name: Excise Act, 2001
unofficial_text: # Excise Act, 2001
  
  SC 2002, c 22
  
  An Act respecting the taxation of spirits, wine and tobacco and the treatment of ships’ stores
  
  Assented to 2002-6-13
  
  Her Majesty, by and with the advice and consent of the Senate and House of Commons of Canada, enacts as follows: 
  
  ## Short Title 
  
  ### Short title
  
  1 This Act may be cited as the Excise Act, 2001.  
  
  ## Interpretation 
  
  ### Definitions
  
  2 The definitions in this section apply in this Act.  
  *absolute ethyl alcohol* means the substance with the chemical composition C 2 H 5 OH. (alcool éthylique absolu)   
  *accredited representative* means a person who is entitled under the Foreign Missions and International Organizations Act to the tax exemptions specified in Article 34 of the Convention set out in Schedule I to that Act or in Article 49 of the Convention set out in Schedule II to that Act. (représentant accrédité)   
  *additional cannabis duty* means a duty imposed under section 158.2 or 158.22. (droit additionnel sur le cannabis)   
  *additional vaping duty* means a duty imposed under section 158.58. (droit additionnel sur le vapotage)   
  *Agency* means the Canada Revenue Agency continued by subsection 4(1) of the Canada Revenue Agency Act. (Agence)   
  *alcohol* means spirits or wine. (alcool)   
  *alcohol licensee* means a person who is a spirits licensee or a wine licensee. (titulaire de licence d’alcool)   
  *alcohol registrant* means a person who holds an alcohol registration issued under section 17. (détenteur autorisé d’alcool)   
  *analyst* means a person who is designated as an analyst under section 11. (analyste)   
  *approved formulation* means  
  (a) any product made with alcohol by a licensed user in accordance with a formula for which the user has approval from the Minister; and 
  (b) any imported product that, in the opinion of the Minister, would be a product under paragraph (a) if it were made in Canada by a licensed user. ( préparation approuvée)   
  *assessment* means an assessment under this Act and includes a reassessment. (cotisation)   
  *beer* means beer or malt liquor as defined in section 4 of the Excise Act. (bière)   
  *black stock*, in respect of manufactured tobacco, means that the tobacco is stamped but not marked in accordance with any statute of a province to indicate that it is intended for retail sale in a particular province or in particular provinces. (non ciblé)   
  *bottle-your-own premises* means premises in which, in accordance with the laws of the province in which they are located, alcohol is supplied from a marked special container of alcohol for the purpose of being packaged by a purchaser. (centre de remplissage libre-service)   
  *bulk*, in respect of alcohol, means alcohol that is not packaged. (en vrac)   
  *cannabis* has the same meaning as in subsection 2(1) of the Cannabis Act. (cannabis)   
  *cannabis duty* means a duty imposed under section 158.19 or 158.21. (droit sur le cannabis)   
  *cannabis excise stamp* means a stamp that is issued by the Minister under subsection 158.03(1) and that has not been cancelled under section 158.07. (timbre d’accise de cannabis)   
  *cannabis licensee* means a person that holds a cannabis licence issued under section 14. (titulaire de licence de cannabis)   
  *cannabis plant* has the same meaning as in subsection 2(1) of the Cannabis Act. (plante de cannabis)   
  *cannabis product* means  
  (a) a product that is cannabis but that is not industrial hemp produced or imported in accordance with the Cannabis Act or the Industrial Hemp Regulations,  
  (b) a product that is an industrial hemp by-product, 
  (c) anything that is made with or contains a product described in paragraph (a) or (b), or 
  (d) a prescribed substance, material or thing, but does not include a prescribed substance, material or thing. ( produit du cannabis)   
  *cigar* includes  
  (a) a cigarillo or cheroot; and 
  (b) any roll or tubular construction intended for smoking that consists of a filler composed of pieces of natural or reconstituted leaf tobacco, a binder of natural or reconstituted leaf tobacco in which the filler is wrapped and a wrapper of natural or reconstituted leaf tobacco. ( cigare)   
  *cigarette* includes any roll or tubular construction intended for smoking, other than a cigar or a tobacco stick. If a cigarette exceeds 102 mm in length, each portion of 76 mm or less is considered to be a separate cigarette. (cigarette)   
  *Commissioner* means the Commissioner of Revenue appointed under section 25 of the Canada Revenue Agency Act. (commissaire)   
  *container*, in respect of a tobacco product, a cannabis product or a vaping product, means a wrapper, package, carton, box, crate, bottle, vial or other container that contains the tobacco product, cannabis product or vaping product. (contenant)   
  *customs bonded carrier* means a person who transports or causes to be transported goods in accordance with section 20 of the Customs Act. (transporteur cautionné)   
  *customs bonded warehouse* means a place that is licensed as a bonded warehouse under the Customs Tariff. (entrepôt de stockage)   
  *customs bonded warehouse licensee* means a person licensed under the Customs Tariff to operate a bonded warehouse. (exploitant agréé d’entrepôt de stockage)   
  *data* means representations, in any form, of information or concepts. (données)   
  *denature* means to denature spirits into denatured alcohol or specially denatured alcohol using prescribed denaturants in the prescribed manner. (dénaturation)   
  *denatured alcohol* means any prescribed grade of denatured alcohol made from spirits in accordance with the prescribed specification for that grade. (alcool dénaturé)   
  *dried cannabis* has the same meaning as in subsection 2(1) of the Cannabis Act. (cannabis séché)   
  *dutiable amount*, in respect of a cannabis product, means  
  (a) if paragraph (b) does not apply, the amount determined by the formula is the total of the following amounts that the purchaser is liable to pay to the vendor by reason of, or in respect of, the sale of the cannabis product: 
  (i) the consideration, as determined for the purposes of Part IX of the Excise Tax Act, for the cannabis product,  
  (ii) any additional consideration, as determined for the purposes of that Part, for the container in which the cannabis product is contained, and 
  (iii) any amount of consideration, as determined for the purposes of that Part, that is in addition to the amounts referred to in subparagraphs (i) and (ii), whether payable at the same or any other time, including, but not limited to, any amount charged for or to make provision for advertising, financing, commissions or any other matter, is the percentage set out in paragraph 2(a) of Schedule 7, and is 
  (i) if additional cannabis duty in respect of a specified province is imposed on the cannabis product, the prescribed percentage in respect of the specified province, or 
  (ii) in any other case, 0%; and 
  (b) in prescribed circumstances, the amount determined in prescribed manner. ( somme passible de droits)   
  *duty* means, unless a contrary intention appears, the duty imposed under this Act and the duty levied under section 21.1 or 21.2 of the Customs Tariff and, except in Parts 3 and 4, includes special duty. (droit)   
  *duty free shop* means a place that is licensed as a duty free shop under the Customs Act. (boutique hors taxes)   
  *duty free shop licensee* means a person licensed under the Customs Act to operate a duty free shop. (exploitant agréé de boutique hors taxes)   
  *duty-paid market* means the market for goods in respect of which duty, other than special duty, is payable. (marché des marchandises acquittées)   
  *duty-paid value* means  
  (a) in respect of imported cigars, the value of the cigars as it would be determined for the purpose of calculating an ad valorem duty on the cigars in accordance with the Customs Act, whether or not the cigars are subject to ad valorem duty, plus the amount of any duty imposed on the cigars under section 42 of this Act and section 20 of the Customs Tariff ; and  
  (b) in respect of imported cigars that, when imported, are contained in containers or otherwise prepared for sale, the total of the value of the cigars as determined in accordance with paragraph (a) and the value similarly determined of the container in which they are contained. ( valeur à l’acquitté)   
  *excise stamp* means a tobacco excise stamp, a cannabis excise stamp or a vaping excise stamp. (timbre d’accise)   
  *excise warehouse* means the premises of an excise warehouse licensee that are specified by the Minister as the excise warehouse of the licensee. (entrepôt d’accise)   
  *excise warehouse licensee* means a person who holds an excise warehouse licence issued under section 19. (exploitant agréé d’entrepôt d’accise)   
  *export* means to export from Canada. (exportation)   
  *ferment-on-premises facility* means the premises of a ferment-on-premises registrant that are specified by the Minister as the registrant’s ferment-on-premises facility. (vinerie libre-service)   
  *ferment-on-premises registrant* means a person who holds a ferment-on-premises registration issued under section 15. (exploitant autorisé de vinerie libre-service)   
  *fiscal half-year* means a fiscal half-year as determined under subsection 159(1.1). (semestre d’exercice)   
  *fiscal month* means a fiscal month as determined under section 159. (mois d’exercice)   
  *fiscal year* of a person means the same period that is the person’s fiscal year under Part IX of the Excise Tax Act. (exercice)   
  *flowering material* means the whole or any part (other than viable seeds) of an inflorescence of a cannabis plant at any stage of development, including the infructescence stage of development. (matière florifère)   
  *foreign duty free shop* means a retail store that is located in a country other than Canada and that is authorized under the laws of that country to sell goods free of certain duties and taxes to individuals who are about to leave that country. (boutique hors taxes à l’étranger)   
  *foreign ships’ stores* means tobacco products taken on board a vessel or aircraft while the vessel or aircraft is outside Canada and that are intended for consumption by or sale to the passengers or crew while the passengers and crew are on board the vessel or aircraft. (provisions de bord à l’étranger)   
  *fresh cannabis* has the same meaning as in subsection 1(1) of the Cannabis Regulations. (cannabis frais)   
  *Her Majesty* means Her Majesty in right of Canada. (Sa Majesté)   
  *immediate container*, in respect of a vaping substance, means the container that is in direct contact with the vaping substance. It does not include a vaping device. (contenant immédiat)   
  *import* means to import into Canada. (importation)   
  *industrial hemp* means cannabis that is industrial hemp for the purposes of the Cannabis Act or the Industrial Hemp Regulations. (chanvre industriel)   
  *industrial hemp by-product* means flowering material (other than viable achenes) or non-flowering material that has been removed or separated from an industrial hemp plant and that has not  
  (a) been disposed of by retting or by otherwise rendering it into a condition such that it cannot be used for any purpose not permitted under the Controlled Drugs and Substances Act ; or  
  (b) been disposed of in a similar manner under the Cannabis Act. (sous-produit de chanvre industriel)   
  *industrial hemp grower* means a person that holds a licence or permit under the Controlled Drugs and Substances Act or the Cannabis Act authorizing the person to produce industrial hemp plants. (producteur de chanvre industriel)   
  *industrial hemp plant* means a cannabis plant, including a seedling, that is industrial hemp. (plante de chanvre industriel)   
  *intoxicating liquor* has the same meaning as in section 2 of the Importation of Intoxicating Liquors Act. (boisson enivrante)   
  *judge*, in respect of any matter, means a judge of a superior court having jurisdiction in the province in which the matter arises or a judge of the Federal Court. (juge)   
  *licensed tobacco dealer* means a person who holds a tobacco dealer’s licence issued under section 14. (commerçant de tabac agréé)   
  *licensed user* means a person who holds a user’s licence issued under section 14. (utilisateur agréé)   
  *liquor authority* means a government board, commission or agency that is authorized by the laws of a province to sell intoxicating liquor. (administration des alcools)   
  *listed international agreement* means  
  (a) the Convention on Mutual Administrative Assistance in Tax Matters, concluded at Strasbourg on January 25, 1988, as amended from time to time by a protocol, or other international instrument, as ratified by Canada; or 
  (b) a comprehensive tax information exchange agreement that Canada has entered into and that has effect, in respect of another country or jurisdiction. ( accord international désigné)   
  *low-THC cannabis product* means a cannabis product  
  (a) consisting entirely of 
  (i) fresh cannabis, 
  (ii) dried cannabis, or 
  (iii) oil that contains anything referred to in item 1 or 3 of Schedule 1 to the Cannabis Act and that is in liquid form at a temperature of 22 ± 2°C; and  
  (b) any part of which does not have a maximum yield of more than 0.3% THC w/w, taking into account the potential to convert THCA into THC, as determined in accordance with the Cannabis Act. (produit du cannabis à faible teneur en THC)   
  *manufacture* includes  
  (a) in respect of a tobacco product, any step in the preparation or working up of raw leaf tobacco into the tobacco product, including packing, stemming, reconstituting, converting or packaging the raw leaf tobacco or tobacco product; and 
  (b) in respect of a vaping product, any step in the production of the vaping product, including inserting a vaping substance into a vaping device or packaging the vaping product. ( fabrication)   
  *manufactured tobacco* means every article, other than a cigar or packaged raw leaf tobacco, that is manufactured in whole or in part from raw leaf tobacco by any process. (tabac fabriqué)   
  *mark* means, in respect of  
  (a) a special container of spirits, to mark in the prescribed form and manner to indicate that the container is intended for 
  (i) delivery to and use by a registered user, or 
  (ii) delivery to and use at a bottle-your-own premises; and 
  (b) a special container of wine, to mark in the prescribed form and manner to indicate that the container is intended for delivery to and use at a bottle-your-own premises. ( marquer)   
  *Minister* means the Minister of National Revenue. (ministre)   
  *month* means a period beginning on a particular day in a calendar month and ending on  
  (a) the day immediately before the day in the next calendar month that has the same calendar number as the particular day; or 
  (b) if the next calendar month does not have a day that has the same calendar number as the particular day, the last day of that next calendar month. ( mois)   
  *non-duty-paid*, in respect of packaged alcohol or a cannabis product, means that duty (other than special duty in the case of alcohol) has not been paid on the alcohol or cannabis product. (non acquitté)   
  *non-flowering material* means any part of a cannabis plant other than flowering material, viable seeds and a part of the plant referred to in Schedule 2 to the Cannabis Act. (matière non florifère)   
  *officer* means, except in section 167, in the definition contact information in subsection 211(1) and in sections 226 and 296,  
  (a) a person who is appointed or employed in the administration or enforcement of this Act; 
  (b) a member of the Royal Canadian Mounted Police or a member of a police force designated under subsection 10(1); and 
  (c) with respect to imported goods that have not been released under the Customs Act, an officer as defined in subsection 2(1) of that Act. (préposé)   
  *packaged* means  
  (a) in respect of raw leaf tobacco, a tobacco product, a cannabis product or a vaping product, packaged in a prescribed package; or 
  (b) in respect of alcohol, packaged 
  (i) in a container of a capacity of not more than 100 L that is ordinarily sold to consumers without the alcohol being repackaged, or 
  (ii) in a marked special container. ( emballé)   
  *partially manufactured tobacco* means manufactured tobacco that is cut filler or cut rag or that is manufactured less fully than cut filler or cut rag. (tabac partiellement fabriqué)   
  *peace officer* has the same meaning as in section 2 of the Criminal Code. (agent de la paix)   
  *person* means an individual, a partnership, a corporation, a trust, the estate of a deceased individual, a government or a body that is a society, a union, a club, an association, a commission or another organization of any kind. (personne)   
  *personal use*, in relation to the use of a good by an individual, means the use of the good by the individual or by others at the individual’s expense. It does not include the sale or other commercial use of the good. (usage personnel)   
  *prescribed* means  
  (a) in the case of a form or the manner of filing a form, authorized by the Minister; 
  (b) in the case of the information to be given on or with a form, specified by the Minister; and 
  (c) in any other case, prescribed by regulation or determined in accordance with rules prescribed by regulation. ( Version anglaise seulement)   
  *prescription cannabis drug* means a cannabis product that is a drug that has been assigned a drug identification number under the Food and Drug Regulations, other than  
  (a) a drug or mixture of drugs that may, under the Food and Drugs Act or the Controlled Drugs and Substances Act, be sold to a consumer, as defined in subsection 123(1) of the Excise Tax Act, without a prescription, as defined in section 1 of Part I of Schedule VI to the Excise Tax Act ; or  
  (b) a prescribed cannabis product or a cannabis product of a prescribed class. ( drogue de cannabis sur ordonnance)   
  *produce* means  
  (a) in respect of spirits, to bring into existence by distillation or other process or to recover; 
  (b) in respect of wine, to bring into existence by fermentation; or 
  (c) in respect of a cannabis product, has the same meaning as in subsection 2(1) of the Cannabis Act but also includes packaging the cannabis product. (production)   
  *raw leaf tobacco* means unmanufactured tobacco or the leaves and stems of the tobacco plant. (tabac en feuilles)   
  *record* means any material on which data are recorded or marked and which is capable of being read or understood by a person or a computer system or other device. (registre)   
  *registered user* means a person who holds a user’s registration issued under section 16. (utilisateur autorisé)   
  *reporting period* means a reporting period as determined under section 159.1. (période de déclaration)   
  *responsible*, in relation to a person, means that  
  (a) in the case of bulk alcohol, the person is responsible for the bulk alcohol in accordance with sections 104 to 121; 
  (b) in the case of a cannabis product, the person is responsible for the cannabis product in accordance with sections 158.17 and 158.18; and 
  (c) in the case of a vaping product, the person is responsible for the vaping product in accordance with sections 158.54 to 158.56. ( responsable)   
  *restricted formulation* means an approved formulation on which the Minister has imposed the condition or restriction under section 143 that the formulation can only be used by a licensed user or be exported. (préparation assujettie à des restrictions)   
  *sale price*, in respect of cigars, means the total of  
  (a) the amount charged as the price for the cigars before an amount payable in respect of a tax under Part IX of the Excise Tax Act is added,  
  (b) the amount charged as the price for or in respect of the container in which the cigars are contained, 
  (c) any amount that the purchaser is liable to pay to the vendor by reason of or in respect of the sale of the cigars in addition to the amount charged as the price, whether payable at the same or any other time, including, but not limited to, any amount charged for or to make provision for advertising, financing, commissions or any other matter, and 
  (d) the amount of duty imposed on the cigars under section 42. ( prix de vente)   
  *SDA registrant* means a person who holds a specially denatured alcohol registration issued under section 18. (détenteur autorisé d’alcool spécialement dénaturé)   
  *special container* means  
  (a) in respect of spirits, a container of a capacity of more than 100 L but not more than 1,500 L; and 
  (b) in respect of wine, a container of a capacity of more than 100 L. ( contenant spécial)   
  *special duty* means  
  (a) in respect of a tobacco product, a special duty imposed under subsection 53(1), 54(2) or 56(1); and 
  (b) in respect of imported spirits, the special duty imposed under subsection 133(1). ( droit spécial)   
  *special excise warehouse* means the premises of a special excise warehouse licensee that are specified by the Minister as the special excise warehouse of the licensee. (entrepôt d’accise spécial)   
  *special excise warehouse licensee* means a person who holds a special excise warehouse licence issued under section 20. (exploitant agréé d’entrepôt d’accise spécial)   
  *specially denatured alcohol* means any prescribed grade of specially denatured alcohol made from spirits in accordance with the prescribed specification for that grade. (alcool spécialement dénaturé)   
  *specified premises*, in respect of a licensed user, means the premises of the licensed user that are specified by the Minister under subsection 23(3). (local déterminé)   
  *specified province* means a prescribed province. (province déterminée)   
  *specified vaping province* means a prescribed province. (province déterminée de vapotage)   
  *spirits* means any material or substance containing more than 0.5% absolute ethyl alcohol by volume other than  
  (a) wine; 
  (b) beer; 
  (c) vinegar; 
  (d) denatured alcohol; 
  (e) specially denatured alcohol; 
  (f) fusel oil or other refuse produced as a result of the distillation process; 
  (g) an approved formulation; or 
  (h) any product containing or manufactured from a material or substance referred to in paragraphs (b) to (g) that is not consumable as a beverage. ( spiritueux)   
  *spirits licensee* means a person who holds a spirits licence issued under section 14. (titulaire de licence de spiritueux)   
  *stamped* means  
  (a) in respect of a tobacco product, that a tobacco excise stamp, and all prescribed information in a prescribed format in respect of the tobacco product, are stamped, impressed, printed or marked on, indented into or affixed to the tobacco product or its container in the prescribed manner to indicate that duty, other than special duty, has been paid on the tobacco product; 
  (b) in respect of a cannabis product, that a cannabis excise stamp, and all prescribed information in a prescribed format in respect of the cannabis product, are stamped, impressed, printed or marked on, indented into or affixed to the cannabis product or its container in the prescribed manner to indicate that duty has been paid on the cannabis product; and 
  (c) in respect of a vaping product, that a vaping excise stamp, and all prescribed information in a prescribed format in respect of the vaping product, are stamped, impressed, printed or marked on, indented into or affixed to the vaping product or its container in the prescribed manner to indicate that duty has been paid on the vaping product. ( estampillé)   
  *sufferance warehouse* has the same meaning as in subsection 2(1) of the Customs Act. (entrepôt d’attente)   
  *sufferance warehouse licensee* means a person licensed under the Customs Act to operate a sufferance warehouse. (exploitant agréé d’entrepôt d’attente)   
  *take for use* means  
  (a) in respect of alcohol, to consume, analyze or destroy alcohol or to use alcohol for any purpose that results in a product other than alcohol; and 
  (b) in respect of a cannabis product or a vaping product, to consume, analyze or destroy the cannabis product or vaping product. ( utilisation pour soi)   
  *Tax Court* means the Tax Court of Canada. (Cour de l’impôt)   
  *THC* means Δ 9 -tetrahydrocannabinol ((6aR, 10aR)-6a, 7,8,10a-tetrahydro-6,6,9-trimethyl-3-pentyl-6H-dibenzo [b,d] pyran-1-ol). (THC)   
  *THCA* means delta-9-tetrahydrocannabinolic acid. (ATHC)   
  *tobacco dealer* means a person, other than a tobacco licensee, who purchases for resale, sells or offers to sell raw leaf tobacco on which duty is not imposed under this Act. (commerçant de tabac)   
  *tobacco excise stamp* means a stamp that is issued by the Minister under subsection 25.1(1) and that has not been cancelled under section 25.5. (timbre d’accise de tabac)   
  *tobacco licensee* means a person who holds a tobacco licence issued under section 14. (titulaire de licence de tabac)   
  *tobacco manufacturing equipment* means any machinery or equipment designed or modified specifically for the manufacture of a tobacco product. (matériel de fabrication du tabac)   
  *tobacco marking* means prescribed information that is required under this Act to be printed on or affixed to a container of tobacco products that are not required under this Act to be stamped. (mention obligatoire)   
  *tobacco product* means manufactured tobacco, packaged raw leaf tobacco or cigars. (produit du tabac)   
  *tobacco stick* means any roll or tubular construction of tobacco intended for smoking, other than a cigar, that requires further preparation to be consumed. If a tobacco stick exceeds 90 mm in length or 800 mg, each portion of 60 mm or less or each portion of 650 mg or less, respectively, is considered to be a separate stick. (bâtonnet de tabac)   
  *total THC* of a cannabis product means the total quantity of THC, in milligrams, that the cannabis product could yield, taking into account the potential to convert THCA into THC, as determined in accordance with the Cannabis Act. (THC total)   
  *vaping device* means property (other than prescribed property) that is  
  (a) a device that produces emissions in the form of an aerosol and is intended to be brought to the mouth for inhalation of the aerosol; 
  (b) a vaping pod or another part that may be used with a device referred to in paragraph (a); or 
  (c) a prescribed property. ( dispositif de vapotage)   
  *vaping duty* means a duty imposed under section 158.57. (droit sur le vapotage)   
  *vaping excise stamp* means a stamp that is issued by the Minister under subsection 158.36(1) and that has not been cancelled under section 158.4. (timbre d’accise de vapotage)   
  *vaping product* means  
  (a) a vaping substance that is not contained within a vaping device; or 
  (b) a vaping device that contains a vaping substance. It does not include a cannabis product or a tobacco product. ( produit de vapotage)   
  *vaping product drug* means a vaping product (other than a prescribed vaping product) that is  
  (a) a drug that has been assigned a drug identification number under the Food and Drug Regulations ; or  
  (b) a prescribed vaping product. ( drogue de produit de vapotage)   
  *vaping product licensee* means a person that holds a vaping product licence issued under section 14. (titulaire de licence de produits de vapotage)   
  *vaping product marking* means prescribed information that is required under this Act to be printed on, or affixed to, a container of vaping products that are not required under this Act to be stamped. (mention obligatoire pour vapotage)   
  *vaping substance* means  
  (a) a substance or mixture of substances, whether or not it contains nicotine, that is produced to be used, or sold for use, with a vaping device to produce emissions in the form of an aerosol; or 
  (b) a prescribed substance, material or thing. It does not include a prescribed substance, material or thing. ( substance de vapotage)   
  *vegetative cannabis plant* means a cannabis plant, including a seedling, that has not yet produced reproductive structures, including flowers, fruits or seeds. (plante de cannabis à l’état végétatif)   
  *viable seed* means a viable seed of a cannabis plant that is not an industrial hemp plant. (graine viable)   
  *wine* means  
  (a) a beverage, containing more than 0.5% absolute ethyl alcohol by volume, that is produced without distillation, other than distillation to reduce the absolute ethyl alcohol content, by the alcoholic fermentation of 
  (i) an agricultural product other than grain, 
  (ii) a plant or plant product, other than grain, that is not an agricultural product, or 
  (iii) a product wholly or partially derived from an agricultural product or plant or plant product other than grain; 
  (b) sake; and 
  (c) a beverage described by paragraph (a) or (b) that is fortified not in excess of 22.9% absolute ethyl alcohol by volume. ( vin)   
  *wine licensee* means a person who holds a wine licence issued under section 14. (titulaire de licence de vin)  
  
  ### Dutiable amount — consideration
  
  2.1 The following rules apply in determining an amount of consideration for the purposes of the definition dutiable amount in section 2:  
  (a) if a provision of Part IX of the Excise Tax Act deems the consideration, or part of the consideration, for a supply not to be consideration for the supply, a supply to be made for no consideration or a supply not to have been made by a person, that deeming does not apply for that determination; and  
  (b) subsection 155(1) of that Act is to be read without reference to “and the recipient of the supply is not a registrant who is acquiring the property or service for consumption, use or supply exclusively in the course of commercial activities of the recipient,”. 
  
  ### References to other enactments
  
  3 A reference in this Act to a repealed enactment, or a portion of it, of the legislature of a province or territory shall, with respect to a subsequent transaction, matter or thing, be read as a reference to the provisions of any enactment replacing the repealed enactment or portion that relate to the same subject-matter as the repealed enactment or portion. If there is no replacement enactment or portion, or if there are no provisions in the replacement enactment that relate to the same subject-matter, the repealed enactment or portion shall be read as unrepealed in so far as is necessary to maintain or give effect to the reference. 
  
  ### Meaning of 
  *administration or enforcement of this Act* 
  
  4 For greater certainty, a reference in this Act to 
  *administration or enforcement of this Act* includes the collection of any amount payable under this Act.  
  
  ### Constructive possession
  
  5 (1) For the purposes of section 25.2, subsections 25.3(1), 30(1), 32(1) and 32.1(1), section 61, subsections 70(1) and 88(1), section 158.04, subsections 158.05(1) and 158.11(1) and (2), section 158.37, subsections 158.38(1) and 158.44(1) and (2), sections 230 and 231 and subsection 238.1(1), if one of two or more persons, with the knowledge and consent of the rest of them, has anything in the person’s possession, it is deemed to be in the custody and possession of each and all of them. 
  
  ### Definition of possession 
  
  (2) In this section and in section 25.2, subsections 25.3(1), 30(1), 32(1) and 32.1(1), section 61, subsections 70(1) and 88(1), section 158.04, subsections 158.05(1) and 158.11(1) and (2), section 158.37 and subsections 158.38(1), 158.44(1) and (2) and 238.1(1), 
  *possession* means not only having in one’s own personal possession but also knowingly  
  (a) having in the actual possession or custody of another person; or 
  (b) having in any place, whether belonging to or occupied by one’s self or not, for one’s own use or benefit or that of another person. 
  
  ### Arm’s length
  
  6 (1) For the purposes of this Act, 
  (a) related persons are deemed not to deal with each other at arm’s length; and 
  (b) it is a question of fact whether persons not related to each other were, at any particular time, dealing with each other at arm’s length. 
  
  ### Related persons
  
  (2) For the purposes of this Act, persons are related to each other if they are related persons within the meaning of subsections 251(2) to (6) of the Income Tax Act, except that  
  (a) a reference in those subsections to “corporation” shall be read as a reference to “corporation or partnership”; and 
  (b) a reference in those subsections to “shares” or “shareholders” shall, in respect of a partnership, be read as a reference to “rights” or “partners”, respectively. 
  
  ### Associated persons
  
  (3) For the purposes of this Act, a particular corporation is associated with another corporation if, by reason of subsections 256(1) to (6) of the Income Tax Act, the particular corporation is associated with the other corporation for the purposes of that Act.  
  
  ### Corporations controlled by same person or group
  
  (4) For the purposes of this Act, a person other than a corporation is associated with a particular corporation if the particular corporation is controlled by the person or by a group of persons of which the person is a member and each of whom is associated with each of the others. 
  
  ### Partnership or trust
  
  (5) For the purposes of this Act, a person is associated with 
  (a) a partnership if the total of the shares of the profits of the partnership to which the person and all other persons who are associated with the person are entitled is more than half of the total profits of the partnership, or would be more than half of the total profits of the partnership if it had profits; and 
  (b) a trust if the total of the values of the interests in the trust of the person and all other persons who are associated with the person is more than half of the total value of all interests in the trust. 
  
  ### Association with third person
  
  (6) For the purposes of this Act, a person is associated with another person if each of them is associated with the same third person. 
  
  # PART 1 
  
  ## Application and Administrative Matters 
  
  ## Application to Her Majesty 
  
  ### Act binding on Her Majesty
  
  7 This Act is binding on Her Majesty and Her Majesty in right of a province. 
  
  ## Administration and Officers 
  
  ### Minister’s duty
  
  8 The Minister shall administer and enforce this Act and the Commissioner may exercise the powers and perform the duties of the Minister under this Act. 
  
  ### Officers and employees
  
  9 (1) The officers, employees and agents that are necessary to administer and enforce this Act shall be appointed, employed or engaged in the manner authorized by law. 
  
  ### Delegation of powers
  
  (2) The Minister may authorize a designated officer or agent or a class of officers or agents to exercise powers or perform duties of the Minister, including any judicial or quasi-judicial power or duty of the Minister, under this Act. 
  
  ### Authorization
  
  (3) The Minister of Public Safety and Emergency Preparedness may authorize a designated officer or agent, or a class of officers or agents, to exercise powers and perform duties of that Minister under section 68. 
  
  ### Designation of police forces
  
  10 (1) The Minister and the Minister of Public Safety and Emergency Preparedness may designate any police force in Canada for the purposes of the enforcement of any of the provisions of this Act that are specified in the designation, subject to any terms and conditions specified in the designation, for any period specified in the designation. 
  
  ### Persons to have powers and duties of officers
  
  (2) All members of a police force designated under subsection (1) have the powers and duties of an officer for the purposes of the enforcement of the provisions of this Act specified in the designation. 
  
  ### Designation to be published
  
  (3) A designation under subsection (1) or any variation or cancellation of that designation must be published in the Canada Gazette and is not effective before it is so published.  
  
  ### Designation of analysts
  
  11 The Minister may designate any person or class of persons as an analyst for the purposes of this Act. 
  
  ### Administration of oaths
  
  12 Any officer, if designated by the Minister for the purpose, may administer oaths and take and receive affidavits, declarations and affirmations for the purposes of or incidental to the administration or enforcement of this Act, and every officer so designated has for those purposes all the powers of a commissioner for administering oaths or taking affidavits. 
  
  ## Inquiries 
  
  ### Authorization of inquiry
  
  13 (1) The Minister may, for any purpose related to the administration or enforcement of this Act, authorize any person, whether or not the person is an officer, to make any inquiry that the Minister considers necessary with reference to anything relating to the administration or enforcement of this Act. 
  
  ### Appointment of hearing officer
  
  (2) If the Minister authorizes a person to make an inquiry, the Minister shall without delay apply to the Tax Court for an order appointing a hearing officer before whom the inquiry will be held. 
  
  ### Powers of hearing officer
  
  (3) For the purposes of an inquiry, a hearing officer has all of the powers conferred on a commissioner under sections 4 and 5 of the Inquiries Act and that may be conferred on a commissioner under section 11 of that Act.  
  
  ### When powers to be exercised
  
  (4) A hearing officer shall exercise the powers conferred on a commissioner under section 4 of the Inquiries Act in relation to any person that the person authorized to make the inquiry considers appropriate for the conduct of the inquiry, but the hearing officer shall not exercise the power to punish any person unless, on application by the hearing officer, a judge certifies that the power may be exercised in the matter disclosed in the application and the applicant has given to the person in respect of whom the power is proposed to be exercised 24 hours notice of the hearing of the application, or any shorter notice that the judge considers reasonable.  
  
  ### Rights of witnesses
  
  (5) Any person who gives evidence in an inquiry is entitled to be represented by counsel and, on request made by the person to the Minister, to receive a transcript of that evidence. 
  
  ### Rights of person investigated
  
  (6) Any person whose affairs are investigated in the course of an inquiry is entitled to be present and to be represented by counsel throughout the inquiry unless the hearing officer, on application by the Minister or a person giving evidence, orders otherwise in relation to the whole or any part of the inquiry, on the ground that the presence of the person and their counsel, or either of them, would be prejudicial to the effective conduct of the inquiry. 
  
  # PART 2 
  
  ## Licences and Registrations 
  
  ## Licences 
  
  ### Issuance
  
  14 (1) Subject to the regulations, on application, the Minister may issue to a person 
  (a) a spirits licence, authorizing the person to produce or package spirits; 
  (b) a wine licence, authorizing the person to produce or package wine; 
  (c) a user’s licence, authorizing the person to use bulk alcohol, non-duty-paid packaged alcohol or a restricted formulation; 
  (d) a tobacco licence, authorizing the person to manufacture tobacco products; 
  (e) a tobacco dealer’s licence, authorizing the person to carry on the activity of a tobacco dealer; or 
  (f) a vaping product licence, authorizing the person to manufacture vaping products. 
  
  ### Cannabis licence
  
  (1.1) Subject to the regulations, on application, the Minister may issue to a person a cannabis licence for the purposes of this Act. 
  
  ### Cannabis licence — effect
  
  (1.2) A cannabis licence issued to a person shall not have effect before a licence or permit issued to the person under subsection 62(1) of the Cannabis Act comes into effect.  
  
  ### Deemed packaging excluded
  
  (2) A person is not entitled to a licence under paragraph (1)(a) or (b) by reason only of having been deemed to have packaged alcohol under section 77 or 82. 
  
  ### Production excluded
  
  (3) A person is not entitled to a licence under paragraph (1)(a) by reason only of 
  (a) having been deemed to have produced spirits under section 131.2; or 
  (b) having produced spirits for the purpose or as a consequence of the analysis of the composition of a substance containing absolute ethyl alcohol. 
  
  ### Issuance of a wine licence
  
  (4) Subject to the regulations, on application by a person who is the holder of a spirits licence and a user’s licence, the Minister may issue to the person a wine licence, authorizing the person to fortify wine. 
  
  ## Registrations 
  
  ### Ferment-on-premises registration
  
  15 Subject to the regulations, on application, the Minister may issue a ferment-on-premises registration to a person authorizing the person to possess at their ferment-on-premises facility bulk wine produced at the premises by an individual and owned by the individual. 
  
  ### User’s registration
  
  16 Subject to the regulations, on application, the Minister may issue a user’s registration authorizing the use of non-duty-paid packaged spirits by 
  (a) a scientific and research laboratory in receipt annually of aid from the Government of Canada or a province, for scientific purposes; 
  (b) a university or other post-secondary educational institution recognized by a province, for scientific purposes; 
  (c) a health care facility, for medicinal and scientific purposes; or 
  (d) a health institution in receipt annually of aid from the Government of Canada or a province, for medicinal and scientific purposes. 
  
  ### Alcohol registration
  
  17 Subject to the regulations, on application, the Minister may issue an alcohol registration to a person authorizing the person to store or transport bulk alcohol, specially denatured alcohol or a restricted formulation. 
  
  ### SDA registration
  
  18 (1) Subject to the regulations, on application, the Minister may issue a specially denatured alcohol registration to a person authorizing the person to possess and use specially denatured alcohol. 
  
  ### Restrictions on grades of SDA
  
  (2) The Minister may impose restrictions on the use of particular grades of specially denatured alcohol. 
  
  ## Excise Warehouses 
  
  ### Issuance of licence
  
  19 (1) Subject to the regulations, on application, the Minister may issue an excise warehouse licence to a person that is not a retailer of alcohol authorizing the person to possess in their excise warehouse manufactured tobacco, cigars or vaping products that are not stamped or non-duty-paid packaged alcohol. 
  
  ### Eligible retailers of alcohol
  
  (2) Even if they are retailers of alcohol, the following persons may be issued an excise warehouse licence under subsection (1): 
  (a) an alcohol licensee; 
  (b) a liquor authority; and 
  (c) any person who supplies goods in accordance with the Ships’ Stores Regulations.  
  
  ## Special Excise Warehouses 
  
  ### Issuance of licence
  
  20 (1) Subject to the regulations, on application, the Minister may issue a special excise warehouse licence to a person who is authorized by a tobacco licensee to be the only person, other than the licensee, who is entitled to distribute to an accredited representative manufactured tobacco or cigars manufactured by the licensee. 
  
  ### Single licence
  
  (2) The Minister shall not issue to the same person more than one special excise warehouse licence. 
  
  ### Licence limited to one premises
  
  (3) The Minister shall not specify more than one premises of a special excise warehouse licensee as a special excise warehouse. 
  
  ### Return of tobacco
  
  21 (1) If a person ceases to be authorized by a tobacco licensee to distribute to an accredited representative manufactured tobacco or cigars manufactured by the tobacco licensee, 
  (a) the person shall immediately return the tobacco or cigars of that licensee that are stored in the person’s special excise warehouse to the excise warehouse of the tobacco licensee; and 
  (b) the tobacco licensee shall immediately notify the Minister in writing that the person has ceased to be so authorized. 
  
  ### Cancellation
  
  (2) The Minister shall cancel the special excise warehouse licence of the person if the person is no longer authorized by any tobacco licensee to distribute to an accredited representative manufactured tobacco or cigars. 
  
  ## Duty Free Shops 
  
  ### Issuance of licence
  
  22 Subject to the regulations, the Minister may, on application, issue to a person who is licensed under the Customs Act to operate a duty free shop a licence authorizing the person to possess and sell imported manufactured tobacco that is subject to a special duty under section 53.  
  
  ## General 
  
  ### Refusal to issue licence or registration
  
  23 (1) The Minister may refuse to issue a licence or registration to a person if the Minister has reason to believe 
  (a) that access to the person’s premises will be denied or impeded by any person; or 
  (b) that the refusal is otherwise in the public interest. 
  
  ### Amendment or renewal
  
  (2) Subject to the regulations, the Minister may amend, suspend, renew, cancel or reinstate any licence or registration. 
  
  ### Cancellation, etc. — access to premises
  
  (2.1) The Minister may amend, suspend or cancel any licence or registration of a person if 
  (a) access to the premises of the licensee or registrant is denied or impeded by any person; 
  (a.1) in the case of a cannabis licence, a licence or permit issued to the person under subsection 62(1) of the Cannabis Act is amended, suspended or revoked; or  
  (b) it is otherwise in the public interest. 
  
  ### Conditions imposed by Minister
  
  (3) On issuing a licence or registration, or at any later time, the Minister 
  (a) may, subject to the regulations, specify the activities that may be carried on under the licence or registration and the premises where those activities may be carried on; 
  (b) shall, in the case of a spirits licence, a tobacco licence, a cannabis licence or a vaping product licence, require security in a form satisfactory to the Minister and in an amount determined in accordance with the regulations; and 
  (c) may impose any other conditions that the Minister considers appropriate with respect to the carrying on of activities under the licence or registration. 
  
  ### Compliance with Act
  
  24 A licensee or registrant shall not carry on any activity under their licence or registration otherwise than in accordance with this Act. 
  
  ### Licences and registrations not statutory instruments
  
  24.1 For greater certainty, a licence or registration issued under this Act is not a statutory instrument for the purposes of the Statutory Instruments Act.  
  
  # PART 3 
  
  ## Tobacco 
  
  ## Regulation of Tobacco 
  
  ### Manufacturing tobacco product without a licence prohibited
  
  25 (1) No person shall, other than in accordance with a tobacco licence issued to the person, manufacture a tobacco product. 
  
  ### Deemed manufacturer
  
  (2) A person who, whether for consideration or otherwise, provides or offers to provide in their place of business equipment for use in that place by another person in the manufacture of a tobacco product is deemed to be manufacturing the tobacco product and the other person is deemed not to be manufacturing the tobacco product. 
  
  ### Exception — manufacturing for personal use
  
  (3) An individual who is not a tobacco licensee may manufacture manufactured tobacco or cigars 
  (a) from packaged raw leaf tobacco or manufactured tobacco on which the duty has been paid, if the tobacco or cigars are for their personal use; or 
  (b) from raw leaf tobacco grown on land on which the individual resides, if 
  (i) the tobacco or cigars are for their personal use or that of the members of their family who reside with the individual and who are 18 years of age or older, and 
  (ii) the quantity of tobacco or cigars manufactured in any year does not exceed 15 kg for the individual and each member of the individual’s family who resides with the individual and who is 18 years of age or older. 
  
  ### Issuance of excise stamps
  
  25.1 (1) On application in the prescribed form and manner, the Minister may issue, to a tobacco licensee or a prescribed person who is importing tobacco products, stamps the purpose of which is to indicate that duty, other than special duty, has been paid on a tobacco product. 
  
  ### Quantity of tobacco excise stamps
  
  (2) The Minister may limit the quantity of tobacco excise stamps that may be issued to a person under subsection (1). 
  
  ### Security
  
  (3) No person shall be issued a tobacco excise stamp unless the person has provided security in a form satisfactory to the Minister and in an amount determined in accordance with the regulations. 
  
  ### Supply of tobacco excise stamps
  
  (4) The Minister may authorize a producer of tobacco excise stamps to supply, on the direction of the Minister, tobacco excise stamps to a person who is issued those stamps under subsection (1). 
  
  ### Design and construction
  
  (5) The design and construction of tobacco excise stamps shall be subject to the approval of the Minister. 
  
  ### Counterfeiting tobacco excise stamps
  
  25.2 No person shall produce, possess, sell or otherwise supply, or offer to supply, without lawful justification or excuse the proof of which lies on the person, anything that is intended to resemble or pass for a tobacco excise stamp. 
  
  ### Unlawful possession of tobacco excise stamps
  
  25.3 (1) No person shall possess a tobacco excise stamp that has not been affixed to a tobacco product or its container in the manner prescribed for the purposes of the definition stamped in section 2 to indicate that duty, other than special duty, has been paid on the product.  
  
  ### Exceptions — possession
  
  (2) Subsection (1) does not apply to the possession of a tobacco excise stamp by 
  (a) the person who lawfully produced the tobacco excise stamp; 
  (b) the person who is issued the tobacco excise stamp; 
  (c) a sufferance warehouse licensee who possesses the tobacco excise stamp in their sufferance warehouse on behalf of a person described under paragraph (b); or 
  (d) a prescribed person. 
  
  ### Unlawful supply of tobacco excise stamps
  
  25.4 No person shall dispose of, sell or otherwise supply, or offer to supply, a tobacco excise stamp otherwise than in accordance with this Act. 
  
  ### Cancellation, return and destruction of tobacco excise stamps
  
  25.5 The Minister may 
  (a) cancel a tobacco excise stamp that has been issued; and 
  (b) direct that it be returned or destroyed in a manner specified by the Minister. 
  
  ### Tobacco dealer
  
  26 No person shall carry on the activity of a tobacco dealer except in accordance with a tobacco dealer’s licence issued to the person. 
  
  ### Unlawful packaging or stamping
  
  27 No person shall package or stamp any raw leaf tobacco or tobacco product unless the person 
  (a) is a tobacco licensee; or 
  (b) is the importer or owner of the tobacco or product and it has been placed in a sufferance warehouse for the purpose of being stamped. 
  
  ### Unlawful removal
  
  28 (1) Except as permitted under section 40, no person shall remove raw leaf tobacco or a tobacco product from the premises of a tobacco licensee unless the tobacco or product is packaged and 
  (a) if the product is intended for the duty-paid market, it is stamped; or 
  (b) if the product is not intended for the duty-paid market, all tobacco markings that are required under this Act to be printed on or affixed to its container are so printed or affixed. 
  
  ### Exception
  
  (2) Subsection (1) does not apply to a tobacco licensee who removes from their premises 
  (a) raw leaf tobacco for 
  (i) return to a licensed tobacco dealer or a tobacco grower, 
  (ii) delivery to another tobacco licensee, or 
  (iii) export; or 
  (b) partially manufactured tobacco for delivery to another tobacco licensee or for export. 
  
  ### Unlawful removal from premises of tobacco dealer
  
  28.1 (1) No person shall remove raw leaf tobacco from the premises of a licensed tobacco dealer. 
  
  ### Exception
  
  (2) Subsection (1) does not apply to a licensed tobacco dealer who removes from their premises raw leaf tobacco for 
  (a) return to a tobacco grower; 
  (b) delivery to a tobacco licensee or to another licensed tobacco dealer; or 
  (c) export. 
  
  ### Prohibition — certain tobacco products for sale, etc.
  
  29 No person shall purchase or receive for sale a tobacco product 
  (a) from a manufacturer who the person knows, or ought to know, is not a tobacco licensee; 
  (b) that is required under this Act to be packaged and stamped unless it is so packaged and stamped; or 
  (c) that the person knows, or ought to know, is fraudulently stamped. 
  
  ### Selling, etc., unstamped raw leaf tobacco
  
  30 (1) No person shall dispose of, sell, offer for sale, purchase or have in their possession raw leaf tobacco unless the tobacco is packaged and stamped. 
  
  ### Exception
  
  (2) Subsection (1) does not apply to 
  (a) a person who is a tobacco licensee or a licensed tobacco dealer; or 
  (b) the possession of raw leaf tobacco 
  (i) in a customs bonded warehouse or a sufferance warehouse by the licensee of that warehouse, 
  (ii) by a body established under provincial law for the marketing of raw leaf tobacco grown in the province, or 
  (iii) by a prescribed person who is transporting the tobacco under prescribed circumstances and conditions. 
  (c)  [Repealed, 2007, c. 18, s. 77]  
  
  ### Exceptions to sections 26 and 30
  
  31 A tobacco grower does not contravene section 26 or 30 by reason only that the grower deals in or has in their possession raw leaf tobacco 
  (a) grown by the grower on their property for sale to a tobacco licensee or a licensed tobacco dealer or for other disposition to a tobacco licensee, if the tobacco is either on the grower’s property or is being transported by the grower 
  (i) in connection with the curing of the tobacco, 
  (ii) for delivery to or return from a tobacco licensee or a licensed tobacco dealer, or 
  (iii) for delivery to or return from a body established under provincial law for the marketing of raw leaf tobacco grown in the province; 
  (b) grown by any other person, if the grower operates a tobacco drying kiln on the grower’s property and the grower’s possession is solely for the purpose of curing the tobacco and returning it to the other person immediately after completion of the curing process or exporting it in accordance with paragraph (c); or 
  (c) that is to be exported, if the grower has the written approval of the Minister and complies with any conditions that the Minister considers appropriate. 
  
  ### Unlawful possession or sale of tobacco products
  
  32 (1) No person shall sell, offer for sale or have in their possession a tobacco product unless it is stamped. 
  
  ### Exceptions — possession
  
  (2) Subsection (1) does not apply to the possession of a tobacco product by 
  (a) a tobacco licensee at the place of manufacture of the product; 
  (a.1) in the case of manufactured tobacco or cigars, a tobacco licensee who manufactured the tobacco or cigars, at their excise warehouse; 
  (b) in the case of cigars or imported manufactured tobacco, an excise warehouse licensee at the excise warehouse of the licensee; 
  (c) in the case of manufactured tobacco or cigars, a special excise warehouse licensee at the special excise warehouse of the licensee, if the licensee is permitted under this Act to distribute the tobacco or cigars; 
  (d) in the case of an imported tobacco product, a prescribed person who is transporting the product under prescribed circumstances and conditions; 
  (d.1) in the case of manufactured tobacco or cigars manufactured in Canada, a prescribed person who is transporting the tobacco or cigars under prescribed circumstances and conditions; 
  (e) in the case of an imported tobacco product, a sufferance warehouse licensee in their sufferance warehouse; 
  (e.1) in the case of imported manufactured tobacco or cigars, a customs bonded warehouse licensee in their customs bonded warehouse; 
  (f) in the case of cigars, a duty free shop licensee in their duty free shop; 
  (g) in the case of imported manufactured tobacco, a duty free shop licensee in their duty free shop if the licensee holds a licence issued under section 22; 
  (h) in the case of manufactured tobacco or cigars, an accredited representative for their personal or official use; 
  (i) in the case of cigars or imported manufactured tobacco, a person as ships’ stores if the acquisition and possession of the product by that person are in accordance with the Ships’ Stores Regulations ;  
  (j) an individual who has imported the product for their personal use in quantities not in excess of prescribed limits; or 
  (k) in the case of manufactured tobacco or cigars, an individual who has manufactured the tobacco or cigars in accordance with subsection 25(3). 
  
  ### Exceptions — sale or offer for sale
  
  (3) Subsection (1) does not apply where 
  (a) a tobacco licensee sells or offers to sell manufactured tobacco or cigars that are exported by the licensee in accordance with this Act; 
  (b) a tobacco licensee sells or offers to sell 
  (i) manufactured tobacco or cigars to a special excise warehouse licensee, if the special excise warehouse licensee is permitted under this Act to distribute the tobacco or cigars, 
  (ii) manufactured tobacco or cigars to an accredited representative for their personal or official use, 
  (iii) cigars to an excise warehouse licensee for delivery as ships’ stores in accordance with the Ships’ Stores Regulations,  
  (iv) cigars to a duty free shop for sale or offer for sale in accordance with the Customs Act, or  
  (v) cigars as ships’ stores in accordance with the Ships’ Stores Regulations ;  
  (c) a special excise warehouse licensee sells or offers to sell manufactured tobacco or cigars to an accredited representative for their personal or official use, if the licensee is permitted under this Act to distribute the tobacco or cigars; 
  (d) an excise warehouse licensee sells or offers to sell 
  (i) imported manufactured tobacco or cigars that are exported by the licensee in accordance with this Act, 
  (ii) imported manufactured tobacco or cigars to an accredited representative for their personal or official use or to a duty free shop, or 
  (iii) cigars or imported manufactured tobacco as ships’ stores in accordance with the Ships’ Stores Regulations ;  
  (e) a duty free shop licensee sells or offers to sell cigars in accordance with the Customs Act ;  
  (f) a duty free shop licensee who holds a licence issued under section 22 sells or offers to sell imported manufactured tobacco in accordance with the Customs Act ;  
  (g) a customs bonded warehouse licensee sells or offers to sell imported manufactured tobacco or cigars that are exported by the licensee in accordance with this Act; 
  (h) a customs bonded warehouse licensee sells or offers to sell imported manufactured tobacco or cigars 
  (i) to an accredited representative for their personal or official use, 
  (ii) to a duty free shop for sale or offer for sale in accordance with the Customs Act, or  
  (iii) as ships’ stores in accordance with the Ships’ Stores Regulations ; and  
  (i) a person sells or offers for sale cigars or imported manufactured tobacco as ships’ stores in accordance with the Ships’ Stores Regulations.  
  
