HER MAJESTY, by and with the advice and consent of the Legislative Assembly of the Province of British Columbia, enacts as follows:

Assessment Authority Act

1 Section 19 of the Assessment Authority Act, R.S.B.C. 1996, c. 21, is amended by striking out "sections 130, 131 and 132 to 134 of the School Act" and substituting "sections 130, 131, 131.01 and 132 to 134 of the School Act".

British Columbia Transit Act

2 Section 19 (6) of the British Columbia Transit Act, R.S.B.C. 1996, c. 38, is amended by striking out "Sections 130, 131 and 132 of the School Act" and substituting "Sections 130, 131, 131.01 and 132 of the School Act".

Carbon Tax Act

3 Section 32 of the Carbon Tax Act, S.B.C. 2008, c. 40, is amended by adding the following subsection:

(1.1) A retail dealer who buys a type or subcategory of a type of fuel from a collector or deputy collector is exempt from the requirement to pay security under subsection (1) in respect of the fuel if the retail dealer and the collector or deputy collector are appointed refiner collectors for that type or subcategory of a type of fuel.

4 Section 37 is amended

(a) by adding the following subsection:

(1.2) If the director is satisfied that

(a) a deputy collector has paid an amount as security on fuel,

(b) the deputy collector is a refiner collector,

(c) the fuel was subsequently sold to another refiner collector, and

(d) the other refiner collector was not required, as a result of section 17 (2) or 32 (1.1), to pay security on the fuel,

the director must refund, from the consolidated revenue fund, that amount to the deputy collector. , and

(b) in subsections (3) and (4) by striking out "under subsection (2)" and substituting "under subsection (1.2) or (2)".

5 Section 37 is amended

(a) in subsection (1.2) by striking out "If the director" and substituting "Subject to subsection (2.1), if the director", and

(b) in subsection (2.1) by striking out "under subsection (2)" and substituting "under subsection (1.2) or (2)".

6 The following section is added:

Fee for attending at location outside of British Columbia

43.1  (1) If the director is satisfied that it is necessary to attend at a location outside of British Columbia for the purpose of determining whether a person is complying with or has complied with this Act and the regulations, the director may impose on the person a fee payable to the government in an amount not exceeding the amount calculated under subsection (2) in respect of attending at that location.

(2) Subject to the regulations, the director may calculate the amount for the purposes of subsection (1) based on

(a) fees set by the director, or

(b) a manner of calculating fees that is set by the director.

(3) For the purposes of subsection (2), the fees and manner set by the director may be different for different circumstances defined by the director or for attending at different locations.

(4) In imposing a fee under subsection (1), the director may not impose a fee in respect of attending at a location more than 4 years before the date of the first notice of assessment for that fee.

7 Section 51 is amended

(a) in subsection (1) (b) by adding "imposes a fee under section 43.1 or" before "imposes a penalty", and

(b) by adding the following subsections:

(1.01) Despite section 46 (1) (b) of the Motor Fuel Tax Act, the director may include in a notice of assessment issued to a person under subsection (1) of this section a fee imposed under section 41.1 of the Motor Fuel Tax Act as if the fee were a fee imposed under section 43.1 of this Act if

(a) the director imposes on the person a fee under section 43.1,

(b) the director under the Motor Fuel Tax Act imposes on the person a fee under section 41.1 of the Motor Fuel Tax Act, and

(c) the director under the Motor Fuel Tax Act authorizes the director under this Act to include the fee imposed under the Motor Fuel Tax Act in the notice of assessment.

(1.02) Despite section 197 (1) (b) of the Provincial Sales Tax Act, the director may include in a notice of assessment issued to a person under subsection (1) of this section a fee imposed under section 196.2 of the Provincial Sales Tax Act as if the fee were a fee imposed under section 43.1 of this Act if

(a) the director imposes on the person a fee under section 43.1,

(b) the director under the Provincial Sales Tax Act imposes on the person a fee under section 196.2 of the Provincial Sales Tax Act, and

(c) the director under the Provincial Sales Tax Act authorizes the director under this Act to include the fee imposed under the Provincial Sales Tax Act in the notice of assessment.

(4) Subject to being amended, changed or varied by reassessment, a fee imposed under section 43.1 is valid and binding despite any error, defect or omission in the fee or in procedure.

8 Section 54 is amended by adding "fee or" before "penalty imposed".

9 Section 55 is amended by adding the following subsection:

(2.1) Interest may not be assessed under subsection (2) in relation to a fee imposed under section 43.1.

10 Section 84 (3) is amended by adding the following paragraph:

(o.3) for the purposes of section 43.1 (2), respecting the calculation of an amount for the purposes of section 43.1 (1), including, without limitation, respecting a maximum amount that may be calculated; .

Home Owner Grant Act

11 Section 13.1 of the Home Owner Grant Act, R.S.B.C. 1996, c. 194, is amended

(a) in subsection (3) by striking out "Subject to subsections (3.1) and (5)" and substituting "Subject to subsection (5)",

(b) by repealing subsection (3) (b) (iii) and substituting the following:

(iii) the Taxation (Rural Area) Act;

(iv) the Income Tax Act, or , and

(c) by repealing subsection (3.1).

Hospital District Act

12 Section 28 of the Hospital District Act, R.S.B.C. 1996, c. 202, is amended by striking out "sections 130, 131 and 132 of the School Act" and substituting "sections 130, 131, 131.01 and 132 of the School Act".

Hydro and Power Authority Act

13 Section 34 of the Hydro and Power Authority Act, R.S.B.C. 1996, c. 212, is amended

(a) by adding the following subsections:

(0.1) In this section, "improvements", "land" and "owner" have the same meaning as in section 1 (1) of the School Act.

(0.2) The Assessment Act applies to the authority for the purposes of this section. , and

(b) by repealing subsection (2) and substituting the following:

(2) Subject to subsection (2.1) and unless an order of the Lieutenant Governor in Council provides otherwise, land and improvements in respect of which the authority is an owner must be dealt with as follows:

(a) the land and improvements must be assessed under the Assessment Act;

(b) the net taxable value of the land and improvements is subject to school tax as defined in section 1 (1) of the School Act;

(c) the net taxable value of the land and improvements must be included for the purpose of calculating a Provincial grant under the School Act to a board as defined in Part 8 of that Act.

(2.1) Land referred to in subsection (2) is exempt from assessment and taxation under that subsection unless

(a) the authority owns the land in fee simple, or

(b) the land is located within the treaty lands of a taxing treaty first nation or within Nisga'a Lands.

Income Tax Act

14 Section 4.3 of the Income Tax Act, R.S.B.C. 1996, c. 215, is amended by adding the following subsection:

(3) For the 2017 taxation year, references, whether direct or indirect, in subsection (1) (d), (e) and (f) to section 118 (1) (c.1) or (d) of the federal Act, and in subsection (2) to section 118 (4) to (6) of the federal Act, must be read as if those provisions of the federal Act, as they read in their application to the 2016 taxation year, applied to the 2017 taxation year.

15 Section 4.3 is amended

(a) by repealing subsection (1) (d),

(b) in subsection (1) by adding the following paragraph:

(d.1) if the individual is entitled to a deduction under section 118 (1) (d) of the federal Act [Canada caregiver credit] by reason of a dependant described in that section, the amount determined by the formula

$19 975 – D.1

where

D.1  is the greater of $15 419 and the dependant's income for the taxation year, and ,

(c) by repealing subsection (1) (e) and (f),

(d) in subsection (1) by adding the following paragraph:

(f.1) if the individual is entitled to a deduction in respect of a person under section 118 (1) (a) or (b) of the federal Act and would also be entitled, but for section 118 (4) (c) of that Act, to a deduction in respect of the person because of section 118 (1) (d) [Canada caregiver credit] of that Act, the amount by which the amount that would be determined under paragraph (d.1) of this subsection exceeds the amount determined under paragraph (a) or (b) of this subsection, as the case may be, in respect of the person. , and

(e) by repealing subsection (3).

