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Gasoline Tax Act

R.S.O. 1990, CHAPTER G.5

Consolidation Period:  From September 1, 2014 to the e-Laws currency date.

Last amendment: 2014, c. 7, Sched. 11.

CONTENTS

1.

Definitions

1.1

Exemptions under other Acts

2.

Tax

2.1

Manufacturer: registration certificate

3.

Collector

3.1

Collection of tax by collector

3.2

Remittance of tax

3.3

Collection of tax by retailer

3.4

Payment to wholesaler

3.5

Remittance of tax by wholesaler

3.6

Offence, failure to collect tax

3.7

Eligibility as member of Legislative Assembly

3.8

Assignment of book debts

4.

Security, importer

4.1

Registered importer

4.2

Export of gasoline, aviation fuel or propane

4.3

Conditions and limitations

4.4

Collection of tax by registered importer

4.5

Notice of change, importer or exporter

4.6

Certificate to be carried

4.7

Security by interjurisdictional transporter

4.8

Export of fuel

4.10

Offence, exporter

4.11

Offence, purchase from unregistered importer

4.12

Interjurisdictional carrier

4.13

Offence, interjurisdictional carrier

5.

Interjurisdictional transporter

6.

Demand for information, security

7.

Refusal to designate or register

8.

Returns

9.

Transmittal of tax

10.

Disallowance of refund

10.1

Offence, failure to pay or remit

10.2

Examination of motor vehicle

10.3

Authority to stop and detain qualified motor vehicle

11.

Assessment

12.

Interest

13.

Objection to assessment or disallowance of refund

13.1

Assessment, non-arm’s length transfers

14.

Appeal

14.1

Application under subrule 14.05 (2), Rules of Civil Procedure

15.

Records to be kept

16.

Audit and inspection

17.

Fuel in bulk

18.

Trust for moneys collected

19.

Recovery of tax

19.0.1

Recovery of costs

19.1

Lien on real property

20.

Garnishment

21.

Certificate as to tax owing

23.

Offence, false statements

24.

General penalty

25.

Officers, etc., of corporations

25.1

Directors

28.

Overpayments

28.1

Refund by collector, sale on reserve

28.2

Adjustments for temperature

29.

Misrepresentation in application for refund

30.

Relief from interest

31.

Communication of information

31.1

Disclosure of names and addresses

32.

Interjurisdictional settlement of competing tax claims

32.1

Agreement with the Federal Government

33.

Regulations

33.1

Forms

34.

Interjurisdictional agreements

 

Definitions

1. (1) In this Act,

“adjusted temperature method” means the method of measuring the dispensed volume of gasoline, aviation fuel or propane by adjusting the volume to the volume at a reference temperature of 15 degrees Celsius, by means of a dispensing pump or other metering assembly that is equipped to effect the adjustment in accordance with the specifications established under the Weights and Measures Act (Canada); (“méthode de correction en fonction de la température”)

“assessment” includes a reassessment; (“cotisation”)

“aviation fuel” means any gas or liquid that is sold to be used or is used to create power in an aircraft and any product that is designated to be aviation fuel by the regulations; (“carburant aviation”)

“aviation fuel in bulk” means aviation fuel stored, transported or transferred by any means other than in a fuel tank of an aircraft or a motor vehicle in which aviation fuel for generating power in an aircraft or the motor vehicle is kept; (“carburant aviation en vrac”)

“collector” means a person designated as a collector by the Minister under section 3; (“percepteur”)

“debtor” means a person to whom a collector, registered importer, wholesaler or retailer has sold gasoline, aviation fuel or propane; (“débiteur”)

“delivery” includes the physical transfer in Ontario of gasoline, aviation fuel or propane into the fuel tank of a motor vehicle or aircraft; (“livraison”)

“driver” means the person having care and control of a motor vehicle whether that motor vehicle is in motion or not; (“conducteur”)

“exporter” means a person who takes or causes to be taken out of Ontario gasoline in bulk, aviation fuel in bulk or propane in bulk and may be accountable for the tax on the gasoline, aviation fuel or propane to the jurisdiction receiving the gasoline, aviation fuel or propane; (“exportateur”)

“fuel tank” means the receptacle that supplies the engine or turbine in a motor vehicle or aircraft; (“réservoir à carburant“)

“gasoline” means any gas or liquid, other than methanol and natural gas, that may be used for the purpose of generating power by means of internal combustion and includes,

(a) aviation fuel, but only when it is used or intended to be used to generate power by means of internal combustion in a vehicle other than an aircraft,

(b) any of the products commonly known as diesel fuel, fuel oil, coal oil or kerosene, but only when the product is mixed or combined with a gas or liquid that is gasoline, 

(c) every product that is otherwise excluded from this Act by the regulations, but only when the product is mixed or combined with a gas or liquid that is gasoline,

(d) ethanol that is or is intended to be mixed or combined with a gas or liquid that is gasoline but only if there is a requirement under Ontario Regulation 535/05 (Ethanol in Gasoline) made under the Environmental Protection Act or another statutory requirement that ethanol be mixed or combined with a gas or liquid that is gasoline, and

(e) any other substance except methanol and natural gas that is mixed or combined with a gas or liquid that is gasoline; (“essence”)

“gasoline in bulk” means gasoline stored, transported or transferred by any means other than in a fuel tank of a motor vehicle in which gasoline for generating power in the motor vehicle is kept; (“essence en vrac”)

“gross vehicle weight” means,

(a) the combined weight of the motor vehicle and load, or

(b) where the motor vehicle is drawing a trailer or trailers, the combined weight of the motor vehicle, trailer or trailers and load; (“poids brut du véhicule”)

“importer” means a person who brings or causes to be brought into Ontario gasoline in bulk, aviation fuel in bulk or propane in bulk; (“importateur”)

“interjurisdictional carrier” means a person who operates one or more qualified motor vehicles inside and outside Ontario to which number plates are attached as required by the Highway Traffic Act; (“transporteur interterritorial”)

“interjurisdictional transporter” means the registered owner of a motor vehicle, the operator or shipping agent of record of a vessel, the operator of railway equipment on rails or the owner or operator of a pipeline facility who engages in the transportation or transfer of gasoline in bulk, aviation fuel in bulk or propane in bulk and who operates for the purposes,

(a) one or more motor vehicles inside and outside Ontario to which number plates are attached as required by the Highway Traffic Act,

(b) one or more vessels under the Canada Shipping Act,

(c) railway equipment on rails in connection with and as part of a public transportation system inside and outside Ontario, or

(d) a pipeline facility inside and outside Ontario; (“agent interterritorial”)

“leaded gasoline” means gasoline that is not unleaded gasoline and includes premium leaded gasoline that conforms to Type 1, or regular leaded gasoline that conforms to Type 2, as described in Gasoline Automotive Standard CAN/CGSB-3.1-M87 of the National Standards of Canada as published by the Canadian General Standards Board or that conforms to such other gasoline automotive standard for premium leaded gasoline or regular leaded gasoline as is published in replacement thereof by the Canadian General Standards Board; (“essence au plomb”)

“manufacturer” means a person who manufactures, blends, modifies or produces gasoline, propane or aviation fuel for distribution, sale or storage in Ontario; (“fabricant”)

“Minister” means the Minister of Finance; (“ministre”)

“motor vehicle” means a machine operated, propelled or driven otherwise than by muscular power; (“véhicule automobile”)

“operator” means, when used with reference to a motor vehicle other than a motor vehicle designed for use as a vessel, an aircraft or railway equipment operated on rails,

(a) the registered owner, if the motor vehicle is not leased to another person or, if leased, is leased to another person for not more than 30 consecutive days,

(b) the lessee, if the motor vehicle is leased for more than 30 consecutive days, unless the lessee has entered into a written agreement with the lessor in which the lessor agrees to account for the tax imposed by this Act on all gasoline used by the motor vehicle during the term of the lease, or

(c) the lessor, if the lessor has entered into a written agreement in which the lessor agrees to account for and remit to the Minister the tax imposed by this Act on gasoline used by the motor vehicle during the term of the lease; (“utilisateur”)

“prescribed” means prescribed by the regulations made under this Act; (“prescrit”)

“propane” means any product commonly known as liquefied petroleum gas that conforms to Grade 1 or Grade 2, as described in the Standard CAN/CGSB-3.14-M88 of the National Standards of Canada as published by the Canadian General Standards Board or that conforms to such other liquefied petroleum gas standard as is published in replacement thereof by the Canadian General Standards Board and includes any substance added thereto; (“propane”)

“propane in bulk” means propane stored, transported or transferred by any means other than in a fuel tank of a motor vehicle in which propane for generating power in the motor vehicle is kept; (“propane en vrac”)

“purchaser” means a person who, within Ontario, purchases or receives delivery of gasoline, aviation fuel or propane for the person’s own use or consumption or for use or consumption by others at the person’s expense, or on behalf of or as agent for a principal who is acquiring the gasoline, aviation fuel or propane for use or consumption by the principal or by others at the principal’s expense and includes an interjurisdictional carrier who acquires or receives gasoline or propane for his, her or its own use or consumption or for the use or consumption of others at his, her or its expense; (“acheteur”)

“qualified motor vehicle” means a motor vehicle, other than a recreational vehicle, that is,

(a) operated by an interjurisdictional carrier,

(b) powered by gasoline, natural gas or propane,

(c) used, designed or maintained for the transportation of persons or property and,

(i) has two axles and a gross vehicle weight or registered gross vehicle weight exceeding 26,000 pounds or 11,797 kilograms,

(ii) has three or more axles regardless of weight, or

(iii) draws a trailer or trailers when the combined weight of the vehicle and the trailer or trailers exceeds 26,000 pounds or 11,797 kilograms gross vehicle weight or registered gross vehicle weight, and

(d) operated or expected to be operated both inside and outside Ontario during a registration year; (“véhicule automobile admissible”)

“recreational vehicle” means a motor vehicle, whether or not it draws a trailer or trailers, used as transportation without compensation and for personal or recreational purposes provided it is not used in connection with any business endeavour; (“véhicule de tourisme”)

“registered gross vehicle weight” means the weight for which a permit has been issued under the Highway Traffic Act; (“poids brut enregistré du véhicule”)

“registered importer” means an importer to whom a certificate of registration has been issued under this Act; (“importateur inscrit”)

“registered owner”, in relation to a motor vehicle or trailer, means the person to whom a numbered permit for the motor vehicle or trailer has been issued under the Highway Traffic Act or would have been issued but for a reciprocal agreement between Ontario and another jurisdiction; (“propriétaire inscrit”)

“regulations” means the regulations made under this Act; (“règlements”)

“retailer” means a person who sells gasoline, aviation fuel or propane for use by a purchaser and not for resale; (“détaillant”)

“tax” includes all penalties and interest assessed under this Act; (“taxe”)

“unadjusted temperature method” means a method of measuring the dispensed volume of gasoline, aviation fuel or propane that does not adjust the volume to the volume at a reference temperature of 15 degrees Celsius; (“méthode traditionnelle”)

“unleaded gasoline” means premium unleaded gasoline that conforms to Type 1, or regular unleaded gasoline that conforms to Type 2, as described in Gasoline Automotive Standard CAN/CGSB-3.5-M87 of the National Standards of Canada as published by the Canadian General Standards Board or such other gasoline automotive standard for premium unleaded gasoline or regular unleaded gasoline as is published in replacement thereof by the Canadian General Standards Board; (“essence sans plomb”)

“vessel” means a ship, boat, barge or watercraft that is designed to move in or through water, but does not include an aircraft capable of operating on water or a motor vehicle moving on ice; (“bâtiment”)

“wholesale”, in relation to the sale of gasoline, aviation fuel or propane, means for the purpose of resale; (“vente en gros”)

“wholesaler” means a person who sells gasoline, aviation fuel or propane for the purpose of resale. (“grossiste”)  R.S.O. 1990, c. G.5, s. 1; 1991, c. 13, s. 1; 1992, c. 9, s. 1 (1, 2); 1994, c. 18, s. 3 (1-4); 1996, c. 10, s. 4; 1998, c. 30, s. 39; 2001, c. 23, s. 106; 2002, c. 22, s. 85; 2006, c. 9, Sched. E, s. 1; 2006, c. 33, Sched. L, s. 1.

Interjurisdictional transporter

(2) If a registered owner as defined in subsection (1) has leased a motor vehicle for more than thirty consecutive days, the definition shall be read, in respect of the registered owner and the motor vehicle, by substituting “lessee” for “registered owner”.  1992, c. 9, s. 1 (3).

Exemptions under other Acts

1.1 No person otherwise subject to tax under this Act is exempt therefrom by reason of an exemption granted to the person, or to or in respect of the personal or real property of the person, by or under another Act, unless the other Act expressly mentions this Act.  2001, c. 23, s. 107.

Tax

Tax on gasoline

2. (1)Every purchaser of gasoline shall pay to the Minister a tax at the rate of,

(a) 13.0 cents per litre on all gasoline purchased by, or delivered to, the purchaser before the 1st day of January, 1992; and

(b) 14.7 cents per litre on all gasoline purchased by, delivered to or used by, the purchaser after the 31st day of December, 1991.  1992, c. 9, s. 2 (1); 1994, c. 18, s. 3 (5); 1996, c. 10, s. 5 (1).

Tax on aviation fuel

(2) Every purchaser of aviation fuel shall pay to the Minister a tax at the following rate:

1. 2.7 cents per litre on all aviation fuel purchased by, or delivered to, the purchaser after December 31, 1991 and before September 1, 2014.

2. 3.7 cents per litre on all aviation fuel purchased by, or delivered to, the purchaser after August 31, 2014 and before April 1, 2015.

3. 4.7 cents per litre on all aviation fuel purchased by, or delivered to, the purchaser after March 31, 2015 and before April 1, 2016.

4. 5.7 cents per litre on all aviation fuel purchased by, or delivered to, the purchaser after March 31, 2016 and before April 1, 2017.

5. 6.7 cents per litre on all aviation fuel purchased by, or delivered to, the purchaser after March 31, 2017. 2014, c. 7, Sched. 11, s. 1.

Additional tax on leaded gasoline

(3)In addition to the tax imposed by subsection (1), every purchaser of leaded gasoline shall pay to the Minister a tax at the rate of 3 cents per litre on all leaded gasoline purchased by, or delivered to, the purchaser.  R.S.O. 1990, c. G.5, s. 2 (3); 1994, c. 18, s. 3 (5).

Tax on propane

(4)Every purchaser of propane shall pay to the Minister, on all propane purchased by, delivered to or used by, the purchaser for use in a motor vehicle to which a number plate is attached as required under the Highway Traffic Act, a tax at the rate of 4.3 cents per litre.  R.S.O. 1990, c. G.5, s. 2 (4); 1994, c. 18, s. 3 (5, 8); 1996, c. 10, s. 5 (2).

Tax on transfer of aviation fuel into aircraft

(4.1)Every person shall pay to the Minister a tax at the rate specified in subsection (2) on all aviation fuel that is transferred by the person into the fuel tank of an aircraft in Ontario,

(a) for use or consumption by the person;

(b) for use or consumption by another person at the expense of the person who transferred the aviation fuel; or

(c) on behalf of or as agent for a principal who is acquiring the aviation fuel for use or consumption by the principal or by others at the principal’s expense.  1991, c. 13, s. 2; 1994, c. 18, s. 3 (5).

Application of subs. (4.1)

(4.2)No tax is payable under subsection (4.1) if,

(a) the person who transfers the aviation fuel is a purchaser of the aviation fuel; or

(b) the tax under subsection (2) has been paid by a purchaser of the aviation fuel.  1991, c. 13, s. 2.

Tax on interjurisdictional carriers

(4.3)Every interjurisdictional carrier who acquires natural gas anywhere shall pay a tax at the rate of 0 cents per litre on all natural gas used by the interjurisdictional carrier in Ontario to generate power in a qualified motor vehicle.  1996, c. 10, s. 5 (3).

Measuring volume and calculating tax

(4.4)The tax imposed by this Act shall be computed in accordance with the following rules:

1. If the volume of gasoline, aviation fuel or propane is measured by the adjusted temperature method for the purpose of determining price, the volume of the gasoline, aviation fuel or propane shall be measured using that method for the purpose of computing amounts in respect of the tax imposed by this Act.

2. If the volume of gasoline, aviation fuel or propane is measured by the unadjusted temperature method for the purpose of determining price, the volume of the gasoline, aviation fuel or propane shall be measured using that method for the purpose of computing amounts in respect of the tax imposed by this Act.

3. A person who is a collector or wholesaler shall use the same method of measuring the volume of gasoline, aviation fuel or propane on all sales to the same person during the same year. 1998, c. 30, s. 40.

Exception

(4.5)Despite subsection (4.4), a collector or wholesaler may change to the other method of measuring the volume of gasoline, aviation fuel or propane on sales to a particular person,

(a) if a change in method is made only once; and

(b) if the determination of the amount of tax in respect of sales after the change in method is based on volumes measured by the new method.  1998, c. 30, s. 40.

Tax to be paid at time of sale

(5)A purchaser, other than an importer, shall pay the tax imposed by this Act at the time of the purchase or delivery, as the case may be.  R.S.O. 1990, c. G.5, s. 2 (5).

Tax payable by interjurisdictional carrier

(5.01)An interjurisdictional carrier shall pay the tax required under this Act to the Minister at the time and in the manner prescribed by the Minister.  1996, c. 10, s. 5 (3).

