Definition

115   In this Division, "associate" includes an agent, partner, joint venturer, related individual and associated corporation.

Tax if contract for property conversion related to purchase

116   (1) In this section, "contract amount" means an amount payable under the contract referred to in subsection (2) (b) for or in relation to the resulting tangible personal property.

(2) This section applies to a purchaser who

(a) acquires tangible personal property

(i) from another person, or

(ii) through another person acting as agent of the purchaser, and

(b) within 180 days before or after acquiring the tangible personal property, enters into a contract with the other person or an associate of the person under which the original tangible personal property referred to in paragraph (a) is processed, fabricated or manufactured into, or attached to or incorporated into other tangible personal property by that other person or associate.

(3) A purchaser to whom this section applies must pay to the government tax at the rate of 7% of the contract amount.

(4) Tax payable under subsection (3) is in addition to tax payable on the original tangible personal property.

(5) [Repealed 2013-1-234.]

(6) Tax is not payable under this section on that portion of the contract amount on which tax is otherwise payable by the purchaser under this Act.

Tax if contract for modification of purchased property

117   (1) In this section:

"contract amount" means an amount payable under the contract referred to in subsection (2) for or in relation to the modification or processing referred to in subsection (2) (b);

"tax rate value",

(a) in relation to a passenger vehicle other than a modified business vehicle, means the total of the original purchase price of the passenger vehicle and the contract amount, and

(b) in relation to a modified business vehicle, means the total of the original purchase price of the modified business vehicle and the contract amount less the portion of that amount that can reasonably be attributed to the modifications referred to in paragraph (b) of the definition of "modified business vehicle".

(2) This section applies to a purchaser of tangible personal property if the purchaser enters into an agreement, with the seller of the property or an associate of the seller,

(a) that is

(i) part of the contract to acquire the tangible personal property, or

(ii) a separate contract entered into within 2 days before or after entering into the contract to acquire the tangible personal property, and

(b) under which the seller or an associate of the seller is to modify or process the tangible personal property.

(3) A purchaser to whom this section applies must pay to the government tax calculated as follows:

(a) if the tangible personal property referred to in subsection (2) is not a passenger vehicle, at the rate of 7% of the contract amount;

(b) if the tangible personal property referred to in subsection (2) is a passenger vehicle, other than a passenger vehicle that is a zero-emission vehicle, at the applicable rate as follows:

(i) 7% of the contract amount, if the tax rate value is less than $55 000;

(ii) 8% of the contract amount, if the tax rate value is $55 000 or more but less than $56 000;

(iii) 9% of the contract amount, if the tax rate value is $56 000 or more but less than $57 000;

(iv) 10% of the contract amount, if the tax rate value is $57 000 or more but less than $125 000;

(v) 15% of the contract amount, if the tax rate value is $125 000 or more but less than $150 000;

(vi) 20% of the contract amount, if the tax rate value is $150 000 or more;

(c) if the tangible personal property referred to in subsection (2) is a passenger vehicle that is a zero-emission vehicle, at the applicable rate as follows:

(i) 7% of the contract amount, if the tax rate value is less than $75 000;

(ii) 8% of the contract amount, if the tax rate value is $75 000 or more but less than $76 000;

(iii) 9% of the contract amount, if the tax rate value is $76 000 or more but less than $77 000;

(iv) 10% of the contract amount, if the tax rate value is $77 000 or more but less than $125 000;

(v) 15% of the contract amount, if the tax rate value is $125 000 or more but less than $150 000;

(vi) 20% of the contract amount, if the tax rate value is $150 000 or more.

(4) Tax is not payable under this section on that portion of the contract amount on which tax is otherwise payable by the purchaser under this Act.

Tax if resulting property used for new purpose

117.1   (1) In this section, "resulting tangible personal property" means tangible personal property in its resulting form after completion of a contract referred to in section 116 or 117.

(2) If a person

(a) was exempt, under section 118, from tax imposed under section 116 or 117 because the resulting tangible personal property was to be used for a particular purpose, and

(b) subsequently uses that resulting tangible personal property, or allows that resulting tangible personal property to be used, for a purpose other than

(i) the particular purpose, or

(ii) another purpose for which that resulting tangible personal property would be exempt from tax under section 116 or 117 if that property were to be used for that purpose,

the person must pay to the government tax in an amount equal to the amount of tax that would, but for section 118, have been payable under section 116 or 117.

(3) Tax payable under subsection (2) must be paid on or before the last day of the month after the month in which the person first uses the resulting tangible personal property, or allows the resulting tangible personal property to be used, as referred to in subsection (2) (b).

(4) Despite subsection (3), tax payable under subsection (2) by a registrant must be paid on or before the prescribed date and in the prescribed manner.

Exempt property

118   A purchaser is exempt from tax imposed under section 116 or 117 if the tangible personal property in its resulting form after completion of the contract referred to in the applicable section would be exempt from tax imposed under Part 3.

