jswizzle3737/ontario_laws_and_regs huggingface dataset:
Related persons
 2. (1) For the purposes of the definition of “related” in subsection 1 (1), a person who is related to another person is deemed to be related to any person to whom the other person is related.  O. Reg. 323/07, s. 2 (1). (2) Where diamonds that have been sold by an operator to a person not related to the operator are later sold to a person related to the operator, the diamonds shall be considered to have been sold by the operator to a person related to the operator.  O. Reg. 323/07, s. 2 (2). (3) Where diamonds that have been sold by an operator to a person related to the operator are later sold to a person not related to the operator and satisfactory evidence of that sale is provided to the Minister, the diamonds shall be considered to have been sold by the operator to a person who is not related to the operator.  O. Reg. 323/07, s. 2 (3).
Exchange rate
 3. For the purposes of this Regulation, the Bank of Canada’s noon exchange rate shall be used to convert foreign currencies into Canadian dollars,  (a)  as at the date of a transaction, if the transaction is carried out in a foreign currency; and (b)  as at the first or last day, as applicable, of a fiscal year if inventories have been valued in a foreign currency.  O. Reg. 323/07, s. 3.
Commencement of production
 4. For the purposes of this Regulation, a diamond mine commences production on the earlier of, (a)  the first day of the first 90-day period during which the mill or concentrator operates at or above an average of 60 per cent of its rated capacity, if the diamond mine includes a mill or concentrator; or (b)  the day the diamond mine begins to produce minerals in reasonable commercial quantities, if the mine does not include a mill or concentrator.  O. Reg. 323/07, s. 4.
Output of a diamond mine
 5. (1) For the purposes of subsection 154 (2) of the Act, a diamond is considered to be produced as part of the output of a diamond mine if the diamond is in a saleable form or has been removed from the diamond mine.  O. Reg. 323/07, s. 5 (1). (2) Diamonds produced from the reprocessing of tailings, wasterock, stockpiles of ore or other materials obtained from a diamond mine are part of the output of the diamond mine.  O. Reg. 323/07, s. 5 (2). Calculation of Net Value of Output
Calculation of Net Value of Output
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Change of ownership
 8. (1) A change in the ownership of a diamond mine or in the operator of a diamond mine does not affect, (a)  the undeducted balance of the depreciable assets eligible for a depreciation allowance; (b)  the undeducted balance of the costs eligible for a development allowance; (c)  the undeducted balance of contributions to a qualifying environmental trust; (d)  the undeducted balance of qualifying donations and qualifying expenditures; or (e)  the original cost of the processing assets used in calculating a processing allowance.  O. Reg. 323/07, s. 8 (1). (2) Subject to paragraph 8 of subsection 7 (1), where a mining claim, lease or patent lapses, is cancelled or is surrendered, any costs incurred in respect of that mining claim, lease or patent that would otherwise be eligible for a development allowance expire and are no longer eligible for a development allowance in respect of any diamond mine.  O. Reg. 323/07, s. 8 (2). (3) If a diamond mine is acquired by the operator of another diamond mine and the operations of the two diamond mines are combined to become a single diamond mine, the undeducted balance of the costs eligible for the development allowance, the undeducted balance of the cost of the depreciable assets eligible for the depreciation allowance, the undeducted balance of the contributions to a qualifying environmental trust, the undeducted balance of qualifying donations and qualifying expenditures and the original cost of the processing assets eligible for the processing allowance for each diamond mine shall be combined.  O. Reg. 323/07, s. 8 (3). (4) For the purposes of subsection (3), if an operator purchases a diamond mine from the Minister, the value of the undeducted balance of the costs eligible for the development allowance, of the undeducted balance of the cost of the depreciable assets eligible for the depreciation allowance and of the original cost of the processing assets eligible for the processing allowance of the purchased diamond mine shall be the lesser of the value established at the time the Minister acquired the diamond mine, and the value established in the agreement of purchase and sale for the diamond mine.  O. Reg. 323/07, s. 8 (4). Royalty Returns, Payments, Records, Administration
Royalty Returns, Payments, Records, Administration
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Payment of royalty