Tax to be paid at prescribed time

(5.1)Except where aviation fuel is imported into Canada and section 4 applies, a person liable to pay tax under subsection (4.1) shall deliver to the Minister or to a person authorized by the Minister a return with respect to the aviation fuel referred to in subsection (4.1) and shall remit the tax at the time and in the manner prescribed by the Minister. 1991, c. 13, s. 2.

Idem

(5.2)A purchaser who does not purchase or receive delivery from a retailer but who is a purchaser by reason of receiving delivery within Ontario of gasoline, aviation fuel or propane in circumstances where section 4 does not apply and who is liable to pay tax under this Act shall deliver to the Minister or person authorized by the Minister a return with respect to the gasoline, aviation fuel or propane and shall remit the tax payable under this Act at the time and in the manner prescribed by the Minister.  1991, c. 13, s. 2.

Amounts in lieu of tax

(6)Where any person selling gasoline, aviation fuel or propane receives any payment made as or in lieu of the tax payable under this Act, such payment shall be dealt with and accounted for as tax under this Act, and any person who fails to deal with and account for such payment in accordance with this Act and the regulations is liable to the same penalties and fines, and is guilty of the same offences, as would apply if the payment were the tax payable under this Act, and the Minister may collect and receive such payment by the same remedies and procedures as are provided by this Act or the regulations for the collection and enforcement of the tax payable under this Act and, for the purposes of the assessment and collection of the payment, the person receiving the payment as or in lieu of the tax payable under this Act is deemed to be a collector.  R.S.O. 1990, c. G.5, s. 2 (6); 1992, c. 9, s. 2 (3).

Liability for tax

(7)Every person who is liable for the tax imposed by this Act remains liable for the tax until the person has paid it. 1992, c. 9, s. 2 (4).

Offence

(8)Every person who knowingly fails to pay the tax imposed by this section when required by this Act to do so is guilty of an offence and on conviction is liable to a fine of not less than $200 and not more than double the amount of the tax payable by the person. 1992, c. 9, s. 2 (4).

Idem

(9)Every person who fails to comply with subsection (5) is guilty of an offence and on conviction is liable to a fine of not less than $200 and not more than $50,000.  1992, c. 9, s. 2 (4).

Manufacturer: registration certificate

2.1 (1) Every manufacturer shall apply for and the Minister shall issue a registration certificate in such form and manner as the Minister requires.  2002, c. 22, s. 86.

Conditions and restrictions

(2) The Minister may, as a requirement for the issuance of a registration certificate, impose such reasonable conditions and restrictions as the Minister considers appropriate.  2002, c. 22, s. 86.

Change of business

(3) Every manufacturer shall forthwith notify the Minister of all changes in the name or nature of the manufacturer’s business or of the termination of the business.  2002, c. 22, s. 86.

Offence

(4) A person who operates as a manufacturer in Ontario without holding a registration certificate issued under this section is guilty of an offence and on conviction is liable to a fine of not less than $500 and not more than $10,000.  2002, c. 22, s. 86.

Same

(5) A manufacturer who contravenes a condition or restriction contained in the registration certificate issued to the manufacturer under this section is guilty of an offence and on conviction is liable to a fine of not less than $500 and not more than $10,000.  2002, c. 22, s. 86.

Same

(6) A manufacturer who fails to comply with subsection (3) is guilty of an offence and on conviction is liable to a fine of not less than $500 and not more than $10,000.  2002, c. 22, s. 86.

Penalty, failure to register

(7) Every person who operates as a manufacturer in Ontario without holding a registration certificate issued under this section shall pay to the Minister, when assessed therefor, a penalty equal to the tax that would be payable under this Act on the volume of gasoline, aviation fuel or propane that the person manufactured, blended, modified or produced during the period that the person did not hold a registration certificate, calculated as if that gasoline, aviation fuel or propane were purchased by, delivered to or used by a purchaser liable to pay tax under section 2.  2002, c. 22, s. 86.

Collector

3. (1)The Minister may designate in writing as a collector a person whose sales of gasoline, aviation fuel or propane at wholesale during the twelve-month period before the designation are not less than 51 per cent by volume of the person’s total sales of gasoline, aviation fuel or propane.

Conditions and limitations

(2)The Minister may attach such reasonable conditions and limitations to a designation as a collector as the Minister considers appropriate.

Termination of designation

(3)The Minister may terminate a person’s designation as a collector at the end of any twelve-month period during which the person’s sales of gasoline, aviation fuel or propane at wholesale are less than 51 per cent by volume of the person’s total sales of gasoline, aviation fuel or propane.

Idem

(4)The Minister may terminate a person’s designation as a collector if the person has not sold or delivered gasoline, aviation fuel or propane for resale in Ontario for a period of six consecutive months.

Notice of termination

(5)The termination of a designation under subsection (3) or (4) is effective fourteen days after the mailing by the Minister of notice of the termination.

Collector is agent

(6)Every collector is an agent of the Minister for the purpose of collecting and remitting the tax imposed by this Act.

Agreements

(7)For the purpose of ensuring and facilitating collection of the tax under this Act, the Minister may enter into such arrangements and agreements with a collector as the Minister considers appropriate.  1992, c. 9, s. 3.

Collection of tax by collector

3.1 (1)Every collector shall collect the tax imposed by this Act from every person to whom the collector sells gasoline, aviation fuel or propane.

Exception

(2)A collector shall not collect tax on the sale of gasoline, aviation fuel or propane to another collector who is not a purchaser in respect of the gasoline, aviation fuel or propane.  1992, c. 9, s. 3.

Remittance of tax

3.2 (1)Every collector shall remit to the Minister, at the prescribed times and in the prescribed manner, the tax collected by the collector.  1992, c. 9, s. 3; 1994, c. 18, s. 3 (6).

Idem

(2)Every collector shall remit to the Minister, at the prescribed times and in the prescribed manner, the tax imposed by this Act on gasoline, aviation fuel or propane in respect of which the collector is the purchaser.  1992, c. 9, s. 3; 1994, c. 18, s. 3 (6).

Collection of tax by retailer

3.3 (1)A retailer who sells or delivers gasoline, aviation fuel or propane to a purchaser shall collect from the purchaser the tax imposed by this Act.

Retailer is agent

(2)For the purposes of collecting the tax, the retailer is an agent of the Minister.  1992, c. 9, s. 3.

Payment to wholesaler

3.4 (1) Every retailer who purchases gasoline, aviation fuel or propane from a wholesaler shall pay to the wholesaler the tax imposed by this Act on the purchaser.  1992, c. 9, s. 3.

Collection by wholesaler

(2) Every wholesaler who sells gasoline, aviation fuel or propane to a retailer shall collect from the retailer the tax imposed by this Act on the purchaser.  1992, c. 9, s. 3; 2001, c. 23, s. 108.

Wholesaler is agent

(3) For the purposes of collecting the tax, the wholesaler is an agent of the Minister.  1992, c. 9, s. 3.

Exception

(4) Subsections (1) and (2) do not apply in respect of a retailer who is a collector or an importer.  1992, c. 9, s. 3.

Remittance of tax by wholesaler

3.5 (1)Every wholesaler who collects tax under section 3.4 shall pay the tax to the collector or importer from whom the wholesaler purchased the fuel.

Exception

(2)Subsection (1) does not apply to a wholesaler who is a collector or importer.  1992, c. 9, s. 3.

Offence, failure to collect tax

3.6 Every collector, importer, wholesaler or retailer who refuses or neglects to collect tax in accordance with this Act is guilty of an offence and on conviction is liable to a fine in an amount equal to three times the amount of tax that the collector, importer, wholesaler or retailer should have collected in accordance with this Act.  1992, c. 9, s. 3.

Eligibility as member of Legislative Assembly

3.7 No person is ineligible as a member of the Legislative Assembly of Ontario by reason only of being a collector under this Act.  1992, c. 9, s. 3.

Assignment of book debts

3.8 (1)An assignment of book debts by a collector or registered importer does not include the portion of the book debts that the collector or importer as agent of the Minister charged as tax to the person to whom the collector or registered importer sold gasoline, aviation fuel or propane.

Duty of assignee

(2)An assignee or other person who collects the book debts shall collect, remit and account under this Act and the regulations for the portion of the book debts mentioned in subsection (1).

Assignee deemed collector

(3)For the purposes of subsection (2), an assignee or other person who collects the book debts of the collector or registered importer shall be deemed to be a collector under this Act.

Interpretation

(4)For the purposes of this section, an assignment of book debts includes a specific or general assignment and any other disposition of the present or future right to collect book debts.  1992, c. 9, s. 3.

Security, importer

4. (1) Repealed:  1992, c. 9, s. 4 (1).

(2) Repealed:  1992, c. 9, s. 4 (1).

Security, importer

(3) At the time of entry into Ontario from outside Canada of aviation fuel, gasoline or propane, every importer who is not a registered importer shall remit to the Minister,

(a) an amount as security equal to the tax that the importer would be obliged to collect on the resale in Ontario of the aviation fuel, gasoline or propane; and

(b) an amount as a deposit equal to the tax that the importer subsequently would be liable to pay under section 2.  R.S.O. 1990, c. G.5, s. 4 (3); 1991, c. 13, s. 3; 1992, c. 9, s. 4 (2); 1994, c. 18, s. 3 (5); 1998, c. 30, s. 41.

Payment

(4) The remittance required by subsection (3) shall be made to a person authorized by the Minister and the authorized person shall forward it to the Minister in accordance with the requirements imposed by the Minister when giving the authorization.  2001, c. 23, s. 109.

Returns

(5) Every importer shall, at the times and in the manner prescribed, deliver to the Minister or to a person authorized by the Minister a return with respect to the aviation fuel, gasoline and propane imported by the importer.  R.S.O. 1990, c. G.5, s. 4 (5).

Registered importer

4.1 (1) No person shall bring or cause to be brought into Ontario gasoline in bulk, aviation fuel in bulk or propane in bulk unless the person is registered by the Minister as an importer.  1992, c. 9, s. 5.

Application of subs. (1)

(2) Subsection (1) does not apply to an importer who has remitted security in respect of the tax imposed by this Act (subsection 4 (3)) and filed a return (subsection 4 (5)) in respect of the gasoline, aviation fuel or propane imported.  1992, c. 9, s. 5.

Exemption

(3) A registered importer is exempt from the application of subsection 4 (3) (remittance of security) and subsection 4 (5) (delivery of return).  1992, c. 9, s. 5.

Application

(4) Subject to section 7, every person who imports gasoline in bulk, aviation fuel in bulk or propane in bulk is entitled to be registered as an importer and to be issued a certificate of registration upon application in the form approved by the Minister.  1992, c. 9, s. 5; 1997, c. 19, s. 8 (1).

Penalty, unregistered importer

(4.1) Every person who operates as an importer in Ontario without being registered under this section shall pay a penalty, when assessed for it, equal to 110 per cent of the tax that would be payable under section 2 had the gasoline that the person imported into Ontario during the period when the person was not registered been sold to a consumer liable to pay tax under this Act.  2006, c. 33, Sched. L, s. 2.

Offence, unregistered importer

(5) Every person who contravenes subsection (1) is guilty of an offence and on conviction is liable, in addition to any other penalty under this Act, to a fine of not less than $200 and not more than $10,000, plus an amount equal to three times the tax that would be payable under section 2 on the gasoline, aviation fuel or propane imported by the person were such gasoline, aviation fuel or propane sold to a purchaser in Ontario.  1992, c. 9, s. 5.

Offence, condition or limitation

(6) Every registered importer who contravenes a condition or limitation attached to the certificate of registration issued to the importer is guilty of an offence and on conviction is liable to a fine of not less than $200 and not more than $10,000.  1992, c. 9, s. 5.

Export of gasoline, aviation fuel or propane

4.2 (1) No person shall take or cause to be taken out of Ontario gasoline in bulk, aviation fuel in bulk or propane in bulk unless the person is registered by the Minister as an exporter.  1992, c. 9, s. 5.

Application

(2) Subject to section 7, every person who proposes to take or cause to be taken out of Ontario gasoline in bulk, aviation fuel in bulk or propane in bulk is entitled to be registered as an exporter and to be issued a certificate of registration upon application in the form approved by the Minister.  1992, c. 9, s. 5; 1997, c. 19, s. 8 (1).

Penalty, unregistered exporter

(3) Every person who operates as an exporter in Ontario without being registered under this section shall pay a penalty, when assessed for it, equal to the amount of tax that would be payable under section 2 had the gasoline that the person exported out of Ontario during the period when the person was not registered been sold to a consumer liable to pay tax under this Act.  2006, c. 33, Sched. L, s. 3.

Offence, unregistered exporter

(4) Every person who contravenes subsection (1) is guilty of an offence and on conviction is liable to a fine of not less than $200 and not more than $10,000, plus an amount equal to three times the tax that would be payable under section 2 if the gasoline, aviation fuel or propane were sold to a purchaser in Ontario.  2006, c. 33, Sched. L, s. 3.

Conditions and limitations

4.3 (1)The Minister may attach such reasonable conditions and limitations to a registration as an importer or exporter as the Minister considers appropriate.

Application of subs. (1)

(2)Subsection (1) applies in respect of a proposed registration and in respect of an existing registration.  1992, c. 9, s. 5.

Collection of tax by registered importer

4.4 (1)Every registered importer shall collect the tax imposed by this Act from every person to whom the registered importer sells gasoline, aviation fuel or propane.  1992, c. 9, s. 5.

Remittance to Minister

(2)Every registered importer shall remit to the Minister, at the prescribed times and in the prescribed manner, the tax collectable by the registered importer under this Act.  1992, c. 9, s. 5; 1994, c. 18, s. 3 (6).

Payment to Minister

(3)Every registered importer shall pay to the Minister the tax imposed by this Act upon the registered importer as a purchaser.  1992, c. 9, s. 5; 1994, c. 18, s. 3 (6).

Exception

(4)Subsection (1) does not apply to require a registered importer to collect the tax from a collector in respect of gasoline, aviation fuel or propane if the collector is not a purchaser of the gasoline, aviation fuel or propane.

Registered importer is agent

(5)For the purposes of collecting the tax imposed by this Act, every registered importer is an agent of the Minister.

Importer deemed registered

(6)Every importer who complies with subsection 4 (3) shall be deemed to be a registered importer for the purpose of collecting the tax payable on the gasoline, aviation fuel or propane imported into Ontario from outside Canada.  1992, c. 9, s. 5.

Notice of change, importer or exporter

4.5 (1)Every person who is an importer or exporter shall notify the Minister in writing of,

(a) any change in the name of the importer or exporter;

(b) any change in the business address of the importer or exporter;

(c) any change in the nature of the business of the importer or exporter; or

(d) the termination of the business of the importer or exporter.

Transmittal

(2)The notice required by subsection (1) shall be transmitted to the Minister forthwith upon the happening of the change or termination.  1992, c. 9, s. 5.

Certificate to be carried

4.6 (1)Every driver of a motor vehicle operated by or on behalf of an interjurisdictional transporter who is an importer or exporter registered under this Act shall carry the original or a true copy of the certificate of registration issued to the importer or exporter and shall surrender the certificate or true copy upon demand by a person who is a member of a class prescribed for the purposes of this section.  1992, c. 9, s. 5; 2004, c. 31, Sched. 16, s. 1 (1).

Delivery of copy to interjurisdictional transporter

(2)An importer or exporter registered under this Act shall provide to each interjurisdictional transporter that the importer or exporter engages to transport gasoline, aviation fuel or propane a true copy of the certificate of registration issued under this Act to the importer or exporter.  1992, c. 9, s. 5; 2004, c. 31, Sched. 16, s. 1 (2).

Security by interjurisdictional transporter

4.7 (1)Every interjurisdictional transporter who transports gasoline, aviation fuel or propane into Ontario on behalf of an importer shall remit on behalf of the importer the security, tax and return required by subsections 4 (3) and (5), and, for the purposes of those subsections, the interjurisdictional transporter shall be deemed to be the importer.  1992, c. 9, s. 5.

Exception

(2)Subsection (1) does not apply if the importer is a registered importer and has delivered to the interjurisdictional transporter a true copy of the certificate of registration issued to the importer under this Act.  1992, c. 9, s. 5; 2004, c. 31, Sched. 16, s. 2.

Export of fuel

4.8 (1)Every exporter shall transmit to the Minister information in the form and manner required by the Minister in respect of gasoline, aviation fuel or propane that the exporter delivers or causes to be delivered to a person outside Ontario.  1997, c. 19, s. 8 (3); 1998, c. 30, s. 42 (1).

(2)Repealed:  1997, c. 19, s. 8 (3).

Evidence of export and delivery

(3)Every exporter who delivers or causes to be delivered gasoline, aviation fuel or propane to a person outside Ontario shall provide to the Minister evidence that the gasoline, aviation fuel or propane has been taken out of Ontario and of the delivery of the fuel outside Ontario.  1992, c. 9, s. 5.

Penalty

(4)Every exporter who fails to comply with subsection (1) or (3) shall pay to the Minister a penalty equal to the amount of tax that would be payable under this Act if the gasoline, aviation fuel or propane were purchased by or delivered to a purchaser in Ontario.  1992, c. 9, s. 5; 1994, c. 18, s. 3 (6); 1998, c. 30, s. 42 (2).

Payment of penalty

(5)The penalty under subsection (4) is payable when it is assessed.  1992, c. 9, s. 5.