Refund if contract for property conversion not related to purchase

118.1   If the director is satisfied that a purchaser paid tax under section 116 (3) and that, at the time the tangible personal property referred to in section 116 (2) (a) was acquired, the purchaser did not intend to enter into the contract referred to in section 116 (2) (b), the director must refund to the purchaser the amount of tax paid under section 116 (3) in respect of that contract.

Tax on purchase of related service provided in British Columbia

119   (1) A purchaser of a related service provided or to be provided in British Columbia must pay to the government tax at the rate of 7% of the purchase price of the related service.

(2) If a collector sells a related service provided or to be provided in British Columbia to a person who alleges that the person is exempt under section 121 (2) or under prescribed provisions of the regulations from paying the tax under subsection (1) of this section, the person must nevertheless pay tax under subsection (1) and the collector must nevertheless levy and collect the tax under subsection (1) unless the collector obtains from that person, at or before the time the tax is payable,

(a) a declaration in a form acceptable to the director, if required by the regulations,

(b) any information or document required by the regulations, and

(c) any information or document required by the director.

Tax if related service provided outside British Columbia

120   (1) This section applies to a person who

(a) resides, ordinarily resides or carries on business in British Columbia,

(b) takes or sends tangible personal property out of British Columbia

(i) primarily for the purpose of having a related service provided in respect of the property, and

(ii) has the related service provided in respect of the property, and

(c) subsequently brings or sends into British Columbia, or receives delivery of in British Columbia, the tangible personal property referred to in paragraph (b) for use or consumption

(i) by the person,

(ii) by another person at the first person's expense,

(iii) by a principal for whom the first person acts as agent, or

(iv) by another person at the expense of a principal for whom the first person acts as agent.

(2) A person to whom this section applies must pay to the government tax in respect of the related service at a rate of 7% of the purchase price of that related service.

(3) Tax payable under subsection (2) must be paid on or before the last day of the month after the month in which the person subsequently brings or sends into British Columbia, or receives delivery of in British Columbia, the tangible personal property.

(4) Despite subsection (3), tax payable under subsection (2) by a registrant must be paid on or before the prescribed date and in the prescribed manner.

Tax if change in use of related service

120.1   (1) If a person

(a) purchased a related service that was exempt from tax under this Act because the related service was to be used for a particular purpose, and

(b) subsequently uses that related service, or allows that related service to be used, for a purpose other than

(i) the particular purpose, or

(ii) another purpose for which that related service would be exempt from tax under this Act if that related service were to be used for that purpose,

the person must pay to the government tax at the rate of 7% of the purchase price of that related service.

(2) Tax payable under subsection (1) must be paid on or before the last day of the month after the month in which the person subsequently uses the related service, or allows the related service to be used, as referred to in subsection (1) (b).

(3) Despite subsection (2), tax payable under subsection (1) by a registrant must be paid on or before the prescribed date and in the prescribed manner.

Exemptions from tax under this Division

121   (1) A person who takes or sends tangible personal property out of British Columbia, primarily for the purpose of using the tangible personal property outside British Columbia for a period of time, is exempt from tax under section 120 in respect of any related service provided in respect of that tangible personal property while it is outside British Columbia during that period.

(2) Subject to section 135 [exemptions not applicable to small seller], a purchaser who purchases a related service is exempt from tax imposed under this Division on the purchase if that purchase is made for the purpose only of selling the related service to other persons.

Tax on accommodation

122   A purchaser of accommodation in British Columbia must pay to the government tax at the rate of 8% of the purchase price of the accommodation.

Tax on accommodation in designated accommodation area

123   (1) If accommodation is purchased in a designated accommodation area, the purchaser must pay to the designated recipient, by paying to the government as agent of the designated recipient, tax at the prescribed rate on the purchase price of the accommodation.

(2) The maximum rate of tax that may be imposed under this section is 3% of the purchase price of the accommodation.

(3) [Repealed 2013-1-242.]

Transition — application of section 123 if change in designation status or tax rate

123.01   (1) If accommodation is purchased in an area before the area becomes a designated accommodation area, section 123 applies in relation to the purchase, but only in respect of any consideration that

(a) becomes due on or after the date the area becomes a designated accommodation area, and

(b) has not been paid before that date.

(2) If accommodation is purchased in a designated accommodation area before the area ceases to be a designated accommodation area, section 123 applies in relation to the purchase, except in respect of any consideration that

(a) becomes due on or after the date the area ceases to be a designated accommodation area, and

(b) has not been paid before that date.

(3) If there is a change in the prescribed rate of tax that applies to accommodation purchased in a designated accommodation area, the new rate of tax applies to accommodation purchased, before the new rate of tax takes effect, in the designated accommodation area, but only in respect of any consideration that

(a) becomes due on or after the date the new rate of tax takes effect, and

(b) has not been paid before that date.

