel specified by the director to an applicant who
(i) the director considers suitable,
(ii) is included in a prescribed category of persons, and
(iii) meets the prescribed conditions and requirements, if any, and
(b) make the registered consumer certificate subject to any other conditions and limitations specified by the director.
(2) The director may limit the application of a registered consumer certificate to a subcategory of a type of fuel, if the subcategory is prescribed under this Act.
(3) Before an applicant is issued a registered consumer certificate, the applicant must enter into an agreement with the director, on behalf of the government, setting out the duties to be performed by the applicant when acting as a registered consumer and any other matters the director considers necessary or advisable.
(3.1) Before the director issues a registered consumer certificate under subsection (1), the director may require the applicant to deposit a bond under section 53 by the date specified by the director.
(3.2) The director may refuse to issue a registered consumer certificate under subsection (1) if the applicant has failed to deposit a bond required under section 53 by the date specified by the director under subsection (3.1) of this section.
(4) Sections 4 (1) to (2.1), 5 (1) and (1.1), 5.1 (1), 6 (1), (1.1) and (3), 7 (1), (1.1) and (3), 8 (1), (1.1) and (3), 10 (1) to (2.1), 10.1 (1), (1.1) and (2), 10.3 (1) and (2), 12.1 (2) and (2.1) and 13 (1) and (2) do not apply to a purchaser who is a registered consumer with respect to the type or the subcategory of a type of fuel specified on that purchaser's registered consumer certificate.
37.1 (1) The director may, without advance notice to a registered consumer, suspend the registered consumer's certificate for a period of up to 60 days
(a) if the director is satisfied that the registered consumer knowingly gave false information on the application for the registered consumer certificate,
(b) if the registered consumer refuses or neglects to comply with
(i) a provision of this Act or the regulations,
(ii) a condition or limitation specified by the director under section 37 (1),
(iii) a provision of the agreement referred to in section 37 (3), or
(iv) a requirement of the director to deposit a bond under section 53, or
(c) if authorized by the regulations.
(2) If the director suspends a registered consumer certificate under subsection (1), the director must, as soon as reasonably possible,
(a) advise the person of the reasons for the suspension, and
(b) provide the person with an opportunity to show the director why the suspension should be lifted.
(3) Subject to subsection (4), the director may, by notice given to a registered consumer, cancel the registered consumer's certificate
(a) if the director is satisfied that the person knowingly gave false information on the application for the registered consumer certificate,
(b) if the registered consumer refuses or neglects to comply with
(i) a provision of this Act or the regulations,
(ii) a condition or limitation specified by the director under section 37 (1),
(iii) a provision of the agreement referred to in section 37 (3), or
(iv) a requirement of the director to deposit a bond under section 53, or
(c) if authorized by the regulations.
(4) Before cancelling a registered consumer certificate under subsection (3), the director must
(a) give the registered consumer notice of the reasons for the proposed cancellation, and
(b) provide the registered consumer with an opportunity to show the director why the registered consumer's certificate should not be cancelled.
(5) Cancellation of a registered consumer certificate under subsection (3) takes effect on the later of
(a) the date that notice of it is given to the person, and
(b) the date stated on the notice.
(6) If required by the regulations, the director must cancel a registered consumer certificate in accordance with the regulations.
(7) If the director cancels a registered consumer certificate under subsection (6) the director
(a) is not required to give advance notice of the cancellation to the registered consumer, and
(b) must give written reasons to the registered consumer.
(8) If a registered consumer certificate issued to a person under the Carbon Tax Act is suspended under that Act, the registered consumer certificate issued to that person under this Act is automatically suspended without notice for the same period as the suspension under the Carbon Tax Act, if both certificates are in relation to the same substance.
(9) If a registered consumer certificate issued to a person under the Carbon Tax Act is cancelled under that Act, the registered consumer certificate issued to that person under this Act is automatically cancelled without notice if both certificates are in relation to the same substance.
(10) A suspension or cancellation of a registered consumer certificate under this section does not relieve the registered consumer from any liability.
38 (1) Subject to subsections (1.1), (3) and (4), a collector who, within British Columbia, sells a fuel for the first time after the fuel is manufactured in British Columbia or imported into British Columbia must pay, with respect to that fuel, security to the government in an amount equal to the tax that would be collectable if
(a) the fuel were sold at that time and in that location to a purchaser who is liable to pay tax on the purchase, and
(b) in the case of coloured fuel, the rate of tax set by section 5 (1) applied to the purchase.
(1.1) Subject to subsections (3) and (4), a collector who, within British Columbia, sells fuel for the first time in a sale referred to in section 1.1 (5) is deemed to be making the first sale of the fuel for the purposes of subsection (1) of this section.
(2) The security referred to in subsection (1) must be paid to the government at the prescribed time and in the prescribed manner.
(3) For the purposes of subsections (1) and (1.1), a sale of fuel within British Columbia for the first time does not include a sale of a type or subcategory of a type of fuel by one refiner collector to another refiner collector, if both are appointed refiner collectors for the same type or subcategory of a type of fuel.
(4) A collector who sells fuel that the collector bought in the circumstances described in subsection (3) is deemed to be making the first sale of fuel for the purposes of subsection (1) or (1.1), as applicable, if the collector sells the fuel in circumstances other than those described in subsection (3).
(5) A collector who, as retail dealer, sells fuel to a purchaser who is not liable to pay tax on that purchase is exempt from the requirement to pay security under subsection (1) in respect of that fuel.
(5.1) A collector is exempt from the requirement to pay security under subsection (1) in respect of fuel if the collector sells the fuel to a deputy collector or retail dealer who is exempt from the requirement to pay security under section 39 (1) or 40 (1) in respect of that fuel.
(6) On application by a collector, the director may, in writing and on conditions the director considers appropriate, exempt the collector from the requirements of subsection (1) in respect of a fuel if the collector satisfies the director that the fuel
(a) is to be sold to a purchaser who is not liable to pay tax on that purchase, or
(b) is not to be sold to a purchaser.
(7) An amount that is paid by a collector as security under subsection (1) may, unless the amount is refunded under this Act, be retained by the government in satisfaction of the collector's obligation to collect and remit the tax imposed by this Act on a purchaser of fuel.
39 (0.1) In this section, "common carrier" means a person who is in the business of transporting goods for members of the public.
(1) A deputy collector who buys fuel from a collector or another deputy collector must pay, as security to the collector or the other deputy collector, an amount equal to the tax that would be collectable if
(a) the fuel were sold at that time and in that location to a purchaser who is liable to pay tax on the purchase, and
(b) in the case of coloured fuel, the rate of tax set by section 5 (1) applied to the purchase.
(1.1) A deputy collector who buys fuel that is to be sold by the deputy collector outside of British Columbia is exempt from the requirement to pay security under subsection (1) in respect of the fuel if that fuel is to be removed from British Columbia
(a) by the collector or other deputy collector from whom the deputy collector bought the fuel,
(b) by a person acting on behalf of the collector or other deputy collector from whom the deputy collector bought the fuel,
(c) by the deputy collector or a person acting on behalf of the deputy collector, if the deputy collector or the person acting on behalf of the deputy collector has, at the time the deputy collector buys the fuel, entered into a contract with a common carrier for the removal of the fuel from British Columbia, or
(d) in prescribed circumstances.
(2) On application by a deputy collector, the director may, in writing and on conditions the director considers appropriate, exempt the deputy collector from the requirements of subsection (1) in respect of a fuel if the deputy collector satisfies the director that the fuel
(a) is to be sold to a purchaser who is not liable to pay tax on that purchase, or
(b) is not to be sold to a purchaser.
(3) Subject to section 35.1 (1.2), a collector or deputy collector who, in respect of fuel, has paid an amount of security under section 38 (1) or subsection (1) of this section may retain any amount received under subsection (1) of this section instead of collecting the tax imposed on the purchaser in respect of that fuel.
(4) If, under subsection (1), a deputy collector pays an amount as security in respect of fuel, and that amount is retained under subsection (3), the deputy collector is relieved of any obligation under section 34 (5) and (7) to remit the tax as collected on the fuel to the extent of the amount paid as security.
40 (1) If a retail dealer buys fuel from a collector or deputy collector, the retail dealer must pay, as security to the collector or deputy collector, an amount equal to the tax that would be collectable if
(a) the fuel were sold at that time and in that location to a purchaser who is liable to pay tax on the purchase, and
(b) in the case of coloured fuel, the rate of tax set by section 5 (1) applied to the purchase.
(1.1) A retail dealer who buys a type or subcategory of a type of fuel from a collector or deputy collector is exempt from the requirement to pay security under subsection (1) in respect of the fuel if the retail dealer and the collector or deputy collector are appointed refiner collectors for that type or subcategory of a type of fuel.
(2) On application by a retail dealer, the director may, in writing and on conditions the director considers appropriate, exempt the retail dealer from the requirements of subsection (1) in respect of a fuel if the retail dealer satisfies the director that the fuel
(a) is to be sold to a purchaser who is not liable to pay tax on that purchase, or
(b) is not to be sold to a purchaser.
(3) Subject to section 35.1 (1.2), a collector or deputy collector who, in respect of fuel, has paid an amount of security under section 38 (1) or section 39 (1) may retain any amount received under subsection (1) of this section instead of collecting the tax imposed on the purchaser in respect of that fuel.
(4) If, under subsection (1), a retail dealer pays an amount as security in respect of fuel and that amount is retained under subsection (3), the retail dealer is relieved of any obligation under section 34 (6) and (7) to remit the tax as collected on the fuel to the extent of the amount paid as security.
40.1 (1) If a deputy collector or retail dealer who owns fuel at the time the rate of tax for the fuel changes was required to pay security on the fuel before the rate of tax changed, the deputy collector or retail dealer must provide the director with an inventory of that fuel, in accordance with the instructions of the director.
(2) For the purposes of subsection (1), a deputy collector or retail dealer, as the case may be, is deemed to own a fuel on the date the tax rate for the fuel changes if
(a) the deputy collector or retail dealer has entered into an agreement to buy the fuel and the agreement provides that the deputy collector or retail dealer owns the fuel on the date the tax rate changes,
(b) the deputy collector or the retail dealer has not received delivery of the fuel before the date the tax rate changes, and
(c) the deputy collector or retail dealer has not entered into an agreement with another person that provides that the other person owns the fuel on the date of the tax rate change.
(3) Subject to the regulations, the director may pay a deputy collector or retail dealer who provided an inventory under subsection (1) an allowance in an amount determined under the regulations.
(4) Subject to the regulations, if the rate of tax increases, a deputy collector or retail dealer who is required to provide an inventory under subsection (1) must pay to the government the additional amount of security determined under subsection (5), within the time required by the director.
(5) The amount of additional security payable is the difference between
(a) an amount equal to the tax that would be collectable for the fuel that was required to be included in the inventory, if
(i) that fuel were sold, immediately after the increase in the rate of tax, to a purchaser in that location who is liable to pay tax on the purchase, and
(ii) in the case of coloured fuel, the rate of tax set by section 5 (1) applied to the purchase, and
(b) the amount the deputy collector or retail dealer paid as security in respect of the fuel.
(6) An amount that is paid by a deputy collector or retail dealer as security under subsection (4) may, unless the amount is refunded under this Act, be retained by the government in satisfaction of the deputy collector's or retail dealer's obligation to collect and remit the tax imposed by this Act on a purchaser of the fuel.
(7) Subject to subsection (9), if the rate of tax decreases, a deputy collector or retail dealer who was required to provide an inventory under subsection (1) may apply to the director for a refund of the amount of security determined under subsection (8).