4.9 Repealed:  2006, c. 33, Sched. L, s. 4.

Offence, exporter

4.10 Every exporter who contravenes a condition or limitation attached to the exporter’s registration by the Minister is guilty of an offence and on conviction is liable, in addition to any other penalty under this Act, to a fine of not less than $200 and not more than $10,000.  1992, c. 9, s. 5.

Offence, purchase from unregistered importer

4.11 Every person who knowingly purchases or receives gasoline, aviation fuel or propane from a person who is not a registered importer is guilty of an offence and on conviction is liable to a fine in an amount not less than the tax payable under this Act on the gasoline, aviation fuel or propane so purchased by the person.  1992, c. 9, s. 5.

Interjurisdictional carrier

4.12 (1)No person shall act as an interjurisdictional carrier unless the person is registered with the Minister.

Registration

(2)For the purposes of subsection (1), an interjurisdictional carrier shall apply, in the circumstances prescribed by the Minister, for,

(a) an annual registration certificate; or

(b) an Ontario trip registration certificate.  1996, c. 10, s. 6.

Application

(3)Subject to section 7, every person who proposes to act as an interjurisdictional carrier is entitled to be registered as such and to be issued a registration certificate or an Ontario trip registration certificate, as the case may be, upon application in the form provided by the Minister and payment of the fees established by the Minister.  1996, c. 10, s. 6; 1997, c. 19, s. 8 (4).

Registration decals

(4)Every interjurisdictional carrier who is registered by the Minister under clause (2) (a) is entitled to be issued registration decals upon application in the form provided by the Minister and payment of the fees established by the Minister.  1996, c. 10, s. 6; 1997, c. 19, s. 8 (4).

Conditions and limitations

(5)The Minister may attach such reasonable conditions and limitations to the registration of an interjurisdictional carrier as the Minister considers appropriate.  1996, c. 10, s. 6.

Offence, interjurisdictional carrier

4.13 (1)Every person who contravenes subsection 4.12 (1) or (2) is guilty of an offence and on conviction is liable to a fine of not less than $200 and not more than $2,000 plus a fine in an amount equal to the amount of the tax that should have been paid or remitted by the interjurisdictional carrier.

Same, condition or limitation

(2)Every interjurisdictional carrier who contravenes a condition or limitation attached to the registration of the interjurisdictional carrier under this Act is guilty of an offence and on conviction is liable to a fine of not less than $200 and not more than $2,000.

Same registration decal

(3)Every operator of a motor vehicle to which a valid registration decal is not affixed when so required under this Act is guilty of an offence and on conviction is liable to a fine of not less than $200 and not more than $1,000.  1996, c. 10, s. 6.

Interjurisdictional transporter

5. (1) No person shall act as an interjurisdictional transporter unless the person is registered by the Minister as an interjurisdictional transporter.  1992, c. 9, s. 6.

Application

(2) Subject to section 7, every person who acts or proposes to act as an interjurisdictional transporter is entitled to be registered as an interjurisdictional transporter and to be issued a certificate of registration upon application in the form approved by the Minister.  1992, c. 9, s. 6; 1997, c. 19, s. 8 (1).

Conditions and limitations

(3) The Minister may attach such reasonable conditions and limitations to a registration as an interjurisdictional transporter as the Minister considers appropriate.  1992, c. 9, s. 6.

Application of subs. (3)

(4) Subsection (3) applies in respect of a proposed registration and in respect of an existing registration.  1992, c. 9, s. 6.

Offence, failure to register

(4.1) Every interjurisdictional transporter transporting or transferring gasoline in bulk, aviation fuel in bulk or propane in bulk into or out of Ontario who is not registered as an interjurisdictional transporter under this Act is guilty of an offence and on conviction is liable to a fine of not less than $1,000 and not more than $10,000.  2002, c. 22, s. 87.

Penalty, failure to register

(4.2) Every interjurisdictional transporter transporting or transferring gasoline in bulk, aviation fuel in bulk or propane in bulk into or out of Ontario who is not registered as an interjurisdictional transporter under this Act shall pay to the Minister, when assessed therefor, a penalty equal to the sum of $500 and 5 per cent of the tax that would be payable under this Act on all such gasoline, aviation fuel or propane transported or transferred by the transporter into or out of Ontario during the period that the transporter was not registered, calculated as if that gasoline, aviation fuel or propane were purchased by, delivered to or used by a purchaser in Ontario.  2002, c. 22, s. 87.

Uniform manifest form

(5) Every interjurisdictional transporter shall complete a uniform manifest form in the form provided by the Minister in respect of each shipment of gasoline in bulk, aviation fuel in bulk or propane in bulk transported or transferred by the interjurisdictional transporter into or out of Ontario.  1992, c. 9, s. 6.

Transporter to obtain certificate

(6) Before undertaking to transport or transfer gasoline in bulk, aviation fuel in bulk or propane in bulk into or out of Ontario for a registered importer or registered exporter, an interjurisdictional transporter shall obtain a true copy of the certificate of registration under this Act of the importer or exporter.  1992, c. 9, s. 6; 2004, c. 31, Sched. 16, s. 3 (1).

Possession of documents

(7) Every interjurisdictional transporter shall keep in the possession of the driver of the motor vehicle or of the master of the vessel in which the interjurisdictional transporter is transporting or transferring gasoline in bulk, aviation fuel in bulk or propane in bulk,

(a) the interjurisdictional transporter’s certificate of registration issued under this Act;

(b) the completed uniform manifest form in accordance with subsection (5);

(c) if the gasoline in bulk, aviation fuel in bulk or propane in bulk is being transported or transferred for a registered importer or a registered exporter, the true copy of the certificate of registration that the registered importer or registered exporter is required to provide under this Act; and

(d) evidence of payment, if any, made in accordance with subsection 4 (3).  1992, c. 9, s. 6; 2004, c. 31, Sched. 16, s. 3 (2).

Examination

(8) Any person who is authorized for the purpose by the Minister and who has reasonable and probable grounds to believe that an interjurisdictional transporter does not hold a certificate of registration or is transporting or transferring gasoline, aviation fuel or propane on behalf of an importer or exporter who does not hold a certificate of registration issued under this Act may, without a warrant, stop and detain any vehicle or vessel being operated in Ontario by the interjurisdictional transporter and require production of the documents specified in subsection (7).  1992, c. 9, s. 6.

Seizure

(9) If, following a detention under subsection (8), the driver of the vehicle or master of the vessel fails to produce the documents specified in subsection (7), the person authorized for the purpose by the Minister may, without a warrant and subject to subsections (10), (11), (12) and (14), seize, impound, hold and dispose of the gasoline, aviation fuel or propane, unless the interjurisdictional transporter complies with subsection (11).  1992, c. 9, s. 6.

No seizure, etc.

(10) Gasoline, aviation fuel or propane is not subject to holding, seizure, impounding or disposal under this section if the driver of the motor vehicle or the master of the vessel in which the gasoline, aviation fuel or propane is transported or transferred provides proof satisfactory to the person authorized for the purpose by the Minister,

(a) of the quantity and the destination of the gasoline, aviation fuel or propane being transported or transferred;

(b) that the driver or master holds a certificate of registration or a true copy of a certificate of registration issued under this section;

(c) if the gasoline, aviation fuel or propane is being transported or transferred for an importer or exporter, that the importer or exporter holds a valid certificate of registration issued under this Act; and

(d) if tax or security is payable in respect of the gasoline, aviation fuel or propane being transported or transferred, that the tax or security has been paid.  1992, c. 9, s. 6; 2004, c. 31, Sched. 16, s. 3 (3).

Forfeiture

(11) Gasoline, aviation fuel or propane seized under subsection (9) is forfeited to Her Majesty to be disposed of as the Minister directs unless, within thirty days following the seizure, the person from whom the gasoline, aviation fuel or propane is seized, or the owner thereof, pays to the Minister an amount, as a penalty, equal to the tax that would be payable under section 2 if the gasoline, aviation fuel or propane were sold or delivered to a purchaser in Ontario.  1992, c. 9, s. 6; 1994, c. 18, s. 3 (6).

Application

(12) The driver of the motor vehicle or the master of the vessel from which gasoline, aviation fuel or propane is seized under this section, or the owner of the fuel, may bring an application in the Superior Court of Justice to establish the right to possession of the gasoline, aviation fuel or propane.  1992, c. 9, s. 6; 2001, c. 23, s. 110 (1).

Time limit

(13) An application under subsection (12) is not valid unless made within thirty days after the date on which the gasoline, aviation fuel or propane is seized.  1992, c. 9, s. 6.

Standards

(14) For the purposes of an application to the Superior Court of Justice, the driver, the master or the owner has the right to possession of the gasoline, aviation fuel or propane if, when it is seized,

(a) the driver or master holds a certificate of registration or a true copy of a certificate of registration issued under this section;

(b) the gasoline, aviation fuel or propane is being transported or transferred on behalf of an importer or exporter who holds a certificate of registration issued under this Act;

(c) the tax or security payable under this Act has been paid; and

(d) if the driver or master does not hold a uniform manifest form completed in accordance with this Act and the regulations, the driver, the master or the owner delivers the form so completed to the Minister within five days of the date when the gasoline, aviation fuel or propane is seized.  1992, c. 9, s. 6; 2001, c. 23, s. 110 (2); 2004, c. 31, Sched. 16, s. 3 (4).

Order

(15) The court, if satisfied that the driver, master or owner has the right to possession of the gasoline, aviation fuel or propane, may order that it be returned to the driver, master or owner or that the proceeds of the sale of it be paid to the owner.  1992, c. 9, s. 6.

Disposal pending final disposition

(16) If the application is not finally disposed of within sixty days after the date on which it is made, the Minister may dispose of the gasoline, aviation fuel or propane and retain the proceeds of the sale pending final disposition of the application.  1992, c. 9, s. 6.

Forfeiture

(17) If the application is dismissed and any appeal is dismissed or the time for appeal has expired, the gasoline, aviation fuel or propane is forfeited to Her Majesty in right of Ontario to be disposed of as the Minister directs.  1992, c. 9, s. 6.

Proceeds of sale

(18) If a sale is directed under subsection (11) or (17), or if the proceeds of a sale are retained under subsection (16) and the application is dismissed, the proceeds of the sale remaining after payment of the costs incurred by the Minister in seizing, storing and disposing of the fuel and after payment of the penalty owing under subsection (11) shall be paid to the person from whom the fuel was seized or to the person who owned the fuel before it was forfeited.  1992, c. 9, s. 6.

Offence

(19) Every interjurisdictional transporter transporting or transferring gasoline in bulk, aviation fuel in bulk or propane in bulk into or out of Ontario who fails to produce any of the documents required to be kept in the possession of the driver or the master under subsection (7) is guilty of an offence and on conviction is liable to a fine of not less than $200 and not more than $1,000 for each document not produced.  1992, c. 9, s. 6.

Demand for information, security

Information

6. (1)The Minister may demand information or additional information from a person for the purpose of evaluating the suitability of the person to be a manufacturer, collector, registered importer, registered exporter, interjurisdictional carrier or interjurisdictional transporter under this Act or to ascertain the amount of security to be furnished by the person in accordance with subsection (2) or (2.1) and the person shall deliver to the Minister the information or additional information required by the Minister within the time specified in the Minister’s demand.  1996, c. 10, s. 7 (1); 2002, c. 22, s. 88.

Security

(2)The Minister shall demand security in a form acceptable to the Minister from,

(a) every collector, in an amount not less than the equivalent of an average three months tax collectable and payable by the collector calculated for the twelve-month period preceding the date of the Minister’s demand or $1,000,000, whichever is greater;

(b) every registered importer, in an amount not less than the equivalent of an average three months tax collectable and payable by the registered importer calculated for the twelve-month period preceding the date of the Minister’s demand or $500,000, whichever is greater; and

(c) every registered exporter, in an amount specified by the Minister upon the forwarding to the Minister of information required in respect of gasoline, aviation fuel or propane to be exported.  1992, c. 9, s. 6.

Security – interjurisdictional carriers

(2.1)The Minister may demand from an interjurisdictional carrier security in a form acceptable to the Minister.  1996, c. 10, s. 7 (2).

Idem

(3)Every person shall, upon receipt of a demand under subsection (2) or (2.1), forthwith furnish the security to the Minister.  1992, c. 9, s. 6; 1996, c. 10, s. 7 (3).

Idem

(4)The Minister may at any time increase or decrease the amount of security furnished or to be furnished under subsection (2).  1992, c. 9, s. 6.

Refusal to designate or register

7. (1) The Minister may refuse to designate or register any person under this Act if the person fails to satisfy the Minister that the person has the ability to perform the conditions or observe the limitations that the Minister proposes to attach to the designation or registration.  1992, c. 9, s. 6.

Idem

(2) The Minister may refuse to designate or register any person under this Act if the person fails to furnish security in accordance with section 6.  1992, c. 9, s. 6.

Suspension or cancellation

(3) The Minister may suspend or cancel the designation or registration of a person under this Act if,

(a) the person or any officer, director, shareholder or partner of the person has been convicted of an offence of fraud or tax evasion within the preceding five years; or

(b) the person contravenes or permits the contravention of this Act or the regulations or of any condition or restriction contained in the designation or registration certificate.  2005, c. 31, Sched. 8, s. 1.

Hearing

(4) If the Minister proposes to act under subsection (1), (2) or (3), the Minister shall afford the person the opportunity to appear before the Minister to show cause why the Minister should not so act.  1992, c. 9, s. 6.

Immediate suspension

(5) Despite subsection (4), the Minister may suspend forthwith the designation or registration of any person under this Act if the person fails to deliver a return required by this Act or the regulations or fails to remit tax collectable or payable by the person under this Act.  1992, c. 9, s. 6.

Notice of suspension

(6) A suspension forthwith shall be by notice in writing with written reasons, and shall state that the person may, by notice in writing served upon the Minister within 180 days after service of the notice of suspension, require a hearing by the Minister to determine whether the suspension should be rescinded, rescinded subject to conditions, or whether the designation or registration should be cancelled, and the person may so require the hearing.  1992, c. 9, s. 6.

Service of notice

(7) A notice under this section may be served personally or by registered mail addressed to the person to whom notice is to be given at the person’s last known address.  1992, c. 9, s. 6.

Idem

(8) Service by registered mail of a notice under this section shall be deemed to have been made on the fifth day after the day of mailing unless the person establishes that, though acting in good faith, the person did not receive the notice or did not receive it until a later date.  1992, c. 9, s. 6.

Conviction for fraud or tax evasion

(9) The Minister may refuse to designate or register any person if the person or an officer, director, shareholder or partner of the person has been convicted of the offence of fraud or tax evasion within five years of the date of the application for the designation or registration, and subsection (4) does not apply in respect of the refusal.  1992, c. 9, s. 6.

Returns

8. (1) The Minister may demand that a person who is a manufacturer, collector, importer, exporter, interjurisdictional carrier or interjurisdictional transporter deliver to the Minister a return in such form as the Minister requires for the purpose of administering this Act and the person shall do so on or before the day designated in the demand.  2002, c. 22, s. 89 (1).

Idem

(2)Every manufacturer, collector, importer, exporter, interjurisdictional carrier or interjurisdictional transporter shall deliver to the Minister, without notice or demand, the returns required by this Act or the regulations at the prescribed times and in the prescribed manner.  1992, c. 9, s. 6; 1996, c. 10, s. 8 (2); 2002, c. 22, s. 89 (2).

Certificate

(3)Every person required to deliver a return under this Act shall verify the return by a certificate signed by the person or by the president, resident manager or representative in Ontario stating that the financial and other statements of information included in or attached to the return are in agreement with the books of the person and exhibit correctly and completely all information for the period covered by the return.  1992, c. 9, s. 6.

Offence, failure to deliver a return

(4) Every person who fails to deliver a return as required by this Act or the regulations is guilty of an offence and on conviction is liable to a fine of not less than $200 and not more than $5,000.  2002, c. 22, s. 89 (3).

Penalty, failure to deliver a return

(4.1) Every person who is a collector, importer, exporter or interjurisdictional carrier who fails to deliver a return as required by this Act or the regulations shall pay to the Minister, when assessed therefor, a penalty equal to 10 per cent of the tax collectable or 5 per cent of the tax payable, as the case may be, by the person for the period covered by the return.  2002, c. 22, s. 89 (3).

Same, manufacturer

(4.2) Every person who is a manufacturer who fails to deliver a return as required by this Act or the regulations shall pay to the Minister, when assessed therefor, a penalty of $1,000 for each month covered by the return and $1,000 for each month or part thereof that the return is late.  2002, c. 22, s. 89 (3).

Same, interjurisdictional transporter

(4.3) Every person who is an interjurisdictional transporter who fails to deliver a return as required by this Act or the regulations shall pay to the Minister, when assessed therefor, a penalty of $1,000.  2002, c. 22, s. 89 (3).

Offence

(5)Every person who fails to complete the information required in a return to be delivered to the Minister under subsection (1) or (2) is guilty of an offence and on conviction is liable to a fine of not less than $200 and not more than $5,000.  1992, c. 9, s. 6.

Time

(6)The Minister may enlarge the time for delivering a return before or after the expiry of the time.  1992, c. 9, s. 6.

Declarations and affidavits

(7)Declarations and affidavits in connection with returns under this Act may be taken before any person having authority to administer an oath, or before any person specially authorized for the purpose by the Lieutenant Governor in Council, but any person so specially authorized shall not charge a fee therefor.  1992, c. 9, s. 6.