Tax on accommodation in designated major event accommodation area

123.02   (1) If accommodation is purchased in a designated major event accommodation area, the purchaser must pay to the designated recipient, by paying to the government as agent of the designated recipient, tax at the prescribed rate on the purchase price of the accommodation.

(2) The maximum rate of tax that may be imposed under this section is 2.5% of the purchase price of the accommodation.

Transition — application of section 123.02 if change in designation status or tax rate

123.03   (1) If accommodation is purchased in an area before the area becomes a designated major event accommodation area, section 123.02 applies in relation to the purchase, but only in respect of any consideration that

(a) becomes due on or after the date the area becomes a designated major event accommodation area, and

(b) has not been paid before that date.

(2) If accommodation is purchased in a designated major event accommodation area before the area ceases to be a designated major event accommodation area, section 123.02 applies in relation to the purchase, except in respect of any consideration that

(a) becomes due on or after the date the area ceases to be a designated major event accommodation area, and

(b) has not been paid before that date.

(3) If there is a change in the prescribed rate of tax that applies to accommodation purchased in a designated major event accommodation area, the new rate of tax applies to accommodation purchased, before the new rate of tax takes effect, in the designated major event accommodation area, but only in respect of any consideration that

(a) becomes due on or after the date the new rate of tax takes effect, and

(b) has not been paid before that date.

Obligation to pay and collect tax on accommodation purchased for resale

123.1   If a collector sells accommodation at a sale in British Columbia to a person who alleges that the accommodation is being purchased for resale, the person must nevertheless pay tax under sections 122, 123 and 123.02 as if the person were a purchaser and the collector must nevertheless levy and collect the tax under sections 122, 123 and 123.02 unless the collector obtains, at or before the time the tax is payable,

(a) that person's registration number, or

(b) if that person does not have a registration number, a declaration in a form acceptable to the director from that person.

Tax if change in use of accommodation purchased for resale

123.2   (1) If a person purchased accommodation in British Columbia for resale and becomes, for any period, a user of that accommodation, the person must pay to the government tax at the rate of 8% of the purchase price of the accommodation.

(2) Subject to subsection (4), subsection (3) applies to a person in respect of accommodation if

(a) the person purchased accommodation in British Columbia for resale,

(b) the person becomes, for any period, a user of that accommodation, and

(c) at the time the person becomes a user of that accommodation, the accommodation is in a designated accommodation area.

(3) A person to whom this subsection applies must pay to the designated recipient, by paying to the government as agent of the designated recipient, tax on the purchase price of the accommodation at the rate prescribed for the purposes of section 123 (1) for accommodation purchased in the designated accommodation area.

(3.1) Subject to subsection (4), subsection (3.2) applies to a person in respect of accommodation if

(a) subsection (3) applies to the person in respect of the accommodation, and

(b) at the time the person becomes a user of that accommodation, the accommodation is in a designated major event accommodation area.

(3.2) A person to whom this subsection applies must pay to the designated recipient, by paying to the government as agent of the designated recipient, tax on the purchase price of the accommodation at the rate prescribed for the purposes of section 123.02 (1) for accommodation purchased in the designated major event accommodation area.

(4) Subsections (1), (3) and (3.2) do not apply to a person if, when the person becomes a user of the accommodation, the accommodation is used for a purpose for which the accommodation would have been exempt from tax under this Act if the accommodation were to be used for that purpose when the person purchased that accommodation.

(5) Tax payable under subsection (1), (3) or (3.2) must be paid on or before the last day of the month after the month in which the person first becomes a user of the accommodation.

(6) Despite subsection (5), tax payable under subsection (1), (3) or (3.2) by a registrant must be paid on or before the prescribed date and in the prescribed manner.

Tax if accommodation used for new purpose

123.3   (1) If a person

(a) purchased accommodation in British Columbia that was exempt from tax under this Act because the accommodation was to be used for a particular purpose, and

(b) subsequently uses that accommodation, or allows that accommodation to be used, for a purpose other than

(i) the particular purpose, or

(ii) another purpose for which that accommodation would be exempt from tax under this Act if that accommodation were to be used for that purpose,

the person must pay to the government tax at the rate of 8% of the purchase price of the accommodation.

(2) Subsection (3) applies to a person in respect of accommodation if

(a) the person purchased accommodation in British Columbia that was exempt from tax under this Act because the accommodation was to be used for a particular purpose,

(b) the person subsequently uses that accommodation, or allows that accommodation to be used, for a purpose other than

(i) the particular purpose, or

(ii) another purpose for which that accommodation would be exempt from tax under this Act if that accommodation were to be used for that purpose, and

(c) at the time the person uses that accommodation, or allows that accommodation to be used, as referred to in paragraph (b) of this subsection, the accommodation is in a designated accommodation area.