(8) The refund payable under subsection (7) equals the portion of the security the deputy collector or retail dealer paid that exceeds the amount of tax that would be collectable for the fuel required to be included in the inventory, if
(a) that fuel were sold, immediately after the decrease in the rate of tax, to a purchaser in that location who is liable to pay tax on the purchase, and
(b) in the case of coloured fuel, the rate of tax set by section 5 (1) applied to the purchase.
(9) The director must pay to a person a refund under subsection (7) from the consolidated revenue fund, if the director is satisfied that the person has not received and is not to receive a refund of the security from any person with respect to the fuel.
Part 7 — Tax Collection Administration
41 (1) Except as limited by subsection (3), to determine whether this Act and the regulations are being or have been complied with, the director may enter at any reasonable time the business premises occupied by a person, the premises where the records of the person are kept or a site at which fuel, heating oil or non-motor fuel oil is manufactured, coloured, stored, sold or used, in order to do any of the following:
(a) inspect, audit and examine books of account or other records;
(b) inspect, ascertain the quantities of, and take samples of fuel, heating oil or non-motor fuel oil, including, without limitation, fuel in fuel tanks of motor vehicles, aircraft or ships or fuel tanks mounted on motor vehicles, aircraft or ships.
(2) A person occupying premises or a site referred to in subsection (1) must
(a) produce all books of account or other records as may be required by the director, and
(b) answer all questions of the director regarding the matters referred to in that subsection.
(3) The power to enter a place under subsection (1) must not be used to enter a dwelling occupied as a residence without the consent of the occupier except under the authority of a warrant under subsection (4).
(4) On being satisfied by evidence on oath that there are in a place records or other things for which there are reasonable grounds to believe that they are relevant to the matters referred to in subsection (1), a justice may issue a warrant authorizing a person named in the warrant to enter the place in accordance with the warrant in order to exercise the powers referred to in subsection (1) (a) and (b).
(5) When required by the director, a person must provide to the director all books of account and other records that the director considers necessary to determine whether this Act and the regulations are being or have been complied with.
(a) hinder, molest or interfere with a person doing anything that the person is authorized to do under this section, or
(b) prevent or attempt to prevent a person from doing anything that the person is authorized to do under this section.
41.1 (1) If the director is satisfied that it is necessary to attend at a location outside of British Columbia for the purpose of determining whether a person is complying with or has complied with this Act and the regulations, the director may impose on the person a fee payable to the government in an amount not exceeding the amount calculated under subsection (2) in respect of attending at that location.
(2) Subject to the regulations, the director may calculate the amount for the purposes of subsection (1) based on
(a) fees set by the director, or
(b) a manner of calculating fees that is set by the director.
(3) For the purposes of subsection (2), the fees and manner set by the director may be different for different circumstances defined by the director or for attending at different locations.
(4) In imposing a fee under subsection (1), the director may not impose a fee in respect of attending at a location more than 4 years before the date of the first notice of assessment for that fee.
42 (1) If a person who is required to file a return for tax or security under this Act fails to file a return, pay tax or security or remit an amount as required under this Act, or if the records of a person do not substantiate a return of the person for tax or security, the director may make an estimate of the amount that was collected or is payable by the person and for which the person has not accounted.
(1.1) The amount estimated under subsection (1) is deemed to be the amount collected or payable by the person in respect of whom the estimate is made.
(2) In making an estimate under this section the director must not consider or include a period longer than 4 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.
43 (0.1) If it appears from an inspection, audit or examination or from other information available to the director that taxes have not been paid as required under this Act, the director may
(a) calculate, in the manner and by the procedure the director considers appropriate, the tax not paid, and
(b) assess the person liable to pay the tax.
(1) If it appears from an inspection, audit or examination or from other information available to the director that security has not been paid or an amount has not been remitted as required under this Act, the director must
(a) calculate, in the manner and by the procedure the director considers appropriate, the security not paid or amount not remitted, and
(b) assess the person liable to pay the security or remit the amount.
(1.1) Subsection (1) does not apply in respect of security on fuel that has not been paid by a person, to the extent that the director is satisfied that, in respect of the sale of the fuel by the person, or in respect of a subsequent sale of that fuel,
(a) tax required to be paid or remitted under this Act has been paid or remitted to the government,
(b) a penalty imposed under section 44 in an amount equal to the amount referred to in paragraph (a) of this subsection has been paid to the government, or
(c) the person to whom the fuel was sold would be entitled to a refund of tax or security under this Act if that person had paid that tax or security.
(1.2) If, in accordance with subsection (1.1), subsection (1) does not apply in relation to security not paid under this Act, the security is no longer an amount owing to the government.
(2) If it appears from an inspection, audit or examination or from information available to the director that fuel on which a person has paid tax under section 5 has been used for a purpose not authorized by section 15, the director must, unless subsection (2.01) of this section applies in respect of the fuel,
(a) determine the difference between the tax paid by the person on that fuel and the tax that the person would have paid on that fuel if the fuel had not been taxed as coloured fuel, and
(b) assess the person for the difference determined under paragraph (a) of this subsection.
(2.01) If it appears from an inspection, audit or examination or from information available to the director that fuel on which a person has paid tax under section 6 has been used other than in any rolling stock or other vehicle when run on rails, the director must
(a) determine the difference between the tax paid by the person on that fuel and the tax that the person would have paid on that fuel if the fuel had not been taxed as locomotive fuel, and
(b) assess the person for the difference determined under paragraph (a) of this subsection.
(2.02) If it appears from an inspection, audit or examination or from other information available to the director that a person has deducted an amount under section 21 (3) that was in excess of the amount that the person was entitled to deduct under that section, the director must make an assessment against the person in an amount equal to the excess amount deducted plus interest calculated at the rate and in the manner prescribed.
(2.1) If it appears from an inspection, audit or examination or from other information available to the director that a person has received a refund of an amount under this Act or has deducted an amount under section 25 (3) that was in excess of the refund amount that was due to the person, the director must make an assessment against the person in an amount equal to the excess amount refunded or deducted plus interest calculated at the rate and in the manner prescribed.
(2.11) Subsection (2.1) does not apply in relation to a person who has received a refund of an amount under this Act, other than a refund of an amount under section 21 (5), or who has made a deduction of an amount under section 25 (3), to the extent that the director is satisfied that
(a) the refund or deduction is in respect of security on fuel that was paid by the person,
(b) the person did not, in respect of the sale by that person of the fuel referred to in paragraph (a) of this subsection,
(i) receive and retain security, or receive and retain an amount as if it were security, or
(ii) collect and retain tax, or collect and retain an amount as if it were tax, and
(c) in respect of the sale by the person of the fuel referred to in paragraph (a) of this subsection, or in respect of a subsequent sale of that fuel,
(i) tax required to be paid or remitted under this Act has been paid or remitted to the government,
(ii) a penalty imposed under section 44 in an amount equal to the amount referred to in subparagraph (i) of this paragraph has been paid to the government, or
(iii) the person to whom the fuel was sold would be entitled to a refund of tax or security under this Act in respect of that fuel if that person had paid that tax or security.
(2.2) If it appears from an inspection, audit or examination or from other information available to the director that a person has not paid an amount required to be paid under section 49.1 (2), the director must make an assessment against the person in an amount equal to the amount required to be paid under that section.
(2.3) If it appears from an inspection, audit or examination or from other information available to the director that a person has not paid an amount required to be paid under section 57.2 (4), the director must make an assessment against the person in an amount equal to the amount required to be paid under that section.
(3) In making an assessment under this section the director must not consider or include a period longer than 4 years before the date of the first notice of assessment.
(4) Despite subsection (3), in making an assessment under this section the director may consider and include any period, if the assessment relates to a contravention, of this Act or the regulations, involving wilful default or fraud.
(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.
44 (1) Subject to subsection (3), if it appears from an inspection, audit or examination or from other information available to the director that an amount of tax imposed under this Act should have been but was not collected, the director must impose on the person who should have collected the tax a penalty equal to the amount of the tax that should have been collected, plus interest calculated at the rate and in the manner prescribed.
(1.1) If the director must impose a penalty on a person under subsection (1), the director, despite that subsection, may impose a penalty on the person as follows:
(a) if the director is satisfied that the person liable to pay the tax has paid the tax to the government, the director may impose on the person who should have collected the tax a penalty equal to the amount of the penalty that would otherwise be imposed under that subsection less the amount of tax paid to the government by the person liable to pay the tax, plus interest calculated at the rate and in the manner prescribed;
(b) if the director is satisfied that the person liable to pay the tax would be entitled to a refund of the tax if the person had paid the tax, the director may impose on the person who should have collected the tax a penalty equal to the amount of the penalty that would otherwise be imposed under that subsection less the amount of the refund of tax to which the person would be entitled, plus interest calculated at the rate and in the manner prescribed.
(3) The director must not impose a penalty on a person under subsection (1) or (1.1) in respect of fuel
(a) if the person is assessed for failing to pay security under section 43 (1) in respect of that fuel,
(b) if, in accordance with section 43 (1.1), section 43 (1) does not apply in respect of that fuel,
(c) if the person is assessed under section 43 (2.1) in relation to an amount refunded to the person or deducted by the person in respect of that fuel, or
(d) if, in accordance with section 43 (2.11), section 43 (2.1) does not apply in relation to the person in respect of that fuel.
(4) A person who has paid an amount imposed under subsection (1) may, in a court of competent jurisdiction, sue the person who was liable to pay the tax in order to recover the amount imposed under subsection (1), and any amount recovered in the action may be retained by the plaintiff as compensation for the amount paid under subsection (1).
(5) In imposing a penalty under this section the director must not consider or include a period longer than 4 years before the date of the first notice of assessment.
(5.1) Despite subsection (5), in imposing a penalty under this section, the director may consider and include any period, if the penalty is imposed as a result of a contravention, of this Act or the regulations, involving wilful default or fraud.
(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.
45 (1) In addition to any other penalty, the director may do any of the following:
(a) if the director is satisfied that a person who collected an amount or received security in respect of a fuel wilfully failed to remit the amount or pay security on the fuel to the government as required under this Act, impose on the person a penalty equal to 100% of the amount not remitted or paid;
(b) in any case other than a case referred to in paragraph (a), if the director is satisfied that a person, by wilfully, or in circumstances amounting to gross negligence, making a false or deceptive statement, by wilful default or default in circumstances amounting to gross negligence or by fraud,
(i) failed to collect, remit or pay any amount to the government as required under this Act,
(ii) deducted an amount under section 21 (3) that was in excess of the amount that the person was entitled to deduct under that section, or
(iii) received a refund of an amount under this Act, or deducted an amount under section 25 (3), that was in excess of the refund amount that was due to the person,
impose on the person a penalty equal to 25% of, as applicable, the amount not collected, remitted or paid as required under this Act or the excess amount deducted or received;
(c) in any case other than a case referred to in paragraph (a) or (b), if the director is satisfied that a person
(i) failed to collect, remit or pay any amount to the government as required under this Act,
(ii) deducted an amount under section 21 (3) that was in excess of the amount that the person was entitled to deduct under that section, or
(iii) received a refund of an amount under this Act, or deducted an amount under section 25 (3), that was in excess of the refund amount that was due to the person,
impose on the person a penalty equal to 10% of, as applicable, the amount not collected, remitted or paid as required under this Act or the excess amount deducted or received.
