Excise Tax Act — E-15 50
Consumption or sales tax 50 (1) There shall be imposed, levied and collected a consumption or sales tax at the rate prescribed in subsection (1.1) on the sale price or on the volume sold of all goods (a) produced or manufactured in Canada (i) payable, in any case other than a case mentioned in subparagraph (ii) or (iii), by the producer or manufacturer at the time when the goods are delivered to the purchaser or at the time when the property in the goods passes, whichever is the earlier, (ii) payable, in a case where the contract for the sale of the goods, including a hire-purchase contract and any other contract under which property in the goods passes on satisfaction of a condition, provides that the sale price or other consideration shall be paid to the manufacturer or producer by instalments (whether the contract provides that the goods are to be delivered or property in the goods is to pass before or after payment of any or all instalments), by the producer or manufacturer at the time each of the instalments becomes payable in accordance with the terms of the contract, and (iii) payable, in a case where the goods are for use by the producer or manufacturer thereof, by the producer or manufacturer at the time the goods are appropriated for use; (b) imported into Canada, payable in accordance with the provisions of the Customs Act by the importer, owner or other person liable to pay duties under that Act; (c) sold by a licensed wholesaler, payable by him at the time of delivery to the purchaser, and the tax shall be computed (i) on the duty paid value of the goods, if they were imported by the licensed wholesaler, or (ii) on the price for which the goods were purchased by the licensed wholesaler, if they were not imported by him, which price shall include the amount of the excise duties on goods sold in bond; or (d) retained by a licensed wholesaler for his own use or for rental by him to others, payable by the licensed wholesaler at the time the goods are put to his own use or first rented to others, and the tax shall be computed (i) on the aggregate of the duty paid value of the goods and the amount of any taxes payable on the goods under section 27, if they were imported by the licensed wholesaler, or (ii) on the aggregate of the price paid by the licensed wholesaler for the goods, the amount of any excise duties payable on the goods if sold in bond and the amount of any taxes payable on the goods under section 27, if they were not imported by the licensed wholesaler. Rates of tax (1.1) Tax imposed by subsection (1) is imposed (a) in the case of wines, and goods on which a duty of excise is imposed under the Excise Act or would be if the goods were produced or manufactured in Canada, at the rate of nineteen per cent; (b) in the case of goods enumerated in Schedule IV (Construction Materials and Equipment for Buildings), at the rate of nine per cent; (c) in the case of regular gasoline, unleaded gasoline, premium leaded gasoline, premium unleaded gasoline and diesel fuel, at the rate set opposite the applicable item in Schedule II.1, adjusted according to subsection 50.1(1) and multiplied by the rate of tax specified in paragraph (d), expressed as a decimal number and multiplied by one hundred; (c.1) in the case of goods imported into Canada and classified under tariff item No. 9804.30.00 of Schedule I to the Customs Tariff , at the rate of tax specified in paragraph (d); and (d) in any other case, at the rate of thirteen and one-half per cent. Deemed sale and delivery of gasoline or diesel fuel (2) Notwithstanding subsection (1), where gasoline or diesel fuel is delivered to a retail outlet by or on behalf of the manufacturer or producer thereof, the gasoline or diesel fuel shall be deemed to have been sold and delivered to a purchaser thereof. Transitional (2.1) Notwithstanding subsection (1), where gasoline, diesel fuel or aviation fuel was, immediately prior to March 1, 1987, held in inventory by or on behalf of a per