 10. (1) For the purposes of subsection 154.1 (3) of the Act, the amount of the royalty in respect of a diamond mine for a fiscal year shall be paid to the Crown not later than the last day of the fourth month after the end of that fiscal year.  O. Reg. 323/07, s. 10 (1). (2) The Minister shall examine each royalty return delivered in respect of a fiscal year under section 9 together with any other information provided under the Act or this Regulation and shall determine the royalty payable for the fiscal year and the interest and penalties, if any, payable.  O. Reg. 323/07, s. 10 (2). (3) In determining the amount of the royalty for the purposes of the notice of royalty described in subsection 154.3 (1) of the Act, the Minister is not bound by any return or information delivered by or on behalf of an operator.  O. Reg. 323/07, s. 10 (3). (4) The amount of the royalty set out in the notice of royalty is deemed to be valid and binding despite any error, defect or omission in the notice or in any proceeding under the Act or this Regulation relating to the notice, subject to any variation or redetermination of the amount on an objection or appeal.  O. Reg. 323/07, s. 10 (4).
Liability
 11. (1) Any person who was an operator of a diamond mine during a fiscal year in respect of which royalties were payable under section 154.1 of the Act is jointly and severally liable for the entire amount of the royalty payable in respect of the period during which that person was an operator.  O. Reg. 323/07, s. 11 (1). (2) Liability for a royalty imposed under section 154.1 of the Act is not affected by an incorrect or incomplete notice of royalty or by the fact that no notice of royalty was sent.  O. Reg. 323/07, s. 11 (2).
Penalties and interest
 12. (1) Every operator who fails to pay a royalty payable under section 154.1 of the Act in respect of a diamond mine for a fiscal year on or before the day the payment is required to be made under subsection 10 (1) is liable to a penalty when assessed for it, equal to the greater of, (a)  $50,000, or (b)  25 per cent of the amount of the royalty payable by the operator under section 154.1 of the Act for that fiscal year that remains unpaid.  O. Reg. 323/07, s. 12 (1). (2) A penalty calculated under subsection (1) shall be payable on the date the penalty is assessed by the Minister.  O. Reg. 323/07, s. 12 (2). (3) An operator with an overdue balance is liable to pay interest, when assessed for it by the Minister, which shall be calculated and charged daily on the overdue balance from the date of assessment at the daily interest rate, and which shall be payable on the date on which it is charged. O. Reg. 182/20, s. 1. (4) For the purposes of subsection (3), an operator’s overdue balance on any date of determination is determined as follows: 1.  Determine the sum of, i.  royalty amounts payable under section 154.1 of the Act that have not been paid by the operator on or before the date on which the royalty is payable, ii.  penalties calculated under subsection (1) that have not been paid by the operator on or before the date on which the penalty is payable, and iii.  interest calculated under subsection (3) that has not been paid by the operator on or before the date on which the interest is payable. 2.  Subtract from the amount determined under paragraph 1 the amount of any payment made by the operator to the Crown on or before the date of determination, in respect of an overdue royalty, penalty or interest amount which has been included in the amount determined under paragraph 1.  O. Reg. 323/07, s. 12 (4). (5) In this section, “average prime rate” means, in respect of a particular date, the mean, rounded to the nearest whole percentage point, of the annual rates of interest announced by each of the Royal Bank of Canada, The Bank of Nova Scotia, the Canadian Imperial Bank of Commerce, the Bank of Montreal and The Toronto-Dominion Bank to be its prime or reference rate of interest in effect on that date for determining interest rates on Canadian dollar commercial loans by that bank in Canada; “base rate of interest” means, in respect of a particular day, the average prime rate that was in effect on, (a)  October 15 of the previous year, if the particular day is in January, February or March, (b)  January 15 of the same year, if the particular day is in April, May or June, (c)  April 15 of the same year, if the particular day is in July, August or September, or (d)  July 15 of the same year, if the particular day is in October, November or December; “daily interest rate” means, in respect of a particular day, the annual interest rate that is three percentage points higher than the base rate of interest in effect on that day.  O. Reg. 323/07, s. 12 (5).
