Excise Tax Act — E-15 141.01
Meaning of endeavour 141.01 (1) In this section, endeavour of a person means (a) a business of the person; (b) an adventure or concern in the nature of trade of the person; or (c) the making of a supply by the person of real property of the person, including anything done by the person in the course of or in connection with the making of the supply. Meaning of consideration (1.1) In subsections (1.2), (2) and (3), consideration does not include nominal consideration. Grants and subsidies (1.2) Where a registrant receives an amount that is not consideration for a supply and is a grant, subsidy, forgivable loan or other form of assistance provided by a person who is (a) a government, a municipality or a band (within the meaning assigned by section 2 of the Indian Act ), (b) a corporation that is controlled by a person referred to in paragraph (a) and one of the main purposes of which is to provide such assistance, or (c) a trust, board, commission or other body that is established by a person referred to in paragraph (a) or (b) and one of the main purposes of which is to provide such assistance, and the assistance can reasonably be considered to be provided for the purpose of funding an activity of the registrant that involves the making of taxable supplies for no consideration, the amount is, for the purposes of this section, deemed to be consideration for those supplies. Acquisition for purpose of making supplies (2) Where a person acquires or imports property or a service or brings it into a participating province for consumption or use in the course of an endeavour of the person, the person shall, for the purposes of this Part, be deemed to have acquired or imported the property or service or brought it into the province, as the case may be, (a) for consumption or use in the course of commercial activities of the person, to the extent that the property or service is acquired, imported or brought into the province by the person for the purpose of making taxable supplies for consideration in the course of that endeavour; and (b) for consumption or use otherwise than in the course of commercial activities of the person, to the extent that the property or service is acquired, imported or brought into the province by the person (i) for the purpose of making supplies in the course of that endeavour that are not taxable supplies made for consideration, or (ii) for a purpose other than the making of supplies in the course of that endeavour. Use for purpose of making supplies (3) Where a person consumes or uses property or a service in the course of an endeavour of the person, that consumption or use shall, for the purposes of this Part, be deemed to be (a) in the course of commercial activities of the person, to the extent that the consumption or use is for the purpose of making taxable supplies for consideration in the course of that endeavour; and (b) otherwise than in the course of commercial activities of the person, to the extent that the consumption or use is (i) for the purpose of making supplies in the course of that endeavour that are not taxable supplies made for consideration, or (ii) for a purpose other than the making of supplies in the course of that endeavour. Free supplies (4) Where (a) a supplier makes a taxable supply (in this subsection referred to as a “free supply”) of property or a service for no consideration or nominal consideration in the course of a particular endeavour of the supplier, and (b) it can reasonably be regarded that among the purposes (in this subsection referred to as the “specified purposes”) for which the free supply is made is the purpose of facilitating, furthering or promoting (i) the acquisition, consumption or use of other property or services by any other person, or (ii) an endeavour of any person, the following rules apply: (c) to the extent that the supplier acquired or imported a particular property or service or brought it into a participating province for the purpose of making the