  ### Prohibition — possession of tobacco manufacturing equipment
  
  32.1 (1) No person shall possess tobacco manufacturing equipment with the intent of manufacturing a tobacco product unless 
  (a) the person is a tobacco licensee; or 
  (b) the person is an individual manufacturing manufactured tobacco or cigars for their personal use as permitted under subsection 25(3). 
  
  ### Prohibition — importation of tobacco manufacturing equipment
  
  (2) No person shall import tobacco manufacturing equipment unless 
  (a) the person is a tobacco licensee; 
  (b) the equipment is designed for use by an individual manufacturing manufactured tobacco or cigars for their personal use as permitted under subsection 25(3) and is not designed for commercial manufacturing; 
  (c) the person provides evidence satisfactory to the Minister of Public Safety and Emergency Preparedness that the equipment is imported 
  (i) on a tobacco licensee’s behalf, 
  (ii) for the sole purpose of maintenance, alteration or repair in Canada, if the equipment is intended to be exported immediately after the maintenance, alteration or repair is completed, 
  (iii) by or on behalf of a person who carries on a business of supplying that equipment, or 
  (iv) for in-transit movement through Canada; or 
  (d) it is imported in prescribed circumstances or under prescribed terms and conditions. 
  
  ### No sale or distribution except in original package
  
  33 No person shall 
  (a) sell or offer for sale cigars otherwise than in or from the original package; 
  (b) sell or offer for sale manufactured tobacco otherwise than in the original package; or 
  (c) distribute free of charge for advertising purposes any tobacco product otherwise than in or from the original package. 
  
  ### Packaging and stamping of tobacco
  
  34 A tobacco licensee who manufactures a tobacco product shall not enter the tobacco product into the duty-paid market unless 
  (a) the product has been packaged by the licensee; 
  (b) the package has printed on it prescribed information; and 
  (c) the product is stamped at the time of packaging. 
  
  ### Packaging and stamping of imported tobacco
  
  35 (1) If a tobacco product or raw leaf tobacco is imported, it must, before it is released under the Customs Act for entry into the duty-paid market,  
  (a) be packaged in a package that has printed on it prescribed information; and 
  (b) be stamped. 
  
  ### Exception for certain importations
  
  (2) Subsection (1) does not apply to 
  (a) partially manufactured tobacco that is imported by a tobacco licensee for further manufacturing by the licensee; 
  (b) manufactured tobacco or cigars that a tobacco licensee is authorized to import under subsection 41(2); 
  (c) a tobacco product that is imported by an individual for their personal use in quantities not in excess of prescribed limits; or 
  (d) raw leaf tobacco that is imported by a tobacco licensee or a licensed tobacco dealer. 
  
  ### Absence of stamping — notice
  
  36 The absence of stamping on a tobacco product is notice to all persons that duty has not been paid on the product. 
  
  ### Unstamped products to be warehoused
  
  37 If manufactured tobacco or cigars manufactured in Canada are not stamped by a tobacco licensee, the tobacco licensee shall immediately enter the tobacco or cigars into the licensee’s excise warehouse. 
  
  ### No warehousing of tobacco without markings
  
  38 (1) Subject to subsections (3) and (4), no person shall enter into an excise warehouse a container of manufactured tobacco or cigars unless the container has printed on it or affixed to it tobacco markings and other prescribed information. 
  
  ### No delivery of imported tobacco without markings
  
  (2) Subject to subsections (2.1) and (3), no person shall deliver a container of imported manufactured tobacco or cigars that does not have printed on it or affixed to it tobacco markings and other prescribed information to 
  (a) a duty free shop for sale or offer for sale in accordance with the Customs Act ;  
  (b) an accredited representative; or 
  (c) a customs bonded warehouse. 
  
  ### Delivery of imported stamped tobacco
  
  (2.1) A container of imported manufactured tobacco that was manufactured outside Canada and is stamped may be delivered to 
  (a) a duty free shop for sale or offer for sale in accordance with the Customs Act ; or  
  (b) a customs bonded warehouse. 
  
  ### Exception for prescribed manufactured tobacco
  
  (3) A container of manufactured tobacco does not require tobacco markings to be printed on or affixed to it if the brand of the tobacco is not commonly sold in Canada and is prescribed. 
  
  ### Exception for prescribed cigarettes
  
  (4) A container of cigarettes does not require tobacco markings to be printed on or affixed to it if the cigarettes are of a particular type or formulation manufactured in Canada and exported under a brand that is also applied to cigarettes of a different type or formulation that are manufactured and sold in Canada and 
  (a) cigarettes of the particular type or formulation exported under that brand are prescribed cigarettes; and 
  (b) cigarettes of the particular type or formulation have never been sold in Canada under that brand or any other brand. 
  
  ### Distinguishing different cigarettes
  
  (5) For the purpose of subsection (4), a cigarette of a particular type or formulation sold under a brand may be considered to be different from another cigarette sold under that brand if it is reasonable to consider them to be different having regard to their physical characteristics before and during consumption. 
  
  ### Non-compliant imports
  
  39 If an imported tobacco product or imported raw leaf tobacco intended for the duty-paid market is not stamped when it is reported under the Customs Act, it shall be placed in a sufferance warehouse for the purpose of being stamped.  
  
  ### Removal of raw leaf tobacco or waste tobacco
  
  40 (1) No person other than a tobacco licensee shall remove raw leaf tobacco or tobacco that is waste from the premises of the licensee. 
  
  ### Removal requirements
  
  (2) If raw leaf tobacco or tobacco that is waste is removed from the premises of a tobacco licensee, the licensee shall deal with the tobacco in the manner authorized by the Minister. 
  
  ### Re-working or destruction of tobacco
  
  41 (1) A tobacco licensee may re-work or destroy a tobacco product in the manner authorized by the Minister. 
  
  ### Importation for re-working or destruction
  
  (2) The Minister may authorize a tobacco licensee to import any manufactured tobacco or cigars manufactured in Canada by the licensee for re-working or destruction by the licensee in accordance with subsection (1). 
  
  ## Duty on Tobacco 
  
  ### Imposition
  
  42 (1) Duty is imposed on tobacco products manufactured in Canada or imported and on imported raw leaf tobacco at the rates set out in Schedule 1 and is payable 
  (a) in the case of tobacco products manufactured in Canada, by the tobacco licensee who manufactured the tobacco products, at the time they are packaged; and 
  (b) in the case of imported tobacco products or raw leaf tobacco, by the importer, owner or other person who is liable under the Customs Act to pay duty levied under section 20 of the Customs Tariff or who would be liable to pay that duty on the tobacco or products if they were subject to that duty.  
  
  ### Imported partially manufactured tobacco
  
  (2) The following rules apply to partially manufactured tobacco that is imported by a tobacco licensee for further manufacture: 
  (a) for the purposes of this Act, the tobacco is deemed to be manufactured in Canada by the licensee; and 
  (b) paragraph (1)(a) applies to the tobacco and paragraph (1)(b) and section 44 do not apply. 
  
  ### Additional duty on cigars
  
  43 In addition to the duty imposed under section 42, duty is imposed on cigars at the rates set out in Schedule 2 and is payable 
  (a) in the case of cigars manufactured and sold in Canada, by the tobacco licensee who manufactured the cigars, at the time of their delivery to a purchaser; and 
  (b) in the case of imported cigars, by the importer, owner or other person who is liable under the Customs Act to pay duty levied under section 20 of the Customs Tariff or who would be liable to pay that duty on the cigars if they were subject to that duty.  
  
  ### Definition of inflationary adjusted year 
  
  43.1 (1) In this section, 
  *inflationary adjusted year* means 2019 and every year after that year.  
  
  ### Annual adjustments
  
  (2) Each rate of duty set out in sections 1 to 4 of Schedule 1 and paragraph (a) of Schedule 2 in respect of a tobacco product is to be adjusted on April 1 of an inflationary adjusted year so that the rate is equal to the greater of 
  (a) the rate determined by the formula is the rate of duty applicable to the tobacco product on March 31 of the inflationary adjusted year, and is the amount, rounded to the nearest one-thousandth, or, if the amount is equidistant from two consecutive one-thousandths, rounded to the higher one-thousandth, determined by the formula is the Consumer Price Index for the 12-month period ending on September 30 of the particular year preceding the inflationary adjusted year, and is the Consumer Price Index for the 12-month period ending on September 30 of the year preceding the particular year; and 
  (b) the rate of duty referred to in the description of A in paragraph (a). 
  
  ### Rounding
  
  (3) The adjusted rate determined under subsection (2) is to be rounded to the nearest one-hundred-thousandth or, if the adjusted rate is equidistant from two consecutive one-hundred-thousandths, to the higher one-hundred-thousandth. 
  
  ### Consumer Price Index
  
  (4) In this section, the Consumer Price Index for any 12-month period is the result arrived at by 
  (a) aggregating the Consumer Price Index for Canada, as published by Statistics Canada under the authority of the Statistics Act, for each month in that period;  
  (b) dividing the aggregate obtained under paragraph (a) by 12; and 
  (c) rounding the result obtained under paragraph (b) to the nearest one-thousandth or, if the result obtained is equidistant from two consecutive one-thousandths, to the higher one-thousandth. 
  
  ### Application of Customs Act 
  
  44 The duties imposed under sections 42 and 43 on imported raw leaf tobacco and tobacco products shall be paid and collected under the Customs Act, and interest and penalties shall be imposed, calculated, paid and collected under that Act, as if the duties were a duty levied under section 20 of the Customs Tariff, and, for those purposes, the Customs Act applies with any modifications that the circumstances require.  
  
  ### Duty relieved
  
  45 (1) The duties imposed under sections 42 and 43 are relieved on a tobacco product that is not stamped. 
  
  ### Tobacco imported by an individual for personal use
  
  (2) Subsection (1) does not apply to the importation of tobacco products by an individual for their personal use to the extent that the quantity of the products imported exceeds the quantity permitted under Chapter 98 of the List of Tariff Provisions set out in the schedule to the Customs Tariff to be imported without the payment of duties (as defined in Note 4 to that Chapter).  
  
  ### Duty relieved — raw leaf tobacco
  
  46 The duty imposed under section 42 is relieved on raw leaf tobacco that is imported by a tobacco licensee or a licensed tobacco dealer. 
  
  ### Duty relieved — stamped tobacco imported by individual
  
  47 (1) The duty imposed under section 42 is relieved on manufactured tobacco imported by an individual for their personal use if it was manufactured in Canada and is stamped. 
  
  ### Duty relieved — reimportation of stamped tobacco by individual
  
  (2) The duty imposed under section 42 is relieved on manufactured tobacco imported by an individual for their personal use if it was manufactured outside Canada, was previously imported into Canada and is stamped. 
  
  ### Duty relieved — importation for destruction
  
  48 The duty imposed under paragraph 42(1)(b) is relieved on stamped manufactured tobacco that was manufactured in Canada by a tobacco licensee and that is imported by the licensee for re-working or destruction in accordance with section 41. 
  
  ## Excise Warehouses 
  
  ### Restriction — entering tobacco
  
  49 No person shall enter into an excise warehouse 
  (a) a tobacco product that is stamped; or 
  (b) any other tobacco product except in accordance with this Act. 
  
  ### Definitions
  
  50 (1) The definitions in this subsection apply in this section.  
  *Canadian manufactured tobacco* means manufactured tobacco that is manufactured in Canada but does not include partially manufactured tobacco or foreign brand tobacco. (tabac fabriqué canadien)   
  *foreign brand tobacco* means manufactured tobacco in respect of which the special duty imposed under section 56 is relieved because of section 58. (tabac de marque étrangère)  
  
  ### Categories of Canadian manufactured tobacco
  
  (2) For the purposes of subsection (5), each of the following constitutes a category of Canadian manufactured tobacco: 
  (a) cigarettes; 
  (b) tobacco sticks; and 
  (c) manufactured tobacco other than cigarettes and tobacco sticks. 
  
  ### Prohibition on removal
  
  (3) No person shall remove from an excise warehouse or a special excise warehouse manufactured tobacco or cigars manufactured in Canada. 
  
  ### Exception for Canadian manufactured tobacco
  
  (4) Subject to the regulations, Canadian manufactured tobacco may be removed from the excise warehouse of the tobacco licensee who manufactured it only if it is 
  (a) for export by the licensee in accordance with subsection (5) and not for delivery to a foreign duty free shop or as foreign ships’ stores; 
  (b) for delivery to the special excise warehouse of a special excise warehouse licensee, if the special excise warehouse licensee is permitted under this Act to distribute the Canadian manufactured tobacco; or 
  (c) for delivery to an accredited representative for their personal or official use. 
  
  ### Maximum quantity permitted to be exported from excise warehouse
  
  (5) A tobacco licensee shall not, at a particular time in a calendar year, remove a particular quantity of a category of Canadian manufactured tobacco from the licensee’s excise warehouse for export if the total quantity of that category removed in the year up to that time by the licensee from the warehouse for export, plus the particular quantity, exceeds 1.5% of the total quantity of that category manufactured by the licensee in the preceding calendar year. 
  
  ### Quantities to be excluded for the purposes of subsection (5)
  
  (6) In subsection (5), the total quantity of a category of Canadian manufactured tobacco manufactured by a licensee in the preceding calendar year does not include any quantity of that category that was exported by the licensee for delivery to a foreign duty free shop or as foreign ships’ stores. 
  
  ### Exception for cigars
  
  (7) Subject to the regulations, cigars manufactured in Canada may be removed from the excise warehouse of the tobacco licensee who manufactured them only if they are 
  (a) for export by the licensee in accordance with this Act; 
  (b) for delivery to the special excise warehouse of a special excise warehouse licensee, if the special excise warehouse licensee is permitted under this Act to distribute the cigars; 
  (c) for delivery to an accredited representative for their personal or official use; 
  (d) for delivery as ships’ stores in accordance with the Ships’ Stores Regulations ;  
  (e) for delivery to another excise warehouse, if the excise warehouse licensee of the other excise warehouse certifies in the prescribed form to the tobacco licensee that the cigars are for delivery as ships’ stores in accordance with the Ships’ Stores Regulations ; or  
  (f) for delivery to a duty free shop for sale or offer for sale in accordance with the Customs Act.  
  
  ### Exception for partially manufactured tobacco or foreign brand tobacco
  
  (8) Subject to the regulations, partially manufactured tobacco or foreign brand tobacco may be removed from the excise warehouse of the tobacco licensee who manufactured it only if it is exported by the licensee and not for delivery to a foreign duty free shop or as foreign ships’ stores. 
  
  ### Removal from warehouse — ships’ stores
  
  (9) Subject to the regulations, cigars manufactured in Canada may be removed from an excise warehouse referred to in paragraph (7)(e) for delivery as ships’ stores in accordance with the Ships’ Stores Regulations.  
  
  ### Removal from warehouse for re-working or destruction
  
  (10) Subject to the regulations, manufactured tobacco or cigars manufactured in Canada may be removed from the excise warehouse of the tobacco licensee who manufactured them if they are removed for re-working or destruction by the licensee in accordance with section 41. 
  
  ### Removal from special excise warehouse — accredited representatives
  
  (11) Subject to the regulations, Canadian manufactured tobacco and cigars may be removed from a special excise warehouse for delivery to an accredited representative for their personal or official use if the special excise warehouse licensee is permitted under this Act to distribute the tobacco or cigars. 
  
  ### Removal of imported tobacco
  
  51 (1) No person shall remove imported manufactured tobacco or cigars from an excise warehouse. 
  
  ### Exception
  
  (2) Subject to the regulations, imported manufactured tobacco or cigars may be removed from an excise warehouse 
  (a) for delivery to another excise warehouse; 
  (b) for delivery to an accredited representative for their personal or official use; 
  (c) for delivery as ships’ stores, in accordance with the Ships’ Stores Regulations ;  
  (d) for delivery to a duty free shop for sale or offer for sale in accordance with the Customs Act ; or  
  (e) for export in accordance with this Act by the excise warehouse licensee. 
  
  ### Restriction — special excise warehouse
  
  52 No special excise warehouse licensee shall store manufactured tobacco or cigars that are manufactured in Canada in their special excise warehouse for any purpose other than the sale and distribution of the tobacco or cigars to an accredited representative for the personal or official use of the representative. 
  
  ## Special Duties on Tobacco Products 
  
  ### Special duty on imported manufactured tobacco delivered to duty free shop
  
  53 (1) A special duty is imposed, at the rates set out in section 1 of Schedule 3, on imported manufactured tobacco that is delivered to a duty free shop and that is not stamped. 
  
  ### When and by whom duty is payable
  
  (2) The special duty is payable at the time of delivery and is payable by the duty free shop licensee. 
  
  ### Meaning of 
  *traveller’s tobacco* 
  
  54 (1) In this section, 
  *traveller’s tobacco* means manufactured tobacco that is imported by a person at any time and  
  (a) is classified under tariff item No. 9804.10.00, 9804.20.00, 9805.00.00 or 9807.00.00 in the List of Tariff Provisions set out in the schedule to the Customs Tariff ; or  
  (b) would be classified under tariff item No. 9804.10.00 or 9804.20.00 in that List but for the fact that the total value for duty as determined under section 46 of the Customs Act of all goods imported by the person at that time exceeds the maximum value specified in that tariff item.  
  
  ### Special duty on traveller’s tobacco
  
  (2) A special duty is imposed on traveller’s tobacco at the time it is imported at the rates set out in section 2 of Schedule 3. 
  
  ### When and how duty is payable
  
  (3) The special duty shall be paid and collected under the Customs Act, and interest and penalties shall be imposed, calculated, paid and collected under that Act, as if the special duty were a duty levied under section 20 of the Customs Tariff, and for those purposes, the Customs Act applies with any modifications that the circumstances require.  
  
  ### Exception
  
  (4) The special duty is not imposed on traveller’s tobacco imported by an individual for their personal use if duty under section 42 was previously imposed on the tobacco and the tobacco is stamped. 
  
  ### Definition of 
  *tobacco product* 
  
  55 In sections 56 to 58, 
  *tobacco product* means manufactured tobacco other than partially manufactured tobacco.  
  
  ### Imposition
  
  56 (1) A special duty is imposed on a tobacco product that is manufactured in Canada and exported 
  (a) if the export is in accordance with paragraph 50(4)(a) by the tobacco licensee who manufactured it, at the rates set out in section 3 of Schedule 3; or 
  (b) in any other case, at the rates set out in section 4 of Schedule 3. 
  
  ### When and by whom duty is payable
  
  (2) Subject to sections 57 and 58, the special duty is payable, at the time the tobacco product is exported, by 
  (a) if paragraph (1)(a) applies, the tobacco licensee who manufactured it; or 
  (b) if paragraph (1)(b) applies, the person who exported it. 
  
  ### Duty relieved — deliveries to a foreign duty free shop and as foreign ships’ stores
  
  57 The special duty imposed under section 56 is relieved on a tobacco product that is exported by the tobacco licensee who manufactured it for delivery to a foreign duty free shop or as foreign ships’ stores. 
  
  ### Duty relieved — prescribed tobacco product
  
  58 (1) The special duty imposed under section 56 is relieved on a tobacco product of a particular brand if 
  (a) the tobacco product of that brand is prescribed; 
  (b) during the three-year period before the year in which the tobacco product of that brand is exported, the tobacco product of that brand was not sold in Canada, other than in a duty free shop, except in quantities not significantly greater than the minimum quantities sufficient for the purposes of registering the trademark for that brand; and 
  (c) during any year before the three-year period referred to in paragraph (b), sales in Canada of the product of that brand never exceeded 
  (i) 0.5% of total sales in Canada of similar products, or 
  (ii) if another percentage that is less than 0.5% is prescribed for the purposes of this subsection, that percentage of total sales in Canada of similar products. 
  
  ### Duty relieved — prescribed cigarettes
  
  (2) The special duty imposed under section 56 is relieved on cigarettes of a particular type or formulation manufactured in Canada and exported under a brand that is also applied to cigarettes of a different type or formulation that are manufactured and sold in Canada if 
  (a) cigarettes of the particular type or formulation exported under that brand are prescribed; and 
  (b) cigarettes of the particular type or formulation have never been sold in Canada under that brand or any other brand. 
  
  ### Distinguishing different cigarettes
  
  (3) For the purpose of subsection (2), a cigarette of a particular type or formulation sold under a brand may be considered to be different from another cigarette sold under that brand if it is reasonable to consider them to be different having regard to their physical characteristics before and during consumption. 
  
  # PART 3.1 
  
  ## Cigarette Inventory Tax 
  
  ### Definitions
  
  58.1 The following definitions apply in this Part.  
  *adjustment day* means  
  (a) March 23, 2017; 
  (a.1) February 28, 2018; 
  (a.2) April 20, 2021; or 
  (b) in the case of an inflationary adjusted year, April 1 of that year. ( date d’ajustement)   
  *inflationary adjusted year* has the same meaning as in subsection 43.1(1). (année inflationniste)   
  *loose tobacco* [Repealed, 2014, c. 20, s. 69]   
  *separate retail establishment* of a person means a shop or store of the person  
  (a) that is geographically separate from other places of business of the person; 
  (b) at which, in the ordinary course of the person’s business, the person regularly sells, otherwise than through vending machines, tobacco products to consumers, within the meaning of section 123 of the Excise Tax Act, attending at the shop or store; and  
  (c) in respect of which separate records are maintained. ( établissement de détail distinct)   
  *taxed cigarettes* of a person means cigarettes in respect of which duty has been imposed under section 42 or 53 at the rate applicable on the day before an adjustment day, and that, at the beginning of the adjustment day,  
  (a) were owned by that person for sale in the ordinary course of a business of the person; 
  (b) were not held in a vending machine; and 
  (c) were not relieved from that duty under this Act. ( cigarettes imposées)   
  *taxed tobacco* [Repealed, 2014, c. 20, s. 69]   
  *unit* [Repealed, 2014, c. 20, s. 69]  
  
  ### Imposition of tax — 2017 increase
  
  58.2 (1) Subject to section 58.3, every person shall pay to Her Majesty a tax on all taxed cigarettes of the person held at the beginning of March 23, 2017 at the rate of $0.00265 per cigarette. 
  
  ### Imposition of tax — 2018 increase
  
  (1.1) Subject to section 58.3, every person shall pay to Her Majesty a tax on all taxed cigarettes of the person held at the beginning of February 28, 2018 at the rate of $0.011468 per cigarette. 
  
  ### Imposition of tax — 2021 increase
  
  (1.2) Subject to section 58.3, every person shall pay to Her Majesty a tax on all taxed cigarettes of the person held at the beginning of April 20, 2021 at the rate of $0.02 per cigarette. 
  
  ### Imposition of tax — inflationary adjusted years
  
  (2) Subject to section 58.3, every person shall pay to Her Majesty a tax on all taxed cigarettes of the person held at the beginning of April 1 of an inflationary adjusted year at a rate per cigarette equal to 
  (a) in the case of cigarettes in respect of which duty has been imposed under section 42, the amount determined by the formula is the rate of duty applicable under section 1 of Schedule 1 for each five cigarettes on April 1 of the inflationary adjusted year, and is the rate of duty applicable under section 1 of Schedule 1 for each five cigarettes on March 31 of the inflationary adjusted year; and 
  (b) in the case of cigarettes in respect of which duty has been imposed under section 53, the amount determined by the formula is the rate of duty applicable under paragraph 1(a) of Schedule 3 per cigarette on April 1 of the inflationary adjusted year, and is the rate of duty applicable under paragraph 1(a) of Schedule 3 per cigarette on March 31 of the inflationary adjusted year. 
  
  ### Rounding
  
  (3) The amount determined under paragraph (2)(a) or (b) is to be rounded to the nearest one-hundred-thousandth or, if the amount is equidistant from two consecutive one-hundred-thousandths, to the higher one-hundred-thousandth. 
  
  ### Exemption for small retail inventory
  
  58.3 Tax under this Part in respect of the inventory of all taxed cigarettes of a person that is held at the beginning of an adjustment day at a separate retail establishment of the person is not payable if that retail establishment holds inventory of 30,000 or fewer cigarettes. 
  
  ### Taking of inventory
  
  58.4 Every person liable to pay tax under this Part shall, for the purposes of this Part, determine that person’s inventory of all taxed cigarettes held at the beginning of an adjustment day. 
  
  ### Returns
  
  58.5 (1) Every person liable to pay tax under this Part shall file a return with the Minister in the prescribed form and manner on or before, 
  (a) in the case of the tax imposed under subsection 58.2(1), May 31, 2017; 
  (a.1) in the case of the tax imposed under subsection 58.2(1.1), April 30, 2018; 
  (a.2) in the case of the tax imposed under subsection 58.2(1.2), June 30, 2021; or 
  (b) in the case of the tax imposed under subsection 58.2(2) in respect of an inflationary adjusted year, May 31 of the inflationary adjusted year. 
  
  ### Separate returns
  
  (2) A person authorized under subsection 239(2) of the Excise Tax Act to file separate returns in respect of a separate branch or division may file separate returns under this Part in respect of that branch or division.  
  
  ### Payment
  
  58.6 (1) Every person shall pay to the Receiver General the total tax payable by the person under this Part on or before 
  (a) in the case of the tax imposed under subsection 58.2(1), May 31, 2017; 
  (a.1) in the case of the tax imposed under subsection 58.2(1.1), April 30, 2018; 
  (a.2) in the case of the tax imposed under subsection 58.2(1.2), June 30, 2021; or 
  (b) in the case of the tax imposed under subsection 58.2(2) in respect of an inflationary adjusted year, May 31 of the inflationary adjusted year. 
  
  ### Minimum interest
  
  (2) No interest in respect of an amount payable by a person under this Part is payable if, at the time the person pays the amount, the total of that interest otherwise payable is less than $25. 
  
  ### Extension
  
  (3) The Minister may at any time extend in writing the time for filing a return, or paying the tax payable, under this Part and, where the Minister so extends the time, 
  (a) the return shall be filed or tax payable shall be paid within the time as so extended; and 
  (b) interest is payable under section 170 as if the time had not been extended. 
  
  # PART 4 
  
  ## Alcohol 
  
  ## General 
  
  ### Application — Importation of Intoxicating Liquors Act 
  
  59 For greater certainty, the Importation of Intoxicating Liquors Act continues to apply to the importation, sending, taking and transportation of intoxicating liquor into a province.  
  
  ### Importations involving a provincial authority
  
  59.1 If alcohol is imported under circumstances in which subsection 3(1) of the Importation of Intoxicating Liquors Act applies, the alcohol is deemed, for the purposes of this Act and subsection 21.2(3) of the Customs Tariff, to have been imported by the person who would have been the importer in the absence of that subsection 3(1) and not by Her Majesty in right of a province or a liquor authority.  
  
  ### Prohibition — production and packaging of spirits
  
  60 (1) No person shall, except in accordance with a spirits licence issued to the person, produce or package spirits. 
  
  ### Exception
  
  (2) Subsection (1) does not apply to 
  (a) the packaging of spirits from a marked special container by a purchaser at a bottle-your-own premises; or 
  (b) the production of spirits for the purpose or as a consequence of the analysis of the composition of a substance containing absolute ethyl alcohol. 
  
  ### Prohibition — possession of still
  
  61 No person shall possess a still or other equipment suitable for the production of spirits with the intent of producing spirits unless the person 
  (a) is a spirits licensee; 
  (b) has a pending application for a spirits licence; or 
  (c) possesses the still or equipment solely for the purpose of producing spirits for the purpose or as a consequence of the analysis of the composition of a substance containing absolute ethyl alcohol. 
  
  ### Prohibition — production and packaging of wine
  
  62 (1) No person shall, except in accordance with a wine licence issued to the person, produce or package wine. 
  
  ### Exception
  
  (2) Subsection (1) does not apply to 
  (a) the production of wine by an individual for their personal use; 
  (b) the packaging of wine referred to in paragraph (a) by an individual for their personal use; or 
  (c) the packaging of wine from a marked special container by a purchaser at a bottle-your-own premises. 
  
  ### Prohibition — fortification of wine
  
  62.1 Except as permitted under section 130, no person shall use bulk spirits to fortify bulk wine. 
  
  ### Prohibition — sale of wine produced for personal use
  
  63 No person shall sell or put to a commercial use wine that was produced, or produced and packaged, by an individual for their personal use. 
  
  ### Wine produced by individual
  
  64 For the purposes of this Act, wine is not produced or packaged by an individual if it has been produced or packaged by a person acting on their behalf. 
  
  ### Prohibition — ferment-on-premises facility
  
  65 No person shall carry on at a ferment-on-premises facility any activity specified in a licence or registration issued under this Act other than an activity specified in a ferment-on-premises registration. 
  
  ### Application — in-transit and transhipped alcohol
  
  66 Sections 67 to 72, 75, 76, 80, 85, 88, 97 to 100 and 102 do not apply to imported alcohol or specially denatured alcohol that is, in accordance with the Customs Act, the Customs Tariff and the regulations made under those Acts,  
  (a) transported by a customs bonded carrier from a place outside Canada to another place outside Canada; 
  (b) stored in a customs bonded warehouse or sufferance warehouse for subsequent delivery to a place outside Canada; or 
  (c) transported by a customs bonded carrier 
  (i) from a place outside Canada to a customs bonded warehouse or a sufferance warehouse for subsequent delivery to a place outside Canada, or 
  (ii) from a customs bonded warehouse or a sufferance warehouse to a place outside Canada. 
  
  ### Prohibition — sale of alcohol
  
  67 No person shall sell 
  (a) bulk alcohol unless it was produced or imported in accordance with this Act; 
  (b) packaged alcohol unless it was, in accordance with this Act, 
  (i) produced and packaged in Canada, 
  (ii) imported and packaged in Canada, or 
  (iii) imported; or 
  (c) a marked special container of alcohol unless it was marked in accordance with this Act. 
  
  ### Availability and sampling of imported DA and SDA
  
  68 (1) Any person who imports a product that is reported under the Customs Act as being denatured alcohol or specially denatured alcohol shall make the product available for sampling and the product is required to be sampled by the Minister of Public Safety and Emergency Preparedness before it is released under that Act.  
  
  ### Testing
  
  (2) The samples must be tested to verify that the product is denatured alcohol or specially denatured alcohol. 
  
  ### Minister may waive
  
  (3) The Minister of Public Safety and Emergency Preparedness may at any time waive the requirement to sample an imported product under subsection (1). 
  
  ### Fees
  
  (4) The Minister of Public Safety and Emergency Preparedness may fix fees to be paid by the importer of the product but those fees must not exceed an amount determined by that Minister to be the costs to Her Majesty in respect of the sampling and testing. 
  
  ## Bulk Alcohol 
  
  ### Prohibition — ownership of bulk alcohol
  
  69 No person shall own bulk alcohol unless it was produced or imported in accordance with this Act. 
  
  ### Prohibition — possession
  
  70 (1) No person shall possess bulk alcohol. 
  
  ### Exception
  
  (2) Subsection (1) does not apply 
  (a) to a spirits licensee or a licensed user who possesses bulk spirits that were produced or imported by a spirits licensee; 
  (b) to a wine licensee or a licensed user who possesses bulk wine that was produced or imported by a wine licensee; 
  (c) to a licensed user who possesses bulk alcohol that was imported by the licensed user; 
  (c.1) in the case of bulk spirits produced for the purpose or as a consequence of the analysis of the composition of a substance containing absolute ethyl alcohol, to a person who, having produced those spirits, possesses them during the period of analysis; 
  (d) to an alcohol registrant who possesses, for the purposes of storage or transportation, bulk alcohol that was produced by an alcohol licensee or imported by an alcohol licensee or licensed user; 
  (e) to a sufferance warehouse licensee who possesses in their sufferance warehouse bulk alcohol that was imported by a person permitted to do so under this Act; 
  (f) to a ferment-on-premises registrant who possesses bulk wine that was produced at the registrant’s ferment-on-premises facility by an individual for the individual’s personal use; or 
  (g) to an individual who possesses less than 500 L of bulk wine that was lawfully produced at a residence or a ferment-on-premises facility for an individual’s personal use. 
  
  ### Prohibition — supply of spirits
  
  71 No person shall give possession of bulk spirits to a person other than a spirits licensee, a licensed user or an alcohol registrant. 
  
  ### Prohibition — supply of wine
  
  72 (1) No person shall give possession of bulk wine to a person other than a wine licensee, a licensed user or an alcohol registrant. 
  
  ### Exception
  
  (2) Subsection (1) does not apply to an individual who, in connection with their personal use of it, gives possession of bulk wine lawfully produced by an individual for their personal use. 
  
  ### Restriction — licensed user
  
  73 A licensed user shall not use or dispose of bulk alcohol other than to 
  (a) use it in an approved formulation; 
  (b) use it in a process in which the absolute ethyl alcohol is destroyed to the extent approved by the Minister; 
  (c) use it to produce vinegar; 
  (d) use it in accordance with section 130, 131 or 131.1; 
  (e) return it to 
  (i) in the case of alcohol returned in circumstances to which paragraph 105(1)(a) or 114(1)(a) applies, a licensee referred to in that paragraph, or 
  (ii) in any other case, the alcohol licensee who supplied it; 
  (f) subject to section 76, export it; 
  (g) use it for analysis in a manner approved by the Minister; or 
  (h) destroy it in a manner approved by the Minister. 
  
  ### Disposal of bulk spirits
  
  74 A person who possesses bulk spirits produced for the purpose or as a consequence of the analysis of the composition of a substance containing absolute ethyl alcohol shall, immediately after the analysis is complete, destroy or dispose of the spirits in a manner approved by the Minister. 
  
  ### Importation — bulk spirits
  
  75 (1) No person shall import bulk spirits other than a spirits licensee, a licensed user or, if the spirits are in a special container, an excise warehouse licensee in accordance with section 80. 
  
  ### Importation — bulk wine
  
  (2) No person shall import bulk wine other than a wine licensee, a licensed user or, if the wine is in a special container, an excise warehouse licensee in accordance with section 85. 
  
  ### Unauthorized export
  
  76 No person shall export bulk alcohol other than 
  (a) the alcohol licensee who is responsible for the alcohol; 
  (b) the licensed user who imported the alcohol; or 
  (c) a person required to do so under section 101. 
  
  ## Special Containers of Spirits 
  
  ### Marked container deemed packaged
  
  77 If a special container of spirits is marked, the spirits are deemed to be packaged at the time the container is marked. 
  
  ### Marking
  
  78 (1) No person shall mark a special container of spirits unless 
  (a) the person is a spirits licensee; or 
  (b) the container is one that has been placed in a sufferance warehouse in accordance with section 80 and the person marks the container in the circumstances described in that section. 
  
  ### Container to be warehoused
  
  (2) If a spirits licensee marks a special container of spirits, the licensee shall immediately enter it into an excise warehouse. 
  
  ### Importation
  
  79 No person, other than an excise warehouse licensee, shall import a marked special container of spirits. 
  
  ### Marking of imported container
  
  80 If a special container of spirits that is imported by an excise warehouse licensee is not marked when it is reported under the Customs Act, it shall be placed in a sufferance warehouse for the purpose of being marked.  
  
  ### Imported container to be warehoused
  
  81 If a marked special container of spirits is released under the Customs Act, the excise warehouse licensee who imported it shall immediately enter it into their excise warehouse.  
  
  ## Special Containers of Wine 
  
  ### Marked container deemed packaged
  
  82 If a special container of wine is marked, the wine is deemed to be packaged at the time the container is marked. 
  
  ### Marking
  
  83 (1) No person shall mark a special container of wine unless 
  (a) the person is a wine licensee; or 
  (b) the container is one that has been placed in a sufferance warehouse in accordance with section 85 and the person marks the container in the circumstances described in that section. 
  
  ### Container to be warehoused
  
  (2) If a wine licensee marks a special container of wine, the licensee shall immediately enter it into an excise warehouse. 
  
  ### Importation
  
  84 No person, other than an excise warehouse licensee, shall import a marked special container of wine. 
  
  ### Marking of imported container
  
  85 If a special container of wine that is imported by an excise warehouse licensee is not marked when it is reported under the Customs Act, it shall be placed in a sufferance warehouse for the purpose of being marked.  
  
  ### Imported container to be warehoused
  
  86 If a marked special container of wine is released under the Customs Act, the excise warehouse licensee who imported it shall immediately enter it into their excise warehouse.  
  
  ## Packaged Alcohol 
  
  ### Information on container
  
  87 Every alcohol licensee who packages alcohol shall cause all prescribed information to be displayed on the container containing the alcohol and on any packaging encasing the container 
  (a) in the case of wine that is entered into an excise warehouse immediately after it is packaged, before the wine is removed from the warehouse; and 
  (a.1)  [Repealed, 2022, c. 10, s. 129]  
  (b) in any other case, immediately after the alcohol is packaged. 
  
  ### Prohibition — possession
  
  88 (1) No person shall possess non-duty-paid packaged alcohol. 
  
  ### Exception
  
  (2) Non-duty-paid packaged alcohol, other than alcohol in a marked special container, 
  (a) that is packaged by an alcohol licensee or imported by an excise warehouse licensee may be possessed by 
  (i) an excise warehouse licensee in their excise warehouse, 
  (ii) a licensed user in their specified premises, 
  (iii) a registered user for use in accordance with their registration, 
  (iv) a prescribed person who is transporting the alcohol under prescribed circumstances and conditions, 
  (v) a duty free shop licensee, in their duty free shop, 
  (vi) an accredited representative, for their personal or official use, or 
  (vii) a person as ships’ stores, if the acquisition and possession of the alcohol by that person are in accordance with the Ships’ Stores Regulations ;  
  (b) that is imported may be possessed by a sufferance warehouse licensee, in their sufferance warehouse; 
  (c) that is imported by a licensed user may be possessed by 
  (i) the licensed user in their specified premises, or 
  (ii) a prescribed person who is transporting the alcohol under prescribed circumstances and conditions; 
  (d) that is imported by an accredited representative may be possessed by 
  (i) the accredited representative, for their personal or official use, or 
  (ii) a prescribed person who is transporting the alcohol under prescribed circumstances and conditions; 
  (e) that is imported for sale in a duty free shop, for sale to an accredited representative or for use as ships’ stores, may be possessed by 
  (i) a customs bonded warehouse licensee, in their customs bonded warehouse, 
  (ii) a duty free shop licensee, in their duty free shop, 
  (iii) an accredited representative, for their personal or official use, 
  (iv) a customs bonded carrier in accordance with the Customs Act, or  
  (v) a person as ships’ stores, if the acquisition and possession of the alcohol by that person are in accordance with the Ships’ Stores Regulations ;  
  (f) that is imported for supply to an air carrier that is licensed under section 69 or 73 of the Canada Transportation Act to operate an international air service may be possessed by a customs bonded warehouse licensee, in their customs bonded warehouse;  
  (g) that is imported by an individual in accordance with the Customs Act and the Customs Tariff for their personal use may be possessed by an individual;  
  (h) that is wine that is produced and packaged by an individual for their personal use may be possessed by an individual; 
  (i) that is wine referred to in paragraph 135(2)(b) may be possessed by any person; and 
  (j) that is wine produced or packaged by a wine licensee and removed from the excise warehouse of the licensee and that is to be provided free of charge to individuals as a sample consumed at the premises where the licensee produces or packages wine may be possessed by the licensee or those individuals at those premises. 
  
  ### Exception — special containers
  
  (3) A non-duty-paid marked special container of alcohol may be possessed by 
  (a) an excise warehouse licensee in their excise warehouse; 
  (b) a prescribed person who is transporting the alcohol under prescribed circumstances and conditions; 
  (c) in the case of an imported special container of alcohol, a sufferance warehouse licensee in their sufferance warehouse; or 
  (d) in the case of a special container of spirits that is marked for delivery to and use by a registered user, a registered user for use in accordance with their registration. 
  
  ### Storage
  
  89 A ferment-on-premises registrant shall not store packaged wine at their ferment-on-premises facility. 
  
  ### Restriction — licensed user
  
  90 A licensed user shall not use or dispose of non-duty-paid packaged alcohol other than to 
  (a) use it in an approved formulation; 
  (b) use it in a process in which the absolute ethyl alcohol is destroyed to the extent approved by the Minister; 
  (c) use it to produce vinegar; 
  (d) return it under prescribed conditions to the excise warehouse licensee who supplied it; 
  (e) export it, if the alcohol was imported by the licensed user; 
  (f) use it for analysis in a manner approved by the Minister; or 
  (g) destroy it in a manner approved by the Minister. 
  
  ### Restriction — registered user
  
  91 A registered user shall not use or dispose of non-duty-paid packaged spirits other than to 
  (a) use them in accordance with their registration; 
  (b) use them for analysis in a manner approved by the Minister; 
  (c) return them under prescribed conditions to the excise warehouse licensee who supplied them; or 
  (d) destroy them in a manner approved by the Minister. 
  
  ### Unauthorized removal — spirits
  
  92 (1) No person shall remove spirits from a marked special container of spirits other than 
  (a) a registered user, in the case of a container that is marked for delivery to and use by a registered user; and 
  (b) a purchaser of the spirits at a bottle-your-own premises, in the case of a container that is marked for delivery to and use at a bottle-your-own premises. 
  
  ### Removal of spirits from returned container
  
  (2) If the operator of a bottle-your-own premises returns a marked special container of spirits to the excise warehouse licensee who supplied the container to the operator, the licensee may remove the spirits from the container for the purpose of destroying the spirits in a manner approved by the Minister. 
  
  ### Unauthorized removal — wine
  
  93 (1) No person shall remove wine from a marked special container of wine other than a purchaser of the wine at a bottle-your-own premises. 
  
  ### Removal of wine from returned container
  
  (2) If the operator of a bottle-your-own premises returns a marked special container of wine to the excise warehouse licensee who supplied the container to the operator, the licensee may remove the wine from the container for the purpose of destroying the wine in a manner approved by the Minister. 
  
  ## Restricted Formulations 
  
  ### Restriction — licensed user
  
  93.1 A licensed user shall not use or dispose of a restricted formulation other than in accordance with the conditions or restrictions imposed by the Minister under section 143. 
  
  ### Prohibition — possession of restricted formulation
  
  93.2 No person other than a licensed user or an alcohol registrant shall possess a restricted formulation. 
  
  ## Denatured Alcohol and Specially Denatured Alcohol 
  
  ### Prohibition — denaturing of spirits
  
  94 No person, other than a spirits licensee, shall denature spirits. 
  
  ### Prohibition — sale as beverage
  
  95 (1) No person shall sell or provide denatured alcohol or specially denatured alcohol for use in or as a beverage. 
  
  ### Prohibition — use as beverage
  
  (2) No person shall use denatured alcohol or specially denatured alcohol in or as a beverage. 
  
  ### Prohibition — use of SDA
  
  96 No person shall, except in accordance with a specially denatured alcohol registration issued to the person, use specially denatured alcohol. 
  
  ### Prohibition — possession of SDA
  
  97 (1) No person shall possess specially denatured alcohol. 
  
  ### Exception
  
  (2) Subsection (1) does not apply to 
  (a) a spirits licensee or an SDA registrant who possesses specially denatured alcohol produced by a spirits licensee; 
  (b) a spirits licensee, an SDA registrant or a sufferance warehouse licensee who possesses specially denatured alcohol imported by a spirits licensee; 
  (c) an SDA registrant who possesses specially denatured alcohol that they imported; 
  (d) a sufferance warehouse licensee who possesses specially denatured alcohol imported by an SDA registrant; or 
  (e) an alcohol registrant who possesses specially denatured alcohol only for the purposes of its storage and transportation, if the alcohol was produced by a spirits licensee or imported by a spirits licensee or an SDA registrant. 
  
  ### Prohibition — supply of SDA
  
  98 No person shall give possession of specially denatured alcohol to a person who is not a spirits licensee, an SDA registrant or an alcohol registrant. 
  
  ### Prohibition — sale of SDA
  
  99 (1) No person shall sell specially denatured alcohol. 
  
  ### Exceptions
  
  (2) Subsection (1) does not apply where 
  (a) a spirits licensee sells specially denatured alcohol to another spirits licensee or to an SDA registrant; or 
  (b) an SDA registrant returns specially denatured alcohol in accordance with paragraph 103(a) or exports it in accordance with paragraph 103(b). 
  
  ### Prohibition — importing of SDA
  
  100 No person shall import specially denatured alcohol other than a spirits licensee or an SDA registrant. 
  
  ### Spirits mistakenly imported as DA or SDA
  
  101 (1) If a person, other than a spirits licensee or licensed user, who has imported a product that was reported under the Customs Act as being denatured alcohol or specially denatured alcohol learns that the product is spirits and not denatured alcohol or specially denatured alcohol, the person shall without delay  
  (a) export it for return to the person from whom it was acquired; or 
  (b) dispose of or destroy it in the manner specified by the Minister. 
  
  ### Spirits mistakenly possessed as DA or SDA
  
  (2) If a person, other than a spirits licensee, licensed user or alcohol registrant, who possesses a product that the person believed was denatured alcohol or specially denatured alcohol learns that the product is spirits and not denatured alcohol or specially denatured alcohol, the person shall without delay 
  (a) return it to the spirits licensee who produced or supplied the product; or 
  (b) dispose of or destroy it in the manner specified by the Minister. 
  
  ### If product used
  
  (3) If the person is unable to comply with subsection (1) or (2) in respect of an amount of the product because they had already used it in the production of another product before they learned that the product was not denatured alcohol or specially denatured alcohol, the person shall 
  (a) dispose of or destroy the other product in the manner specified by the Minister; and 
  (b) pay any penalty imposed under section 254 for which they are liable under section 244 in respect of the amount. 
  
  ### Exception
  
  (4) Subsection (3) does not apply if 
  (a) the other product is not, in the opinion of the Minister, spirits; 
  (b) the Minister deems the other product to have been produced using denatured alcohol or specially denatured alcohol, as the case may be; and 
  (c) the person complies with any conditions imposed by the Minister. 
  
  ### Prohibition — exporting of SDA
  
  102 No person shall export specially denatured alcohol other than the SDA registrant who imported it or a spirits licensee. 
  
  ### Restriction on disposal
  
  103 An SDA registrant shall not dispose of specially denatured alcohol other than to 
  (a) return it to the spirits licensee who supplied it; 
  (b) export it, if it was imported by the SDA registrant; or 
  (c) destroy it in a manner approved by the Minister. 
  
  ## Responsibility for Bulk Spirits 
  
  ### Responsibility
  
  104 Subject to sections 105 to 107, 111 and 112, the person who is responsible for bulk spirits at any time is 
  (a) the spirits licensee or licensed user who owns the spirits at that time; 
  (b) if the spirits are not owned at that time by a spirits licensee or licensed user, the spirits licensee or licensed user who last owned them; or 
  (c) if the spirits were never owned by a spirits licensee or licensed user, the spirits licensee who imported or produced them or the licensed user who imported them. 
  
  ### Return of spirits purchased from unlicensed person
  
  105 (1) This section applies if a spirits licensee or licensed user (in this section referred to as the “purchaser”) purchases bulk spirits from a person who is not a spirits licensee or licensed user (in this section referred to as the “unlicensed person”), and, within 30 days after the purchaser receives the spirits, 
  (a) the purchaser returns the spirits to the spirits licensee who was responsible for them immediately before they were purchased by the purchaser (in this section referred to as the “previously responsible licensee”) or to the spirits licensee who supplied them (in this section referred to as the “supplier”); and 
  (b) the ownership of the spirits reverts to the unlicensed person. 
  
  ### Determination of person responsible for returned spirits
  
  (2) At the later of the time at which the previously responsible licensee or supplier receives the spirits and the time at which the ownership of the spirits reverts to the unlicensed person, 
  (a) the previously responsible licensee becomes again responsible for the spirits; and 
  (b) the purchaser of the spirits ceases to be responsible for them. 
  
  ### Exception — provincial ownership
  
  106 If, at any time, the government of a province or a liquor authority that is a spirits licensee or a licensed user owns bulk spirits for a purpose not related to its licence, section 104 applies as though that ownership by the government or the liquor authority did not exist at that time. 
  
  ### Spirits imported by licensed user
  
  107 A licensed user who imports bulk spirits is responsible for them. 
  
  ### Blended spirits — joint and several or solidary responsibility
  
  108 (1) If bulk spirits are blended with other bulk spirits, or if bulk spirits are blended with bulk wine and the resulting product is spirits, every person who is a person responsible for any of the spirits or who is a licensed user responsible for any of the bulk wine is jointly and severally or solidarily responsible for the resulting blended spirits. 
  
  ### Responsibility for wine ceases
  
  (2) The wine licensee or licensed user who was responsible for the bulk wine before it was blended with bulk spirits as described in subsection (1) ceases to be responsible for the wine as of the time of blending. 
  
  ### Person not responsible
  
  109 A person who is responsible for bulk spirits ceases to be responsible for them if they are 
  (a) taken for use and the duty on them is paid; 
  (b) taken for use in an approved formulation; 
  (c) taken for use for a purpose described in section 145 or subsection 146(1); 
  (d) denatured into denatured alcohol or specially denatured alcohol; 
  (e) exported in accordance with this Act; or 
  (f) lost in prescribed circumstances, if the person fulfills any prescribed conditions. 
  
  ### Notification of change of ownership
  
  110 If a spirits licensee or licensed user (in this section referred to as the “purchaser”) purchases bulk spirits from a person who is not a spirits licensee or licensed user, the purchaser shall, except in respect of bulk spirits that are to be imported, 
  (a) at the time of the purchase, obtain from the vendor the name and address of the spirits licensee who is responsible for the spirits immediately before they are sold to the purchaser; and 
  (b) without delay, notify in writing that licensee of the purchase. 
  
  ### Removal of special container
  
  111 If an unmarked special container of spirits is removed by a spirits licensee from their excise warehouse in accordance with section 156, the licensee is responsible for the spirits unless they are owned by another spirits licensee or a licensed user, in which case the other spirits licensee or the licensed user is responsible for them. 
  