16 Section 4.52 (4.22) is repealed and the following substituted:

(4.22) For the purpose of computing the tax payable by an individual for the 2018 taxation year, each amount expressed in dollars in a relevant provision is to be adjusted in accordance with subsection (2), except

(a) the amount of $150 000 referred to in section 4.1 (e) and (g), and

(b) the amounts of $19 975 and $15 419 referred to in section 4.3 (1) (d.1).

17 Section 4.61 is amended

(a) in subsection (1) by striking out "a taxation year by an individual who is entitled to a deduction under section 118.6 (2) of the federal Act for the year" and substituting "each of the 2017 and 2018 taxation years by an individual who would be entitled to a deduction under section 118.6 (2) of the federal Act for that taxation year if that section, as it read in its application to the 2016 taxation year, applied to the 2017 and 2018 taxation years", and

(b) by repealing subsection (2) and substituting the following:

(2) For the purposes of this section,

(a) section 118.6 (1) of the federal Act, as that section read in its application to the 2016 taxation year, applies, and

(b) section 118.6 (3) of the federal Act applies as follows:

(i) the portion of that section before paragraph (a), as that portion read in its application to the 2016 taxation year, applies;

(ii) paragraph (a) of that section, as that paragraph read in its application to the 2016 taxation year, applies;

(iii) subject to subparagraph (i) of this paragraph, paragraph (b) of that section applies.

18 Section 4.61 is repealed.

19 Section 4.62 (2) is amended

(a) in the description of "B" by striking out "or 4.61 [education tax credit]", and

(b) in the description of "E" by striking out "tuition and education tax credits" and substituting "tuition tax credit".

20 Section 4.65 is amended

(a) in the description of "A" by striking out "tuition and education tax credits" and substituting "tuition tax credit", and

(b) in paragraph (b) (i) of the description of "C" by striking out "or 4.61 [education tax credit]".

21 Section 4.66 is amended

(a) by striking out "tuition and education tax credits" and substituting "tuition tax credit", and

(b) in subparagraph (i) of the description of "A" by striking out "or 4.61 [education tax credit]".

22 Section 4.67 (2) is amended by striking out "tuition and education tax credits" and substituting "tuition tax credit".

23 Section 4.721 is amended by striking out "before 2018" wherever it appears and substituting "before 2019".

24 Sections 4.74 (a) and 4.76 (1) (b) (i) are amended by striking out "4.61 [education tax credit],".

25 Sections 4.77 (f), 4.78 (2) (h) and 4.79 (1) (h) are repealed.

26 Section 20.1 (2) (c) is amended by striking out "January 1, 2019" and substituting "January 1, 2020".

27  Section 25.1 (1) is amended

(a) in paragraph (f.2) (i) of the definition of "excluded expense" by striking out "before January 1, 2018" and substituting "before January 1, 2019", and

(b) in paragraph (f.2) (ii) of the definition of "excluded expense" by striking out "after December 31, 2017" and substituting "after December 31, 2018" and by striking out "before January 1, 2019" and substituting "before January 1, 2020".

28 Section 64 (5) (c) is amended

(a) in subparagraph (iii.3) by striking out "set out in section 13.1 (3) (b) (ii) or (iii) or (c) of that Act, except in respect of court proceedings related to the Land Tax Deferment Act" and substituting "set out in section 13.1 (3) (b) or (c) of that Act", and

(b) by adding the following subparagraph:

(iii.4) to an official solely for the purposes of the administration or enforcement of the Land Tax Deferment Act, including for greater certainty a purpose set out in section 13.1 (3) (b) or (c) of that Act, .

29 Section 65 (2) is amended by striking out "With the prior approval of the Lieutenant Governor in Council, the Provincial minister" and substituting "The Provincial minister".

30 Section 68.1 is amended

(a) in subsection (1) by repealing the definitions of "avoidance transaction" and "tax benefit" and substituting the following:

"avoidance transaction" means a transaction

(a) that, but for this section, would result, directly or indirectly, in a tax benefit, or

(b) that is part of a series of transactions, which series, but for this section, would result, directly or indirectly, in a tax benefit,

but does not include a transaction that may reasonably be considered to have been undertaken or arranged primarily for bona fide purposes other than to obtain a tax benefit;

"BC tax benefit" means a tax benefit under this Act;

"tax benefit" means

(a) a reduction, avoidance or deferral of tax, or of another amount, payable under this Act, the federal Act or a law of a province that imposes a tax similar to the tax imposed under this Act or the federal Act, including a reduction, avoidance or deferral of tax, or of another amount, payable under this Act, the federal Act or any of those laws of a province but for a tax treaty, or

(b) an increase in a refund of tax, or of another amount, under this Act, including an increase in a refund of tax, or of another amount, under this Act, the federal Act or any of those laws of a province as a result of a tax treaty; ,

(b) in subsection (2) by striking out "tax benefit" and substituting "BC tax benefit", and

(c) by adding the following subsections:

(2.1) Subsection (2) applies to a transaction only if the transaction may reasonably be considered to be a transaction that

(a) would, if this Act were read without reference to this section, result, directly or indirectly, in a misuse of the provisions of one or more of the following:

(i) this Act;

(ii) the regulations;

(iii) the federal Act;

(iv) the federal regulations;

(v) the Income Tax Application Rules (Canada);

(vi) a tax treaty;

(vii) any other enactment of British Columbia, any other law of Canada or any law of another province that is relevant in computing tax or any other amount payable by or refundable to a person under this Act, or in determining any amount that is relevant for the purposes of that computation, or

(b) would result, directly or indirectly, in an abuse having regard to those provisions, other than this section, read as a whole.

(3.1) Despite any other provision of this Act, if an amount under this Act is adjusted under this section by reason of a determination under subsection (2) of the tax consequences of a transaction to a person, and the amount would have been, but for that adjustment, an amount determined under the federal Act, the amount determined under the federal Act is deemed to have been adjusted to the same extent for the purposes of this Act.

31 Part 2 is amended by adding the following section:

Reportable transactions

68.2  (1) Section 237.3 of the federal Act applies for the purposes of this Act except that, in addition to any other necessary modifications, a reference in that section to "tax benefit" is to be read as a reference to "BC tax benefit", as defined in section 68.1 of this Act.

(2) In applying section 237.3 of the federal Act for the purposes of this Act, "reportable transaction" means

(a) a reportable transaction as defined in section 237.3 (1) of the federal Act, or

(b) an avoidance transaction in a prescribed class of avoidance transaction.