(2) If the director is satisfied that a vendor sold, within British Columbia, a type or subcategory of a type of fuel before the vendor was appointed a collector for that fuel, the director may impose on the vendor, in addition to any other penalty, a penalty equal to the greater of
(a) 10% of the security that the vendor would have been required to pay under section 38 in respect of that fuel if the vendor, at the time of sale, had been a collector who was not exempt from the requirement to pay security under that section, and
(b) the difference between the total tax payable in respect of the fuel under this Act and the amount of tax and security paid or remitted to the government under this Act in respect of that fuel.
(3) If the director is satisfied that a vendor whose appointment as a collector for a type or subcategory of a type of fuel is effective in accordance with section 28 (2.3) sold, within British Columbia, that type or subcategory of a type of fuel in the period described in section 34.01, the director may impose on the vendor, in addition to any other penalty, a penalty equal to 10% of the security that the vendor would have been required to pay under section 38 in respect of that fuel if the vendor, at the time of sale, had been a collector.
(4) For the purposes of subsection (5) and despite section 28 (2.3), a vendor whose appointment as a collector for a type or subcategory of a type of fuel is effective in accordance with section 28 (2.3) is deemed to have been appointed a collector at the time the director made the appointment.
(5) If the director is satisfied that a vendor wilfully sold fuel contrary to section 28 (4), the director may impose on the vendor, in addition to any other penalty, a penalty equal to the amount of security that the vendor would have been required to pay under section 38 in respect of that fuel if the vendor, at the time of sale, had been a collector who was not exempt from the requirement to pay security under that section.
45.1 (1) Subject to this section, if a corporation has failed to collect or remit taxes, or to pay an amount of security as required under this Act, a board member of that corporation is jointly and severally liable with the corporation to pay an amount equal to
(a) the taxes that the corporation failed to collect or remit during the term of the board member, any related penalty and any interest on that amount and the penalty, and
(b) the security that the corporation failed to pay during the term of the board member, any related penalty and any interest on that amount and the penalty.
(2) A board member is not liable under subsection (1) unless one of the following has occurred:
(a) a certificate has been filed under section 55 with respect to the amount the corporation is liable to pay under this Act;
(b) the corporation has been dissolved or has commenced liquidation or dissolution proceedings in any jurisdiction;
(c) the corporation has, under the Bankruptcy and Insolvency Act (Canada),
(i) made an assignment in bankruptcy,
(ii) filed a notice of intention to make a proposal with the official receiver, or
(iii) made a proposal under Division 1 of Part III of that Act;
(d) a bankruptcy order has been made against the corporation under the Bankruptcy and Insolvency Act (Canada);
(e) the corporation has obtained a court order granting a stay of proceedings under section 11.02 of the Companies' Creditors Arrangement Act (Canada);
(f) the corporation has been or is subject in any jurisdiction to a proceeding of a similar nature to a proceeding referred to in paragraphs (c) to (e).
(3) A board member is not liable under subsection (1) if the board member exercised the care, diligence and skill that a reasonably prudent person would exercise in comparable circumstances to prevent the corporation's failure to collect or remit taxes or to pay security as required under this Act.
45.2 (1) If the director has reason to believe that a person who was not a member of the board of directors of a corporation performed some or all of the functions of a member of the board of directors of the corporation, the director may request the person and the corporation to provide to the director the records and information required by the director, in a manner specified by the director, to confirm or rebut that belief.
(2) Subject to subsection (3), the director may decide that a person performed some or all of the functions of a member of the board of directors of a corporation if
(a) the person or the corporation that has been requested to provide records or information to the director under subsection (1) fails or refuses to comply with the request within a period of time considered by the director to be reasonable in the circumstances, or
(b) the records or information provided to the director under this section confirm that the person performed some or all of the functions of a member of the board of directors of the corporation.
(3) The director must not decide under subsection (2) (b) that a person performed some or all of the functions of a member of the board of directors of a corporation if the decision is based solely on
(a) the person participating in the corporation's management under the direction or control of a shareholder, one or more members of the board of directors or a senior officer of the corporation,
(b) the person being a lawyer, accountant or other professional whose primary participation in the management of the corporation was the provision of professional services to the corporation,
(c) the corporation being bankrupt and the person being a trustee in bankruptcy who participates in the management of the corporation or exercises control over its property, rights and interests primarily for the purposes of the administration of the bankrupt's estate, or
(d) the person being a receiver, receiver manager or secured creditor who participates in the management of the corporation or exercises control over any of its property, rights and interests primarily for the purposes of enforcing a debt obligation of the corporation.
(4) If the director decides under subsection (2) that a person performed some or all of the functions of a member of the board of directors of a corporation, the person is deemed to be a board member of the corporation for the purposes of this Act for a term that equals the period the person performed those functions.
(5) Immediately after the director makes a decision under subsection (2), the director must give written notice of the decision to
45.3 (1) Subject to subsections (1.1) to (1.3), if the director is satisfied that a person purchased or used coloured fuel contrary to section 15, the director may impose on the person a penalty equal to the greater of
(a) the amount that is equal to 3 times the tax that would have been payable on the fuel if it had not been coloured fuel, and
(b) the amount, not to exceed $1 000, determined under the regulations.
(1.1) For the purposes of determining the amount of the penalty that may be imposed by the director on a person under subsection (1), if the director considers that it is impractical to ascertain the quantity of coloured fuel purchased or used, as the case may be, contrary to section 15, the amount of the penalty is the amount determined in accordance with subsection (1) (b).
(1.2) If a contravention referred to in subsection (1) continues for more than one day, separate amounts, each not to exceed $1 000, may be determined for the purposes of subsection (1) (b) for each day the contravention continues.
(1.3) If the director is satisfied that a person referred to in subsection (1) purchased or used coloured fuel contrary to section 15 for the purpose of operating more than one vehicle, separate amounts, each not to exceed $1 000, may be determined for the purposes of subsection (1) (b) for each vehicle.
(2) A penalty under subsection (1) is in addition to any tax that is payable under section 5, 5.1 or 15 (3) in respect of the coloured fuel.
45.4 (1) If the director is satisfied that a person used or allowed another person to use a substance contrary to section 16.7 (2), the director may impose on the first person a penalty equal to,
(i) was coloured within the meaning of Part 3.1 before it was used, and
(ii) was used for a purpose for which coloured fuel is authorized to be used under section 15,
3 times the amount of the tax that would be payable under section 5 (2) if that provision applied to that use, and
(b) in any other case, 3 times the amount of the tax payable under section 16.7 (5).
(2) If the director is satisfied that a person used or allowed another person to use a substance contrary to section 16.7 (3) or (4), the director may impose on the first person a penalty equal to 3 times the amount of the tax payable under section 16.7 (5).
(3) A penalty under subsection (1) or (2) is in addition to any tax payable under this Act.
45.5 If a person who is required under this Act to file a return in respect of a reporting period fails to file the return within the time required under this Act, the director may impose on the person a penalty equal to the total of
(a) 5% of the amount not collected, remitted or paid as required under this Act in respect of the reporting period to which the return relates, and
(b) the amount determined by the following formula:
| amount = 1% × A × B |
| where | ||
| A | = | the amount not collected, remitted or paid as required under this Act in respect of the reporting period on the date the return was required to be filed; |
| B | = | the number of months, not exceeding 12 and rounded down to the nearest whole number, in the period beginning on the date the return was required to be filed and ending on the earlier of (i) the date the return was filed, and (ii) the date a penalty is imposed under this section on the person. |
45.51 (1) In this section, "return" means a return in respect of a reporting period.
(2) If all of the following apply:
(a) a person fails to file a return required under this Act within the time required under this Act;
(b) the person subsequently fails to file a return under section 63.1 (1) (a) within the time required under that section;
(c) a penalty was imposed on the person under section 45.5 in respect of a failure to file a return referred to in that section for any of the 3 preceding reporting periods,
the director may impose on the person a penalty equal to the total of
(d) 10% of the amount not collected, remitted or paid as required under this Act in respect of the reporting period on the date the return referred to in paragraph (a) was required to be filed, and
(e) the amount determined by the following formula:
| amount = 2% × A × B |
| where | ||
| A | = | the amount not collected, remitted or paid as required under this Act in respect of the reporting period on the date the return referred to in paragraph (a) was required to be filed; |
| B | = | the number of months, not exceeding 20 and rounded down to the nearest whole number, in the period beginning on the date the return was required to be filed and ending on the earlier of (i) the date the return was filed, and (ii) the date a penalty is imposed under this section on the person. |
45.6 If a person who is required to file a return under this Act fails to include in the return any required information or fails to file with the return any other required information or records, the director may impose on the person a penalty of $100 for each failure.
45.7 (1) If a person fails to comply with a provision in subsection (2), the director may impose on the person, in respect of each failure, a penalty equal to the greater of
(b) $25 for each day during which the failure continues, to a maximum of $2 500.
(2) For the purposes of subsection (1), the following provisions are specified:
45.8 If a person contravenes section 41 (6) (a) or (b), the director may impose on the person a penalty of $100 for each contravention.
45.9 (1) In this section, "culpable conduct" means any of the following:
(a) wilfully, or in circumstances amounting to gross negligence, making a false or deceptive statement;
(b) a wilful default or a default in circumstances amounting to gross negligence;
(2) If the director is satisfied that, due to the culpable conduct of a third party, another person
(a) failed to collect, remit or pay any amount to the government as required under this Act,
(b) deducted an amount under section 21 (3) that was in excess of the amount that the person was entitled to deduct under that section, or
(c) received a refund of an amount under this Act, or deducted an amount under section 25 (3), that was in excess of the refund amount that was due to the person,
the director may impose on the third party a penalty equal to the greater of
(e) 25% of, as applicable, the amount not collected, remitted or paid as required under this Act or the excess amount deducted or received.
(3) A third party who is an advisor to a person required to collect, remit or pay an amount under this Act does not engage in culpable conduct for the purposes of subsection (2)
(a) solely because the third-party advisor, in good faith, relies on information provided to the third-party advisor by or on behalf of the person under circumstances amounting to culpable conduct, or
(b) because of such reliance, the third-party advisor failed to verify, investigate or correct the information.
(4) In an appeal to the Supreme Court under section 51 of this Act, the onus is on the minister to establish the facts justifying the imposition of a penalty to which a person is liable under this section.
46 (1) Subject to subsection (1.2), the director must give a notice of assessment to the person liable to pay an amount estimated, assessed or imposed if the director
(a) makes an estimate or assessment under section 42, 43 or 46.1, or
(b) imposes a fee under section 41.1 or imposes a penalty under any of sections 44, 45, 45.3, 45.4, 45.5, 45.51, 45.6, 45.7, 45.8 or 45.9.
(1.01) Despite section 51 (1) (b) of the Carbon Tax Act, the director may include in a notice of assessment given to a person under subsection (1) of this section a fee imposed under section 43.1 of the Carbon Tax Act as if the fee were a fee imposed under section 41.1 of this Act if
(a) the director imposes on the person a fee under section 41.1,
(b) the director under the Carbon Tax Act imposes on the person a fee under section 43.1 of the Carbon Tax Act, and
(c) the director under the Carbon Tax Act authorizes the director under this Act to include the fee imposed under the Carbon Tax Act in the notice of assessment.
(1.02) Despite section 197 (1) (b) of the Provincial Sales Tax Act, the director may include in a notice of assessment given to a person under subsection (1) of this section a fee imposed under section 196.2 of the Provincial Sales Tax Act as if the fee were a fee imposed under section 41.1 of this Act if
(a) the director imposes on the person a fee under section 41.1,
(b) the director under the Provincial Sales Tax Act imposes on the person a fee under section 196.2 of the Provincial Sales Tax Act, and
(c) the director under the Provincial Sales Tax Act authorizes the director under this Act to include the fee imposed under the Provincial Sales Tax Act in the notice of assessment.