Books and records
 13. For the purposes of clause 154.6 (1) (b) of the Act, the other documents and information that an operator shall keep at an office in Ontario are,  (a)  any documents evidencing, (i)  the weight and value of all diamonds produced as part of the output of the diamond mine, sold or transferred by the operator or processed at the diamond mine, (ii)  amounts received from a processing plant and any other amounts received from the sale of diamonds, and (iii)  the costs, payments, allowances, deductions and other adjustments referred to in section 7; (b)  financial statements of the diamond mine and the operator; (c)  if the financial statements of the diamond mine or of the operator are audited by an external auditor, (i)  the audited financial statements and the accompanying signed audit opinion of the external auditor, and (ii)  any working papers and documentation prepared by the external auditor that are in the possession of the operator; (d)  a reconciliation between the documents referred to in paragraphs (a) and (b) and the diamond royalty return; (e)  any documents filed by the operator with a stock exchange or securities commission; and (f)  any other information necessary for ascertaining the amount of the royalty payable under section 154.1 of the Act or the calculation of the net value of output of the diamond mine in any fiscal year under section 6.  O. Reg. 323/07, s. 13.
Review by the Minister
 15. (1) Any operator with a legal or beneficial interest in the subject matter of a decision of a diamond royalty valuer, or in any other action taken or omitted to be taken under this Regulation by a diamond royalty valuer, may, within 30 days after the decision is made, the action is taken or the omission to take action occurs, whichever is applicable,   (a)  request in writing that the Minister review the matter; and (b)  make written submissions or submit materials in support of the request.  O. Reg. 323/07, s. 15 (1). (2) On receipt of a request under subsection (1), the Minister shall review the request and any materials or submissions provided with it and shall, (a)  confirm, modify or revoke the decision or order that an action be taken; and (b)  advise the applicant in writing of his or her decision, and the reasons for it.  O. Reg. 323/07, s. 15 (2). Objections and Appeals
Objections and Appeals
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Application
 16. (1) Sections 17 to 24 set out procedures and rules that apply in respect of an objection to or appeal from, (a)  the determination of the amount of a royalty payable under section 154.1 of the Act, as set out in a notice of royalty; (b)  the redetermination of the amount of a royalty payable under section 154.1 of the Act, as set out in a revised notice of royalty; and (c)  the determination or redetermination of interest or penalties payable under Part VIII of the Act or this Regulation.  O. Reg. 323/07, s. 16 (1). (2) Any reference in sections 17 to 24 to a “determination” or “redetermination” is deemed to be a reference to a determination or redetermination, as the case may be, described in subsection (1).  O. Reg. 323/07, s. 16 (2).