  ### Removal of spirits
  
  112 If spirits are removed by a spirits licensee from their excise warehouse in accordance with section 158, the licensee is responsible for the spirits unless they are owned by another spirits licensee or a licensed user, in which case the other spirits licensee or the licensed user is responsible for them. 
  
  ## Responsibility for Bulk Wine 
  
  ### Responsibility
  
  113 Subject to sections 114 to 116, 120 and 121, the person who is responsible for bulk wine at any time is 
  (a) the wine licensee or licensed user who owns the wine at that time; 
  (b) if the wine is not owned at that time by a wine licensee or licensed user, the wine licensee or licensed user who last owned it; or 
  (c) if the wine was never owned by a wine licensee or licensed user, the wine licensee who imported or produced it or the licensed user who imported it. 
  
  ### Return of wine purchased from unlicensed person
  
  114 (1) This section applies if a wine licensee or licensed user (in this section referred to as the “purchaser”) purchases bulk wine from a person who is not a wine licensee or licensed user (in this section referred to as the “unlicensed person”), and, within 30 days after the purchaser receives the wine, 
  (a) the purchaser returns the wine to the wine licensee who was responsible for it immediately before it was purchased by the purchaser (in this section referred to as the “previously responsible licensee”) or to the wine licensee who supplied it (in this section referred to as the “supplier”); and 
  (b) the ownership of the wine reverts to the unlicensed person. 
  
  ### Determination of person responsible for returned wine
  
  (2) At the later of the time at which the previously responsible licensee or supplier receives the wine and the time at which the ownership of the wine reverts to the unlicensed person, 
  (a) the previously responsible licensee becomes again responsible for the wine; and 
  (b) the purchaser of the wine ceases to be responsible for it. 
  
  ### Exception — provincial ownership
  
  115 If, at any time, the government of a province or a liquor authority that is a wine licensee or a licensed user owns bulk wine for a purpose not related to its licence, section 113 applies as though that ownership by the government or the liquor authority did not exist at that time. 
  
  ### Wine imported by licensed user
  
  116 A licensed user who imports bulk wine is responsible for it. 
  
  ### Blended wine — joint and several or solidary responsibility
  
  117 (1) If bulk wine is blended with other bulk wine, or if bulk wine is blended with bulk spirits and the resulting product is wine, every person who is a person responsible for any of the wine or who is a licensed user responsible for any of the bulk spirits is jointly and severally or solidarily responsible for the resulting blended wine. 
  
  ### Responsibility for spirits ceases
  
  (2) The spirits licensee or licensed user who was responsible for the bulk spirits before they were blended with bulk wine as described in subsection (1) ceases to be responsible for the spirits as of the time of blending. 
  
  ### Responsibility for wine ceases
  
  117.1 If bulk spirits are produced from bulk wine, the wine licensee or licensed user who was responsible for the wine before it was used to produce the spirits ceases to be responsible for the wine at the time the spirits are produced. 
  
  ### Person not responsible
  
  118 A person who is responsible for bulk wine ceases to be responsible for it if it is 
  (a) taken for use and the duty on it is paid; 
  (b) taken for use in an approved formulation; 
  (c) taken for use for a purpose described in section 145 or subsection 146(1); 
  (d) exported in accordance with this Act; or 
  (e) lost, if the loss is recorded in a manner authorized by the Minister. 
  
  ### Notification of change of ownership
  
  119 If a wine licensee or licensed user (in this section referred to as the “purchaser”) purchases bulk wine from a person who is not a wine licensee or licensed user, the purchaser shall, except in respect of bulk wine that is to be imported, 
  (a) at the time of the purchase, obtain from the vendor the name and address of the wine licensee who is responsible for the wine immediately before it is sold to the purchaser; and 
  (b) without delay, notify in writing that licensee of the purchase. 
  
  ### Removal of special container
  
  120 If an unmarked special container of wine is removed by a wine licensee from their excise warehouse in accordance with section 156, the licensee is responsible for the wine unless the wine is owned by another wine licensee or a licensed user, in which case the other wine licensee or the licensed user is responsible for it. 
  
  ### Removal of wine
  
  121 If wine is removed by a wine licensee from their excise warehouse in accordance with section 157, the licensee is responsible for the wine unless it is owned by another wine licensee or a licensed user, in which case the other wine licensee or the licensed user is responsible for it. 
  
  ## Imposition and Payment of Duty on Alcohol 
  
  ### Imposition — domestic spirits
  
  122 (1) Duty is imposed on spirits produced in Canada at the rate set out in section 1 of Schedule 4. 
  
  ### Time of imposition
  
  (2) The duty is imposed at the time the spirits are produced. 
  
  ### Imposition — low alcoholic strength spirits
  
  123 If spirits do not contain more than 7% of absolute ethyl alcohol by volume at the time that they are packaged, 
  (a) the duty imposed on the spirits under section 122 or levied under section 21.1 of the Customs Tariff is relieved; and  
  (b) duty is imposed on the spirits at the rate set out in section 2 of Schedule 4. 
  
  ### Definitions
  
  123.1 (1) The following definitions apply in this section.  
  *inflationary adjusted year* means 2018 and every year after that year. (année inflationniste)   
  *reference year* means a 12-month period that begins on April 1 of a year and ends on March 31 of the following year. (année de référence)  
  
  ### Annual adjustments
  
  (2) Each rate of duty set out in Schedule 4 applicable in respect of a litre of absolute ethyl alcohol or in respect of a litre of spirits is to be adjusted on April 1 of an inflationary adjusted year so that the rate is equal to the greater of 
  (a) the rate determined by the formula is the rate of duty applicable to the litre of absolute ethyl alcohol or the litre of spirits, as the case may be, on March 31 of the inflationary adjusted year, and is the amount, rounded to the nearest one-thousandth, or, if the amount is equidistant from two consecutive one-thousandths, rounded to the higher one-thousandth, determined by the formula is the Consumer Price Index for the 12-month period ending on September 30 of the particular year preceding the inflationary adjusted year, and is the Consumer Price Index for the 12-month period ending on September 30 of the year preceding the particular year, and 
  (b) the rate of duty referred to in the description of A in paragraph (a). 
  
  ### Adjustment — 2023
  
  (2.1) In respect of the inflationary adjusted year that is 2023, the description of B in paragraph (2)(a) is deemed to be equal to 1.02. 
  
  ### Rounding
  
  (3) The adjusted rate determined under subsection (2) is to be rounded to the nearest one-thousandth or, if the adjusted rate is equidistant from two consecutive one-thousandths, to the higher one-thousandth. 
  
  ### Consumer Price Index
  
  (4) In this section, the Consumer Price Index for any 12-month period is the result arrived at by 
  (a) aggregating the Consumer Price Index for Canada, as published by Statistics Canada under the authority of the Statistics Act, for each month in that period;  
  (b) dividing the aggregate obtained under paragraph (a) by 12; and 
  (c) rounding the result obtained under paragraph (b) to the nearest one-thousandth or, if the result obtained is equidistant from two consecutive one-thousandths, to the higher one-thousandth. 
  
  ### Application of adjusted rate
  
  (5) If duties on spirits are imposed in a reference year but become payable in another reference year that begins in an inflationary adjusted year, those duties are determined at the rate of duty as adjusted under subsection (2) on the first day of the other reference year. 
  
  ### Duty payable when packaged
  
  124 (1) Subject to sections 126 and 127, the duty imposed on spirits is payable at the time the spirits are packaged unless, immediately after packaging, they are entered into an excise warehouse. 
  
  ### Payable by responsible person
  
  (2) Duty is payable by the person who is responsible for the spirits immediately before they are packaged. 
  
  ### Spirits licensee ceases to be liable for duty
  
  (3) If an excise warehouse licensee becomes liable under section 140 for duty on the spirits, the person required under subsection (2) to pay the duty ceases to be liable to pay it. 
  
  ### Duty payable when removed from warehouse
  
  125 If packaged spirits are removed from an excise warehouse for entry into the duty-paid market, duty is payable on the spirits at the time of their removal and is payable by the excise warehouse licensee of the warehouse. 
  
  ### Duty payable on bulk spirits taken for use
  
  126 Subject to sections 144 to 146, if bulk spirits are taken for use, duty is payable at the time the spirits are taken for use by the person who is responsible for the spirits at that time. 
  
  ### Duty payable on unaccounted bulk spirits
  
  127 (1) Duty is payable by the person who is responsible for bulk spirits on any portion of the spirits that cannot be accounted for by the person as being in the possession of a spirits licensee, a licensed user or an alcohol registrant. 
  
  ### When duty payable
  
  (2) The duty is payable at the time the spirits cannot be accounted for. 
  
  ### Exception
  
  (3) Subsection (1) does not apply in circumstances where the person is convicted of an offence under section 218 or is liable to pay a penalty under section 241. 
  
  ### Duty payable on packaged spirits taken for use
  
  128 Subject to sections 144 to 146, if non-duty-paid packaged spirits that are in the possession of an excise warehouse licensee or a licensed user are taken for use, duty is payable at the time the spirits are taken for use and is payable by the licensee or user. 
  
  ### Duty payable on unaccounted packaged spirits
  
  129 (1) Duty is payable on non-duty-paid packaged spirits that have been received by an excise warehouse licensee or a licensed user but cannot be accounted for by the licensee or user 
  (a) as being in the excise warehouse of the licensee or the specified premises of the user; 
  (b) as having been removed, used or destroyed in accordance with this Act; or 
  (c) as having been lost in prescribed circumstances, if the licensee or user fulfills any prescribed conditions. 
  
  ### When duty payable
  
  (2) Duty is payable by the licensee or user at the time the spirits cannot be accounted for. 
  
  ### Fortifying wine
  
  130 (1) A licensed user who is also a wine licensee may use bulk spirits to fortify wine to an alcoholic strength not in excess of 22.9% absolute ethyl alcohol by volume. 
  
  ### Duty relieved on spirits
  
  (2) The duty imposed under section 122 or levied under section 21.1 of the Customs Tariff on the spirits that were used to fortify the wine is relieved.  
  
  ### Blending wine with spirits
  
  131 A licensed user who is also a spirits licensee may blend bulk wine with spirits if the resulting product is spirits. 
  
  ### Producing spirits from wine
  
  131.1 A licensed user who is also a spirits licensee may use bulk wine to produce spirits. 
  
  ### Deemed production of spirits — blending wine
  
  131.2 (1) If wine is blended with bulk spirits and the resulting product is spirits, 
  (a) the duty imposed under section 122 or levied under section 21.1 of the Customs Tariff on the spirits that were blended with the wine is relieved; and  
  (b) the resulting spirits are deemed to be produced at the time of the blending. 
  
  ### Deemed production of spirits — other blending
  
  (2) If a material or substance, other than spirits or wine, containing absolute ethyl alcohol is blended with bulk spirits or wine and the resulting product is spirits, 
  (a) the duty imposed under section 122 or levied under section 21.1 of the Customs Tariff on the spirits that were blended with the material or substance is relieved; and  
  (b) the resulting spirits are deemed to be produced at the time of the blending. 
  
  ### Duty relieved — DA and SDA
  
  132 If a spirits licensee denatures bulk spirits into denatured alcohol or specially denatured alcohol, the duty imposed on the spirits under section 122 or levied under section 21.1 of the Customs Tariff is relieved.  
  
  ### Imposition of special duty
  
  133 (1) In addition to the duty levied under section 21.1 or 21.2 of the Customs Tariff, a special duty is imposed on imported spirits delivered to or imported by a licensed user at the rate set out in Schedule 5.  
  
  ### Bulk spirits
  
  (2) If a spirits licensee imports bulk spirits that are delivered to a licensed user, the special duty is payable at the time the spirits are delivered to the licensed user and is payable 
  (a) by the spirits licensee who is responsible for the spirits at that time; 
  (b) if the licensed user is responsible for the spirits at that time and there was a spirits licensee who was responsible immediately before that time, by that spirits licensee; or 
  (c) if the licensed user is responsible for the spirits at that time and there was not a spirits licensee who was responsible immediately before that time, by the spirits licensee who delivered the spirits. 
  
  ### Packaged spirits
  
  (3) If imported packaged spirits or imported spirits that have been packaged in Canada are removed from an excise warehouse for delivery to a licensed user, the special duty is payable by the excise warehouse licensee at the time the spirits are removed from the excise warehouse. 
  
  ### Spirits imported by licensed user
  
  (4) If bulk or packaged spirits are imported by a licensed user, the special duty 
  (a) is payable by the licensed user at the time the spirits are imported; and 
  (b) shall be paid and collected under the Customs Act, and interest and penalties shall be imposed, calculated, paid and collected under that Act, as if the duty were a duty levied on the spirits under section 20 of the Customs Tariff, and, for those purposes, the Customs Act applies with any modifications that the circumstances require.  
  
  ### Imposition — bulk wine taken for use
  
  134 (1) Duty is imposed on bulk wine that is taken for use at the rates set out in Schedule 6. 
  
  ### Payable by responsible person
  
  (2) Subject to sections 144 to 146, the duty is payable at the time the wine is taken for use and is payable by the person who is responsible for the wine at that time. 
  
  ### Exception
  
  (3) Subsection (1) does not apply to wine 
  (a) that is produced by an individual for their personal use and that is consumed in the course of that use; or 
  (b) that is produced in Canada from honey or apples and composed wholly of agricultural or plant product grown in Canada. 
  
  ### Imposition — wine packaged in Canada
  
  135 (1) Duty is imposed on wine that is packaged in Canada at the rates set out in Schedule 6. 
  
  ### Wine produced for personal use and by small producers
  
  (2) Subsection (1) does not apply to wine that is 
  (a) produced in Canada from honey or apples and composed wholly of agricultural or plant product grown in Canada; 
  (a.1) produced and packaged by an individual for their personal use; or 
  (b) produced by a wine licensee and packaged by or on behalf of the licensee during a fiscal month in a particular fiscal year of the licensee if 
  (i) the total sales by the licensee of products that are subject to duty under subsection (1), or that would have been so subject to duty in the absence of this subsection, in the fiscal year ending immediately before the particular fiscal year did not exceed $50,000, and 
  (ii) the total sales by the licensee of those products during the particular fiscal year before the fiscal month did not exceed $50,000. 
  
  ### Time of imposition
  
  (3) The duty is imposed at the time the wine is packaged. It is also payable at that time unless the wine is entered into an excise warehouse immediately after packaging. 
  
  ### Payable by responsible person
  
  (4) The duty is payable by the person who is responsible for the wine immediately before it is packaged. 
  
  ### Wine licensee ceases to be liable for duty
  
  (5) If an excise warehouse licensee becomes liable under section 140 for duty on the wine, the person required under subsection (4) to pay the duty ceases to be liable to pay it. 
  
  ### Definitions
  
  135.1 (1) The following definitions apply in this section.  
  *inflationary adjusted year* means 2018 and every year after that year. (année inflationniste)   
  *reference year* means a 12-month period that begins on April 1 of a year and ends on March 31 of the following year. (année de référence)  
  
  ### Annual adjustments
  
  (2) Each rate of duty set out in Schedule 6 applicable in respect of a litre of wine is to be adjusted on April 1 of an inflationary adjusted year so that the rate is equal to the greater of 
  (a) the rate determined by the formula is the rate of duty applicable to the litre on March 31 of the inflationary adjusted year, and is the amount, rounded to the nearest one-thousandth, or, if the amount is equidistant from two consecutive one-thousandths, rounded to the higher one-thousandth, determined by the formula is the Consumer Price Index for the 12-month period ending on September 30 of the particular year preceding the inflationary adjusted year, and is the Consumer Price Index for the 12-month period ending on September 30 of the year preceding the particular year, and 
  (b) the rate of duty referred to in the description of A in paragraph (a). 
  
  ### Adjustment — 2023
  
  (2.1) In respect of the inflationary adjusted year that is 2023, the description of B in paragraph (2)(a) is deemed to be equal to 1.02. 
  
  ### Rounding
  
  (3) The adjusted rate determined under subsection (2) is to be rounded to the nearest one-thousandth or, if the adjusted rate is equidistant from two consecutive one-thousandths, to the higher one-thousandth. 
  
  ### Consumer Price Index
  
  (4) In this section, the Consumer Price Index for any 12-month period is the result arrived at by 
  (a) aggregating the Consumer Price Index for Canada, as published by Statistics Canada under the authority of the Statistics Act, for each month in that period;  
  (b) dividing the aggregate obtained under paragraph (a) by 12; and 
  (c) rounding the result obtained under paragraph (b) to the nearest one-thousandth or, if the result obtained is equidistant from two consecutive one-thousandths, to the higher one-thousandth. 
  
  ### Application of adjusted rate
  
  (5) If duties on wine are imposed in a reference year but become payable in another reference year that begins in an inflationary adjusted year, those duties are determined at the rate of duty as adjusted under subsection (2) on the first day of the other reference year. 
  
  ### Duty payable on removal from warehouse
  
  136 (1) Subject to subsection (2), if packaged wine is removed from an excise warehouse for entry into the duty-paid market, duty is payable on the wine at the time of its removal and is payable by the excise warehouse licensee. 
  
  ### Removals for consignment sales
  
  (2) If a small wine licensee removes packaged wine that the licensee produced or packaged from the excise warehouse of the licensee for delivery and sale on a consignment basis at a retail store operated on behalf of two or more small wine licensees and that is not located on the premises of a wine licensee, the wine is deemed to be removed from the warehouse for entry into the duty-paid market at the time the wine is sold. 
  
  ### Meaning of 
  *small wine licensee* 
  
  (3) In this section, a wine licensee is a small wine licensee during a fiscal year of the licensee if, in the previous fiscal year, the total amount of wine sold by the licensee did not exceed 60,000 litres. 
  
  ### Duty payable on packaged wine taken for use
  
  137 Subject to sections 144 to 146, if non-duty-paid packaged wine that is in the possession of an excise warehouse licensee or a licensed user is taken for use, duty is payable on the wine at the time it is taken for use and is payable by the licensee or user. 
  
  ### Duty payable on unaccounted packaged wine
  
  138 (1) Duty is payable on non-duty-paid packaged wine that has been received by an excise warehouse licensee or a licensed user but that cannot be accounted for by the licensee or user 
  (a) as being in the excise warehouse of the licensee or the specified premises of the user; 
  (a.1) in the case of packaged wine described by subsection 136(2), as being in a store described by that subsection; 
  (b) as having been removed, used or destroyed in accordance with this Act; or 
  (c) as having been lost in prescribed circumstances, if the licensee or user fulfills any prescribed conditions. 
  
  ### When duty payable
  
  (2) Duty is payable by the licensee or user at the time the wine cannot be accounted for. 
  
  ### Duty on wine in marked special container relieved
  
  139 (1) Duty imposed under subsection 135(1) is relieved on wine that is contained in a marked special container of wine from which the marking has been removed in accordance with section 156. 
  
  ### Duty on returned wine relieved
  
  (2) Duty imposed under subsection 135(1) or levied under subsection 21.2(2) of the Customs Tariff is relieved on wine that is returned to the bulk wine inventory of a wine licensee in accordance with section 157.  
  
  ## Liability of Excise Warehouse Licensees and Licensed Users 
  
  ### Non-duty-paid packaged alcohol
  
  140 If non-duty-paid packaged alcohol is entered into an excise warehouse immediately after being packaged, the excise warehouse licensee is liable for the duty on the alcohol at the time it is entered into the warehouse. 
  
  ### Imported packaged alcohol
  
  141 If, in accordance with subsection 21.2(3) of the Customs Tariff, imported packaged alcohol is, without the payment of duty, released under the Customs Act to the excise warehouse licensee or licensed user who imported it, the excise warehouse licensee or licensed user is liable for the duty on the alcohol.  
  
  ### Transfer between warehouse licensees
  
  142 (1) If non-duty-paid packaged alcohol is removed from the excise warehouse of an excise warehouse licensee (in this subsection referred to as the “transferor”) to the excise warehouse of another excise warehouse licensee, at the time the alcohol is entered into the warehouse of the other licensee, 
  (a) the other licensee becomes liable for the duty on the alcohol; and 
  (b) the transferor ceases to be liable for the duty. 
  
  ### Transfer to licensed user
  
  (2) If non-duty-paid packaged alcohol is removed from an excise warehouse to the specified premises of a licensed user, at the time the alcohol is entered into those premises, 
  (a) the licensed user becomes liable for the duty on the alcohol; and 
  (b) the excise warehouse licensee ceases to be liable for the duty. 
  
  ### Transfer from licensed user
  
  (3) If non-duty-paid packaged alcohol is removed from the specified premises of a licensed user to an excise warehouse, at the time the alcohol is entered into the warehouse, 
  (a) the excise warehouse licensee becomes liable for the duty on the alcohol; and 
  (b) the licensed user ceases to be liable for the duty. 
  
  ## Non-dutiable Uses and Removals of Alcohol 
  
  ### Approved formulations
  
  143 The Minister may impose any conditions or restrictions that the Minister considers necessary in respect of the making, importation, packaging, use or sale of, or other dealing with, an approved formulation. 
  
  ### Non-dutiable uses — approved formulations
  
  144 Duty is relieved on bulk alcohol and non-duty-paid packaged alcohol used by a licensed user in an approved formulation. 
  
  ### Duty not payable — bulk alcohol
  
  145 (1) Duty is not payable on bulk alcohol 
  (a) taken for analysis by an alcohol licensee or a licensed user in a manner approved by the Minister; 
  (b) destroyed by an alcohol licensee or a licensed user in a manner approved by the Minister; or 
  (c) used by a licensed user in a process in which the absolute ethyl alcohol is destroyed to the extent approved by the Minister. 
  
  ### Duty not payable — packaged alcohol
  
  (2) Duty is not payable on non-duty-paid packaged alcohol 
  (a) taken for analysis by an excise warehouse licensee or a licensed user in a manner approved by the Minister; 
  (b) destroyed by an excise warehouse licensee or a licensed user in a manner approved by the Minister; 
  (c) used by a licensed user in a process in which the absolute ethyl alcohol is destroyed to the extent approved by the Minister; or 
  (d) in the case of wine, taken for use by an excise warehouse licensee if that licensee is also the wine licensee who produced or packaged the wine and the wine is provided free of charge to individuals for consumption as a sample at the premises where the licensee produces or packages wine. 
  
  ### No duty payable — alcohol taken for analysis or destroyed
  
  (3) Duty is not payable on bulk alcohol or non-duty-paid packaged alcohol that is taken for analysis or destroyed by the Minister. 
  
  ### Duty not payable — vinegar
  
  146 (1) Duty is not payable on alcohol that is used by a licensed user to produce vinegar if not less than 0.5 kg of acetic acid is produced from every litre of absolute ethyl alcohol used. 
  
  ### Deemed taken for use if deficiency
  
  (2) If a licensed user uses alcohol to produce vinegar and less than 0.5 kg of acetic acid is produced from every litre of absolute ethyl alcohol used, the licensed user is deemed to have taken for use, at the time the vinegar is produced, the number of litres of that alcohol that is equivalent to the number determined by the formula is the number of litres of absolute ethyl alcohol used, and is the number of kilograms of acetic acid produced. 
  
  ### Duty not payable — packaged alcohol
  
  147 (1) Duty is not payable on non-duty-paid packaged alcohol, other than alcohol contained in a marked special container, that is removed from an excise warehouse 
  (a) for delivery 
  (i) to an accredited representative for their personal or official use, 
  (ii) to a duty free shop for sale in accordance with the Customs Act,  
  (iii) to a registered user for use in accordance with their registration, or 
  (iv) as ships’ stores in accordance with the Ships’ Stores Regulations ; or  
  (b) for export by the excise warehouse licensee in accordance with this Act. 
  
  ### Duty not payable — special container of spirits
  
  (2) Duty is not payable on spirits contained in a marked special container that is removed from an excise warehouse 
  (a) for delivery to a registered user for use in accordance with their registration, if the container is marked for delivery to and use by a registered user; or 
  (b) for export by the excise warehouse licensee in accordance with this Act, if the container was imported. 
  
  ### Duty not payable — special container of wine
  
  (3) Duty is not payable on wine imported in a marked special container that is removed from an excise warehouse for export by the excise warehouse licensee in accordance with this Act. 
  
  ### Duty not payable — wine samples
  
  (4) Duty is not payable on non-duty-paid packaged wine, other than wine contained in a marked special container, that is removed from the excise warehouse of the wine licensee who produced or packaged the wine if the wine is to be provided free of charge to individuals as a sample consumed at the premises where the licensee produces or packages wine. 
  
  ## Determining Volume of Alcohol 
  
  ### Volume of alcohol
  
  148 (1) The volume and absolute ethyl alcohol content of alcohol shall be determined in a manner specified by the Minister using approved instruments. 
  
  ### Approval of instrument
  
  (2) The Minister may examine and approve an instrument or a class, type or design of instruments for the measurement of the volume and absolute ethyl alcohol content of alcohol. 
  
  ### Re-examination
  
  (3) The Minister may direct in writing that any instrument previously examined and approved, or of a class, type or design previously examined and approved, by the Minister be submitted to the Minister for re-examination and, if the Minister so directs, the person who has the custody and control of the instrument shall immediately submit it to the Minister for re-examination. 
  
  ### Revocation of approval
  
  (4) After re-examining an instrument, the Minister may, in writing, revoke the Minister’s approval of that instrument or instruments of the same class, type or design as that instrument. 
  
  ### Indicating instrument is approved
  
  (5) Every approved instrument the approval of which has not been revoked shall indicate the approval in a manner acceptable to the Minister. 
  
  ## Excise Warehouses 
  
  ### Restriction — entering into warehouse
  
  149 No person shall enter non-duty-paid packaged alcohol into an excise warehouse except in accordance with this Act. 
  
  ### Import by warehouse licensee
  
  150 (1) If imported packaged alcohol is, without the payment of duty, released under the Customs Act to the excise warehouse licensee who imported it, the licensee shall immediately enter it into the excise warehouse of the licensee.  
  
  ### Import by licensed user
  
  (2) If imported packaged alcohol is, without the payment of duty, released under the Customs Act to the licensed user who imported it, the licensed user shall immediately enter it into the specified premises of the licensed user.  
  
  ### Restriction on removal
  
  151 (1) No person shall remove non-duty-paid packaged alcohol from an excise warehouse. 
  
  ### Exception
  
  (2) Subject to the regulations, a person may remove from an excise warehouse 
  (a) non-duty-paid packaged alcohol, other than alcohol in a marked special container, for 
  (i) entry into the duty-paid market, 
  (ii) delivery to another excise warehouse, 
  (iii) delivery to an accredited representative for their personal or official use, 
  (iv) delivery as ships’ stores, in accordance with the Ships’ Stores Regulations,  
  (v) delivery to a duty free shop for sale in accordance with the Customs Act to persons who are about to leave Canada,  
  (vi) delivery to a licensed user, 
  (vii) delivery to a registered user for use in accordance with their registration, 
  (viii) in the case of packaged wine described in subsection 136(2), delivery to a store described in that subsection, or 
  (ix) export; 
  (a.1) non-duty-paid packaged wine, other than wine in a marked special container, if the warehouse is the excise warehouse of the wine licensee who produced or packaged the wine and the wine is to be provided free of charge to individuals as a sample consumed at the premises where the licensee produces or packages wine; 
  (b) a non-duty-paid marked special container of wine for 
  (i) delivery to another excise warehouse, or 
  (ii) entry into the duty-paid market for delivery to a bottle-your-own premises; 
  (c) a non-duty-paid marked special container of spirits for 
  (i) delivery to another excise warehouse, 
  (ii) if the container is marked for delivery to and use by a registered user, delivery to a registered user for use in accordance with their registration, or 
  (iii) if the container is marked for delivery to and use at a bottle-your-own premises, entry into the duty-paid market for delivery to a bottle-your-own premises; or 
  (d) an imported non-duty-paid marked special container of alcohol, for export. 
  
  ### Return of duty-paid alcohol
  
  152 If packaged alcohol that has been removed from an excise warehouse for entry into the duty-paid market is returned to that warehouse under prescribed conditions, the alcohol may be entered into the warehouse as non-duty-paid packaged alcohol. 
  
  ### Return of non-duty-paid alcohol
  
  153 If non-duty-paid packaged alcohol that has been removed from an excise warehouse in accordance with section 147 is returned to an excise warehouse under prescribed conditions, the alcohol may be entered into the warehouse as non-duty-paid packaged alcohol. 
  
  ### Return of non-duty-paid wine
  
  153.1 If non-duty-paid packaged wine that has been removed from an excise warehouse under subparagraph 151(2)(a)(viii) is returned to that warehouse under prescribed conditions, the wine may, if it had not been entered into the duty-paid market, be entered into the warehouse as non-duty-paid packaged wine. 
  
  ### Supplying packaged alcohol to retail store
  
  154 (1) Subject to subsections (2) and 155(1), an excise warehouse licensee shall not, during a calendar year, supply from a particular premises specified in the excise warehouse licence of the licensee to a retail store more than 30% of the total volume of packaged alcohol supplied from those premises to all retail stores during the year. 
  
  ### Exception for certain retail stores
  
  (2) An excise warehouse licensee who is an alcohol licensee may supply from the particular premises to a retail store of the licensee more than 30% of that total volume if 
  (a) the store is located at a place at which the licensee produces or packages alcohol; and 
  (b) not less than 90% of the volume of packaged alcohol supplied to the store from the particular premises in the year consists of alcohol that was packaged by, or, if the licensee was responsible for the alcohol immediately before it was packaged, on behalf of, the licensee. 
  
  ### Exception for remote stores
  
  155 (1) On application in the prescribed form and manner by an excise warehouse licensee who is a liquor authority or a non-retailer of alcohol, the Minister may authorize the licensee to supply during a calendar year from a particular premises specified in their excise warehouse licence to a retail store more than 30% of the total volume of packaged alcohol to be supplied from the premises to all retail stores during the year if the Minister is satisfied that the delivery of packaged alcohol by railway, truck or water vessel to the store is not possible for five consecutive months in every year. 
  
  ### Revocation
  
  (2) The Minister may revoke an authorization under subsection (1) if 
  (a) the licensee makes a written request to the Minister to revoke the authorization; 
  (b) the licensee fails to comply with any condition imposed in respect of the authorization or any provision of this Act; 
  (c) the Minister is no longer satisfied that the requirements of subsection (1) are met; or 
  (d) the Minister considers that the authorization is no longer required. 
  
  ### Notice of revocation
  
  (3) If the Minister revokes an authorization of a licensee, the Minister shall notify the licensee in writing of the revocation and its effective date. 
  
  ### Removal of special container
  
  156 An alcohol licensee who has marked a special container of alcohol may remove the container from their excise warehouse to return it to the bulk alcohol inventory of the licensee if the marking on the container is removed by the licensee in the manner approved by the Minister. 
  
  ### Removal of packaged wine from excise warehouse
  
  157 A wine licensee may remove non-duty-paid packaged wine from their excise warehouse to return it to the bulk wine inventory of the licensee. 
  
  ### Removal of packaged spirits from excise warehouse
  
  158 A spirits licensee may remove non-duty-paid packaged spirits from their excise warehouse to return them to the bulk spirits inventory of the licensee. 
  
  # PART 4.1 
  
  ## Cannabis 
  
  ## Exclusions 
  
  ### Non-application
  
  158.01 This Part does not apply to 
  (a) cannabis products that are produced in Canada by an individual for the personal use of the individual and in accordance with the Cannabis Act, but only to the extent that those cannabis products are used in activities that are not prohibited for those cannabis products under that Act;  
  (b) cannabis products that are produced in Canada by an individual for the medical purposes of the individual and in accordance with the Controlled Drugs and Substances Act or the Cannabis Act, as applicable, but only to the extent that those cannabis products are used by the individual in activities that are not prohibited for those cannabis products under whichever of those Acts is applicable;  
  (c) cannabis products that are produced in Canada by a designated person — being an individual who is authorized under the Controlled Drugs and Substances Act or the Cannabis Act to produce cannabis for the medical purposes of another individual — for the medical purposes of the other individual and in accordance with whichever of those Acts is applicable, but only to the extent that those cannabis products are used by the designated person or the other individual in activities that are not prohibited for those cannabis products under whichever of those Acts is applicable; or  
  (d) cannabis products that are in the possession of a holder of a licence referred to in paragraph 8(1)(e) or (f) of the Cannabis Regulations, but only to the extent that those cannabis products are used by the holder of the licence in activities that are not prohibited for those cannabis products under the conditions of the licence or the Cannabis Act.  
  
  ## Cannabis Production and Stamping 
  
  ### Production without licence prohibited
  
  158.02 (1) No person shall, other than in accordance with a cannabis licence issued to the person, produce cannabis products. 
  
  ### Deemed producer
  
  (2) A person that, whether for consideration or otherwise, provides or offers to provide in their place of business equipment for use in that place by another person in the production of a cannabis product is deemed to be producing the cannabis product and the other person is deemed not to be producing the cannabis product. 
  
  ### Exception
  
  (3) Subsection (1) does not apply in respect of 
  (a) the production of industrial hemp by-products by an industrial hemp grower; and 
  (b) a prescribed person that produces prescribed cannabis products, or cannabis products of a prescribed class, in prescribed circumstances or for a prescribed purpose. 
  
  ### Issuance of cannabis excise stamps
  
  158.03 (1) On application in the prescribed form and manner, the Minister may issue, to a cannabis licensee, stamps the purpose of which is to indicate that cannabis duty and, if applicable, additional cannabis duty have been paid on a cannabis product. 
  
  ### Quantity of cannabis excise stamps
  
  (2) The Minister may limit the quantity of cannabis excise stamps that may be issued to a person under subsection (1). 
  
  ### Security
  
  (3) No person shall be issued a cannabis excise stamp unless the person has provided any security required by regulation in a form satisfactory to the Minister. 
  
  ### Supply of cannabis excise stamps
  
  (4) The Minister may authorize a producer of cannabis excise stamps to supply, on the direction of the Minister, cannabis excise stamps to a person to which those stamps are issued under subsection (1). 
  
  ### Design and construction
  
  (5) The design and construction of cannabis excise stamps shall be subject to the approval of the Minister. 
  
  ### Counterfeit cannabis excise stamps
  
  158.04 No person shall produce, possess, sell or otherwise supply, or offer to supply, without lawful justification or excuse the proof of which lies on the person, anything that is intended to resemble or pass for a cannabis excise stamp. 
  
  ### Unlawful possession of cannabis excise stamps
  
  158.05 (1) No person shall possess a cannabis excise stamp that has not been affixed to a packaged cannabis product in the manner prescribed for the purposes of the definition stamped in section 2 to indicate that duty has been paid on the cannabis product.  
  
  ### Exceptions — possession
  
  (2) Subsection (1) does not apply to the possession of a cannabis excise stamp by 
  (a) the person that lawfully produced the cannabis excise stamp; 
  (b) the person to which the cannabis excise stamp is issued; or 
  (c) a prescribed person. 
  
  ### Unlawful supply of cannabis excise stamps
  
  158.06 No person shall dispose of, sell or otherwise supply, or offer to supply, a cannabis excise stamp otherwise than in accordance with this Act. 
  
  ### Cancellation of cannabis excise stamps
  
  158.07 The Minister may 
  (a) cancel a cannabis excise stamp that has been issued; and 
  (b) direct that it be returned or destroyed in a manner specified by the Minister. 
  
  ### Unlawful packaging or stamping
  
  158.08 No person shall package or stamp a cannabis product unless the person is a cannabis licensee or a prescribed person. 
  
  ### Unlawful removal
  
  158.09 (1) Except as permitted under section 158.15, no person shall remove a cannabis product from the premises of a cannabis licensee unless it is packaged and 
  (a) if the cannabis product is intended for the duty-paid market, 
  (i) it is stamped to indicate that cannabis duty has been paid, and 
  (ii) if additional cannabis duty in respect of a specified province is imposed on the cannabis product, it is stamped to indicate that the additional cannabis duty has been paid; or 
  (b) if the cannabis product is not intended for the duty-paid market, all prescribed information is printed on or affixed to its container in a prescribed manner. 
  
  ### Exception
  
  (2) Subsection (1) does not apply to a cannabis licensee that removes from their premises a cannabis product 
  (a) if the cannabis product is being removed 
  (i) for delivery to another cannabis licensee, 
  (ii) for export as permitted under the Cannabis Act,  
  (iii) for delivery to a person for sterilization in accordance with subparagraph 158.11(3)(a)(ii), or 
  (iv) for delivery to a person for analysis or destruction in accordance with subparagraph 158.3(a)(v); 
  (b) if the cannabis product is 
  (i) a low-THC cannabis product, 
  (ii) a prescription cannabis drug, or 
  (iii) a prescribed cannabis product or a cannabis product of a prescribed class; or 
  (c) in prescribed circumstances or for a prescribed purpose. 
  
  ### Removal by Minister
  
  (3) Subsection (1) does not apply to the removal of a cannabis product for analysis or destruction 
  (a) by the Minister; or 
  (b) by the Minister, as defined in subsection 2(1) of the Cannabis Act.  
  
  ### Prohibition — cannabis for sale
  
  158.1 No person shall purchase or receive for sale 
  (a) a cannabis product from a producer that the person knows, or ought to know, is not 
  (i) a cannabis licensee, or 
  (ii) in the case of an industrial hemp by-product, an industrial hemp grower; 
  (b) a cannabis product that is required under this Act to be packaged and stamped unless it is packaged and stamped in accordance with this Act; or 
  (c) a cannabis product that the person knows, or ought to know, is fraudulently stamped. 
  
  ### Selling, etc., unstamped cannabis
  
  158.11 (1) No person, other than a cannabis licensee, shall dispose of, sell, offer for sale, purchase or have in their possession a cannabis product unless 
  (a) it is packaged; and 
  (b) it is stamped to indicate that cannabis duty has been paid. 
  
  ### Selling, etc., unstamped cannabis — specified province
  
  (2) No person, other than a cannabis licensee, shall dispose of, sell, offer for sale, purchase or have in their possession a cannabis product in a specified province unless it is stamped to indicate that additional cannabis duty in respect of the specified province has been paid. 
  
  ### Exception — possession of cannabis
  
  (3) Subsections (1) and (2) do not apply to the possession of a cannabis product 
  (a) by a person that 
  (i) is a prescribed person that is transporting the cannabis product under prescribed circumstances and conditions, 
  (ii) is a prescribed person that is sterilizing the cannabis product under prescribed circumstances and conditions, 
  (iii) is an individual if the cannabis product was imported for their medical purposes in accordance with the Controlled Drugs and Substances Act or the Cannabis Act, as applicable, or  
  (iv) possesses the cannabis product for analysis or destruction in accordance with subparagraph 158.3(a)(v); 
  (b) if the cannabis product is 
  (i) a low-THC cannabis product, 
  (ii) a prescription cannabis drug, or 
  (iii) a prescribed cannabis product or a cannabis product of a prescribed class; or 
  (c) in prescribed circumstances or for a prescribed purpose. 
  
  ### Exception — disposal, sale, etc.
  
  (4) Subsections (1) and (2) do not apply to the disposal, sale, offering for sale or purchase of a cannabis product 
  (a) if the cannabis product is 
  (i) a low-THC cannabis product, 
  (ii) a prescription cannabis drug, or 
  (iii) a prescribed cannabis product or a cannabis product of a prescribed class; or 
  (b) in prescribed circumstances or for a prescribed purpose. 
  
  ### Exception — industrial hemp
  
  (5) Subsections (1) and (2) do not apply to 
  (a) the possession of an industrial hemp by-product by the industrial hemp grower that produced it, if the industrial hemp by-product 
  (i) is on the industrial hemp grower’s property, or 
  (ii) is being transported by the industrial hemp grower for delivery to or return from a cannabis licensee; and 
  (b) the disposal, sale or offering for sale of an industrial hemp by-product to a cannabis licensee by the industrial hemp grower that produced it. 
  
  ### Exception — specified province
  
  (6) Subsection (2) does not apply to 
  (a) the possession of a cannabis product in prescribed circumstances or for a prescribed purpose; or 
  (b) the disposal, sale, offering for sale or purchase of a cannabis product in prescribed circumstances or for a prescribed purpose. 
  
  ### Sale or distribution by licensee
  
  158.12 (1) No cannabis licensee shall distribute a cannabis product or sell or offer for sale a cannabis product to a person unless 
  (a) it is packaged; 
  (b) it is stamped to indicate that cannabis duty has been paid; and 
  (c) if additional cannabis duty in respect of a specified province is imposed on the cannabis product, it is stamped to indicate that the additional cannabis duty has been paid. 
  
  ### Exception
  
  (2) Subsection (1) does not apply to the distribution, sale or offering for sale of a cannabis product 
  (a) to a cannabis licensee; 
  (b) if the cannabis product is exported by the cannabis licensee in accordance with the Cannabis Act ;  
  (c) if the cannabis product is 
  (i) a low-THC cannabis product, 
  (ii) a prescription cannabis drug, or 
  (iii) a prescribed cannabis product or a cannabis product of a prescribed class; or 
  (d) in prescribed circumstances or for a prescribed purpose. 
  
  ### Packaging and stamping of cannabis
  
  158.13 A particular cannabis licensee shall not enter a cannabis product into the duty-paid market unless 
  (a) the cannabis product is packaged; 
  (b) the package has printed on it prescribed information; 
  (c) the cannabis product is stamped — using a cannabis excise stamp that has been issued to the particular cannabis licensee and that indicates that cannabis duty has been paid — by 
  (i) the particular cannabis licensee, or 
  (ii) another cannabis licensee if prescribed conditions are met; 
  (d) if the cannabis product is to be entered in the duty-paid market of a specified province, the cannabis product is stamped — using a cannabis excise stamp that has been issued to the particular cannabis licensee and that indicates that additional cannabis duty in respect of the specified province has been paid — by 
  (i) the particular cannabis licensee, or 
  (ii) another cannabis licensee if prescribed conditions are met; and 
  (e) the particular cannabis licensee is responsible for the cannabis product immediately before it is stamped. 
  
  ### Notice — absence of stamping
  
  158.14 (1) The absence on a cannabis product of stamping that indicates that cannabis duty has been paid is notice to all persons that cannabis duty has not been paid on the cannabis product. 
  
  ### Notice — absence of stamping
  
  (2) The absence on a cannabis product of stamping that indicates that additional cannabis duty in respect of a specified province has been paid is notice to all persons that additional cannabis duty in respect of the specified province has not been paid on the cannabis product. 
  
  ### Cannabis — waste removal
  
  158.15 (1) No person shall remove a cannabis product that is waste from the premises of a cannabis licensee other than the cannabis licensee or a person authorized by the Minister. 
  
  ### Removal requirements
  
  (2) If a cannabis product that is waste is removed from the premises of a cannabis licensee, it shall be dealt with in the manner authorized by the Minister. 
  
  ### Re-working or destruction of cannabis
  
  158.16 A cannabis licensee may re-work or destroy a cannabis product in the manner authorized by the Minister. 
  
  ## Responsibility for Cannabis 
  
  ### Responsibility
  
  158.17 Subject to section 158.18, a person is responsible for a cannabis product at any time if 
  (a) the person is 
  (i) the cannabis licensee that owns the cannabis product at that time, or 
  (ii) if the cannabis product is not owned at that time by a cannabis licensee, the cannabis licensee that last owned it; or 
  (b) the person is a prescribed person or a person that meets prescribed conditions. 
  
  ### Person not responsible
  
  158.18 A person that is responsible for a cannabis product ceases to be responsible for it 
  (a) if it is packaged and stamped and the duty on it is paid; 
  (b) if it is consumed or used in the production of a cannabis product that is 
  (i) a low-THC cannabis product, 
  (ii) a prescription cannabis drug, or 
  (iii) a prescribed cannabis product or a cannabis product of a prescribed class; 
  (c) if it is taken for use and the duty on it is paid; 
  (d) if it is taken for use in accordance with any of subparagraphs 158.3(a)(i) to (v); 
  (e) if it is exported in accordance with the Cannabis Act ;  
  (f) if it is lost in prescribed circumstances and the person fulfils any prescribed conditions; or 
  (g) in prescribed circumstances or if prescribed conditions are met. 
  
  ## Imposition and Payment of Duty on Cannabis 
  
  ### Imposition — flat-rate duty
  
  158.19 (1) Duty is imposed on cannabis products produced in Canada at the time they are packaged in the amount determined under section 1 of Schedule 7. 
  
  ### Imposition — ad valorem duty 
  
  (2) Duty is imposed on packaged and stamped cannabis products produced in Canada at the time of their delivery to a purchaser in the amount determined under section 2 of Schedule 7. 
  
  ### Duty payable
  
  (3) The greater of the duty imposed under subsection (1) and the duty imposed under subsection (2) is payable by the cannabis licensee that is responsible for the cannabis products immediately before those products are stamped and those products are relieved of the lesser of those duties. The greater of those duties is payable at the time of the delivery of the cannabis products to a purchaser. 
  
  ### Equal duties
  
  (4) If the amount of duty imposed under subsection (1) is equal to the amount of duty imposed under subsection (2), the duty imposed under subsection (1) is payable by the cannabis licensee that is responsible for the cannabis products immediately before those products are stamped and those products are relieved of the duty imposed under subsection (2). The duty imposed under subsection (1) is payable at the time of the delivery of the cannabis products to a purchaser. 
  
  ### Imposition — additional cannabis duty
  
  158.2 (1) In addition to the duty imposed under section 158.19, a duty in respect of a specified province is imposed on cannabis products produced in Canada in prescribed circumstances in the amount determined in a prescribed manner. 
  
  ### Duty payable
  
  (2) The duty imposed under subsection (1) is payable by the cannabis licensee that is responsible for the cannabis products immediately before those products are stamped and that duty is payable at the time of their delivery to a purchaser. 
  
  ### Duty on imported cannabis
  
  158.21 (1) Duty is imposed on imported cannabis products in the amount that is equal to the greater of 
  (a) the amount determined in respect of the cannabis products under section 1 of Schedule 7, and 
  (b) the amount determined in respect of the cannabis products under section 3 of Schedule 7. 
  
  ### Duty payable
  
  (2) The duty imposed under subsection (1) is payable by the importer, owner or other person that is liable under the Customs Act to pay duty levied under section 20 of the Customs Tariff or that would be liable to pay that duty on the cannabis products if they were subject to that duty.  
  
  ### Additional cannabis duty on imported cannabis
  
  158.22 (1) In addition to the duty imposed under section 158.21, a duty in respect of a specified province is imposed on imported cannabis products in prescribed circumstances in the amount determined in a prescribed manner. 
  
  ### Duty payable
  
  (2) The duty imposed under subsection (1) is payable by the importer, owner or other person that is liable under the Customs Act to pay duty levied under section 20 of the Customs Tariff or that would be liable to pay that duty on the cannabis products if they were subject to that duty.  
  
  ### Application of Customs Act 
  
  158.23 The duties imposed under sections 158.21 and 158.22 on imported cannabis products shall be paid and collected under the Customs Act, and interest and penalties shall be imposed, calculated, paid and collected under that Act, as if the duties were a duty levied under section 20 of the Customs Tariff, and, for those purposes, the Customs Act applies with any modifications that the circumstances require.  
  
  ### Value for duty
  
  158.24 For the purposes of section 3 of Schedule 7 and of any regulations made for the purposes of section 158.22 in respect of imported cannabis products, 
  (a) the value of a cannabis product is equal to the value of the cannabis product, as it would be determined under the Customs Act for the purpose of calculating duties imposed under the Customs Tariff on the cannabis product at a percentage rate, whether the cannabis product is in fact subject to duty under the Customs Tariff ; or  
  (b) despite paragraph (a), the value of a cannabis product imported in prescribed circumstances shall be determined in prescribed manner. 
  
  ### Duty on cannabis taken for use
  
  158.25 (1) If a particular person is responsible for cannabis products at a particular time when the cannabis products are taken for use, the following rules apply: 
  (a) if the cannabis products are packaged, they are relieved of the duty imposed under subsection 158.19(1); and 
  (b) duty is imposed on the cannabis products in the amount that is equal to the greater of 
  (i) the amount determined in respect of the cannabis products under section 1 of Schedule 7, and 
  (ii) the amount determined in respect of the cannabis products under section 4 of Schedule 7. 
  
  ### Specified province — duty on cannabis taken for use
  
  (2) If a particular person is responsible for cannabis products at a particular time when the cannabis products are taken for use, a duty in respect of a specified province is imposed on the cannabis products in prescribed circumstances in the amount determined in prescribed manner. This duty is in addition to the duty imposed under subsection (1). 
  
  ### Duty payable
  
  (3) The duty imposed under subsection (1) or (2) is payable at the particular time, and by the particular person, referred to in that subsection. 
  
  ### Duty on unaccounted cannabis
  
  158.26 (1) If a particular person that is responsible at a particular time for cannabis products cannot account for the cannabis products as being, at the particular time, in the possession of a cannabis licensee or in the possession of another person in accordance with subsection 158.11(3) or paragraph 158.11(5)(a), the following rules apply: 
  (a) if the cannabis products are packaged, they are relieved of the duty imposed under subsection 158.19(1); and 
  (b) duty is imposed on the cannabis products in the amount that is equal to the greater of 
  (i) the amount determined in respect of the cannabis products under section 1 of Schedule 7, and 
  (ii) the amount determined in respect of the cannabis products under section 4 of Schedule 7. 
  
  ### Specified province — duty on unaccounted cannabis
  
  (2) If a particular person that is responsible at a particular time for cannabis products cannot account for the cannabis products as being, at the particular time, in the possession of a cannabis licensee or in the possession of another person in accordance with subsection 158.11(3) or paragraph 158.11(5)(a), a duty in respect of a specified province is imposed on the cannabis products in prescribed circumstances in the amount determined in prescribed manner. This duty is in addition to the duty imposed under subsection (1). 
  
  ### Duty payable
  
  (3) The duty imposed under subsection (1) or (2) is payable at the particular time, and by the particular person, referred to in that subsection. 
  
  ### Exception
  
  (4) Subsection (1) does not apply in circumstances in which the particular person referred to in that subsection is convicted of an offence under section 218.1. 
  
  ### Definition of commencement day 
  
  158.27 (1) For the purposes of this section, 
  *commencement day* has the same meaning as in section 152 of the Cannabis Act.  
  
  ### Duty on cannabis — production before commencement day
  
  (2) Duty is imposed on cannabis products that are produced in Canada and delivered to a purchaser before commencement day for sale or distribution on or after that day in the amount that is equal to the greater of 
  (a) the amount determined in respect of the cannabis product under section 1 of Schedule 7, and 
  (b) the amount determined in respect of the cannabis product under section 2 of Schedule 7. 
  