32 The following section is added:

Scriptwriting tax credit

80.1  (1) In this section:

"eligible BC scriptwriting expenditure" of a corporation means, in relation to a film or video production, the total of the following amounts, to the extent that they are reasonable in the circumstances, that did not and do not form part of the eligible BC scriptwriting expenditure of any other corporation:

(a) the salary or wages of scriptwriters that

(i) are directly attributable to the development of script material for the production,

(ii) are incurred in respect of the production

(A) after the later of

(I) February 20, 2018, and

(II) the date that is 2 years before the date principal photography of the production begins, and

(B) before the end of the final script stage of production of the production, and

(iii) are amounts that were paid to BC-based individuals by the corporation not later than 60 days after the end of the corporation's taxation year in which principal photography of the production begins;

(b) remuneration, other than salary or wages, of scriptwriters that

(i) is directly attributable to the development of script material for the production,

(ii) relates to services rendered in respect of the production

(A) after the later of

(I) February 20, 2018, and

(II) the date that is 2 years before the date principal photography of the production begins, and

(B) before the end of the final script stage of production of the production,

(iii) is paid, for the services referred to in subparagraph (ii), by the corporation not later than 60 days after the end of the corporation's taxation year in which principal photography of the production begins, to

(A) a BC-based individual, to the extent that the amount paid

(I) is attributable to services personally rendered by the individual for the production, or

(II) is attributable to and does not exceed the salary or wages of the individual's employees who are BC-based individuals for personally rendering services for the production,

(B) another corporation that is a taxable Canadian corporation, if all of the issued and outstanding shares of the capital stock of the corporation, except directors' qualifying shares, if any, belong to a BC-based individual and the activities of the corporation consist principally of the provision of that individual's services, to the extent that the amount paid is attributable to services rendered personally by the individual for the production,

(C) another corporation that is a taxable Canadian corporation, to the extent that the amount paid is attributable to and does not exceed the salary or wages of that corporation's employees who are BC-based individuals for personally rendering services for the production, or

(D) a partnership that is carrying on business in Canada, to the extent that the amount paid

(I) is attributable to services personally rendered for the production by a BC-based individual who is a member of the partnership, or

(II) is attributable to and does not exceed the salary or wages of the partnership's employees who are BC-based individuals for personally rendering services for the production;

(c) a reimbursement, other than a reimbursement that constitutes remuneration within the meaning of paragraph (b), made by the corporation to a second corporation (in this paragraph the "parent") of an expenditure that was made by the parent in respect of the production if

(i) the corporation is a wholly-owned subsidiary of the parent,

(ii) the parent is a taxable Canadian corporation,

(iii) the corporation and the parent have agreed that this paragraph applies in respect of the production,

(iv) the reimbursement is made by the corporation not later than 60 days after the end of the corporation's taxation year in which principal photography of the production begins, and

(v) the expenditure would have qualified for inclusion in the eligible BC scriptwriting expenditure of the corporation in respect of the production under paragraph (a) or (b) if the expenditure had been incurred by the corporation for the same purpose, and had been paid by the corporation at the same time and to the same person or partnership, as it was by the parent

but does not include

(d) an amount to which section 37 of the federal Act applies,

(e) an amount included in eligible salary and wages under section 134 (2) of this Act in respect of a tax credit claimed under that section by the corporation or by another corporation referred to in paragraph (b) or (c) of this definition,

(f) an amount that is not a cost of producing the production,

(g) without limiting paragraph (f), an amount in respect of advertising, marketing, promotion or market research, or

(h) an amount related in any way to another film or video production;

"script material" has the same meaning as in section 125.4 (1) of the federal Act.

(2) A corporation is eligible for a scriptwriting tax credit for a taxation year in respect of an eligible production if

(a) principal photography of the production begins in the taxation year,

(b) the corporation is eligible for, and has made or is making an application in accordance with section 85 for, a tax credit in relation to the production under section 80,

(c) the corporation has obtained a valid eligibility certificate issued to it under section 86 in respect of the production and the claimed tax credit, and

(d) the corporation makes application for the scriptwriting tax credit in accordance with section 85.

(3) The amount of the tax credit that may be claimed by a qualifying corporation under this section is 35% of the amount determined by the formula

SE – (TA + RE)

where

33 Section 111 (1) is amended in the definition of "CBF contribution" by striking out "April 1, 2018" and substituting "April 1, 2021".

34 Section 134 (2) is amended in paragraph (b) (iii) of the description of "eligible salary and wages" by striking out "September 1, 2018" and substituting "September 1, 2023".

Indian Self Government Enabling Act

35 Section 5 of the Indian Self Government Enabling Act, R.S.B.C. 1996, c. 219, is amended by adding the following subsection:

(2.1) In the circumstance referred to in subsection (1), in relation to dwelling property, as defined in section 117.1 (1) of the School Act, in that area of Indian land taxable under the Indian land taxation law, the power of the Lieutenant Governor in Council to prescribe tax rates under section 120.1 of the School Act for the purposes of imposing a tax under that section includes the power

(a) to prescribe tax rates for that dwelling property that are less than the tax rates under section 120.1 of that Act for dwelling property not taxable under the Indian land taxation law, or

(b) to prescribe nil tax rates for that dwelling property.

36 Section 6 is amended by adding the following subsection:

(2.1) In the circumstance referred to in subsection (1), but subject to section 7, in relation to dwelling property, as defined in section 117.1 (1) of the School Act, in that area of Indian land taxable under the Indian land taxation law, the power of the Lieutenant Governor in Council to prescribe tax rates under section 120.1 of the School Act for the purposes of imposing a tax under that section includes the power

(a) to prescribe tax rates for that dwelling property that are less than the tax rates under section 120.1 of that Act for dwelling property not taxable under the Indian land taxation law, or

(b) to prescribe nil tax rates for that dwelling property.

Islands Trust Act

37 Section 49 (2) of the Islands Trust Act, R.S.B.C. 1996, c. 239, is amended by striking out "sections 129 to 131 of the School Act" and substituting "sections 129 to 131.01 of the School Act".

Land Tax Deferment Act

38 Section 13.1 of the Land Tax Deferment Act, R.S.B.C. 1996, c. 249, is amended

(a) in subsection (1) in paragraph (b) of the definition of "shared information" by striking out "under section 32" and substituting "under section 64 of the Income Tax Act, section 32",

(b) in subsection (2) (b) by adding the following subparagraph:

(i.1) the Income Tax Act; , and

(c) in subsection (3) (b) by adding the following subparagraph:

(i.1) the Income Tax Act; .

Local Government Act

39 Section 712 (6) (b) of the Local Government Act, R.S.B.C. 2015, c. 1, is amended by striking out "sections 129 to 131 [taxation of school property] of the School Act" and substituting "sections 129 to 131.01 [school tax exemptions] of the School Act".

Local Services Act

40 Section 8 (2) (b) of the Local Services Act, R.S.B.C. 1996, c. 276, is amended by striking out "sections 129 to 131 of the School Act" and substituting "sections 129 to 131.01 of the School Act".

Logging Tax Act

41  Section 14.1 (1) is amended by striking out "With the prior approval of the Lieutenant Governor in Council, the minister" and substituting "The minister".

Motor Fuel Tax Act

42 Section 12.1 (2) of the Motor Fuel Tax Act, R.S.B.C. 1996, c. 317, is amended by striking out "3.5¢ per litre" and substituting "5.5¢ per litre".

43 Section 20.11 is amended

(a) by adding the following subsection:

(1.2) If the director is satisfied that

(a) a deputy collector has paid an amount as security on fuel,

(b) the deputy collector is a refiner collector,

(c) the fuel was subsequently sold to another refiner collector, and

(d) the other refiner collector was not required, as a result of section 33 (2) or 40 (1.1), to pay security on the fuel,

the director must refund, from the consolidated revenue fund, that amount to the deputy collector. , and

(b) in subsections (4) and (5) by striking out "under subsection (2)" and substituting "under subsection (1.2), (2)".

44 Section 20.11 is amended

(a) in subsection (1.2) by striking out "If the director" and substituting "Subject to subsection (3.01), if the director", and

(b) in subsection (3.01) by striking out "under subsection (2)" and substituting "under subsection (1.2), (2)".

45 Section 40 is amended by adding the following subsection:

(1.1) A retail dealer who buys a type or subcategory of a type of fuel from a collector or deputy collector is exempt from the requirement to pay security under subsection (1) in respect of the fuel if the retail dealer and the collector or deputy collector are appointed refiner collectors for that type or subcategory of a type of fuel.

46 The following section is added:

Fee for attending at location outside of British Columbia

41.1  (1) If the director is satisfied that it is necessary to attend at a location outside of British Columbia for the purpose of determining whether a person is complying with or has complied with this Act and the regulations, the director may impose on the person a fee payable to the government in an amount not exceeding the amount calculated under subsection (2) in respect of attending at that location.