(3) A person to whom this subsection applies must pay to the designated recipient, by paying to the government as agent of the designated recipient, tax on the purchase price of the accommodation at the rate prescribed for the purposes of section 123 (1) for accommodation purchased in the designated accommodation area.

(3.1) Subsection (3.2) applies to a person in respect of accommodation if

(a) subsection (3) applies to the person in respect of the accommodation, and

(b) at the time the person uses that accommodation, or allows that accommodation to be used, as referred to in subsection (2) (b), the accommodation is in a designated major event accommodation area.

(3.2) A person to whom this subsection applies must pay to the designated recipient, by paying to the government as agent of the designated recipient, tax on the purchase price of the accommodation at the rate prescribed for the purposes of section 123.02 (1) for accommodation purchased in the designated major event accommodation area.

(4) Tax payable under subsection (1), (3) or (3.2) must be paid on or before the last day of the month after the month in which the person first uses the accommodation, or allows the accommodation to be used, as referred to in subsection (1) (b) or (2) (b).

(5) Despite subsection (4), tax payable under subsection (1), (3) or (3.2) by a registrant must be paid on or before the prescribed date and in the prescribed manner.

Refund in relation to new designated accommodation area

124   (1) If the director is satisfied that

(a) a purchaser purchased accommodation in an area that is or has become a designated accommodation area,

(b) in relation to the purchase, the purchaser

(i) received a written confirmation of reservation,

(ii) entered into a written contract, or

(iii) made a deposit of money,

(c) the purchase is for a specified number of days of accommodation that are set out in the confirmation or contract or covered by the deposit, and

(d) the confirmation, contract or deposit was received, entered into or made before the area became a designated accommodation area,

the director must refund to the purchaser, in accordance with subsection (2), the tax paid under section 123.

(2) The amount of the refund under subsection (1) is equal to the amount of tax paid under section 123 on the purchase price of the accommodation for each of the specified number of days.

Refund in relation to increase in tax rate

124.01   (1) If the director is satisfied that

(a) a purchaser purchased accommodation in a designated accommodation area,

(b) in relation to the purchase, the purchaser

(i) received a written confirmation of reservation,

(ii) entered into a written contract, or

(iii) made a deposit of money,

(c) the purchase is for a specified number of days of accommodation that are set out in the confirmation or contract or covered by the deposit, and

(d) an increase in the prescribed rate of tax that applies to accommodation purchased in the designated accommodation area took effect after the confirmation, contract or deposit was received, entered into or made,

the director must refund to the purchaser, in accordance with subsection (2), the tax paid under section 123.

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

(a) the amount of tax paid under section 123 on the purchase price of the accommodation for each of the specified number of days, and

(b) the amount of tax that would have been payable under section 123 on the purchase price of the accommodation for each of the specified number of days had the rate of tax not been increased.

Refund in relation to designated major event accommodation area

124.02   (1) Sections 124 and 124.01 apply in relation to accommodation purchased in an area that is or has become a designated major event accommodation area.

(2) For the purposes of subsection (1), in sections 124 and 124.01,

(a) a reference to "designated accommodation area" is to be read as a reference to "designated major event accommodation area", and

(b) a reference to "section 123" is to be read as a reference to "section 123.02".

Payment into consolidated revenue fund

124.1   Despite the Financial Administration Act, any tax paid under section 123 (1), 123.02 (1), 123.2 (3) or (3.2) or 123.3 (3) or (3.2) and received by the government must be paid into the consolidated revenue fund.

Payment to designated recipient

125   (1) The director must pay from the consolidated revenue fund to a designated recipient amounts equal to the total of the following, less any amounts deducted under subsections (3) and (4):

(a) if the designated recipient has been designated in relation to a designated accommodation area,

(i) all amounts of tax imposed under sections 123, 123.2 (3) and 123.3 (3) in respect of accommodation in the designated accommodation area that are remitted or paid to the government, and

(ii) all amounts of penalties imposed under section 203 that

(A) are in relation to tax under section 123 in respect of accommodation in the designated accommodation area that is not levied as required under this Act, and

(B) are paid to the government;

(b) if the designated recipient has been designated in relation to a designated major event accommodation area,

(i) all amounts of tax imposed under sections 123.02, 123.2 (3.2) and 123.3 (3.2) in respect of accommodation in the designated major event accommodation area that are remitted or paid to the government, and

(ii) all amounts of penalties imposed under section 203 that

(A) are in relation to tax under section 123.02 in respect of accommodation in the designated major event accommodation area that is not levied as required under this Act, and

(B) are paid to the government.

(2) In relation to any money paid under subsection (1) to a designated recipient, the designated recipient

(a) must not spend the money for a purpose other than a prescribed purpose, subject to subsection (9), and

(b) must account to the minister for its expenditure at the time and in the manner specified by the minister.