  ### Additional cannabis duty — production before commencement day
  
  (3) In addition to the duty imposed under subsection (2), a duty in respect of a specified province is imposed on cannabis products that are produced in Canada and delivered to a purchaser before commencement day for sale or distribution on or after that day in prescribed circumstances in the amount determined in a prescribed manner. 
  
  ### Duty payable
  
  (4) The duty imposed under subsection (2) or (3) is payable on commencement day by the cannabis licensee that packaged the cannabis product. 
  
  ### Exception
  
  (5) Subsection (2) does not apply to a prescribed cannabis product, or a cannabis product of a prescribed class, that is delivered to a prescribed person in prescribed circumstances or for a prescribed purpose. 
  
  ### Duty relieved — cannabis imported by licensee
  
  158.28 The duties imposed under sections 158.21 and 158.22 are relieved on 
  (a) a cannabis product that is not packaged and that is imported by a cannabis licensee; or 
  (b) a prescribed cannabis product, or a cannabis product of a prescribed class, that is imported by a prescribed person in prescribed circumstances or for a prescribed purpose. 
  
  ### Duty relieved — prescribed circumstances
  
  158.29 The duties imposed under any of sections 158.19 to 158.22 and 158.27 are relieved on a prescribed cannabis product, or a cannabis product of a prescribed class, in prescribed circumstances or if prescribed conditions are met. 
  
  ### Duty not payable
  
  158.3 Duty is not payable on 
  (a) a cannabis product that 
  (i) is taken for analysis or destroyed by the Minister, 
  (ii) is taken for analysis or destroyed by the Minister, as defined in subsection 2(1) of the Cannabis Act,  
  (iii) is taken for analysis by a cannabis licensee in a manner approved by the Minister, 
  (iv) is destroyed by a cannabis licensee in a manner approved by the Minister, 
  (v) is delivered by a cannabis licensee to another person for analysis or destruction by that person in a manner approved by the Minister, 
  (vi) is a low-THC cannabis product, 
  (vii) is a prescription cannabis drug, or 
  (viii) is a prescribed cannabis product or a cannabis product of a prescribed class; 
  (b) a non-duty-paid cannabis product that is removed from the premises of a cannabis licensee for export in accordance with the Cannabis Act ; or  
  (c) a prescribed cannabis product, or a cannabis product of a prescribed class, that is delivered by a cannabis licensee to a prescribed person in prescribed circumstances or for a prescribed purpose. 
  
  ### Quantity of cannabis
  
  158.31 For the purposes of determining an amount of duty in respect of a cannabis product under section 1 of Schedule 7, the following rules apply: 
  (a) the quantity of flowering material and non-flowering material included in the cannabis product or used in the production of the cannabis product is to be determined in a prescribed manner in prescribed circumstances; and 
  (b) if paragraph (a) does not apply in respect of the cannabis product, 
  (i) the quantity of flowering material and non-flowering material included in the cannabis product or used in the production of the cannabis product is to be determined at the time the flowering material and non-flowering material are so included or used and in a manner satisfactory to the Minister, and 
  (ii) if the quantity of flowering material included in the cannabis product or used in the production of the cannabis product is determined in accordance with subparagraph (i), the particular quantity of that flowering material that is industrial hemp by-product is deemed to be non-flowering material if that particular quantity is determined in a manner satisfactory to the Minister. 
  
  ### Delivery to purchaser
  
  158.32 For the purposes of sections 158.19, 158.2 and 158.27 and for greater certainty, delivery to a purchaser includes 
  (a) delivering cannabis products, or making them available, to a person other than the purchaser on behalf of or under the direction of the purchaser; 
  (b) delivering cannabis products, or making them available, to a person that obtains them otherwise than by means of a purchase; and 
  (c) delivering cannabis products or making them available in prescribed circumstances. 
  
  ### Time of delivery
  
  158.33 For the purposes of sections 158.19, 158.2 and 158.27, a cannabis product is deemed to be delivered to a purchaser by a cannabis licensee at the earliest of 
  (a) the time at which the cannabis licensee delivers the cannabis product or makes it available to the purchaser, 
  (b) the time at which the cannabis licensee causes physical possession of the cannabis product to be transferred to the purchaser, and 
  (c) the time at which the cannabis licensee causes physical possession of the cannabis product to be transferred to a carrier — being a person that provides a service of transporting goods including, for greater certainty, a service of delivering mail — for delivery to the purchaser. 
  
  ### Dutiable amount
  
  158.34 For the purpose of section 2 of Schedule 7, the dutiable amount of a cannabis product is deemed to be equal to the fair market value of the cannabis product 
  (a) if the cannabis product is delivered or made available to a person that obtains it otherwise than by means of a purchase; or 
  (b) in prescribed circumstances. 
  
  # PART 4.2 
  
  ## Vaping Products 
  
  ## Manufacturing and Stamping 
  
  ### Manufacturing without licence prohibited
  
  158.35 (1) No person shall, other than in accordance with a vaping product licence issued to the person, manufacture vaping products. 
  
  ### Deemed manufacturer
  
  (2) A person that, whether for consideration or otherwise, provides or offers to provide in their place of business equipment for use in that place by another person in the manufacturing of a vaping product is deemed to be manufacturing the vaping product and the other person is deemed not to be manufacturing the vaping product. 
  
  ### Exception — manufacture for personal use
  
  (3) An individual who is not a vaping product licensee may manufacture vaping products for their personal use. 
  
  ### Exception — regulations
  
  (4) Subsection (1) does not apply in respect of a prescribed person that manufactures prescribed vaping products in prescribed circumstances or for a prescribed purpose. 
  
  ### Issuance of vaping excise stamps
  
  158.36 (1) On application in the prescribed form and manner, the Minister may issue, to a vaping product licensee or to a prescribed person that is importing vaping products, stamps the purpose of which is to indicate that vaping duty and, if applicable, additional vaping duty have been paid on a vaping product. 
  
  ### Quantity of vaping excise stamps
  
  (2) The Minister may limit the quantity of vaping excise stamps that may be issued to a person under subsection (1). 
  
  ### Security
  
  (3) No person shall be issued a vaping excise stamp unless the person has provided security in a form satisfactory to the Minister and in an amount determined in accordance with the regulations. 
  
  ### Supply of vaping excise stamps
  
  (4) The Minister may authorize a producer of vaping excise stamps to supply, on the direction of the Minister, vaping excise stamps to a person to which those stamps are issued under subsection (1). 
  
  ### Design and construction
  
  (5) The design and construction of vaping excise stamps shall be subject to the approval of the Minister. 
  
  ### Counterfeit vaping excise stamps
  
  158.37 No person shall produce, possess, sell or otherwise supply, or offer to supply, without lawful justification or excuse the proof of which lies on the person, anything that is intended to resemble or pass for a vaping excise stamp. 
  
  ### Unlawful possession of vaping excise stamps
  
  158.38 (1) No person shall possess a vaping excise stamp that has not been affixed to the container of a vaping product in the manner prescribed for the purposes of the definition stamped in section 2 to indicate that duty has been paid on the vaping product.  
  
  ### Exceptions — possession
  
  (2) Subsection (1) does not apply to the possession of a vaping excise stamp by 
  (a) the person that lawfully produced the vaping excise stamp; 
  (b) the person to which the vaping excise stamp is issued; 
  (c) a sufferance warehouse licensee that possesses the vaping excise stamp in their sufferance warehouse on behalf of the person described under paragraph (b); or 
  (d) a prescribed person. 
  
  ### Unlawful supply of vaping excise stamps
  
  158.39 No person shall dispose of, sell or otherwise supply, or offer to supply, a vaping excise stamp otherwise than in accordance with this Act. 
  
  ### Cancellation of vaping excise stamps
  
  158.4 The Minister may 
  (a) cancel a vaping excise stamp that has been issued; and 
  (b) direct that it be returned or destroyed in a manner specified by the Minister. 
  
  ### Unlawful packaging or stamping
  
  158.41 No person shall package or stamp a vaping product unless 
  (a) the person is a vaping product licensee; 
  (b) the person is the importer or owner of the vaping product and the vaping product has been placed in a sufferance warehouse for the purpose of being stamped; or 
  (c) the person is a prescribed person. 
  
  ### Unlawful removal
  
  158.42 (1) Except as permitted under section 158.52 or if prescribed circumstances exist, no person shall remove a vaping product from the premises of a vaping product licensee unless it is packaged and 
  (a) if the vaping product is intended for the duty-paid market, 
  (i) it is stamped to indicate that vaping duty has been paid, and 
  (ii) if additional vaping duty in respect of a specified vaping province is imposed on the vaping product, it is stamped to indicate that the additional vaping duty has been paid; or 
  (b) if the vaping product is not intended for the duty-paid market, all vaping product markings that are required under this Act to be printed on, or affixed to, its container are so printed or affixed. 
  
  ### Exceptions
  
  (2) Subsection (1) does not apply to a vaping product licensee that removes from their premises a vaping product if it is 
  (a) being removed for 
  (i) delivery to another vaping product licensee, 
  (ii) export, or 
  (iii) delivery to a person for analysis or destruction in accordance with subparagraph 158.66(a)(iv); or 
  (b) a vaping product drug. 
  
  ### Removal by Minister
  
  (3) Subsection (1) does not apply to the removal of a vaping product for analysis or destruction by the Minister. 
  
  ### Prohibition — vaping products for sale
  
  158.43 No person shall purchase or receive for sale a vaping product 
  (a) from a manufacturer that the person knows, or ought to know, is not a vaping product licensee; 
  (b) that is required under this Act to be packaged and stamped unless it is packaged and stamped in accordance with this Act; or 
  (c) that the person knows, or ought to know, is fraudulently stamped. 
  
  ### Unlawful possession or sale of vaping products
  
  158.44 (1) Except if prescribed circumstances exist, no person, other than a vaping product licensee, shall dispose of, sell, offer for sale, purchase or have in their possession a vaping product unless 
  (a) it is packaged; and 
  (b) it is stamped to indicate that vaping duty has been paid. 
  
  ### Unlawful possession or sale — specified vaping province
  
  (2) Except if prescribed circumstances exist, no person, other than a vaping product licensee, shall dispose of, sell, offer for sale, purchase or have in their possession a vaping product in a specified vaping province unless it is stamped to indicate that additional vaping duty in respect of the specified vaping province has been paid. 
  
  ### Exception — possession of vaping products
  
  (3) Subsections (1) and (2) do not apply to the possession of vaping products 
  (a) in the case of imported vaping products, 
  (i) by an excise warehouse licensee in their excise warehouse, 
  (ii) by a sufferance warehouse licensee in their sufferance warehouse, or 
  (iii) by a customs bonded warehouse licensee in their customs bonded warehouse; 
  (b) by a prescribed person that is transporting the vaping products under prescribed circumstances and conditions; 
  (c) by a person that possesses the vaping products for analysis or destruction in accordance with subparagraph 158.66(a)(iv); 
  (d) by an accredited representative for their personal or official use; 
  (e) by an individual who has imported the vaping products for their personal use in quantities not in excess of prescribed limits; 
  (f) by an individual who has manufactured the vaping products in accordance with subsection 158.35(3); or 
  (g) if the vaping products are vaping product drugs. 
  
  ### Exception — sale or offer for sale
  
  (4) Subsections (1) and (2) do not apply to the disposal, sale, offering for sale or purchase of a vaping product if 
  (a) the vaping product is an imported vaping product, an excise warehouse licensee or a customs bonded warehouse licensee sells or offers to sell the vaping product for export and the vaping product is exported by the licensee in accordance with this Act; 
  (b) the vaping product is an imported vaping product and an excise warehouse licensee or a customs bonded warehouse licensee sells or offers to sell the vaping product to an accredited representative for their personal or official use; or 
  (c) the vaping product is a vaping product drug. 
  
  ### Sale or distribution by licensee
  
  158.45 (1) Except if prescribed circumstances exist, no vaping product licensee shall distribute a vaping product or sell or offer for sale a vaping product to a person unless 
  (a) it is packaged; 
  (b) it is stamped to indicate that vaping duty has been paid; and 
  (c) if additional vaping duty in respect of a specified vaping province is imposed on the vaping product, it is stamped to indicate that the additional vaping duty has been paid. 
  
  ### Exceptions
  
  (2) Subsection (1) does not apply to the distribution, sale or offering for sale of a vaping product by a vaping product licensee 
  (a) if the distribution, sale or offering for sale is to 
  (i) another vaping product licensee, or 
  (ii) an accredited representative for their personal or official use; 
  (b) if the vaping product is exported by the vaping product licensee in accordance with this Act; or 
  (c) if the vaping product is a vaping product drug. 
  
  ### Packaging and stamping of vaping products
  
  158.46 A vaping product licensee that manufactures a vaping product shall not enter the vaping product into the duty-paid market unless 
  (a) the vaping product has been packaged by the licensee; 
  (b) the package has printed on it prescribed information; 
  (c) the vaping product is stamped at the time of packaging to indicate that vaping duty has been paid; and 
  (d) if the vaping product is to be entered in the duty-paid market of a specified vaping province, the vaping product is stamped at the time of packaging to indicate that additional vaping duty in respect of the specified vaping province has been paid. 
  
  ### Packaging and stamping of imported vaping products
  
  158.47 (1) Except if prescribed circumstances exist, if a vaping product is imported, it must, before it is released under the Customs Act for entry into the duty-paid market,  
  (a) be packaged in a package that has printed on it prescribed information; 
  (b) be stamped to indicate that vaping duty has been paid; and 
  (c) if the vaping product is to be entered in the duty-paid market of a specified vaping province, be stamped to indicate that additional vaping duty in respect of the specified vaping province has been paid. 
  
  ### Exceptions for certain importations
  
  (2) Subsection (1) does not apply to a vaping product 
  (a) that is imported by a vaping product licensee for further manufacturing by the licensee; 
  (b) that a vaping product licensee is authorized to import under subsection 158.53(2); or 
  (c) that is imported by an individual for their personal use in quantities not in excess of prescribed limits. 
  
  ### Notice — absence of stamping
  
  158.48 (1) The absence on a vaping product of stamping that indicates that vaping duty has been paid is notice to all persons that vaping duty has not been paid on the vaping product. 
  
  ### Notice — specified vaping province
  
  (2) The absence on a vaping product of stamping that indicates that additional vaping duty in respect of a specified vaping province has been paid is notice to all persons that additional vaping duty in respect of the specified vaping province has not been paid on the vaping product. 
  
  ### Unstamped products to be warehoused
  
  158.49 If vaping products manufactured in Canada are not stamped by a vaping product licensee, the vaping product licensee must immediately enter the vaping products into the licensee’s excise warehouse. 
  
  ### Vaping product markings — warehousing
  
  158.5 (1) Subject to subsection (4), no person shall enter into an excise warehouse a container of vaping products unless the container has printed on it, or affixed to it, vaping product markings and other prescribed information. 
  
  ### Vaping product markings — imports
  
  (2) Subject to subsections (3) and (4), no person shall deliver a container of imported vaping products that does not have printed on it, or affixed to it, vaping product markings and other prescribed information to 
  (a) an accredited representative; or 
  (b) a customs bonded warehouse. 
  
  ### Delivery of imported stamped vaping products
  
  (3) A container of imported vaping products that were manufactured outside Canada and are stamped may be delivered to a customs bonded warehouse. 
  
  ### Exception in prescribed circumstances
  
  (4) A container of vaping products does not require vaping product markings to be printed on it, or affixed to it, if prescribed circumstances exist. 
  
  ### Non-compliant imports
  
  158.51 (1) If an imported vaping product intended for the duty-paid market is not stamped to indicate that vaping duty has been paid when it is reported under the Customs Act, it shall be placed in a sufferance warehouse for the purpose of being so stamped.  
  
  ### Non-compliant imports — specified vaping province
  
  (2) If an imported vaping product intended for the duty-paid market of a specified vaping province is not stamped to indicate that additional vaping duty in respect of the province has been paid when it is reported under the Customs Act, it shall be placed in a sufferance warehouse for the purpose of being so stamped.  
  
  ### Exception
  
  (3) Subsections (1) and (2) do not apply in prescribed circumstances. 
  
  ### Vaping products — waste removal
  
  158.52 (1) No person shall remove a vaping product that is waste from the premises of a vaping product licensee other than the licensee or a person authorized by the Minister. 
  
  ### Removal requirements
  
  (2) If a vaping product that is waste is removed from the premises of a vaping product licensee, it shall be dealt with in the manner authorized by the Minister. 
  
  ### Re-working or destruction of vaping products
  
  158.53 (1) A vaping product licensee may re-work or destroy a vaping product in the manner authorized by the Minister. 
  
  ### Importation for re-working or destruction
  
  (2) The Minister may authorize a vaping product licensee to import vaping products manufactured in Canada by the licensee for re-working or destruction by the licensee in accordance with subsection (1). 
  
  ## Responsibility for Vaping Products 
  
  ### Responsibility — vaping products manufactured in Canada
  
  158.54 (1) Subject to section 158.55, a person is responsible for a vaping product manufactured in Canada at any time if 
  (a) the person is 
  (i) the vaping product licensee that owns the vaping product at that time, or 
  (ii) if the vaping product is not owned at that time by a vaping product licensee, the vaping product licensee that last owned it; or 
  (b) the person is a prescribed person. 
  
  ### Responsibility — imported vaping products
  
  (2) Subject to sections 158.55 and 158.56, a person is responsible for an imported vaping product at any time if the person 
  (a) imported the vaping product; or 
  (b) is a prescribed person. 
  
  ### Person not responsible
  
  158.55 A person that is responsible for a vaping product ceases to be responsible for it if 
  (a) it is packaged and stamped and the duty on it is paid; 
  (b) it is consumed or used in the manufacturing of a vaping product that is 
  (i) a vaping product drug, or 
  (ii) a prescribed vaping product; 
  (c) it is taken for use and the duty on it is paid; 
  (d) it is taken for use in accordance with any of subparagraphs 158.66(a)(i) to (iv); 
  (e) it is exported; 
  (f) it is delivered to an accredited representative for their personal or official use; 
  (g) it is lost in prescribed circumstances and the person fulfils any prescribed conditions; or 
  (h) prescribed circumstances exist. 
  
  ### Imports for personal use
  
  158.56 An individual that imports vaping products for their personal use in quantities not in excess of prescribed limits is not responsible for those vaping products. 
  
  ## Imposition and Payment of Duty on Vaping Products 
  
  ### Imposition
  
  158.57 Duty is imposed on vaping products manufactured in Canada or imported in the amount determined under Schedule 8 and is payable 
  (a) in the case of vaping products manufactured in Canada, by the vaping product licensee that packaged the vaping products and at the time they are packaged; and 
  (b) in the case of imported vaping products, by the importer, owner or other person that is liable under the Customs Act to pay duty levied under section 20 of the Customs Tariff or that would be liable to pay that duty on the vaping products if they were subject to that duty.  
  
  ### Imposition — additional vaping duty
  
  158.58 In addition to the duty imposed under section 158.57, a duty in respect of a specified vaping province is imposed on vaping products manufactured in Canada, or imported, in prescribed circumstances in the amount determined in a prescribed manner and is payable 
  (a) in the case of vaping products manufactured in Canada, by the vaping product licensee that packaged the vaping products and at the time they are packaged; and 
  (b) in the case of imported vaping products, by the importer, owner or other person that is liable under the Customs Act to pay duty levied under section 20 of the Customs Tariff or that would be liable to pay that duty on the vaping products if they were subject to that duty.  
  
  ### Application of Customs Act 
  
  158.59 The duties imposed under sections 158.57 and 158.58 on imported vaping products shall be paid and collected under the Customs Act, and interest and penalties shall be imposed, calculated, paid and collected under that Act, as if the duties were a duty levied under section 20 of the Customs Tariff, and, for those purposes, the Customs Act applies with any modifications that the circumstances require.  
  
  ### Duty on vaping products taken for use
  
  158.6 (1) If a particular person is responsible for vaping products at a particular time when the vaping products are taken for use, the following rules apply: 
  (a) if the vaping products are packaged, they are relieved of the duty imposed under section 158.57; and 
  (b) duty is imposed on the vaping products in the amount determined in respect of the vaping products under Schedule 8. 
  
  ### Specified vaping province — taken for use
  
  (2) If a particular person is responsible for vaping products at a particular time when the vaping products are taken for use, a duty in respect of a specified vaping province is imposed on the vaping products in prescribed circumstances in the amount determined in prescribed manner. That duty is in addition to the duty imposed under subsection (1). 
  
  ### Duty payable
  
  (3) The duty imposed under subsection (1) or (2) is payable at the particular time, and by the particular person, referred to in that subsection. 
  
  ### Duty on unaccounted vaping products
  
  158.61 (1) If a particular person that is responsible at a particular time for vaping products cannot account for the vaping products as being, at the particular time, in the possession of a vaping product licensee or in the possession of another person in accordance with subsection 158.44(3), the following rules apply: 
  (a) if the vaping products are packaged, they are relieved of the duty imposed under section 158.57; and 
  (b) duty is imposed on the vaping products in the amount determined in respect of the vaping products under Schedule 8. 
  
  ### Specified vaping province — unaccounted vaping products
  
  (2) If a particular person that is responsible at a particular time for vaping products cannot account for the vaping products as being, at the particular time, in the possession of a vaping product licensee or in the possession of another person in accordance with subsection 158.44(3), a duty in respect of a specified vaping province is imposed on the vaping products in prescribed circumstances in the amount determined in prescribed manner. That duty is in addition to the duty imposed under subsection (1). 
  
  ### Duty payable
  
  (3) The duty imposed under subsection (1) or (2) is payable at the particular time, and by the particular person, referred to in that subsection. 
  
  ### Exception
  
  (4) Subsection (1) does not apply in circumstances in which the particular person referred to in that subsection is convicted of an offence under section 218.2. 
  
  ### Duty relieved — unstamped vaping products
  
  158.62 (1) The duties imposed under sections 158.57 and 158.58 are relieved on a vaping product that is not stamped. 
  
  ### Vaping products imported for personal use
  
  (2) Subsection (1) does not apply to the importation of vaping products by an individual for their personal use to the extent that the quantity of the products imported exceeds the quantity permitted under Chapter 98 of the List of Tariff Provisions set out in the schedule to the Customs Tariff to be imported without the payment of duties, as defined in Note 4 to that Chapter.  
  
  ### Duty relieved — importation by an individual
  
  158.63 (1) The duties imposed under sections 158.57 and 158.58 are relieved on vaping products imported by an individual for their personal use if they were manufactured in Canada and are stamped. 
  
  ### Duty relieved — reimportation
  
  (2) The duties imposed under sections 158.57 and 158.58 are relieved on vaping products imported by an individual for their personal use if they were manufactured outside Canada, were previously imported into Canada and are stamped. 
  
  ### Duty relieved — importation for destruction
  
  158.64 The duties imposed under paragraphs 158.57(b) and 158.58(b) are relieved on a stamped vaping product that was manufactured in Canada by a vaping product licensee and that is imported for re-working or destruction in accordance with section 158.53. 
  
  ### Duty relieved — prescribed circumstances
  
  158.65 The duties imposed under section 158.57 or 158.58 are relieved on a vaping product in prescribed circumstances. 
  
  ### Duty not payable
  
  158.66 Duty is not payable on a vaping product 
  (a) that is 
  (i) taken for analysis, or destroyed, by the Minister, 
  (ii) taken for analysis by a vaping product licensee in a manner approved by the Minister, 
  (iii) destroyed by a vaping product licensee in a manner approved by the Minister, 
  (iv) delivered by a vaping product licensee to another person for analysis or destruction by that person in a manner approved by the Minister, 
  (v) a vaping product drug, or 
  (vi) a prescribed vaping product; or 
  (b) in prescribed circumstances. 
  
  ## Excise Warehouses 
  
  ### Restriction — entering vaping products
  
  158.67 No person shall enter into an excise warehouse 
  (a) a vaping product that is stamped; or 
  (b) any other vaping product except in accordance with this Act. 
  
  ### Prohibition on removal
  
  158.68 (1) Except if prescribed circumstances exist, no person shall remove from an excise warehouse vaping products manufactured in Canada. 
  
  ### Removal of Canadian manufactured vaping products
  
  (2) Subject to the regulations, a vaping product manufactured in Canada may be removed from the excise warehouse of the vaping product licensee that manufactured it only if it is 
  (a) for export by the licensee in accordance with this Act; or 
  (b) for delivery to an accredited representative for their official or personal use. 
  
  ### Removal from warehouse for re-working or destruction
  
  (3) Subject to the regulations, vaping products manufactured in Canada may be removed from the excise warehouse of the vaping product licensee that manufactured them if they are removed for re-working or destruction by the licensee in accordance with section 158.53. 
  
  ### Removal of imported vaping products
  
  158.69 (1) Except if prescribed circumstances exist, no person shall remove imported vaping products from an excise warehouse. 
  
  ### Exception
  
  (2) Subject to the regulations, imported vaping products may be removed from an excise warehouse 
  (a) for delivery to another excise warehouse; 
  (b) for delivery to an accredited representative for their official or personal use; or 
  (c) for export by the excise warehouse licensee in accordance with this Act. 
  
  # PART 5 
  
  ## General Provisions Concerning Duty and Other Amounts Payable 
  
  ## Fiscal Periods 
  
  ### Determination of fiscal months
  
  159 (1) The fiscal months of a person other than a cannabis licensee or a vaping product licensee shall be determined in accordance with the following rules: 
  (a) if fiscal months of the person have been determined under subsection 243(2) or (4) of the Excise Tax Act for the purposes of Part IX of that Act, each of those fiscal months is a fiscal month of the person for the purposes of this Act;  
  (b) if fiscal months of the person have not been determined under subsection 243(2) or (4) of the Excise Tax Act for the purposes of Part IX of that Act, the person may select for the purposes of this Act fiscal months that meet the requirements set out in that subsection 243(2); and  
  (c) if neither paragraph (a) nor paragraph (b) applies, each calendar month is a fiscal month of the person for the purposes of this Act. 
  
  ### Fiscal months — cannabis or vaping product licensee
  
  (1.01) For the purposes of this Act, the fiscal months of a cannabis licensee or a vaping product licensee are calendar months. 
  
  ### Determination of fiscal half-years
  
  (1.1) The fiscal half-years of a person shall be determined in accordance with the following rules: 
  (a) the period beginning on the first day of the first fiscal month in a fiscal year of the person and ending on the earlier of the last day of the sixth fiscal month and the last day in the fiscal year is a fiscal half-year of the person; and 
  (b) the period, if any, beginning on the first day of the seventh fiscal month and ending on the last day in the fiscal year of the person is a fiscal half-year of the person. 
  
  ### Notification of Minister
  
  (2) Every person who is required to file a return shall notify the Minister of their fiscal months in the prescribed form and manner. 
  
  ## Reporting Periods 
  
  ### Reporting period — general
  
  159.1 (1) Subject to this section and section 159.2, the reporting period of a person is a fiscal month. 
  
  ### Reporting period — semi-annual
  
  (2) On application in the prescribed form and manner by a person, the Minister may, in writing, authorize the reporting period of that person to be a fiscal half-year in a particular fiscal year if 
  (a) the person is a licensee in one or more of the following categories: 
  (i) an excise warehouse licensee who does not hold in their excise warehouse manufactured tobacco or cigars, 
  (ii) a spirits licensee, 
  (iii) a wine licensee, or 
  (iv) a licensed user; 
  (b) the person has been licensed for a period exceeding twelve consecutive fiscal months; 
  (c) in respect of a category, the total of all duties payable under Part 4 by the person and any person associated with the person in the fiscal year ending immediately before the particular fiscal year did not exceed $120,000; 
  (d) in respect of a category, the total of all duties payable under Part 4 by the person and any person associated with the person in the particular fiscal year does not exceed $120,000; 
  (e) in the case where the person is an excise warehouse licensee, the liability of the person and any excise warehouse licensee associated with the person with respect to duty on alcohol entered into an excise warehouse 
  (i) did not exceed $120,000 in the fiscal year ending immediately before the particular fiscal year, and 
  (ii) does not exceed $120,000 in the particular fiscal year; 
  (f) in the case where the person is a licensed user, the liability of the person and any licensed user associated with the person with respect to duty on alcohol entered into their specified premises 
  (i) did not exceed $120,000 in the fiscal year ending immediately before the particular fiscal year, and 
  (ii) does not exceed $120,000 in the particular fiscal year; 
  (g) the volume of absolute ethyl alcohol added to the bulk spirits inventory of the person that is a spirits licensee and any spirits licensee associated with the person did not exceed in the fiscal year ending immediately before the particular fiscal year, and does not exceed in the particular fiscal year, the amount determined by the formula is $120,000, and is the rate of duty on spirits set out in section 1 of Schedule 4; 
  (h) the volume of wine added to the bulk wine inventory of the person that is a wine licensee and any wine licensee associated with the person did not exceed in the fiscal year ending immediately before the particular fiscal year, and does not exceed in the particular fiscal year, the amount determined by the formula is $120,000, and is the rate of duty on wine set out in paragraph (c) of Schedule 6; and 
  (i) the person is in compliance with the Act. 
  
  ### Deemed revocation
  
  (3) An authorization under subsection (2) is deemed to be revoked if 
  (a) any of the conditions described in paragraphs (2)(d) to (h) is no longer met in respect of the person, which revocation is effective as of the first day after the end of the fiscal half-year in which the condition is no longer met; or 
  (b) an excise warehouse licensee holds in their excise warehouse manufactured tobacco or cigars, which revocation is effective as of the first day of the fiscal month in which the licensee begins to hold the tobacco or cigars. 
  
  ### Revocation — other
  
  (4) The Minister may revoke an authorization if 
  (a) the person requests in writing the Minister to do so; 
  (b) the person fails to comply with the Act; or 
  (c) the Minister considers that the authorization is no longer required. 
  
  ### Notice of revocation
  
  (5) If the Minister revokes an authorization under subsection (4), the Minister shall send a notice in writing of the revocation to the person and shall specify in the notice the fiscal month for which the revocation becomes effective. 
  
  ### Deemed reporting period on revocation
  
  (6) If a revocation under paragraph (3)(b) or subsection (4) becomes effective before the last day of a fiscal half-year of a person that is authorized under subsection (2), the period beginning on the first day of the fiscal half-year and ending immediately before the first day of the fiscal month for which the revocation becomes effective is deemed to be a reporting period of the person. 
  
  ### Definitions
  
  159.2 (1) The following definitions apply in this section.  
  *calendar quarter* means a period of three months beginning on the first day of January, April, July or October. (trimestre civil)   
  *threshold amount* of a cannabis licensee for a calendar quarter means the amount that is the total of all duties payable under Part 4.1 by the cannabis licensee, and any person associated with the cannabis licensee, in the immediately preceding four calendar quarters. (montant déterminant)  
  
  ### Reporting period — calendar quarters
  
  (2) On application by a cannabis licensee, the Minister may, in writing, authorize the reporting periods of the cannabis licensee to be calendar quarters, beginning on the first day of a particular calendar quarter, if the threshold amount of the cannabis licensee for the particular calendar quarter does not exceed $1,000,000. 
  
  ### Application — form and filing
  
  (3) An application made by a cannabis licensee under subsection (2) is to be 
  (a) made in prescribed form containing prescribed information; and 
  (b) filed with the Minister in prescribed manner on or before the last day of the first month of the calendar quarter for which the authorization is to take effect or any later day that the Minister may allow. 
  
  ### Deemed revocation
  
  (4) An authorization under subsection (2) in respect of a cannabis licensee is deemed to be revoked at the beginning of a calendar quarter if the threshold amount of the cannabis licensee for the calendar quarter exceeds $1,000,000. 
  
  ### Revocation by Minister
  
  (5) The Minister may revoke an authorization under subsection (2) in respect of a cannabis licensee if 
  (a) the cannabis licensee requests in writing that the Minister do so; 
  (b) the cannabis licensee fails to comply with the Act; or 
  (c) the Minister considers that the authorization is no longer required. 
  
  ### Notice of revocation
  
  (6) If the Minister revokes an authorization in respect of a cannabis licensee, the Minister shall send a notice in writing of the revocation to the cannabis licensee and shall specify in the notice the fiscal month of the cannabis licensee for which the revocation becomes effective. 
  
  ### Deemed reporting period on revocation
  
  (7) If a revocation under subsection (4) or (5) of an authorization under subsection (2) in respect of a cannabis licensee becomes effective before the last day of a calendar quarter, the period beginning on the first day of the calendar quarter and ending immediately before the first day of the fiscal month of the cannabis licensee for which the revocation becomes effective is deemed to be a reporting period of the cannabis licensee. 
  
  ## Returns and Payment of Duty and Other Amounts 
  
  ### Filing by licensee
  
  160 Every person who is licensed under this Act shall, not later than the last day of the first month after each reporting period of the person, 
  (a) file a return with the Minister, in the prescribed form and manner, for that reporting period; 
  (b) calculate, in the return, the total amount of the duty payable, if any, by the person for that reporting period; and 
  (c) pay that amount to the Receiver General. 
  
  ### Filing by other persons
  
  161 Every person who is not licensed under this Act and who is required to pay duty under this Act shall, not later than the last day of the first month after the fiscal month of the person in which the duty became payable, 
  (a) file a return with the Minister, in the prescribed form and manner, for that fiscal month; 
  (b) calculate, in the return, the total amount of the duty payable by the person for that fiscal month; and 
  (c) pay that amount to the Receiver General. 
  
  ### Set-off of refunds
  
  162 If, at any time, a person files a return in which the person reports an amount that is required to be paid under this Act by them and the person claims a refund payable to them at that time, in the return or in another return, or in a separate application filed under this Act with the return, the person is deemed to have paid at that time, and the Minister is deemed to have refunded at that time, an amount equal to the lesser of the amount required to be paid and the amount of the refund. 
  
  ### Definition of electronic payment 
  
  163 (1) In this section, 
  *electronic payment* means any payment to the Receiver General that is made through electronic services offered by a person described in any of paragraphs (2)(a) to (e) or by any electronic means specified by the Minister.  
  
  ### Electronic payment
  
  (2) Every person that is required under this Act to pay any duty, interest or other amount to the Receiver General shall, if the amount is $10,000 or more, make the payment by way of electronic payment, unless the person cannot reasonably pay the amount in that manner, to the account of the Receiver General at or through 
  (a) a bank; 
  (b) an authorized foreign bank, as defined in section 2 of the Bank Act, that is not subject to the restrictions and requirements referred to in subsection 524(2) of that Act;  
  (c) a credit union; 
  (d) a corporation that is authorized under the laws of Canada or a province to carry on the business of offering its services as a trustee to the public; or 
  (e) a corporation that is authorized under the laws of Canada or a province to accept deposits from the public and that carries on the business of lending money on the security of real property or immovables or investing in mortgages on real property or hypothecs on immovables. 
  
  ### Authority for separate returns
  
  164 (1) A licensee who engages in one or more activities in separate branches or divisions may file an application, in the prescribed form and manner, with the Minister for authority to file separate returns and applications for refunds under this Act in respect of a branch or division specified in the application. 
  
  ### Authorization by Minister
  
  (2) On receipt of the application, the Minister may, in writing, authorize the licensee to file separate returns and applications for refunds in relation to the specified branch or division, subject to any conditions that the Minister may at any time impose, if the Minister is satisfied that 
  (a) the branch or division can be separately identified by reference to the location of the branch or division or the nature of the activities engaged in by it; and 
  (b) separate records, books of account and accounting systems are maintained in respect of the branch or division. 
  
  ### Revocation of authorization
  
  (3) The Minister may revoke an authorization if 
  (a) the licensee, in writing, requests the Minister to revoke the authorization; 
  (b) the licensee fails to comply with any condition imposed in respect of the authorization or any provision of this Act; 
  (c) the Minister is no longer satisfied that the requirements of subsection (2) in respect of the licensee are met; or 
  (d) the Minister considers that the authorization is no longer required. 
  
  ### Notice of revocation
  
  (4) If the Minister revokes an authorization, the Minister shall send a notice in writing of the revocation to the licensee and shall specify in the notice the effective date of the revocation. 
  
  ### Amounts owing of $2 or less in total
  
  165 (1) If the Minister determines, at any time, that the total of all amounts owing by a person to Her Majesty under this Act does not exceed two dollars, those amounts are deemed to be nil. 
  
  ### Amounts payable of $2 or less in total
  
  (2) If, at any time, the total of all amounts payable by the Minister to a person under this Act does not exceed two dollars, the Minister may apply those amounts against any amount owing, at that time, by the person to Her Majesty. However, if the person, at that time, does not owe any amount to Her Majesty, those amounts are deemed to be nil. 
  
  ### Meaning of 
  *electronic filing* 
  
  166 (1) For the purposes of this section, 
  *electronic filing* means using electronic media in a manner specified in writing by the Minister.  
  
  ### Filing of return by electronic filing
  
  (2) A person who is required to file with the Minister a return under this Act, and who meets the criteria specified in writing by the Minister for the purposes of this section, may file the return by way of electronic filing. 
  
  ### Deemed filing
  
  (3) For the purposes of this Act, if a person files a return by way of electronic filing, it is deemed to be a return in the prescribed form filed with the Minister on the day the Minister acknowledges acceptance of it. 
  
  ### Execution of returns, etc.
  
  167 A return, other than a return filed by way of electronic filing under section 166, a certificate or other document made by a person, other than an individual, under this Act shall be signed on behalf of the person by an individual duly authorized to do so by the person or the governing body of the person. If the person is a corporation or an association or organization that has duly elected or appointed officers, the president, vice-president, secretary and treasurer, or other equivalent officers, of the corporation, association or organization, are deemed to be so duly authorized. 
  
  ### Extension of time
  
  168 (1) At any time, the Minister may, in writing, extend the time limited under this Act for a person to file a return or provide information. 
  
  ### Effect of extension
  
  (2) If the Minister extends the time under subsection (1), 
  (a) the return shall be filed, or the information shall be provided, within the time so extended; 
  (b) any duty payable that the person is required to report in the return shall be paid within the time so extended; 
  (c) any interest payable under section 170 on any amount payable in respect of the return shall be calculated as though the amount were required to be paid on the day on which the extended time expires; and 
  (d) any penalty payable under section 251.1 in respect of the return shall be calculated as though the return were required to be filed on the day on which the extended time expires. 
  
  ### Demand for return
  
  169 The Minister may, on demand sent by the Minister, require any person to file, within any reasonable time stipulated in the demand, a return under this Act for any period designated in the demand. 
  
  ## Interest 
  
  ### Compound interest on amounts not paid when required
  
  170 (1) If a person fails to pay an amount to the Receiver General as and when required under this Act, the person shall pay to the Receiver General interest on the amount. The interest shall be compounded daily at the prescribed rate and computed for the period beginning on the first day after the day on which the amount was required to be paid and ending on the day the amount is paid. 
  
  ### Payment of interest that is compounded
  
  (2) For the purposes of subsection (1), interest that is compounded on a particular day on an unpaid amount of a person is deemed to be required to be paid by the person to the Receiver General at the end of the particular day, and, if the person has not paid the interest so computed by the end of the day after the particular day, the interest shall be added to the unpaid amount at the end of the particular day. 
  
  ### Period where interest not payable
  
  (3) Despite any other provision of this Act, if the Minister notifies a person that the person is required to pay a specified amount under this Act and the person pays the specified amount in full before the end of the period that the Minister specifies with the notice, interest is not payable on the specified amount for the period. 
  
  ### Minimum interest and penalty
  
  (4) If, at any time, a person pays an amount not less than the total of all amounts, other than interest and penalty payable under section 251.1, owing at that time to Her Majesty under this Act for a reporting period of the person and the total amount of interest and the penalty payable by the person under this Act for that period is not more than $25.00, the Minister may waive the total amount. 
  (5)  [Repealed, 2003, c. 15, s. 92]  
  
  ### Compound interest on amounts payable by Minister
  
  171 Interest shall be compounded daily at the prescribed rate on any amount payable by the Minister to a person. The interest shall be computed for the period beginning on the first day after the day on which the amount is required to be paid and ending on the day on which the amount is paid or is applied against an amount owed by the person to Her Majesty, unless this Act provides otherwise. 
  
  ### Application of interest provisions
  
  172 For greater certainty, if an amendment to this Act, or an amendment or enactment that relates to this Act, comes into force on, or applies as of, a particular day that is before the day on which the amendment or enactment is assented to or promulgated, the provisions of this Act and of the Customs Act, as the case may be, that relate to the calculation and payment of interest apply in respect of the amendment or enactment as though it had been assented to or promulgated on the particular day.  
  
  ### Waiving or reducing interest
  
  173 The Minister may, on or before the particular day that is 10 calendar years after the day an amount was required to be paid by a person under this Act, or on application by the person on or before the particular day, waive or reduce any interest on the amount payable by the person under section 170. 
  
  ## Refunds 
  
  ### Statutory recovery rights
  
  174 Except as specifically provided under this Act, the Customs Act, the Customs Tariff or the Financial Administration Act, no person has a right to recover any money paid to Her Majesty as or on account of, or that has been taken into account by Her Majesty as, duty, interest or other amount payable under this Act.  
  
  ### Applications for refunds
  
  175 (1) An application for a refund under this Act shall be filed with the Minister in the prescribed form and manner. 
  
  ### Single application
  
  (2) Only one application may be made under this Act for a refund with respect to any matter. 
  
  ### Payment if error
  
  176 (1) If a person has paid an amount as or on account of, or that was taken into account as, duty, interest or other amount payable under this Act in circumstances in which the amount was not payable by the person, whether the amount was paid by mistake or otherwise, the Minister shall pay a refund of that amount to the person. 
  
  ### Restriction
  
  (2) A refund in respect of an amount shall not be paid to a person to the extent that 
  (a) the amount was taken into account as duty for a reporting period of the person and the Minister has assessed the person for the period under section 188; or 
  (b) the amount paid was duty, interest or other amount assessed under that section. 
  
  ### Application for refund
  
  (3) A refund of an amount shall not be paid to a person unless the person files an application for the refund within two years after the person paid the amount. 
  
  ### Restriction on refunds, etc.
  
  177 A refund or a payment of an amount under this Act shall not be paid to a person to the extent that it can reasonably be regarded that 
  (a) the amount has previously been refunded, remitted or paid to that person, or applied against an amount owed by the person to Her Majesty, under this or any other Act of Parliament; or 
  (b) the person has applied for a refund, payment or remission of the amount under any other Act of Parliament. 
  
  ### Restriction re trustees
  
  178 If a trustee is appointed under the Bankruptcy and Insolvency Act to act in the administration of the estate of a bankrupt, a refund or any other payment under this Act that the bankrupt was entitled to claim before the appointment shall not be paid after the appointment unless all returns required under this Act to be filed for reporting periods of the bankrupt ending before the appointment have been filed and all amounts required under this Act to be paid by the bankrupt in respect of those reporting periods have been paid.  
  
  ### Overpayment of refunds, etc.
  
  179 (1) If an amount is paid to, or applied to a liability of, a person as a refund or other payment under this Act and the person is not entitled to the amount or the amount paid or applied exceeds the refund or other payment to which the person is entitled, the person shall pay to the Receiver General an amount equal to the refund, payment or excess on the day the amount is paid to, or applied to a liability of, the person. 
  
  ### Effect of reduction of refund, etc.
  
  (2) For the purposes of subsection (1), if a refund or other payment has been paid to a person in excess of the amount to which the person was entitled and the amount of the excess has, by reason of section 177, reduced the amount of any other refund or other payment to which the person would, but for the payment of the excess, be entitled, the person is deemed to have paid the amount of the reduction to the Receiver General. 
  
  ### No refund — exportation
  
  180 Subject to this Act, the duty paid on any tobacco product, cannabis product, vaping product or alcohol entered into the duty-paid market shall not be refunded on the exportation of the tobacco product, cannabis product, vaping product or alcohol. 
  180.1  [Repealed, 2014, c. 20, s. 73]  
  
  ### Refund of duty  — destroyed tobacco products
  
  181 (1) The Minister may refund to a tobacco licensee the duty paid on a tobacco product that is re-worked or destroyed by the tobacco licensee in accordance with section 41 if the licensee applies for the refund within two years after the tobacco product is re-worked or destroyed. 
  
  ### Refund of inventory tax  — destroyed domestic cigarettes
  
  (2) The Minister may refund to a tobacco licensee the tax imposed and payable under Part 3.1 on taxed cigarettes, as defined in section 58.1, if 
  (a) the licensee provides evidence satisfactory to the Minister that the cigarettes were manufactured in Canada, that they were re-worked or destroyed by the licensee in accordance with section 41 and that either 
  (i) the cigarettes were taxed cigarettes of the licensee and the tax was paid by the licensee, or 
  (ii) the cigarettes were taxed cigarettes of a particular person that is not the licensee, the tax was paid by that particular person and an amount equal to the tax was paid by the licensee to that particular person on account of that tax; and 
  (b) the licensee applies for the refund within two years after the taxed cigarettes are re-worked or destroyed. 
  
  ### Refund of inventory tax — destroyed imported cigarettes
  
  (3) The Minister may refund to a particular person the tax imposed and payable under Part 3.1 on taxed cigarettes, as defined in section 58.1, other than cigarettes in respect of which duty has been imposed under section 53, if 
  (a) the particular person provides evidence satisfactory to the Minister that the cigarettes were imported by the particular person, that they were destroyed by the particular person in accordance with the Customs Act or the Customs Tariff and that either  
  (i) the cigarettes were taxed cigarettes of the particular person and the tax was paid by the particular person, or 
  (ii) the cigarettes were taxed cigarettes of another person that is not the particular person, the tax was paid by the other person and an amount equal to the tax was paid by the particular person to the other person on account of that tax; and 
  (b) the particular person applies for the refund within two years after the taxed cigarettes are destroyed. 
  
  ### Refund of duty — destroyed imported tobacco
  
  181.1 (1) The Minister may refund to a duty free shop licensee the duty under section 53 that was paid on imported manufactured tobacco that is destroyed by the licensee in accordance with the Customs Act if the licensee applies for the refund within two years after the tobacco is destroyed.  
  
  ### Refund of inventory tax — destroyed imported cigarettes
  
  (2) The Minister may refund to a duty free shop licensee the tax imposed and payable under Part 3.1 on taxed cigarettes, as defined in section 58.1, of the licensee in respect of which duty has been imposed under section 53, if 
  (a) the licensee provides evidence satisfactory to the Minister that 
  (i) the cigarettes were taxed cigarettes of the licensee and the tax was paid by the licensee, and 
  (ii) the cigarettes were destroyed by the licensee in accordance with the Customs Act ; and  
  (b) the licensee applies for the refund within two years after the cigarettes are destroyed. 
  
  ### Refund of tax to importer if foreign taxes paid
  
  182 (1) The Minister may refund, to a person who has imported into a foreign country a tobacco product (as defined in section 55) that was manufactured in Canada and exported by the tobacco licensee who manufactured it to the foreign country in accordance with paragraph 50(4)(a), an amount determined in accordance with subsection (2) in respect of the product if 
  (a) the person provides evidence satisfactory to the Minister that 
  (i) all taxes and duties imposed on the product under the laws of the foreign country having national application have been paid, and 
  (ii) the container containing the product has printed on it or affixed to it tobacco markings; and 
  (b) the person applies to the Minister for the refund within two years after the product was exported to the foreign country. 
  
  ### Determination of refund
  
  (2) The amount of the refund under subsection (1) is equal to the lesser of 
  (a) the total of the taxes and duties referred to in subparagraph (1)(a)(i) that are paid in respect of the tobacco product, and 
  (b) the amount of the special duty imposed under paragraph 56(1)(a) in respect of the product that is paid by the tobacco licensee who manufactured it. 
  
  ### Overpayment of refund or interest
  
  (3) If an amount has been paid to a person as a refund in respect of a tobacco product exported by the tobacco licensee who manufactured it or as interest in respect of such a refund and a special duty under paragraph 56(1)(b) was imposed in respect of the product, the amount is deemed to be duty payable under this Act by the licensee that became payable during the fiscal month of the licensee in which the amount was paid to the person. 
  
  ### Refund of special duty to tobacco licensee if foreign taxes paid
  
  (4) If a refund under subsection (1) has been paid in respect of an exported tobacco product, the Minister may refund to the tobacco licensee who manufactured the product the amount, if any, by which the special duty imposed under paragraph 56(1)(a) in respect of the product and paid by the licensee exceeds the amount of the refund under subsection (1) if the licensee applies to the Minister for the refund under this subsection within two years after the product was exported. 
  
  ### Refund of special duty to duty free shop licensee
  
  183 (1) If a duty free shop licensee who holds a licence issued under section 22 sells, in accordance with the Customs Act, imported manufactured tobacco to an individual who is not a resident of Canada and who is about to depart Canada, the Minister may refund to the licensee the special duty paid under section 53 in respect of that portion of the total quantity of the tobacco exported by the individual on their departure that does not exceed  
  (a) in the case of cigarettes, 200 cigarettes; 
  (b) in the case of tobacco sticks, 200 sticks; and 
  (c) in the case of manufactured tobacco other than cigarettes and tobacco sticks, 200 g. 
  
  ### Application
  
  (2) No refund shall be paid to a duty free shop licensee in respect of a sale of imported manufactured tobacco unless the licensee applies to the Minister for the refund within two years after the sale. 
  
  ### Payment if bad debt
  
  184 (1) If an ad valorem duty under section 43 has been paid by a tobacco licensee in respect of an arm’s length sale of cigars and the licensee has established that any debt owing to the licensee in respect of the sale has become in whole or in part a bad debt and has accordingly written off all or part of the debt as a bad debt in the licensee’s books of account, an amount equal to the proportion of the amount of that duty that the amount of the debt written off is of the price for which the cigars were sold may, subject to this Act, be paid to that licensee if the licensee applies for a refund of the amount within two years after the end of the licensee’s fiscal month during which the debt was so written off.  
  
  ### Recovery of payment
  
  (2) If a tobacco licensee recovers all or any part of a debt in respect of which an amount is paid to the licensee under subsection (1) (in this subsection referred to as the “refunded amount”), that licensee shall immediately pay to the Receiver General an amount equal to the proportion of the refunded amount that the amount of the debt so recovered is of the amount of the debt written off in respect of which the refunded amount was paid. 
  
  ### Definition of arm’s length sale 
  
  (3) In this section, 
  *arm’s length sale* in respect of cigars means a sale of cigars by a tobacco licensee to a person with whom the licensee is dealing at arm’s length at the time of the sale.  
  
