Excise Tax Act — E-15 232.01
Definitions 232.01 (1) In this section and in section 232.02, (a) employer resource and specified resource have the same meanings as in section 172.1; (b) claim period has the meaning assigned by subsection 259(1); and (c) eligible amount , non-qualifying pension entity , pension rebate amount , provincial pension rebate amount , qualifying employer and qualifying pension entity have the same meanings as in section 261.01. Total tax amount (2) In this section, total tax amount of a tax adjustment note issued under subsection (3) means the total of the federal component amount and the provincial component amount of the tax adjustment note. Tax adjustment note — subsections 172.1(5) and (5.1) (3) A person may, on a particular day, issue to a pension entity of a pension plan a note (in this section referred to as a “tax adjustment note”) in respect of all or part of a specified resource, specifying an amount determined in accordance with paragraph (4)(a) (in this section referred to as the “federal component amount” of the tax adjustment note) and an amount determined in accordance with paragraph (4)(b) (in this section referred to as the “provincial component amount” of the tax adjustment note), if (a) the person is deemed under paragraph 172.1(5)(b) or (5.1)(b) to have collected tax, on or before the particular day, in respect of a taxable supply of the specified resource or part deemed to have been made by the person under paragraph 172.1(5)(a) or (5.1)(a); (b) a supply of the specified resource or part is deemed to have been received by the pension entity under subparagraph 172.1(5)(d)(i) or (5.1)(d)(i) and tax in respect of that supply is deemed to have been paid under subparagraph 172.1(5)(d)(ii) or (5.1)(d)(ii) by the pension entity; and (c) an amount of tax becomes payable, or is paid without having become payable, on or before the particular day to the person (otherwise than by the operation of section 172.1) in respect of a taxable supply of the specified resource or part (i) by the pension entity, if the taxable supply referred to in paragraph (a) is deemed to have been made under paragraph 172.1(5)(a), or (ii) by a master pension entity of the pension plan, if the taxable supply referred to in paragraph (a) is deemed to have been made under paragraph 172.1(5.1)(a). Federal and provincial component amounts (4) For a tax adjustment note issued under subsection (3) on a particular day in respect of a specified resource or part, (a) the federal component amount shall not exceed the amount determined by the formula A – B where A is (i) if the taxable supply referred to in paragraph (3)(a) is deemed to have been made under paragraph 172.1(5)(a), the lesser of (A) the amount determined for A in paragraph 172.1(5)(c) in respect of the specified resource or part, and (B) the total of all amounts, each of which is an amount of tax under subsection 165(1) that became payable, or was paid without having become payable, to the person (otherwise than by the operation of section 172.1) by the pension entity in respect of a taxable supply of the specified resource or part on or before the particular day, and (ii) if the taxable supply referred to in paragraph (3)(a) is deemed to have been made under paragraph 172.1(5.1)(a), the lesser of (A) the amount determined for the pension plan under the description of A in paragraph 172.1(5.1)(c) in respect of the specified resource or part, and (B) the amount determined by the formula A 1 × A 2 where A 1 is the total of all amounts, each of which is an amount of tax under subsection 165(1) that became payable, or was paid without having become payable, to the person (otherwise than by the operation of section 172.1) by the master pension entity referred to in subparagraph (3)(c)(ii) in respect of a taxable supply of the specified resource or part on or before the particular day, and A 2 is the master pension factor in respect of the pension plan for the fiscal year of the master pension entit