(2) Subject to the regulations, the director may calculate the amount for the purposes of subsection (1) based on

(a) fees set by the director, or

(b) a manner of calculating fees that is set by the director.

(3) For the purposes of subsection (2), the fees and manner set by the director may be different for different circumstances defined by the director or for attending at different locations.

(4) In imposing a fee under subsection (1), the director may not impose a fee in respect of attending at a location more than 4 years before the date of the first notice of assessment for that fee.

47 Section 46 is amended

(a) in subsection (1) (b) by adding "imposes a fee under section 41.1 or" before "imposes a penalty", and

(b) by adding the following subsections:

(1.01) Despite section 51 (1) (b) of the Carbon Tax Act, the director may include in a notice of assessment issued to a person under subsection (1) of this section a fee imposed under section 43.1 of the Carbon Tax Act as if the fee were a fee imposed under section 41.1 of this Act if

(a) the director imposes on the person a fee under section 41.1,

(b) the director under the Carbon Tax Act imposes on the person a fee under section 43.1 of the Carbon Tax Act, and

(c) the director under the Carbon Tax Act authorizes the director under this Act to include the fee imposed under the Carbon Tax Act in the notice of assessment.

(1.02) Despite section 197 (1) (b) of the Provincial Sales Tax Act, the director may include in a notice of assessment issued to a person under subsection (1) of this section a fee imposed under section 196.2 of the Provincial Sales Tax Act as if the fee were a fee imposed under section 41.1 of this Act if

(a) the director imposes on the person a fee under section 41.1,

(b) the director under the Provincial Sales Tax Act imposes on the person a fee under section 196.2 of the Provincial Sales Tax Act, and

(c) the director under the Provincial Sales Tax Act authorizes the director under this Act to include the fee imposed under the Provincial Sales Tax Act in the notice of assessment.

(4) Subject to being amended, changed or varied by reassessment, a fee imposed under section 41.1 is valid and binding despite any error, defect or omission in the fee or in procedure.

48 Section 47 is amended by adding "fee or" before "penalty imposed".

49 Section 48 is amended by adding the following subsection:

(2.1) Interest may not be assessed under subsection (2) in relation to a fee imposed under section 41.1.

50 Section 71 (2) is amended by adding the following paragraph:

(l.2) for the purposes of section 41.1 (2), respecting the calculation of an amount for the purposes of section 41.1 (1), including, without limitation, respecting a maximum amount that may be calculated; .

Petroleum and Natural Gas Act

51 The Petroleum and Natural Gas Act, R.S.B.C. 1996, c. 361, is amended by adding the following section:

Quantities not accounted for

73.1  (1) If the royalty collector determines, from a review of the information provided to the royalty collector under this Act, that a quantity of petroleum or natural gas is unaccounted for by a person, the royalty collector may treat that quantity as having been sold.

(2) Royalty is payable to the government under section 73 by the person referred to in subsection (1) of this section in respect of the quantity of petroleum or natural gas that is treated under that subsection as having been sold.

52 Section 74 (1) (b) is amended by striking out "director" and substituting "royalty collector".

53 Section 122 is amended

(a) in subsection (1) by striking out "under this Act" and substituting "under this Act, other than Parts 10 and 11,", and

(b) in subsection (2) by adding "other than Parts 10 and 11," after "administration of this Act,".

54 The following section is added:

Confidentiality – Parts 10 and 11

122.1  A person who has custody of or control over information or records under Part 10 or 11 or the regulations referred to in section 133 (2) (i) must not disclose the information or records to any other person except as follows:

(a) in the course of administering or enforcing this Act or the regulations, another royalty or taxation enactment or the Oil and Gas Activities Act;

(b) in court proceedings relating to this Act or the regulations, another royalty or taxation enactment or the Oil and Gas Activities Act;

(c) as provided in the regulations;

(d) under an agreement that

(i) is between the government and another government,

(ii) relates to the administration or enforcement of royalty or taxation enactments, and

(iii) provides for the disclosure of information and records to, and the exchange of similar information and records with, that other government.

55 Section 133 (2) is amended by adding the following paragraphs:

(i.1) make regulations requiring persons who fail to comply with section 74 (1) (b) or the regulations made under paragraph (i) of this subsection to pay penalties, and make regulations prescribing those penalties;

(j.1) make regulations providing for the disclosure, under section 122.1 (c), of information and records;

(z) make regulations respecting penalties imposed under this Act.

Property Transfer Tax Act

56 Section 2.04 of the Property Transfer Tax Act, R.S.B.C. 1996, c. 378, is amended

(a) by renumbering the section as section 2.001,

(b) in subsection (1) in the definition of "tax benefit" by striking out "section 2.02" and substituting "this Act", and

(c) in subsection (3) by striking out "to a transferee" and substituting "to a transferee or transferor".

57 Section 3 (1) is amended by adding the following paragraph:

(d) if section 3.01 applies in respect of the taxable transaction, the amount determined under subsection (4) of that section.

58 The following section is added:

Tax on residential property value exceeding $3 million

3.01  (1) In this section:

"residential property" means "residential property" as defined in section 2.01 except that, in applying that definition for the purposes of this section, paragraph (a) of the definition is to be read as if the words "but does not include prescribed land or improvements" were excluded;

"residential property value", in relation to a residential property, means the value of the residential property as described or determined under subsection (3).

(2) This section applies in respect of a taxable transaction referred to in section 3 (1) if

(a) the subject matter of the taxable transaction includes residential property, and

(b) the residential property value exceeds $3 000 000.

(3) For the purposes of this section, the value of a residential property is,

(a) if the subject matter of the taxable transaction includes only residential property, the taxable transaction's fair market value, or

(b) if the subject matter of the taxable transaction includes land that is not residential property, the value calculated as follows:

where

(4) If this section applies in respect of a taxable transaction, the amount payable under section 3 (1) (d) is 2% of the amount by which the residential property value exceeds $3 000 000.

59 Section 12.13 (3) to (5) is repealed and the following substituted:

(3) If the transferee is an individual,

(a) the return must state the date of birth of the transferee, and whether or not the transferee is a Canadian citizen or permanent resident of Canada,

(b) in the case of a transferee who is a Canadian citizen or permanent resident of Canada, the return must state the social insurance number of the transferee, and

(c) in the case of a transferee who is not a Canadian citizen or permanent resident of Canada, the return must state whether or not the transferee is a citizen of a foreign country or state and, if so, must state the date of birth and, as applicable, social insurance number or individual tax number of the transferee, and must identify the foreign country or state.

(4) If the transferee is a corporation,

(a) the return must state

(i) the total number of directors of the transferee,

(ii) the number of those directors who are Canadian citizens or permanent residents of Canada, and

(iii) the date of birth and social insurance number for each director who is a Canadian citizen or permanent resident of Canada,

(b) in relation to each director of the transferee who is not a Canadian citizen or permanent resident of Canada,

(i) the return must state the name, contact information, date of birth and, as applicable, social insurance number or individual tax number of the director, and

(ii) the return must state whether or not the director is a citizen of a foreign country or state and, if so, must identify the foreign country or state, and

(c) the return must state the business corporation number of the transferee.