Notice of objection
 17. (1) An operator of a diamond mine that objects to a determination or redetermination may, within 180 days from the day the notice of royalty or revised notice of royalty is mailed, serve on the Minister, by registered mail, a notice of objection in a form approved by the Minister.  O. Reg. 323/07, s. 17 (1). (2) The notice of objection shall, (a)  clearly describe each issue raised by way of objection; and (b)  fully set out the facts and reasons relied on by the operator in respect of each issue.  O. Reg. 323/07, s. 17 (2). (3) If a notice of objection does not fully set out the facts and reasons relied on by the operator in respect of an issue, the Minister may in writing request the operator to provide the information, and the operator is deemed to have complied with clause (2) (b) in respect of the issue if the operator provides the information to the Minister in writing within 60 days after the day the request is made by the Minister.  O. Reg. 323/07, s. 17 (3). (4) An operator shall not raise any issue that the operator is not entitled to raise by way of appeal under section 18 in any objection under this section to a determination or redetermination or variance of a determination or redetermination under subsection (6).  O. Reg. 323/07, s. 17 (4). (5) For the purpose of calculating the number of days mentioned in subsection (1), (3) or 18 (1), the day on which a notice of royalty or revised notice of royalty is mailed, a request is made under subsection (3) or a notification is given under clause (6) (b) is the date stated in the notice of royalty, revised notice of royalty, request or notification.  O. Reg. 323/07, s. 17 (5). (6) Upon receipt of the notice of objection, the Minister shall with all due dispatch, (a)  review and confirm or vary the determination or redetermination; and (b)  notify the operator of the diamond mine of his or her decision in writing.  O. Reg. 323/07, s. 17 (6). (7) If an operator has served a notice of objection in accordance with this section or has commenced an appeal in accordance with section 18 and the Minister subsequently mails a revised notice of royalty to the operator containing the results of the review under subsection 15 (2), (a)  neither the revised notice of royalty nor any determination or redetermination set out in the revised notice of royalty invalidates the notice of objection or appeal, as the case may be; and (b)  the operator may object to any new matters raised in the revised notice of royalty, in accordance with this section.  O. Reg. 323/07, s. 17 (7).
Appeal
 18. (1) Where an operator of a diamond mine has served a notice of objection under section 17 to a determination or redetermination, the operator may appeal to the Superior Court of Justice to have the determination or redetermination vacated or varied after the Minister has confirmed or varied the determination or redetermination, but no appeal under this section may be commenced after the expiration of 90 days from the day notice was mailed to the operator under section 17 that the Minister has confirmed or varied the determination or redetermination.  O. Reg. 323/07, s. 18 (1). (2) Despite subsection (1), where at any time the Minister determines or redetermines the amount of a royalty payable under section 154.1 of the Act or any interest or penalties payable under Part VIII of the Act or this Regulation or makes a determination or redetermination in any of the following circumstances or under any of the following provisions, an appeal may be made only to the extent that the reasons for the appeal can reasonably be regarded as relating to any matter that gave rise to the determination or redetermination and that was not conclusively determined by the Court: 1.  A redetermination made in accordance with an order of a court to vacate, vary or restore a determination or redetermination of a royalty or to refer a determination or redetermination back to the Minister for redetermination. 2.  A review of a determination or redetermination under subsection 17 (6).  O. Reg. 323/07, s. 18 (2). (3) An appeal to the Superior Court of Justice shall be commenced by, (a)  filing a notice of appeal with the court in the form approved by the Minister; (b)  paying a fee to the court in the same amount and manner as the fee payable under regulations made under the Administration of Justice Act on the issue of a statement of claim; and (c)  serving a copy of the notice of appeal as filed on the Minister by registered mail.  O. Reg. 323/07, s. 18 (3). (4) An operator is entitled to raise by way of appeal only those issues that were raised by it in the notice of objection to the determination or redetermination being appealed and in respect of which it complied or was deemed to have complied with subsection 17 (2).  O. Reg. 323/07, s. 18 (4). (5) Despite subsection (4), an operator may raise by way of appeal an issue forming the basis of a confirmation or variance of a determination or redetermination under subsection 17 (6) if the issue was not part of the determination or redetermination with respect to which the operator served the notice of objection.  O. Reg. 323/07, s. 18 (5). (6) Despite subsections (1) and (2), no operator shall commence an appeal under this section to have a determination or redetermination vacated or varied in respect of an issue for which the right of objection or appeal has been waived in writing by or on behalf of the operator.  O. Reg. 323/07, s. 18 (6). (7) The operator appealing shall set out in the notice of appeal a statement of the allegations of fact, the statutory provisions and reasons that it intends to submit in supporting its appeal.  O. Reg. 323/07, s. 18 (7).
