Excise Tax Act — E-15 23
is Act, if the tax on the article or product has not yet been levied under this section; or (b) the sale of a new motor vehicle designed for highway use, or a chassis for such a vehicle, to a person described in paragraph (h) of the definition manufacturer or producer in subsection 2(1) who is a manufacturer licensed for the purposes of this Part. Tax not payable (8) The tax imposed under subsection (1) is not payable in the case of (a) goods that are purchased or imported by a licensed wholesaler who is deemed by subsection 55(2) to be a bona fide wholesaler or jobber for resale by him; (b) goods for which relief from the consumption or sales tax is provided by virtue of section 12 or 13 of Part III of Schedule III or section 1 of Part VII of Schedule III; (b.1) goods imported into Canada and classified under tariff item No. 9804.30.00 of Schedule I to the Customs Tariff ; (b.2) manufactured tobacco imported into Canada by an individual for their personal use if it is stamped in accordance with the Excise Act and duty has been imposed on it under section 200 of that Act; or (c) diesel fuel for use in the generation of electricity, unless the diesel fuel is used in or by a vehicle, including a conveyance attached to the vehicle, of any mode of transportation. (8.1) to (8.3) [Repealed, 2002, c. 22, s. 367] Diversion to taxable sale or use (9) Where gasoline or aviation gasoline has been purchased by a person to whom a bulk permit has been issued under regulations made by the Governor in Council pursuant to subsection 59(3) for a use by such person that renders the purchase exempt from a portion of the tax imposed by this section equal to one and one-half cents per litre and that person sells the gasoline or aviation gasoline or uses it for a purpose for which it could not have been purchased by him exempt from such portion of the tax at the time he purchased it, the portion of the tax that would have been payable at the time he purchased it equal to one and one-half cents per litre of gasoline or aviation gasoline shall be payable by that person at the time he so sells or uses the gasoline or aviation gasoline. Idem (9.1) Where fuel other than aviation gasoline has been purchased or imported for a use for which the tax imposed under this Part on diesel fuel or aviation fuel is not payable and the purchaser or importer sells or appropriates the fuel for a purpose for which the fuel could not have been purchased or imported without payment of the tax at the time he purchased or imported it, the tax imposed under this Part on diesel fuel or aviation fuel shall be payable by the person who sells or appropriates the fuel (a) where the fuel is sold, at the time of delivery to the purchaser; and (b) where the fuel is appropriated, at the time of that appropriation. (9.2) and (9.3) [Repealed, 2002, c. 22, s. 367] Appropriation by manufacturer or producer (10) If goods of any class mentioned in Schedule I that were manufactured or produced in Canada are appropriated by the manufacturer or producer for their own use, for the purposes of this Part, (a) the goods shall be deemed to have been delivered to a purchaser thereof at the time of the appropriation; and (b) the sale price of the goods shall be deemed to be equal to the sale price that would have been reasonable in the circumstances if the goods had been sold at that time to a person with whom the manufacturer or producer was dealing at arm’s length. Person deemed manufacturer or producer (11) Where a person has, in Canada, (a) put a clock or watch movement into a clock or watch case, (b) put a clock or watch movement into a clock or watch case and added a strap, bracelet, brooch or other accessory thereto, or (c) set or mounted one or more diamonds or other precious or semi-precious stones, real or imitation, in a ring, brooch or other article of jewellery, he shall, for the purposes of this Part, be deemed to have manufactured or produced the watch, clock, ring, brooch or other ar