  ### Refund — imported bulk spirits
  
  185 (1) If imported bulk spirits on which special duty has been paid are returned by a licensed user to the spirits licensee who supplied them to the licensed user, the Minister may refund the duty to the spirits licensee who paid the duty if the licensee applies for the refund within two years after the spirits are returned. 
  
  ### Refund — packaged imported spirits
  
  (2) If imported spirits that are packaged and on which special duty has been paid are returned under prescribed conditions by a licensed user to the excise warehouse of the excise warehouse licensee who supplied them to the licensed user, the Minister may refund the duty to the excise warehouse licensee who paid the duty if the excise warehouse licensee applies for the refund within two years after the spirits are returned. 
  
  ### Refund — alcohol returned to warehouse
  
  186 If packaged alcohol that has been removed from the excise warehouse of an excise warehouse licensee for entry into the duty-paid market is returned in accordance with section 152 to the warehouse, the Minister may refund to the licensee the duty paid on the alcohol if the licensee applies for the refund within two years after the alcohol is returned. 
  
  ### Refund — alcohol in special container
  
  187 If a marked special container of alcohol is returned to the excise warehouse licensee who paid duty on the alcohol, the Minister may refund to the licensee the duty on the alcohol remaining in the container when it is returned if the licensee 
  (a) destroys the alcohol in the manner approved by the Minister; and 
  (b) applies for the refund within two years after the container is returned. 
  
  ### Refund of duty — destroyed cannabis
  
  187.1 The Minister may refund to a cannabis licensee the duty paid on a cannabis product that is re-worked or destroyed by the cannabis licensee in accordance with section 158.16 if the cannabis licensee applies for the refund within two years after the cannabis product is re-worked or destroyed. 
  
  ### Refund of duty — destroyed vaping product
  
  187.2 The Minister may refund to a vaping product licensee the duty paid on a vaping product that is re-worked or destroyed by the licensee in accordance with section 158.53 if the licensee applies for the refund within two years after the vaping product is re-worked or destroyed. 
  
  ## Assessments 
  
  ### Assessments
  
  188 (1) The Minister may assess 
  (a) the duty payable by a person for a reporting period of the person; and 
  (b) subject to section 190, interest and any other amount payable by a person under this Act. 
  
  ### Reassessment
  
  (2) The Minister may reassess or make an additional assessment of any duty, interest or other amount that may be assessed under subsection (1). 
  
  ### Allowance of unclaimed amounts
  
  (3) If, in assessing the duty, interest or other amount payable by a person for a reporting period of the person or other amount payable by a person under this Act, the Minister determines that 
  (a) a refund would have been payable to the person if it had been claimed in an application under this Act filed on the particular day that is 
  (i) if the assessment is in respect of duty payable for the reporting period, the day on which the return for the period was required to be filed, or 
  (ii) if the assessment is in respect of interest or other amount, the day on which the interest or other amount became payable by the person, 
  (b) the refund was not claimed by the person in an application filed before the day on which notice of the assessment is sent to the person, and 
  (c) the refund would be payable to the person if it were claimed in an application under this Act filed on the day on which notice of the assessment is sent to the person or would be disallowed if it were claimed in that application only because the period for claiming the refund expired before that day, the Minister shall apply all or part of the refund against that duty, interest or other amount that is payable as if the person had, on the particular day, paid the amount so applied on account of that duty, interest or other amount. 
  
  ### Application of overpayment
  
  (4) If, in assessing the duty payable by a person for a reporting period of the person, the Minister determines that there is an overpayment of duty payable for the period, unless the assessment is made in the circumstances described in paragraph 191(4)(a) or (b) after the time otherwise limited for the assessment under paragraph 191(1)(a), the Minister shall 
  (a) apply 
  (i) all or part of the overpayment against 
  (ii) any amount (in this paragraph referred to as the “outstanding amount”) that, on the particular day on which the person was required to file a return for the period, the person defaulted in paying under this Act and that remains unpaid on the day on which notice of the assessment is sent to the person, as if the person had, on the particular day, paid the amount so applied on account of the outstanding amount; 
  (b) apply 
  (i) all or part of the overpayment that was not applied under paragraph (a) together with interest on the overpayment at the prescribed rate, computed for the period beginning on the day that is 30 days after the latest of 
  (A) the particular day, 
  (B) the day on which the return for the reporting period was filed, and 
  (C) in the case of an overpayment that is attributable to a payment made on a day subsequent to the days referred to in clauses (A) and (B), that subsequent day, and ending on the day on which the person defaulted in paying the outstanding amount referred to in subparagraph (ii) against 
  (ii) any amount (in this paragraph referred to as the “outstanding amount”) that, on a day (in this paragraph referred to as the “later day”) after the particular day, the person defaulted in paying under this Act and that remains unpaid on the day on which notice of the assessment is sent to the person, as if the person had, on the later day, paid the amount and interest so applied on account of the outstanding amount; and 
  (c) refund to the person the part of the overpayment that was not applied under paragraphs (a) and (b) together with interest on the refund at the prescribed rate, computed for the period beginning on the day that is 30 days after the latest of 
  (i) the particular day, 
  (ii) the day on which the return for the reporting period was filed, and 
  (iii) in the case of an overpayment that is attributable to a payment made on a day subsequent to the days referred to in subparagraphs (i) and (ii), that subsequent day, and ending on the day on which the refund is paid to the person. 
  
  ### Application of payment
  
  (5) If, in assessing the duty payable by a person for a reporting period of the person or an amount (in this subsection referred to as the “overdue amount”) payable by a person under this Act, all or part of a refund is not applied under subsection (3) against that duty payable or overdue amount, except if the assessment is made in the circumstances described in paragraph 191(4)(a) or (b) after the time otherwise limited for the assessment under paragraph 191(1)(a), the Minister shall 
  (a) apply 
  (i) all or part of the refund that was not applied under subsection (3) against 
  (ii) any other amount (in this paragraph referred to as the “outstanding amount”) that, on the particular day that is 
  (A) if the assessment is in respect of duty payable for the reporting period, the day on which the return for the period was required to be filed, or 
  (B) if the assessment is in respect of an overdue amount, the day on which the overdue amount became payable by the person, the person defaulted in paying under this Act and that remains unpaid on the day on which notice of the assessment is sent to the person, as if the person had, on the particular day, paid the refund so applied on account of the outstanding amount; 
  (b) apply 
  (i) all or part of the refund that was not applied under subsection (3) or paragraph (a) together with interest on the refund at the prescribed rate, computed for the period beginning on the day that is 30 days after the later of 
  (A) the particular day, and 
  (B) if the assessment is in respect of duty payable for the reporting period, the day on which the return for the period was filed, and ending on the day on which the person defaulted in paying the outstanding amount referred to in subparagraph (ii) against 
  (ii) any amount (in this paragraph referred to as the “outstanding amount”) that, on a day (in this paragraph referred to as the “later day”) after the particular day, the person defaulted in paying under this Act and that remains unpaid on the day on which notice of the assessment is sent to the person, as if the person had, on the later day, paid the refund and interest so applied on account of the outstanding amount; and 
  (c) refund to the person the part of the refund that was not applied under any of subsection (3) and paragraphs (a) and (b) together with interest on the refund at the prescribed rate, computed for the period beginning on the day that is 30 days after the later of 
  (i) the particular day, and 
  (ii) if the assessment is in respect of duty payable for the reporting period, the day on which the return for the period was filed, and ending on the day on which the refund is paid to the person. 
  
  ### Limitation on refunding overpayments
  
  (6) An overpayment of duty payable for a reporting period of a person and interest on the overpayment shall not be applied under paragraph (4)(b) or refunded under paragraph (4)(c) unless the person has, before the day on which notice of the assessment is sent to the person, filed all returns and other records of which the Minister has knowledge and that the person was required to file with 
  (a) the Minister under this Act, the Excise Act, the Excise Tax Act, the Income Tax Act, the Air Travellers Security Charge Act, the Underused Housing Tax Act and the Select Luxury Items Tax Act ; or  
  (b) the Minister of Public Safety and Emergency Preparedness under the Customs Act.  
  
  ### Limitation
  
  (7) A refund or a part of the refund that was not applied under subsection (3) and interest on the refund under paragraphs (5)(b) and (c) 
  (a) shall not be applied under paragraph (5)(b) against an amount (in this paragraph referred to as the “outstanding amount”) that is payable by a person unless the refund would have been payable to the person as a refund if the person had claimed it in an application under this Act filed on the day on which the person defaulted in paying the outstanding amount and, in the case of a payment under section 176, if that section allowed the person to claim the payment within four years after the person paid the amount in respect of which the payment would be so payable; and 
  (b) shall not be refunded under paragraph (5)(c) unless 
  (i) the refund would have been payable to the person as a refund if the person had claimed it in an application under this Act filed on the day on which notice of the assessment is sent to the person, and 
  (ii) the person has, before the day on which notice of the assessment is sent to the person, filed all returns and other records of which the Minister has knowledge and that the person was required to file with 
  (A) the Minister under this Act, the Excise Act, the Excise Tax Act, the Income Tax Act, the Air Travellers Security Charge Act, the Underused Housing Tax Act and the Select Luxury Items Tax Act, or  
  (B) the Minister of Public Safety and Emergency Preparedness under the Customs Act.  
  
  ### Deemed claim or application
  
  (8) If, in assessing any duty, interest or other amount payable by a person under this Act, the Minister applies or refunds an amount under subsection (3), (4) or (5), 
  (a) the person is deemed to have claimed the amount in a return or application filed under this Act; and 
  (b) to the extent that an amount is applied against any duty, interest or other amount payable by the person, the Minister is deemed to have refunded or paid the amount to the person and the person is deemed to have paid the duty, interest or other amount payable against which it was applied. 
  
  ### Refund on reassessment
  
  (9) If a person has paid an amount on account of any duty, interest or other amount assessed under this section in respect of a reporting period and the amount paid exceeds the amount determined on reassessment to have been payable by the person, the Minister may refund to the person the amount of the excess, together with interest on the excess amount at the prescribed rate for the period that 
  (a) begins on the day that is 30 days after the latest of 
  (i) the day on which the person was required to file a return for the reporting period, 
  (ii) the day on which the person filed a return for the reporting period, and 
  (iii) the day on which the amount was paid by the person; and 
  (b) ends on the day on which the refund is paid. 
  
  ### Refund of interest or penalty
  
  (9.1) Despite subsection (9), if a person has paid an amount of interest or penalty and the Minister waives or reduces that amount under section 173 or 255.1, as the case may be, the Minister shall refund the amount of the waiver or reduction to the person, together with interest on the amount of the waiver or reduction at the prescribed rate for the period beginning on the day that is 30 days after the day on which the Minister received a request in a manner satisfactory to the Minister to apply that section and ending on the day on which the refund is paid. 
  
  ### Meaning of overpayment of duty payable 
  
  (10) In this section, 
  *overpayment of duty payable* of a person for a reporting period of the person means the amount, if any, by which the total of all amounts paid by the person on account of duty payable for the period exceeds the total of  
  (a) the duty payable for the period, and 
  (b) all amounts paid to the person under this Act as a refund for the period. 
  
  ### Assessment of refund
  
  189 (1) On receipt of an application made by a person for a refund under this Act, the Minister shall, without delay, consider the application and assess the amount of the refund, if any, payable to the person. 
  
  ### Reassessment
  
  (2) The Minister may reassess or make an additional assessment of the amount of a refund despite any previous assessment of the amount of the refund. 
  
  ### Payment
  
  (3) If on assessment under this section the Minister determines that a refund is payable to a person, the Minister shall pay the refund to the person. 
  
  ### Restriction
  
  (4) A refund shall not be paid until the person has filed with the Minister or the Minister of Public Safety and Emergency Preparedness all returns and other records of which the Minister has knowledge and that are required to be filed under this Act, the Excise Act, the Excise Tax Act, the Customs Act, the Income Tax Act, the Air Travellers Security Charge Act, the Underused Housing Tax Act and the Select Luxury Items Tax Act.  
  
  ### Interest
  
  (5) If a refund is paid to a person, the Minister shall pay interest at the prescribed rate to the person on the refund for the period beginning on the day that is 30 days after the day on which the application for the refund is filed with the Minister and ending on the day on which the refund is paid. 
  
  ### No assessment for penalty
  
  190 No assessment shall be made for any penalty imposed under section 254. 
  
  ### Limitation period for assessments
  
  191 (1) Subject to subsections (3) to (7), no assessment shall be made for any duty, interest or other amount payable under this Act 
  (a) in the case of an assessment of the duty payable for a reporting period, more than four years after the later of the day on which the return for the period was required to be filed and the day on which the return was filed; 
  (b) in the case of an assessment for any other amount payable under this Act, more than four years after the amount became payable; or 
  (c) in the case of an assessment for an amount for which a trustee in bankruptcy became liable under section 212, after the earlier of 
  (i) the day that is 90 days after the return on which the assessment is based is filed with, or other evidence of the facts on which the assessment is based comes to the attention of, the Minister, and 
  (ii) the expiry of the period referred to in paragraph (a) or (b), whichever applies in the circumstances. 
  
  ### Limitation re refund assessment
  
  (2) Subject to subsections (3) to (7), an assessment of the amount of a refund or any other payment that may be obtained under this Act may be made at any time but a reassessment or additional assessment of an amount paid or applied as a refund under this Act or of an amount paid as interest in respect of an amount paid or applied as a refund under this Act shall not be made more than four years after the application for the amount was filed in accordance with this Act. 
  
  ### Exception
  
  (3) Subsections (1) and (2) do not apply to a reassessment of a person made 
  (a) to give effect to a decision on an objection or appeal; 
  (b) with the consent in writing of the person to dispose of an appeal; or 
  (c) to give effect to an alternative basis or argument advanced by the Minister under subsection (7). 
  
  ### No limitation on assessment if fraud, etc.
  
  (4) An assessment in respect of any matter may be made at any time if the person to be assessed has, in respect of that matter, 
  (a) made a misrepresentation that is attributable to their neglect, carelessness or wilful default; 
  (b) committed fraud 
  (i) in making or filing a return under this Act, 
  (ii) in making or filing an application for a refund under this Act, or 
  (iii) in supplying or failing to supply any information under this Act; or 
  (c) filed a waiver under subsection (8) that is in effect at that time. 
  
  ### No limitation if payment for another reporting period
  
  (5) If, in making an assessment, the Minister determines that a person has paid in respect of any matter an amount as or on account of duty payable for a reporting period of the person that was payable for another reporting period of the person, the Minister may at any time make an assessment for that other period in respect of that matter. 
  
  ### Reduction of duty — reporting period
  
  (6) If the result of a reassessment on an objection to, or a decision on an appeal from, an assessment is to reduce the amount of duty payable by a person and, by reason of the reduction, any refund or other payment claimed by the person for a reporting period, or in an application for a refund or other payment, should be decreased, the Minister may at any time assess or reassess that reporting period or that application only for the purpose of taking the reduction of duty into account in respect of the refund or other payment. 
  
  ### Alternative basis or argument
  
  (7) The Minister may advance an alternative basis or argument in support of an assessment of a person, or in support of all or any portion of the total amount determined on assessment to be payable or remittable by a person under this Act, at any time after the period otherwise limited by subsection (1) or (2) for making the assessment unless on an appeal under this Act 
  (a) there is relevant evidence that the person is no longer able to adduce without the leave of the court; and 
  (b) it is not appropriate in the circumstances for the court to order that the evidence be adduced. 
  
  ### Limitation
  
  (7.1) If a reassessment of a person is made that gives effect to an alternative basis or argument advanced by the Minister under subsection (7) in support of a particular assessment of the person, the Minister shall not reassess for an amount that is greater than the total amount of the particular assessment. 
  
  ### Exception
  
  (7.2) Subsection (7.1) does not apply to any portion of an amount determined on reassessment that the Minister would be entitled to reassess under this Act at any time after the period otherwise limited by subsection (1) or (2) for making the reassessment if this Act were read without reference to subsection (7). 
  
  ### Waiver
  
  (8) Any person may, within the time otherwise limited by subsection (1) or (2) for an assessment, waive the application of subsection (1) or (2) by filing with the Minister a waiver in the prescribed form and manner specifying the matter in respect of which the person waives the application of that subsection. 
  
  ### Revoking waiver
  
  (9) Any person who files a waiver under subsection (8) may revoke it on six months notice to the Minister by filing with the Minister a notice of revocation of the waiver in the prescribed form and manner. 
  
  ### Minister not bound
  
  192 (1) The Minister is not bound by any return, application or information provided by or on behalf of a person and may make an assessment despite any return, application or information provided or not provided. 
  
  ### Liability not affected
  
  (2) Liability to pay any duty, interest or other amount is not affected by an incorrect or incomplete assessment or by the fact that no assessment has been made. 
  
  ### Binding effect — unincorporated body
  
  (3) If a person (referred to in this subsection as the “body”) that is not an individual or a corporation is assessed in respect of any matter, 
  (a) the assessment is not invalid only because one or more other persons (each of which is referred to in this subsection as a “representative”) who are liable for obligations of the body did not receive a notice of the assessment; 
  (b) the assessment is binding on each representative of the body, subject to a reassessment of the body and the rights of the body to object to or appeal from the assessment under this Act; and 
  (c) an assessment of a representative in respect of the same matter is binding on the representative, subject only to a reassessment of the representative and the rights of the representative to object to or appeal from the assessment of the representative under this Act on the grounds that the representative is not a person who is liable to pay an amount to which the assessment of the body relates, the body has been reassessed in respect of that matter or the assessment of the body in respect of that matter has been vacated. 
  
  ### Assessment deemed valid
  
  (4) Subject to being reassessed or vacated as a result of an objection or appeal under this Act, an assessment is deemed to be valid and binding despite any error, defect or omission in the assessment or in any proceeding under this Act relating to it. 
  
  ### Irregularities
  
  (5) An appeal from an assessment shall not be allowed by reason only of an irregularity, informality, omission or error on the part of any person in the observation of a directory provision of this Act. 
  
  ### Notice of assessment
  
  193 (1) After making an assessment, the Minister shall send to the person assessed a notice of the assessment. 
  
  ### Scope of notice
  
  (2) A notice of assessment may include assessments in respect of any number or combination of reporting periods, refunds or amounts payable under this Act. 
  
  ### Assessment payable
  
  194 Any amount assessed by the Minister is payable by the person assessed as of the date of the assessment. 
  
  ## Objections to Assessment 
  
  ### Objection to assessment
  
  195 (1) Any person who has been assessed and who objects to the assessment may, within 90 days after the date of the notice of the assessment, file with the Minister a notice of objection in the prescribed form and manner setting out the reasons for the objection and all relevant facts. 
  
  ### Issue to be decided
  
  (2) A notice of objection shall 
  (a) reasonably describe each issue to be decided; 
  (b) specify in respect of each issue the relief sought, expressed as the change in any amount that is relevant for the purposes of the assessment; and 
  (c) provide the facts and reasons relied on by the person in respect of each issue. 
  
  ### Late compliance
  
  (3) Despite subsection (2), if a notice of objection does not include the information required under paragraph (2)(b) or (c) in respect of an issue to be decided that is described in the notice, the Minister may, in writing, request the person to provide the information, and that paragraph is deemed to be complied with in respect of the issue if, within 60 days after the request is made, the person submits the information in writing to the Minister. 
  
  ### Limitation on objections
  
  (4) Despite subsection (1), if a person has filed a notice of objection to an assessment (in this subsection referred to as the “earlier assessment”) and the Minister makes a particular assessment under subsection (8) as a result of the notice of objection, unless the earlier assessment was made in accordance with an order of a court vacating, varying or restoring an assessment or referring an assessment back to the Minister for reconsideration and reassessment, the person may object to the particular assessment in respect of an issue 
  (a) only if the person complied with subsection (2) in the notice with respect to that issue; and 
  (b) only with respect to the relief sought in respect of that issue as specified by the person in the notice. 
  
  ### Application of subsection (4)
  
  (5) If a person has filed a notice of objection to an assessment (in this subsection referred to as the “earlier assessment”) and the Minister makes a particular assessment under subsection (8) as a result of the notice of objection, subsection (4) does not limit the right of the person to object to the particular assessment in respect of an issue that was part of the particular assessment and not part of the earlier assessment. 
  
  ### Limitation on objections
  
  (6) Despite subsection (1), no objection may be made by a person in respect of an issue for which the right of objection has been waived in writing by the person. 
  
  ### Acceptance of objection
  
  (7) The Minister may accept a notice of objection even though it was not filed in the prescribed form and manner. 
  
  ### Consideration of objection
  
  (8) On receipt of a notice of objection, the Minister shall, without delay, reconsider the assessment and vacate or confirm it or make a reassessment. 
  
  ### Waiving reconsideration
  
  (9) If, in a notice of objection, a person who wishes to appeal directly to the Tax Court requests the Minister not to reconsider the assessment objected to, the Minister may confirm the assessment without reconsideration. 
  
  ### Notice of decision
  
  (10) After reconsidering an assessment under subsection (8) or confirming an assessment under subsection (9), the Minister shall send notice of the Minister’s decision by registered or certified mail to the person objecting. 
  
  ### Extension of time by Minister
  
  196 (1) If no objection to an assessment is filed under section 195 within the time limited under this Act, a person may make an application to the Minister to extend the time for filing a notice of objection and the Minister may grant the application. 
  
  ### Contents of application
  
  (2) An application must set out the reasons why the notice of objection was not filed within the time limited under this Act for doing so. 
  
  ### How application made
  
  (3) An application must be made by delivering or mailing to the Chief of Appeals in a Tax Services Office or Taxation Centre of the Agency the application accompanied by a copy of the notice of objection. 
  
  ### Defect in application
  
  (4) The Minister may accept an application even though it was not made in accordance with subsection (3). 
  
  ### Duties of Minister
  
  (5) On receipt of an application, the Minister shall, without delay, consider the application and grant or refuse it, and shall notify the person of the decision by registered or certified mail. 
  
  ### Date of objection if application granted
  
  (6) If an application is granted, the notice of objection is deemed to have been filed on the day of the decision of the Minister. 
  
  ### Conditions — grant of application
  
  (7) No application shall be granted under this section unless 
  (a) the application is made within one year after the expiry of the time limited under this Act for objecting; and 
  (b) the person demonstrates that 
  (i) within the time limited under this Act for objecting, the person 
  (A) was unable to act or to give a mandate to act in their name, or 
  (B) had a bona fide intention to object to the assessment,  
  (ii) given the reasons set out in the application and the circumstances of the case, it would be just and equitable to grant the application, and 
  (iii) the application was made as soon as circumstances permitted it to be made. 
  
  ## Appeal 
  
  ### Extension of time by Tax Court
  
  197 (1) A person who has made an application under section 196 may apply to the Tax Court to have the application granted after either 
  (a) the Minister has refused the application; or 
  (b) 90 days have elapsed after the application was made and the Minister has not notified the person of the Minister’s decision. 
  
  ### When application may not be made
  
  (2) No application may be made after the expiry of 30 days after the decision referred to in subsection 196(5) was mailed to the person. 
  
  ### How application made
  
  (3) An application must be made by filing in the Registry of the Tax Court, in accordance with the Tax Court of Canada Act, three copies of the documents delivered or mailed under subsection 196(3).  
  
  ### Copy to the Commissioner
  
  (4) The Tax Court must send a copy of the application to the Commissioner. 
  
  ### Powers of Court
  
  (5) The Tax Court may dispose of an application by dismissing or granting it and, in granting it, the Court may impose any terms that it considers just or order that the notice of objection be deemed to be a valid objection as of the date of the order. 
  
  ### When application to be granted
  
  (6) No application shall be granted under this section unless 
  (a) the application under subsection 196(1) was made within one year after the expiry of the time limited under this Act for objecting; and 
  (b) the person demonstrates that 
  (i) within the time limited under this Act for objecting, the person 
  (A) was unable to act or to give a mandate to act in their name, or 
  (B) had a bona fide intention to object to the assessment,  
  (ii) given the reasons set out in the application under this section and the circumstances of the case, it would be just and equitable to grant the application, and 
  (iii) the application under subsection 196(1) was made as soon as circumstances permitted it to be made. 
  
  ### Appeal to Tax Court
  
  198 (1) Subject to subsection (2), a person who has filed a notice of objection to an assessment may appeal to the Tax Court to have the assessment vacated or a reassessment made after 
  (a) the Minister has confirmed the assessment or has reassessed; or 
  (b) 180 days have elapsed after the filing of the notice of objection and the Minister has not notified the person that the Minister has vacated or confirmed the assessment or has reassessed. 
  
  ### No appeal
  
  (2) No appeal under subsection (1) may be instituted after the expiry of 90 days after notice that the Minister has reassessed or confirmed the assessment is sent to the person under subsection 195(10). 
  
  ### Amendment of appeal
  
  (3) The Tax Court may, on any terms that it sees fit, authorize a person who has instituted an appeal in respect of a matter to amend the appeal to include any further assessment in respect of the matter that the person is entitled under this section to appeal. 
  
  ### Extension of time to appeal
  
  199 (1) If no appeal to the Tax Court under section 198 has been instituted within the time limited by that section for doing so, a person may make an application to the Tax Court for an order extending the time within which an appeal may be instituted, and the Court may make an order extending the time for appealing and may impose any terms that it considers just. 
  
  ### Contents of application
  
  (2) An application must set out the reasons why the appeal was not instituted within the time limited under section 198 for doing so. 
  
  ### How application made
  
  (3) An application must be made by filing in the Registry of the Tax Court, in accordance with the Tax Court of Canada Act, three copies of the application together with three copies of the notice of appeal.  
  
  ### Copy to Deputy Attorney General of Canada
  
  (4) The Tax Court must send a copy of the application to the office of the Deputy Attorney General of Canada. 
  
  ### When order to be made
  
  (5) No order shall be made under this section unless 
  (a) the application is made within one year after the expiry of the time limited under section 198 for appealing; and 
  (b) the person demonstrates that 
  (i) within the time limited under section 198 for appealing, the person 
  (A) was unable to act or to give a mandate to act in their name, or 
  (B) had a bona fide intention to appeal,  
  (ii) given the reasons set out in the application and the circumstances of the case, it would be just and equitable to grant the application, 
  (iii) the application was made as soon as circumstances permitted it to be made, and 
  (iv) there are reasonable grounds for appealing from the assessment. 
  
  ### Limitation on appeals to the Tax Court
  
  200 (1) Despite section 198, if a person has filed a notice of objection to an assessment, the person may appeal to the Tax Court to have the assessment vacated, or a reassessment made, only with respect to 
  (a) an issue in respect of which the person has complied with subsection 195(2) in the notice and only with respect to the relief sought in respect of the issue as specified by the person in the notice; or 
  (b) an issue described in subsection 195(5) if the person was not required to file a notice of objection to the assessment that gave rise to the issue. 
  
  ### No appeal if waiver
  
  (2) Despite section 198, a person may not appeal to the Tax Court to have an assessment vacated or varied in respect of an issue for which the right of objection or appeal has been waived in writing by the person. 
  
  ### Institution of appeals
  
  201 An appeal to the Tax Court under this Act shall be instituted in accordance with the Tax Court of Canada Act.  
  
  ### Notice to the Commissioner
  
  202 If an appeal is made to the Tax Court under section 18.3001 of the Tax Court of Canada Act, the Court shall immediately send a copy of the notice of appeal to the office of the Commissioner.  
  
  ### Disposition of appeal
  
  203 The Tax Court may dispose of an appeal from an assessment by 
  (a) dismissing it; or 
  (b) allowing it and 
  (i) vacating the assessment, or 
  (ii) referring the assessment back to the Minister for reconsideration and reassessment. 
  
  ### References to Tax Court
  
  204 (1) If the Minister and another person agree in writing that a question arising under this Act, in respect of any assessment or proposed assessment, should be determined by the Tax Court, that question shall be determined by that Court. 
  
  ### Time during consideration not to count
  
  (2) For the purpose of making an assessment of a person who agreed in writing to the determination of a question, filing a notice of objection to an assessment or instituting an appeal from an assessment, the time between the day on which proceedings are instituted in the Tax Court to have a question determined and the day on which the question is finally determined shall not be counted in the computation of 
  (a) the four-year periods referred to in section 191; 
  (b) the period within which a notice of objection to an assessment may be filed under section 195; or 
  (c) the period within which an appeal may be instituted under section 198. 
  
  ### Reference of common questions to Tax Court
  
  205 (1) If the Minister is of the opinion that a question arising out of one and the same transaction or occurrence or series of transactions or occurrences is common to assessments or proposed assessments in respect of two or more persons, the Minister may apply to the Tax Court for a determination of the question. 
  
  ### Contents of application
  
  (2) An application shall set out 
  (a) the question in respect of which the Minister requests a determination; 
  (b) the names of the persons that the Minister seeks to have bound by the determination of the question; and 
  (c) the facts and reasons on which the Minister relies and on which the Minister based or intends to base assessments of each person named in the application. 
  
  ### Service
  
  (3) A copy of the application shall be served by the Minister on each of the persons named in it and on any other person who, in the opinion of the Tax Court, is likely to be affected by the determination of the question. 
  
  ### Determination by Tax Court of question
  
  (4) If the Tax Court is satisfied that a determination of a question set out in an application will affect assessments or proposed assessments in respect of two or more persons who have been served with a copy of the application and who are named in an order of the Tax Court under this subsection, it may 
  (a) if none of the persons so named has appealed from such an assessment, proceed to determine the question in any manner that it considers appropriate; or 
  (b) if one or more of the persons so named has or have appealed, make any order joining a party or parties to that or those appeals that it considers appropriate and proceed to determine the question. 
  
  ### Determination final and conclusive
  
  (5) Subject to subsection (6), if a question set out in an application is determined by the Tax Court, the determination is final and conclusive for the purposes of any assessments of persons named by the Court under subsection (4). 
  
  ### Appeal
  
  (6) If a question set out in an application is determined by the Tax Court, the Minister or any of the persons who have been served with a copy of the application and who are named in an order of the Court under subsection (4) may, in accordance with the provisions of this Act, the Tax Court of Canada Act or the Federal Courts Act, as they relate to appeals from or applications for judicial review of decisions of the Tax Court, appeal from the determination.  
  
  ### Parties to appeal
  
  (7) The parties who are bound by a determination are parties to any appeal from the determination. 
  
  ### Time during consideration not counted
  
  (8) For the purpose of making an assessment of the person, filing a notice of objection to an assessment or instituting an appeal from an assessment, the periods described in subsection (9) shall not be counted in the computation of 
  (a) the four-year periods referred to in section 191; 
  (b) the period within which a notice of objection to an assessment may be filed under section 195; or 
  (c) the period within which an appeal may be instituted under section 198. 
  
  ### Excluded periods
  
  (9) The period that is not to be counted in the computation of the periods described in paragraphs (8)(a) to (c) is the time between the day on which an application that is made under this section is served on a person under subsection (3) and 
  (a) in the case of a person named in an order of the Tax Court under subsection (4), the day on which the determination becomes final and conclusive and not subject to any appeal; or 
  (b) in the case of any other person, the day on which the person is served with notice that the person has not been named in an order of the Tax Court under subsection (4). 
  
  ## Records and Information 
  
  ### Keeping records — general
  
  206 (1) The following persons shall keep all records that are necessary to determine whether they have complied with this Act: 
  (a) every licensee or registrant; 
  (b) every person who is required under this Act to file a return; 
  (c) every person who makes an application for a refund that may be obtained under this Act; and 
  (d) every person that transports a tobacco product, cannabis product or vaping product that is not stamped or non-duty-paid packaged alcohol. 
  
  ### Keeping records — tobacco growers and provincial tobacco marketing boards
  
  (2) Every tobacco grower and every body established under provincial law for the marketing of raw leaf tobacco grown in the province shall keep records that will enable the determination of the amount of raw leaf tobacco grown, received or disposed of by them. 
  
  ### Keeping records — cannabis licensee
  
  (2.01) Every cannabis licensee shall keep records that will enable the determination of the amount of cannabis product produced, received, used, packaged, re-worked, sold or disposed of by the licensee. 
  
  ### Keeping records — vaping product licensee
  
  (2.02) Every vaping product licensee shall keep records that will enable the determination of the amount of vaping product manufactured, received, used, packaged, re-worked, sold or disposed of by the licensee. 
  
  ### Keeping records — tobacco manufacturing equipment
  
  (2.1) Every person who possesses tobacco manufacturing equipment (other than equipment that is designed for use by an individual manufacturing manufactured tobacco or cigars for their personal use as permitted under subsection 25(3) and that is not designed for commercial manufacturing) shall keep records that will enable the determination of the source, the type and the disposition of that equipment. 
  
  ### Keeping records — excise stamps
  
  (2.2) Every person who has been issued an excise stamp shall keep all records that are necessary to determine the receipt, retention, location, use or disposition of the stamp. 
  
  ### Minister may specify information
  
  (3) The Minister may specify in writing the form a record is to take and any information that the record must contain. 
  
  ### Language and location of record
  
  (4) Unless otherwise authorized by the Minister, a record shall be kept in Canada in English or French. 
  
  ### Electronic records
  
  (5) Every person required under this Act to keep a record who does so electronically shall ensure that all equipment and software necessary to make the record intelligible are available during the retention period required for the record. 
  
  ### Inadequate records
  
  (6) If a person fails to keep adequate records for the purposes of this Act, the Minister may, in writing, require the person to keep any records that the Minister may specify and the person shall keep the records specified by the Minister. 
  
  ### Period for retention
  
  (7) Every person who is required to keep records shall retain them until the expiry of six years after the end of the year to which they relate or for any other period that may be prescribed. 
  
  ### Objection or appeal
  
  207 (1) If a person who is required under this Act to keep records serves a notice of objection or is a party to an appeal or reference under this Act, the person shall retain every record that pertains to the subject-matter of the objection, appeal or reference until the objection, appeal or reference is finally disposed of. 
  
  ### Demand by Minister
  
  (2) If the Minister is of the opinion that it is necessary for the administration or enforcement of this Act, the Minister may, by a demand served personally or by registered or certified mail, require any person required under this Act to keep records to retain those records for any period that is specified in the demand and the person shall comply with the demand. 
  
  ### Permission for earlier disposal
  
  (3) A person who is required under this Act to keep records may dispose of them before the expiry of the period in respect of which they are required to be kept if written permission for their disposal is given by the Minister. 
  
  ### Electronic funds transfer
  
  207.1 For greater certainty, information obtained by the Minister under Part XV.1 of the Income Tax Act may be used for the purposes of this Act.  
  
  ### Requirement to provide records or information
  
  208 (1) Despite any other provision of this Act, the Minister may, subject to subsection (2), for any purpose related to the administration or enforcement of a listed international agreement or of this Act, by a notice served or sent in accordance with subsection (1.1), require any person to provide the Minister, within any reasonable time that is stipulated in the notice, with 
  (a) any information or additional information, including a return under this Act; or 
  (b) any record. 
  
  ### Notice
  
  (1.1) A notice referred to in subsection (1) may be 
  (a) served personally; 
  (b) sent by registered or certified mail; or 
  (c) sent electronically to a bank or credit union, as those terms are defined in subsection 123(1) of the Excise Tax Act, that has provided written consent to receive notices under subsection (1) electronically.  
  
  ### Unnamed persons
  
  (2) The Minister shall not impose on any person (in this section referred to as a “third party”) a requirement to provide information or any record relating to one or more unnamed persons unless the Minister first obtains the authorization of a judge under subsection (3). 
  
  ### Judicial authorization
  
  (3) A judge of the Federal Court may, on application by the Minister and subject to any conditions that the judge considers appropriate, authorize the Minister to impose on a third party a requirement relating to an unnamed person or more than one unnamed person (in this section referred to as the “group”) if the judge is satisfied by information on oath that 
  (a) the person or group is ascertainable; and 
  (b) the requirement is made to verify compliance by the person or persons in the group with any duty or obligation under this Act. 
  (4) to (6)  [Repealed, 2013, c. 33, s. 53]  
  
  ### Compliance order
  
  209 (1) On summary application by the Minister, a judge may, despite section 224, order a person to provide any access, assistance, information or record sought by the Minister under section 208 or 260 if the judge is satisfied that 
  (a) the person was required under section 208 or 260 to provide the access, assistance, information or record and did not do so; and 
  (b) in the case of information or a record, the information or record is not protected from disclosure by solicitor-client privilege. 
  
  ### Notice required
  
  (2) An application must not be heard before the end of five clear days from the time the notice of application is served on the person against whom the order is sought. 
  
  ### Judge may impose conditions
  
  (3) The judge making an order may impose any conditions in respect of the order that the judge considers appropriate. 
  
  ### Contempt of court
  
  (4) If a person fails or refuses to comply with an order, a judge may find the person in contempt of court and the person is subject to the processes and the punishments of the court to which the judge is appointed. 
  
  ### Appeal
  
  (5) An order by a judge may be appealed to a court having appellate jurisdiction over decisions of the court to which the judge is appointed. An appeal does not suspend the execution of the order unless it is so ordered by a judge of the court to which the appeal is made. 
  
  ### Scope of solicitor-client privilege
  
  (6) For the purposes of paragraph (1)(b), an accounting record of a legal counsel and any invoice, voucher or cheque that relates to the record is deemed not to be protected from disclosure by solicitor-client privilege. 
  
  ### Time period not to count
  
  209.1 The following periods of time shall not be counted in the computation of the period of time within which an assessment of a person may be made under section 188 or 189: 
  (a) if the person is served or sent a notice of a requirement under subsection 208(1), the period of time between the day on which an application for judicial review in respect of the requirement is made and the day on which the application is finally disposed of; and 
  (b) if an application is commenced by the Minister under subsection 209(1) to order the person to provide any access, assistance, information or record, the period of time between the day on which the person files a notice of appearance, or otherwise opposes the application, and the day on which the application is finally disposed of. 
  
  ### Meaning of foreign-based information or record 
  
  210 (1) In this section, 
  *foreign-based information or record* means any information or record that is available or located outside Canada and that may be relevant to the administration or enforcement of this Act.  
  
  ### Requirement to provide foreign-based information
  
  (2) Despite any other provision of this Act, the Minister may, by a notice served or sent in accordance with subsection (3.1), require a person resident in Canada or a non-resident person that carries on business in Canada to provide any foreign-based information or record. 
  
  ### Notice
  
  (3) The notice shall set out 
  (a) a reasonable period of not less than 90 days for the provision of the information or record; 
  (b) a description of the information or record being sought; and 
  (c) the consequences under subsection (8) to the person of the failure to provide the information or record being sought within the period set out in the notice. 
  
  ### Notice
  
  (3.1) A notice referred to in subsection (2) may be 
  (a) served personally; 
  (b) sent by registered or certified mail; or 
  (c) sent electronically to a bank or credit union, as those terms are defined in subsection 123(1) of the Excise Tax Act, that has provided written consent to receive notices under subsection (2) electronically.  
  
  ### Review of foreign information requirement
  
  (4) If a person is served or sent a notice of a requirement under subsection (2), the person may, within 90 days after the day on which the notice is served or sent, apply to a judge for a review of the requirement. 
  
  ### Powers on review
  
  (5) On hearing an application in respect of a requirement, a judge may 
  (a) confirm the requirement; 
  (b) vary the requirement if satisfied that it is appropriate in the circumstances; or 
  (c) set aside the requirement if satisfied that it is unreasonable. 
  
  ### Requirement not unreasonable
  
  (6) For the purposes of subsection (5), a requirement to provide information or a record shall not be considered to be unreasonable because the information or record is under the control of or available to a non-resident person that is not controlled by the person on which the notice of the requirement is served, or to which that notice is sent, if that person is related to the non-resident person. 
  
  ### Time period not to count
  
  (7) The period between the day on which an application for the review of a requirement is made and the day on which the application is finally disposed of shall not be counted in the computation of 
  (a) the period set out in the notice of the requirement; and 
  (b) the period within which an assessment may be made under section 188 or 189. 
  
  ### Consequence of failure
  
  (8) If a person fails to comply substantially with a notice served or sent under subsection (2) and the notice is not set aside under subsection (5), any court having jurisdiction in a civil proceeding relating to the administration or enforcement of this Act shall, on the motion of the Minister, prohibit the introduction by that person of any foreign-based information or record described in that notice. 
  
  ### Definitions applicable to confidentiality provisions
  
  211 (1) The definitions in this subsection apply in this section.  
  *aboriginal government* means an aboriginal government as defined in subsection 2(1) of the Federal-Provincial Fiscal Arrangements Act. (gouvernement autochtone)   
  *authorized person* means a person who is engaged or employed, or who was formerly engaged or employed, by or on behalf of Her Majesty to assist in carrying out the provisions of this Act. (personne autorisée)   
  *business number* means the number (other than a Social Insurance Number) used by the Minister to identify  
  (a) a licensee or a registrant for the purposes of this Act; or 
  (b) an applicant for a refund under this Act. ( numéro d’entreprise)   
  *confidential information* means information of any kind and in any form that relates to one or more persons and that is  
  (a) obtained by or on behalf of the Minister for the purposes of this Act; 
  (a.1) obtained by or on behalf of the Minister of Public Safety and Emergency Preparedness for the purposes of section 68; or 
  (b) prepared from information referred to in paragraph (a) or (a.1). It excludes information that does not directly or indirectly reveal the identity of the person to whom it relates and, for the purposes of applying subsections (3), (8) and (9) to a representative of a government entity that is not an official, it includes only the information referred to in paragraph (6)(j). ( renseignement confidentiel)   
  *contact information*, in respect of a holder of a business number, means the name, address, telephone number, facsimile number and preferred language of communication of the holder, or similar information as specified by the Minister in respect of the holder, and includes such information in respect of one or more  
  (a) trustees of the holder, if the holder is a trust; 
  (b) members of the holder, if the holder is a partnership; 
  (c) officers of the holder, if the holder is a corporation; or 
  (d) officers or members of the holder, in any other case. ( coordonnées)   
  *corporate information*, in respect of a holder of a business number that is a corporation, means the name (including the number assigned by the incorporating authority), date of incorporation, jurisdiction of incorporation and any information on the dissolution, reorganization, amalgamation, winding-up or revival of the corporation. (renseignements d’entreprise)   
  *court of appeal* has the same meaning as in section 2 of the Criminal Code. (cour d’appel)   
  *government entity* means  
  (a) a department or agency of the government of Canada or of a province; 
  (b) a municipality; 
  (c) an aboriginal government; 
  (d) a corporation all of the shares (except directors’ qualifying shares) of the capital stock of which are owned by one or more persons each of which is 
  (i) Her Majesty, 
  (ii) Her Majesty in right of a province, 
  (iii) a municipality, or 
  (iv) a corporation described in this paragraph; or 
  (e) a board or commission, established by Her Majesty or Her Majesty in right of a province, that performs an administrative or regulatory function of government, or by a municipality, that performs an administrative or regulatory function of a municipality. ( entité gouvernementale)   
  *municipality* means an incorporated city, town, village, metropolitan authority, township, district, county or rural municipality or other incorporated municipal body however designated. (municipalité)   
  *official* means a person who is employed in the service of, who occupies a position of responsibility in the service of, or who is engaged by or on behalf of, Her Majesty or Her Majesty in right of a province, or a person who was formerly so employed, who formerly occupied such a position or who formerly was so engaged. (fonctionnaire)   
  *registration information*, in respect of a holder of a business number, means  
  (a) any information pertaining to the legal form of the holder; 
  (b) the type of activities carried on or proposed to be carried on by the holder; 
  (c) each date on which 
  (i) the business number was issued to the holder, 
  (ii) the holder began activities, 
  (iii) the holder ceased or resumed activities, or 
  (iv) the business number assigned to the holder was changed; and 
  (d) the reasons for the cessation, resumption or change referred to in subparagraph (c)(iii) or (iv). ( renseignements relatifs à l’inscription)   
  *representative* of a government entity means a person who is employed in the service of, who occupies a position of responsibility in the service of, or who is engaged by or on behalf of, a government entity, and includes, for the purposes of subsections (2), (3), (8) and (9), a person who was formerly so employed, who formerly occupied such a position or who formerly was so engaged. (représentant)  
  
  ### Provision of information
  
  (2) Except as authorized under this section, no official or other representative of a government entity shall knowingly 
  (a) provide, or allow to be provided, to any person any confidential information; 
  (b) allow any person to have access to any confidential information; or 
  (c) use any confidential information other than in the course of the administration or enforcement of this Act. 
  
  ### Confidential information evidence not compellable
  
  (3) Despite any other Act of Parliament or other law, no official or other representative of a government entity shall be required, in connection with any legal proceedings, to give or produce evidence relating to any confidential information. 
  
  ### Communications if proceedings have been commenced
  
  (4) Subsections (2) and (3) do not apply to 
  (a) criminal proceedings, either by indictment or on summary conviction, that have been commenced by the laying of an information or the preferring of an indictment, under an Act of Parliament; or 
  (b) any legal proceedings relating to the administration or enforcement of this Act, the Canada Pension Plan, the Employment Insurance Act, the Unemployment Insurance Act or any other Act of Parliament or law of a province that provides for the imposition or collection of a tax or duty.  
  
  ### Authorized provision of information
  
  (5) The Minister may provide appropriate persons with any confidential information that may reasonably be regarded as necessary solely for a purpose relating to the life, health or safety of an individual or to the environment in Canada or any other country. 
  
  ### Disclosure of personal information
  
  (6) An official may 
  (a) provide any confidential information to any person that may reasonably be regarded as necessary for the purpose of the administration or enforcement of this Act, solely for that purpose; 
  (b) provide a person with confidential information that can reasonably be regarded as necessary for the purposes of determining any liability or obligation of the person or any refund or other payment to which the person is or may become entitled under this Act; 
  (c) provide, allow to be provided, or allow inspection of or access to any confidential information to or by any person, or any person within a class of persons, that the Minister may authorize, subject to any conditions that the Minister may specify; 
  (d) provide any person who is legally entitled under an Act of Parliament to confidential information with, or access to, that information, solely for the purposes for which the person is entitled to the information; 
  (d.1) provide confidential information, or allow the inspection of or access to confidential information, as the case may be, under, and solely for the purpose of, 
  (i) paragraph 33.1(a) of the Old Age Security Act,  
  (ii) an order made under subsection 462.48(3) of the Criminal Code, or  
  (iii) an order made under the Mutual Legal Assistance in Criminal Matters Act to gather or send information, for the purposes of an investigation or prosecution relating to an act or omission that, if it had occurred in Canada, would constitute an offence for which an order could be obtained under subsection 462.48(3) of the Criminal Code, in response to a request made pursuant to  
  (A) an administrative arrangement entered into under section 6 of the Mutual Legal Assistance in Criminal Matters Act, or  
  (B) a bilateral agreement for mutual legal assistance in criminal matters to which Canada is a party; 
  (e) provide confidential information 
  (i) to an official of the Department of Finance solely for the purpose of the formulation or evaluation of fiscal policy, 
  (ii) to an official solely for the purpose of the initial implementation of a fiscal policy or for the purposes of the administration or enforcement of the Canada Pension Plan, the Employment Insurance Act, the Unemployment Insurance Act or an Act of Parliament that provides for the imposition or collection of a tax or duty,  
  (iii) to an official solely for the purposes of the administration or enforcement of a law of a province that provides for the imposition or collection of a tax or duty, 
  (iv) to an official of the government of a province solely for the purpose of the formulation or evaluation of fiscal policy, 
  (iv.1) to an official solely for the purpose of the administration or enforcement of the Canada Education Savings Act or a designated provincial program, as defined in subsection 146.1(1) of the Income Tax Act,  
  (iv.2) to an official solely for the purpose of the administration or enforcement of the Canada Disability Savings Act or a designated provincial program, as defined in subsection 146.4(1) of the Income Tax Act,  
  (v) to an official of a department or agency of the Government of Canada or of a province as to the name, address, telephone number, occupation, size or type of business of a person, solely for the purpose of enabling the department or agency to obtain statistical data for research and analysis, 
  (v.1) to an official of the Department of Employment and Social Development solely for the purpose of the administration or enforcement of a program established under the authority of the Department of Employment and Social Development Act in respect of children who are deceased or missing as a result of an offence, or a probable offence, under the Criminal Code,  
  (vi) to an official solely for the purpose of setting off, against any sum of money that may be due or payable by Her Majesty, a debt due to 
  (A) Her Majesty, or 
  (B) Her Majesty in right of a province on account of taxes payable to the province, if an agreement exists between Canada and the province under which Canada is authorized to collect taxes on behalf of the province, 
  (vii) to an official solely for the purposes of section 7.1 of the Federal-Provincial Fiscal Arrangements Act,  
  (viii) to an official of the Financial Transactions and Reports Analysis Centre of Canada solely for the purpose of enabling the Centre to evaluate the usefulness of information provided by the Centre to the Canada Revenue Agency under the Proceeds of Crime (Money Laundering) and Terrorist Financing Act,  
  (ix) to an official of the Agency solely for the purpose of the collection of amounts owing to Her Majesty in right of Canada or of a province under the Government Employees Compensation Act, the Canada Labour Code, the Merchant Seamen Compensation Act, the Canada Student Loans Act, the Canada Student Financial Assistance Act, the Postal Services Continuation Act, 1997, the Wage Earner Protection Program Act, the Apprentice Loans Act or a law of a province governing the granting of financial assistance to students at the post-secondary school level,  
  (x) to an official solely for the administration or enforcement of the Cannabis Act,  
  (xi) to an official of the Agency solely for the purpose of the collection of amounts owing to Her Majesty in right of Canada under the Canada Emergency Business Account program established by Export Development Canada in accordance with an authorization made under subsection 23(1) of the Export Development Act,  
  (xii) to an official of 
  (A) the Agency solely for the purposes of the administration or enforcement of the Dental Benefit Act, or  
  (B) the Department of Health solely for the purposes of the formulation or evaluation of policy for that Act, 
  (xii.1) to an official of 
  (A) the Department of Employment and Social Development or the Department of Health, solely for the purpose of the administration or enforcement of the Canadian Dental Care Plan established under the authority of the Department of Health Act in respect of dental service for individuals, or  
  (B) the Department of Health solely for the purpose of the formulation or evaluation of policy for that plan, 
  (xiii) to an official of the Agency solely for the purposes of the administration or enforcement of the Rental Housing Benefit Act,  
  (xiv) to a person who is employed in the service of, who occupies a position of responsibility in the service of, or who is engaged by or on behalf of, the Canada Mortgage and Housing Corporation, solely for the purposes of the formulation or evaluation of policy for the Rental Housing Benefit Act, or  
  (xv) to an official solely for the purposes of a security review under subsection 83.032(10) or section 83.034 of the Criminal Code, if the information can reasonably be considered to be relevant to the security review;  
  (f) provide confidential information solely for the purposes of sections 23 to 25 of the Financial Administration Act ;  
  (g) use confidential information to compile information in a form that does not directly or indirectly reveal the identity of the person to whom the information relates; 
  (h) use, or provide any person with, confidential information solely for a purpose relating to the supervision, evaluation or discipline of an authorized person by Her Majesty in respect of a period during which the authorized person was employed by or engaged by or on behalf of Her Majesty to assist in the administration or enforcement of this Act, to the extent that the information is relevant for that purpose; 
  (i) use confidential information relating to a person to provide that person with information; 
  (j) subject to subsection (6.1), provide to a representative of a government entity the business number of, the name of (including any trade name or other name used by), and any contact information, corporate information and registration information in respect of, the holder of a business number, if the information is provided solely for the purpose of the administration or enforcement of 
  (i) an Act of Parliament or of a legislature of a province, or 
  (ii) a by-law of a municipality or a law of an aboriginal government; 
  (k) provide confidential information to a police officer (within the meaning assigned by subsection 462.48(17) of the Criminal Code) solely for the purpose of investigating whether an offence has been committed under the Criminal Code, or the laying of an information or the preferring of an indictment, if  
  (i) the information can reasonably be regarded as being relevant for the purpose of ascertaining the circumstances in which an offence under the Criminal Code may have been committed, or the identity of the person or persons who may have committed an offence, with respect to an official, or with respect to any person related to that official,  
  (ii) the official was or is engaged in the administration or enforcement of this Act, and 
  (iii) the offence can reasonably be considered to be related to that administration or enforcement; 
  (l) provide confidential information, or allow the inspection of or access to confidential information, as the case may be, solely for the purposes of a provision contained in a tax treaty (as defined in subsection 248(1) of the Income Tax Act) or in a listed international agreement;  
  (m) provide confidential information to any person solely for the purpose of enabling the Chief Statistician, within the meaning assigned by section 2 of the Statistics Act, to provide to a statistical agency of a province data concerning business activities carried on in the province, if the information is used by the statistical agency solely for research and analysis and the statistical agency is authorized under the law of the province to collect the same or similar information on its own behalf in respect of such activities; or  
  (n) provide confidential information to a person who has — under a program administered by the Canada Revenue Agency to obtain information relating to tax non-compliance — entered into a contract to provide information to the Canada Revenue Agency, to the extent necessary to inform the person of any amount they may be entitled to under the contract and of the status of their claim under the contract. 
  