(1.1) If the director assesses interest under section 48 or 48.1, the director may give a notice of assessment to the person liable to pay the amount of interest assessed.
(1.2) In addition to, or as an alternative to, giving a notice of assessment under subsection (1) or (1.1), the director may give a notice of assessment to the custodian or trustee in bankruptcy of the person referred to in subsection (1) or (1.1).
(2) Evidence that a notice of assessment under subsection (1) or (1.1) has been given 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.
(4) Subject to being amended, changed or varied by reassessment, a fee imposed under section 41.1 is valid and binding despite any error, defect or omission in the fee or in procedure.
46.1 (1) If the director decides that a board member is jointly and severally liable for an amount under section 45.1 (1), the director may assess the board member for
(a) the amount assessed under section 43 or 44 or both against the corporation for the corporation's failure to collect or remit taxes or pay security or both as required during the term of the board member, any related penalty and any interest on that amount and the penalty, and
(b) the amount estimated under section 42
(i) as the tax the corporation collected, or
(ii) as the security payable by the corporation
during the term of the board member, any related penalty and any interest on that amount and the penalty.
(2) The director must not make an assessment under subsection (1) in respect of the liability of a board member under section 45.1 if
(a) the person is no longer a board member of that corporation, and
(b) it is more than 2 years after the last date that the person was a board member of that corporation.
47 An estimate or assessment made or a fee or penalty imposed by the director under this Act must not be varied or disallowed by a court because of an irregularity, informality, omission or error on the part of a person in the observation of any directory provision up to the date the notice of assessment is given.
"non-assessed amount", in relation to a particular period, means an amount owing to the government under this Act for which a notice of assessment has not been given under this Act, including the following:
(a) any interest on that amount that has accrued by the beginning of the period, but not including any penalty imposed under this Act and any interest on that penalty;
(b) despite section 43 (1.2), security that has not been paid as required under this Act but for which the person liable may not be assessed in accordance with section 43 (1.1);
(c) the amount of a refund received by a person under this Act that was in excess of the refund amount that was due to the person but for which the person may not be assessed in accordance with section 43 (2.11);
(d) an amount deducted by a person under section 25 (3) that was in excess of the refund amount that was due to the person but for which the person may not be assessed in accordance with section 43 (2.11);
"refund amount", in relation to a person for a particular period, means an amount equal to the amount
(a) that the person is entitled to receive from the government as a refund under Part 5, including any interest on that amount that has accrued by the beginning of the period, and
(b) on which interest payable by the government would be accruing under the Financial Administration Act but for this section.
(2) Subject to this section, the director may assess at any time interest, calculated at the prescribed rate and in the prescribed manner, on an amount owing to the government under this Act until the date that a notice of assessment is given in relation to the amount owing.
(2.1) Interest may not be assessed under subsection (2) in relation to a fee imposed under section 41.1.
(3) In relation to security referred to in paragraph (b) of the definition of "non-assessed amount", the director may assess interest on the security as if that security were an amount owing to the government from the date that the person was required under this Act to pay that security to the government until 60 days after that date.
(3.1) In relation to an amount referred to in paragraph (c) of the definition of "non-assessed amount", the director may assess interest on the amount from the date on which the refund was paid to the person until 60 days after that date.
(3.2) In relation to an amount referred to in paragraph (d) of the definition of "non-assessed amount", the director may assess interest on the amount from the date on which the tax or security required to be remitted or paid by the person for the applicable reporting period referred to in section 25 (3) (a) was due until 60 days after that date.
(4) Subsection (5) applies in relation to an assessment of interest for a particular period if
(a) the director is satisfied, based on an inspection, audit or examination or on other information available to the director, that for the particular period
(i) a person owes a non-assessed amount to the government, and
(ii) the person is eligible to receive a refund amount from the government, and
(b) the non-assessed amount referred to in paragraph (a) (i) exceeds or equals the refund amount referred to in paragraph (a) (ii).
(5) In relation to an assessment of interest for a particular period to which this subsection applies, interest may be assessed under subsection (2) in relation to a non-assessed amount for the particular period by assessing interest on the amount equal to the non-assessed amount for the particular period less the refund amount for the particular period.
(6) If interest is assessed under subsection (2) for a particular period in accordance with subsection (5), despite the Financial Administration Act and the regulations under that Act, no interest is payable for the particular period by the government in relation to the person's refund amount.
(7) Subsection (8) applies in relation to a particular period if
(a) the director is satisfied, based on an inspection, audit or examination or on other information available to the director, that for the particular period
(i) a person owes a non-assessed amount to the government, and
(ii) the person is eligible to receive a refund amount from the government, and
(b) the refund amount referred to in paragraph (a) (ii) exceeds the non-assessed amount referred to in paragraph (a) (i).
(8) In relation to a particular period to which this subsection applies, interest may not be assessed under subsection (2) in relation to the non-assessed amount for the particular period.
(9) If interest may not be assessed under subsection (2) for a particular period in accordance with subsection (8), for the purposes of the regulations under section 27 (1) (c) of the Financial Administration Act, the amount owing by the government for the particular period is deemed to be reduced by the non-assessed amount for that particular period.
(10) For the purposes of this section, the director may determine, in a manner and by a procedure the director considers adequate and expedient, when an amount became owing to the government.
(11) For the purposes of this section and the regulations under section 27 (1) (c) of the Financial Administration Act, the director may determine, in a manner and by a procedure the director considers adequate and expedient, when an amount became owing by the government.
(12) For the purposes of this section, a period of time ends and a new period may begin if
(a) the non-assessed amount or refund amount changes, or
(b) a notice of assessment is given in relation to all or part of a non-assessed amount.
48.1 The director may assess at any time interest, calculated at the prescribed rate and in the prescribed manner, on an amount owing to the government under this Act from the date that a notice of assessment is given in relation to the amount owing.
49 (0.1) In this section, "relevant provision" means
(b) section 14 (3) as it applies under section 16.2 (3),
(d) section 16.7 (2), (3) or (4).
(1) A justice, who is satisfied by information on oath that there are reasonable grounds to believe that a relevant provision is not being complied with, may at any time issue a warrant, under the justice's signature, authorizing a peace officer, named in the warrant, to enter and to search any premises or motor vehicle in order to inspect and take samples of the contents of a tank or container, including the fuel supply tank of a motor vehicle.
(2) If a peace officer has reasonable grounds to believe that a relevant provision is not being complied with, and if it is impracticable to obtain a warrant, the peace officer may, without a warrant,
(a) stop a motor vehicle for the purpose of conducting an inspection under paragraph (b) of this section, and
(b) inspect and take samples of the contents of a tank or container, including the fuel supply tank of a motor vehicle.
(a) hinder, molest or interfere with a peace officer doing anything that the peace officer is authorized to do under this section, or
(b) prevent or attempt to prevent a peace officer from doing anything that the peace officer is authorized to do under this section.
"bulk transaction" means either of the following:
(a) a disposition of substantially all of the inventory of fuel in British Columbia of a seller's business;
(b) a disposition of an interest in a seller's business carried on in British Columbia;
"seller" means a vendor, wholesale dealer or retail dealer;
"seller's business", in relation to a bulk transaction made, or proposed to be made, by a seller, means the seller's business referred to in paragraph (a) or (b), as the case may be, of the definition of "bulk transaction".
(2) If a person purchases fuel or an interest in a business from a seller through a bulk transaction without obtaining from the seller a duplicate copy of the certificate obtained under subsection (3), the person must pay to the government an amount equal to the total of all amounts owing under this Act, on the date of the bulk transaction, by the seller in respect of the seller's business.
(3) On application in a form and manner specified by the director, the director may issue a certificate in duplicate to a seller in respect of a proposed bulk transaction if all amounts owing under this Act by the seller in respect of the seller's business have been paid.
(4) An amount payable under subsection (2) in respect of a bulk transaction must be paid on or before the last day of the month after the month in which the bulk transaction occurred.
50 (1) An appeal to the minister lies from a decision of the director about any of the following:
(a) a suspension or cancellation of an authorization under section 14, 14.1 or 16.3 (3) under
(ii) section 14 (4) as it applies under section 14.1 (4) or 16.3 (6);
(b) a refund under section 9.1 (2), 20, 20.1, 20.101, 20.11, 20.12, 20.2, 21, 22, 22.1, 23 or 24 or under the regulations;
(c) a cancellation of an appointment of a collector or refiner collector under section 30 (2) (a), (b) or (b.1);
(c.1) a cancellation of a registered consumer certificate under section 37.1 (3) (a) or (b);
(c.2) a refusal to appoint a collector or refiner collector under section 28 or to issue a registered consumer certificate under section 37;
(c.3) a refusal under section 38 (6), 39 (2), or 40 (2) to exempt a collector, deputy collector or retail dealer from the requirement to pay security;
(c.4) a refusal of an authorization under section 14 (1), 14.1 (1) or 29 (2);
(d) an estimate or assessment or an imposition of a penalty under section 42, 43, 44, 45, 45.3, 45.4, 45.5, 45.51, 45.6, 45.7, 45.8, 45.9, 46.1, 48 or 48.1;
(e) a refusal to issue or renew a licence under section 19 (1);
(f) a cancellation or suspension of a licence under section 19 (4);
(g) a decision of the director under section 45.2 (2) (b) or 57.1 (11) (b).
(1.1) If the director cancels a collector's or refiner collector's appointment under section 30 (2) (c) or cancels a registered consumer certificate under section 37.1 (3) (c), an appeal lies from the decision of the director to the minister, unless an appeal is not permitted under the regulations.
(2) Written notice of the appeal must be given to the minister within 90 days after the date on the director's notice of the decision.
(3) The appellant must set out in the notice of appeal a statement of all material facts and the reasons in support of the appeal.
(4) On receiving the notice of appeal, the minister must
(b) subject to subsections (5) and (6), either
(i) affirm, amend or change the assessment, decision, estimate, amount imposed or nature of the assessment, or
(ii) direct the director to reconsider the assessment, decision, estimate, amount imposed or nature of the assessment, and
(c) promptly give the appellant written notice of the result of the appeal.
(4.1) In making a decision under subsection (4) (b) (i), the minister is not required to increase an amount set out in the assessment or estimate or an amount imposed.
(4.2) If the director does not change an assessment, decision, estimate or amount imposed, or the nature of an assessment, after a reconsideration under subsection (4) (b) (ii), the director must issue a notice of reconsideration to the person who appealed to the minister.
(4.3) A person may appeal a notice of reconsideration by giving a notice of appeal to the minister within 90 days after the date shown on the notice of reconsideration.
(5) If an appeal relates to a matter referred to in subsection (1) (c.2), the minister may
(a) affirm the decision of the director, or
(i) appoint the appellant as a collector or refiner collector, subject to the conditions and limitations that the director specifies, or
(ii) issue a registered consumer certificate to the appellant, subject to the conditions and limitations that the director specifies.
(6) If an appeal relates to a matter referred to in subsection (1) (c.3), the minister may
(a) affirm the decision of the director, or
(b) direct the director to exempt the appellant from the requirement to pay security, subject to the conditions that the director specifies.
(7) If an appeal relates to a matter referred to in subsection (1) (c.4), the minister may
(a) affirm the decision of the director, or
(b) direct the director to grant the authorization, subject to the conditions that the director specifies.
(8) The minister may, in writing, delegate any of the minister's powers or duties under this section.
(9) A delegation under subsection (8) may be to a named person or to a class of persons.
50.1 (1) The date on which a notice of appeal is given to the minister under section 50 (2) or (4.3) is the date it is received by the minister.