(3) The director may deduct from a payment under subsection (1) to a designated recipient a fee to recover the additional costs to the government of administering and enforcing the tax imposed under sections 123, 123.02, 123.2 (3) and (3.2) and 123.3 (3) and (3.2).

(4) The director may deduct from a payment under subsection (1) to a designated recipient an amount equal to an amount of tax under sections 123, 123.02, 123.2 (3) and (3.2) and 123.3 (3) and (3.2) that is paid or remitted to the government and is refunded by the director to a purchaser or collector.

(5) Section 27 (1) (a) [regulation of expenditure] of the Financial Administration Act does not apply to an appropriation under subsection (1) or (11) of this section.

(6) A designated recipient must not voluntarily dissolve, or liquidate and dissolve, under the Societies Act without first notifying the director regarding the pending dissolution or liquidation.

(7) A person who applies for court-ordered liquidation and dissolution under section 130 of the Societies Act must notify the director of the application.

(8) Despite subsection (1), the director may withhold a payment under that subsection to a designated recipient if any of the following applies:

(a) the designated recipient has been liquidated or has been dissolved and not restored;

(b) the designated recipient is a society that has not filed an annual report with the registrar as required under section 73 of the Societies Act;

(c) the director has received notice, or otherwise has reason to believe, that the designated recipient may be dissolved or liquidated.

(9) Despite section 124 (2) of the Societies Act, a designated recipient may, before the designated recipient dissolves or is liquidated, transfer to the government any unspent money paid to the designated recipient under subsection (1) of this section.

(10) Despite the Financial Administration Act, any money transferred to the government under subsection (9) must be paid into the consolidated revenue fund.

(11) If

(a) a designated recipient is liquidated or is dissolved and not restored, and

(b) within 2 years after the date of the dissolution or liquidation, a new municipality, regional district or eligible entity is designated as the designated recipient in relation to the designated accommodation area or designated major event accommodation area,

the director must pay to the new designated recipient any payments withheld under subsection (8) and any money transferred to the government by the previous designated recipient under subsection (9).

(12) If a new municipality, regional district or eligible entity has not been designated as the designated recipient in relation to the designated accommodation area or designated major event accommodation area within 2 years of the date of dissolution or liquidation of the previous designated recipient, then any payments withheld by the director under subsection (8) and any money transferred to the government by the previous designated recipient under subsection (9) vest in the government.

(13) A payment withheld under subsection (8) or money transferred to the government under subsection (9) is not the money or property of the designated recipient from which it is withheld or from which it is transferred.

Tax if legal services provided in British Columbia

126   (1) If the purchaser or recipient of legal services provided in British Columbia resides, ordinarily resides or carries on business in British Columbia, the purchaser must pay to the government tax on the provision of the legal services at the rate of 7% of the purchase price of the legal services.

(2) If neither the purchaser nor the recipient of legal services provided in British Columbia resides, ordinarily resides or carries on business in British Columbia, the purchaser must pay to the government tax on the provision of the legal services at the rate of 7% of the purchase price of the legal services if the legal services are in relation to one or more of the following:

(a) real property situated in British Columbia;

(b) tangible personal property, within the meaning of paragraph (a) of the definition of "tangible personal property", that is, or that is contemplated to be,

(i) ordinarily situated in British Columbia, or

(ii) delivered in British Columbia;

(c) property, other than that referred to in paragraphs (a) and (b), that is, or is contemplated to be, owned, possessed or used in British Columbia;

(d) a right to use property referred to in paragraph (c) that is, or is contemplated to be, used in British Columbia;

(e) a court or any other proceeding in British Columbia or a possible such proceeding;

(f) the incorporation or contemplated incorporation of a corporation under the Business Corporations Act or the Societies Act, or the registration or contemplated registration of a corporation

(i) as an extraprovincial company under the Business Corporations Act, or

(ii) under Division 2 of Part 11 of the Societies Act;

(g) any other matter that relates to British Columbia and is prescribed for the purposes of this section.

Tax if legal services provided to British Columbia resident

127   (1) A person who

(a) resides, ordinarily resides or carries on business in British Columbia, and

(b) is the purchaser of legal services provided outside British Columbia that relate to British Columbia

must pay to the government tax in respect of the legal services at the rate of 7% of the purchase price of the legal services.