(5) If the transferee is, as a bare trustee of a trust, acquiring the land to which the taxable transaction relates, the return must include, in addition to the information required under subsection (3) or (4), as applicable, the following information in relation to each settlor and each beneficiary of the trust:

(a) in the case of a settlor or beneficiary who is an individual,

(i) in the case of a settlor or beneficiary who is a Canadian citizen or permanent resident of Canada, the return must state the name, contact information, date of birth and social insurance number of the settlor or beneficiary, and

(ii) in the case of a settlor or beneficiary who is not a Canadian citizen or permanent resident of Canada, the return must state whether or not the settlor or beneficiary is a citizen of a foreign country or state and, if so, must state the date of birth and, as applicable, social insurance number or individual tax number of the settlor or beneficiary and must identify the foreign country or state;

(b) in the case of a settlor or beneficiary that is a corporation,

(i) the return must state the name, contact information, date of birth and social insurance number of each director of the settlor or beneficiary who is a Canadian citizen or permanent resident of Canada, and

(ii) in the case of a director who is not a Canadian citizen or permanent resident of Canada, the return must state whether or not the director is a citizen of a foreign country or state and, if so, must state the date of birth and, as applicable, social insurance number or individual tax number of the director and must identify the foreign country or state.

(6) The return must state the name, contact information and tax residency status under the Income Tax Act (Canada) of the transferor.

60 The following section is added:

Ministerial regulation-making power

12.14  The minister may, by regulation, require additional information to be provided under section 12.13 on returns that must be filed under section 2.

61 Section 14 (3) (o) and (p) is repealed and the following substituted:

(o) a transfer from the trustee in bankruptcy to the bankrupt of land forming part of the estate of the bankrupt, other than a transfer to the bankrupt of land described in paragraph (p), if

(i) no consideration for the transfer is paid by or on behalf of the transferee, and

(ii) a declaration to that effect is made by the transferee and the transferor in the return filed under section 2;

(p) a transfer from the trustee in bankruptcy to the bankrupt or the spouse or former spouse of the bankrupt of land forming part of the estate of the bankrupt, if the land transferred was the principal residence of the bankrupt immediately before the date of the bankruptcy; .

62 Section 15 (1) and (3) is amended by striking out "section 14 (3) (b) to (e) or (4) (p.2)" and substituting "section 14 (3) (b), (c), (d), (e) or (p) or (4) (p.2)".

63 Section 18 is amended

(a) by adding the following subsection:

(3.1) In respect of an assessment made in relation to section 2.001, a reference to "transferee" must be read as including a transferor. ,

(b) in subsection (5) by striking out "one year" and substituting "6 years",

(c) by repealing subsection (5.1),

(d) in subsection (6) by striking out "may be issued within 24 months" and substituting "must be issued within 6 years",

(e) in subsection (6.1) by striking out "24 months" and substituting "6 years",

(f) in subsection (6.11) by striking out "24 months" and substituting "6 years", and

(g) in subsection (6.2) by striking out "24 months" and substituting "6 years".

64 Section 31 (1) (c) is repealed and the following substituted:

(c) by registered letter, or by demand served personally, require from any person any information about the person or any other person or any thing including, for greater certainty, any or all information contained in a multiple listing service database or similar database, within a reasonable time specified by the authorized person, if it is reasonable to make the demand in order to determine liability or possible liability of any person to tax under this Act.

65 Section 34 is amended

(a) by repealing subsection (2),

(b) in subsection (4) by striking out "or (2)", and

(c) in subsection (5) by striking out "subsection (1), (2) or (3)" and substituting "subsection (1) or (3)".

66 The following section is added:

Administrative penalties

34.2  If the administrator determines that a person, for the purpose of evading or avoiding a tax liability of the person or of another person, has

(a) made, or participated in, assented to or acquiesced in the making of, a false or deceptive statement in a return or record required to be made or provided under this Act, or in information required to be provided under this Act,

(b) destroyed, altered, mutilated, hidden or otherwise disposed of a return or record of a transferor or transferee,

(c) made, or participated in, assented to or acquiesced in the making of, a false or deceptive entry in a record or return of a transferor or transferee,

(d) omitted, or assented to or acquiesced in the omission of, a material particular in a record or return of a transferor or transferee, or

(e) willfully, in any manner, avoided or evaded or attempted to avoid or evade

(i) compliance with this Act or the regulations, or

(ii) remittance or payment of taxes required by this Act or the regulations,

the person is jointly and severally liable for the amount of any tax avoided or evaded as a result and must pay to the administrator, in addition to that amount, a penalty in an amount equal to 100% of the amount of tax avoided or evaded.

67 Section 37 (2) is amended by adding the following paragraph:

(f.1) providing for the method of determining the value of residential property for the purposes of the description of "VRP" in section 3.01 (3) (b); .

Provincial Sales Tax Act

68 Section 1 of the Provincial Sales Tax Act, S.B.C. 2012, c. 35, is amended by adding the following definition:

"eligible taxable service" means a taxable service other than accommodation, legal services or a telecommunication service; .

69 Section 1 is amended

(a) by adding the following definition:

"online accommodation platform" means, subject to the regulations, an online marketplace that enables or facilitates transactions in relation to accommodation located in British Columbia; , and

(b) by repealing paragraph (d) of the definition of "vendor" and substituting the following:

(d) in relation to accommodation, a person, including an assignee, liquidator, administrator, receiver, receiver manager, trustee or similar person, who sells, offers to sell, provides or offers to provide accommodation in British Columbia to a purchaser at a retail sale, but does not include a tourism agent.

70 Section 1 is amended

(a) in the definition of "software" by adding the following paragraph:

(c) a contractual right

(i) to receive modifications to or new versions of software programs described in paragraph (a) or (b) if modifications or new versions become available, whether or not that right is exercised, and

(ii) to which section 15 (2) (h) does not apply; , and

(b) by repealing paragraph (b) (iv) of the definition of "use" and substituting the following:

(iv) the holding of a right described in paragraph (b) or (c) of the definition of "software"; .

71 Section 32 is amended

(a) by repealing subsection (1) and substituting the following:

(1) The director may, in the circumstances established by the regulations,

(a) enter into an agreement with a person who is liable to pay tax imposed under Part 3 [Taxes in Relation to Tangible Personal Property] or Part 4 [Taxes in Relation to Software], relating to the manner in which the tax is to be paid to the government, or

(b) enter into an agreement with a person

(i) who owns or operates a commercial rail service that offers, to members of the public for a fee, interprovincial or international rail transportation of passengers or goods, and

(ii) who is liable to pay tax imposed under

(A) section 116 [tax if contract for property conversion related to purchase],

(B) section 117 [tax if contract for modification of purchased property], or

(C) Division 2 [Related Services in Relation to Tangible Personal Property] of Part 5,

relating to the manner in which the tax is to be paid to the government. ,

(b) in subsections (3) and (5) by striking out "tangible personal property or software" and substituting "tangible personal property, software or eligible taxable service", and

(c) in subsection (3) (a) (ii) by adding "or an eligible taxable service" after "software".

72 Section 34 is amended

(a) in subsection (3) by striking out "Subject to subsections (5) and (6)" and substituting "Subject to subsections (3.1), (5) and (6)",

(b) by adding the following subsection:

(3.1) Subject to subsections (5) and (6), the rate of tax payable under sections 37, 49 (6) (a), 50 (2) (a), 51 (6), 52, 81, 82, 82.2, 82.3, 83, 84, 85 and 86 on a passenger vehicle is as follows:

(a) 12% of the purchase price of the passenger vehicle, if the original purchase price is less than $125 000;

(b) 15% of the purchase price of the passenger vehicle, if the original purchase price is $125 000 or more but less than $150 000;

(c) 20% of the purchase price of the passenger vehicle, if the original purchase price is $150 000 or more. , and

(c) by repealing subsection (6) (d) and substituting the following:

(d) 10% of the purchase price of the passenger vehicle, if the original purchase price is $57 000 or more but less than $125 000;

(e) 15% of the purchase price of the passenger vehicle, if the original purchase price is $125 000 or more but less than $150 000;

(f) 20% of the purchase price of the passenger vehicle, if the original purchase price is $150 000 or more.