(2) A notice of appeal is conclusively deemed to have been given to the minister if it is received at a location and by a method specified by the minister.
51 (1) A decision of the minister under section 50 (4) (b) (i) may be appealed to the Supreme Court by way of a petition proceeding.
(2) Subject to this section and the regulations, the Supreme Court Civil Rules relating to petition proceedings apply to appeals under this section.
(2.1) Rule 18-3 of the Supreme Court Civil Rules does not apply to appeals under this section.
(3) A petition 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), it must be served on the government in accordance with section 8 of the Crown Proceeding Act and the government must be designated "Her Majesty the Queen in right of the Province of British Columbia".
(4.1) An appeal under this section is a new hearing that is not limited to the evidence and issues that were before the minister.
(5) The court may dismiss the appeal, allow the appeal, vary the decision from which the appeal is made or refer the decision back to the director for reconsideration.
52 (1) Neither the giving of a notice of appeal by a person nor a delay in the hearing of an appeal
(a) affects the date of payment, the interest or penalties or any liability for payment under this Act in respect of the amount estimated, assessed or imposed that is the subject matter of the appeal, or
(b) delays the collection of the amount estimated, assessed or imposed.
(2) If the director's or the minister's decision is set aside or the amount of an estimate or assessment or an amount imposed is reduced on appeal, the director must refund from the consolidated revenue fund to the appellant
(a) the amount or excess amount paid, and
(b) any additional interest or penalty imposed and paid.
(3) If the amount of an estimate or assessment or an amount imposed is increased on appeal, the appellant must pay to the government
(a) the additional amount owing to the government under this Act, and
(b) any additional interest payable on the additional amount owing to the government under this Act.
Part 9 — Recovery of Amounts Owing
"applicant" means any of the following:
(a) a carrier who has applied for a carrier licence under section 19;
(b) a vendor who has applied to be appointed as a collector under section 28;
(c) a person who has applied for a registered consumer certificate under section 37;
"maximum bond amount", in relation to a bond required to be deposited by a person with the director under this section, means 6 times the estimated amount, determined in a manner and by a procedure the director considers adequate and expedient, of
(a) tax that would normally be collected under this Act by the person in a month in relation to fuel for which the person would not be required to pay security,
(b) tax that would normally be paid under this Act by the person in a month, and
(c) security that would normally be paid under this Act by the person in a month;
"taxpayer" means a collector, a licensed carrier, a registered consumer or a motive fuel user permit holder.
(2) The director may require an applicant or a taxpayer to deposit with the director a bond, by way of cash or other security, satisfactory to the director.
(3) The amount of the bond is to be determined by the director, but the amount must not be greater than the maximum bond amount.
(4) If there is a change in circumstances after a bond is provided under subsection (2), the director may vary the amount of the bond required, but the amount must not be greater than the maximum bond amount.
(5) If a person who has deposited a bond under this section fails to collect or pay tax, remit an amount or pay security in accordance with this Act, the director, after giving written notice to the person, may apply all or part of the bond to the amount that should have been collected, paid or remitted by the person, to any related penalty and to any interest due on that amount and the penalty.
(6) The director may return a bond deposited under this section, or may pay from the consolidated revenue fund an amount equal to the amount remaining of a bond deposited under this section, to the person who deposited the bond if
(a) the person has ceased being a taxpayer, and
(b) the person as a taxpayer has no amount owing to the government under this Act.
54 An amount owing to the government under this Act may be recovered by action in a court.
55 (1) If a person fails to pay or remit an amount owing to the government under this Act, the director may issue a certificate specifying the amount owed and the name of the person who owes it.
(2) The director may file with the Supreme Court a certificate issued under subsection (1).
(3) A certificate filed under subsection (2) has the same force and effect, and all proceedings may be taken on the certificate, as if it were a judgment of the court in favour of the government for the recovery of a debt in the amount specified in the certificate against the person named in the certificate.
(4) If the amount specified in a certificate is different from the actual amount owing to the government under this Act, the director may correct the amount by issuing a new certificate specifying the revised amount owed and the name of the person who owes it.
(5) The director may file with the Supreme Court a certificate issued under subsection (4).
(6) A certificate filed under subsection (5)
(a) revises the certificate filed under subsection (2) that names the same person,
(b) is deemed to be filed at the same time as the certificate it revises, and
(c) has the same force and effect, and all proceedings may be taken on the certificate, as if it were a judgment of the court in favour of the government for the recovery of a debt in the amount specified in the certificate against the person named in the certificate.
56 (1) Remedies available to the government for the recovery of an amount owing under this Act may be exercised separately, concurrently or cumulatively.
(2) The liability of a person for the payment of an amount owing under this Act is not affected by a fine or penalty imposed on or paid by the person for contravention of this Act.
57 (1) In this section, "taxpayer" means any person who is liable to pay or remit an amount under this Act.
(2) If the director knows or suspects that a person is or is about to become indebted or liable to make a payment to a taxpayer, the director may demand that that person pay all or part of the money otherwise payable to the taxpayer to the government on account of the taxpayer's liability under this Act.
(3) Without limiting subsection (2), if the director knows or suspects that a person is about to advance money to, or make a payment on behalf of a taxpayer, or make a payment in respect of a negotiable instrument issued by a taxpayer, the director may demand that that person pay to the government on account of the taxpayer's liability under this Act the money that would otherwise be advanced or paid.
(4) If under this section the director demands that a person pay to the government, on account of the liability under this Act of a taxpayer, money otherwise payable by that person to the taxpayer as interest, rent, remuneration, a dividend, an annuity or other periodic payment, the demand
(a) is applicable to all of those payments to be made by the person to the taxpayer until the liability under this Act is satisfied, and
(b) operates to require payments to the government out of each payment of the amount stipulated by the director in the demand.
(5) Money or a beneficial interest in money in a savings institution
(a) on deposit to the credit of a taxpayer at the time a demand is given, or
(b) deposited to the credit of a taxpayer after a demand is given,
is money for which the savings institution is indebted to the taxpayer within the meaning of this section, but money on deposit or deposited to the credit of a taxpayer as described in paragraph (a) or (b) does not include money on deposit or deposited to the credit of the taxpayer in the taxpayer's capacity as a trustee.
(6) A demand under this section continues in effect until
(a) the demand is satisfied, or
(b) 90 days after the demand is given,
whichever is earlier.
(7) Despite subsection (6), if a demand is made in respect of a periodic payment referred to in subsection (4), the demand continues in effect until it is satisfied unless no periodic payment is made or is liable to be made within 90 days after the demand is given, in which case the demand ceases to have effect at the end of that period.
(7.1) Money demanded from a person by the director under this section becomes payable as follows:
(a) if the person is indebted or liable to make a payment to the taxpayer at the time the demand is given, as soon as the demand is given to the person;
(b) in any other case, as soon as the person becomes indebted or liable to make a payment to the taxpayer.
(8) A person who fails to comply with a demand under subsection (2) or (4) is liable to pay to the government an amount equal to the amount that the person was required to pay under subsection (2) or (4).
(9) A person who fails to comply with a demand under subsection (3) is liable to pay to the government an amount equal to the lesser of
(a) the aggregate of the money advanced or paid, and
(b) the amount that the person was required to pay under subsection (3).
(10) The receipt of the director for money paid under this section is a sufficient discharge of the original liability to the extent of the payment.
(11) Money paid by any person to the government in compliance with a demand under this section is deemed to have been paid by that person to the taxpayer.
"amount owing" means an amount remaining unpaid or unremitted, any related penalty and any interest on that amount and the penalty;
"associated corporation" means a corporation that is
(a) associated with another corporation within the meaning of section 256 of the Income Tax Act (Canada), or
(b) determined under subsection (11) of this section to be associated with another corporation for the purposes of this section;
"collateral" has the same meaning as in the Personal Property Security Act;
"financing statement" has the same meaning as in the Personal Property Security Act;
"inventory" has the same meaning as in the Personal Property Security Act;
"personal property registry" means the registry under the Personal Property Security Act;
"proceeds" has the same meaning as in the Personal Property Security Act;
"property", when referring to the property of an associated corporation or a related individual, means property that is used in, or in conjunction with, the business in respect of which the amount referred to in subsection (2) is required to be collected, remitted or paid;
"purchase money security interest" has the same meaning as in the Personal Property Security Act;
has the same meaning as in the Property Transfer Tax Act;
"security interest" has the same meaning as in the Personal Property Security Act.
(2) If a person is required to pay or remit an amount to the government under this Act and does not pay or remit the amount, the director may register a lien
(a) against the real property of
(ii) an associated corporation of the person, or
(iii) a related individual of the person
by registering a certificate of lien in the prescribed form in the appropriate land title office in the same manner that a charge is registered under the Land Title Act, and
(b) against the personal property of
(ii) an associated corporation of the person, or
(iii) a related individual of the person
by registering a financing statement in the personal property registry.
(3) On registration of a certificate of lien against the real property of a person under subsection (2) (a), a lien is created on the real property against which the lien is registered for the amount owing.
(4) On registration of a lien against the personal property of a person under subsection (2) (b), a lien is created on the present and after acquired personal property in which the person has a legal or equitable interest, including, in the case of a lien referred to in paragraph (a) of this subsection, any portion of the property that is subject to a prior lien or security interest, for the following:
(i) taxes that were required to be collected before registration,
(ii) amounts that were collected but not remitted before registration, or
(iii) security that was required to be paid before registration,
the amount remaining uncollected, unremitted or unpaid, any related penalty and any interest on that amount and the penalty;
(b) any amount, other than an amount referred to in paragraph (a), owing by the person under this Act.
(5) Subject to subsections (6) and (7), a lien, other than a lien referred to in subsection (4) (b), that is registered under subsection (2) (b) against personal property
(a) is not limited to the equity that the person against whose personal property the lien is registered has in the personal property, and
(b) despite the provisions of any other enactments, has priority over a security interest or other lien, whether or not the security interest or other lien existed before the lien was registered under subsection (2) (b).
(6) A lien registered under subsection (2) (b) against personal property does not have priority over
(a) a security interest that secures unpaid wages under section 87 (3) of the Employment Standards Act, regardless of when that security interest arises, or
(b) a purchase money security interest in collateral other than collateral that at the time the purchase money security interest attaches is inventory or its proceeds.
(a) one or more liens are registered under subsection (2) (b) against the personal property of a person, and
(b) the property referred to in paragraph (a) of this subsection is subject to
(i) a security interest perfected under the Personal Property Security Act before the registration of the first lien under subsection (2) (b), or
(ii) another lien created before the registration of the first lien under subsection (2) (b),
the total amount secured by all the liens registered under subsection (2) (b), other than liens referred to in subsection (4) (b), is limited in amount, with respect to all the prior security interests or other liens referred to in paragraph (b) of this subsection, to the sum of the amount of
(c) taxes remaining uncollected or unremitted, or both, that were required to be collected or were collected by the person for the 6 months before the date of the most recent registration of a lien under subsection (2) (b), any related penalty and any interest on that amount and the penalty, and
(d) security remaining unpaid that was required to be paid by the person for the 6 months before the date of the most recent registration of a lien under subsection (2) (b), any related penalty and any interest on that amount and the penalty.
(8) In relation to a certificate of lien registered under subsection (2) (a) against the real property of a person, the director may register a certificate of lien in the form prescribed for the purposes of subsection (2) (a) in the appropriate land title office in the same manner that a charge is registered under the Land Title Act if
(a) the certificate of lien registered under subsection (2) (a) against the real property of the person contains a statement of the amount owing, and
(b) the director is satisfied that the amount referred to in paragraph (a) of this subsection that is stated in that certificate of lien is incorrect.