(2) For the purposes of subsection (1), legal services relate to British Columbia if they relate to any of the following:

(a) a matter referred to in section 126 (2) (a) to (g);

(b) a matter that involves the interpretation or application of an enactment as defined in the Interpretation Act or a former or proposed such enactment;

(c) a matter that involves the interpretation or application of an enactment, or a former or proposed enactment, of a jurisdiction other than British Columbia, if the matter is in relation to

(i) a physical or legal presence in British Columbia or a contemplated such presence,

(ii) an activity in British Columbia or a contemplated such activity, or

(iii) a transaction in British Columbia or a contemplated such transaction;

(d) a matter that involves the analysis or application of any law other than that referred to in paragraphs (b) and (c), if the matter is in relation to

(i) a physical or legal presence in British Columbia or a contemplated such presence,

(ii) an activity in British Columbia or a contemplated such activity, or

(iii) a transaction in British Columbia or a contemplated such transaction;

(e) a contract or covenant, or a contemplated contract or covenant, that is in relation to

(i) a physical or legal presence in British Columbia or a contemplated such presence,

(ii) an activity in British Columbia or a contemplated such activity, or

(iii) a transaction in British Columbia or a contemplated such transaction.

(3) A person referred to in subsection (1) is exempt from tax under that subsection in relation to that portion of the purchase price which is for legal services that relate to a jurisdiction other than British Columbia if

(a) the person resides, ordinarily resides or carries on business outside British Columbia as well as in British Columbia, and

(b) part of the legal services referred to in subsection (1) relates to a jurisdiction other than British Columbia in the same manner as legal services relate to British Columbia within the meaning of subsection (2).

(4) For the purposes of subsection (3), the person referred to in that subsection must

(a) make a reasonable estimate, subject to the regulations, of that portion of the purchase price that relates to legal services referred to in subsection (3) (b),

(b) make and retain a record of the estimate and the basis on which it is made, and

(c) if a collector is required by this Act to collect the tax payable, provide a copy of the record to the collector.

Exemption in relation to legal aid

128   Legal services provided to an individual are exempt from tax under this Division

(a) to the extent that the purchase price for the services is paid by the Legal Services Society, or by a funded agency within the meaning of the Legal Services Society Act, for the purposes of section 9 of that Act, and

(b) to the extent that the purchase price for the services is paid by the individual, if the purchase price of the services is paid partly by that individual and partly by the Legal Services Society, or by a funded agency within the meaning of the Legal Services Society Act, for the purposes of section 9 of that Act.

Deemed references if person providing legal services is partner or employee

129   If the person providing legal services does so as a partner in a partnership or as an employee of an individual, partnership or corporation, a reference in this Act to that person is deemed to be a reference to the individual, partnership or corporation.

Tax on telecommunication service

130   (1) A purchaser of a telecommunication service must pay to the government tax on the provision of the telecommunication service at the rate of 7% of the purchase price of that telecommunication service.

(1.1) Subsection (1) of this section does not apply to a purchaser of a telecommunication service if the purchaser must pay tax under section 130.1 in relation to the telecommunication service.

(2) Subject to section 132, subsection (1) of this section does not apply to a purchaser of a dedicated telecommunication service if the purchaser must pay tax under section 131 in relation to the dedicated telecommunication service.

(2.1) If a collector sells a telecommunication service to a person who alleges that the person must pay tax under section 130.1 in relation to the telecommunication service, the person must nevertheless pay tax under subsection (1) of this section and the collector must nevertheless levy and collect the tax under subsection (1) unless the collector obtains from that person, at the time the tax is payable,

(a) that person's registration number or, if that person does not have a registration number, a declaration in a form acceptable to the director from that person, and

(b) any information or document required by the director.

(3) If a collector sells a telecommunication service to a person who alleges that the person is exempt under section 134 or 134.2 or under prescribed provisions of the regulations from paying the tax under subsection (1) of this section, the person must nevertheless pay tax under subsection (1) and the collector must nevertheless levy and collect the tax under subsection (1) unless the collector obtains from that person, at or before the time the tax is payable,

(a) a declaration in a form acceptable to the director, if required by the regulations,

(b) any information or document required by the regulations, and

(c) any information or document required by the director.

Tax on telecommunication service purchased substantially for resale

130.1   (1) A purchaser whose primary business is selling or providing telecommunication services and who purchases a telecommunication service for the purpose of selling or providing to other persons more than 90% of the telecommunication service must pay to the government tax at the rate of 7% of the amount equal to the portion of the purchase price of the telecommunication service that is attributable to the portion of the telecommunication service that is purchased other than for the purpose of selling or providing to other persons that telecommunication service.

(2) Tax payable under subsection (1) must be paid on or before the last day of the month after the month in which the telecommunication service is purchased.

(3) Despite subsection (2), tax payable under subsection (1) by a registrant must be paid on or before the prescribed date and in the prescribed manner.

Additional tax on telecommunication service purchased substantially for resale

130.2   (1) This section applies to a purchaser of a telecommunication service if

(a) the purchaser must pay tax under section 130.1 in relation to the telecommunication service, and

(b) at the end of a month, the portion of the telecommunication service that is stored, kept or retained by the purchaser for the purpose of selling or providing to other persons that telecommunication service or that has been sold or provided to other persons by the purchaser is more than 90% of that telecommunication service but less than the portion of that telecommunication service, used in calculating the tax payable under section 130.1 (1), that was purchased for the purpose of selling or providing to other persons that telecommunication service.

