Payments in Lieu of Taxes Regulations — 3
3 (1) The following classes of real property and immovables owned by Her Majesty in right of Canada and leased to or occupied by a person or a body, whether incorporated or not, that is not a department, are to be included in the definition federal property in subsection 2(1) of the Act, for the purposes of the Act: (a) any real property or immovable that is leased to or occupied by an employee of Her Majesty or a member of the Canadian Forces and used by that person as a domestic establishment; (b) any real property or immovable that is under the management, charge and direction of a minister of the Crown and that is occupied by a corporation included in Schedule III or IV to the Act and in respect of which the corporation is exempt from real property tax; (c) any real property that is leased to or occupied by any person or body where that property forms part of the real property acquired by Her Majesty as a site for the proposed Pickering Airport; (d) any real property or immovable that, immediately prior to its acquisition by Her Majesty, was leased to or occupied by a person or body from whom, by reason of that person’s or body’s interest in or occupation of the property or immovable, a taxing authority may collect a real property tax or a frontage or area tax, so long as the term of the lease or occupation provided for at the time of the acquisition continues; (e) notwithstanding paragraph (d), any real property or immovable that, immediately prior to its acquisition by Her Majesty, was specially assessed for a frontage or area tax in respect of the cost of a local improvement, without reference to the term of the lease or occupation in existence at the time of the acquisition, if any; (e.1) any real property or immovable where the term of the lease or occupation, together with any right of renewal or extension, is for a period of one year or less; (f) any real property or immovable that (i) is held by Her Majesty for the purpose of providing occupancy to or permitting use by a person who is an Indian as defined in the Indian Act or an Inuit and from whom, by reason of his interest in or occupation of that real property, a taxing authority may collect a real property tax, (ii) when leased to or occupied by an Indian or Inuit referred to in subparagraph (i), is used primarily by that person for residential or farming purposes, and (iii) does not form part of an Indian Reserve; (g) any real property or immovable in Canada leased to or occupied by a member of a visiting force and used for residential or military purposes; (h) any real property or immovable in Canada leased to or occupied by a government other than the Government of Canada or a province or the head of a diplomatic mission of such a government and used as (i) the chancery or offices of a diplomatic mission, or (ii) the official residence of the head of a diplomatic mission, of that government; (i) any real property or immovable in Canada leased to or occupied by a government other than the Government of Canada or a province and used as (i) the chancery or offices of a consular post or trade commission, or (ii) the official residence of the head of a consular post or trade commission, of that government; (j) any real property or immovable in Canada leased to or occupied by an international organization and used as (i) the chancery or offices, or (ii) the official residence of the head of a mission, of that international organization; (k) real property situated within the City of Ottawa and leased to or occupied by the National Arts Centre Corporation; (l) any real property or immovable in Canada that is leased or occupied for residential purposes and that is the subject of an agreement under section 12 of the Act; and (m) any real property or immovable owned by Her Majesty and leased to a designated airport authority within the meaning of the Airport Transfer (Miscellaneous Matters) Act , (i) which is not sublet to or occupied by any person other than the desig