Transmittal of tax

9. (1)Every collector, interjurisdictional carrier or importer shall, with a return required under section 8, transmit the amount of tax payable or payable and collectable by the collector, interjurisdictional carrier or importer.  1992, c. 9, s. 6; 1996, c. 10, s. 9 (1).

Penalty

(2)Every collector, interjurisdictional carrier or importer who transmits less than the amount of tax collectable or the tax payable by the person shall pay a penalty of an amount equal to 10 per cent of the tax collectable and 5 per cent of the tax payable by the person for the period covered by the return.  1994, c. 18, s. 3 (11); 1996, c. 10, s. 9 (2).

Note: Subsection 9 (2), as re-enacted by the Statutes of Ontario, 1994, chapter 18, subsection 3 (11), applies with respect to any failure to transmit any tax collectable or payable on or after February 1, 1995.  See:  1994, c. 18, s. 3 (25).

Exception

(3)Despite subsection (1), a collector may retain the amount of a refund for which the collector has made application under the regulations until the refund for which the collector has applied is, in whole or in part, approved or refused by the Minister and notification thereof is sent to the collector.

Application of subs. (3)

(4)Subsection (3) does not apply unless, in a return delivered in accordance with this Act and the regulations, the collector shows that tax under this Act is payable by the collector with respect to the collector’s use of gasoline and the collector applies for the refund when the return is delivered.  1992, c. 9, s. 6.

Disallowance of refund

10. (1)A collector who has retained the amount of a refund applied for under this Act and who receives a statement of disallowance of the refund in the form approved by the Minister shall remit to the Minister the amount retained and disallowed, together with interest thereon at the prescribed rate for the period during which the amount was retained by the collector.  1992, c. 9, s. 6; 1994, c. 18, s. 3 (6); 1997, c. 19, s. 8 (1).

Transmittal of amount

(2)The collector shall remit the disallowed amount with the collector’s next return under this Act or on or before the date or within the period of time specified in the statement of disallowance.

Application of subs. (1)

(3)Subsection (1) applies despite an objection to or appeal of the disallowance.  1992, c. 9, s. 6.

Offence, failure to pay or remit

10.1 Every person who is required to pay over to a collector or importer or to remit to the Minister the tax imposed by this Act and who fails to pay over or remit the tax is guilty of an offence and on conviction is liable to a fine of not less than an amount equal to 25 per cent of the tax and not more than an amount equal to twice the amount of the tax that should have been paid over or remitted.  1992, c. 9, s. 6; 1994, c. 18, s. 3 (6).

Examination of motor vehicle

10.2 (1)For the purpose of ascertaining whether tax imposed by this Act has been paid on gasoline, aviation fuel or propane, a person authorized for the purpose by the Minister may, without warrant, if the person has reasonable and probable grounds to believe that the motor vehicle contains evidence of a contravention of this Act, stop and detain any motor vehicle in Ontario capable of transporting gasoline in bulk, aviation fuel in bulk or propane in bulk and may,

(a) examine and take samples of the cargo being transported in the storage tank of the motor vehicle; and

(b) examine the documents in the custody of the driver related to liability for tax on the gasoline, aviation fuel or propane, and to the ownership of the motor vehicle and to the operator of the motor vehicle.  1992, c. 9, s. 6.

Same

(1.1)For the purposes of ascertaining whether the operator of a motor vehicle is an interjurisdictional carrier whose motor vehicle carries or is required to carry a valid registration decal, any person authorized for the purpose by the Minister may, without a warrant, if the person has reasonable and probable grounds to believe that the motor vehicle contains evidence of a contravention of this Act, stop and detain any vehicle in Ontario, and may,

(a) inspect any registration decal on the motor vehicle;

(b) examine the documents in the custody of the driver related to liability for tax under the Act, to the ownership of the motor vehicle and to the operator of the motor vehicle; and

(c) examine the driver’s licence required under the Highway Traffic Act.  1996, c. 10, s. 10 (1).

Offence

(2)Every person is guilty of an offence who,

(a) fails to comply with a stop sign set up by a person authorized under this Act to examine a motor vehicle;

(b) fails to obey a lawful signal or request by a person authorized under this Act to examine a motor vehicle;

(c) refuses to permit an examination of a motor vehicle or of a document mentioned in subsection (1) or (1.1); or

(d) refuses or wilfully neglects to answer a reasonable question put to the person by a person authorized to examine the motor vehicle.  1992, c. 9, s. 6; 1996, c. 10, s. 10 (2).

Penalty

(3)Every person who is guilty of an offence under subsection (2) is liable upon conviction to a fine of not less than $200 and not more than $1,000.  1992, c. 9, s. 6.

Authority to stop and detain qualified motor vehicle

10.3 (1) Any person authorized by the Minister may, without a warrant, stop and detain a motor vehicle if the person has reasonable and probable grounds to believe that the motor vehicle is a qualified motor vehicle and may examine the following documents for the purposes of determining whether the operator of the motor vehicle is an interjurisdictional carrier and has complied with section 4.12:

1. The driver’s licence issued to the driver of the motor vehicle.

2. Any Commercial Vehicle Operator’s Certificate issued under the Highway Traffic Act that is held by the operator.

3. Any documents of a type prescribed by the Minister that are in the driver’s custody.

4. Any documents in the driver’s custody that identify or confirm the identity of the operator or owner of the motor vehicle.  2004, c. 31, Sched. 16, s. 4.

Offence, failure to stop

(2) Every driver of a qualified motor vehicle who does any of the following is guilty of an offence and on conviction is liable to a fine of not less than $200 and not more than $1,000:

1. Fails to comply with a stop sign set up by a person authorized by the Minister under this section to stop the vehicle.

2. Fails to stop or remain stopped when signalled or requested to do so by a person authorized by the Minister under this section to stop and detain the vehicle.

3. Fails to produce any document requested or required to be produced under subsection (1).  2004, c. 31, Sched. 16, s. 4.

Assessment

11. (1) Where any person fails to make a return or remittance as required under this Act or the regulations or if the person’s returns are not substantiated by the person’s records, the Minister may make an assessment of the tax collectable by such person or of the tax, interest or penalty payable by such person, as the case may be, for which the person has not accounted and serve notice of the assessment on the person.  R.S.O. 1990, c. G.5, s. 11 (1).

Disallowance of refund

(2) Where a person has, in accordance with this Act and the regulations, applied for or taken a refund and the claim is in whole or in part refused, the Minister shall cause to be served on the person a statement of disallowance in the form approved by the Minister and the statement shall specify the amount of the refund disallowed and the reasons therefor.  R.S.O. 1990, c. G.5, s. 11 (2); 1997, c. 19, s. 8 (2).

Remittance of tax assessed or refund disallowed

(3) A notice of assessment under subsection (1) or a statement of disallowance under subsection (2) may be served by sending the notice or statement by prepaid mail to the person against whom the assessment is made or whose claim is refused, as the case may be, at the person’s last known address or by serving such notice or statement personally and the person who was assessed or whose refund was refused shall, within thirty days of the mailing or personal service of the notice of assessment or statement of disallowance, transmit the amount of the assessment or of the refund refused to the Minister.  R.S.O. 1990, c. G.5, s. 11 (3); 1994, c. 18, s. 3 (9).

Remittance forthwith

(4) Where the Minister has assessed tax under subsection (1) or has disallowed a refund under subsection (2), the notice of assessment or statement of disallowance referred to in subsection (3) may provide that the amount owing is payable forthwith.  R.S.O. 1990, c. G.5, s. 11 (4).

Assessment

(5) The Minister may assess or reassess tax payable by a purchaser or an interjurisdictional carrier or any penalty that the Minister may assess against any person under the Act within four years after the date on which the tax becomes payable.  1998, c. 30, s. 44 (1).

Same

(5.1) Despite subsection (5), the Minister may assess or reassess tax payable or a penalty described in that subsection at any time the Minister considers reasonable if the Minister establishes that, in making a return or in supplying or omitting to disclose information in respect of tax under the Act, the purchaser or interjurisdictional carrier has made a misrepresentation that is attributable to neglect, carelessness or wilful default or has committed a fraud.  1998, c. 30, s. 44 (2).

Exception, waiver of limitation

(5.1.1) Despite subsection (5), the Minister may assess or reassess a person at any time if the person has filed with the Minister a waiver in a form approved by the Minister before the expiry of the time provided in subsection (5).  2004, c. 31, Sched. 16, s. 5.

Revocation of waiver

(5.1.2) If a person files a waiver under subsection (5.1.1), the person may file a notice of revocation of the waiver in a form approved by the Minister.  2004, c. 31, Sched. 16, s. 5.

Effect of revocation

(5.1.3) If a person files a notice of revocation of the waiver under subsection (5.1.2), the Minister shall not issue an assessment or reassessment under subsection (5) in reliance on the waiver more than one year after the date on which the notice of revocation is filed.  2004, c. 31, Sched. 16, s. 5.

Waiver, transitional

(5.1.4) Despite subsection (5), if, before December 16, 2004, a person provided the Minister with a written waiver of the time limit, the Minister may assess or reassess the person at any time in respect of the period to which the waiver applies, and subsections (5.1.2) and (5.1.3) apply with necessary modifications in respect of the waiver.  2005, c. 31, Sched. 8, s. 2.

Deemed tax

(5.2) A debt due to the Crown under section 8.1 of the Financial Administration Act in respect of a payment or transmittal shall be deemed, when the Minister so assesses, to be a tax payable under this Act by the person from whom the payment or transmittal is payable, and may be collected and enforced as tax under this Act, except that sections 13 and 14 do not apply.  1994, c. 18, s. 3 (12).

Assessment on inspection

(6) Where it appears from an inspection, audit or examination of the books of account, records or documents of any collector, wholesaler, importer, exporter, interjurisdictional transporter, retailer, interjurisdictional carrier, purchaser or person liable to pay tax under subsection 2 (4.1) that this Act or the regulations have not been complied with, the person making the inspection, audit or examination shall calculate the tax collectable or payable in such manner and form and by such procedure as the Minister considers adequate and expedient, and the Minister shall assess the amount of the tax collectable or of the tax, interest or penalty payable, as the case may be.  1996, c. 10, s. 11 (3).

Same, manufacturers

(6.0.1) Where it appears from an inspection, audit or examination of the books of account, records or documents of any manufacturer that this Act or the regulations have not been complied with, the Minister may assess a penalty against the manufacturer in an amount equal to the tax that would be payable on the volume of gasoline, propane or aviation fuel that the manufacturer has failed to report, calculated as if the volume of gasoline, propane or aviation fuel had been purchased by, delivered to or used by a purchaser liable to pay tax under section 2.  2002, c. 22, s. 90 (1).

Assessment re amounts held in trust

(6.1) The Minister may assess the amount that a person is responsible to pay under subsection 18 (6) and the assessed amount shall be deemed to be tax collectable or collected, as the case may be, by the person.  2001, c. 23, s. 111 (1).

Notice of assessment under this section

(7) The Minister shall send by mail or by registered mail or deliver by personal service a notice of the assessment made under this section to the person so assessed, at the person’s latest known address, or where the person has more than one address, one of which is in Ontario, the notice shall be sent to the person’s address in Ontario, and the notice may provide that the amount owing is payable forthwith.  R.S.O. 1990, c. G.5, s. 11 (7); 1992, c. 9, s. 7 (3); 1994, c. 18, s. 3 (13); 2001, c. 23, s. 111 (2).

Penalty for excess losses

(7.1) Every person who has excess unverifiable losses, determined in accordance with the regulations, shall pay a penalty, when assessed therefor, equal to the tax that would have been collectable by the person if the quantity of gasoline that exceeds the prescribed threshold for an unverifiable loss had been sold to a purchaser liable to pay tax under this Act.  2001, c. 23, s. 111 (3).

Continuation of liability for tax

(8) Liability for tax imposed by this Act is not affected by an incorrect or incomplete assessment or by the fact that no assessment has been made.  R.S.O. 1990, c. G.5, s. 11 (8).

Minister not bound by returns

(9) The Minister is not bound by a return or information delivered by or on behalf of any person under this Act and may, despite any return or information delivered or if no return or information has been delivered, assess the tax payable under this Act.  R.S.O. 1990, c. G.5, s. 11 (9).

Assessment valid and binding

(10) Subject to being vacated or varied on an objection or appeal and subject to any re-assessment, an assessment or disallowance under this section shall be deemed to be valid and binding, despite any error, defect or omission therein or in any proceeding under this Act related thereto and, for the purposes of collection or recovery, the amount assessed shall be deemed to be tax owing under this Act and be conclusively established as a debt owing to Her Majesty in right of Ontario.  1992, c. 9, s. 7 (4).

Idem

(11) The amount of any assessment or disallowance of a refund is payable within the time required by the notice of assessment or statement of disallowance whether or not an objection or appeal from the assessment or statement of disallowance is outstanding.  R.S.O. 1990, c. G.5, s. 11 (11).

Assessment re refund

(12) The Minister may assess under this section any person who has received a refund under this Act or the regulations to which the person is not entitled.  1992, c. 9, s. 7 (5).

Amount of assessment for refund

(13) An assessment under subsection (12) shall be for the amount of the refund to which the person was not entitled and interest thereon at the prescribed rate from the date of payment of the refund.  1992, c. 9, s. 7 (5).

Statement of ground of assessment for refund

(14) An assessment under subsection (12) shall be accompanied by a brief statement in writing of the ground upon which the person is not entitled to the amount specified in the assessment.  1992, c. 9, s. 7 (5).

Penalty for failure to collect tax

(15) The Minister may assess a penalty against any person who fails to collect tax that they are responsible to collect under this Act or the regulations equal to,

(a) the amount that the person failed to collect; and

(b) an additional amount equal to 10 per cent of the amount referred to in clause (a).  1994, c. 18, s. 3 (14).

Note: Subsection 11 (15), as re-enacted by the Statutes of Ontario, 1994, chapter 18, subsection 3 (14), applies with respect to any failure to collect tax required to be collected on or after February 1, 1995.  See:  1994, c. 18, s. 3 (25).

Assessment of penalties

(15.1) The Minister may, at any time the Minister considers reasonable, assess against any person any penalty that the Minister may assess under this Act against the person.  2002, c. 22, s. 90 (2).

Limitation

(16) The Minister shall not assess a penalty under subsection (15) with respect to tax that should have been collected more than four years before the date of the proposed assessment.  1992, c. 9, s. 7 (5); 1998, c. 30, s. 44 (3).

Idem

(17) Despite subsection (16), the Minister may make an assessment under subsection (15) at any time if the Minister establishes that the collector, or any person on behalf of the collector, has made a misrepresentation that is attributable to neglect, carelessness or wilful default, or has committed fraud, in making a return or in supplying or omitting to disclose information in respect of the tax.  1992, c. 9, s. 7 (5).

Assessment – interjurisdictional carriers

(18) The Minister may, at any time the Minister considers reasonable, assess an interjurisdictional carrier, who has failed or refused to maintain adequate books of account as required by this Act and the regulations, the tax payable by it under this Act and, for the purposes of such assessment, the interjurisdictional carrier’s qualified motor vehicles or fleet of qualified motor vehicles shall be deemed to have travelled a distance equal to 1.2 kilometres for each litre of gasoline or 1 kilometre for each litre of propane consumed by the qualified motor vehicle or fleet of qualified motor vehicles.  1996, c. 10, s. 11 (4).

Interest

12. (1)If on a particular date a debt as calculated under subsection (2) is payable by any person, the person shall be charged interest payable to the Minister at the prescribed rate and calculated in the prescribed manner on the amount of the debt from that date to the date the amount is received by the Minister.  1994, c. 18, s. 3 (15).

Amount of debt calculation

(2)In this section, the amount of the debt payable by a person under this Act at a particular date is the amount by which,

(a) the aggregate of,

(i) the amount of all tax under this Act that is collectable or that is payable by the person before that date,

(ii) all amounts or penalties or both assessed under this Act against the person at any time before that date,

(iii) the amount of all refunds taken under subsection 9 (3) that are disallowed by the Minister in respect of a period before that date,

(iii.1) all amounts paid on behalf of the Minister under section 28.2 or received under that section in respect of tax paid, to the extent that the Minister subsequently disallows the amounts in respect of a period before that date, and

(iv) the total of all amounts of interest charged under this section against the person in respect of a period of time ending before that date,

exceeds,

(b) the aggregate of,

(i) the amount of all taxes remitted or paid by the person under this Act and the amount of any refund owing under any other Act that has been applied by the Minister to the person’s liabilities under this Act prior to that date,

(ii) the amount of all refunds taken under subsection 9 (3) before that date,

(ii.1) all amounts paid on behalf of the Minister under section 28.2 before that date or received under that section in respect of tax paid before that date, and

(iii) the total of all amounts of interest credited to the person in respect of a period of time ending before that date.  1994, c. 18, s. 3 (15); 1998, c. 30, s. 45.

Compounding

(3)The interest under subsection (1) shall be compounded daily to the date on which it is paid.

Minimum liability

(4)Where the amount of interest is less than a minimum amount to be determined from time to time by the Minister, no interest shall be paid under this section.

Interest on penalties

(5)For the purposes of this section, interest on all penalties imposed by this Act shall be calculated from the date the default to which they apply first occurred.  1994, c. 18, s. 3 (15).