73 Section 35 (3) (d) is repealed and the following substituted:

(d) 10% of the lease price, if the tax rate value of the passenger vehicle is $57 000 or more but less than $125 000;

(e) 15% of the lease price, if the tax rate value of the passenger vehicle is $125 000 or more but less than $150 000;

(f) 20% of the lease price, if the tax rate value of the passenger vehicle is $150 000 or more.

74 Section 36 is amended

(a) in subsection (3) by striking out "Subject to subsections (5) and (6)" and substituting "Subject to subsections (3.1), (5) and (6)",

(b) by adding the following subsection:

(3.1) Subject to subsections (5) and (6), the rate of tax payable under sections 49 (6) (c) and 50 (2) (b) on a passenger vehicle is as follows:

(a) 12% of the fair market value of the passenger vehicle on the entry date of the passenger vehicle, if the fair market value is less than $125 000;

(b) 15% of the fair market value of the passenger vehicle on the entry date of the passenger vehicle, if the fair market value is $125 000 or more but less than $150 000;

(c) 20% of the fair market value of the passenger vehicle on the entry date of the passenger vehicle, if the fair market value is $150 000 or more. , and

(c) by repealing subsection (6) (d) and substituting the following:

(d) 10% of the fair market value of the passenger vehicle on the entry date of the passenger vehicle, if the fair market value is $57 000 or more but less than $125 000;

(e) 15% of the fair market value of the passenger vehicle on the entry date of the passenger vehicle, if the fair market value is $125 000 or more but less than $150 000;

(f) 20% of the fair market value of the passenger vehicle on the entry date of the passenger vehicle, if the fair market value is $150 000 or more.

75 Section 40 (2) (b) (iv) is repealed and the following substituted:

(iv) 10% of the taxable value, if the taxable value of the passenger vehicle is $57 000 or more but less than $125 000;

(v) 15% of the taxable value, if the taxable value of the passenger vehicle is $125 000 or more but less than $150 000;

(vi) 20% of the taxable value, if the taxable value of the passenger vehicle is $150 000 or more.

76 Section 49 is amended

(a) by repealing subsection (7.1) and substituting the following:

(7.1) Subject to subsections (7.2) and (8), the rate of tax payable under subsection (5) on a motor vehicle to which this subsection applies is as follows:

(a) if the motor vehicle is not a passenger vehicle, at the rate of 12% of the purchase price of the motor vehicle;

(b) if the motor vehicle is a passenger vehicle, at the applicable rate as follows:

(i) 12% of the purchase price of the passenger vehicle, if the original purchase price of the passenger vehicle is less than $125 000;

(ii) 15% of the purchase price of the passenger vehicle, if the original purchase price of the passenger vehicle is $125 000 or more but less than $150 000;

(iii) 20% of the purchase price of the passenger vehicle, if the original purchase price of the passenger vehicle is more than $150 000. , and

(b) by repealing subsection (8) (b) (iv) and substituting the following:

(iv) 10% of the purchase price of the passenger vehicle, if the original purchase price of the passenger vehicle is $57 000 or more but less than $125 000;

(v) 15% of the purchase price of the passenger vehicle, if the original purchase price of the passenger vehicle is $125 000 or more but less than $150 000;

(vi) 20% of the purchase price of the passenger vehicle, if the original purchase price of the passenger vehicle is $150 000 or more.

77 Section 100 is amended

(a) in subsection (1) by striking out "under subsection (4), (6) or (7)" and substituting "under subsection (4), (4.1), (6) or (7)",

(b) in subsection (4) by striking out "Subject to subsections (6) and (7)" and substituting "Subject to subsections (4.1), (6) and (7)",

(c) by adding the following subsection:

(4.1) Subject to subsections (6) and (7), the rate of tax payable under subsection (1) on a passenger vehicle is as follows:

(a) 12% of the fair market value of the passenger vehicle on the date the passenger vehicle is received as a gift, if the fair market value is less than $125 000;

(b) 15% of the fair market value of the passenger vehicle on the date the passenger vehicle is received as a gift, if the fair market value is $125 000 or more but less than $150 000;

(c) 20% of the fair market value of the passenger vehicle on the date the passenger vehicle is received as a gift, if the fair market value is $150 000 or more. , and

(d) by repealing subsection (7) (d) and substituting the following:

(d) 10% of the fair market value of the passenger vehicle on the date the passenger vehicle is received as a gift, if the fair market value is $57 000 or more but less than $125 000;

(e) 15% of the fair market value of the passenger vehicle on the date the passenger vehicle is received as a gift, if the fair market value is $125 000 or more but less than $150 000;

(f) 20% of the fair market value of the passenger vehicle on the date the passenger vehicle is received as a gift, if the fair market value is $150 000 or more.

78 Section 117 (3) (b) (iv) is repealed and the following substituted:

(iv) 10% of the contract amount, if the tax rate value is $57 000 or more but less than $125 000;

(v) 15% of the contract amount, if the tax rate value is $125 000 or more but less than $150 000;

(vi) 20% of the contract amount, if the tax rate value is $150 000 or more.

79 Section 168 is amended

(a) in subsection (1) by adding the following paragraph:

(i) a person who

(i) is not otherwise described in paragraphs (a) to (h),

(ii) is located outside British Columbia, and

(iii) operates an online accommodation platform. , and

(b) in subsection (7) (e) by striking out "subsection (1) (f)" and substituting "subsection (1) (f) or (i)".

80 Section 169 is amended

(a) in subsection (4) by striking out "A vendor" and substituting "Subject to subsection (6), a vendor", and

(b) by adding the following subsection:

(6) A vendor must not sell or provide accommodation in British Columbia at a retail sale through an online accommodation platform unless

(a) the vendor is a vendor described in subsection (4) (a) or (b), or

(b) the operator of the online accommodation platform is registered under section 168 at the time of sale.

81 Section 178 (4) is repealed.

82 The following section is added to Division 1 of Part 9:

Fee for attending at location outside British Columbia

196.2  (1) If the director is satisfied that it is necessary to attend at a location outside British Columbia for the purpose of determining whether a person is complying with or has complied with this Act and the regulations, the director may impose on the person a fee payable to the government in an amount not exceeding the amount calculated under subsection (2) in respect of attending at that location.

(2) Subject to the regulations, the director may calculate the amount for the purposes of subsection (1) based on

(a) fees set by the director, or

(b) a manner of calculating fees that is set by the director.

(3) For the purposes of subsection (2), the fees and manner set by the director may be different for different circumstances defined by the director or for attending at different locations.

(4) In imposing a fee under subsection (1), the director may not impose a fee in respect of attending at a location more than 4 years before the date of the first notice of assessment for that fee.

83 Section 197 is amended

(a) in subsection (1) (b) by adding "imposes a fee under section 196.2 [fee for attending at location outside British Columbia] or" before "imposes a penalty", and

(b) by adding the following subsections:

(1.1) Despite section 51 (1) (b) [notice of assessment] of the Carbon Tax Act, the director may include in a notice of assessment issued to a person under subsection (1) of this section a fee imposed under section 43.1 [fee for attending at location outside British Columbia] of the Carbon Tax Act as if the fee were a fee imposed under section 196.2 of this Act if

(a) the director imposes on the person a fee under section 196.2,

(b) the director under the Carbon Tax Act imposes on the person a fee under section 43.1 of the Carbon Tax Act, and

(c) the director under the Carbon Tax Act authorizes the director under this Act to include the fee imposed under the Carbon Tax Act in the notice of assessment.