  ### Restrictions on information sharing
  
  (6.1) No information may be provided to a representative of a government entity under paragraph (6)(j) in connection with a program, activity or service provided or undertaken by the government entity unless the government entity uses the business number as an identifier in connection with the program, activity or service. 
  
  ### Public disclosure
  
  (6.2) The Minister may, in connection with a program, activity or service provided or undertaken by the Minister, make available to the public the business number of, and the name of (including any trade name or other name used by), the holder of a business number. 
  
  ### Public disclosure by representative of government entity
  
  (6.3) A representative of a government entity may, in connection with a program, activity or service provided or undertaken by the government entity, make available to the public the business number of, and the name of (including any trade name or other name used by), the holder of a business number, if 
  (a) a representative of the government entity was provided with that information pursuant to paragraph (6)(j); and 
  (b) the government entity uses the business number as an identifier in connection with the program, activity or service. 
  
  ### Serious offences
  
  (6.4) An official may provide to a law enforcement officer of an appropriate police organization 
  (a) confidential information, if the official has reasonable grounds to believe that the information will afford evidence of an act or omission in or outside of Canada that, if committed in Canada, would be 
  (i) an offence under any of 
  (A) section 3 of the Corruption of Foreign Public Officials Act,  
  (B) sections 119 to 121, 123 to 125 and 426 of the Criminal Code,  
  (C) section 465 of the Criminal Code as it relates to an offence described in clause (B), and  
  (D) sections 144, 264, 271, 279, 279.02, 281 and 333.1, paragraphs 334(a) and 348(1)(e) and sections 349, 435 and 462.31 of the Criminal Code,  
  (ii) a terrorism offence or a criminal organization offence, as those terms are defined in section 2 of the Criminal Code, for which the maximum term of imprisonment is 10 years or more, or  
  (iii) an offence 
  (A) that is punishable by minimum term of imprisonment, 
  (B) for which the maximum term of imprisonment is 14 years or life, or 
  (C) for which the maximum term of imprisonment is 10 years and that 
  (I) resulted in bodily harm, 
  (II) involved the import, export, trafficking or production of drugs, or 
  (III) involved the use of a weapon; and 
  (b) information setting out the reasonable grounds referred to in paragraph (a), to the extent that any such grounds rely on information referred to in that paragraph. 
  
  ### Threats to security
  
  (6.5) An official may provide to the head of a recipient Government of Canada institution listed in Schedule 3 to the Security of Canada Information Disclosure Act, or to an official designated for the purposes of that Act by the head of that recipient institution,  
  (a) confidential information, if there are reasonable grounds to suspect that the information would be relevant to 
  (i) an investigation of whether the activity of any person may constitute threats to the security of Canada, as defined in section 2 of the Canadian Security Intelligence Service Act, or  
  (ii) an investigation of whether any of the following offences may have been committed: 
  (A) a terrorism offence as defined in section 2 of the Criminal Code, and  
  (B) an offence under section 462.31 of the Criminal Code, if that investigation is related to a terrorism offence as defined in section 2 of that Act; and  
  (b) information setting out the reasonable grounds referred to in paragraph (a), to the extent that any such grounds rely on information referred to in that paragraph. 
  
  ### Measures to prevent unauthorized use or disclosure
  
  (7) The person presiding at a legal proceeding relating to the supervision, evaluation or discipline of an authorized person may order any measures that are necessary to ensure that confidential information is not used or provided to any person for any purpose not relating to that proceeding, including 
  (a) holding a hearing in camera ;  
  (b) banning the publication of the information; 
  (c) concealing the identity of the person to whom the information relates; and 
  (d) sealing the records of the proceeding. 
  
  ### Disclosure to person or on consent
  
  (8) An official or other representative of a government entity may provide confidential information relating to a person 
  (a) to that person; and 
  (b) with the consent of that person, to any other person. 
  
  ### Appeal from order or direction
  
  (9) An order or direction that is made in the course of or in connection with any legal proceedings and that requires an official or other representative of a government entity to give or produce evidence relating to any confidential information may, by notice served on all interested parties, be appealed immediately by the Minister or by the person against whom it is made to 
  (a) the court of appeal of the province in which it is made, in the case of an order or direction made by a court or other tribunal established under the laws of the province, whether that court or tribunal is exercising a jurisdiction conferred by the laws of Canada; or 
  (b) the Federal Court of Appeal, in the case of an order or direction made by a court or other tribunal established under the laws of Canada. 
  
  ### Disposition of appeal
  
  (10) The court to which an appeal is taken may allow the appeal and quash the order or direction appealed from or may dismiss the appeal, and the rules of practice and procedure from time to time governing appeals to the courts shall apply, with any modifications that the circumstances require, in respect of the appeal. 
  
  ### Stay
  
  (11) An appeal shall stay the operation of the order or direction appealed from until judgment is pronounced. 
  
  ## Bankruptcies and Corporate Reorganizations 
  
  ### Definitions
  
  212 (1) The definitions in this subsection apply in this section.  
  *bankrupt* has the same meaning as in subsection 2(1) of the Bankruptcy and Insolvency Act. (failli)   
  *business* includes a part of a business. (entreprise)   
  *receiver* means a person who  
  (a) under the authority of a debenture, bond or other debt security, of a court order or of an Act of Parliament or of the legislature of a province, is empowered to operate or manage a business or a property of another person; 
  (b) is appointed by a trustee under a trust deed in respect of a debt security to exercise the authority of the trustee to manage or operate a business or a property of the debtor under the debt security; 
  (c) is appointed by a bank or an authorized foreign bank, within the meaning of section 2 of the Bank Act, to act as an agent of the bank in the exercise of the authority of the bank under subsection 426(3) of that Act in respect of property of another person;  
  (d) is appointed as a liquidator to liquidate the assets of a corporation or to wind up the affairs of a corporation; or 
  (e) is appointed as a committee, guardian or curator with the authority to manage and care for the affairs and assets of an individual who is incapable of managing those affairs and assets. It includes a person who is appointed to exercise the authority of a creditor under a debenture, bond or other debt security to operate or manage a business or a property of another person, but, if a person is appointed to exercise the authority of a creditor under a debenture, bond or other debt security to operate or manage a business or a property of another person, it does not include that creditor. ( séquestre)   
  *relevant assets* of a receiver means  
  (a) if the receiver’s authority relates to all the properties, businesses, affairs and assets of a person, all those properties, businesses, affairs and assets; and 
  (b) if the receiver’s authority relates to only part of the properties, businesses, affairs or assets of a person, that part of the properties, businesses, affairs or assets. ( actif pertinent)   
  *representative* means a person, other than a trustee in bankruptcy or a receiver, who is administering, winding up, controlling or otherwise dealing with any property, business or estate. (représentant)  
  
  ### Trustee’s obligations
  
  (2) For the purposes of this Act, if on a particular day a person becomes a bankrupt, 
  (a) the trustee in bankruptcy, and not the person, is liable for the payment of any duty, interest or other amount (other than an amount that relates solely to activities in which the person begins to engage on or after the particular day and to which the bankruptcy does not relate) that becomes payable by the person under this Act during the period beginning on the day immediately after the day on which the trustee became the trustee in bankruptcy of the person and ending on the day on which the discharge of the trustee is granted under the Bankruptcy and Insolvency Act, except that  
  (i) the trustee is liable for the payment of any duty, interest or other amount that became payable by the person after the particular day in respect of reporting periods that ended on or before the particular day, or of any duty, interest or other amount that became payable by the person after the particular day, only to the extent of the property of the person in possession of the trustee available to satisfy the liability, 
  (ii) the trustee is not liable for the payment of any duty, interest or other amount for which a receiver is liable under subsection (3), and 
  (iii) the payment by the person of an amount in respect of the liability shall discharge the liability of the trustee to the extent of that amount; 
  (b) if, on the particular day the person is licensed or registered under this Act, the licence or registration continues in relation to the activities of the person to which the bankruptcy relates as though the trustee in bankruptcy were the licensee or registrant in respect of those activities and ceases to apply to the activities of the person in which the person begins to engage on or after the particular day and to which the bankruptcy does not relate; 
  (c) the reporting period of the person begins and ends on the day on which it would have begun and ended if the bankruptcy had not occurred, except that 
  (i) the reporting period of the person during which the person becomes a bankrupt shall end on the particular day and a new reporting period of the person in relation to the activities of the person to which the bankruptcy relates shall begin on the day immediately after the particular day, and 
  (ii) the reporting period of the person, in relation to the activities of the person to which the bankruptcy relates, during which the trustee in bankruptcy is discharged under the Bankruptcy and Insolvency Act shall end on the day on which the discharge is granted;  
  (d) subject to paragraph (f), the trustee in bankruptcy shall file with the Minister in the prescribed form and manner all returns in respect of the activities of the person to which the bankruptcy relates for the reporting periods of the person ending in the period beginning on the day immediately after the particular day and ending on the day on which the discharge of the trustee is granted under the Bankruptcy and Insolvency Act and that are required under this Act to be filed by the person, as if those activities were the only activities of the person;  
  (e) subject to paragraph (f), if the person has not on or before the particular day filed a return required under this Act to be filed by the person for a reporting period of the person ending on or before the particular day, the trustee in bankruptcy shall, unless the Minister waives in writing the requirement for the trustee to file the return, file with the Minister in the prescribed form and manner a return for that reporting period of the person; and 
  (f) if there is a receiver with authority in respect of any business, property, affairs or assets of the person, the trustee in bankruptcy is not required to include in any return any information that the receiver is required under subsection (3) to include in a return. 
  
  ### Receiver’s obligations
  
  (3) For the purposes of this Act, if on a particular day a receiver is vested with authority to manage, operate, liquidate or wind up any business or property, or to manage and care for the affairs and assets, of a person, 
  (a) if the relevant assets of the receiver are a part and not all of the person’s businesses, properties, affairs or assets, the relevant assets of the receiver shall be deemed to be, throughout the period during which the receiver is acting as receiver of the person, separate from the remainder of the businesses, properties, affairs or assets of the person as though the relevant assets were businesses, properties, affairs or assets, as the case may be, of a separate person; 
  (b) the person and the receiver are jointly and severally or solidarily liable for the payment of any duty, interest or other amount that becomes payable by the person under this Act before or during the period during which the receiver is acting as receiver of the person to the extent that the duty, interest or other amount can reasonably be considered to relate to the relevant assets of the receiver or to the businesses, properties, affairs or assets of the person that would have been the relevant assets of the receiver if the receiver had been acting as receiver of the person at the time the duty, interest or other amount became payable except that 
  (i) the receiver is liable for the payment of any duty, interest or other amount that became payable before that period only to the extent of the property of the person in possession or under the control and management of the receiver after 
  (A) satisfying the claims of creditors whose claims ranked, on the particular day, in priority to the claim of the Crown in respect of the duty, interest or other amount, and 
  (B) paying any amounts that the receiver is required to pay to a trustee in bankruptcy of the person, 
  (ii) the person is not liable for the payment of any duty, interest or other amount payable by the receiver, and 
  (iii) the payment by the person or the receiver of an amount in respect of the duty, interest or other amount shall discharge the joint and several or solidary liability to the extent of that amount; 
  (c) the reporting period of the person begins and ends on the day on which it would have begun and ended if the vesting had not occurred, except that 
  (i) the reporting period of the person, in relation to the relevant assets of the receiver, during which the receiver begins to act as receiver of the person, shall end on the particular day and a new reporting period of the person in relation to the relevant assets shall begin on the day immediately after the particular day, and 
  (ii) the reporting period of the person, in relation to the relevant assets, during which the receiver ceases to act as receiver of the person, shall end on the day on which the receiver ceases to act as receiver of the person; 
  (d) the receiver shall file with the Minister in the prescribed form and manner all returns in respect of the relevant assets of the receiver for reporting periods ending in the period during which the receiver is acting as receiver and that are required under this Act to be made by the person, as if the relevant assets were the only businesses, properties, affairs and assets of the person; and 
  (e) if the person has not on or before the particular day filed a return required under this Act to be filed by the person for a reporting period of the person ending on or before the particular day, the receiver shall, unless the Minister waives in writing the requirement for the receiver to file the return, file with the Minister in the prescribed form and manner a return for that reporting period that relates to the businesses, properties, affairs or assets of the person that would have been the relevant assets of the receiver if the receiver had been acting as receiver of the person during that reporting period. 
  
  ### Certificates for receivers and representatives
  
  (4) Every receiver and representative who controls property of another person who is required to pay any duty, interest or other amount under this Act shall, before distributing the property to any person, obtain a certificate from the Minister certifying that the following amounts have been paid or that security for the payment of them has, in accordance with this Act, been accepted by the Minister: 
  (a) all duty, interest and other amounts that are payable by the other person under this Act in respect of the reporting period during which the distribution is made, or any previous reporting period; and 
  (b) all duty, interest and other amounts that are, or can reasonably be expected to become, payable under this Act by the representative or receiver in that capacity in respect of the reporting period during which the distribution is made, or any previous reporting period. 
  
  ### Liability for failure to obtain certificate
  
  (5) Any receiver or representative who distributes property without obtaining a certificate in respect of the duty, interest or other amounts referred to in subsection (4) is personally liable for the payment of those amounts to the extent of the value of the property so distributed. 
  
  ### Amalgamations
  
  213 If two or more corporations (each of which is referred to in this section as a “predecessor”) are merged or amalgamated to form one corporation (in this section referred to as the “new corporation”), the new corporation is deemed to be a separate person from each of the predecessors for the purposes of this Act except that, for prescribed purposes, the new corporation is deemed to be the same corporation as, and a continuation of, each predecessor. 
  
  # PART 6 
  
  ## Enforcement 
  
  ## Offences and Punishment 
  
  ### Unlawful production, sale, etc.
  
  214 Every person that contravenes any of sections 25, 25.2 to 25.4, 27 and 29, subsection 32.1(1) and sections 60, 62, 158.02, 158.04 to 158.06, 158.08, 158.1, 158.35, 158.37 to 158.39, 158.41 and 158.43 is guilty of an offence and liable 
  (a) on conviction on indictment, to a fine of not less than $50,000 and not more than $1,000,000 or to imprisonment for a term of not more than five years, or to both; or 
  (b) on summary conviction, to a fine of not less than $10,000 and not more than $500,000 or to imprisonment for a term of not more than 18 months, or to both. 
  
  ### Punishment — section 30
  
  215 (1) Every person who contravenes section 30 is guilty of an offence and liable 
  (a) on conviction on indictment, to a fine of not less than the amount determined under subsection (2) and not more than the amount determined under subsection (3) or to imprisonment for a term of not more than five years, or to both; or 
  (b) on summary conviction, to a fine of not less than the amount determined under subsection (2) and not more than the lesser of $100,000 and the amount determined under subsection (3) or to imprisonment for a term of not more than 18 months, or to both. 
  
  ### Minimum amount
  
  (2) The amount determined under this subsection for an offence under subsection (1) is the greater of 
  (a) $3.144 multiplied by the number of kilograms of raw leaf tobacco to which the offence relates, and 
  (b) $1,000 in the case of an indictable offence and $500 in the case of an offence punishable on summary conviction. 
  
  ### Maximum amount
  
  (3) The amount determined under this subsection for an offence under subsection (1) is the greater of 
  (a) $4.716 multiplied by the number of kilograms of raw leaf tobacco to which the offence relates, and 
  (b) $2,000 in the case of an indictable offence and $1,000 in the case of an offence punishable on summary conviction. 
  
  ### Punishment — section 32
  
  216 (1) Every person who contravenes section 32 is guilty of an offence and liable 
  (a) on conviction on indictment, to a fine of not less than the amount determined under subsection (2) and not more than the amount determined under subsection (3) or to imprisonment for a term of not more than five years, or to both; or 
  (b) on summary conviction, to a fine of not less than the amount determined under subsection (2) and not more than the lesser of $500,000 and the amount determined under subsection (3) or to imprisonment for a term of not more than 18 months, or to both. 
  
  ### Minimum amount
  
  (2) The amount determined under this subsection for an offence under subsection (1) is the greater of 
  (a) the total of 
  (i) in the case of cigarettes, the number of cigarettes to which the offence relates multiplied by the amount, rounded to the nearest one-hundredth, or, if the amount is equidistant from two consecutive one-hundredths, rounded to the higher one-hundredth, determined by the formula is the rate of duty applicable under section 1 of Schedule 1 for each five cigarettes at the time the offence was committed, 
  (ii) in the case of tobacco sticks, the number of tobacco sticks to which the offence relates multiplied by the amount, rounded to the nearest one-hundredth, or, if the amount is equidistant from two consecutive one-hundredths, rounded to the higher one-hundredth, determined by the formula is the rate of duty applicable under section 2 of Schedule 1 per tobacco stick at the time the offence was committed, 
  (iii) in the case of manufactured tobacco other than cigarettes or tobacco sticks, the number of grams of manufactured tobacco to which the offence relates multiplied by the amount, rounded to the nearest one-hundredth, or, if the amount is equidistant from two consecutive one-hundredths, rounded to the higher one-hundredth, determined by the formula is the rate of duty applicable under section 3 of Schedule 1 per 50 grams at the time the offence was committed, and 
  (iv) in the case of cigars, the number of cigars to which the offence relates multiplied by the amount, rounded to the nearest one-hundredth, or, if the amount is equidistant from two consecutive one-hundredths, rounded to the higher one-hundredth, determined by the formula is the rate of duty applicable under paragraph (a) of Schedule 2 per cigar at the time the offence was committed, and 
  (b) $1,000 in the case of an indictable offence and $500 in the case of an offence punishable on summary conviction. 
  
  ### Maximum amount
  
  (3) The amount determined under this subsection for an offence under subsection (1) is the greater of 
  (a) the total of 
  (i) in the case of cigarettes, the number of cigarettes to which the offence relates multiplied by the amount, rounded to the nearest one-hundredth, or, if the amount is equidistant from two consecutive one-hundredths, rounded to the higher one-hundredth, determined by the formula is the rate of duty applicable under section 1 of Schedule 1 for each five cigarettes at the time the offence was committed, 
  (ii) in the case of tobacco sticks, the number of tobacco sticks to which the offence relates multiplied by the amount, rounded to the nearest one-hundredth, or, if the amount is equidistant from two consecutive one-hundredths, rounded to the higher one-hundredth, determined by the formula is the rate of duty applicable under section 2 of Schedule 1 per tobacco stick at the time the offence was committed, 
  (iii) in the case of manufactured tobacco other than cigarettes or tobacco sticks, the number of grams of manufactured tobacco to which the offence relates multiplied by the amount, rounded to the nearest one-hundredth, or, if the amount is equidistant from two consecutive one-hundredths, rounded to the higher one-hundredth, determined by the formula is the rate of duty applicable under section 3 of Schedule 1 per 50 grams at the time the offence was committed, and 
  (iv) in the case of cigars, the number of cigars to which the offence relates multiplied by the amount, rounded to the nearest one-hundredth, or, if the amount is equidistant from two consecutive one-hundredths, rounded to the higher one-hundredth, determined by the formula is the rate of duty applicable under paragraph (a) of Schedule 2 per cigar that applied at the time the offence was committed, and 
  (b) $2,000 in the case of an indictable offence and $1,000 in the case of an offence punishable on summary conviction. 
  
  ### Punishment for certain alcohol offences
  
  217 (1) Every person who contravenes section 63 or 73, subsection 78(1) or 83(1) or section 90, 93.1, 93.2 or 96 is guilty of an offence and liable 
  (a) on conviction on indictment, to a fine of not less than the amount determined under subsection (2) and not more than the amount determined under subsection (3) or to imprisonment for a term of not more than five years, or to both; or 
  (b) on summary conviction, to a fine of not less than the amount determined under subsection (2) and not more than the lesser of $100,000 and the amount determined under subsection (3) or to imprisonment for a term of not more than 18 months, or to both. 
  
  ### Minimum amount
  
  (2) The amount determined under this subsection for an offence under subsection (1) is the greater of 
  (a) the total of 
  (i) the number of litres of absolute ethyl alcohol in the spirits to which the offence relates multiplied by the rate of duty per litre of absolute ethyl alcohol applicable under section 1 of Schedule 4 at the time the offence was committed, 
  (ii) the number of litres of wine to which the offence relates multiplied by the rate of duty applicable to a litre of wine under paragraph (c) of Schedule 6 at the time the offence was committed, and 
  (iii) $10 multiplied by the number of litres of specially denatured alcohol or a restricted formulation to which the offence relates, and 
  (b) $1,000 in the case of an indictable offence and $500 in the case of an offence punishable on summary conviction. 
  
  ### Maximum amount
  
  (3) The amount determined under this subsection for an offence under subsection (1) is the greater of 
  (a) the total of 
  (i) the number of litres of absolute ethyl alcohol in the spirits to which the offence relates multiplied by 200% of the rate of duty per litre of absolute ethyl alcohol applicable under section 1 of Schedule 4 at the time the offence was committed, 
  (ii) the number of litres of wine to which the offence relates multiplied by 200% of the rate of duty applicable to a litre of wine under paragraph (c) of Schedule 6 at the time the offence was committed, and 
  (iii) $20 multiplied by the number of litres of specially denatured alcohol or a restricted formulation to which the offence relates, and 
  (b) $2,000 in the case of an indictable offence and $1,000 in the case of an offence punishable on summary conviction. 
  
  ### Punishment for more serious alcohol offences
  
  218 (1) Every person who contravenes any of sections 67, 69 to 72, 75 or 88 or subsection 101(1) or (2) is guilty of an offence and liable 
  (a) on conviction on indictment, to a fine of not less than the amount determined under subsection (2) and not more than the amount determined under subsection (3) or to imprisonment for a term of not more than five years, or to both; or 
  (b) on summary conviction, to a fine of not less than the amount determined under subsection (2) and not more than the lesser of $500,000 and the amount determined under subsection (3) or to imprisonment for a term of not more than 18 months, or to both. 
  
  ### Minimum amount
  
  (2) The amount determined under this subsection for an offence under subsection (1) is the greater of 
  (a) the total of 
  (i) the number of litres of absolute ethyl alcohol in the spirits to which the offence relates multiplied by 200% of the rate of duty per litre of absolute ethyl alcohol applicable under section 1 of Schedule 4 at the time the offence was committed, and 
  (ii) the number of litres of wine to which the offence relates multiplied by 200% of the rate of duty applicable to a litre of wine under paragraph (c) of Schedule 6 at the time the offence was committed, and 
  (b) $1,000 in the case of an indictable offence and $500 in the case of an offence punishable on summary conviction. 
  
  ### Maximum amount
  
  (3) The amount determined under this subsection for an offence under subsection (1) is the greater of 
  (a) the total of 
  (i) the number of litres of absolute ethyl alcohol in the spirits to which the offence relates multiplied by 300% of the rate of duty per litre of absolute ethyl alcohol applicable under section 1 of Schedule 4 at the time the offence was committed, and 
  (ii) the number of litres of wine to which the offence relates multiplied by 300% of the rate of duty applicable to a litre of wine under paragraph (c) of Schedule 6 at the time the offence was committed, and 
  (b) $2,000 in the case of an indictable offence and $1,000 in the case of an offence punishable on summary conviction. 
  
  ### Punishment — sections 158.11 and 158.12
  
  218.1 (1) Every person that contravenes section 158.11 or 158.12 is guilty of an offence and liable 
  (a) on conviction on indictment, to a fine of not less than the amount determined under subsection (2) and not more than the amount determined under subsection (3) or to imprisonment for a term of not more than five years, or to both; or 
  (b) on summary conviction, to a fine of not less than the amount determined under subsection (2) and not more than the lesser of $500,000 and the amount determined under subsection (3) or to imprisonment for a term of not more than 18 months, or to both. 
  
  ### Minimum amount
  
  (2) The amount determined under this subsection for an offence under subsection (1) is the greater of 
  (a) the amount determined by the formula is the amount determined under section 1 of Schedule 7, as that section read at the time the offence was committed, in respect of the cannabis products to which the offence relates, is 
  (i) if the offence occurred in a specified province, 300% of the amount determined for A, and 
  (ii) in any other case, 0, and is 
  (i) if the offence occurred in a prescribed specified province, 200% of the amount determined for A, and 
  (ii) in any other case, 0, and 
  (b) $1,000 in the case of an indictable offence and $500 in the case of an offence punishable on summary conviction. 
  
  ### Maximum amount
  
  (3) The amount determined under this subsection for an offence under subsection (1) is the greater of 
  (a) the amount determined by the formula is the amount determined under section 1 of Schedule 7, as that section read at the time the offence was committed, in respect of the cannabis products to which the offence relates, is 
  (i) if the offence occurred in a specified province, 300% of the amount determined for A, and 
  (ii) in any other case, 0, and is 
  (i) if the offence occurred in a prescribed specified province, 200% of the amount determined for A, and 
  (ii) in any other case, 0, and 
  (b) $2,000 in the case of an indictable offence and $1,000 in the case of an offence punishable on summary conviction. 
  
  ### Punishment — sections 158.44 and 158.45
  
  218.2 (1) Every person that contravenes section 158.44 or 158.45 is guilty of an offence and liable 
  (a) on conviction on indictment, to a fine of not less than the amount determined under subsection (2) and not more than the amount determined under subsection (3) or to imprisonment for a term of not more than five years, or to both; or 
  (b) on summary conviction, to a fine of not less than the amount determined under subsection (2) and not more than the lesser of $500,000 and the amount determined under subsection (3) or to imprisonment for a term of not more than 18 months, or to both. 
  
  ### Minimum amount
  
  (2) The amount determined under this subsection for an offence under subsection (1) is the greater of 
  (a) the amount determined by the formula is the amount determined under Schedule 8 in respect of the vaping products to which the offence relates, using the rates of duty applicable at the time the offence was committed, and is 
  (i) if the offence occurred in a specified vaping province, the amount determined for A, and 
  (ii) in any other case, 0, and 
  (b) $1,000 in the case of an indictable offence and $500 in the case of an offence punishable on summary conviction. 
  
  ### Maximum amount
  
  (3) The amount determined under this subsection for an offence under subsection (1) is the greater of 
  (a) the amount determined by the formula is the amount determined under Schedule 8 in respect of the vaping products to which the offence relates, using the rates of duty applicable at the time the offence was committed, and is 
  (i) if the offence occurred in a specified vaping province, the amount determined for A, and 
  (ii) in any other case, 0, and 
  (b) $2,000 in the case of an indictable offence and $1,000 in the case of an offence punishable on summary conviction. 
  
  ### Falsifying or destroying records
  
  219 (1) Every person commits an offence who 
  (a) makes, or participates in, assents to or acquiesces in the making of, a false or deceptive statement in a return, application, certificate, record or answer filed or made as required under this Act; 
  (b) for the purpose of evading payment of any duty or obtaining a refund to which the person is not entitled under this Act 
  (i) destroys, alters, mutilates, conceals or otherwise disposes of any records of a person, or 
  (ii) makes, or assents to or acquiesces in the making of, a false or deceptive entry, or omits, or assents to or acquiesces in the omission, to enter a material particular in the records of a person; 
  (c) wilfully, in any manner, evades or attempts to evade compliance with this Act or payment of duty, interest or other amount imposed under this Act; 
  (d) wilfully, in any manner, obtains or attempts to obtain a refund to which the person is not entitled under this Act; or 
  (e) conspires with any person to commit an offence described in any of paragraphs (a) to (d). 
  
  ### Punishment
  
  (2) Every person who commits an offence under subsection (1) is guilty of 
  (a) an indictable offence and is liable to 
  (i) a fine of not less than $1,000 plus 200%, and not more than $10,000 plus 300%, of the total amount of duty, interest or other amount that was sought to be evaded, or of the refund sought, or, if that total amount cannot be ascertained, a fine of not less than $10,000 and not more than $100,000, 
  (ii) imprisonment for a term of not more than five years, or 
  (iii) both a fine referred to in subparagraph (i) and imprisonment referred to in subparagraph (ii); or 
  (b) an offence punishable on summary conviction and liable to 
  (i) a fine of not less than $100 plus 200%, and not more than $1,000 plus 300%, of the total amount of duty, interest or other amount that was sought to be evaded, or of the refund sought, or, if that total amount cannot be ascertained, a fine of not less than $1,000 and not more than $25,000, 
  (ii) imprisonment for a term of not more than 18 months, or 
  (iii) both a fine referred to in subparagraph (i) and imprisonment referred to in subparagraph (ii). 
  
  ### Stay of appeal
  
  (3) If, in any appeal under Part 5, substantially the same facts are at issue as those that are at issue in a prosecution under this section, the Minister may file a stay of proceedings with the Tax Court and, on doing so, the proceedings before the Tax Court are stayed pending final determination of the outcome of the prosecution. 
  
  ### Obstruction of officer
  
  220 (1) No person shall, physically or otherwise, do or attempt to do any of the following: 
  (a) interfere with, hinder or molest any officer doing anything the officer is authorized to do under this Act; or 
  (b) prevent any officer from doing anything the officer is authorized to do under this Act. 
  
  ### Failure to comply
  
  (2) Every person shall do everything the person is required to do under any of sections 208 to 210 or 260. 
  
  ### Punishment
  
  (3) Every person who contravenes subsection (1) or (2) is guilty of an offence punishable on summary conviction and liable to a fine of not less than $1,000 and not more than $25,000 or to imprisonment for a term of not more than 12 months, or to both. 
  
  ### Offence — confidential information
  
  221 (1) Every person who 
  (a) contravenes subsection 211(2), or 
  (b) knowingly contravenes an order made under subsection 211(7) is guilty of an offence and liable on summary conviction to a fine of not more than $5,000 or to imprisonment for a term of not more than 12 months, or to both. 
  
  ### Offence — confidential information
  
  (2) Every person 
  (a) to whom confidential information has been provided for a purpose pursuant to paragraph 211(6)(b), (d), (h), (l) or (m), or 
  (b) who is an official to whom confidential information has been provided for a purpose pursuant to paragraph 211(6)(a), (e) or (f), and who for any other purpose knowingly uses, provides to any person, allows the provision to any person of, or allows any person access to, that information is guilty of an offence and liable on summary conviction to a fine of not more than $5,000 or to imprisonment for a term of not more than 12 months, or to both. 
  
  ### Definitions
  
  (3) In this section, 
  *confidential information* and 
  *official* have the same meaning as in subsection 211(1).  
  
  ### Other contraventions
  
  222 Every person who contravenes a provision of this Act or the regulations for which no other offence is specified in this Act is guilty of an offence and is liable on summary conviction to a fine of not more than $100,000 or to imprisonment for a term of not more than 12 months, or to both. 
  
  ### Defence of due diligence
  
  223 No person shall be convicted of an offence under this Act if the person establishes that they exercised all due diligence to prevent the commission of the offence. 
  
  ### Compliance orders
  
  224 If a person has been convicted by a court of an offence for a failure to comply with a provision of this Act, the court may make any order that it considers proper in order to enforce compliance with the provision. 
  
  ### No penalty unless imposed before laying of information
  
  225 A person who is convicted of failing to comply with a provision of this Act is not liable to pay a penalty under any of sections 233 to 253 for the same failure unless the penalty was imposed under section 254 before the information or complaint giving rise to the conviction was laid or made. 
  
  ### Officers of corporations, etc.
  
  226 If a person other than an individual commits an offence under this Act, every officer, director or agent of the person who directed, authorized, assented to, acquiesced in or participated in the commission of the offence is a party to and guilty of the offence and liable on conviction to the punishment provided for the offence, whether or not the person has been prosecuted or convicted. 
  
  ### Offences by employees or agents
  
  227 In any prosecution for an offence under this Act, it is sufficient proof of the offence to establish that it was committed by an employee or agent of the accused, whether or not the employee or agent is identified or has been prosecuted for the offence, unless the accused establishes that the offence was committed without the knowledge or consent of the accused and that the accused exercised all due diligence to prevent its commission. 
  
  ### Power to decrease punishment
  
  228 Despite the Criminal Code or any other law, the court has, in any prosecution or proceeding under this Act, neither the power to impose less than the minimum fine fixed under this Act nor the power to suspend sentence.  
  
  ### Information or complaint
  
  229 (1) An information or complaint under this Act may be laid or made by any officer. If an information or complaint is purported to have been laid or made under this Act, it is deemed to have been laid or made by an officer and shall not be called into question for lack of authority of the officer except by the Minister or a person acting for the Minister or for Her Majesty. 
  
  ### Two or more offences
  
  (2) An information or complaint in respect of an offence under this Act may be for one or more offences and no information, complaint, 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. 
  
  ### Limitation of prosecutions
  
  (3) Despite subsection 786(2) of the Criminal Code, an information or complaint in respect of an offence under this Act that is to be prosecuted by way of summary conviction proceedings may be laid or made within two years after the day on which the matter of the information or complaint arose.  
  
  ## Proceeds of Crime 
  
  ### Property obtained from offences
  
  230 (1) No person shall possess any property or any proceeds of any property knowing that all or any part of it was obtained or derived directly or indirectly as a result of 
  (a) the commission of an offence under section 214 or subsection 216(1), 218(1), 218.1(1), 218.2(1) or 231(1); or 
  (b) a conspiracy or an attempt to commit, being a party to, being an accessory after the fact in relation to, or any counselling in relation to, an offence referred to in paragraph (a). 
  
  ### Punishment
  
  (2) Every person who contravenes subsection (1) 
  (a) is guilty of an indictable offence and liable to a fine of not more than $500,000 or to imprisonment for a term of not more than five years, or to both; or 
  (b) is guilty of an offence punishable on summary conviction and liable to a fine of not more than $100,000 or to imprisonment for a term of not more than 18 months, or to both. 
  
  ### Exception
  
  (3) A peace officer or a person acting under the direction of a peace officer is not guilty of an offence under this section by reason only that the peace officer or person possesses property or the proceeds of property mentioned in subsection (1) for the purposes of an investigation or otherwise in the execution of the peace officer’s duties. 
  
  ### Laundering proceeds of certain offences
  
  231 (1) No person shall use, transfer the possession of, send or deliver to any person or place, transport, transmit, alter, dispose of or otherwise deal with, in any manner or by any means, any property or any proceeds of any property with intent to conceal or convert that property or those proceeds, knowing that all or part of that property or those proceeds were obtained or derived directly or indirectly as a result of 
  (a) the commission of an offence under section 214 or subsection 216(1), 218(1), 218.1(1) or 218.2(1); or 
  (b) a conspiracy or an attempt to commit, being a party to, being an accessory after the fact in relation to, or any counselling in relation to, an offence referred to in paragraph (a). 
  
  ### Punishment
  
  (2) Every person who contravenes subsection (1) 
  (a) is guilty of an indictable offence and liable to a fine of not more than $500,000 or to imprisonment for a term of not more than five years, or to both; or 
  (b) is guilty of an offence punishable on summary conviction and liable to a fine of not more than $100,000 or to imprisonment for a term of not more than 18 months, or to both. 
  
  ### Exception
  
  (3) A peace officer or a person acting under the direction of a peace officer is not guilty of an offence under this section by reason only that the peace officer or person does any of the things mentioned in subsection (1) for the purposes of an investigation or otherwise in the execution of the peace officer’s duties. 
  
  ### Part XII.2 of Criminal Code applicable 
  
  232 (1) Sections 462.3 and 462.32 to 462.5 of the Criminal Code apply, with any modifications that the circumstances require, in respect of proceedings for an offence under section 214, subsection 216(1), 218(1), 218.1(1) or 218.2(1) or section 230 or 231.  
  
  ### Reference to enterprise crime offence
  
  (2) For the purpose of subsection (1), the references in sections 462.37 and 462.38 and subsection 462.41(2) of the Criminal Code to an enterprise crime offence are deemed to include references to the offences referred to in subsection (1).  
  
  ## Penalties 
  
  ### Contravention of section 34 or 37
  
  233 Every tobacco licensee who contravenes section 34 or 37 is liable to a penalty equal to 200% of the duty that was imposed on the tobacco product to which the contravention relates. 
  
  ### Contravention of section 158.13
  
  233.1 Every cannabis licensee that contravenes section 158.13 is liable to a penalty equal to the amount determined by the formula is the greater of 
  (a) the amount determined under section 1 of Schedule 7, as that section read at the time the contravention occurred, in respect of the cannabis products to which the contravention relates, and 
  (b) the amount obtained by multiplying the fair market value, at the time the contravention occurred, of the cannabis products to which the contravention relates by the percentage set out in paragraph 4(a) of Schedule 7, as that paragraph read at that time; is 
  (a) if the contravention occurred in a specified province, 300% of the amount determined for A, and 
  (b) in any other case, 0; and is 
  (a) if the contravention occurred in a prescribed specified province, 200% of the amount determined for paragraph (b) of the description of A, and 
  (b) in any other case, 0. 
  
  ### Contravention of section 158.46 or 158.49
  
  233.2 Every vaping product licensee that contravenes section 158.46 or 158.49 is liable to a penalty equal to the amount determined by the formula is the amount determined under Schedule 8 in respect of the vaping products to which the contravention relates, using the rates of duty applicable at the time the contravention occurred; and is 
  (a) if the contravention occurred in a specified vaping province, the amount determined for A, and 
  (b) in any other case, 0. 
  
  ### Contravention of certain sections
  
  234 (1) Every person that contravenes section 38, 40, 49, 61, 62.1, 99, 149, 151, 158.15, 158.5, 158.52 or 158.67 is liable to a penalty of not more than $25,000. 
  
  ### Failure to comply
  
  (2) Every person who fails to return or destroy stamps as directed by the Minister under paragraph 25.5(b), or who fails to re-work or destroy a tobacco product in the manner authorized by the Minister under section 41, is liable to a penalty of not more than $25,000. 
  
  ### Failure to comply
  
  (3) Every person that fails to return or destroy stamps as directed by the Minister under paragraph 158.07(b), or that fails to re-work or destroy a cannabis product in the manner authorized by the Minister under section 158.16, is liable to a penalty of not more than $25,000. 
  
  ### Failure to comply
  
  (4) Every person that fails to return or destroy stamps as directed by the Minister under paragraph 158.4(b), or that fails to re-work or destroy a vaping product in the manner authorized by the Minister under section 158.53, is liable to a penalty of not more than $25,000. 
  
  ### Contravention of section 158.02, 158.1, 158.11 or 158.12
  
  234.1 Every person that contravenes section 158.02, 158.1, 158.11 or 158.12 is liable to a penalty equal to the amount determined by the formula is the greater of 
  (a) the amount determined under section 1 of Schedule 7, as that section read at the time the contravention occurred, in respect of the cannabis products to which the contravention relates, and 
  (b) the amount obtained by multiplying the fair market value, at the time the contravention occurred, of the cannabis products to which the contravention relates by the percentage set out in paragraph 4(a) of Schedule 7, as that paragraph read at that time; is 
  (a) if the contravention occurred in a specified province, 300% of the amount determined for A, and 
  (b) in any other case, 0; and is 
  (a) if the contravention occurred in a prescribed specified province, 200% of the amount determined for paragraph (b) of the description of A, and 
  (b) in any other case, 0. 
  
  ### Contravention — sections 158.35 and 158.43 to 158.45
  
  234.2 Every person that contravenes section 158.35, that receives for sale vaping products in contravention of section 158.43 or that sells or offers to sell vaping products in contravention of section 158.44 or 158.45 is liable to a penalty equal to the amount determined by the formula is the amount determined under Schedule 8 in respect of the vaping products to which the contravention relates, using the rates of duty applicable at the time the contravention occurred; and is 
  (a) if the contravention occurred in a specified vaping province, the amount determined for A, and 
  (b) in any other case, 0. 
  
  ### Penalty for unauthorized export of raw leaf tobacco
  
  235 Every tobacco grower who exports raw leaf tobacco without the written approval of the Minister or who fails to comply with a condition imposed by the Minister in respect of the export is liable to a penalty of not more than $25,000. 
  236  [Repealed, 2014, c. 20, s. 77]  
  
  ### Diversion of non-duty-paid alcohol
  
  237 (1) Every excise warehouse licensee is liable to a penalty equal to 200% of the duty imposed on packaged alcohol that was removed from the warehouse of the licensee for a purpose described in section 147 if the alcohol is not delivered, exported or provided, as the case may be, for that purpose. 
  
  ### Diversion of duty-free tobacco
  
  (2) Every tobacco licensee is liable to a penalty equal to 200% of the duty that was imposed on a tobacco product manufactured in Canada that was removed from the excise warehouse of the licensee for a purpose described in subsection 50(4), (7) or (8) if the product is not delivered or exported, as the case may be, for that purpose. 
  
  ### Diversion of duty-free cigars
  
  (3) Every excise warehouse licensee is liable to a penalty equal to 200% of the duty that was imposed on cigars manufactured in Canada that were removed from the excise warehouse of the licensee for a purpose described in subsection 50(9) if the cigars are not delivered for that purpose. 
  
  ### Diversion of duty-free tobacco in special excise warehouse
  
  (4) Every special excise warehouse licensee is liable to a penalty equal to 200% of the duty that was imposed on a tobacco product manufactured in Canada that was removed from the special excise warehouse of the licensee for a purpose described in subsection 50(11) if the product is not delivered for that purpose. 
  
  ### Diversion of imported tobacco
  
  (5) Every excise warehouse licensee is liable to a penalty equal to 200% of the duty that was imposed on an imported tobacco product that was removed from the excise warehouse of the licensee for a purpose described in subsection 51(2) if the product is not delivered or exported, as the case may be, for that purpose. 
  
  ### Diversion of unstamped vaping products
  
  (5.1) Every vaping product licensee is liable to a penalty in respect of a vaping product manufactured in Canada that is removed from the excise warehouse of the licensee for a purpose described in subsection 158.68(2) if the product is not delivered or exported, as the case may be, for that purpose. 
  
  ### Diversion of imported vaping products
  
  (5.2) Every excise warehouse licensee is liable to a penalty in respect of an imported vaping product that is removed from the excise warehouse of the licensee for a purpose described in subsection 158.69(2) if the product is not delivered or exported, as the case may be, for that purpose. 
  
  ### Amount of penalty for diversion of vaping products
  
  (5.3) The amount of a penalty for each vaping product that is removed from an excise warehouse for a purpose referred to in subsection (5.1) or (5.2) and that is not delivered or exported, as the case may be, for that purpose is equal to the amount determined by the formula is the amount determined under Schedule 8 in respect of the vaping product, using the rates of duty applicable at the time the vaping product is removed from the excise warehouse; and is 
  (a) if at least one province is prescribed for the purposes of the definition specified vaping province in section 2 at the time the vaping product is removed from the excise warehouse, the amount determined for A, and  
  (b) in any other case, 0. 
  
  ### Exception
  
  (6) A licensee that would otherwise be liable to a penalty under this section is not liable if the licensee proves to the satisfaction of the Minister that the alcohol, tobacco product or vaping product that was removed from their excise warehouse or special excise warehouse was returned to that warehouse. 
  
  ### Penalty in respect of unaccounted tobacco
  
  238 Every excise warehouse licensee and every special excise warehouse licensee is liable to a penalty equal to 200% of the duty that was imposed on a tobacco product entered into their excise warehouse or special excise warehouse, as the case may be, if the licensee cannot account for the product 
  (a) as being in the warehouse; 
  (b) as having been removed from the warehouse in accordance with this Act; or 
  (c) as having been destroyed by fire while kept in the warehouse. 
  
  ### Penalty in respect of unaccounted vaping products
  
  238.01 (1) Every excise warehouse licensee is liable to a penalty in respect of a vaping product entered into their excise warehouse if the licensee cannot account for the vaping product 
  (a) as being in the warehouse; 
  (b) as having been removed from the warehouse in accordance with this Act; or 
  (c) as having been destroyed by fire while kept in the warehouse. 
  
  ### Amount of penalty
  
  (2) The amount of a penalty for each vaping product that cannot be accounted for is equal to the amount determined by the formula is the amount determined under Schedule 8 in respect of the vaping product, using the rates of duty applicable at the time the vaping product is entered into the excise warehouse; and is 
  (a) if at least one province is prescribed for the purposes of the definition specified vaping province in section 2 at the time the vaping product is entered into the excise warehouse, the amount determined for A, and  
  (b) in any other case, 0. 
  
  ### Penalty in respect of unaccounted excise stamps
  
  238.1 (1) Every person who is issued excise stamps is liable to a penalty if the person cannot account for the stamps as being in their possession unless 
  (a) the person can demonstrate that the stamps were affixed to tobacco products, cannabis products, vaping products or their containers in the manner prescribed for the purposes of the definition stamped in section 2 and that duty, other than special duty, has been paid on the tobacco products, cannabis products or vaping products; or  
  (b) in the case of stamps that were cancelled, the person can demonstrate that the stamps were returned or destroyed as directed by the Minister. 
  
  ### Amount of the penalty
  
  (2) The amount of the penalty for each excise stamp that cannot be accounted for is equal to 
  (a) in the case of a tobacco excise stamp, the duty that would be imposed on a tobacco product for which the stamp was issued under subsection 25.1(1); 
  (b) in the case of a cannabis excise stamp, five times the total of the following amounts: 
  (i) the dollar amount set out in subparagraph 1(a)(i) of Schedule 7, 
  (ii) if the stamp is in respect of a specified province, three times the dollar amount set out in subparagraph 1(a)(i) of Schedule 7, and 
  (iii) if the stamp is in respect of a prescribed specified province, $5.00; or 
  (c) in the case of a vaping excise stamp 
  (i) if the stamp is in respect of a specified vaping province, $10.00, and 
  (ii) in any other case, $5.00. 
  
  ### Other diversions
  
  239 Unless section 237 applies, every person is liable to a penalty equal to 200% of the duty that was imposed on packaged alcohol, a tobacco product, a cannabis product or a vaping product if 
  (a) it was acquired by the person and duty was not payable because of the purpose for which the person acquired it or because of its destination; and 
  (b) it is sold or used for a purpose or sent to a destination in circumstances in which duty would have been payable if it had originally been acquired for that purpose or sent to that destination. 
  
  ### Contravention of subsection 50(5)
  
  240 Every tobacco licensee who contravenes subsection 50(5) is liable to a penalty equal to the total of 
  (a) in the case of cigarettes, the number of cigarettes that were removed in contravention of that subsection multiplied by the amount, rounded to the nearest one-hundredth, or, if the amount is equidistant from two consecutive one-hundredths, rounded to the higher one-hundredth, determined by the formula is the rate of duty set out in section 1 of Schedule 1 that applied at the time the cigarettes were removed, and is the rate of duty set out in paragraph 4(a) of Schedule 3 that applied at the time the cigarettes were removed, 
  (b) in the case of tobacco sticks, the number of tobacco sticks that were removed in contravention of that subsection multiplied by the amount, rounded to the nearest one-hundredth, or, if the amount is equidistant from two consecutive one-hundredths, rounded to the higher one-hundredth, determined by the formula is the rate of duty set out in section 2 of Schedule 1 that applied at the time the tobacco sticks were removed, and is the rate of duty set out in paragraph 4(b) of Schedule 3 that applied at the time the tobacco sticks were removed, and 
  (c) in the case of manufactured tobacco other than cigarettes and tobacco sticks, the number of kilograms of manufactured tobacco that were removed in contravention of that subsection multiplied by the amount, rounded to the nearest one-hundredth, or, if the amount is equidistant from two consecutive one-hundredths, rounded to the higher one-hundredth, determined by the formula is the rate of duty set out in section 3 of Schedule 1 that applied at the time the manufactured tobacco was removed, and is the rate of duty set out in paragraph 4(c) of Schedule 3 that applied at the time the manufactured tobacco was removed. 
  
  ### Contravention of section 71
  
  241 Every person who contravenes section 71 is liable to a penalty equal to 200% of the duty that was imposed on the bulk spirits to which the contravention relates. 
  
  ### Contravention of section 72
  
  242 Every person who contravenes section 72 is liable to a penalty equal to the number of litres of wine to which the contravention relates multiplied by 200% of the rate of duty applicable to a litre of wine under paragraph (c) of Schedule 6 at the time the offence was committed. 
  
  ### Contravention of section 73, 74 or 90
  
  243 (1) Unless section 239, 241, 242 or 243.1 or subsection (2) applies, every person who contravenes section 73, 74 or 90 is liable to a penalty equal to 
  (a) if the contravention relates to spirits, 200% of the duty that was imposed on the spirits; or 
  (b) if the contravention relates to wine, the number of litres of that wine multiplied by 200% of the rate of duty applicable to a litre of wine under paragraph (c) of Schedule 6 at the time the offence was committed. 
  