Note: Section 12, as enacted by the Statutes of Ontario, 1994, chapter 18, subsection 3 (15), applies in determining the amount of interest in respect of any day that is on or after July 1, 1993 and, for the purposes of determining the amount of interest in respect of any prior period, section 12 applies as it read before July 1, 1993.  See:  1994, c. 18, s. 3 (26).

Objection to assessment or disallowance of refund

13. (1)A person who is assessed for tax or a penalty or has paid a penalty under this Act or whose claim for a refund is disallowed under this Act is entitled to object to the assessment, payment or disallowance.  1992, c. 9, s. 8 (1).

(1.1)Repealed:  1998, c. 30, s. 46 (1).

Notice of objection

(2)A person who objects under subsection (1) may, within 180 days from the day on which the penalty for which no assessment has been made is paid, or from the day of mailing of the notice of assessment or statement of disallowance, serve on the Minister a notice of objection in the form approved by the Minister.  1998, c. 30, s. 46 (2).

Facts and reasons to be given

(3)The notice of objection shall,

(a) clearly describe each issue raised by way of objection; and

(b) fully set out the facts and reasons relied on by the person in respect of each issue.

Same

(4)If a notice of objection does not fully set out the facts and reasons relied on by the person in respect of an issue, the Minister may in writing request the person to provide the information, and the person shall be deemed to have complied with clause (3) (b) in respect of the issue if the person provides the information to the Minister in writing within 60 days after the day the request is made by the Minister.

Service

(5)A notice of objection under this section shall be served by being sent by registered mail addressed to the Minister or by such other method as the Minister may prescribe.

Computation of time

(6)For the purpose of calculating the number of days mentioned in subsection (2), (4) or 14 (1), the day on which a notice of assessment or a statement of disallowance referred to in subsection (2) is mailed, a request is made under subsection (4) or a notice is given under subsection (7) is the date stated in the notice, statement or request.

Reconsideration

(7)Upon receipt of a notice of objection, the Minister shall with all due dispatch reconsider and vacate, confirm or vary the assessment, statement of disallowance or penalty, or reassess, and the Minister shall give the person written notice of the action taken by the Minister.

Limitation

(8)A person shall not raise, by way of objection under this section to a statement or reassessment or to a variation of an assessment, penalty or statement under subsection (7), any issue that the person is not entitled to raise by way of appeal under section 14 in respect of the statement or reassessment or of a variation of the assessment, penalty or statement.  1998, c. 30, s. 46 (3).

Assessment, non-arm’s length transfers

13.1 (1) In this section,

“member of his or her family” means, in relation to a transferor, the parent, spouse, grandparent, child, grandchild, son-in-law, daughter-in-law, father-in-law or mother-in-law of the transferor; (“membre de sa famille”)

“spouse” means spouse as defined in section 29 of the Family Law Act. (“conjoint”)  2001, c. 23, s. 112; 2005, c. 5, s. 30 (1).

Liability to pay

(2) If at any time a person transfers property (including money), either directly or indirectly, by means of a trust or by any other means, to a member of his or her family, to an individual who is less than 18 years old at the time of the transfer, or to another person with whom the transferor is not dealing at arm’s length, the transferor and transferee are jointly and severally liable to pay under this Act the amount determined under subsection (4).  2001, c. 23, s. 112; 2005, c. 5, s. 30 (2).

Same

(3) For the purpose of subsection (2), persons shall be deemed not to deal with each other at arm’s length if, by reason of subsections 251 (1) to (6) of the Income Tax Act (Canada), they are related to each other for the purposes of that Act.  2001, c. 23, s. 112.

Amount payable

(4) The amount referred to in subsection (2) is the lesser of “A” and “B” where,

  “A” is the amount, if any, by which the fair market value of the property transferred, at the time of the transfer, exceeds the fair market value, at the time of the transfer, of the consideration given by the transferee for the transfer, and

  “B” is the total of all amounts, each of which is,

(a) any tax payable by the transferor under this Act at the time of the transfer or at any previous time but not paid,

(b) any tax collected, collectable or payable but not remitted or transmitted as required under this Act by the transferor for the reporting period during which the transfer took place or any previous reporting period,

(c) any penalty or interest for which the transferor is liable under this Act at the time of the transfer.

2001, c. 23, s. 112.

Same

(5) Nothing in subsection (2) or (4) limits the liability of the transferor or transferee under any other provision of this Act.  2001, c. 23, s. 112.

Assessment

(6) The Minister may assess a transferee at any time in respect of any amount payable by reason of this section, and sections 13 and 14 apply, with necessary modifications, to the assessment.  2001, c. 23, s. 112.

Effect of payment

(7) If a transferor and transferee are jointly and severally liable to pay an amount under this section,

(a) a payment by the transferee on account of the transferee’s liability discharges the joint liability, to the extent of the payment; and

(b) a payment by the transferor on account of the transferor’s liability under this Act discharges the transferee’s liability under this section to the extent that the payment reduces the balance of the transferor’s liability under this Act to an amount less than the amount of the transferee’s liability under this section.  2001, c. 23, s. 112.

Exception

(8) Subsection (2) does not apply with respect to a transfer of property (including money) between spouses,

(a) under a decree, order or judgment of a competent tribunal; or

(b) under a written separation agreement if, at the time of the transfer, the transferor and transferee were living separate and apart as a result of a breakdown of their relationship.  2001, c. 23, s. 112; 2005, c. 5, s. 30 (3).

Appeal

14. (1) After the Minister has given the notification required by subsection 13 (7), a person who has served notice of objection under section 13 may appeal to the Superior Court of Justice to have the assessment, statement of disallowance or penalty vacated, varied or reassessed, but no appeal under this section shall be commenced after the expiration of ninety days from the date notice was mailed to the person under subsection 13 (7).  1992, c. 9, s. 9 (1); 1998, c. 30, s. 47 (1); 2001, c. 23, s. 113 (1).

Appeal, how instituted

(2) An appeal to the Superior Court of Justice shall be instituted by,

(a) filing a notice of appeal with the court in the form approved by the Minister;

(b) paying a fee to the court in the same amount and manner as the fee payable under regulations made under the Administration of Justice Act on the issue of a statement of claim; and

(c) serving on the Minister a copy of the notice of appeal as filed.  1998, c. 30, s. 47 (2); 2001, c. 23, s. 113 (2).

Limitation

(2.1) A person is entitled to raise by way of appeal only those issues raised by the person in a notice of objection to the assessment, statement or penalty being appealed and in respect of which the person has complied or was deemed to have complied with subsection 13 (3).  1998, c. 30, s. 47 (2).

Exception

(2.2) Despite subsection (2.1), a person may raise by way of appeal an issue forming the basis of a reassessment or of a variation of assessment, statement or penalty under subsection 13 (7) if the issue was not part of the assessment, statement of disallowance or payment of penalty with respect to which the person served the notice of objection.  1998, c. 30, s. 47 (2).

Application, subss. (2.1) and (2.2)

(2.3) Subsections (2.1) and (2.2) apply only in respect of appeals in respect of which the period of 90 days referred to in subsection (1) begins after December 31, 1998.  1998, c. 30, s. 47 (2).

Waived right of objection or appeal

(2.4) Despite subsection (1), no person shall institute an appeal under this section to have an assessment, penalty or statement vacated or varied in respect of an issue for which the right of objection or appeal has been waived in writing by or on behalf of the person.  1998, c. 30, s. 47 (2).

Service

(3) A notice of appeal shall be served on the Minister by being sent by registered mail addressed to the Minister.  R.S.O. 1990, c. G.5, s. 14 (3).

Content of notice of appeal

(4) The person appealing shall set out in the notice of appeal a statement of the allegations of fact and the statutory provisions and reasons that the person intends to submit in supporting the appeal.  R.S.O. 1990, c. G.5, s. 14 (4).

Reply to notice of appeal

(5) The Minister shall with all due dispatch serve on the appellant and file with the Superior Court of Justice a reply to the notice of appeal admitting or denying the facts alleged and containing a statement of such allegations of fact and of such statutory provisions and reasons as the Minister intends to rely on, and where the Minister fails to serve the reply within 180 days from the date of service upon the Minister of the notice under subsection (2), the appellant may, upon twenty-one days notice to the Minister, apply to a judge of the Superior Court of Justice for an order requiring the reply to be served within such time as the judge shall order, and the judge may, if the judge considers it proper in the circumstances, also order that, upon the failure of the Minister to serve the reply in the time specified by the order, the assessment or statement of disallowance with respect to which the appeal is made shall be vacated and any tax pursuant to such assessment shall be repaid to the appellant or the refund disallowed be paid to the appellant, but nothing in this section revives an appeal that is void or affects a statement of disallowance or assessment that has become valid and binding.  R.S.O. 1990, c. G.5, s. 14 (5); 2001, c. 23, s. 113 (3).

Matter deemed action

(6) Upon the filing of the material referred to in subsection (5), the matter shall be deemed to be an action in the court.  R.S.O. 1990, c. G.5, s. 14 (6).

Disposition of appeal

(7) The court may dispose of the appeal by such order as it considers just and the Minister shall, subject to the final decision of any court to which the order is appealed, vacate or vary, where necessary, the assessment or statement of disallowance so as to carry out the final order of the court.  R.S.O. 1990, c. G.5, s. 14 (7).

Idem

(8) The court may, in delivering judgment disposing of an appeal, order payment or refund of tax or penalty by the appellant or by the Minister, as the case may be, and may make such order as to costs as is considered proper.  R.S.O. 1990, c. G.5, s. 14 (8); 1992, c. 9, s. 9 (2); 1994, c. 18, s. 3 (7).

Procedure

(9) The practice and procedure of the Superior Court of Justice, including the right of appeal and the practice and procedure relating to appeals, apply to every matter that is deemed to be an action under subsection (6), and every judgment and order given or made in every such action may be enforced in the same manner and by the like process as a judgment or order given or made in an action commenced in the court.  R.S.O. 1990, c. G.5, s. 14 (9); 2001, c. 23, s. 113 (4).

Irregularities

(10) No assessment shall be vacated or varied on appeal by reason only of an irregularity, informality, omission or error on the part of any person in the observance of any directory provision of this Act.  R.S.O. 1990, c. G.5, s. 14 (10).

Extension of time

(11) The time within which a notice of objection is to be served or an appeal is to be instituted may be extended by the Minister if application for extension is made,

(a) in respect of a notice of objection under subsection 13 (1),

(i) before the expiration of the time allowed under that subsection for service of notice of the objection, or

(ii) within one year from the day of mailing or delivery by personal service of the notice of assessment or statement of disallowance that is the subject of the objection where the person wishing to make objection furnishes to the Minister an explanation satisfactory to the Minister that explains why the notice of objection could not be served in accordance with subsection 13 (1); or

(b) with respect to an appeal, before the expiry of the time allowed under subsection (1) for instituting the appeal.  R.S.O. 1990, c. G.5, s. 14 (11); 2006, c. 33, Sched. L, s. 5.

Application under subrule 14.05 (2), Rules of Civil Procedure

14.1 (1) If the following conditions are satisfied, a person may make an application under subrule 14.05 (2) of the Rules of Civil Procedure to a judge of the Superior Court of Justice:

1. The application is to determine one or more issues of law that depend solely on the interpretation of,

i. this Act or the regulations, or

ii. this Act or the regulations and another Ontario statute or regulation.

2. The Minister has indicated in writing that the Minister is satisfied that it is in the public interest for the applicant to make the application. 

3. The Minister and the applicant have executed a statement of agreed facts on which they both intend to rely and the applicant files the statement as part of the applicant’s application record.

4. No facts remain in dispute between the Minister and the applicant that either of them believes may be relevant to the determination of any issue of law that is a subject of the application.  2006, c. 33, Sched. L, s. 6.

Application of rule 38.10, Rules of Civil Procedure

(2) Rule 38.10 of the Rules of Civil Procedure does not apply to an application referred to in this section, except that the presiding judge may, on the hearing of the application, adjourn the application in whole or in part and with or without terms under clause 38.10 (1) (a).  2006, c. 33, Sched. L, s. 6.

Disposition of application

(3) The court may dispose of an application that is authorized under this section by,

(a) making a declaration of law in respect of one or more issues of law forming the subject of the application;

(b) declining to make a declaration of law in respect of any of the issues of law forming the subject of the application; or

(c) dismissing the application.  2006, c. 33, Sched. L, s. 6.

Effect of declaration of law

(4) No declaration of law made on an application under this section,

(a) shall be binding on the Minister and the applicant except in relation to the facts agreed to by them in the proceeding; or

(b) shall otherwise affect the rights of the Minister or the applicant in any appeal instituted under this Act.  2006, c. 33, Sched. L, s. 6.

No applications under subrule 14.05 (3)

(5) No person other than the Minister may bring an application under subrule 14.05 (3) of the Rules of Civil Procedure on or after the day this section comes into force, in respect of any matter arising under this Act.  2006, c. 33, Sched. L, s. 6.

Other proceedings

(6) On the motion of the Minister, the court shall dismiss a proceeding commenced by an application under rule 14.05 of the Rules of Civil Procedure relating to a matter under this Act or the regulations if any condition in subsection (1) has not been satisfied or the application is prohibited under subsection (5).  2006, c. 33, Sched. L, s. 6.

Application

(7) Subsections (1) to (6) do not apply in respect of applications to the Superior Court of Justice authorized under any other section of this Act.  2006, c. 33, Sched. L, s. 6.

Records to be kept

15. (1)Every manufacturer, collector, importer, exporter, interjurisdictional carrier, interjurisdictional transporter, wholesaler or retailer shall keep at their principal place of business records and books of account in such form and containing such information as will enable the accurate determination of the taxes collectable or payable under this Act.  R.S.O. 1990, c. G.5, s. 15 (1); 1992, c. 9, s. 10 (1); 1996, c. 10, s. 12; 2002, c. 22, s. 91.

Duty to keep records

(2)Every person required to keep business records and books of account under subsection (1) shall maintain every such record or book of account, as well as any other document necessary to verify the information in such record or book of account for a period of seven years following the end of the fiscal year, unless written permission for their disposal is received from the Minister.  1992, c. 9, s. 10 (2).

Invoice

(3)Every vendor shall inform every person to whom the vendor sells gasoline in bulk of the total price of the gasoline and shall deliver to the person an invoice containing the information prescribed by the Minister.  1992, c. 9, s. 10 (3).

Liability for tax

(4)Every person who purchases gasoline in bulk, aviation fuel in bulk or propane in bulk from a vendor without obtaining an invoice containing the information required by subsection (3) remains liable for the tax collectable or payable under this Act in respect of the purchase until the tax is paid to a collector or to the Minister.  1992, c. 9, s. 10 (3); 1994, c. 18, s. 3 (6).

Application of subs. (4)

(5)Subsection (4) applies whether or not the vendor is an agent of the Minister.  1992, c. 9, s. 10 (3).

Duty of retail purchaser

(6)Every person shall obtain from the vendor from whom the person purchases gasoline, aviation fuel or propane, other than gasoline in bulk, aviation fuel in bulk or propane in bulk, the total price of the gasoline, aviation fuel or propane and an invoice containing the information prescribed by the Minister.  1992, c. 9, s. 10 (3).

Records required by Minister

(7)The Minister may require a person who fails to keep records and books of account in accordance with subsection (1) to keep the records and books of account specified by the Minister for such length of time as the Minister requires.  1992, c. 9, s. 10 (3).

Offence

(8)Every person who fails to comply with a requirement by the Minister under subsection (7) is guilty of an offence and on conviction is liable to a fine of $50 for each day during which the default occurs or continues.  1992, c. 9, s. 10 (3).

Audit and inspection

16. (1) Any person thereunto authorized by the Minister for any purpose related to the administration or enforcement of this Act may at all reasonable times enter into any premises where any business is carried on or any property is kept or anything is done in connection with any business or where any books or records are or should be kept pursuant to this Act, and may,

(a) audit or examine any books or records and any documents that relate or may relate to the tax imposed by this Act;

(b) examine the property described by an inventory or any property, process or matter, an examination of which may, in his or her opinion, assist the person in determining the accuracy of an inventory or in ascertaining the information that is or should be in the books or records or the amount of any tax collectable or payable under this Act;

(c) require a purchaser, person liable to pay tax under subsection 2 (4.1), retailer, wholesaler, exporter, importer, interjurisdictional carrier or collector liable to collect or pay or considered possibly liable to collect or pay tax under this Act or, if such purchaser, person liable to pay tax under subsection 2 (4.1), retailer, wholesaler, exporter, importer, interjurisdictional carrier or collector is a partnership or corporation, require a partner or the president, manager, secretary or any director, agent or representative thereof or any other person on the premises of such purchaser, person liable to pay tax under subsection 2 (4.1), retailer, wholesaler, exporter, importer, interjurisdictional carrier or collector to give the person all reasonable assistance with the audit or examination and to answer all questions relating to the audit or examination either orally or, if the person so requires, in writing, on oath or by statutory declaration, and for that purpose require such person to attend at the premises with him or her; and

(d) take samples of the contents of any storage tank located on any business premises to determine the amount of any tax payable under this Act.  R.S.O. 1990, c. G.5, s. 16 (1); 1991, c. 13, s. 6 (1); 1992, c. 9, s. 11 (1, 2); 1996, c. 10, s. 13 (1); 2002, c. 22, s. 92 (1).

