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(1) In this section, “secured creditor” means a person who has a security interest in the property of another person or who acts for or on behalf of that person with respect to the security interest, and includes a trustee appointed under a trust deed relating to a security interest, a receiver or receiver-manager appointed by a secured creditor or by a court on the application of a secured creditor and any other person performing a similar function; (“créancier garanti”) “security interest” means any interest in property that secures payment or performance of an obligation, and includes an interest created by or arising out of a debenture, mortgage, lien, pledge, charge, deemed or actual trust, assignment or encumbrance of any kind whenever arising, created or deemed to arise or otherwise provided for, but does not include a security interest prescribed by the Minister as one to which this section does not apply. (“sûreté”)  2009, c. 34, Sched. A, s. 7. Deemed trust (2) Every amount collected or collectable by a collector under Division C as or on account of tax payable under this Act is deemed, despite any security interest in the amount collected or collectable, to be held in trust for the Crown in right of Ontario and is deemed to be held separate and apart from the property of the collector and from property held by any secured creditor that but for the security interest would be the property of the collector, and shall be paid over by the collector in accordance with Division C and the regulations.  2009, c. 34, Sched. A, s. 7; 2019, c. 15, Sched. 2, s. 2. Extension of trust (3) Despite any provision of this or any other Act, if at any time an amount deemed by subsection (2) to be held in trust is not paid as required under Division C or the regulations by the collector, property of the collector and property held by any secured creditor that but for a security interest would be property of the collector, equal in value to the amount deemed to be held in trust is deemed, (a)  to be held, from the time the amount was collected or became collectable by the collector, separate and apart from the property of the collector, in trust for the Crown in right of Ontario, whether or not the property is subject to a security interest; and (b)  to form no part of the estate or property of the collector from the time the amount was collected or became collectable, whether or not the property has in fact been kept separate and apart from the estate or property of the collector and whether or not the property is subject to a security interest.  2009, c. 34, Sched. A, s. 7. Same (4) The property described in subsection (2) is deemed to be beneficially owned by the Crown in right of Ontario despite any security interest in the property or in the proceeds of the property, and the proceeds of the property shall be paid to the Minister in priority to all security interests in the property.  2009, c. 34, Sched. A, s. 7. Minister’s certificate (5) Every person who, as assignee, liquidator, administrator, receiver, receiver-manager, secured or unsecured creditor or agent of the creditor, trustee or other like person, other than a trustee appointed under the Bankruptcy and Insolvency Act (Canada), takes control or possession of the property of a collector shall, before distributing the property or the proceeds from the realization of the property under that person’s control, obtain from the Minister a certificate that the amount deemed by subsection (2) to be held in trust, including any interest and penalties payable by the collector, has been paid or that security acceptable to the Minister has been given.  2009, c. 34, Sched. A, s. 7. No distribution without Minister’s certificate (6) Any person described in subsection (5) who distributes any property described in that subsection or the proceeds of the realization of the property without having obtained the certificate required by that subsection is personally liable to the Crown in right of Ontario for an amount equal to the amount deemed by subsection (2) to be held in trust, including any interest and penalties payable under this Act by the collector.  2009, c. 34, Sched. A, s. 7; 2019, c. 15, Sched. 2, s. 2. Notice to be given (7) The person described in subsection (5) shall, within 30 days after the day on which the person assumed possession or control of the property, give written notice of the assumption of possession or control of the property to the Minister.  2009, c. 34, Sched. A, s. 7. Minister to advise of indebtedness (8) As soon as practicable after receiving a notice given under subsection (7), the Minister shall notify the person described in subsection (5) of the amount deemed by subsection (2) to be held in trust, including any interest and penalties related to that amount.  2009, c. 34, Sched. A, s. 7. Assessment re amounts held in trust (9) The Minister may assess the amount that a person is liable for under subsection (6), and the assessed amount is deemed to be tax collectable or collected, as the case may be, by the person.  2009, c. 34, Sched. A, s. 7. Application (10) This section applies in respect of any amount as or on account of tax collected or collectable by a collector under Division C whether the security interest was acquired before or after this section comes into force.  2009, c. 34, Sched. A, s. 7. Section Amendments with date in force (d/m/y) 2009, c. 34, Sched. A, s. 7 - 15/12/2009 2019, c. 15, Sched. 2, s. 2 - 29/11/2021