(1.2) Despite section 46 (1) (b) [notice of assessment] of the Motor Fuel Tax Act, the director may include in a notice of assessment issued to a person under subsection (1) of this section a fee imposed under section 41.1 [fee for attending at location outside British Columbia] of the Motor Fuel Tax Act as if the fee were a fee imposed under section 196.2 of this Act if

(a) the director imposes on the person a fee under section 196.2,

(b) the director under the Motor Fuel Tax Act imposes on the person a fee under section 41.1 of the Motor Fuel Tax Act, and

(c) the director under the Motor Fuel Tax Act authorizes the director under this Act to include the fee imposed under the Motor Fuel Tax Act in the notice of assessment.

(6) Subject to being amended, changed or varied by reassessment, a fee imposed under section 196.2 is valid and binding despite any error, defect or omission in the fee or in procedure.

84 Section 206 is amended by adding the following subsection:

(2.1) Interest may not be assessed under subsection (2) in relation to a fee imposed under section 196.2 [fee for attending at location outside British Columbia].

85 Section 213 is amended by adding "fee or" before "penalty imposed".

86 Section 237 (a) (ii) and (c) is amended by adding "or an eligible taxable service" after "software".

87 Section 240 (1) is amended by adding the following paragraphs:

(f) establishing classes of online marketplaces that are not online accommodation platforms for the purposes of the Act;

(g) exempting purchasers from the obligation to pay tax under section 123 (1) if the purchaser purchases accommodation

(i) in a prescribed designated accommodation area, and

(ii) through an online accommodation platform that is registered under section 168 (1) (i) at the time of purchase.

88 Section 246 is amended by adding the following paragraph:

(k) for the purposes of section 196.2 (2) [fee for attending at location outside British Columbia], respecting the calculation of an amount for the purposes of section 196.2 (1), including, without limitation, respecting a maximum amount that may be calculated.

School Act

89 Division 4 of Part 8 of the School Act, R.S.B.C. 1996, c. 412, is amended by adding the following section:

Definitions for this Division

117.1  (1)  In this Division:

"additional school tax" means tax imposed under section 120.1;

"assessor" means an assessor appointed under the Assessment Authority Act;

"class 1 property" means property that is assessed as property in the class 1 property class under the Assessment Act;

"class 9 property" means land that is assessed as property in the class 9 property class under the Assessment Act;

"dwelling property" means the following class 1 property:

(a) land that is outside an agricultural land reserve as defined in section 1 (1) of the Agricultural Land Commission Act and that is determined by the assessor to have no present use;

(b) improvements on land that is not class 1 property if the improvements are used or intended to be used as a residence;

(c) land and improvements on the land, if

(i) any of the improvements are used or intended to be used as a residence for 3 or fewer families, and

(ii) the improvements do not consist of a strata lot;

(d) land and improvements that consist of a strata lot that is used or intended to be used as a residence,

but does not include the following:

(e) property referred to in paragraph (b), (c) or (d) of this definition if the property includes a living accommodation described in section 4 (a), (b), (f) or (g) [what the Act does not apply to] of the Residential Tenancy Act;

(f) a prescribed type or class of property;

(g) property used for a prescribed purpose;

(h) property owned by a person in a prescribed class of persons;

"general school tax" means tax imposed under section 119;

"property" means property as defined in the Assessment Act;

"property class" means a class of property prescribed by the Lieutenant Governor in Council under section 19 (14) of the Assessment Act;

"threshold amount" means an applicable amount under section 120.1 (4) (a) or (b) or (5) [determination of taxable amounts and threshold amounts].

(2) The Lieutenant Governor in Council may make regulations respecting any matter for which regulations are contemplated by the definition of "dwelling property" in subsection (1).

(3) Despite section 74 (5) [order or regulation affecting the assessment roll] of the Assessment Act, regulations made under subsection (2) of this section may be made retroactive to the extent necessary to apply for the 2019 or 2020 taxation year, as applicable, if the regulation is made on or before December 31 of the applicable taxation year.

90 Section 119 is amended

(a) in subsection (1) by striking out "school",

(b) in subsection (2) by striking out "school taxes under this Act" and substituting "taxes under this section" and by striking out "each class of property" and substituting "each property class",

(c) by repealing subsections (5), (6) and (7), and

(d) by adding the following subsections:

(9) The Lieutenant Governor in Council must adopt a variable tax rate system for the purpose of determining tax rates under subsection (3).

(10) For the purposes of subsection (9), "variable tax rate system" means a system under which individual tax rates are determined and imposed for each property class.

91 Section 120 is repealed.

92 The following sections are added:

Additional school tax

120.1  (1) This section applies to the 2019 and subsequent taxation years.

(2)  In order to raise revenue to finance the Provincial funding and the debt service expenses of boards, the Province may, in addition to the tax levied under section 119 [imposition of general school tax], levy a tax in accordance with this section.

(3) An owner of dwelling property must, for a taxation year, pay tax in an amount equal to the sum of the following:

(a) the amount that is, as applicable,

(i) 0.2% of the taxable amount determined under subsection (4) for the taxation year, or

(ii) if a lower rate of tax is prescribed for a taxation year for the purposes of this paragraph, the prescribed rate of tax multiplied by the taxable amount;

(b) the amount that is, as applicable,

(i) 0.4% of the taxable amount determined under subsection (5) for a taxation year, or

(ii) if a lower rate of tax is prescribed for a taxation year for the purposes of this paragraph, the prescribed rate of tax multiplied by the taxable amount.

(4) For the purposes of subsection (3) (a) (i), the taxable amount for a taxation year in respect of the dwelling property is the amount of the net taxable value of the dwelling property

(a) that exceeds, as applicable, $3 000 000 or a greater amount prescribed, if any, and

(b) that does not exceed, as applicable, $4 000 000 or a greater amount prescribed, if any.

(5) For the purposes of subsection (3) (b) (i), the taxable amount for a taxation year in respect of the dwelling property is the amount by which the net taxable value of the dwelling property exceeds $4 000 000 or a greater amount prescribed, if any.

(6) The Lieutenant Governor in Council may make regulations as follows:

(a) for the purposes of subsection (3) (a) (ii), prescribing a rate of tax that is lower than 0.2% or prescribing a nil rate;

(b) for the purposes of subsection (3) (b) (ii), prescribing a rate of tax that is lower than 0.4% or prescribing a nil rate;

(c) for the purposes of subsection (4) (a), prescribing, for a taxation year, a threshold amount that is not lower than $3 000 000;

(d) for the purposes of subsections (4) (b) and (5), prescribing, for a taxation year, a threshold amount that is not lower than $4 000 000.

(7) A regulation under subsection (6) must be made on or before May 4 of the taxation year in which the rate of tax or threshold amount, as the case may be, is to apply.

Determining net taxable value

120.2  The net taxable value of land and improvements must be determined by the assessor in accordance with the Assessment Act and this Act.

Notice to municipal collector

120.3  (1) On or before May 10 in each year, the minister of revenue must send to the collector in each municipality a notice setting out all of the following information:

(a) the net taxable value of land and improvements in the municipality as certified under the Assessment Act;

(b) the amount to be raised by general school taxes in the municipality;

(c) the total amount of credits to which owners in the municipality are entitled under section 131.2 [provincial industrial property tax credit] and section 131.3 [provincial farm land tax credit];

(d) the net amount to be raised by general school taxes in the municipality after the deduction of the amount referred to in paragraph (c);

(e) the rates determined for the taxation year by the Lieutenant Governor in Council under section 119 (3) [tax rates for general school tax];

(f) the amount to be raised by additional school taxes in the municipality;

(g) the rates and threshold amounts applicable under section 120.1 [imposition of additional school tax] for the taxation year.

(2) If a municipality is contained within the boundaries of more than one school district, the notice under subsection (1) must, in relation to general school taxes, contain all of the following information for each part of the municipality:

(a) the net taxable value of land and improvements in that part of the municipality;

(b) the amount of general school taxes to be raised in that part of the municipality;

(c) the rates that are applicable to each school district within which that part of the municipality is contained.