Inventory report

(1.1) The Minister may, for any purpose related to the administration or enforcement of this Act and the regulations, require a retailer, wholesaler, importer or collector to complete an inventory report showing all gasoline, aviation fuel and propane that the retailer, wholesaler, importer or collector owns or has in its possession on one or more specified dates. 2014, c. 7, Sched. 11, s. 2.

Same

(1.2) The inventory report shall contain such other information that the Minister may require and the report shall be given to the Minister within the period of time specified by the Minister. 2014, chapter 7, Sched. 11, s. 2.

Idem

(2) The Minister may, for any purpose related to the administration or enforcement of this Act, by registered letter or by a demand served personally, require from any purchaser, person liable to pay tax under subsection 2 (4.1), retailer, wholesaler, exporter, interjurisdictional transporter, importer, interjurisdictional carrier, manufacturer or collector, or if such purchaser, person liable to pay tax under subsection 2 (4.1), retailer, wholesaler, exporter, interjurisdictional transporter, importer, interjurisdictional carrier, manufacturer or collector is a partnership or corporation, from a partner or the president, manager, secretary or any director, agent or representative thereof,

(a) any information or a return as required under this Act or the regulations; or

(b) production or production on oath, of any books, letters, accounts, invoices, statements, financial or otherwise, or other documents,

within such reasonable time as is stipulated therein.  R.S.O. 1990, c. G.5, s. 16 (2); 1991, c. 13, s. 6 (2); 1992, c. 9, s. 11 (3); 1996, c. 10, s. 13 (2); 2002, c. 22, s. 92 (2).

Idem

(3) The Minister may, for any purpose related to the administration or enforcement of this Act, by registered letter or by a demand served personally, require from any person, partnership, syndicate, trust or corporation holding for or paying or liable to pay any amount to a purchaser, person liable to pay tax under subsection 2 (4.1), retailer, wholesaler, importer or collector, or from any partner, agent or official of any such person, partnership, syndicate, trust or corporation, production, or production on oath, of any books, letters, accounts, invoices, statements, financial or otherwise, or other documents, within such reasonable time as is stipulated therein.  R.S.O. 1990, c. G.5, s. 16 (3); 1991, c. 13, s. 6 (3).

Production of evidence to prove tax payable by another person

(4) The Minister may, by registered letter or by a demand served personally, require the production, under oath or otherwise, by any person, partnership, syndicate, trust or corporation, or by their agent or officer, of any letters, accounts, invoices, statements, financial or otherwise, books or other documents in the possession or in the control of such person, partnership, syndicate, trust or corporation or of their agent or officer for the purpose of determining what tax, if any, is collectable or payable under this Act by any person, and production thereof shall be made within such reasonable time as is stipulated in such registered letter or demand.  R.S.O. 1990, c. G.5, s. 16 (4); 1991, c. 13, s. 6 (4); 1992, c. 9, s. 11 (4).

Deemed receipt of registered letter

(4.1) A registered letter sent to a person or entity under subsection (2), (3) or (4) is deemed to have been received on the fifth day after the day of mailing unless the person or entity establishes that, although acting in good faith, the person or entity did not receive it or did not receive it until a later date.  2011, c. 9, Sched. 18, s. 1.

Copies

(5) If a book, record or other document is examined or produced under this section, the person by whom it is examined or to whom it is produced, or any officer of the Ministry of Finance, may make or cause to be made one or more copies of it, and a document purporting to be signed by the Minister, or by a person authorized by the Minister, certifying the document to be a copy made under this subsection is admissible in evidence and has the same probative force as the original document would have had if it had been proved in the ordinary way.  2006, c. 33, Sched. L, s. 7.

Admission of evidence

(5.1) The Minister, or a person authorized by the Minister, may, for any purpose relating to the administration or enforcement of this Act, reproduce from original data stored electronically any document previously issued by the Minister under this Act, and the electronically reproduced document is admissible in evidence and shall have the same probative force as the original document would have had if it had been proven in the ordinary way.  1994, c. 18, s. 3 (17).

Same

(5.2) If a return, document or any other information has been delivered by a person to the Minister on computer disk or other electronic medium, or by electronic filing as permitted under this Act, a document, accompanied by the certificate of the Minister, or of a person authorized by the Minister, stating that the document is a print-out of the return, document or information received by the Minister from the person and certifying that the information contained in the document is a true and accurate representation of the return, document or information delivered by the person, is admissible in evidence and shall have the same probative force as the original return, document or information would have had if it had been delivered in paper form.  1994, c. 18, s. 3 (17).

Same

(5.3) If the data contained on a return or other document received by the Minister from a person is stored electronically by the Minister on computer disk or other electronic medium and the return or other document has been destroyed by a person so authorized by the Minister, a document, accompanied by the certificate of the Minister, stating that the document is a print-out of the data contained on the return and other document received and stored electronically by the Minister and certifying that the information contained in the document is a true and accurate representation of the data contained on the return or document delivered by the person, is admissible in evidence and shall have the same probative force as the original return or document would have had if it had been proved in the ordinary way.  1994, c. 18, s. 3 (17).

Compliance

(6) No person shall hinder, molest or interfere with any person doing anything that he or she is authorized by this section to do or prevent or attempt to prevent any person doing any such thing.  R.S.O. 1990, c. G.5, s. 16 (6).

Idem

(7) Despite any other law to the contrary, every person shall, unless unable to do so, do everything the person is required by this section to do.  R.S.O. 1990, c. G.5, s. 16 (7).

Administration of oaths

(8) Declarations or affidavits in connection with returns delivered under this Act or statements of information submitted under this section may be taken before any person having authority to administer an oath or before any person specially authorized for that purpose by the Lieutenant Governor in Council, but any person so specially authorized shall not charge any fee therefor.  R.S.O. 1990, c. G.5, s. 16 (8).

Offence

(9) Every person who contravenes this section or who fails to provide any information or make a return requested under this section is guilty of an offence and on conviction is liable to a fine of $50 for each day during which the default occurs or continues.  1992, c. 9, s. 11 (5).

Liability

(10) The Crown or any employee of the Crown or any person acting in the administration or enforcement of this Act is not liable for any damage to a screen, filter or other device installed in, on or about the intake of a storage tank and which impedes access to the storage tank by equipment required by and used by a person authorized by the Minister under this Act and the regulations to take samples of gasoline, aviation fuel or propane where the screen, filter or device is not removed or not removable by the person in charge of the tank at the time a sample of gasoline, aviation fuel or propane is to be taken or for any compensation to any person for any gasoline, aviation fuel or propane taken as a sample for the purposes of this Act or the regulations.  1992, c. 9, s. 11 (5).

Fuel in bulk

17. (1)Every person carrying aviation fuel in bulk, gasoline in bulk or propane in bulk and the operator of every motor vehicle carrying such products, shall, when requested by the Minister or any person authorized by the Minister, give written evidence to the requester of any or all of the following information,

(a) the name and address of any person from whom the aviation fuel, gasoline or propane was obtained and the name and address of any person to whom the aviation fuel, gasoline or propane so obtained was delivered or is to be delivered;

(b) the quantity of aviation fuel, gasoline or propane delivered or to be delivered to any person;

(c) the use or intended use, if known, to be made of any aviation fuel, gasoline or propane delivered or to be delivered from such motor vehicle.

Detention

(2)The Minister or a person authorized by the Minister may detain a motor vehicle carrying aviation fuel in bulk, gasoline in bulk or propane in bulk where,

(a) written evidence requested under subsection (1) is not given;

(b) the information in the written evidence that is given is false; or

(c) the importer fails to comply with section 4 or fails to deliver any return in accordance with section 4.

Time

(3)The Minister or a person authorized by the Minister may detain a motor vehicle under subsection (2) until the written evidence is given, the true information is given, the remittance required under section 4 is delivered or the return in accordance with section 4 is delivered, as the case requires.

Liability

(4)During any detention under subsection (2), the Crown, or any person acting in the administration and enforcement of this Act, is not liable for any damages to the motor vehicle, its contents, cargo or freight, or to its owner or driver or otherwise that may occur or be alleged to occur by reason of the detention of the motor vehicle pending compliance with section 4 and subsection (1).  R.S.O. 1990, c. G.5, s. 17.

Trust for moneys collected

18. (1) Any amount collected or collectable as or on account of tax under this Act by a collector or registered importer shall be deemed, despite any security interest in the amount so collected or collectable, to be held in trust for Her Majesty in right of Ontario and separate and apart from the person’s property and from property held by any secured creditor that but for the security interest would be the person’s property and shall be paid over by the person in the manner and at the time provided under this Act and the regulations.  1998, c. 30, s. 48.

Extension of trust

(2) Despite any other provision of this or any other Act, where at any time an amount deemed by subsection (1) to be held in trust is not paid as required under this Act, property of the collector or registered importer and property held by any secured creditor of the collector or registered importer that but for a security interest would be property of the collector or registered importer, equal in value to the amount so deemed to be held in trust shall be deemed,

(a) to be held, from the time the amount was collected or collectable by the collector or registered importer, separate and apart from the property of the collector or registered importer in trust for Her Majesty in right of Ontario whether or not the property is subject to a security interest; and

(b) to form no part of the estate or property of the collector or registered importer from the time the amount was so collected or collectable whether or not the property has in fact been kept separate and apart from the estate or property of the collector or registered importer and whether or not the property is subject to such security interest.  1998, c. 30, s. 48.

Same

(3) The property described in subsection (2) shall be deemed to be beneficially owned by Her Majesty in right of Ontario despite any security interest in such property or in the proceeds of such property, and the proceeds of such property shall be paid to the Minister in priority to all such security interests.  1998, c. 30, s. 48.

(4) Repealed:  2012, c. 8, Sched. 20, s. 1.

Minister’s certificate

(5) Every person who, as assignee, liquidator, administrator, receiver, receiver-manager, secured or unsecured creditor or agent of the creditor, trustee or other like person, other than a trustee appointed under the Bankruptcy and Insolvency Act (Canada), takes control or possession of the property of any collector or registered importer shall, before distributing such property or the proceeds from the realization thereof under that person’s control, obtain from the Minister a certificate that the amount deemed by subsection (1) to be held in trust, including any interest and penalties payable by the collector or registered importer, has been paid or that security acceptable to the Minister has been given.  1998, c. 30, s. 48.

No distribution without Minister’s certificate

(6) Any person described in subsection (5) who distributes any property described in that subsection or the proceeds of the realization thereof without having obtained the certificate required by that subsection is personally liable to Her Majesty in right of Ontario for an amount equal to the amount deemed by subsection (1) to be held in trust, including any interest and penalties payable by the collector or registered importer.  1998, c. 30, s. 48.

Notice to be given

(7) The person described in subsection (5) shall, within 30 days from the date of that person’s assumption of possession or control give written notice thereof to the Minister.  1998, c. 30, s. 48.

Minister to advise of indebtedness

(8) As soon as practicable after receiving such notice, the Minister shall advise the person described in subsection (5) of the amount deemed by subsection (1) to be held in trust, including any interest and penalties thereon.  1998, c. 30, s. 48.

Definitions

(9) In this section and in subsection 20 (2.1),

“secured creditor” means a person who has a security interest in the property of another person or who acts for or on behalf of that person with respect to the security interest, and includes a trustee appointed under a trust deed relating to a security interest, a receiver or receiver-manager appointed by a secured creditor or by a court on the application of a secured creditor and any other person performing a similar function; (“créancier garanti”)

“security interest” means any interest in property that secures payment or performance of an obligation, and includes an interest created by or arising out of a debenture, mortgage, lien, pledge, charge, deemed or actual trust, assignment or encumbrance of any kind whatsoever or whenever arising, created or deemed to arise or otherwise provided for, but does not include a security interest prescribed by the Minister as one to which this section does not apply. (“sûreté”)  1998, c. 30, s. 48.

Application

(10) This section, subsection 19.1 (11.1) and clause 25.1 (2) (b) apply in respect of any tax collected or collectable by a collector or registered importer on or after January 1, 1999, whether or not the security interest was acquired before that date.  1998, c. 30, s. 48.

Recovery of tax

19. (1) Upon default of payment of an amount assessed under section 11,

(a) the Minister may bring an action for the recovery thereof in any court in which a debt or money demand of a similar amount may be collected, and every such action shall be brought and executed in and by the name of the Minister or his or her name of office and may be continued by his or her successor in office as if no change had occurred and shall be tried without a jury; and

(b) the Minister may issue a warrant, directed to the sheriff for an area in which any property of the person liable to make a payment or remittance under this Act is located or situate, to enforce payment of the following amounts and the warrant has the same force and effect as a writ of execution issued out of the Superior Court of Justice:

(i) any amount owing by the person under this Act,

(ii) interest on that amount from the date of the issue of the warrant, and

(iii) the costs, expenses and poundage of the sheriff.  R.S.O. 1990, c. G.5, s. 19 (1); 2001, c. 23, s. 114; 2011, c. 9, Sched. 18, s. 2 (1).

Application of subrule 60.07 (2), Rules of Civil Procedure

(1.1) Subrule 60.07 (2) of the Rules of Civil Procedure does not apply in respect of a warrant issued by the Minister under clause (1) (b).  2011, c. 9, Sched. 18, s. 2 (2).

Security for tax

(2) Where the Minister considers it advisable to do so, the Minister may accept security for the payment of taxes in any form the Minister considers appropriate.  R.S.O. 1990, c. G.5, s. 19 (2).

Compliance to be proved by affidavit

(3) For the purpose of any proceeding taken under this Act, the facts necessary to establish compliance on the part of the Minister with this Act as well as the failure of any person, partnership, syndicate, trust or corporation to comply with the requirements of this Act shall, unless evidence to the contrary satisfactory to the court is adduced, be sufficiently proved in any court of law by affidavit of the Minister or of any officer of the Ministry of Finance.  R.S.O. 1990, c. G.5, s. 19 (3); 1994, c. 18, s. 3 (16).

Remedies for recovery of tax

(4) The use of any of the remedies provided by this section does not bar or affect any of the other remedies therein provided, and the remedies provided by this Act for the recovery and enforcement of the payment of any tax imposed by this Act are in addition to any other remedies existing by law, and no action or other proceeding taken in any way prejudices, limits or affects any lien, charge or priority existing under this Act or at law in favour of Her Majesty the Queen in right of Ontario.  R.S.O. 1990, c. G.5, s. 19 (4).

Recovery of costs

19.0.1 The Minister is entitled to recover from a person the reasonable costs and charges incurred by or on behalf of the Minister in the course of obtaining payment of any amount required to be paid under this Act by the person, if the costs and charges relate to any of the following things:

1. Service of a notice or other document.

2. Registration of a notice of lien and charge, including any charges for related searches and for enforcement activities.

3. An action under clause 19 (1) (a) for the recovery of any amount payable under this Act.

4. Issuance and execution of a warrant referred to in clause 19 (1) (b), to the extent that the costs and charges are not recovered by the sheriff upon execution of the warrant.

5. Other prescribed payments made by or on behalf of the Minister to a third party.  2011, c. 9, Sched. 18, s. 3.

Lien on real property

19.1 (1) Any tax payable or required to be remitted under this Act by any taxpayer is, upon registration by the Minister in the proper land registry office of a notice claiming a lien and charge conferred by this section, a lien and charge on any interest the taxpayer liable to pay or remit the tax has in the real property described in the notice.  1994, c. 18, s. 3 (18).

Lien on personal property

(2) Any tax payable or required to be remitted under this Act by any taxpayer is, upon registration by the Minister with the registrar under the Personal Property Security Act of a notice claiming a lien and charge under this section, a lien and charge on any interest in personal property in Ontario owned or held at the time of registration or acquired afterwards by the taxpayer liable to pay or remit the tax.  1994, c. 18, s. 3 (18).

Amounts included and priority

(3) The lien and charge conferred by subsection (1) or (2) is in respect of all amounts for which the taxpayer is liable under this Act at the time of registration of the notice or any renewal of it and all amounts for which the taxpayer afterwards becomes liable while the notice remains registered and, upon registration of a notice of lien and charge, the lien and charge has priority over,

(a) any perfected security interest registered after the notice is registered;

(b) any security interest perfected by possession after the notice is registered; and

(c) any encumbrance or other claim that is registered against or that otherwise arises and affects the taxpayer’s property after the notice is registered.  1994, c. 18, s. 3 (18).

Exception

(4) For the purposes of subsection (3), a notice of lien and charge under subsection (2) does not have priority over a perfected purchase money security interest in collateral or its proceeds and shall be deemed to be a security interest perfected by registration for the purpose of the priority rules under section 28 of the Personal Property Security Act.  1994, c. 18, s. 3 (18).

Lien effective

(5) A notice of lien and charge under subsection (2) is effective from the time assigned to its registration by the registrar or branch registrar and expires on the fifth anniversary of its registration unless a renewal notice of lien and charge is registered under this section before the end of the five-year period, in which case the lien and charge remains in effect for a further five-year period from the date the renewal notice is registered.  1994, c. 18, s. 3 (18); 2001, c. 23, s. 115 (1).

Same

(6) If taxes remain outstanding and unpaid at the end of the period, or its renewal, referred to in subsection (5), the Minister may register a renewal notice of lien and charge; the lien and charge remains in effect for a five-year period from the date the renewal notice is registered, until the amount is fully paid, and shall be deemed to be continuously registered since the initial notice of lien and charge was registered under subsection (2).  2001, c. 23, s. 115 (2).