(2) A purchaser to whom this section applies must pay to the government tax at the rate of 7% of the amount equal to the purchase price of the telecommunication service less the portion of the purchase price of the telecommunication service that is attributable to the portion of the telecommunication service that is stored, kept or retained by the purchaser for the purpose of selling or providing to other persons that telecommunication service or that has been sold or provided to other persons by the purchaser.

(3) The amount of tax payable under subsection (2) by a purchaser in relation to the telecommunication service is reduced by the amount of tax previously paid under that subsection and section 130.1 by the purchaser in relation to that telecommunication service.

(4) Tax payable under subsection (2) must be paid on or before the last day of the month after the month referred to in subsection (1) (b) in relation to the purchaser of the telecommunication service.

(5) Despite subsection (4), tax payable under subsection (2) by a registrant must be paid on or before the prescribed date and in the prescribed manner.

Tax on telecommunication service if no longer substantially for resale

130.3   (1) This section applies to a purchaser of a telecommunication service if

(a) the purchaser must pay tax under section 130.1 in relation to the telecommunication service, and

(b) at the end of a month, 90% or less of the telecommunication service is stored, kept or retained by the purchaser for the purpose of selling or providing to other persons that telecommunication service or has been sold to other persons by the purchaser.

(2) A purchaser to whom this section applies must pay to the government tax at the rate of 7% of the purchase price of the telecommunication service.

(3) The amount of tax payable under subsection (2) by a purchaser in relation to the telecommunication service is reduced by the amount of tax paid under sections 130.1 and 130.2 by the purchaser in relation to that telecommunication service.

(4) Tax payable under subsection (2) must be paid on or before the last day of the month after the month referred to in subsection (1) (b) in relation to the purchaser of the telecommunication service.

(5) Despite subsection (4), tax payable under subsection (2) by a registrant must be paid on or before the prescribed date and in the prescribed manner.

Tax on dedicated telecommunication service

131   (1) A purchaser of a dedicated telecommunication service provided in British Columbia must pay to the government tax calculated in accordance with subsection (2).

(2) The tax payable under subsection (1) must be calculated in accordance with the following formula:

tax = 7% × purchase price ×		BC distance
		total distance

Calculation if telecommunication only partly through dedicated system

132   (1) This section applies if

(a) a person purchases a telecommunication service for the purposes of sending from British Columbia or receiving in British Columbia a telecommunication, and

(b) the telecommunication is effected in part through a dedicated telecommunication system and in part through a telecommunication system that is not a dedicated telecommunication system.

(2) The tax payable by the purchaser on the provision of the telecommunication service referred to in subsection (1) must be calculated as follows:

(a) the tax payable on the portion of the purchase price that is attributable to the dedicated telecommunication system must be calculated in accordance with section 131 (2);

(b) the tax payable on the portion of the purchase price that is attributable to a telecommunication system that is not a dedicated telecommunication system must be calculated in accordance with section 130.

(3) If the purchase price for a telecommunication service is only partly payable for a dedicated telecommunication service, for the purposes of subsection (2), the director may determine the portion of the purchase price that is attributable to the dedicated telecommunication system.

Tax if telecommunication service used for new purpose

132.1   (1) If a person

(a) purchased a telecommunication service that was exempt from tax under this Act because the telecommunication service was to be used for a particular purpose, and

(b) subsequently uses that telecommunication service, or allows that telecommunication service to be used, for a purpose other than

(i) the particular purpose, or

(ii) another purpose for which that telecommunication service would be exempt from tax under this Act if that telecommunication service were to be used for that purpose,

the person must pay to the government tax at the rate of 7% of the purchase price of that telecommunication service.

(2) Tax payable under subsection (1) must be paid on or before the last day of the month after the month in which the person first uses the telecommunication service, or allows the telecommunication service to be used, as referred to in subsection (1) (b).

(3) Despite subsection (2), tax payable under subsection (1) by a registrant must be paid on or before the prescribed date and in the prescribed manner.

Tax if motion picture exhibited

133   (1) A person

(a) who purchased exempt from tax under section 134.2 (2) (b) (ii) a telecommunication service in respect of a recording of a motion picture, and

(b) who exhibits the motion picture in a movie theatre or other public venue

must pay to the government tax in an amount equal to the amount of tax under this Act that would have otherwise been payable if the person had purchased the right or authority to exhibit the motion picture from a willing seller acting in good faith in an arm's length transaction in the open market.

(2) Tax payable under subsection (1) must be paid on or before the last day of the month after the month in which the motion picture is exhibited.

(3) Despite subsection (2), tax payable under subsection (1) by a registrant must be paid on or before the prescribed date and in the prescribed manner.