(8.1) In relation to a financing statement registered under subsection (2) (b) against the personal property of a person, the director may register a financing change statement, as defined in the Personal Property Security Act, in the personal property registry if
(a) the financing statement registered under subsection (2) (b) against the personal property of the person contains a statement of the amount owing, and
(b) the director is satisfied that the amount referred to in paragraph (a) of this subsection that is stated in that financing statement is incorrect.
(8.2) A certificate of lien registered under subsection (8) and a financing change statement registered under subsection (8.1) must contain a revised statement of the amount owing.
(8.3) On registration of a certificate of lien against the real property of a person under subsection (8), the certificate of lien registered under subsection (2) (a) against the real property of the person is, at the same time it was originally registered, deemed to be revised to set out the amount owing as stated in the certificate of lien registered under subsection (8).
(8.4) On registration of a financing change statement against the personal property of a person under subsection (8.1), the financing statement registered under subsection (2) (b) against the personal property of the person is, at the same time it was originally registered, deemed to be revised to set out the amount owing as stated in the financing change statement registered under subsection (8.1).
(a) on the oral or written request of a person, disclose in writing the amount of the lien under this section registered against the personal or real property of the person, or
(b) on the written request of a person accompanied by the written consent of a named person, disclose in writing the amount of the lien under this section registered against the personal or real property of the named person.
(10) If the director believes that one corporation is associated with another corporation within the meaning of section 256 of the Income Tax Act (Canada), the director may request one or both of the corporations to provide to the director the records and information required by the director, in a manner specified by the director, to confirm or rebut that belief.
(11) The director may determine that corporations are associated corporations for the purposes of this section if
(a) a corporation that has been requested to provide records or information to the director under subsection (10) fails or refuses to comply with that request within a period of time considered by the director to be reasonable in the circumstances, or
(b) the records or information provided to the director under this section confirm the director's belief that the corporations are associated.
(12) Immediately after a corporation is determined under this section to be associated with a person referred to in subsection (2) (a) (i) and (b) (i), the director
(a) must notify the corporation of this in writing, and
(b) may register a lien under this section against the real and personal property of the corporation.
(13) The director may seize personal property against which a lien is registered under subsection (12) at any time after the registration of the lien, but must not take any action to realize on those assets until the later of
(a) the date that is 90 days after the date on which the notice required under subsection (12) (a) was given to the corporation, and
(b) if a notice of appeal is given to the minister in respect of the determination within the time provided by section 50 (2), the date on which the minister upholds the determination under that appeal or directs the director to reconsider the determination.
(14) If, at any time, the director becomes convinced that the corporations were not associated within the meaning of the section 256 of the Income Tax Act (Canada) at the time that the lien was registered under subsection (12) (b) of this section or the minister or a court of competent jurisdiction upholds the corporation's appeal against the director's determination on the basis that the corporations were not associated at the time that the lien was registered, the director must,
(a) if the director has not realized on any of the assets against which the lien was registered, promptly release the lien, and
(b) if the director has realized on some or all of the assets against which the lien was registered, promptly release the lien against the remaining assets and pay the proceeds realized from the sale of the realized assets minus any costs or expenses incurred in the sale
(ii) if the director considers it appropriate to do so, into the Supreme Court under Rule 10-3 of the Supreme Court Civil Rules.
(15) The release of the lien under subsection (14) (a) or the release of the lien and payment of the applicable net sale proceeds under subsection (14) (b) is deemed to be full satisfaction of all claims any person, including the corporation, might have arising out of or in any way connected with the determination made under subsection (11), the registration of the lien or the seizure or sale of any or all of the assets against which the lien was registered.
57.2 (1) In this section, "secured party" has the same meaning as in the Personal Property Security Act.
(2) This section applies to a person who, as assignee, liquidator, administrator, receiver, receiver manager, trustee, secured party or similar person, other than a trustee appointed under the Bankruptcy and Insolvency Act (Canada), takes control or possession of the property of a person who has collected tax or an amount as if it were tax or is required to collect tax, remit an amount or pay security under this Act.
(3) Before distributing the proceeds from the realization of the property referred to in subsection (2), a person to whom this section applies must obtain from the director a certificate that the amount that constituted a lien under section 57.1 has been paid.
(4) If a person to whom this section applies distributes the proceeds from the realization of the property referred to in subsection (2), without having obtained the certificate required by subsection (3), the person is personally liable to the government for an amount equal to the amount required to be paid to obtain the certificate.
(5) An amount payable under subsection (4) in respect of a distribution of the proceeds from the realization of property must be paid on or before the last day of the month after the month in which the disposition occurred.
(6) Subsections (3) to (5) also apply to a person who, before July 1, 2008, in a capacity described in subsection (2),
(a) took control or possession of the property of another person who has collected tax or an amount as if it were tax or is required to collect tax, remit an amount or pay security under this Act, and
(b) has not yet distributed the proceeds of the realization of the property.
58 (1) Before taking proceedings for the recovery of an amount owing under this Act, the director must give to the person who owes the amount notice of the director's intention to enforce payment.
(2) Failure to give notice under subsection (1) does not affect the validity of proceedings taken for the recovery of an amount owing under this Act.
59 (1) In this section, "collection proceeding" means
(a) an action for the recovery of an amount owing to the government under section 54,
(b) the filing of a certificate under section 55,
(c) the making of a demand under section 57, and
(d) the registration or enforcement of a lien under section 57.1.
(2) A collection proceeding may be commenced at any time within 7 years after the date of the notice of assessment for the amount claimed in the collection proceeding.
(3) Despite subsection (2), a collection proceeding that relates to a contravention of this Act or the regulations and that involves wilful default or fraud may be commenced at any time.
(4) If, before the expiry of the limitation period that applies under subsection (2) to an amount claimed, a person acknowledges liability in respect of the amount claimed, the date of the notice of assessment is deemed to be the day on which the acknowledgement is made.
(5) Subsection (4) does not apply to an acknowledgement, other than an acknowledgement referred to in subsection (6), unless the acknowledgement is
(b) signed, by hand or by electronic signature within the meaning of the Electronic Transactions Act,
(c) made by the person making the acknowledgement or the person's agent, and
(d) made to the government or an agent of the government.
(6) In the case of an amount claimed to which the limitation period under subsection (2) applies, for the purposes of subsection (4), part payment of the amount by the person against whom the claim is or may be made or by the person's agent is an acknowledgement by the person against whom the claim is or may be made of liability in respect of the claim.
(7) Section 24 (2), (4) and (10) of the Limitation Act applies for the purposes of this section.
(8) The liability of a person for the payment of an amount owing to the government under this Act is not affected by the expiry of the limitation period that applies under subsection (2) to the amount claimed.
60 The minister may apply to the Supreme Court for an injunction ordering a person who sells or offers to sell fuel, heating oil or non-motor fuel oil in British Columbia to cease selling or offering to sell fuel, heating oil or non-motor fuel oil until the person complies with this Act and the regulations and the person's obligations under this Act are fulfilled.
60.1 The minister may appoint a person as director for the purpose of administering this Act.
61 (1) The director may, in writing, delegate any of the director's powers or duties under this Act.
(2) A delegation under subsection (1) may be to a named person or to a class of persons.
(3) Without limiting subsection (1), the director's powers and duties with respect to IFTA commercial vehicles may be delegated by the director to a named person or class of persons in a government corporation, as defined in the Financial Administration Act, or a ministry of the government.
means a person who is engaged or employed, or was formerly engaged or employed, by or on behalf of the government, to assist in carrying out the provisions of this Act;
"confidential information" means information of any kind and in any form, other than excluded information, relating to one or more persons,
(a) that is obtained for the purposes of this Act by or on behalf of the minister, or
(b) that is prepared from information referred to in paragraph (a),
but does not include information that does not directly or indirectly reveal the identity of the person to whom the information relates;
"excluded information" means any of the following information:
(a) the name and address of a collector;
(b) whether a person's appointment as a collector has been suspended or cancelled;
(c) the name and address of a person authorized to sell coloured fuel;
(d) whether a person's authorization to sell coloured fuel has been suspended or cancelled;
(e) in relation to a person who holds or held an exempt fuel retailer permit within the meaning of Part 3.2 of the Motor Fuel Tax Regulation, B.C. Reg. 414/85,
(i) the name and address of the person,
(iii) the percentage set by the director under section 51.71 of the Motor Fuel Tax Regulation in relation to the person, and
(iv) whether the person's exempt fuel retailer permit has been suspended or cancelled;
(f) in relation to a person who is or was a registered consumer,
(i) the name and address of the person,
(ii) the type or subcategory of a type of fuel specified in the person's registered consumer certificate, and
(iii) whether the person's registered consumer certificate has been suspended or cancelled;
"official" means any person
(a) who is employed in the service of, is engaged by or on behalf of, or occupies a position of responsibility in the service of the government of British Columbia, another province or Canada, or
(b) who was formerly so employed or engaged or formerly occupied such a position;
"police officer" means a police officer as defined in section 462.48 (17) of the Criminal Code;
"US state official" means any person
(a) who is employed in the service of, is engaged by or on behalf of, or occupies a position of responsibility in the service of the government of a state of the United States of America, or
(b) who was formerly so employed or engaged or formerly occupied such a position.
(2) For the purposes of the definition of "excluded information", a person's name includes any name under which the person carries on business.
(3) Despite any other enactment or law, except as authorized by this section or section 57.1 (9), an official must not
(a) knowingly provide, or knowingly allow to be provided, any confidential information to any person,
(b) knowingly allow any person to have access to any confidential information, or
(c) knowingly use any confidential information otherwise than in the course of the administration and enforcement of this Act or for a purpose for which it was provided under this section.
(4) Despite any other enactment or law, an official must not be required, in connection with any legal proceedings, to give or produce evidence relating to any confidential information.
(5) Subsections (3) and (4) do not apply in relation to the following:
(a) criminal proceedings that have been commenced by the laying of an information or the preferring of an indictment under an Act of the Parliament of Canada;
(b) any legal proceedings relating to the administration or enforcement of
(i) any enactment of British Columbia, another province or Canada that provides for the imposition or collection of a tax or duty, or
(ii) Part 10 of the Petroleum and Natural Gas Act or the regulations made under that Part.