Where taxpayer not registered owner

(7) Where a taxpayer has an interest in real property but is not shown as its registered owner in the proper land registry office,

(a) the notice to be registered under subsection (1) shall recite the interest of the taxpayer in the real property; and

(b) a copy of the notice shall be sent to the registered owner at the owner’s address to which the latest notice of assessment under the Assessment Act has been sent.  1994, c. 18, s. 3 (18).

Secured party

(8) In addition to any other rights and remedies, if taxes or other amounts owed by a taxpayer remain outstanding and unpaid, the Minister has, in respect of a lien and charge under subsection (2),

(a) all the rights, remedies and duties of a secured party under sections 17, 59, 61, 62, 63 and 64, subsections 65 (4), (5), (6) and (7) and section 66 of the Personal Property Security Act;

(b) a security interest in the collateral for the purpose of clause 63 (4) (c) of that Act; and

(c) a security interest in the personal property for the purposes of sections 15 and 16 of the Repair and Storage Liens Act, if it is an article as defined in that Act.  1994, c. 18, s. 3 (18).

Registration of documents

(9) A notice of lien and charge under subsection (2) or any renewal of it shall be in the form of a financing statement or a financing change statement as prescribed under the Personal Property Security Act and may be tendered for registration at a branch office established under Part IV of that Act, or by mail addressed to an address prescribed under that Act.  1994, c. 18, s. 3 (18).

Errors in documents

(10) A notice of lien and charge or any renewal thereof is not invalidated nor is its effect impaired by reason only of an error or omission in the notice or in its execution or registration, unless a reasonable person is likely to be materially misled by the error or omission.  1994, c. 18, s. 3 (18).

Bankruptcy and Insolvency Act (Canada) unaffected

(11) Subject to Crown rights provided under section 87 of the Bankruptcy and Insolvency Act (Canada), nothing in this section affects or purports to affect the rights and obligations of any person under that Act.  1994, c. 18, s. 3 (18).

Effect of deemed trust

(11.1) The registration of a notice of lien and charge under this section does not affect the operation of section 18 and applies to secure any liability of a taxpayer in addition to any deemed trust under that section.  1998, c. 30, s. 49.

Definitions

(12) In this section,

“real property” includes fixtures and any interest of a taxpayer as lessee of real property; (“bien immeuble”)

“taxpayer” means any person assessed under this Act for tax, interest or penalties. (“contribuable”)  1994, c. 18, s. 3 (18).

Garnishment

20. (1) When the Minister has knowledge or suspects that a person (a “third party”) is, or within 365 days will become, indebted or liable to make any payment to a person (a “tax debtor”) liable to make a payment or remittance under this Act, the Minister may, by registered letter or by letter served personally, require the third party to promptly pay to the Minister any money that is otherwise payable by the third party to the tax debtor in whole or in part during the 365 days after the third party receives the letter.  2001, c. 23, s. 116 (1).

Idem

(2) The receipt of the Minister for money paid as required under this section is a good and sufficient discharge of the original liability to the extent of the payment.  R.S.O. 1990, c. G.5, s. 20 (2); 1994, c. 18, s. 3 (7).

Garnishment, loans and advances

(2.0.1) If the Minister has knowledge or suspects that within 365 days,

(a) a bank, credit union, trust corporation or other similar person (in this section referred to as the “institution”) will loan or advance money to, or make a payment on behalf of, or make a payment in respect of a negotiable instrument issued by a person who is liable to make a payment or remittance under this Act, who is indebted to the institution and who has granted security in respect of the indebtedness; or

(b) a person other than an institution will loan or advance money to or make a payment on behalf of a person who is liable to make a payment or remittance under this Act and who the Minister knows or suspects,

(i) is employed by or engaged in providing services or property to that person or who was or will within 365 days be so employed or engaged, or

(ii) is not dealing at arm’s length with that person,

the Minister may, by registered letter, or by letter served personally, require the institution or person, as the case may be, to pay forthwith to the Minister on account of the liability of the person liable to make a payment or remittance under this Act all or part of the money that would otherwise have been loaned, advanced or paid, and any money paid to the Minister shall be deemed to have been loaned, advanced or paid, as the case may be, to the person liable to make a payment or remittance under this Act.  2012, c. 8, Sched. 20, s. 2.

Same

(2.1) Despite any provision of this or any other Act, when the Minister has knowledge or suspects that a person is, or within 365 days will become, indebted or liable to make any payment to,

(a) a person whose property is subject to the deemed trust created by subsection 18 (1); or

(b) a secured creditor who has a right to receive the payment that, but for a security interest in favour of the secured creditor, would be payable to the person referred to in clause (a),

the Minister may by ordinary mail or by demand served personally, require the first-named person to pay forthwith to the Minister on account of the liability of the person referred to in clause (a) all or part of the money that would otherwise be paid, and any such payment shall become the property of Her Majesty in right of Ontario despite any security interest in it and shall be paid to the Minister in priority to any such security interest.  1998, c. 30, s. 50; 2001, c. 23, s. 116 (2).

Same

(2.2) Subsection (2.1) applies to amounts that become subject to a deemed trust under subsection 18 (1) on or after January 1, 1999, whether or not the security interest was acquired before that date.  1998, c. 30, s. 50.

Liability of debtor

(3) Every person who has discharged any liability to a person liable to make a payment or remittance under this Act without complying with the requirements under this section is liable to pay to the Minister an amount equal to the liability discharged or the amount that the person was required under this section to pay to the Minister, whichever is the lesser.  R.S.O. 1990, c. G.5, s. 20 (3); 1994, c. 18, s. 3 (7).

Same

(3.1) Every institution or person who fails to comply with a requirement under subsection (2.0.1) with respect to money to be loaned, advanced or paid is liable to pay the Crown in right of Ontario an amount equal to the lesser of,

(a) the aggregate of money so loaned, advanced or paid; or

(b) the amount that the institution or person was required under subsection (2.0.1) to pay to the Minister.  2012, c. 8, Sched. 20, s. 2.

Service of garnishee

(4) If a person (a “third party”) who is, or within 365 days will become, indebted or liable to make a payment to a person liable to make a payment or remittance under this Act, carries on business under a name or style other than the third party’s own name, the letter under this section from the Minister to the third party may be addressed using the name or style under which the third party carries on business and, in the case of personal service, the letter shall be deemed to have been validly served if it is left with an adult employed at the place of business of the addressee.  2001, c. 23, s. 116 (3).

Same

(5) If persons (“partners”) who are, or within 365 days will become, indebted or liable to make a payment to a person liable to make a payment or remittance under this Act, carry on business in partnership, the letter under this section from the Minister to the partners may be addressed to the partnership name and, in the case of personal service, the letter shall be deemed to have been validly served if it is served on a partner or left with an adult employed at the place of business of the partnership.  2001, c. 23, s. 116 (3).

Limitation

(6) Subsections (1) to (5) are subject to the Wages Act.  1992, c. 9, s. 13.

Application to court

(7) The Minister may apply to the Superior Court of Justice for an order, and the court may make the order, requiring any person to comply with a requirement under this section to remit money that the person has failed, without reasonable excuse, to remit to the Minister.  1992, c. 9, s. 13; 1994, c. 18, s. 3 (7); 2001, c. 23, s. 116 (4).

Certificate as to tax owing

21. (1)For the purposes of a prosecution under section 3.6, the Minister shall determine the amount of tax from such information as is available to the Minister and shall issue a certificate as to the amount, but, except where the Minister considers that there has been evasion or attempted evasion of this Act, the Minister shall not take into account a period of more than four years before the date of issue of the certificate in determining the amount of tax referred to in the certificate.  1992, c. 9, s. 14; 1998, c. 30, s. 51.

Proof

(2)In any prosecution under section 3.6, a certificate signed by the Minister or the Deputy Minister of Finance under subsection (1) is proof, in the absence of evidence to the contrary, of the amount of tax that should have been collected and of the authority of the person giving or making the certificate without proof of appointment or signature.  1992, c. 9, s. 14; 1994, c. 18, s. 3 (16).

(3)  Repealed:  1992, c. 9, s. 14.

(4)  Repealed:  1992, c. 9, s. 14.

(5)  Repealed:  1992, c. 9, s. 14.

Information

(6)Any information in respect of an offence under this Act may be for one or more than one offence, and no information, warrant, conviction or other proceeding in a prosecution under this Act is objectionable or insufficient by reason of the fact that it relates to two or more offences.

Other remedy

(7)Neither the application of this section nor the enforcement of any penalty hereunder suspends or affects any remedy for the recovery of any tax payable under this Act.  R.S.O. 1990, c. G.5, s. 21 (6, 7).

22. Repealed:  1992, c. 9, s. 15.

Offence, false statements

23. (1)Every person is guilty of an offence who,

(a) makes, participates in, assents to or acquiesces in the making of false or deceptive statements in a return, certificate, statement or answer, delivered or made as required by or under this Act or the regulations;

(b) to evade payment of a tax imposed by this Act, destroys, alters, mutilates, hides or otherwise disposes of the records or books of account of a purchaser, person liable to pay tax under subsection 2 (4.1), retailer, wholesaler, collector, importer, exporter, interjurisdictional carrier or interjurisdictional transporter;

(c) makes, assents to or acquiesces in the making of false or deceptive entries or omits, assents to or acquiesces in the omission to enter a material particular in records or books of account of a purchaser, person liable to pay tax under subsection 2 (4.1), retailer, wholesaler, collector, importer, exporter, interjurisdictional carrier or interjurisdictional transporter;

(d) wilfully, in any manner, evades or attempts to evade compliance with this Act or payment of taxes imposed by this Act; or

(e) conspires with another person to commit an offence described in clauses (a) to (d).  1992, c. 9, s. 16; 1996, c. 10, s. 14; 1998, c. 30, s. 52.

Penalty

(2)Every person who is guilty of an offence under subsection (1) is liable on conviction to a fine of not less than an amount equal to the amount of the tax that should have been declared to be collectable or payable or that was sought to be evaded and not more than triple the amount of the tax, or to imprisonment for a term of not more than two years, or to both.  1992, c. 9, s. 16.

General penalty

24. (1)Every person who contravenes any provision of this Act or the regulations for which no other penalty is provided is guilty of an offence and on conviction is liable to a fine of not less than $200 and not more than $5,000.

Limitation period

(2)Proceedings in respect of an offence against this Act or the regulations shall not be commenced more than six years after the date when the offence occurred or is alleged to have occurred.  1992, c. 9, s. 17.

Officers, etc., of corporations

25. Any officer, director or agent of a corporation who directed, authorized, assented to, acquiesced in or participated in the commission of any act which is an offence under this Act for which the corporation would be liable for prosecution is guilty of an offence and on conviction is liable to the punishment provided for the offence whether or not the corporation has been prosecuted or convicted.  R.S.O. 1990, c. G.5, s. 25.

Directors

25.1 (1) If a corporation has failed to collect tax under this Act or has collected tax and failed to remit the tax or has failed to pay any interest or penalty related thereto, the directors of the corporation at the time the corporation was required to collect or remit the taxes or to pay the interest or penalty related thereto are jointly and severally liable, together with the corporation, to pay such amounts.  1992, c. 9, s. 18.

Exception

(2) A director of a corporation is not liable under subsection (1) unless,

(a) a warrant of execution for the amount of the corporation’s liability as described in subsection (1) has been issued under clause 19 (1) (b) and the warrant has been returned by the sheriff unsatisfied in whole or in part;

(a.1) the corporation has commenced proceedings under the Companies’ Creditors Arrangement Act (Canada);

(a.2) the corporation has become bankrupt due to an assignment or receiving order or it has filed a notice of intention to file or a proposal under the Bankruptcy and Insolvency Act (Canada), and a claim for the amount of the corporation’s liability referred to in subsection (1) has been proven within six months after the date of the assignment, receiving order or filing of the proposal; or

(b) the corporation becomes subject to a proceeding to which section 18 applies and a claim is made under that section during the period beginning on the date on which the Minister should have been advised of the commencement of those proceedings and ending on the date that is six months after the remaining property of the collector or registered importer has been finally disposed of.  1992, c. 9, s. 18; 1998, c. 30, s. 53; 2011, c. 9, Sched. 18, s. 4.

Prudent director

(3) A director of a corporation is not liable for a failure described in subsection (1) if the director exercised the degree of care, diligence and skill to prevent the failure that a reasonably prudent person would exercise in comparable circumstances.  1992, c. 9, s. 18.

Assessment

(4) The Minister may assess any person for any amount payable by the person under this section and, where the Minister sends a notice of assessment, the sections of this Act respecting assessments, objections and appeals apply with necessary modifications.  1992, c. 9, s. 18.

Time limit

(5) Any assessment under subsection (4) shall not be made more than two years after the person last ceased to be a director of the corporation.  1992, c. 9, s. 18.

Execution

(6) If execution referred to in clause (2) (a) has been issued, the amount recoverable from a director is the amount remaining unsatisfied after execution.  1992, c. 9, s. 18.

Idem

(7) If a director of a corporation pays an amount in respect of a corporation’s liability described in subsection (1) that is proved in liquidation, dissolution or bankruptcy proceedings, the director is entitled to any preference that Her Majesty in right of Ontario would be entitled to had the amount not been so paid and, where the warrant of execution has been issued under clause 19 (1) (b), the director is entitled to the assignment of the warrant of execution to the extent of the director’s payment, and the Minister may make the assignment.  1992, c. 9, s. 18.

Allocation by the Minister

(8) For the purposes of this section, the Minister may apply any payment or payments made by or on behalf of the corporation under this Act to any of the liabilities described in subsection (1) including penalties and interest relating thereto and to any liability for tax payable under this Act including any penalty and interest relating thereto.  1992, c. 9, s. 18.

26. Repealed:  1992, c. 9, s. 19.

27. Repealed:  1992, c. 9, s. 19.

Overpayments

28. (1)Where a person has remitted to the Minister a greater amount of money for a period than was required by this Act to be remitted for that period, or a greater amount than was payable by the person, the Minister shall either refund the overpayment or, at the option of the Minister, apply the amount of the overpayment to liability of the person with respect to a previous or subsequent period, in which latter case the Minister shall notify the person of such action.  R.S.O. 1990, c. G.5, s. 28 (1); 1994, c. 18, s. 3 (9).

Idem

(2)Where an amount in respect of an overpayment is refunded or applied on other liability, interest at such rate as is prescribed by the regulations computed and compounded daily shall be paid or applied thereon for the period commencing on the day the overpayment arose and ending with the day of refunding or application on other liability, unless the amount of interest so calculated is less than $5 in which event no interest need be paid or applied under this subsection.  R.S.O. 1990, c. G.5, s. 28 (2); 1994, c. 18, s. 3 (19).

Idem

(3)Where by a decision of the Minister under section 13 or by a decision of the court it is finally determined that the tax payable under this Act by a person is less than the amount assessed by the assessment to which objection was made or from which the appeal was taken and the decision makes it appear that there has been an overpayment of tax, the interest payable under subsection (2) on the overpayment shall be computed at the rate prescribed by the regulations.  R.S.O. 1990, c. G.5, s. 28 (3).

Limitation

(4)Despite subsection (1), no refund or application of an overpayment of tax shall be made unless, within four years following the date when such overpayment was first made, an application for the refund thereof is made to the Minister and it is established within such four years to the satisfaction of the Minister that the amount a refund of which is sought was not payable under this Act.  R.S.O. 1990, c. G.5, s. 28 (4); 1998, c. 30, s. 54.

Exception

(5)Where, as the result of an assessment or re-assessment or the final decision of a court in proceedings commenced under section 14, the person assessed or re-assessed or the appellant, as the case may be, has overpaid the tax payable under this Act, the amount of such overpayment shall be refunded or applied in accordance with subsection (1) and despite the limitations contained in subsection (4).  R.S.O. 1990, c. G.5, s. 28 (5).

Application to other liabilities

(6)Instead of making a refund under this Act or the regulations, if any person is liable or is about to become liable to make a payment under this Act or under any other Act administered by the Minister that imposes a tax or is prescribed by the regulations, the Minister may apply the amount of the overpayment to the liability and, in that case, the Minister shall notify the person that the action has been taken.  1994, c. 18, s. 3 (20).

Note: Subsection 28 (6), as enacted by the Statutes of Ontario, 1994, chapter 18, subsection 3 (20), applies to applications for refunds made after June 23, 1994, whether the right to the refund arose before or after June 23, 1994.  See:  1994, c. 18, s. 3 (27).

Refund by collector, sale on reserve

28.1 (1) A retailer who is eligible for the purposes of this subsection and sells gasoline to persons exempt from the payment of the tax imposed by this Act under paragraph 3 of subsection 9 (1) of Regulation 533 of the Revised Regulations of Ontario, 1990 (General) may apply to the Minister through the collector from whom the retailer purchased the gasoline for a refund of amounts paid on account of tax by the retailer in respect of the gasoline.  2004, c. 31, Sched. 16, s. 6.

Eligible retailer

(1.1) A retailer is eligible for the purposes of subsection (1) if the retailer carries on business,

(a) on a reserve, as defined in the Indian Act (Canada); or

(b) in an Indian Settlement located on Crown land, the Indian inhabitants of which are treated by the federal Department of Indian Affairs and Northern Development in the same manner as Indians residing on a reserve.  2004, c. 31, Sched. 16, s. 6.

Evidence on application

(2) In making any application under subsection (1), the retailer shall provide such evidence of the sale to the person exempt from tax under this Act as the Minister may require.  1994, c. 18, s. 3 (21).