Exemption if telecommunication service purchased for resale

134   Subject to section 135, a purchaser who purchases a telecommunication service is exempt from tax imposed under this Division on that purchase if the purchase is made solely for the purpose of selling or providing to other persons that telecommunication service.

Exemption for activities outside British Columbia in relation to telecommunication

134.1   The sending or receiving of a telecommunication by means of an electronic device that is ordinarily situated in British Columbia is exempt from tax imposed under this Division if

(a) the telecommunication originates outside British Columbia and is received outside British Columbia, and

(b) any charges in respect of the telecommunication are segregated on the invoice provided to the purchaser of the telecommunication service.

Exemption in relation to copying content of telecommunication service or broadcasting

134.2   (1) In this section, "content", in relation to a telecommunication service, means a telecommunication referred to in paragraph (d) (i) to (v) of the definition of "telecommunication service".

(2) Subject to section 135, a telecommunication service described in paragraph (d) of the definition of "telecommunication service" is exempt from tax imposed under this Division if the telecommunication service is purchased for the purpose of

(a) public broadcast by a licensed radio or television broadcaster,

(b) making copies of the content of the telecommunication service for

(i) public broadcast by a licensed radio or television broadcaster,

(ii) public exhibition in a movie theatre or other public venue, or

(iii) sale or lease,

(c) copying or incorporating the content of the telecommunication service into another telecommunication service for

(i) public broadcast by a licensed radio or television broadcaster,

(ii) public exhibition in a movie theatre or other public venue, or

(iii) sale or lease, or

(d) copying or incorporating the content of the telecommunication service into tangible personal property or software for sale or lease.

Tax if online marketplace service provided in British Columbia

134.3   (1) A purchaser of an online marketplace service provided or to be provided

(a) to tangible personal property or in respect of storage of tangible personal property, if the tangible personal property is in British Columbia at the time the service is provided or to be provided,

(b) in respect of accommodation in British Columbia, or

(c) to a person in British Columbia, other than a person described in subsection (2), which service is not an online marketplace service provided or to be provided

(i) to tangible personal property,

(ii) in respect of storage of tangible personal property, or

(iii) in respect of accommodation

must pay to the government tax at the rate of 7% of the purchase price of the online marketplace service.

(2) Subsection (1) (c) does not apply to a purchaser of an online marketplace service where the online marketplace service is provided or to be provided to a person who wholly uses the online marketplace service outside British Columbia.

(3) The amount of tax payable under subsection (1) in relation to an online marketplace service is reduced by the amount of tax otherwise payable or previously paid under this Act in relation to the online marketplace service and for which the person has not obtained and is not entitled to obtain a refund or credit under this Act.

(4) If a collector sells an online marketplace service to a person who alleges that the person is exempt under section 134.4 or under prescribed provisions of the regulations from paying the tax under subsection (1) of this section, the person must nevertheless pay tax under subsection (1) and the collector must nevertheless levy and collect the tax under subsection (1) unless the collector obtains from that person, at or before the time the tax is payable,

(a) a declaration in a form acceptable to the director, if required by the regulations,

(b) any information or document required by the regulations, and

(c) any information or document required by the director.

Exemption if online marketplace service purchased for resale

134.4   Subject to section 135, a purchaser who purchases an online marketplace service is exempt from tax imposed under this Division on that purchase if the purchase is made solely for the purpose of selling or providing to other persons that online marketplace service.

Tax if online marketplace service used for new purpose

134.5   (1) If a person

(a) purchased an online marketplace service that was exempt from tax under this Act because the online marketplace service was to be used for a particular purpose, and

(b) subsequently uses that online marketplace service, or allows that online marketplace service to be used, for a purpose other than

(i) the particular purpose, or

(ii) another purpose for which that online marketplace service would be exempt from tax under this Act if that online marketplace service were to be used for that purpose,

the person must pay to the government tax at the rate of 7% of the purchase price of that online marketplace service.

(2) Tax payable under subsection (1) must be paid on or before the last day of the month after the month in which the person first uses the online marketplace service, or allows the online marketplace service to be used, for a purpose described in subsection (1) (b).

(3) Despite subsection (2), tax payable under subsection (1) by a registrant must be paid on or before the prescribed date and in the prescribed manner.

Exemptions not applicable to small seller

135   The exemptions set out in sections 121 (2) [exemption if related service purchased for resale], 134 [exemption if telecommunication service purchased for resale], 134.2 [exemption in relation to copying content of telecommunication service or broadcasting] and 134.4 [exemption if online marketplace service purchased for resale] and under prescribed provisions of the regulations do not apply in relation to a small seller who purchases a taxable service.

Exemption in relation to taxable service purchased from small seller

136   If a purchaser purchases a taxable service, other than accommodation, from a small seller, the person is exempt from tax imposed under Divisions 1, 2, 4 and 5 on that purchase.