  ### Contravention of section 73 or 90 by licensed user
  
  (2) Every licensed user who exports, gives possession of or takes for use alcohol in contravention of section 73 or 90 is liable to a penalty equal to 
  (a) if the contravention relates to spirits, the duty that was imposed on the spirits; or 
  (b) if the contravention relates to wine, the number of litres of that wine multiplied by the rate of duty applicable to a litre of wine under paragraph (c) of Schedule 6 at the time the offence was committed. 
  
  ### Contravention of section 76, 89 or 91
  
  243.1 Every person who contravenes section 76, 89 or 91 is liable to a penalty equal to 
  (a) if the contravention relates to spirits, the duty that was imposed on the spirits; or 
  (b) if the contravention relates to wine, the number of litres of that wine multiplied by the rate of duty applicable to a litre of wine under paragraph (c) of Schedule 6 at the time the offence was committed. 
  
  ### Spirits improperly used as DA or SDA
  
  244 Every person who is required to export, return, dispose of or destroy an amount of spirits under paragraph 101(1)(a) or (b) or (2)(a) or (b) but is unable to do so because the amount has been used in the production of another product is liable to a penalty equal to the duty imposed under section 122 or levied under section 21.1 or subsection 21.2(1) of the Customs Tariff on the amount.  
  
  ### Contravention of section 78, 83 or 94
  
  245 Every person who contravenes section 78, 83 or 94 is liable to a penalty equal to 100% of the duty that was imposed on the alcohol to which the contravention relates. 
  
  ### Contravention of section 81, 86, 92 or 93
  
  246 Every person who contravenes section 81, 86, 92 or 93 is liable to a penalty equal to 50% of the duty that was imposed on the alcohol to which the contravention relates. 
  
  ### Unauthorized possession, etc., of SDA
  
  247 Every person who contravenes any of sections 96 to 98, 100, 102 or 103 is liable to a penalty of $10 per litre of specially denatured alcohol to which the contravention relates. 
  
  ### Unauthorized possession, etc., of restricted formulation
  
  247.1 Every person who contravenes section 93.1 or 93.2 is liable to a penalty of $10 per litre of restricted formulation to which the contravention relates. 
  
  ### Unauthorized removal of marked special container
  
  248 Every excise warehouse licensee who removes a marked special container of alcohol from their excise warehouse for entry into the duty-paid market is liable to a penalty equal to 50% of the duty that was imposed on the alcohol in the container unless the container is marked for delivery to and use at a bottle-your-own premises and it is delivered to a bottle-your-own premises. 
  
  ### Contravention of section 154
  
  249 Every excise warehouse licensee who contravenes section 154 is liable to a penalty equal to the total of 
  (a) $1,000, and 
  (b) 50% of the duty that was imposed on the alcohol supplied in contravention of that section. 
  
  ### Failure to comply
  
  250 Every person is liable to a penalty of not more than $25,000 if the person fails to comply with 
  (a) section 206 or 207; 
  (b) a requirement in a notice referred to in section 208 or 210; 
  (c) a condition or requirement of a licence or registration issued to the person under this Act; 
  (d) a condition or restriction imposed under section 143; or 
  (e) the regulations. 
  
  ### Failure to answer demand
  
  251 Every person who does not file a return as and when required under a demand issued under section 169 is liable to a penalty equal to $250. 
  
  ### Failure to file return
  
  251.1 Every person who fails to file a return for a reporting period as and when required under this Act shall pay a penalty equal to the sum of 
  (a) an amount equal to 1% of the total of all amounts each of which is an amount that is required to be paid for the reporting period and was not paid before the end of the day on which the return was required to be filed, and 
  (b) the amount obtained when one quarter of the amount determined under paragraph (a) is multiplied by the number of complete months, not exceeding 12, from the day on which the return was required to be filed to the day on which the return is filed. 
  
  ### Penalty — electronic payment
  
  251.11 Every person that fails to comply with subsection 163(2) is liable to a penalty equal to $100 for each such failure. 
  
  ### Dishonoured instruments
  
  251.2 For the purposes of this Act and section 155.1 of the Financial Administration Act, any charge that becomes payable at any time by a person under the Financial Administration Act in respect of an instrument tendered in payment or settlement of an amount that is payable under this Act is deemed to be an amount that becomes payable by the person at that time under this Act. In addition, Part II of the Interest and Administrative Charges Regulations does not apply to the charge and any debt under subsection 155.1(3) of the Financial Administration Act in respect of the charge is deemed to be extinguished at the time the total of the amount and any applicable interest under this Act is paid.  
  
  ### Failure to provide information
  
  252 Every person who fails to provide any information or record as and when required under this Act is liable to a penalty of $100 for every failure unless, in the case of information required in respect of another person, a reasonable effort was made by the person to obtain the information. 
  
  ### False statements or omissions
  
  253 Every person who knowingly, or under circumstances amounting to gross negligence, makes, or participates in, assents to or acquiesces in the making of, a false statement or omission in a return, application, form, certificate, statement, invoice or answer (each of which is in this section referred to as a “return”) made in respect of a reporting period or activity is liable to a penalty equal to the greater of $250 and 25% of the total of 
  (a) if the false statement or omission is relevant to the determination of an amount of duty payable by the person, the amount, if any, by which 
  (i) that duty payable exceeds 
  (ii) the amount that would be the duty payable by the person if the duty were determined on the basis of the information provided in the return; and 
  (b) if the false statement or omission is relevant to the determination of a refund or any other payment that may be obtained under this Act, the amount, if any, by which 
  (i) the amount that would be the refund or other payment payable to the person if the refund or other payment were determined on the basis of the information provided in the return exceeds 
  (ii) the amount of the refund or other payment payable to the person. 
  
  ## Penalty Imposition 
  
  ### Notice of imposed penalty
  
  254 (1) A penalty that a person is liable to pay under any of sections 233 to 253, other than section 251.1, may be imposed by the Minister by serving on the person a written notice of the imposed penalty or by sending the notice by registered or certified mail to the person’s last known address. 
  
  ### Penalty is in addition to other sanction
  
  (2) A penalty may be imposed in addition to a seizure or forfeiture of a thing or the suspension or cancellation of a licence or registration under this Act that arises from the same event as the contravention in respect of which the penalty is imposed. 
  
  ### When penalty becomes payable
  
  255 The amount of a penalty imposed on a person under section 254 is payable by the person to the Receiver General at the time it is imposed. 
  
  ### Waiving or reducing failure to file penalty
  
  255.1 The Minister may, on or before the day that is 10 calendar years after the end of a reporting period of a person, or on application by the person on or before that day, waive or reduce any penalty payable by the person under section 251.1 in respect of a return for the reporting period. 
  
  ### Interest on penalty during review period
  
  256 Despite subsection 170(1), if a request is made under subsection 271(1) for a decision of the Minister in respect of a penalty imposed under section 254, no interest is payable in respect of the penalty for the period beginning on the day on which the request is made and ending on the day on which the Minister gives notice of the decision under subsection 273(2) or, if the decision is appealed to the Federal Court under section 276, the day on which the appeal is resolved. 
  
  ### Review of imposed penalty
  
  257 The debt due to Her Majesty as a result of a penalty imposed under section 254 is final and not subject to review or to be restrained, prohibited, removed, set aside or otherwise dealt with except to the extent and in the manner provided under this Act. 
  
  ## Search Warrants 
  
  ### Information for search warrant
  
  258 (1) A judge may at any time issue a warrant signed by the judge authorizing an officer to search a building, receptacle or place for a thing and to seize it if the judge is satisfied by information on oath that there are reasonable grounds to believe that there will be found in the building, receptacle or place anything that there are reasonable grounds to believe will afford evidence in respect of a contravention under this Act. 
  
  ### Form of search warrant
  
  (2) A warrant must refer to the contravention for which it is issued, identify the building, receptacle or place to be searched and be reasonably specific as to the thing to be searched for and seized. 
  
  ### Endorsement of search warrant
  
  (3) If the building, receptacle or place is in a territorial division other than that in which the judge has jurisdiction, the judge may issue the warrant and the warrant may be executed in the other territorial division after it has been endorsed by a judge having jurisdiction in that territorial division. 
  
  ### Effect of endorsement
  
  (4) An endorsement that is made on a warrant as provided for in subsection (3) is sufficient authority to the officers to whom it was originally directed, and to all officers within the jurisdiction of the judge by whom it is endorsed, to execute the warrant and to deal with the things seized in accordance with section 489.1 of the Criminal Code or as otherwise provided by law.  
  
  ### Seizure of things not specified
  
  (5) An officer who executes a warrant may seize, in addition to the things mentioned in the warrant, 
  (a) anything by means of or in relation to which the officer believes on reasonable grounds that a provision of this Act has been contravened; or 
  (b) anything that the officer believes on reasonable grounds will afford evidence in respect of a contravention under this Act. 
  
  ### Execution of search warrant
  
  (6) A warrant shall be executed during the period between 6:00 a.m. and 9:00 p.m. unless 
  (a) the judge is satisfied that there are reasonable grounds for it to be executed outside of that period; 
  (b) the reasonable grounds are included in the information; and 
  (c) the warrant authorizes that it be executed outside of that period. 
  
  ### Operation of computer system and copying equipment
  
  (7) An officer authorized under this section to search a computer system for data may 
  (a) use or cause to be used any computer system at the building or place to search any data contained in or available to the computer system; 
  (b) use or cause to be used any equipment at the building or place to make a copy of the data and to render it in any form; and 
  (c) seize a copy or rendering made under paragraph (b) that may afford evidence in respect of a contravention under this Act. 
  
  ### Duty of person in possession or control
  
  (8) Every person who is in possession or control of any building or place in respect of which a search described by subsection (7) is carried out shall, on presentation of the warrant, provide to the officer carrying out the search all assistance that is necessary to carry out the search. 
  
  ### Application of section 490 of Criminal Code 
  
  (9) Section 490 of the Criminal Code applies in respect of anything seized under this section.  
  
  ### Extended meaning of judge 
  
  (10) In this section and paragraph 262(2)(b), 
  *judge* also means a justice who is authorized under the Criminal Code to issue a search warrant.  
  
  ### Warrant not necessary in exigent circumstances
  
  259 An officer may exercise any of the powers referred to in subsection 258(1) without a warrant if the conditions for obtaining a warrant exist but by reason of exigent circumstances it would not be practical to obtain one. 
  
  ## Inspections 
  
  ### By whom
  
  260 (1) An officer may, at all reasonable times, for any purpose related to the administration or enforcement of this Act, inspect, audit or examine the records, processes, property or premises of a person in order to determine whether that or any other person is in compliance with this Act. 
  
  ### Powers of officer
  
  (2) Subject to subsection (3), the officer may, at all reasonable times, for any purpose related to the administration or enforcement of this Act 
  (a) enter any place in which the officer reasonably believes the person keeps records or carries on any activity to which this Act applies; 
  (b) stop a conveyance or direct that it be moved to a place where an inspection or examination may be performed; 
  (c) require any person to give the officer all reasonable assistance, to answer all proper questions relating to the administration or enforcement of this Act and 
  (i) to attend with the officer at a place designated by the officer, or by video-conference or by another form of electronic communication, and to answer the questions orally, and 
  (ii) to answer the questions in writing, in any form specified by the officer; 
  (d) open or cause to be opened any receptacle that the officer reasonably believes contains anything to which this Act applies; 
  (e) take samples of anything free of charge; 
  (f) seize anything by means of or in relation to which the officer reasonably believes this Act has been contravened; and 
  (g) require any person to give the officer all reasonable assistance with anything the officer is authorized to do under this Act. 
  
  ### Prior authorization
  
  (3) If any place referred to in subsection (2) is a dwelling-house, the officer may not enter that dwelling-house without the consent of the occupant, except under the authority of a warrant issued under subsection (4). 
  
  ### Warrant to enter dwelling-house
  
  (4) A judge may issue a warrant authorizing an officer to enter a dwelling-house subject to the conditions specified in the warrant if, on ex parte application by the Minister, a judge is satisfied by information on oath that  
  (a) there are reasonable grounds to believe that the dwelling-house is a place referred to in subsection (2); 
  (b) entry into the dwelling-house is necessary for any purpose relating to the administration or enforcement of this Act; and 
  (c) entry into the dwelling-house has been, or there are reasonable grounds to believe that entry will be, refused. 
  
  ### Orders if entry not authorized
  
  (5) If the judge is not satisfied that entry into the dwelling-house is necessary for any purpose related to the administration or enforcement of this Act, the judge may, to the extent that access was or may be expected to be refused and that a record or property is or may be expected to be kept in the dwelling-house, 
  (a) order the occupant of the dwelling-house to provide an officer with reasonable access to any record or property that is or should be kept in the dwelling-house; and 
  (b) make any other order that is appropriate in the circumstances to carry out the purposes of this Act. 
  
  ### Definition of dwelling-house 
  
  (6) In this section, 
  *dwelling-house* means the whole or any part of a building or structure that is kept or occupied as a permanent or temporary residence, and includes  
  (a) a building within the curtilage of a dwelling-house that is connected to it by a doorway or by a covered and enclosed passageway; and 
  (b) a unit that is designed to be mobile and to be used as a permanent or temporary residence and that is being used as such a residence. 
  
  ### Custody of seized things
  
  261 (1) An officer who seizes a thing under section 260 may retain custody of the thing or transfer custody of it to any person that the officer may designate. 
  
  ### Retention of seized things
  
  (2) An officer may order that a thing seized under section 260 be retained or stored at the place from where it was seized and no person shall use, remove or dispose of the thing without the consent of the officer or other authorized person. 
  
  ### Copies of records
  
  262 (1) A person who seizes, inspects, audits, examines or is provided a record under section 260 may make, or cause to be made, one or more copies of the record. 
  
  ### Retention of records seized
  
  (2) No records that have been seized as evidence under section 260 shall be retained for a period of more than three months after the time of seizure unless, before the expiry of that period, 
  (a) the person from whom they were seized agrees to their further retention for a specified period; 
  (b) a judge is satisfied on application that, having regard to the circumstances, their further retention for a specified period is warranted and so orders; or 
  (c) judicial proceedings are instituted in which they may be required. 
  
  ### Officer must give notification of seizure
  
  263 An officer who seizes a thing under section 260 shall, without delay, 
  (a) report the circumstances of the seizure to the Commissioner; and 
  (b) if the officer has evidence that a person may be entitled to make an application under section 278 in respect of the thing, take all reasonable measures to ensure that notification of the seizure is sent to that person at their last known address. 
  
  ## Return or Disposal of Things Seized 
  
  ### Certain things not to be returned
  
  264 Despite any other provision of this Act, any alcohol, specially denatured alcohol, restricted formulation, raw leaf tobacco, excise stamp, tobacco product, cannabis product or vaping product that is seized under section 260 must not be returned to the person from whom it was seized or any other person unless it was seized in error. 
  
  ### Return if security provided
  
  265 The Minister may, subject to this or any other Act of Parliament, return anything that has been seized under section 260 to the person from whom it was seized, or to any person authorized by that person, on receipt of security with a value equal to 
  (a) the value of the thing at the time of its seizure as determined by the Minister; or 
  (b) a lesser amount satisfactory to the Minister. 
  
  ### Dealing with things seized
  
  266 (1) The Minister may sell, destroy or otherwise deal with anything seized under section 260. 
  
  ### Excise stamps not to be sold
  
  (1.1) Despite subsection (1), the Minister shall not sell excise stamps that have been seized under section 260. 
  
  ### Restriction
  
  (2) Subject to the regulations, the Minister may sell 
  (a) seized spirits or specially denatured alcohol only to a spirits licensee; 
  (b) seized wine only to a wine licensee; 
  (c) seized raw leaf tobacco or a seized tobacco product only to a tobacco licensee; 
  (d) a seized restricted formulation only to a licensed user; 
  (e) a seized cannabis product only to a cannabis licensee; and 
  (f) a seized vaping product only to a vaping product licensee. 
  
  ### Payment of compensation
  
  (3) If a person would be entitled to the return of a thing if it were available to be returned, but it is not possible to return it, the person shall be paid 
  (a) if the thing was sold, the proceeds from the sale; and 
  (b) in any other case, the value of the thing at the time of its seizure as determined by the Minister. 
  
  ## Forfeitures 
  
  ### Forfeiture from time of contravention
  
  267 Subject to the reviews and appeals provided for under this Act, anything by means of or in relation to which a contravention under this Act was committed is forfeit to Her Majesty from the time of the contravention. 
  
  ### Thing no longer forfeit
  
  268 A thing in respect of which security is received under section 265 ceases to be forfeit from the time the security is received and the security shall be held as forfeit instead of the thing. 
  
  ### Review of forfeiture
  
  269 The forfeiture of a thing under section 267 or any security held as forfeit instead of the thing is final and not subject to review or to be restrained, prohibited, removed, set aside or otherwise dealt with except to the extent and in the manner provided under this Act. 
  
  ## Review of Imposed Penalty or Seizure 
  
  ### Penalty imposed or seizure made in error
  
  270 (1) If the Minister determines that a penalty was imposed in error under section 254 or a thing was seized in error under section 260, the Minister may 
  (a) cancel the penalty and authorize the return of any amount of money paid with respect to the penalty; and 
  (b) authorize the release of the thing or the return of any security received in respect of the seizure. 
  
  ### Non-application if request made
  
  (2) Subsection (1) does not apply if a request under section 271 has been made in respect of the imposition of the penalty or the seizure. 
  
  ### Request for Minister’s decision
  
  271 (1) Any person on whom a penalty is imposed under section 254 or from whom a thing is seized under section 260 may request that the Minister review the imposition of the penalty or the seizure and make a decision under section 273. 
  
  ### Time limit for making request
  
  (2) A request must be made within 90 days after 
  (a) the date of the service or sending of the notice of the imposed penalty; or 
  (b) in the case of a thing, the date on which the seizure of the thing was brought to the notice of the person from whom the thing was seized. 
  
  ### How request made
  
  (3) A request must be made in writing 
  (a) if the request is in respect of a penalty imposed, to the office of the Agency from which the notice of the imposed penalty is issued; or 
  (b) if the request is in respect of a seizure of a thing, to the officer who seized the thing. 
  
  ### Burden of proof
  
  (4) The burden of proving that a request was made lies on the person claiming that it was made. 
  
  ### Commissioner to provide reasons
  
  (5) On receipt of a request, the Commissioner shall without delay provide to the person making the request written reasons for the seizure or the imposition of the penalty. 
  
  ### Evidence
  
  (6) The person making a request may submit any evidence that the person wishes the Minister to consider for the purposes of making the decision within 30 days after the date on which the written reasons were sent. 
  
  ### Form of evidence
  
  (7) Evidence may be given by affidavit sworn before a commissioner for taking oaths or any other person authorized to take affidavits. 
  
  ### Extension of time by Minister
  
  272 (1) If no request for a decision under section 271 is made within the time limited by that section, a person may make a written application to the Minister to extend the time for making a request. 
  
  ### Conditions — grant of application
  
  (2) The Minister may extend the time for making a request under section 271 if an application under subsection (1) is made within one year after the time limit for a request and the Minister is satisfied that 
  (a) the applicant had a bona fide intention to make the request before the expiration of the time limit but was unable to do so and was unable to instruct another person to do so on the applicant’s behalf;  
  (b) the application was made as soon as circumstances permitted it to be made; and 
  (c) having regard to any reasons provided by the applicant and to the circumstances of the case, it would be just and equitable to extend the time. 
  
  ### Notification of decision
  
  (3) The Minister shall notify the applicant of the Minister’s decision regarding the application by registered or certified mail. 
  
  ### If application granted
  
  (4) If the Minister decides to extend the time, the request under section 271 is deemed to have been made on the day of the decision of the Minister regarding the application. 
  
  ### Decision final
  
  (5) A decision of the Minister under this section is final and binding and, despite any other Act of Parliament, no appeal lies from it. 
  
  ### Decision of the Minister
  
  273 (1) As soon after the receipt of a request under section 271 as is reasonably possible, the Minister shall review the circumstances giving rise to the imposition of the penalty or the seizure and decide whether the contravention on which the penalty or the seizure is based occurred and what action is to be taken under section 274 or 275. 
  
  ### Notification of decision
  
  (2) The Minister shall notify the person who requested the decision of the decision by registered or certified mail. 
  
  ### Judicial review
  
  (3) The Minister’s decision is not subject to review or to be restrained, prohibited, removed, set aside or otherwise dealt with except to the extent and in the manner provided under subsection 276(1). 
  
  ### If no contravention occurred
  
  274 (1) Subject to this or any other Act of Parliament, if the Minister decides under subsection 273(1) that the contravention on which a penalty or seizure is based did not occur, the Minister shall without delay 
  (a) in the case of a penalty, cancel the penalty and authorize the return of any money paid on account of it and any interest that was paid in respect of it; or 
  (b) in the case of a seizure, authorize the release of the seized thing or the return of any security taken in respect of it. 
  
  ### Interest on money returned
  
  (2) If any money is authorized to be returned to a person, there shall be paid to the person, in addition to the money returned, interest at the prescribed rate computed for the period beginning on the day after the money was paid and ending on the day on which the money is returned. 
  
  ### If contravention occurred — penalty
  
  275 (1) If the Minister decides under subsection 273(1) that the contravention on which a penalty is based did occur, the Minister may 
  (a) confirm the penalty; 
  (b) if the Minister believes that the penalty imposed is insufficient under the circumstances relating to the contravention, demand from the person any additional amount of money that the Minister considers sufficient to increase the penalty to an amount of not more than the maximum amount for which the person is liable for the contravention, and the additional amount is payable immediately; or 
  (c) if the Minister believes that the penalty imposed should be reduced or waived under the circumstances relating to the contravention, reduce or waive the penalty. 
  
  ### If contravention occurred — seizure
  
  (2) If the Minister decides under subsection 273(1) that the contravention on which a seizure is based did occur, the Minister may, subject to any terms and conditions that the Minister may determine, 
  (a) confirm the seizure; 
  (b) return the seized thing on receipt by the Minister of an amount of money equal 
  (i) to the value of the thing at the time of the seizure, as determined by the Minister, or 
  (ii) to a lesser amount satisfactory to the Minister; 
  (c) return any portion of any security taken in respect of the thing; or 
  (d) if the Minister considers that insufficient security was taken or if no security was received, demand any amount of money that the Minister considers sufficient in the circumstances, and the amount is payable immediately. 
  
  ### Amounts demanded by the Minister
  
  (3) Any amount of money demanded under paragraph (1)(b) or (2)(d), from and after the date of the notice provided under subsection 273(2), constitutes a debt due to Her Majesty from the person who requested the decision and that person is in default unless, within 90 days after that date, the person 
  (a) pays the amount so demanded; or 
  (b) if the person appeals the decision of the Minister under section 276, gives security satisfactory to the Minister. 
  
  ### Interest on penalty during appeal period
  
  (4) Despite subsection 170(1), if the decision of the Minister is appealed to the Federal Court under section 276, no interest is payable in respect of an amount demanded under paragraph (1)(b) or (2)(d) for any period before the day on which the appeal is resolved. 
  
  ### Forfeiture ceases
  
  (5) If the Minister returns a seized thing or security taken in respect of a seized thing under subsection (2), the thing or the security ceases to be forfeit. 
  
  ### Federal Court
  
  276 (1) A person who requests a decision of the Minister under section 271 may, within 90 days after being notified of the decision, appeal the decision by way of an action in the Federal Court in which the person is the plaintiff and the Minister is the defendant. 
  
  ### Ordinary action
  
  (2) The Federal Courts Act and the rules made under it that are applicable to ordinary actions apply to actions instituted under subsection (1), except as varied by special rules made in respect of those actions.  
  
  ### Restoration of things seized pending appeal
  
  277 If an appeal is taken by the Crown from a judgment that orders the Crown to give or return to a person anything that has been seized under section 260, the execution of the judgment shall not be suspended if the person to whom the thing is ordered given or returned gives any security to the Crown that the court that rendered the judgment considers sufficient to ensure delivery of the thing or the full value of the thing to the Crown if the judgment so appealed is reversed. 
  
  ## Third Party Claims 
  
  ### Third party may claim interest in seized or forfeited thing
  
  278 (1) On application by a person, other than a person who is entitled to make a request under section 271, who is an owner of, or who holds a security or property interest in, a thing seized under section 260 or forfeited under section 267, the Minister may declare 
  (a) that the applicant’s interest in the thing is not affected by the seizure or forfeiture of the thing; and 
  (b) the nature and extent of that interest at the time of the contravention on which the seizure or forfeiture is based. 
  
  ### Conditions for declaration
  
  (2) A declaration referred to in subsection (1) shall not be made unless 
  (a) a request under section 271 has not been made in respect of the seizure of the thing or, if a request was made, the seizure has been confirmed by the Minister under paragraph 275(2)(a); and 
  (b) the Minister is satisfied that the applicant 
  (i) acquired in good faith the interest in the seized thing before the contravention occurred, 
  (ii) is innocent of any complicity and of any collusion in respect of the contravention, and 
  (iii) exercised all reasonable care to satisfy themselves that any person likely to have possession of the thing was not likely to use it in connection with a contravention of this Act. 
  
  ### Manner and time limit for making application
  
  (3) An application must be submitted in writing, 
  (a) in the case of a seizure, within 90 days after the date of the seizure of the thing, to the officer who made the seizure; or 
  (b) in any other case, within 90 days after the date on which the person became aware of the contravention on which the forfeiture is based, to the Minister. 
  
  ### Burden of proof
  
  (4) The burden of proving that an application was submitted lies on the person claiming that it was submitted. 
  
  ### Evidence
  
  (5) An applicant may submit any evidence that they wish the Minister to consider for the purposes of the application within 30 days after the date of the request. 
  
  ### Form of evidence
  
  (6) Evidence may be given by affidavit sworn before a commissioner for taking oaths or any other person authorized to take affidavits. 
  
  ### Notification of decision
  
  (7) The Minister shall notify the applicant of the Minister’s decision regarding the application under subsection (1) by registered or certified mail. 
  
  ### Extension of time by Minister
  
  279 (1) If no application for a declaration under section 278 is made within the time limited by that section, a person may apply in writing to the Minister to extend the time for making an application under that section. 
  
  ### Conditions — grant of application
  
  (2) The Minister may extend the time for making an application under section 278 if an application under subsection (1) is made within one year after the time limit for the application under section 278 and the Minister is satisfied that 
  (a) the applicant had a bona fide intention to apply under section 278 before the expiration of the time limit but was unable to do so and was unable to instruct another person to do so on the applicant’s behalf;  
  (b) the application under subsection (1) was made as soon as circumstances permitted it to be made; and 
  (c) having regard to any reasons provided by the applicant and to the circumstances of the case, it would be just and equitable to extend the time. 
  
  ### Notification of decision
  
  (3) The Minister shall notify the applicant of the Minister’s decision regarding the application under subsection (1) by registered or certified mail. 
  
  ### If application granted
  
  (4) If the Minister decides to extend the time, the application under section 278 is deemed to have been made on the day of the decision of the Minister regarding the application under subsection (1). 
  
  ### Decision final
  
  (5) A decision of the Minister under this section is final and binding and, despite any other Act of Parliament, no appeal lies from it. 
  
  ### Application to court
  
  280 (1) If the Minister decides not to make a declaration under subsection 278(1) or the applicant is not satisfied with the declaration made, the applicant may, within 90 days after the date of the decision or declaration, apply by notice in writing to a superior court of competent jurisdiction for an order under section 281. 
  
  ### Date of hearing
  
  (2) The court to which an application is made under this section shall fix a day for the hearing of the application that is not less than 30 days after the date of the filing of the application. 
  
  ### Notice to Commissioner
  
  (3) An applicant shall serve notice of the application and of the hearing on the Commissioner, or an officer designated by the Commissioner for the purposes of this section, not later than 15 days after the day on which the date for the hearing of the application is fixed. 
  
  ### Service of notice
  
  (4) The service of a notice is sufficient if it is sent by registered or certified mail addressed to the Commissioner. 
  
  ### Order
  
  281 An applicant under section 280 is entitled to an order declaring that their interest in a seized or forfeited thing is not affected by the seizure or forfeiture and declaring the nature and extent of that interest at the time of the contravention on which the seizure or forfeiture is based if, on the hearing of an application made under section 280, the court is satisfied that the applicant 
  (a) acquired in good faith the interest in the thing before the contravention occurred; 
  (b) is innocent of any complicity and of any collusion in respect of the contravention; and 
  (c) exercised all reasonable care to satisfy themselves that any person likely to have possession of the thing was not likely to use it in connection with a contravention of this Act. 
  
  ### Appeal
  
  282 An applicant or the Crown may appeal an order made under section 281 to a court having appellate jurisdiction in other cases decided by the court that made the order and the appeal shall be asserted, heard and decided according to the ordinary procedure governing appeals to the appellate court. 
  
  ### Delivery to applicant
  
  283 (1) If an applicant’s interest in a seized thing is established under section 278, 281 or 282, the Minister shall, on the request of the applicant, direct that 
  (a) the thing be given to the applicant; or 
  (b) an amount calculated on the basis of the interest of the applicant in the thing as established be paid to the applicant. 
  
  ### Limit on amount paid
  
  (2) The total amount paid under paragraph (1)(b) in respect of a thing shall, if it was sold or otherwise disposed of under this Act, not exceed the proceeds of the sale or disposition, if any, less any costs incurred by Her Majesty in respect of the thing and, if there are no proceeds of a disposition of a thing under this Act, no payment shall be made under that paragraph in respect of the thing. 
  
  ## Collection 
  
  ### Definitions
  
  284 (1) The following definitions apply in this section.  
  *action* means an action to collect a tax debt of a person and includes a proceeding in a court and anything done by the Minister under any provision of this Part. (action)   
  *legal representative* of a person means a trustee in bankruptcy, an assignee, a liquidator, a curator, a receiver of any kind, a trustee, an heir, an administrator, an executor, a liquidator of a succession, a committee, or any other like person, administering, winding up, controlling or otherwise dealing in a representative or fiduciary capacity with any property, business, commercial activity or estate that belongs or belonged to, or that is or was held for the benefit of, the person or the person’s estate. (représentant légal)   
  *tax debt* means any amount payable by a person under this Act. (dette fiscale)  
  
  ### Debts to Her Majesty
  
  (1.1) A tax debt is a debt due to Her Majesty and is recoverable as such in the Federal Court or any other court of competent jurisdiction or in any other manner provided under this Act. 
  
  ### Court proceedings
  
  (2) The Minister may not commence a proceeding in a court to collect a tax debt of a person in respect of an amount that may be assessed under this Act, unless when the proceeding is commenced the person has been or may be assessed for that amount. 
  
  ### No actions after limitation period
  
  (2.1) The Minister may not commence an action to collect a tax debt after the end of the limitation period for the collection of the tax debt. 
  
  ### Limitation period
  
  (2.2) The limitation period for the collection of a tax debt of a person 
  (a) begins 
  (i) if a notice of assessment in respect of the tax debt, or a notice referred to in subsection 254(1) or 294(1) in respect of the tax debt, is sent to or served on the person, after March 3, 2004, on the day that is 90 days after the day on which the last one of those notices is sent or served, 
  (ii) if no notice referred to in subparagraph (i) in respect of the tax debt was sent or served and the earliest day on which the Minister can commence an action to collect that tax debt is after March 3, 2004, on that earliest day, and 
  (iii) in any other case, on March 4, 2004; and 
  (b) ends, subject to subsection (2.6), on the day that is 10 years after the day on which it begins. 
  
  ### Limitation period restarted
  
  (2.3) The limitation period described in subsection (2.2) for the collection of a tax debt of a person restarts (and ends, subject to subsection (2.6), on the day that is 10 years after the day on which it restarts) on any day, before it would otherwise end, on which 
  (a) the person acknowledges the tax debt in accordance with subsection (2.4); 
  (b) the Minister commences an action to collect the tax debt; or 
  (c) the Minister, under subsection 188(1), 289(7), 295(4), 296(2) or 297(3), assesses another person in respect of the tax debt. 
  
  ### Acknowledgement of tax debts
  
  (2.4) A person acknowledges a tax debt if the person 
  (a) promises, in writing, to pay the tax debt; 
  (b) makes a written acknowledgement of the tax debt, whether or not a promise to pay can be inferred from the acknowledgement and whether or not it contains a refusal to pay; or 
  (c) makes a payment, including a purported payment by way of a negotiable instrument that is dishonoured, on account of the tax debt. 
  
  ### Agent or legal representative
  
  (2.5) For the purposes of this section, an acknowledgement made by a person’s agent or legal representative has the same effect as if it were made by the person. 
  
  ### Extension of limitation period
  
  (2.6) In computing the day on which a limitation period ends, there shall be added the number of days on which one or more of the following is the case: 
  (a) the Minister may not, because of any of subsections 286(2) to (7), take any of the actions described in subsection 286(1) in respect of the tax debt; 
  (b) the Minister has accepted and holds security in lieu of payment of the tax debt; 
  (c) if the person was resident in Canada on the applicable date described in paragraph (2.2)(a) in respect of the tax debt, the person is non-resident; or 
  (d) an action that the Minister may otherwise take in respect of the tax debt is restricted or not permitted under any provision of the Bankruptcy and Insolvency Act, of the Companies’ Creditors Arrangement Act or of the Farm Debt Mediation Act.  
  
  ### Interest on judgments
  
  (3) If a judgment is obtained for any duty, interest or other amount payable under this Act, including a certificate registered under section 288, the provisions of this Act by which interest is payable for failure to pay an amount apply, with any modifications that the circumstances require, to the failure to pay the judgment debt, and the interest is recoverable in like manner as the judgment debt. 
  
  ### Litigation costs
  
  (4) If an amount is payable by a person to Her Majesty because of an order, judgment or award of a court in respect of the costs of litigation relating to a matter to which this Act applies, sections 285 and 288 to 294 apply to the amount as if the amount were owing by the person on account of duty payable by the person under this Act. 
  
  ### Security
  
  285 (1) The Minister may, if the Minister considers it advisable, accept security in an amount and a form satisfactory to the Minister for payment of any amount that is or may become payable under this Act. 
  
  ### Surrender of excess security
  
  (2) If a person who has furnished security, or on whose behalf security has been furnished, under this section requests in writing that the Minister surrender the security or any part of it, the Minister must surrender the security to the extent that its value exceeds the amount, at the time the request is received by the Minister, of any duty, interest or other amount for the payment of which it was furnished. 
  
  ### Collection restrictions
  
  286 (1) If a person is liable for the payment of an amount under this Act, the Minister shall not, for the purpose of collecting the amount, take any of the following actions until the end of 90 days after the date of a notice of assessment under this Act or a notice of penalty under section 254 is issued in respect of the amount: 
  (a) commence legal proceedings in a court; 
  (b) certify the amount under section 288; 
  (c) require a person to make a payment under subsection 289(1); 
  (d) require an institution or a person to make a payment under subsection 289(2); 
  (e)  [Repealed, 2006, c. 4, s. 122]  
  (f) require a person to turn over moneys under subsection 292(1); or 
  (g) give a notice, issue a certificate or make a direction under subsection 293(1). 
  
  ### No action after service of notice of objection
  
  (2) If a person has served a notice of objection under this Act to an assessment of an amount payable under this Act, the Minister shall not, for the purpose of collecting the amount in controversy, take any of the actions described in subsection (1) until the end of 90 days after the date of the notice to the person that the Minister has confirmed or varied the assessment. 
  
  ### No action after request for decision
  
  (3) If a person has requested a decision of the Minister under section 271 in respect of a penalty imposed under section 254, the Minister shall not, for the purpose of collecting the penalty, take any of the actions described in subsection (1) until the end of 90 days after the date of the decision. 
  
  ### No action after making appeal to Tax Court
  
  (4) If a person has appealed to the Tax Court from an assessment of an amount payable under this Act, the Minister shall not, for the purpose of collecting the amount in controversy, take any of the actions described in subsection (1) before the day on which a copy of the decision of the Court is mailed to the person or the day on which the person discontinues the appeal, whichever is the earlier. 
  
  ### No action after making appeal to Federal Court
  
  (5) If a person has appealed to the Federal Court from a decision of the Minister under section 273 in respect of a penalty imposed under section 254, the Minister shall not, for the purpose of collecting the penalty, take any of the actions described in subsection (1) before the day on which a copy of the decision of the Court is mailed to the person or the day on which the person discontinues the appeal, whichever is the earlier. 
  
  ### No action pending determination by court
  
  (6) If a person has agreed under subsection 204(1) that a question should be determined by the Tax Court, or if a person is served with a copy of an application made under subsection 205(1) to that Court for the determination of a question, the Minister shall not take any of the actions described in subsection (1) for the purpose of collecting that part of an amount assessed, the liability for payment of which will be affected by the determination of the question, before the day on which the question is determined by the Court. 
  
  ### Action after judgment
  
  (7) Despite any other provision in this section, if a person has served a notice of objection under this Act to an assessment or has appealed to the Tax Court from an assessment and agrees in writing with the Minister to delay proceedings on the objection or appeal, as the case may be, until judgment has been given in another action before the Tax Court, the Federal Court of Appeal or the Supreme Court of Canada in which the issue is the same or substantially the same as that raised in the objection or appeal of the person, the Minister may take any of the actions described in subsection (1) for the purpose of collecting the amount assessed, or a part of it, determined in a manner consistent with the judgment of the Court in the other action at any time after the Minister notifies the person in writing that the judgment has been given by the Court in the other action. 
  
  ### No restriction on collection of large amounts
  
  (8) Despite subsections (1) to (7), if, at any time, the total of all amounts that a person has been assessed under this Act and that remain unpaid exceeds $1,000,000, the Minister may collect up to 50% of the total. 
  
  ### Over $10,000,000 — security
  
  286.1 (1) The Minister may, by sending a notice to a person, require security in a form satisfactory to the Minister and in an amount up to a specified amount that is the greater of $0 and the amount that is determined by the formula is the total of all amounts, each of which is 
  (a) an amount that the person has been assessed under this Act in respect of which a portion remains unpaid, or 
  (b) a penalty that the person is liable to pay under this Act in respect of which a portion remains unpaid; and is the greater of $0 and the amount that is determined by the formula is the total of all amounts that the person has paid against the amount determined for A in the first formula in this subsection, and is the amount determined for A in the first formula in this subsection. 
  
  ### When security to be furnished
  
  (2) The security required under subsection (1) shall be furnished to the Minister no later than 60 days following the day on which the Minister required the security. 
  
  ### Types of security
  
  (3) The types of security acceptable for the purpose of subsection (1) are those types of security that are acceptable for the purpose of paragraph 23(3)(b). 
  
  ### Failure to comply
  
  (4) Despite subsections 286(1) to (7), the Minister may collect an amount equivalent to the amount of security that was required under subsection (1) if the security required under that subsection is not furnished to the Minister as set out in this section. 
  
  ### Authorization to proceed without delay
  
  287 (1) Despite section 286, if, on ex parte application by the Minister, a judge is satisfied that there are reasonable grounds to believe that the collection of all or any part of an amount assessed in respect of a person would be jeopardized by a delay in the collection of the amount, the judge shall, on such terms as the judge considers reasonable in the circumstances, authorize the Minister to take without delay any of the actions described in subsection 286(1) with respect to the amount.  
  
  ### Notice of assessment not sent
  
  (2) An authorization under subsection (1) in respect of an amount assessed may be granted by a judge even though a notice of assessment in respect of that amount has not been sent to the person at or before the time the application is made if the judge is satisfied that the receipt of the notice of assessment by the person would likely further jeopardize the collection of the amount, and for the purposes of sections 284, 288 to 290, 292 and 293, the amount in respect of which an authorization is so granted is deemed to be an amount payable under this Act. 
  
  ### Affidavits
  
  (3) Statements contained in an affidavit of a person filed in the context of an application under this section may be based on the belief of the person. 
  
  ### Service of authorization and of notice of assessment
  
  (4) An authorization granted under this section in respect of a person shall be served by the Minister on the person within 72 hours after it is granted unless the judge orders the authorization to be served at some other time specified in the authorization. If a notice of assessment has not been sent to the person at or before the time of the application, the notice of assessment shall be served together with the authorization. 
  
  ### How service effected
  
  (5) For the purposes of subsection (4), service on a person shall be effected by 
  (a) personal service on the person; or 
  (b) service in accordance with the directions, if any, of a judge. 
  
  ### Application to judge for direction
  
  (6) If service on a person cannot reasonably be effected as and when required under this section, the Minister may, as soon as practicable, apply to a judge for further direction. 
  
  ### Review of authorization
  
  (7) If a judge of a court has granted an authorization under this section in respect of a person, the person may, on six clear days notice to the Deputy Attorney General of Canada, apply to a judge of the court to review the authorization. 
  
  ### Limitation period for review application
  
  (8) An application under subsection (7) shall be made 
  (a) within 30 days after the authorization was served on the person in accordance with this section; or 
  (b) within such further time as a judge may allow, on being satisfied that the application was made as soon as practicable. 
  
  ### Hearing in camera
  
  (9) An application under subsection (7) may, on the application of the person, be heard in camera, if the person establishes to the satisfaction of the judge that the circumstances of the case justify in camera proceedings.  
  
  ### Disposition of application
  
  (10) On an application under subsection (7), the judge shall determine the question summarily and may confirm, set aside or vary the authorization and make any other order the judge considers appropriate. 
  
  ### Directions
  
  (11) If any question arises as to the course to be followed in connection with anything done or being done under this section and there is no direction in this section with respect to it, a judge may give any direction the judge considers appropriate. 
  
  ### No appeal from review order
  
  (12) No appeal lies from an order of a judge made under subsection (10). 
  
  ### Certificates
  
  288 (1) Any duty, interest or other amount payable by a person (in this section referred to as the “debtor”) under this Act, or any part of the duty, interest or amount, that has not been paid as and when required under this Act may be certified by the Minister as an amount payable by the debtor. 
  
  ### Registration in court
  
  (2) On production to the Federal Court, a certificate in respect of a debtor shall be registered in the Court and when so registered has the same effect, and all proceedings may be taken on the certificate, as if it were a judgment obtained in the Court against the debtor for a debt in the amount certified plus interest on the amount as provided under this Act to the day of payment and, for the purposes of those proceedings, the certificate is deemed to be a judgment of the Court against the debtor for a debt due to Her Majesty and enforceable as such. 
  
  ### Costs
  
  (3) All reasonable costs and charges incurred or paid for the registration in the Court of a certificate or in respect of any proceedings taken to collect the amount certified are recoverable in like manner as if they had been included in the amount certified in the certificate when it was registered. 
  
  ### Charge on property
  
  (4) A document issued by the Federal Court evidencing a registered certificate in respect of a debtor, a writ of that Court issued pursuant to the certificate or any notification of the document or writ (such document, writ or notification in this section referred to as a “memorial”) may be filed, registered or otherwise recorded for the purpose of creating a charge, lien or priority on, or a binding interest in, property in a province, or any interest in such property, held by the debtor, in the same manner as a document evidencing 
  (a) a judgment of the superior court of the province against a person for a debt owing by the person, or 
  (b) an amount payable or required to be remitted by a person in the province in respect of a debt owing to Her Majesty in right of the province may be filed, registered or otherwise recorded in accordance with the law of the province to create a charge, lien or priority on, or a binding interest in, the property or interest. 
  
  ### Creation of charge
  
  (5) If a memorial has been filed, registered or otherwise recorded under subsection (4), 
  (a) a charge, lien or priority is created on, or a binding interest is created in, property in the province, or any interest in such property, held by the debtor, or 
  (b) such property or interest in the property is otherwise bound, in the same manner and to the same extent as if the memorial were a document evidencing a judgment referred to in paragraph (4)(a) or an amount referred to in paragraph (4)(b), and the charge, lien, priority or binding interest created shall be subordinate to any charge, lien, priority or binding interest in respect of which all steps necessary to make it effective against other creditors were taken before the time the memorial was filed, registered or otherwise recorded. 
  
  ### Proceedings in respect of memorial
  
  (6) If a memorial is filed, registered or otherwise recorded in a province under subsection (4), proceedings may be taken in the province in respect of the memorial, including proceedings 
  (a) to enforce payment of the amount evidenced by the memorial, interest on the amount and all costs and charges paid or incurred in respect of 
  (i) the filing, registration or other recording of the memorial, and 
  (ii) proceedings taken to collect the amount, 
  (b) to renew or otherwise prolong the effectiveness of the filing, registration or other recording of the memorial, 
  (c) to cancel or withdraw the memorial wholly or in respect of any of the property or interests affected by the memorial, or 
  (d) to postpone the effectiveness of the filing, registration or other recording of the memorial in favour of any right, charge, lien or priority that has been or is intended to be filed, registered or otherwise recorded in respect of any property or interest affected by the memorial, in the same manner and to the same extent as if the memorial were a document evidencing a judgment referred to in paragraph (4)(a) or an amount referred to in paragraph (4)(b), except that, if in any such proceeding or as a condition precedent to any such proceeding, any order, consent or ruling is required under the law of the province to be made or given by the superior court of the province or by a judge or official of the court, a like order, consent or ruling may be made or given by the Federal Court or by a judge or official of the Federal Court and, when so made or given, has the same effect for the purposes of the proceeding as if it were made or given by the superior court of the province or by a judge or official of the court. 
  
  ### Presentation of documents
  
  (7) If 
  (a) a memorial is presented for filing, registration or other recording under subsection (4), or a document relating to the memorial is presented for filing, registration or other recording for the purpose of any proceeding described in subsection (6), to any official of a property registry system of a province, or 
  (b) access is sought to any person, place or thing in a province to make the filing, registration or other recording, the memorial or document shall be accepted for filing, registration or other recording or the access shall be granted, as the case may be, in the same manner and to the same extent as if the memorial or document relating to the memorial were a document evidencing a judgment referred to in paragraph (4)(a) or an amount referred to in paragraph (4)(b) for the purpose of a like proceeding, except that, if the memorial or document is issued by the Federal Court or signed or certified by a judge or official of the Court, any affidavit, declaration or other evidence required under the law of the province to be provided with or to accompany the memorial or document in the proceedings is deemed to have been provided with or to have accompanied the memorial or document as so required. 
  
  ### Sale, etc.
  
  (8) Despite any law of Canada or of a province, a sheriff or other person shall not, without the written consent of the Minister, sell or otherwise dispose of any property or publish any notice or otherwise advertise in respect of any sale or other disposition of any property pursuant to any process issued or charge, lien, priority or binding interest created in any proceeding to collect an amount certified in a certificate made under subsection (1), interest on the amount or costs, but if that consent is subsequently given, any property that would have been affected by such a process, charge, lien, priority or binding interest if the Minister’s consent had been given at the time the process was issued or the charge, lien, priority or binding interest was created, as the case may be, shall be bound, seized, attached, charged or otherwise affected as it would be if that consent had been given at the time the process was issued or the charge, lien, priority or binding interest was created, as the case may be. 
  
  ### Completion of notices, etc.
  
  (9) If information required to be set out by any sheriff or other person in a minute, notice or document required to be completed for any purpose cannot, because of subsection (8), be so set out without the written consent of the Minister, the sheriff or other person shall complete the minute, notice or document to the extent possible without that information and, when that consent of the Minister is given, a further minute, notice or document setting out all the information shall be completed for the same purpose, and the sheriff or other person, having complied with this subsection, is deemed to have complied with the Act, regulation or rule requiring the information to be set out in the minute, notice or document. 
  
  ### Application for an order
  
  (10) A sheriff or other person who is unable, because of subsection (8) or (9), to comply with any law or rule of court is bound by any order made by a judge of the Federal Court, on an ex parte application by the Minister, for the purpose of giving effect to the proceeding, charge, lien, priority or binding interest.  
  
  ### Deemed security
  
  (11) If a charge, lien, priority or binding interest created under subsection (5) by filing, registering or otherwise recording a memorial under subsection (4) is registered in accordance with subsection 87(1) of the Bankruptcy and Insolvency Act, it is deemed  
  (a) to be a claim that is secured by a security and that, subject to subsection 87(2) of that Act, ranks as a secured claim under that Act; and 
  (b) to also be a claim referred to in paragraph 86(2)(a) of that Act. 
  
  ### Details in certificates and memorials
  
  (12) Despite any law of Canada or of the legislature of a province, in any certificate in respect of a debtor, any memorial evidencing a certificate or any writ or document issued for the purpose of collecting an amount certified, it is sufficient for all purposes 
  (a) to set out, as the amount payable by the debtor, the total of amounts payable by the debtor without setting out the separate amounts making up that total; 
  (b) to refer to the rate of interest to be charged on the separate amounts making up the amount payable in general terms as interest at the prescribed rate under this Act applicable from time to time on amounts payable to the Receiver General, without indicating the specific rates of interest to be charged on each of the separate amounts or to be charged for any period; and 
  (c) to refer to the penalty calculated under section 251.1 to be charged on the separate amounts making up the amount payable in general terms as a penalty under that section on amounts payable to the Receiver General. 
  
  ### Garnishment
  
  289 (1) If the Minister has knowledge or suspects that a person is, or will be within one year, liable to make a payment to another person who is liable to pay an amount under this Act (in this section referred to as a “debtor”), the Minister may, by notice in writing, require the person to pay without delay, if the money is immediately payable, and in any other case, as and when the money becomes payable, the money otherwise payable to the debtor in whole or in part to the Receiver General on account of the debtor’s liability under this Act. 
  
  ### Garnishment of loans or advances
  
  (2) Without limiting the generality of subsection (1), if the Minister has knowledge or suspects that within 90 days 
  (a) a bank, credit union, trust company 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 debtor 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 debtor who the Minister knows or suspects 
  (i) is employed by, or is engaged in providing services or property to, that person or was or will be, within 90 days, so employed or engaged, or 
  (ii) if that person is a corporation, is not dealing at arm’s length with that person, the Minister may, by notice in writing, require the institution or person, as the case may be, to pay in whole or in part to the Receiver General on account of the debtor’s liability under this Act the money that would otherwise be so loaned, advanced or paid. 
  
  ### Effect of receipt
  
  (3) A receipt issued by 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. 
  
  ### Effect of requirement
  
  (4) If the Minister has, under this section, required a person to pay to the Receiver General on account of the liability under this Act of a debtor money otherwise payable by the person to the debtor as interest, rent, remuneration, a dividend, an annuity or other periodic payment, the requirement applies to all such payments to be made by the person to the debtor until the liability under this Act is satisfied, and operates to require payments to the Receiver General out of each such payment of any amount that is stipulated by the Minister in a notice in writing. 
  