(6) Subject to subsection (7), an official may do one or more of the following:
(a) provide to any person confidential information that can reasonably be considered necessary for the purposes of the administration or enforcement of this Act, solely for those purposes;
(b) provide to any person confidential information that can reasonably be considered necessary for the purposes of determining
(i) any tax, security, interest, penalty or other amount that is or may become payable by the person under this Act,
(ii) any exemption, deduction or refund to which the person is or may become entitled under this Act, or
(iii) any other amount that is relevant for the purposes of a determination under subparagraph (i) or (ii);
(c) provide confidential information as follows:
(i) to an official of the Department of Finance of the government of Canada, solely for the purposes of the formulation or evaluation of fiscal policy;
(ii) to an official solely for the purposes of the initial implementation of a fiscal policy;
(iii) to an official of the ministry of the minister, solely for the purposes of the formulation or evaluation of fiscal policy;
(iv) to an official solely for the purposes of the administration or enforcement of an enactment of British Columbia that provides for the imposition or collection of a tax or duty;
(v) to an official solely for the purposes of the administration or enforcement of Part 10 of the Petroleum and Natural Gas Act or the regulations made under that Part;
(vi) to an official solely for the purposes of the administration or enforcement of an Act of the Parliament of Canada, or an enactment of another province, that provides for the imposition or collection of a tax or duty;
(vii) to an official solely for the purposes of the compilation of statistical information by the government or the government of Canada, as the case may be;
(viii) to an official solely for the purposes of setting off, against any sum of money that may be due or payable by the government, a debt due to the government;
(d) provide confidential information to a US state official solely for the purposes of the administration or enforcement of an enactment of a state of the United States of America that provides for the imposition or collection of a tax or duty;
(e) provide confidential information solely for the purposes of an agreement entered into under section 17 of this Act;
(f) provide confidential information, or allow inspection of or access to confidential information, as the case may be, under, and solely for the purposes of,
(i) sections 44 (1) and 61 (1) of the Freedom of Information and Protection of Privacy Act, or
(ii) sections 15, 16 and 17 of the Auditor General Act;
(g) provide confidential information as provided for in, or ordered under, section 239 or 242 of the Family Law Act or section 8.2 or 9 of the Family Maintenance Enforcement Act;
(h) provide confidential information relating to a person, other than information that may be requested from the director under section 57.1 (9),
(ii) with the consent of the person, to any other person;
(i) use confidential information to compile information in a form that does not directly or indirectly reveal the identity of the person to whom the information relates;
(j) provide confidential information solely for the purposes of sections 17, 18 and 19 of the Financial Administration Act;
(k) use, or provide to any person, confidential information solely for a purpose relating to the supervision, evaluation or discipline of an authorized person by the government in respect of a period during which the authorized person was employed by, or engaged by or on behalf of, the government to assist in the administration or enforcement of this Act, to the extent that the information is relevant for the purpose;
(l) provide confidential information to a police officer, solely for the purposes of an investigation into 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 confidential information can reasonably be considered necessary for the purpose of ascertaining, with respect to an official, or with respect to any person related to the official,
(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 under the Criminal Code,
(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 the administration or enforcement of this Act;
(m) provide confidential information to, or allow inspection of or access to confidential information by, any person otherwise legally entitled to the information under a prescribed enactment of British Columbia, solely for the purposes for which the person is entitled to the information.
(7) Except in accordance with an information-sharing agreement entered into under section 62.1, an official must not, under subsection (6) (a) to (d) and (j) to (m) of this section, provide confidential information to, or allow inspection of or access to confidential information by,
(a) an official of a public body, as defined in the Freedom of Information and Protection of Privacy Act, other than the ministry of the minister,
(b) an official of the government of Canada,
(c) an official of the government of another province, or
(8) An official may provide to appropriate persons any confidential information relating to imminent danger of death or physical injury to any individual.
(9) The person who presides at a legal proceeding relating to the supervision, evaluation or discipline of an authorized person may make orders necessary to ensure that confidential information is not used or provided to any person for any purpose unrelated to the proceeding, including
(a) an order that the proceeding be held in private,
(b) an order banning publication of the confidential information,
(c) an order to conceal the identity of the person to whom the confidential information relates, and
(d) an order sealing the records of the proceeding.
(10) To the extent of any inconsistency or conflict with section 32 or 33 of the Freedom of Information and Protection of Privacy Act, this section applies despite that Act.
"confidential information" has the same meaning as in section 62;
"information-sharing agreement" means an agreement or arrangement to exchange, by electronic data transmission, electronic data matching or any other means, information for a purpose described in section 62 (6).
(2) The minister may enter into an information-sharing agreement with
(a) a public body as defined in the Freedom of Information and Protection of Privacy Act,
(b) the government of Canada or an agency of that government,
(c) the government of a province or other jurisdiction in Canada or an agency of that government, or
(d) the government of a state of the United States of America or an agency of that government.
(3) Subject to subsection (4), confidential information obtained by the minister under an information-sharing agreement may be used or disclosed only for the purposes for which it was obtained under the applicable agreement.
(4) Subsection (3) does not prevent
(a) any confidential information obtained by the minister under an information-sharing agreement with the government of Canada or an agency of that government from being used or disclosed for the purpose of administering and enforcing
(i) an enactment administered by the minister that provides for the imposition or collection of a tax or duty, or
(ii) Part 10 of the Petroleum and Natural Gas Act or the regulations made under that Part, or
(b) any confidential information obtained by the minister under an information-sharing agreement from being used or disclosed for the purpose of administering and enforcing an Act of the Parliament of Canada that provides for the imposition or collection of a tax or duty.
(5) The Lieutenant Governor in Council may prescribe terms and conditions to be included in the information-sharing agreements entered into by the minister.
(6) For the purposes of section 62 (7), an information-sharing agreement entered into before the coming into force of this section is considered to be an information-sharing agreement entered into by the minister under this section.
63 (1) Subject to this Act, if, under this Act, a document must or may be given by the director to a person, the document may be given in accordance with subsection (2).
(2) The director may give a document to a person as follows:
(a) if the person is an individual, by leaving the document with the individual;
(b) if the person is a corporation, by leaving the document with a board member, senior officer, liquidator or receiver manager of the corporation;
(c) if the person is an extraprovincial corporation, by leaving the document with
(i) a person referred to in paragraph (b), or
(ii) an attorney for the extraprovincial corporation;
(d) if the person is a partnership,
(i) by leaving the document with an individual who is a member of the partnership, or
(ii) in the case of a corporation or extraprovincial corporation that is a member of the partnership, by leaving the document with a person who is, in respect of that corporation or extraprovincial corporation, a person referred to in paragraph (b) or (c), as applicable;
(e) by leaving the document with a person apparently employed at the place of business of the person;
(f) by sending the document by ordinary mail or registered mail to the last known address of the person according to the records of the director;
(g) by sending the document by electronic mail to the last known electronic mail address of the person according to the records of the director;
(h) by sending the document by fax to the last known fax number of the person according to the records of the director;
(i) by sending or providing the document by another communication method agreed to by the person and the director.
(3) If a person carries on business under a name or style other than the person's own name, a document to be given in accordance with this Act may be addressed to the name or style under which the person carries on business.
(4) A document is conclusively deemed to have been given to a person by the director if the document
(a) is given in a manner referred to in subsection (2) (a) to (e) or (g) to (i), or
(b) is sent by registered mail to the last known address of the person according to the records of the director.
(5) A document is conclusively deemed to have been given to a person by the director
(a) on the date the document is sent, if the document is sent by registered mail, electronic mail or fax as contemplated by subsection (2) (f), (g) or (h), or
(b) on the date the document is sent or provided, if the document is sent or provided by another communication method as contemplated by subsection (2) (i).
(6) A document is deemed to have been given to a person by the director on the date the document is sent, if the document is sent by ordinary mail as contemplated by subsection (2) (f).
(7) For the purposes of this Act, the date of a notice or other document given by the director is, subject to section 59 (4), the date stated on the notice or other document.
63.01 In a prosecution or any proceeding for any matter arising under this Act, the facts necessary to establish compliance on the part of the director with section 63 may be sufficiently proved in any court by the production of an affidavit of the director setting out the facts.
63.02 (1) Proof of the receipt by a person of a document to which section 63 applies may be established in any court by showing that the document was given in accordance with that section.
(2) A person seeking to establish that a document referred to in subsection (1) was not received by the person bears the burden of establishing that fact.
63.03 If, under this Act, a document must or may be given by the minister to a person, the document may be given in accordance with section 63 (2).
63.1 (1) For any purpose related to the administration or enforcement of this Act or the regulations, the director may, by demand notice, require from any person, in a manner specified by the director,
(b) any information or additional information,
(c) the production of any records, or
(2) A demand notice under subsection (1)
(a) must be given to the person in a manner referred to in section 63 (2) (a) to (e) or sent by registered mail to the last known address of the person according to the records of the director,
(b) must specify a reasonable time by which the person must comply with the demand notice, and
(c) in relation to a requirement under subsection (1) (d), may require the written statement to be made by way of affidavit or statutory declaration.
(3) A person to whom a demand notice is given under this section must comply with the notice within the time specified in the notice.
(4) Under this Act, an affidavit by the director in which are stated the facts necessary to establish
(a) compliance by the director with this section, or
(b) default by a person on whom a demand was made under this section
must be admitted as evidence in any court and is proof, in the absence of evidence to the contrary, of the facts stated.
63.2 For the purpose of determining the amount of tax that is payable under this Act, the director may establish a formula for converting a measure of an amount of a fuel into a different measure of the amount of a fuel.
Part 11 — Offences and Penalties
64 (1) and (2) [Repealed 2000-22-50.]
(4) A person who does any of the following commits an offence:
(a) makes or participates in, assents to or acquiesces in the making of a false or deceptive statement in a return, certificate or form required to be made or filed under this Act;
(a.1) makes or participates in, assents to or acquiesces in the making of a false or deceptive statement in a declaration referred to in section 5.1 (1);
(b) in order to evade payment of an amount to be paid or remitted under this Act, destroys, alters, mutilates, hides or otherwise disposes of a record or book of account;
(c) makes or assents to or acquiesces in the making of a false or deceptive entry in a record or book of account, or omits or assents to or acquiesces in the omitting to enter in a record or book of account, a material particular related to an amount to be paid or remitted under this Act;
(d) wilfully, in any manner, fails to comply with this Act or the regulations;
(e) wilfully, in any manner, evades or attempts to evade compliance with this Act or the regulations or remittance or payment of taxes or payment of security required under this Act;
(f) conspires with any person to do anything described in paragraphs (a) to (e).
(5) An individual who commits an offence under subsection (4) is liable to
(a) a fine of not less than 50% and not more than 200% of the amount of tax or security not collected, remitted or paid,
(b) imprisonment for not more than 2 years, or
(c) both the fine and imprisonment referred to in paragraphs (a) and (b) of this subsection.
(5.1) A corporation that commits an offence under subsection (4) is liable to a fine of not less than 50% and not more than 200% of the amount of tax or security not collected, remitted or paid.
(6) In a prosecution under subsection (4), a certificate signed by the director stating the amount of tax or security referred to in subsection (5) or (5.1) is evidence of the amount of tax or security referred to in the applicable subsection.
(7) A penalty under this section is in addition to any other penalty under this Act.
64.1 (1) A person commits an offence if the person
(a) contravenes section 62 (3), or
(b) knowingly contravenes an order made under section 62 (9).
(2) A person commits an offence if
(a) the person has been provided with confidential information for a particular purpose under section 62 (6) (a) to (c), (f), (g), (j), (k) or (m), and
(b) the person knowingly, for a purpose other than the purpose referred to in paragraph (a), uses the information, provides the information or allows the information to be provided to any person or allows any person to access the information.
(3) A person who commits an offence under subsection (1) or (2) is liable to one or both of the following:
64.2 (1) A person commits an offence if the person contravenes any of the following provisions:
(c) section 41 (6) (a) or (b);
(2) An individual who commits an offence under subsection (1) is liable to
(a) a fine of not more than $100 000,
(b) imprisonment for not more than 12 months, or
(c) both the fine and imprisonment referred to in paragraphs (a) and (b) of this subsection.
(3) A corporation that commits an offence under subsection (1) is liable to a fine of not more than $100 000.
(4) A penalty under this section is in addition to any other penalty under this Act.
65 In a prosecution for failure to collect, remit or pay an amount under this Act, the onus is on the accused to prove that the amount was collected by the accused or was paid or remitted, as the case may be, to the government.
66 (1) The director may designate a person as an analyst for the purpose of the enforcement of this Act.
(2) In a prosecution under this Act, a certificate of an analyst stating that the analyst has analyzed or examined a substance submitted to the analyst and stating the results of the analysis or examination is evidence of the statements contained in the certificate.