Reply to notice of appeal
 19. (1) The Minister shall with all due dispatch serve on the operator appealing and file in the Superior Court of Justice a reply to the notice of appeal admitting or denying the facts alleged and containing a statement of such further allegations of fact and all statutory provisions and reasons as the Minister intends to rely on.  O. Reg. 323/07, s. 19 (1). (2) If the Minister does not serve the reply within 180 days from the date of service of the notice of appeal, the operator may, upon 21 days notice to the Minister, apply to a judge of the Superior Court of Justice for an order requiring the reply to be served within such time as the judge shall order.  O. Reg. 323/07, s. 19 (2). (3) The judge may, if he or she considers it proper in the circumstances, order that, upon failure by the Minister to serve the reply in the time specified in the order, the determination or redetermination with respect to which the appeal is taken shall be vacated and any royalty, interest or penalty paid under the determination or redetermination shall be repaid to the operator.  O. Reg. 323/07, s. 19 (3). (4) Nothing in this section revives an appeal that is void or affects a determination if the amount of a royalty that is valid and binding under subsection 10 (4).  O. Reg. 323/07, s. 19 (4).
Matter deemed action
 20. (1) Upon the filing of the material referred to in sections 18 and 19 with the Superior Court of Justice, the matter is deemed to be an action in the court.  O. Reg. 323/07, s. 20 (1). (2) The court may dispose of the appeal by, (a)  dismissing it; (b)  allowing it; or (c)  allowing it and, (i)  vacating the determination or redetermination, (ii)  varying the determination or redetermination, (iii)  confirming or restoring the determination or redetermination, or (iv)  referring the determination or redetermination back to the Minister.  O. Reg. 323/07, s. 20 (2). Court may order payment of royalty, etc. (3) The court may in delivering judgment disposing of an appeal, order the payment or refund of a royalty, interest, penalties or costs by the operator or the Minister, as the case may be.  O. Reg. 323/07, s. 20 (3). Settlement of appeal (4) The Minister may at any time vacate or vary a determination or redetermination in order to give effect to the terms of a settlement of the appeal that have been agreed to by the Minister and the operator.  O. Reg. 323/07, s. 20 (4). Same (5) Sections 17 and 18 do not apply to a determination or redetermination made under subsection (4).  O. Reg. 323/07, s. 20 (5).
Proceedings closed
 21. Proceedings under sections 18 to 20 shall be closed to the public upon request made to the court by the operator or by the Minister.  O. Reg. 323/07, s. 21.
Superior Court of Justice practice to govern
 22. The practice and procedure of the Superior Court of Justice, including the right of appeal and the practice and procedure relating to appeals, apply to every matter deemed to be an action under section 20 and every judgment and order given or made in every such action may be enforced in the same manner and by the like process as a judgment or order given or made in an action commenced in the court.  O. Reg. 323/07, s. 22.
Irregularities
 23. A determination or redetermination shall not be vacated or varied on appeal by reason only of any irregularity, informality, omission or error on the part of any person in the observation of any directory provision of Part VIII of the Act or this Regulation.  O. Reg. 323/07, s. 23.
Extension of time
 24. The time within which a notice of objection is to be served or an appeal is to be commenced may be extended by the Minister if an application for extension is made, (a)  with respect to a notice of objection under subsection 17 (1), (i)  before the expiration of the time allowed under that subsection for service of the notice of objection, or (ii)  within one year from the day of mailing of the notice of royalty or revised notice of royalty that is the subject of the objection, if the operator provides an explanation satisfactory to the Minister explaining why the notice of objection could not be served within the time required by subsection 17 (1) and the Minister agrees to the extension of time; or (b)  with respect to an appeal, before the expiry of the time allowed under subsection 18 (1) for commencing the appeal.  O. Reg. 323/07, s. 24. 25. Omitted (provides for coming into force of provisions of this Regulation).  O. Reg. 323/07, s. 25.