  ### Failure to comply
  
  (5) Every person who fails to comply with a requirement under subsection (1) or (4) is liable to pay to Her Majesty an amount equal to the amount that the person was required under that subsection to pay to the Receiver General. 
  
  ### Other failures to comply
  
  (6) Every institution or person that fails to comply with a requirement under subsection (2) with respect to money to be loaned, advanced or paid is liable to pay to Her Majesty an amount equal to the lesser of 
  (a) the total of money so loaned, advanced or paid, and 
  (b) the amount that the institution or person was required under that subsection to pay to the Receiver General. 
  
  ### Assessment
  
  (7) The Minister may assess any person for any amount payable under this section by the person to the Receiver General and, if the Minister sends a notice of assessment, sections 188 to 205 apply with any modifications that the circumstances require. 
  
  ### Time limit
  
  (8) An assessment of an amount payable under this section by a person to the Receiver General shall not be made more than four years after the notice from the Minister requiring the payment was received by the person. 
  
  ### Effect of payment as required
  
  (9) If an amount that would otherwise have been advanced, loaned or paid to or on behalf of the debtor is paid by a person to the Receiver General in accordance with a notice from the Minister issued under this section or with an assessment under subsection (7), the person is deemed for all purposes to have advanced, loaned or paid the amount to or on behalf of the debtor. 
  
  ### Recovery by deduction or set-off
  
  290 If a person is indebted to Her Majesty under this Act, the Minister may require the retention by way of deduction or set-off of any amount that the Minister may specify out of any amount that may be or become payable to that person by Her Majesty. 
  
  ### Acquisition of debtor’s property
  
  291 For the purpose of collecting debts owed by a person to Her Majesty under this Act, the Minister may purchase or otherwise acquire any interest in the person’s property that the Minister is given a right to acquire in legal proceedings or under a court order or that is offered for sale or redemption, and may dispose of any interest so acquired in any manner that the Minister considers reasonable. 
  
  ### Money seized from debtor
  
  292 (1) If the Minister has knowledge or suspects that a person is holding money that was seized by a police officer in the course of administering or enforcing the criminal law of Canada from another person who is liable to pay any duty, interest or other amount under this Act (in this section referred to as the “debtor”) and that is restorable to the debtor, the Minister may in writing require the person to turn over the money otherwise restorable to the debtor, in whole or in part, to the Receiver General on account of the debtor’s liability under this Act. 
  
  ### Receipt of Minister
  
  (2) A receipt issued by the Minister for money turned over is a good and sufficient discharge of the requirement to restore the money to the debtor to the extent of the amount so turned over. 
  
  ### Seizure — failure to pay duty, etc.
  
  293 (1) If a person fails to pay duty, interest or other amount as required under this Act, the Minister may in writing give 30 days notice to the person, addressed to their last known address, of the Minister’s intention to direct that the person’s things be seized and disposed of. If the person fails to make the payment before the expiry of the 30 days, the Minister may issue a certificate of the failure and direct that the person’s things be seized. 
  
  ### Disposition
  
  (2) Things that have been seized under subsection (1) shall be kept for 10 days at the expense and risk of the owner. If the owner does not pay the amount due together with all expenses within the 10 days, the Minister may dispose of the things in a manner the Minister considers appropriate in the circumstances. 
  
  ### Proceeds of disposition
  
  (3) Any surplus resulting from a disposition, after deduction of the amount owing and all expenses, shall be paid or returned to the owner of the things seized. 
  
  ### Exemptions from seizure
  
  (4) Anything of any person in default that would be exempt from seizure under a writ of execution issued by a superior court of the province in which the seizure is made is exempt from seizure under this section. 
  
  ### Person leaving Canada or defaulting
  
  294 (1) If the Minister suspects that a person has left or is about to leave Canada, the Minister may, before the day otherwise fixed for payment, by notice to the person served personally or sent by registered or certified mail addressed to their last known address, demand payment of any amount for which the person is liable under this Act or would be so liable if the time for payment had arrived, and the amount shall be paid without delay despite any other provision of this Act. 
  
  ### Seizure
  
  (2) If a person fails to pay an amount required under subsection (1), the Minister may direct that things of the person be seized, and subsections 293(2) to (4) apply, with any modifications that the circumstances require. 
  
  ### Liability of directors
  
  295 (1) If a corporation fails to pay any duty or interest as and when required under this Act, the directors of the corporation at the time it was required to pay the duty or interest are jointly and severally or solidarily liable, together with the corporation, to pay the duty or interest and any interest that is payable on the duty or interest under this Act. 
  
  ### Limitations
  
  (2) A director of a corporation is not liable unless 
  (a) a certificate for the amount of the corporation’s liability has been registered in the Federal Court under section 288 and execution for that amount has been returned unsatisfied in whole or in part; 
  (b) the corporation has commenced liquidation or dissolution proceedings or has been dissolved and a claim for the amount of the corporation’s liability has been proved within six months after the earlier of the date of commencement of the proceedings and the date of dissolution; or 
  (c) the corporation has made an assignment or a bankruptcy order has been made against it under the Bankruptcy and Insolvency Act and a claim for the amount of the corporation’s liability has been proved within six months after the date of the assignment or bankruptcy order.  
  
  ### Diligence
  
  (3) A director of a corporation is not liable for a failure under subsection (1) if the director exercised the degree of care, diligence and skill to prevent the failure that a reasonably prudent person would have exercised in comparable circumstances. 
  
  ### Assessment
  
  (4) The Minister may assess any person for any amount of duty or interest payable by the person under this section and, if the Minister sends a notice of assessment, sections 188 to 205 apply with any modifications that the circumstances require. 
  
  ### Time limit
  
  (5) An assessment of any amount payable by a person who is a director of a corporation shall not be made more than two years after the person ceased to be a director of the corporation. 
  
  ### Amount recoverable
  
  (6) If execution referred to in paragraph (2)(a) has issued, the amount recoverable from a director is the amount remaining unsatisfied after execution. 
  
  ### Preference
  
  (7) If a director of a corporation pays an amount in respect of the corporation’s liability that is proved in liquidation, dissolution or bankruptcy proceedings, the director is entitled to any preference to which Her Majesty would have been entitled had the amount not been so paid, and if a certificate that relates to the amount has been registered, the director is entitled to an assignment of the certificate to the extent of the director’s payment, which assignment the Minister is empowered to make. 
  
  ### Contribution
  
  (8) A director who satisfies a claim under this section is entitled to contribution from the other directors who were liable for the claim. 
  
  ### Compliance by unincorporated bodies
  
  296 (1) If any duty, interest or other amount is required to be paid or any other thing is required to be done under this Act by a person (in this section referred to as the “body”) that is not an individual, a corporation or a partnership, it shall be the joint and several or solidary liability and responsibility of 
  (a) every member of the body holding office as president, chairperson, treasurer, secretary or similar officer of the body, 
  (b) if there are no such officers of the body, every member of any committee having management of the affairs of the body, and 
  (c) if there are no such officers of the body and no such committee, every member of the body, to pay that amount of duty, interest or other amount or to comply with the requirement, and if the amount is paid or the requirement is fulfilled by an officer of the body, a member of such a committee or a member of the body, it shall be considered as compliance with the requirement. 
  
  ### Assessment
  
  (2) The Minister may assess any person for any amount for which the person is liable under this section and, if the Minister sends a notice of assessment, sections 188 to 205 apply with any modifications that the circumstances require. 
  
  ### Limitation
  
  (3) An assessment of a person shall not 
  (a) include any amount that the body was liable to pay before the person became jointly and severally or solidarily liable; 
  (b) include any amount that the body became liable to pay after the person ceased to be jointly and severally or solidarily liable; or 
  (c) be made more than two years after the person ceased to be jointly and severally or solidarily liable unless the person was grossly negligent in the carrying out of any duty or obligation imposed on the body by or under this Act or made, or participated in, assented to or acquiesced in the making of, a false statement or omission in a return, application, form, certificate, statement, invoice or answer made by the body. 
  
  ### Definitions
  
  297 (0.1) The following definitions apply in this section.  
  *common-law partner* of an individual at any time means a person who is the common-law partner of the individual at that time for the purposes of the Income Tax Act. (conjoint de fait)   
  *common-law partnership* means the relationship between two persons who are common-law partners of each other. (union de fait)   
  *transaction* includes an arrangement or event. (opération)  
  
  ### Liability re transfers not at arm’s length
  
  (1) If at any time a person transfers property, either directly or indirectly, by a trust or any other means, to 
  (a) their spouse or common-law partner or an individual who has since become their spouse or common-law partner, 
  (b) an individual who was under 18 years of age, or 
  (c) another person with whom the transferor was not dealing at arm’s length, the transferee and transferor are jointly and severally or solidarily liable to pay an amount equal to the lesser of 
  (d) the amount determined by the formula is the amount, if any, by which the fair market value of the property at that time exceeds the fair market value at that time of the consideration given by the transferee for the transfer of the property, and is the amount, if any, by which the total of all amounts, if any, the transferee was assessed under subsection 325(2) of the Excise Tax Act, subsection 160(2) of the Income Tax Act, subsection 80(3) of the Underused Housing Tax Act or subsection 150(4) of the Select Luxury Items Tax Act in respect of the property exceeds the amount paid by the transferor in respect of the amounts so assessed, and  
  (e) the total of all amounts each of which is 
  (i) an amount that the transferor is liable to pay under this Act in respect of the reporting period in which the property was transferred or any preceding reporting period, or 
  (ii) interest for which the transferor is liable as of that time. However, nothing in this subsection limits the liability of the transferor under any other provision of this Act. 
  
  ### Fair market value of undivided interest
  
  (2) For the purposes of this section, the fair market value at any time of an undivided interest in a property, expressed as a proportionate interest in the property, is, subject to subsection (5), deemed to be equal to the same proportion of the fair market value of the property at that time. 
  
  ### Assessment
  
  (3) The Minister may at any time assess a transferee in respect of any amount payable by reason of this section, and, if the Minister sends a notice of assessment, sections 188 to 205 apply with any modifications that the circumstances require. 
  
  ### Rules applicable
  
  (4) If a transferor and transferee have, by reason of subsection (1), become jointly and severally or solidarily liable in respect of all or part of the liability of the transferor under this Act, the following rules apply: 
  (a) a payment by the transferee on account of the transferee’s liability shall, to the extent of the payment, discharge the joint liability; and 
  (b) a payment by the transferor on account of the transferor’s liability only discharges the transferee’s liability to the extent that the payment operates to reduce the transferor’s liability to an amount less than the amount in respect of which the transferee was, under subsection (1), made jointly and severally or solidarily liable. 
  
  ### Special transfers to spouse or common-law partner
  
  (5) Despite subsection (1), if at any time an individual transfers property to their spouse or common-law partner under a decree, order or judgment of a competent tribunal or under a written separation agreement and, at that time, the individual and their spouse or common-law partner were separated and living apart as a result of a breakdown of their marriage or common-law partnership, for the purposes of paragraph (1)(d), the fair market value at that time of the property so transferred is deemed to be nil. However, nothing in this subsection limits the liability of the individual under any other provision of this Act. 
  
  ### Anti-avoidance rules
  
  (6) For the purposes of this section, if a person transfers property to another person as part of a transaction or series of transactions, the following rules apply: 
  (a) the transferor is deemed to not be dealing at arm’s length with the transferee at the time of the transfer of the property if 
  (i) the transferor and the transferee do not deal at arm’s length at any time during the period beginning immediately prior to the transaction or series of transactions and ending immediately after the transaction or series of transactions, and 
  (ii) it is reasonable to conclude that one of the purposes of undertaking or arranging the transaction or series of transactions is to avoid joint and several, or solidary, liability of the transferee and the transferor under this section for an amount payable under this Act; 
  (b) an amount that the transferor is liable to pay under this Act (including, for greater certainty, an amount that the transferor is liable to pay under this section, regardless of whether the Minister has made an assessment under subsection (3) in respect of that amount) is deemed to have become payable in the reporting period of the transferor in which the property was transferred, if it is reasonable to conclude that one of the purposes of the transfer of the property is to avoid the payment of a future amount payable under this Act by the transferor or transferee; and 
  (c) the amount determined for A in paragraph (1)(d) is deemed to be the greater of 
  (i) the amount otherwise determined for A in paragraph (1)(d) without reference to this paragraph, and 
  (ii) the amount determined by the formula is the fair market value of the property at the time of the transfer, and is the fair market value, at its lowest at any time during the period beginning immediately prior to the transaction or series of transactions and ending immediately after the transaction or series of transactions, of the consideration given by the transferee for the transfer of the property (other than any part of the consideration that is in a form that is cancelled or extinguished during that period and for which no property that is neither cancelled nor extinguished during that period is substituted) provided that the consideration is held by the transferor at that time. 
  
  ## Evidence and Procedure 
  
  ### Venue
  
  298 A prosecution for an offence under this Act may be instituted, heard and determined in the place where the offence was committed or the subject-matter of the prosecution arose, where the accused was apprehended or where the accused happens to be, or is carrying on business. 
  
  ### Service
  
  299 (1) If the Minister is authorized or required to serve, issue or send a notice or other document on or to a person that 
  (a) is a partnership, the notice or document may be addressed to the name of the partnership; 
  (b) is a society, club, association, organization or other body, the notice or document may be addressed to the name of the body; and 
  (c) carries on business under a name or style other than the name of the person, the notice or document may be addressed to the name or style under which the person carries on business. 
  
  ### Personal service
  
  (2) If the Minister is authorized or required to serve, issue or send a notice or other document on or to a person that carries on a business, the notice or document is deemed to have been validly served, issued or sent if it is 
  (a) in the case of a person that is a partnership, served personally on one of the partners or left with an adult person employed at the place of business of the partnership; or 
  (b) in any other case, left with an adult person employed at the place of business of the person. 
  
  ### Sending by mail
  
  300 (1) For the purposes of this Act and subject to subsection (2), anything sent by registered, certified or first class mail is deemed to have been received by the person to whom it was sent on the day it was mailed. 
  
  ### Paying by mail
  
  (2) A person who is required under this Act to pay an amount is deemed not to have paid it until it is received by the Receiver General. 
  
  ### Proof of service by mail
  
  301 (1) If, under this Act, provision is made for sending by mail a request for information, a notice or a demand, an affidavit of an officer of the Agency, sworn before a commissioner or other person authorized to take affidavits, is evidence of the sending and of the request, notice or demand if the affidavit sets out that 
  (a) the officer has knowledge of the facts in the particular case; 
  (b) such a request, notice or demand was sent by registered or certified mail on a specified day to a specified person and address; and 
  (c) the officer identifies as exhibits attached to the affidavit the post office certificate of registration of the letter or a true copy of the relevant portion of the certificate and a true copy of the request, notice or demand. 
  
  ### Proof of personal service
  
  (2) If, under this Act, provision is made for personal service of a request for information, a notice or a demand, an affidavit of an officer of the Agency, sworn before a commissioner or other person authorized to take affidavits, is evidence of the personal service and of the request, notice or demand if the affidavit sets out that 
  (a) the officer has knowledge of the facts in the particular case; 
  (b) such a request, notice or demand was served personally on a named day on the person to whom it was directed; and 
  (c) the officer identifies as an exhibit attached to the affidavit a true copy of the request, notice or demand. 
  
  ### Proof of electronic delivery
  
  (2.1) If, under this Act, provision is made for sending a notice to a person electronically, an affidavit of an officer of the Agency, sworn before a commissioner or other person authorized to take affidavits, is evidence of the sending and of the notice if the affidavit sets out that 
  (a) the officer has knowledge of the facts in the particular case; 
  (b) the notice was sent electronically to the person on a named day; and 
  (c) the officer identifies as exhibits attached to the affidavit copies of 
  (i) an electronic message confirming that the notice has been sent to the person, and 
  (ii) the notice. 
  
  ### Proof of failure to comply
  
  (3) If, under this Act, a person is required to make a return, an application, a statement, an answer or a certificate, an affidavit of an officer of the Agency, sworn before a commissioner or other person authorized to take affidavits, setting out that the officer has charge of the appropriate records and that after a careful examination and search of the records the officer has been unable to find in a given case that the return, application, statement, answer or certificate has been made by that person, is evidence that in that case the person did not make the return, application, statement, answer or certificate. 
  
  ### Proof of time of compliance
  
  (4) If, under this Act, a person is required to make a return, an application, a statement, an answer or a certificate, an affidavit of an officer of the Agency, sworn before a commissioner or other person authorized to take affidavits, setting out that the officer has charge of the appropriate records and that after careful examination of the records the officer has found that the return, application, statement, answer or certificate was filed or made on a particular day, is evidence that it was filed or made on that day. 
  
  ### Proof of documents
  
  (5) An affidavit of an officer of the Agency, sworn before a commissioner or other person authorized to take affidavits, setting out that the officer has charge of the appropriate records and that a document attached to the affidavit is a document or true copy of a document made by or on behalf of the Minister or a person exercising the powers of the Minister or by or on behalf of a person, is evidence of the nature and contents of the document. 
  
  ### Proof of no appeal
  
  (6) An affidavit of an officer of the Agency, sworn before a commissioner or other person authorized to take affidavits, setting out that the officer has charge of the appropriate records and has knowledge of the practice of the Agency and that an examination of the records shows that a notice of assessment was mailed or otherwise sent to a person on a particular day under this Act and that, after careful examination and search of the records, the officer has been unable to find that a notice of objection or of appeal from the assessment was received within the time allowed for an objection or appeal to be filed under this Act, is evidence of the statements contained in the affidavit. 
  
  ### Presumption
  
  (7) If evidence is offered under this section by an affidavit from which it appears that the person making the affidavit is an officer of the Agency, it is not necessary to prove the signature of the person or that the person is such an officer, nor is it necessary to prove the signature or official character of the person before whom the affidavit was sworn. 
  
  ### Proof of documents
  
  (8) Every document purporting to have been executed under or in the course of the administration or enforcement of this Act over the name in writing of the Minister, the Commissioner of Customs and Revenue, the Commissioner or an officer authorized to exercise the powers or perform the duties of the Minister under this Act is deemed to be a document signed, made and issued by the Minister, the Commissioner of Customs and Revenue, the Commissioner or the officer, unless it has been called into question by the Minister or a person acting for the Minister or for Her Majesty. 
  
  ### Proof of documents: Canada Border Services Agency
  
  (8.1) Every document purporting to have been executed under or in the course of the administration or enforcement of this Act over the name in writing of the Minister of Public Safety and Emergency Preparedness, the President of the Canada Border Services Agency or an officer authorized to exercise the powers or perform the duties of that Minister under this Act is deemed to be a document signed, made and issued by that Minister, the President or the officer, unless it has been called into question by that Minister or a person acting for that Minister or for Her Majesty. 
  
  ### Mailing or sending date
  
  (9) If a notice or demand that the Minister is required or authorized under this Act to send to a person is mailed, or sent electronically, to the person, the day of mailing or sending, as the case may be, is deemed to be the date of the notice or demand. 
  
  ### Date electronic notice sent
  
  (9.1) For the purposes of this Act, if a notice or other communication in respect of a person, other than a notice or other communication that refers to the business number of a person, is made available in electronic format such that it can be read or perceived by a person or a computer system or other similar device, the notice or other communication is presumed to be sent to the person and received by the person on the date that an electronic message is sent, to the electronic address most recently provided before that date by the person to the Minister for the purposes of this subsection, informing the person that a notice or other communication requiring the person’s immediate attention is available in the person’s secure electronic account. A notice or other communication is considered to be made available if it is posted by the Minister in the person’s secure electronic account and the person has authorized that notices or other communications may be made available in this manner and has not before that date revoked that authorization in a manner specified by the Minister. 
  
  ### Date electronic notice sent — business account
  
  (9.2) For the purposes of this Act, a notice or other communication in respect of a person that is made available in electronic format such that it can be read or perceived by a person or computer system or other similar device and that refers to the business number of a person is presumed to be sent to the person and received by the person on the date that it is posted by the Minister in the secure electronic account in respect of the business number of the person, unless the person has requested, at least 30 days before that date, in a manner specified by the Minister, that such notices or other communications be sent by mail. 
  
  ### Date assessment made
  
  (10) If a notice of assessment has been sent by the Minister as required under this Act, the assessment is deemed to have been made on the day of sending of the notice of assessment. 
  
  ### Proof of return
  
  (11) In a prosecution for an offence under this Act, the production of a return, an application, a certificate, a statement or an answer required under this Act, purporting to have been filed or delivered by or on behalf of the person charged with the offence or to have been made or signed by or on behalf of that person, is evidence that the return, application, certificate, statement or answer was filed or delivered by or on behalf of that person or was made or signed by or on behalf of that person. 
  
  ### Proof of return — printouts
  
  (12) For the purposes of this Act, a document presented by the Minister purporting to be a printout of the information in respect of a person received under section 166 by the Minister shall be received as evidence and, in the absence of evidence to the contrary, is proof of the return filed by the person under that section. 
  
  ### Proof of return — production of returns, etc.
  
  (13) In a proceeding under this Act, the production of a return, an application, a certificate, a statement or an answer required under this Act, purporting to have been filed, delivered, made or signed by or on behalf of a person, is evidence that the return, application, certificate, statement or answer was filed, delivered, made or signed by or on behalf of that person. 
  
  ### Evidence
  
  (14) In a prosecution for an offence under this Act, an affidavit of an officer of the Agency, sworn before a commissioner or other person authorized to take affidavits, setting out that the officer has charge of the appropriate records and that an examination of the records shows that an amount required under this Act to be paid to the Receiver General on account of duty, interest or other amount has not been received by the Receiver General, is evidence of the statements contained in the affidavit. 
  
  ### Probative force of copy
  
  (15) Any copy of an original record made under section 262 that is purported to be certified by the Minister or an officer to be a copy of the original record is evidence of the nature and content of the original record and has the same probative force as the original record would have if it were proven in the ordinary way. 
  
  ### Certificate of analysis
  
  302 An analyst who has analysed or examined a thing or a sample of it under this Act may issue a certificate or report setting out the results of the analysis or examination. 
  
  ### Certificate or report of analyst as proof
  
  303 (1) Subject to subsections (2) and (3), a certificate or report purporting to be signed by an analyst stating that the analyst has analysed or examined anything to which this Act applies and stating the results of the analysis or examination is admissible in evidence in a prosecution for an offence under this Act without proof of the signature or official character of the person appearing to have signed the certificate or report. 
  
  ### Notice
  
  (2) The certificate or report may not be received in evidence unless the party intending to produce it has, before the trial, given the party against whom it is intended to be produced reasonable notice of that intention together with a copy of the certificate or report. 
  
  ### Attendance of analyst
  
  (3) The party against whom the certificate or report is produced may, with leave of the court, require the attendance of the analyst for the purpose of cross-examination. 
  
  # PART 7 
  
  ## Regulations 
  
  ### Regulations — Governor in Council
  
  304 (1) The Governor in Council may make regulations 
  (a) respecting any requirements and conditions that must be met by a person to be issued or to hold a licence or a registration; 
  (b) respecting the activities that a licensee or registrant may carry on and the premises where those activities may be carried on; 
  (c) respecting the types of security that are acceptable for the purposes of paragraph 23(3)(b) or subsection 25.1(3), and the manner by which the amount of the security is to be determined but that amount must not be less than $5,000; 
  (c.1) respecting the types of security that are acceptable for the purposes of subsection 158.03(3) or 158.36(3), and the manner by which the amount of the security is to be determined; 
  (d) respecting the duration, amendment, suspension, renewal, cancellation or reinstatement of licences and registrations; 
  (e) prescribing facilities, equipment and personnel that must be provided by a licensee or registrant at the premises specified by the Minister under subsection 23(3); 
  (f) respecting the information to be provided on tobacco products, packaged alcohol, cannabis products and vaping products and on containers of tobacco products, packaged alcohol, cannabis products and vaping products; 
  (f.1) respecting the issuance of excise stamps; 
  (g) designating certain classes of goods as ships’ stores for use on board a conveyance of a prescribed class, including a class based on 
  (i) the physical attributes, functions or legal descriptions of conveyances, 
  (ii) areas within which conveyances voyage, 
  (iii) requirements, or limitations, related to voyages of conveyances, or 
  (iv) any combination of the bases mentioned in subparagraphs (i) to (iii); 
  (h) limiting the quantity of goods referred to in paragraph (g) that may be used as described in that paragraph during any prescribed period or periods; 
  (i) respecting the entry and removal of tobacco products, alcohol or vaping products from an excise warehouse or a special excise warehouse; 
  (j) prescribing the fees to be paid for the examination or re-examination of instruments under section 148 and for any other service or anything provided by the Minister in relation to that section; 
  (k) prescribing the fees or the manner of determining any fees to be paid for a licence or registration; 
  (l) requiring any class of persons to make returns respecting any class of information required in connection with the administration or enforcement of this Act; 
  (m) requiring any person to provide the Minister with the person’s Social Insurance Number; 
  (n) respecting the sale under section 266 of alcohol, tobacco products, raw leaf tobacco, specially denatured alcohol, restricted formulations, cannabis products or vaping products seized under section 260; 
  (n.1) respecting the packaging or stamping, and entry into the duty-paid market, by a cannabis licensee of cannabis products that are owned or produced by another cannabis licensee, subject to an authorization of the Minister and any conditions that the Minister considers appropriate, and prescribing joint and several, or solidary, liability or penalties in respect of those cannabis products; 
  (o) prescribing any matter or thing that by this Act is to be or may be prescribed; and 
  (p) generally to carry out the purposes and provisions of this Act. 
  
  ### Effect
  
  (2) A regulation made under this Act has effect from the day it is published in the Canada Gazette or at any later time that may be specified in the regulation, unless it provides otherwise and  
  (a) has a relieving effect only; 
  (b) corrects an ambiguous or deficient enactment that was not in accordance with the objects of this Act; 
  (c) is consequential on an amendment to this Act that is applicable before the day on which the regulation is published in the Canada Gazette ; or  
  (d) gives effect to a budgetary or other public announcement, in which case the regulation shall not, unless paragraph (a), (b) or (c) applies, have effect before the day on which the announcement was made. 
  
  ### Incorporation by reference
  
  (3) For greater certainty, a regulation made under this Act may incorporate by reference any material, regardless of its source and either as it exists on a particular date or as amended from time to time. 
  
  ### Definition of coordinated cannabis duty system 
  
  304.1 (1) In this section, 
  *coordinated cannabis duty system* means the system providing for the payment, collection and remittance of duty imposed under any of sections 158.2 and 158.22 and subsections 158.25(2) and 158.26(2) and any provisions relating to duty imposed under those provisions or to refunds in respect of any such duty.  
  
  ### Coordinated cannabis duty system regulations — transition
  
  (2) The Governor in Council may make regulations, in relation to the joining of a province to the coordinated cannabis duty system, 
  (a) prescribing transitional measures, including 
  (i) a tax on the inventory of cannabis products held by a cannabis licensee or any other person, and 
  (ii) a duty or tax on cannabis products that are delivered prior to the province joining that system; and 
  (b) generally to effect the implementation of that system in relation to the province. 
  
  ### Coordinated cannabis duty system regulations — rate variation
  
  (3) The Governor in Council may make regulations 
  (a) prescribing rules in respect of whether, how and when a change in the rate of duty for a specified province applies (in this section any such change in the rate of duty is referred to as a “rate variation”), including rules deeming, in specified circumstances and for specified purposes, the status of anything to be different than what it would otherwise be, including when duty is imposed or payable and when duty is required to be reported and accounted for; 
  (b) if a manner of determining an amount of duty is to be prescribed in relation to the coordinated cannabis duty system, 
  (i) specifying the circumstances or conditions under which a change in the manner applies, and 
  (ii) prescribing transitional measures in respect of a change in the manner, including 
  (A) a tax on the inventory of cannabis products held by a cannabis licensee or any other person, and 
  (B) a duty or tax on cannabis products that are delivered prior to the change; and 
  (c) prescribing amounts and rates to be used to determine any refund that relates to, or is affected by, the coordinated cannabis duty system, excluding amounts that would otherwise be included in determining any such refund, and specifying circumstances under which any such refund shall not be paid or made. 
  
  ### Coordinated cannabis duty system regulations — general
  
  (4) For the purpose of facilitating the implementation, application, administration and enforcement of the coordinated cannabis duty system or a rate variation or the joining of a province to the coordinated cannabis duty system, the Governor in Council may make regulations 
  (a) prescribing rules in respect of whether, how and when that system applies and rules in respect of other aspects relating to the application of that system in relation to a specified province, including rules deeming, in specified circumstances and for specified purposes, the status of anything to be different than what it would otherwise be, including when duty is imposed or payable and when duty is required to be reported and accounted for; 
  (b) prescribing rules related to the movement of cannabis products between provinces, including a duty, tax or refund in respect of such movement; 
  (c) providing for refunds relating to the application of that system in relation to a specified province; 
  (d) adapting any provision of this Act or of the regulations made under this Act to the coordinated cannabis duty system or modifying any provision of this Act or those regulations to adapt it to the coordinated cannabis duty system; 
  (e) defining, for the purposes of this Act or the regulations made under this Act, or any provision of this Act or those regulations, in its application to the coordinated cannabis duty system, words or expressions used in this Act or those regulations including words or expressions defined in a provision of this Act or those regulations; 
  (f) providing that a provision of this Act or of the regulations made under this Act, or a part of such a provision, does not apply to the coordinated cannabis duty system; 
  (g) prescribing compliance measures, including penalties and anti-avoidance rules; and 
  (h) generally in respect of the application of that system in relation to a province. 
  
  ### Conflict
  
  (5) If a regulation made under this Act in respect of the coordinated cannabis duty system states that it applies despite any provision of this Act, in the event of a conflict between the regulation and this Act, the regulation prevails to the extent of the conflict. 
  
  ### Definition of cannabis duty system 
  
  304.2 (1) In this section, 
  *cannabis duty system* means the system providing for the payment, collection and remittance of duty imposed under Part 4.1 and any provisions relating to duty imposed under that Part or to refunds in respect of any such duty.  
  
  ### Transitional cannabis duty system regulations
  
  (2) For the purpose of facilitating the implementation, application, administration or enforcement of the cannabis duty system, the Governor in Council may make regulations adapting any provision of this Act or of the regulations made under this Act to take into account the making of regulations under the Cannabis Act or amendments to those regulations.  
  
  ### Retroactive effect
  
  (3) Despite subsection 304(2), regulations made under subsection (2) may, if they so provide, be retroactive and have effect with respect to any period before they are made. 
  
  ### Definition of coordinated vaping duty system 
  
  304.3 (1) In this section, 
  *coordinated vaping duty system* means the system providing for the payment, collection and remittance of duty imposed under any of section 158.58 and subsections 158.6(2) and 158.61(2) and any provisions relating to duty imposed under those provisions or to refunds in respect of any such duty.  
  
  ### Coordinated vaping duty system regulations — transition
  
  (2) The Governor in Council may make regulations, in relation to the joining of a province to the coordinated vaping duty system, 
  (a) prescribing transitional measures, including 
  (i) a tax on the inventory of vaping products held by a vaping product licensee or any other person, and 
  (ii) a duty or tax on vaping products that are delivered prior to the province joining that system; and 
  (b) generally to effect the implementation of that system in relation to the province. 
  
  ### Coordinated vaping duty system regulations — rate variation
  
  (3) The Governor in Council may make regulations 
  (a) prescribing rules in respect of whether, how and when a change in the rate of duty for a specified vaping province applies (in this section any such change in the rate of duty is referred to as a “rate variation”), including rules deeming, in specified circumstances and for specified purposes, the status of anything to be different than what it would otherwise be, including when duty is imposed or payable and when duty is required to be reported and accounted for; 
  (b) if a manner of determining an amount of duty is to be prescribed in relation to the coordinated vaping duty system, 
  (i) specifying the circumstances or conditions under which a change in the manner applies, and 
  (ii) prescribing transitional measures in respect of a change in the manner, including 
  (A) a tax on the inventory of vaping products held by a vaping product licensee or any other person, and 
  (B) a duty or tax on vaping products that are delivered prior to the change; and 
  (c) prescribing amounts and rates to be used to determine any refund that relates to, or is affected by, the coordinated vaping duty system, excluding amounts that would otherwise be included in determining any such refund, and specifying circumstances under which any such refund shall not be paid or made. 
  
  ### Coordinated vaping duty system regulations — general
  
  (4) For the purpose of facilitating the implementation, application, administration and enforcement of the coordinated vaping duty system or a rate variation or the joining of a province to the coordinated vaping duty system, the Governor in Council may make regulations 
  (a) prescribing rules in respect of whether, how and when that system applies and rules in respect of other aspects relating to the application of that system in relation to a specified vaping province, including rules deeming, in specified circumstances and for specified purposes, the status of anything to be different than what it would otherwise be, including when duty is imposed or payable and when duty is required to be reported and accounted for; 
  (b) prescribing rules related to the movement of vaping products between provinces, including a duty, tax or refund in respect of such movement; 
  (c) providing for refunds relating to the application of that system in relation to a specified vaping province; 
  (d) adapting any provision of this Act or of the regulations made under this Act to the coordinated vaping duty system or modifying any provision of this Act or those regulations to adapt it to the coordinated vaping duty system; 
  (e) defining, for the purposes of this Act or the regulations made under this Act, or any provision of this Act or those regulations, in its application to the coordinated vaping duty system, words or expressions used in this Act or those regulations including words or expressions defined in a provision of this Act or those regulations; 
  (f) providing that a provision of this Act or of the regulations made under this Act, or a part of such a provision, does not apply to the coordinated vaping duty system; 
  (g) prescribing compliance measures, including penalties and anti-avoidance rules; and 
  (h) generally in respect of the application of that system in relation to a province. 
  
  ### Conflict
  
  (5) If a regulation made under this Act in respect of the coordinated vaping duty system states that it applies despite any provision of this Act, in the event of a conflict between the regulation and this Act, the regulation prevails to the extent of the conflict. 
  
  # PART 8 
  
  ## Transitional Provisions and Consequential, Related and Coordinating Amendments 
  
  ## Transitional Provisions 
  
  ### Meaning of implementation date 
  
  305 In sections 306 to 320, 
  *implementation date* means the day on which Parts 3 and 4 come into force.  
  
  ### Transitional treatment of duties on packaged spirits
  
  306 The following rules apply to packaged spirits on which a duty, at a rate determined by the application of section 1 of Part I of the schedule to the Excise Act, was imposed under that Act or levied under the Customs Tariff but that had not become payable before the implementation date:  
  (a) as of that day, the duty is relieved; 
  (b) as of that day, the Excise Act ceases to apply in respect of the spirits;  
  (c) in the case of imported packaged spirits that have not been released under the Customs Act, this Act, the Customs Act and the Customs Tariff apply in respect of them as though they were imported on that day; and  
  (d) in the case of any other packaged spirits, this Act applies in respect of them as though 
  (i) they were produced and packaged in Canada on that day by the person having possession of them immediately before that day and the person were permitted under this Act to produce and package them, and 
  (ii) if the spirits are in the possession of a duty free shop or an accredited representative or delivered as ships’ stores in accordance with the Ships’ Stores Regulations, they had been entered into an excise warehouse and then removed from the warehouse in accordance with paragraph 147(1)(a) on that day.  
  
  ### Transitional treatment of duties on bulk spirits
  
  307 (1) The following rules apply to bulk spirits on which a duty, at a rate determined by the application of section 1 of Part I of the schedule to the Excise Act, was imposed under that Act or levied under the Customs Tariff but that had not become payable before the implementation date:  
  (a) as of that day, the duty is relieved; 
  (b) as of that day, the Excise Act ceases to apply in respect of the spirits;  
  (c) in the case of imported bulk spirits that have not been released under the Customs Act, this Act, the Customs Act and the Customs Tariff apply in respect of them as though they were imported on that day; and  
  (d) in the case of any other bulk spirits, this Act applies in respect of them as though they were produced in Canada on that day by the person having possession of them immediately before that day. 
  
  ### Transitional treatment of bulk spirits imported for bottling or blending
  
  (2) The following rules apply to bulk spirits on which a duty, at a rate determined by the application of section 1 of Part I of the schedule to the Excise Act, was levied under the Customs Tariff and remitted under the Distilled Spirits for Bottling in Bond Remission Order or the Imported Spirits for Blending Remission Order before the implementation date:  
  (a) as of that day, the duty imposed on the spirits under subsection 135(1) of the Excise Act when they were entered into a distillery is relieved;  
  (b) as of that day, the Excise Act ceases to apply in respect of the spirits; and  
  (c) this Act applies in respect of them as though they were produced in Canada on that day by the person having possession of them immediately before that day. 
  
  ### Transitional treatment of excise taxes on wine
  
  308 The following rules apply to wine on which tax was imposed under section 27 of the Excise Tax Act but had not become payable before the implementation date:  
  (a) as of that day, the tax is relieved; 
  (b) as of that day, Parts III, VI and VII of the Excise Tax Act cease to apply in respect of the wine;  
  (c) in the case of imported wine that has not been released under the Customs Act, this Act, the Customs Act and the Customs Tariff apply in respect of the wine as though it were imported on that day;  
  (d) in the case of bulk wine to which paragraph (c) does not apply, this Act applies in respect of it as though it were produced in Canada on that day 
  (i) if the wine is located in a ferment-on-premises facility or at the residence of an individual, by the individual who owned the wine immediately before that day, or 
  (ii) in any other case, by the person having possession of it immediately before that day; and 
  (e) in the case of wine to which neither paragraph (c) nor (d) apply, this Act applies in respect of it as though 
  (i) it were produced and packaged in Canada on that day by the person having possession of it immediately before that day and the person were permitted under this Act to produce and package it, and 
  (ii) in the case of wine in the possession of a duty free shop or an accredited representative or delivered as ships’ stores in accordance with the Ships’ Stores Regulations, it had been entered into an excise warehouse and then removed from the warehouse in accordance with paragraph 147(1)(a) on that day.  
  
  ### Transitional treatment of packaged wine in inventory of small manufacturers
  
  309 (1) If tax under Part IV of the Excise Tax Act is not payable in respect of packaged wine because it was produced by a person who is exempt from payment of excise tax under the Small Manufacturers or Producers Exemption Regulations, subsection 135(1) does not apply to the wine if it was packaged before the implementation date.  
  
  ### Determination of sales for transitional purposes
  
  (2) For the period beginning on the implementation date and ending on the day that is one year after that day, the words “products subject to duty under subsection (1), or would have been so subject to duty in the absence of this subsection,” in paragraph 135(2)(b) shall be read as “goods referred to in paragraph 2(1)(a) of the Small Manufacturers or Producers Exemption Regulations ”.  
  
  ### Application of Act to tax-paid packaged wine
  
  310 (1) If packaged wine on which tax imposed under section 27 of the Excise Tax Act became payable before the implementation date is entered into the excise warehouse of an excise warehouse licensee on or before the end of six months after that day, this Act applies in respect of the wine as though it were produced and packaged in Canada by the licensee and the licensee were permitted under this Act to produce and package it on the day it is entered into the warehouse.  
  
  ### Refund of excise tax paid on packaged wine
  
  (2) If the tax imposed under section 27 of the Excise Tax Act in respect of the wine entered into the warehouse has been paid, the licensee may apply to the Minister for a refund of the tax.  
  
  ### Limitation
  
  (3) No refund shall be paid under this section unless the application for the refund is filed with the Minister in the prescribed form and manner within one year after the implementation date. 
  
  ### Application of Act to tax-paid bulk wine
  
  311 (1) If bulk wine on which tax imposed under section 27 of the Excise Tax Act became payable before the implementation date is entered into the specified premises of a licensed user on that day, this Act applies in respect of the wine as though it were produced in Canada on that day by the user and the user were permitted to produce the wine.  
  
  ### Refund of excise tax paid on bulk wine
  
  (2) If the tax imposed under section 27 of the Excise Tax Act in respect of the wine entered into the specified premises of a licensed user has been paid, the user may apply to the Minister for a refund of the tax.  
  
  ### Limitation
  
  (3) No refund shall be paid under this section unless the application for the refund is filed with the Minister in the prescribed form and manner within one year after the implementation date. 
  
  ### Definitions
  
  312 (1) The definitions in this subsection apply in this section.  
  *bonded manufacturer* means a person who holds, before the implementation date, a licence under subsection 182(1) of the Excise Act. (fabricant entrepositaire)   
  *licensed pharmacist* means a person who holds, before the implementation date, a licence under subsection 136(2) of the Excise Act. (pharmacien titulaire de licence)  
  
  ### Application of Act to spirits in possession of bonded manufacturer or licensed pharmacist
  
  (2) If, on the implementation date, a bonded manufacturer or a licensed pharmacist possesses, in accordance with their licence, spirits that were produced before that day, the following rules apply: 
  (a) as of that day, the Excise Act ceases to apply in respect of the spirits; and  
  (b) this Act applies in respect of them as though 
  (i) in the case of bulk spirits, the spirits were produced in Canada on that day by the manufacturer or the pharmacist and, if they are a licensed user, they were permitted to produce the spirits, or 
  (ii) in the case of packaged spirits, the spirits were produced and packaged in Canada on that day by the manufacturer or the pharmacist and they were permitted to produce and package the spirits. 
  
  ### Refund of duty paid by bonded manufacturer or licensed pharmacist
  
  (3) If, on the implementation date, a bonded manufacturer or licensed pharmacist possesses spirits on which duty at a rate determined by the application of subsection 1(2) or (3) of Part I of the schedule to the Excise Act was paid, the manufacturer or pharmacist may apply to the Minister for a refund of the duty.  
  
  ### Limitation
  
  (4) No refund shall be paid under this section unless the application for the refund is filed with the Minister in the prescribed form and manner within one year after the implementation date. 
  
  ### Application of Act to spirits to be used for scientific purposes
  
  313 If a person described by any of paragraphs 135(2)(a) to (d) of the Excise Act possesses, on the implementation date, spirits in respect of which a drawback under subsection 135(2) of that Act is granted at any time, the following rules apply:  
  (a) as of that day, the Excise Act ceases to apply in respect of the spirits;  
  (b) this Act applies in respect of them as though 
  (i) in the case of bulk spirits, the spirits were produced in Canada on that day by the person and, if the person is a registered user, the person were permitted to produce the spirits, or 
  (ii) in the case of packaged spirits, 
  (A) the spirits were produced and packaged in Canada on that day by the person, 
  (B) the person were permitted to produce and package the spirits, and 
  (C) if the person is a registered user, the spirits were, on that day, entered into an excise warehouse and then removed from the warehouse in accordance with subparagraph 147(1)(a)(iii); and 
  (c) if the spirits are contained in a special container and the person is a registered user 
  (i) the person shall, despite subsection 78(1), mark the container on that day, and 
  (ii) the container is deemed to have been entered into an excise warehouse and then removed from the warehouse in accordance with paragraph 147(2)(a) on that day. 
  
  ### Application of Act to alcohol in bottle-your-own premises
  
  314 The following rules apply to alcohol contained in a special container located on a person’s bottle-your-own premises on the implementation date: 
  (a) the person shall, despite subsections 78(1) and 83(1), mark the container on that day; 
  (b) in the case of spirits, this Act applies in respect of them as though the duty, at a rate determined by the application of section 1 of Part I of the schedule to the Excise Act, that had become payable before that day in respect of them were imposed and, if the duty is paid, paid under this Act; and  
  (c) in the case of wine, 
  (i) for the purposes of subsection 135(1), section 82 does not apply to the marking of the container under paragraph (a), and 
  (ii) this Act applies in respect of the wine as though the tax under section 27 of the Excise Tax Act that had become payable before that day in respect of it were a duty that was imposed and, if the tax is paid, paid under this Act.  
  
  ### Removal of alcohol from customs bonded warehouse
  
  315 (1) If packaged alcohol is located in a customs bonded warehouse on the implementation date, 
  (a) the alcohol shall be removed from the warehouse; and 
  (b) any duty on the alcohol that is imposed under this Act or levied under section 21.2 of the Customs Tariff as a result of the operation of section 306 or 308 is payable on that day unless the alcohol is without delay entered into an excise warehouse.  
  
  ### Exception
  
  (2) Subsection (1) does not apply if the alcohol in the customs bonded warehouse is to be 
  (a) exported in accordance with this Act; or 
  (b) delivered 
  (i) to an accredited representative for their personal or official use, 
  (ii) to a duty free shop for sale in accordance with the Customs Act,  
  (iii) as ships’ stores in accordance with the Ships’ Stores Regulations, or  
  (iv) to an air carrier that is licensed under section 69 or 73 of the Canada Transportation Act to operate an international air service.  
  
  ### Transitional application of Distillery Regulations 
  
  315.1 (1) If, during the period beginning on July 1, 2003 and ending on July 1, 2009, sections 7, 8, 9, 12 and 15 of the Distillery Regulations, C.R.C., c. 569, would have applied in any circumstance had those sections, as they read on June 30, 2003, been in force and section 1.1 of the Excise Act not been enacted, those sections apply, with any modifications that the circumstances require.  
  
  ### Transitional application of Distillery Departmental Regulations 
  
  (2) If, during the period beginning on July 1, 2003 and ending on July 1, 2009, sections 13 and 14 of the Distillery Departmental Regulations, C.R.C., c. 570, would have applied in any circumstance had those sections, as they read on June 30, 2003, been in force and section 1.1 of the Excise Act not been enacted, those sections apply, with any modifications that the circumstances require.  
  
  ### Transitional treatment of Canadian manufactured tobacco products
  
  316 (1) The following rules apply to a tobacco product manufactured in Canada before the implementation date: 
  (a) if tax on the product imposed under section 23 of the Excise Tax Act had not become payable before that day,  
  (i) the tax is relieved, 
  (ii) if duty on the product imposed under the Excise Act had not become payable before that day, the duty is relieved, and  
  (iii) this Act applies in respect of the product as though it were manufactured in Canada on that day by the manufacturer to the same extent that the product was manufactured immediately before that day; 
  (b) if the product was stamped or marked under the Excise Act, the product is deemed to be stamped or marked, as the case may be, under this Act; and  
  (c) the Excise Act and Parts III, VI and VII of the Excise Tax Act cease to apply in respect of the product.  
  
  ### Refund of duty paid
  
  (2) If duty imposed under the Excise Act on a tobacco product manufactured in Canada before the implementation date had become payable before that day but tax under section 23 of the Excise Tax Act had not become payable before that day, the manufacturer of the product may apply to the Minister for a refund of the duty.  
  
  ### Limitation
  
  (3) No refund shall be paid under this section unless the application for the refund is filed with the Minister in the prescribed form and manner within one year after the implementation date. 
  
  ### Refund for re-worked or destroyed tobacco product
  
  316.1 If duty imposed under the Excise Act and tax imposed under section 23 of the Excise Tax Act on a tobacco product manufactured in Canada had become payable before the implementation date and a tobacco licensee under this Act who was, before that day, licensed under those Acts to manufacture the product re-works or destroys, on or after that day, the product in a manner authorized by the Minister, section 181 applies as though that duty and tax were duty paid under this Act.  
  
  ### Transitional treatment of imported tobacco products
  
  317 The following rules apply to an imported tobacco product: 
  (a) if duty levied under section 21 of the Customs Tariff and tax imposed under section 23 of the Excise Tax Act on the product had not become payable before the implementation date,  
  (i) the duty and tax are relieved, and 
  (ii) this Act and the Customs Act apply in respect of the product as though it were imported into Canada on that day by the importer;  
  (b) if the product was stamped or marked under the Excise Act, the product is deemed to be stamped or marked, as the case may be, under this Act; and  
  (c) the Excise Act and Parts III, VI and VII of the Excise Tax Act cease to apply in respect of the product.  
  
  ### Imported tobacco delivered to duty free shop before implementation date
  
  317.1 If, on the implementation date, imported manufactured tobacco on which tax under section 23.12 of the Excise Tax Act was paid is possessed by a duty free shop licensee and no application for a refund of the tax has been made under that Act, this Act applies in respect of the tobacco as though the tax were special duty under section 53.  
  
  ### Transitional treatment of imported raw leaf tobacco
  
  318 If, on the implementation date, a person possesses raw leaf tobacco that was imported before that day, this Act applies as though the person imported the tobacco on that day. 
  
  ### Removal of cigars from customs bonded warehouse
  
  319 If cigars manufactured in Canada are located in a customs bonded warehouse on the implementation date, they shall be removed from the warehouse and entered into an excise warehouse on that day. 
  
  ### Removal of tobacco products from bonding warehouse of manufacturer
  
  320 (1) If a tobacco product manufactured in Canada is, on the implementation date, located in a bonding warehouse of a person who is licensed under subsection 196(1) of the Excise Act, the product shall be removed from the warehouse and entered into an excise warehouse on that day.  
  
  ### Removal of tobacco products from bonding warehouse of authorized distributor
  
  (2) If a tobacco product manufactured in Canada is, on the implementation date, located in a bonding warehouse of a person who is licensed under paragraph 50(1)(c) of the Excise Act, the product shall, on that day, be removed from the warehouse and  
  (a) entered into the person’s special excise warehouse, if the person is a special excise warehouse licensee and the product is one that the person is permitted under this Act to distribute; or 
  (b) returned to the excise warehouse of the tobacco licensee who manufactured the product. 
  
  ## Consequential and Related Amendments 
  321 to 325 [Amendments] 
  326 and 327  [Repealed, 2002, c. 22, s. 409]  
  328 to 341 [Amendments] 
  342 to 344  [Repealed, 2002, c. 22, s. 409]  
  345 to 407 [Amendments] 
  
  ## Coordinating Amendments 
  408 to 411 [Amendments] 
  
  # PART 9 
  
  ## Amendments Related to Excise Tax on Tobacco Products 
  412 to 421 [Amendments] 
  
  # PART 10 
  
  ## Amendments Related to Ships’ Stores 
  422 to 432 [Amendments] 
  
  # PART 11 
  
  ## Coming into Force 
  
  ### Coming into force
  
   * 433  The provisions of this Act, other than sections 1 and 408 to 432, come into force on a day or days to be fixed by order of the Governor in Council. 
  * [Note: Sections 1 and 408 to 432 in force on assent June 13, 2002; sections 2, 4, 7 to 12, 14 to 24, 159, 211, 219 to 229, 304, 322 and 323 in force April 1, 2003, sections 3, 5, 6, 13, 25 to 158, 160 to 210, 212 to 218, 230 to 303, 305 to 321, 324, 325, 328 to 341 and 345 to 407 and Schedules 1 to 7 in force July 1, 2003, see SI/2003-47.]  
  
  