Application of refund

(3) Upon receipt of an application under subsection (1), a collector shall either refund the amount or apply the amount to other liabilities of the retailer.  1994, c. 18, s. 3 (21).

Exception

(4) Where the Minister considers it appropriate to do so, the Minister may require a retailer referred to in subsection (1) to apply for refunds under subsection 28 (1) and, upon notification by the Minister to the retailer and the collector, no further refunds shall be made under this section.  1994, c. 18, s. 3 (21).

Deemed refund by Minister

(5) Any refunds made under this section shall be deemed to have been made by the Minister.  1994, c. 18, s. 3 (21).

Adjustments for temperature

Application by eligible retailer

28.2 (1)An eligible retailer who purchases gasoline measured by the adjusted temperature method and sells it measured by the unadjusted temperature method may apply to the Minister to receive an amount calculated in the manner directed by the Minister in respect of the amount the retailer paid to the collector or wholesaler (from whom the gasoline is purchased) on account of tax in respect of the gasoline.

Application by eligible wholesaler

(2)An eligible wholesaler who is not designated a collector and who purchases gasoline measured by the adjusted temperature method and sells it measured by the unadjusted temperature method may apply to the Minister to receive an amount calculated in the manner directed by the Minister in respect of the amount the wholesaler paid to the collector (from whom the gasoline is purchased) on account of tax in respect of the gasoline.

Same

(3)The application shall be made on the form and in the manner approved by the Minister and shall be given to the collector or wholesaler from whom the person purchases the gasoline.

Evidence of entitlement

(4)Upon the Minister’s request, the applicant shall give the Minister evidence satisfactory to the Minister to prove that the applicant is entitled under this section to the amount for which the application is made.

Payment on behalf of Minister

(5)The collector or wholesaler may make the payment to the applicant on behalf of the Minister at the time of purchase of the gasoline and shall do so in a manner approved by the Minister.

Termination of authority to make payments

(6)The Minister may, by notice in writing, require a collector or wholesaler to cease making payments under this section or to cease making payments under this section to persons named in the notice, and the collector or wholesaler shall comply with the notice in accordance with its terms.

Collector may reduce amounts transmitted

(7)A collector may reduce the amounts required to be transmitted to the Minister under subsection 9 (1) by the amount of the payments made by the collector on behalf of the Minister under this section, until the collector receives notice from the Minister that the Minister has determined that all or part of an amount paid under this section is disallowed as an amount that was not properly payable under this section.

Collection of amounts paid

(8)If the Minister notifies a collector that an amount paid by the collector on behalf of the Minister under this section is disallowed by the Minister, the amount shall be deemed to be tax payable under this Act that the collector is required to remit to the Minister at the time indicated in the notice.

Wholesaler may apply for reimbursement

(9)If a wholesaler who is not designated a collector has paid an amount under this section to an eligible retailer or an eligible wholesaler, the wholesaler may apply to the Minister, in the manner directed by the Minister, to be reimbursed for the amount paid.

Application under s. 28

(10)Despite subsection (1) or (2), the Minister may require an eligible retailer or an eligible wholesaler to apply under section 28 to receive amounts otherwise payable under this section; if the Minister does so, no application may be made under this section in respect of those amounts.

Same

(11)For the purposes of an application under section 28 that is required by the Minister under this section, amounts otherwise payable under this section shall be deemed to be overpayments.

Definitions

(12)In this section,

“eligible retailer” means a retailer who is an eligible retailer under the prescribed rules; (“détaillant admissible”)

“eligible wholesaler” means a wholesaler who is an eligible wholesaler under the prescribed rules. (“grossiste admissible”)  1998, c. 30, s. 55.

Misrepresentation in application for refund

29. (1) The Minister may deny all or part of the amount of a refund claimed under this Act, and may impose a penalty in an amount not more than the amount denied, if a material fact is misrepresented on or in connection with the application or in a document referred to in or delivered in support of the application.  1992, c. 9, s. 20; 1998, c. 30, s. 56.

Offence

(2) Every person who, by deceit, falsehood or any other fraudulent means, obtains or attempts to obtain a refund under this Act or the regulations to which the person is not entitled is guilty of an offence and on conviction is liable to a fine of not less than $500 and not more than $10,000, to which may be added a fine of not more than double the amount of the refund the person obtained or sought to obtain, or to imprisonment for a term of not more than two years, or to both.  2006, c. 33, Sched. L, s. 8.

Relief from interest

30. Where, owing to special circumstances, it is considered inequitable that the whole amount of interest imposed by this Act be paid, the Minister may exempt a person from payment of the whole or any part of the interest.  R.S.O. 1990, c. G.5, s. 30.

Communication of information

31. (1)Except as authorized by this section, no person employed by the Government of Ontario shall,

(a) knowingly communicate or knowingly allow to be communicated to any person any information obtained by or on behalf of the Minister for the purposes of this Act; or

(b) knowingly allow any person to inspect or to have access to any book, record, writing, return or other document obtained by or on behalf of the Minister for the purposes of this Act.

Officials not compellable as witnesses

(2)Despite any other Act, but subject to subsection (3), no person employed by the Government of Ontario shall be required, in connection with any legal proceedings,

(a) to give evidence relating to any information obtained by or on behalf of the Minister for the purposes of this Act; or

(b) to produce any book, record, writing, return or other document obtained by or on behalf of the Minister for the purposes of this Act.

Exceptions for legal proceedings

(3)Subsections (1) and (2) do not apply in respect of,

(a) criminal proceedings under any Act of the Parliament of Canada; or

(b) proceedings in respect of the trial of any person for an offence under an Act of the Legislature; or

(c) proceedings relating to the administration or enforcement of this Act or the collection or assessment of tax.  R.S.O. 1990, c. G.5, s. 31 (1-3).

Exception for administration

(4)A person employed by the Government of Ontario may, in the course of duty in connection with the administration or enforcement of this Act,

(a) communicate or allow to be communicated to another person employed by the Government of Ontario in the administration and enforcement of any law, information obtained by or on behalf of the Minister for the purposes of this Act; or

(b) allow another person employed by the Government of Ontario in the administration or enforcement of any law to inspect or have access to any record or thing obtained by or on behalf of the Minister for the purposes of this Act.

Reciprocal communication

(4.1)A person who receives information or obtains access to any record or thing under subsection (4) has a duty to communicate or furnish to the Minister on a reciprocal basis any information, record or thing obtained by the person that affects the administration or enforcement of this Act.

Use of information

(4.2)Any information, record or thing communicated or furnished under this section may be used only for the administration or enforcement of this Act or an Act that is administered or enforced by the person receiving the information, record or thing.  1992, c. 9, s. 21 (1).

Exception for objection or appeals, etc.

(5)Despite anything in this Act, the Minister may permit a copy of any book, record, writing, return or other document obtained by the Minister or on his or her behalf for the purposes of this Act to be given to,

(a) the person from whom the book, record, writing, return or other document was obtained; or

(b) any person,

(i) for the purposes of any objection or appeal that has been or may be taken by that person under this Act arising out of any assessment of tax, interest or penalties under this Act in connection with which the book, record, writing, return or other document was obtained, or

(ii) by whom any amount payable under this Act is payable or has been paid,

or the legal representative of any person mentioned in clause (a) or (b) or the agent of any such person authorized in writing in that behalf.  R.S.O. 1990, c. G.5, s. 31 (5).

Information

(6)The Minister may permit information or a copy of any record or thing obtained by or on behalf of the Minister for the purposes of this Act to be given to any person employed by any government if,

(a) information, records or things obtained by that government for the purpose of any Act that imposes a tax or duty are communicated or furnished on a reciprocal basis to the Minister; and

(b) the information, record or thing will not be used for any purpose other than the administration or enforcement of a law that provides for the imposition of a tax or duty.  1992, c. 9, s. 21 (2).

(7)Repealed:  1994, c. 18, s. 3 (22).

Offence

(8)Every person who contravenes this section is guilty of an offence and on conviction is liable to a fine of not more than $2,000.  1992, c. 9, s. 21 (3).

Disclosure of names and addresses

31.1 (1) The Minister shall disclose the name and address of the following persons for purposes related to the administration of this Act and may impose conditions and restrictions with respect to the disclosure:

1. Each manufacturer who holds a registration certificate under subsection 2.1 (1).

2. Each collector who is designated under subsection 3 (1).

3. Each person who is registered under the Act as an importer.

4. Each person who is registered under the Act as an exporter.

5. Each person who is registered under the Act as an interjurisdictional transporter.  2004, c. 31, Sched. 16, s. 7.

Exception

(2) Despite subsection (1), the Minister shall not disclose a person’s name or address if, in the Minister’s opinion, the disclosure is not necessary for the purposes of this Act.  2004, c. 31, Sched. 16, s. 7.

Interjurisdictional settlement of competing tax claims

32. (1) For the purpose of simplifying compliance with this Act and the administration and collection of the tax imposed by this Act, and in order to provide for reciprocal arrangements to settle competing claims for tax on the acquisition and use of gasoline, aviation fuel or propane by persons carrying on business in more than one jurisdiction, the Minister may enter into an agreement, on such terms and conditions as are considered necessary and expedient, with another jurisdiction providing that tax paid to one jurisdiction on the acquisition there of gasoline, aviation fuel or propane that is transferred to the other jurisdiction and that becomes liable to tax in the other jurisdiction under this Act or any similar legislation in force in the other jurisdiction may be paid by one jurisdiction to the other in reduction of the liability to the tax arising in the jurisdiction receiving the payment and in lieu of refunding the tax to the person who paid it and who became liable for the similar tax in the other jurisdiction.  2004, c. 31. Sched. 16, s. 8.

Payment for services

(2) An agreement entered into under subsection (1) may authorize payments to the other jurisdiction for services provided under the agreement and may authorize the other jurisdiction to deduct the amount of the payments from amounts payable to the Minister under the agreement.  2004, c. 31. Sched. 16, s. 8.

Agreement with the Federal Government

32.1 (1) The Minister, on behalf of the Province, may enter into an agreement with the Federal Government respecting the administration and enforcement of this Act.  2001, c. 23, s. 118.

Effect of agreement

(2) The Federal Government is acting as the agent of the Province when providing services under the agreement.  2001, c. 23, s. 118.

Compensation

(3) Amounts owing to the Federal Government under the agreement for providing services shall be paid from amounts collected under the agreement on behalf of the Minister, if the agreement so provides.  2001, c. 23, s. 118.

Protection from liability

(4) No action or proceeding shall be commenced against a person who is acting as agent of the Province under subsection (2) for any act that is in good faith done or omitted in the performance or intended performance of the agent’s duties under this Act or the agreement or in the exercise or intended exercise of the agent’s powers under this Act or the agreement.  2001, c. 23, s. 118.

Liability of the Crown

(5) Despite subsections 5 (2) and (4) of the Proceedings Against the Crown Act, subsection (4) does not relieve the Province of a liability to which the Province would otherwise be subject in respect of a tort.  2001, c. 23, s. 118.

Definitions

(6) In this section,

“Federal Government” means Her Majesty in right of Canada or an agency of Her Majesty in right of Canada; (“gouvernement fédéral”)

“Province” means Her Majesty in right of Ontario. (“Province”)  2001, c. 23, s. 118.

Regulations

33. (1) The Lieutenant Governor in Council may make regulations,

(a) providing for the furnishing of information relating to the sale or delivery of gasoline, aviation fuel or propane that is exempt from the tax imposed by this Act;

(b) providing for the calculation and payment of interest on amounts paid in excess of the tax imposed by this Act and prescribing the rate of such interest;

(b.1) defining any word or expression used in this Act that has not already been defined in this Act;

(c) excluding products from this Act;

(d) designating products to be aviation fuel;

(e) exempting any class of persons from the payment of the tax imposed by this Act and establishing the procedure that any class of persons must follow to secure exemption from tax;

(f) providing for the refund of tax in whole or in part owing to special circumstances, and prescribing the terms and conditions under which such refund may be made;

(g) prescribing the rates of interest payable under this Act;

(h) Repealed:  1994, c. 18, s. 3 (24).

(i) respecting any matter necessary or advisable to carry out effectively the intent and purpose of this Act.  R.S.O. 1990, c. G.5, s. 33 (1); 1992, c. 9, s. 22 (1, 2); 1994, c. 18, s. 3 (23, 24).

Idem

(2) The Minister may make regulations,

(a) Repealed:  1997, c. 19, s. 8 (5).

(b) prescribing records to be kept by persons, information to be shown and a return to be delivered by a person and prescribing times or periods of time for the delivery of a return by any person or class of persons;

(c) providing for the refund of the tax paid under this Act or any portion thereof, to any purchaser or class of purchasers, and prescribing the records and material to be furnished upon any application for a refund and prescribing the terms and conditions under which the refund may be made;

(c.1) providing for a refund to a purchaser or class of purchasers of all or part of the tax paid under this Act in respect of gasoline used to operate auxiliary equipment, providing that the refund may be calculated using a gasoline consumption rating system approved by the Minister, prescribing the records and material to be furnished on an application for a refund and prescribing the terms and conditions under which the refund may be made;

(d) prescribing anything that the Minister is permitted or required by this Act to prescribe;

(e) prescribing information to be contained in certificates of registration or any class of them issued under this Act and attaching additional conditions to the use of such certificates or class;

(f) prescribing conditions and restrictions affecting interjurisdictional transporters, importers, interjurisdictional carriers and exporters;

(g) prescribing one or more methods for calculating unverifiable losses and excess unverifiable losses, for the purposes of subsection 11 (7.1), and prescribing one or more thresholds for the purposes of that subsection;

(h) prescribing records to be kept and information to be included on invoices for the purposes of section 15;

(h.1) respecting any matter the Minister considers necessary or advisable relating to an inventory report under subsection 16 (1.1);

(i) prescribing the method of collecting and remitting the tax imposed by this Act to be followed by collectors, registered importers, wholesalers and retailers;

(j) governing the issuance and use of registration decals;

(k) governing the manner in which a refund referred to in subsection 28.1 (4) may be made;

(l) providing for transitional matters which, in the Minister’s opinion, are necessary or desirable to facilitate the implementation of the tax rate increases set out in subsection 2 (2), as re-enacted by Schedule 11 to the Building Opportunity and Securing Our Future Act (Budget Measures), 2014. R.S.O. 1990, c. G.5, s. 33 (2); 1991, c. 13, s. 8; 1992, c. 9, s. 22 (3, 4); 1996, c. 10, s. 15; 1997, c. 19, s. 8 (5-8); 2001, c. 23, s. 119; 2002, c. 22, s. 93; 2004, c. 31, Sched. 16, s. 9; 2005, c. 31, Sched. 8, s. 3; 2014, c. 7, Sched. 11, s. 3.

General or specific

(2.1) A regulation made under clause (2) (i) may be general or particular in its application and may be limited to specific types of collectors, registered importers, wholesalers or retailers.  1998, c. 30, s. 57.

Retroactivity

(3) A regulation is, if it so provides, effective with reference to a period before it was filed with the Registrar of Regulations.  R.S.O. 1990, c. G.5, s. 33 (3).

Forms

33.1 (1)The Minister may approve the use of forms for any purpose of this Act and the forms may provide for such information to be furnished as the Minister may require.

Fees

(2)The Minister may establish and charge fees for anything that the Minister or the Ministry is required or authorized to do under this Act.  1997, c. 19, s. 8 (9).

Interjurisdictional agreements

34. (1)In this section,

“fuel” means gasoline, propane or natural gas.

Reciprocal agreement

(2)The Minister may enter into a reciprocal agreement with any other jurisdiction, under which the Minister may exempt from some or all of the provisions of this Act interjurisdictional carriers who use in Ontario fuel on which a tax has been paid to the other jurisdiction, on condition that the other jurisdiction grants equivalent privileges with respect to fuel that is used there and on which a tax has been paid to Ontario.

International Fuel Tax Agreement

(3)The Minister may join the International Fuel Tax Agreement.

Other agreements

(4)The Minister may enter into a co-operative agreement with any other jurisdiction to permit base jurisdiction licensing of interjurisdictional carriers who use fuel in Ontario.

Contents of agreement

(5)An agreement entered into under subsection (2) or (4) may contain provisions to facilitate its administration and may,

(a) establish a means of determining the base jurisdiction for fuel users;

(b) establish record-keeping requirements for fuel users;

(c) establish audit procedures;

(d) provide for the exchange of information between Ontario and other jurisdictions;

(e) define “qualified motor vehicle” and “motor fuel”;

(f) establish bonding requirements for fuel users;

(g) establish reporting requirements and reporting periods for fuel users;

(h) establish methods of collecting fuel taxes and penalties and forwarding them to other jurisdictions;

(i) provide for the assessment of persons liable to pay tax, and their right to object and appeal.

Regulations

(6)The Lieutenant Governor in Council may make regulations that are necessary or advisable to implement an agreement entered into under this section.

Same

(7)A regulation made under subsection (6) may specify provisions of the Act that cease to apply to interjurisdictional carriers who adhere to the agreement and the provisions of the agreement that replace those provisions of the Act.

Payments under reciprocal agreements

(8)Despite this or any other Act, where the Minister has entered into an agreement under this section, the Minister may pay to another jurisdiction, inside or outside Canada, that part of the tax, and any interest and penalties, collected under this Act that is required to be paid under the agreement.

Payments out of Consolidated Revenue Fund

(9)The Minister shall pay the amounts under subsection (8) out of the Consolidated Revenue Fund.  1996, c. 10, s. 16.

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