(3) The party against whom a certificate of an analyst is produced under subsection (2) may, with leave of the court, require the attendance of the analyst for the purpose of cross examination.
(4) A certificate must not be received in evidence under subsection (2) unless the party intending to produce it has, before the trial, given to the party against whom it is intended to be produced reasonable notice of that intention together with a copy of the certificate.
67 (1) In a prosecution, evidence that a person applied to be appointed a collector or applied to obtain a registered consumer certificate is evidence that the person is appointed as a collector or holds a registered consumer certificate.
(2) In a prosecution a notice of assessment is evidence that the amount stated in the notice of assessment is due and owing.
68 If a corporation commits an offence under this Act, an employee, officer, board member or agent of the corporation who authorized, permitted or acquiesced in the offence also commits that offence, whether or not the corporation is prosecuted or convicted.
69 No prosecution for an offence against this Act or the regulations may be instituted more than 6 years after the day the alleged offence was committed.
70 Section 5 of the Offence Act does not apply to this Act or the regulations.
71 (1) The Lieutenant Governor in Council may make regulations referred to in section 41 of the Interpretation Act.
(2) Without limiting this section, the Lieutenant Governor in Council may make regulations as follows:
(a) prescribing records to be kept by collectors, deputy collectors, vendors, persons who sell fuel in sales to which section 1.1 (2) (a) to (c) applies, persons who are required to file returns for the payment of tax under this Act, wholesale dealers, retail dealers, registered consumers, licensed carriers and holders of motive fuel user permits;
(b) requiring a person who sells fuel to furnish prescribed information to the person who buys the fuel in prescribed circumstances;
(b.1) establishing an amount of tax payable or a method for determining the amount of tax payable for a blend or mixture containing a fuel;
(b.2) respecting the duties of vendors, wholesale dealers, retail dealers, collectors, deputy collectors, registered consumers and persons who are required to file returns for the payment of tax under this Act;
(b.3) setting conditions or limitations on the application of section 1.1 (2) (a) to (c) to a sale;
(b.4) respecting the minimum amount prescribed for a prescribed type of fuel, a prescribed subcategory of a type of fuel or a prescribed class of fuel for the purposes of section 1.1 (3) (a) (ii);
(c) respecting the manner of payment, collection and remittance of tax and payment of security and any other conditions or requirements affecting the payment, collection and remittance of tax or security;
(c.01) for the purposes of section 36, setting conditions of, or limitations on, the deduction of a prescribed allowance;
(c.1) respecting the payment of an allowance under section 40.1, including, without limitation, the following:
(i) determining the amount of an allowance;
(ii) determining the circumstances in which an allowance or portion of an allowance is not to be paid;
(iii) establishing a manner of payment of an allowance;
(d) establishing a system of permits for retail dealers, wholesale dealers and vendors who sell a fuel on which tax is not payable under this Act, and without limitation, for the purpose of establishing a system of permits, may also
(i) prohibit these dealers and vendors from acquiring and selling the fuel on which tax is not payable under this Act in British Columbia unless authorized by a permit,
(ii) prohibit persons from selling the fuel on which tax is not payable under this Act to these dealers and vendors unless the dealer or vendor is authorized to sell that fuel by a permit,
(iii) provide for the issue, refusal to issue, suspension and cancellation of the permits by the director, and
(iv) provide for appeals from a decision related to a permit;
(e) providing for the issue, refusal to issue, suspension and cancellation by the director of
(ii) motive fuel user permits, motive fuel decals and temporary motive fuel user emblems, and
(iv) carrier licences and carrier decals;
(f.1) respecting the duties of persons who own or operate IFTA commercial vehicles, including
(i) the payment and refund of deposits, and
(ii) authorizing the director to determine the amount of deposits;
(g) providing for refunds of all or part of a tax, security or other amount paid or remitted under this Act, including
(i) permitting or requiring the payment of a refund to a person or class of persons,
(ii) establishing circumstances in which a refund may or must be paid, or
(iii) setting conditions of or limitations on the payment of a refund;
(g.1) respecting applications for a refund under section 25;
(i) providing for exemptions from one or more provisions of this Act, including
(i) providing for a full or partial exemption from the payment, collection or remittance of tax or security,
(ii) establishing the circumstances in which an exemption applies, or
(iii) setting conditions of or limitations on the application of an exemption;
(i.1) authorizing exemptions and refunds under section 5 (3) and respecting any matter or thing that the Lieutenant Governor in Council considers necessary for the implementation and administration of those exemptions and refunds;
(k) exempting any person or class of person from section 16 and prescribing the conditions of exemption;
(k.1) prescribing types of motor vehicles for the purposes of section 15 (1) (d) and (e), based on the make, description or use of those vehicles or any combination of those things;
(i) is used in prescribed circumstances for a purpose for which coloured fuel is authorized to be used under section 15 (1), and
(ii) would otherwise be taxable under section 4, 7, 8 or 10,
must be taxed at the rate imposed under section 5;
(l.1) in relation to the penalty that may be imposed under section 45.3 for the purchase or use of coloured fuel contrary to section 15, respecting the determination of the amount referred to in section 45.3 (1) (b), including, without limitation, the following:
(i) prescribing amounts for contraventions of section 15, including greater amounts for second or subsequent contraventions;
(ii) prescribing a period of time within which a second or subsequent contravention of section 15 must occur for a greater amount to apply;
(iii) providing that in determining whether a contravention of section 15 is a second or subsequent contravention, as the case may be, the only question to be considered is the sequence of the imposition of penalties under section 45.3 and that no consideration may be given to the sequence of the contraventions or whether any contravention occurred before or after the imposition of a penalty;
(iv) establishing formulas that may be applied in determining the amount;
(l.2) for the purposes of section 41.1 (2), respecting the calculation of an amount for the purposes of section 41.1 (1), including, without limitation, respecting a maximum amount that may be calculated;
(m) prescribing the types of dye for colouring fuel, the equipment to be used to colour fuel, the procedures for colouring fuel, and the place at which fuel may be coloured;
(n) prohibiting the sale of fuel as coloured fuel if the fuel is not coloured in the prescribed manner;
(o) requiring reports to be made by persons authorized under this Act to colour fuel or to sell coloured fuel and requiring the marking of equipment or containers used for coloured fuel;
(o.1) defining or excluding alternative motor fuels by naming the fuel or by reference to environmental benefits, market share or other criteria set out in the regulations;
(o.2) subject to section 10.1 (4), prescribing the rate of tax on alternative motor fuels, which may be different for different types of fuel or different uses of fuel;
(o.3) and (o.4) [Repealed 2008-40-152.]
(p) defining a word or expression used but not defined in this Act;
(q) prescribing the periods for which an authorization under section 14, 14.1 or 16.3 (3) may be suspended by the director under
(ii) section 14 (4) as it applies under section 14.1 (4) or 16.3 (6);
(q.1) in relation to heating oil or non-motor fuel oil, respecting anything for which regulations may be made under this Act in relation to fuel;
(q.2) respecting provisions of this Act or the regulations made applicable by section 16.8, including, without limitation, doing one or more of the following:
(i) providing that, in applying a provision, in addition to any necessary changes, that provision is to be read with specified changes;
(ii) specifying circumstances in which a provision applies;
(iii) setting conditions of, or limitations on, the application of a provision;
(iv) exempting a provision that would otherwise apply, entirely or in specified circumstances;
(r) respecting any matter or thing that the Lieutenant Governor in Council considers necessary for the implementation or administration of the International Fuel Tax Agreement;
(s) prescribing one or more classes of carriers or classes of vehicles for the purposes of section 16 (3), subject to the terms and conditions the Lieutenant Governor in Council specifies;
(i) the duties and obligations to be performed by a licensed carrier,
(ii) the terms and conditions applicable to a carrier licence, with power to prescribe different terms and conditions for different classes of licensees,
(iii) the consequences of failing to perform those duties and obligations or of failing to comply with those terms and conditions, and
(iv) any other matter that the Lieutenant Governor in Council considers necessary or appropriate in relation to the issuing, renewing, suspending, cancelling or reinstating of carrier licences;
(v) prescribing the duration of carrier licences and carrier decals issued by the director;
(w) respecting fees for applying for, issuing and renewing carrier licences issued by the director, including setting fees and the time and manner for payment of fees;
(w.1) respecting the fees for certificates under sections 49.1 and 57.2, including setting the fees and the time and manner for payment of the fees;
(x) respecting any matter or thing that the Lieutenant Governor in Council considers necessary for or in relation to the payment to the South Coast British Columbia Transportation Authority or to the regional transit commission for the Victoria regional transit service area of the tax imposed under sections 4 (1) (c) and (d) and 10 (1) (c) and (d) or section 12.1 (2) respectively;
(y) prescribing interest rates and the manner of calculating interest for the purposes of this Act;
(aa) respecting appeals to the minister under section 50, including, without limitation, establishing circumstances in which an appeal to the minister under section 50 (1.1) is not permitted;
(bb) establishing circumstances in which a retail dealer is exempt from the requirement to collect tax and permitting the director to establish rules for the collection of tax in those circumstances.
(4) For the purposes of a regulation under subsection (2) (y), interest may be calculated in a manner that applies, or has the effect of applying, different rates of interest to all or part of an assessment if a person is entitled to a refund under this Act.
(4.1) For the purposes of a regulation under subsection (2) (y), the regulation may adopt by reference, in whole or in part, and with any changes considered appropriate, the International Fuel Tax Agreement, as it stands on a specific date, as it stands at the time of adoption or as it is amended from time to time.
(5) The Lieutenant Governor in Council may make regulations respecting any matter for which regulations by the Lieutenant Governor in Council are contemplated by this Act.
(6) In making a regulation under this Act, the Lieutenant Governor in Council may do one or more of the following:
(a) delegate a matter to a person;
(b) confer a discretion on a person;
(c) make different regulations for different persons, fuels, places, things, uses or transactions or classes of persons, fuels, places, things, uses or transactions;
(d) establish or define classes of persons, fuels, places, things, uses or transactions.
(7) A regulation made before December 31, 2009 under section 71 (2) (d) (iv) may be made retroactive to September 2, 2009 or a later date, and if made retroactive is deemed to have come into force on the specified date.
(8) A regulation made before December 31, 2012 under this section in relation to section 1.1 may be made retroactive to May 1, 2012 or a later date, and if made retroactive is deemed to have come into force on the specified date.
(9) A regulation made on or before March 31, 2016 under this Act in relation to propane, heating oil or non-motor fuel oil may be made retroactive to April 1, 2013 or a later date, and if made retroactive is deemed to have come into force on the specified date.
(10) A regulation made before September 1, 2019 under this section in relation to section 36 may be made retroactive to February 20, 2015 or a later date, and if made retroactive is deemed to have come into force on the specified date.
74 (1) The Lieutenant Governor in Council may make regulations as follows:
(a) establishing rules governing the practice and procedure of the Supreme Court in an appeal under this Act;
(b) providing that a rule under the Supreme Court Civil Rules does not apply to an appeal under this Act;
(c) modifying a rule under the Supreme Court Civil Rules that applies to an appeal under this Act;
(d) adopting a rule under the Supreme Court Civil Rules that otherwise does not apply to an appeal under this Act and modifying that rule for the purposes of an appeal under this Act.
(2) Without limiting subsection (1), in making a regulation under subsection (1), the Lieutenant Governor in Council may make any rule authorized by sections 1 and 2 of the Court Rules Act.
(3) To the extent of any inconsistency or conflict between a regulation made under subsection (1) and the Supreme Court Civil Rules, the regulation made under subsection (1) prevails.
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