Excise Tax Act — E-15 336
Transfer of real property before 1991 336 (1) Where (a) a taxable supply by way of sale of real property is made to a person, and (b) ownership or possession of the property is transferred under the agreement for that supply to the person before 1991, no tax is payable in respect of the supply. Transfer of single unit residential complex after 1990 (2) Where (a) a taxable supply by way of sale of a single unit residential complex in Canada is made to an individual under an agreement in writing entered into before October 14, 1989 between the supplier and the individual, (b) ownership and possession of the complex are not transferred to the individual under the agreement before 1991, and (c) possession of the complex is transferred to the individual under the agreement at any time after 1990, the following rules apply: (d) no tax is payable by the individual in respect of the supply, (e) subsection 191(1) does not apply in respect of the complex before possession thereof is transferred to the individual, (f) where the individual is a builder of the complex, (i) if the individual is a builder of the complex only because of paragraph (d) of the definition builder in subsection 123(1), (A) the individual shall be deemed not to be a builder of the complex, and (B) for the purposes of determining whether any other person who, after that time, makes a supply of the complex or an interest therein is a builder of the complex, the complex shall be deemed to have been occupied at that time by an individual as a place of residence, and (ii) in any other case, for the purposes of determining an input tax credit of the individual, the individual shall be deemed to have paid, at that time, tax in respect of the supply equal to 4% of the consideration for the supply, (g) the supplier shall be deemed to have collected, at that time, tax in respect of the supply equal to (i) 4% of the consideration for the supply where the complex was, on January 1, 1991, not more than 20% completed, (ii) 2.5% of the consideration for the supply where the complex was, on January 1, 1991, more than 20% completed and not more than 60% completed, (iii) 1% of the consideration for the supply where the complex was, on January 1, 1991, more than 60% completed and not more than 90% completed, and (iv) 0% of the consideration for the supply where the complex was, on January 1, 1991, more than 90% completed, and (h) for the purposes of section 121, the complex shall be deemed not to be a specified single unit residential complex. Transfer of residential condominium unit after 1990 (3) Where (a) a taxable supply by way of sale of a residential condominium unit in Canada is made to a person under an agreement in writing entered into before October 14, 1989 between the supplier and the person, (b) ownership and possession of the unit are not transferred to the person under the agreement before 1991, and (c) possession of the unit is transferred to the person under the agreement at any time after 1990, the following rules apply: (d) no tax is payable by the person in respect of the supply, (e) subsection 191(1) does not apply in respect of the unit before possession thereof is transferred to the person, (f) where the person is a builder of the unit, (i) if the person is a builder of the unit only because of paragraph (d) of the definition builder in subsection 123(1), (A) the person shall be deemed not to be a builder of the unit, and (B) for the purposes of determining whether any other person who, after that time, makes a supply of the unit or an interest therein is a builder of the unit, the condominium complex in which the unit is located shall be deemed to have been registered at that time as a condominium and the unit shall be deemed to have been occupied at that time by an individual as a place of residence, and (ii) in any other case, for the purposes of determining an input tax credit of the person, the person shall be deemed to have paid, at that time, tax in resp