93 Section 124 is amended

(a) by repealing subsection (1) and substituting the following:

(1) In this section, "additional school taxes", "general school taxes" and "school taxes" do not include any penalty or interest that has been charged on those taxes. ,

(b) in subsection (2) by striking out "collecting taxes" and substituting "collecting school taxes",

(c) in subsection (2) (a) by striking out "instalments prescribed" and substituting "instalments of general school taxes, or additional school taxes, or both, prescribed",

(d) in subsections (2) (b) and (3) by striking out "on the fifth business day" and substituting "on the tenth business day",

(e) by repealing subsection (9) and substituting the following:

(9) In the manner and at the times prescribed by the Lieutenant Governor in Council, a municipality may deduct the amount of home owner grants certified under section 12 (1) [certification and payments to municipalities] of the Home Owner Grant Act from instalments of general school taxes payable under subsection (2) of this section. , and

(f) by repealing subsection (11) and substituting the following:

(11) The prescribed fee referred to in subsection (10) may, in relation to general school taxes, be different for different property classes.

(12) If the Lieutenant Governor in Council prescribes different fees for different property classes, the prescribed fee referred to in subsection (10) must, in relation to additional school taxes, be the same as the fee prescribed in relation to general school taxes for class 1 property.

94 Section 127 (2) is repealed and the following substituted:

(2) All school taxes when levied must, on collection by a municipality, be separately accounted for as general school taxes or additional school taxes, as the case may be.

95 Section 128 (4) is amended

(a) in paragraphs (a) and (b) by adding "general" before "school taxes", and

(b) by striking out "and" at the end of paragraph (b) (ii) and by adding the following paragraph:

(b.1) the total amount of additional school taxes, if any, levied on dwelling property by the Province, and .

96 Section 129 (1) is repealed.

97 Section 130 is amended

(a) by repealing subsection (1) (a) and substituting the following:

(a) the parcel of land is class 9 property, or , and

(b) in subsection (4) (a) by striking out "is classified in a property class, as defined in section 120 (1)," and substituting "is assessed in a property class".

98 Section 131 (9) is amended by striking out "Despite subsection (1)," and substituting "Despite subsection (1) but subject to section 131.01 [revitalization school tax exemption]".

99 The following section is added:

Revitalization school tax exemption

131.01  (1) In this section:

"exemption certificate", in relation to a qualifying rental property, means the exemption certificate referred to in subsection (4) (c);

"qualifying rental property" means land and improvements that are class 1 property if the improvements

(a) do not consist of strata lots,

(b) include at least 5 rental units that have been, since the date an exemption certificate was issued,

(i) newly constructed or placed on the land, or

(ii) created as the result of a substantial renovation of existing improvements, and

(c) meet the requirements prescribed by the Lieutenant Governor in Council,

but does not include

(d) land or improvements, or both, that are used for a purpose prescribed by the Lieutenant Governor in Council, or

(e) a type or class of land or improvements, or both, prescribed by the Lieutenant Governor in Council;

"rental unit" means a rental unit as defined in section 1 of the Residential Tenancy Act, if the rental unit is subject to that Act, and includes

(a) a living accommodation described in section 4 (b), (f) and (g) [what the Act does not apply to] of the Residential Tenancy Act, or

(b) land or improvements, or both, prescribed by the Lieutenant Governor in Council;

"revitalization tax exemption", in relation to a qualifying rental property, means the applicable revitalization tax exemption referred to in subsection (4) (a);

"substantial renovation", in relation to existing improvements, means a renovation of the improvements to such an extent that all or substantially all of the improvements have been removed or replaced, other than structural components, which include, without limitation, the roof, the foundation, external walls, interior supporting walls, floors and staircases.

(2) Words and expressions used in this section in relation to a revitalization tax exemption under section 226 [revitalization tax exemptions] of the Community Charter have the same meaning as in that section.

(3) Words and expressions used in this section in relation to a revitalization tax exemption under section 396E [revitalization tax exemptions] of the Vancouver Charter have the same meaning as in that section.

(4) Qualifying rental property is, for a taxation year, exempt from taxation under this Act, in accordance with subsection (5), if all of the following apply:

(a) the qualifying rental property, or property of which the qualifying rental property is a part, is, for the taxation year, subject to a revitalization tax exemption under section 226 of the Community Charter or section 396E of the Vancouver Charter, as applicable;

(b) the creation of new rental housing is one of the reasons for or one of the objectives of the applicable revitalization tax exemption as set out in the applicable

(i) revitalization program bylaw under section 226 of the Community Charter, or

(ii) revitalization program by-law under section 396E of the Vancouver Charter;

(c) an exemption certificate for property subject to the applicable revitalization tax exemption was issued after February 20, 2018, under section 226 (8) of the Community Charter or section 396E (10) of the Vancouver Charter, as applicable;

(d) all of the rental units in the qualifying rental property

(i) are rented or offered for rent only for a period of at least one month, and

(ii) when occupied, are occupied by a tenant who is not required to vacate the rental unit at the end of the first month;

(e) on or before October 31 of the taxation year immediately preceding the first taxation year for which the exemption under this section is to apply, the owner of the qualifying rental property notifies the assessor that the rental units are ready for occupancy.

(5) The exemption for qualifying rental property for a taxation year is calculated as follows:

where

100 Section 131.3 (1) is repealed.

101 Section 175 (2) (l) is amended by striking out "119 (3) and (6) and 137" and substituting "119 (3), 120.1 (7), 120.3 (1) and 137".

South Coast British Columbia Transportation Authority Act

102 Section 27 (8) of the South Coast British Columbia Transportation Authority Act, S.B.C. 1998, c. 30, is amended by striking out "sections 130, 131 and 132 of the School Act" and substituting "sections 130, 131, 131.01 and 132 of the School Act".

Tobacco Tax Act

103 Section 2 of the Tobacco Tax Act, R.S.B.C. 1996, c. 452, is amended

(a) in subsection (2) by striking out "24.7¢ for each cigarette" and substituting "27.5¢ for each cigarette", and

(b) in subsection (3) by striking out "24.7¢ for each gram of tobacco" and substituting "37.5¢ for each gram of tobacco".

Vancouver Charter

104 Section 374.4 (7) (a) (ii) of the Vancouver Charter, S.B.C. 1953, c. 55, is repealed and the following substituted:

(ii) sections 119, 120.1 and 137 of the School Act; .

105 Section 421B (2.1) is amended by striking out "section 119" and substituting "section 120.3".

 
Transitional Provisions

Income Tax Act transition –
reportable transactions

106  Section 68.2 of the Income Tax Act applies in respect of an avoidance transaction that

(a) is entered into after February 20, 2018, or

(b) is part of a series of transactions that began on or before February 20, 2018 and is completed after February 20, 2018.

Motor Fuel Tax Act transition –
fixed-price contracts

107  (1) Words and expressions used in this section have the same meaning as in the Motor Fuel Tax Act.

(2) Subject to subsections (4) and (5), if a purchaser

(a) receives delivery of gasoline or motive fuel within the Victoria regional transit service area on or after April 1, 2018 under a fixed-price contract described in subsection (3), and

(b) pays to the government tax on the purchase of the gasoline or motive fuel under section 12.1 (2) of the Motor Fuel Tax Act at the rate that applies as of April 1, 2018,

the director, on application and on receipt of evidence satisfactory to the director, must pay to the purchaser, from the consolidated revenue fund, a refund equal to the amount by which the tax paid on the purchase of that gasoline or motive fuel under that section of the Act exceeds the amount of tax that would have been payable on the purchase of that gasoline or motive fuel under that section of the Act if the purchaser had received delivery before April 1, 2018.

(3) For the purpose of subsection (2), a fixed-price contract must

(a) have been entered into in writing by the purchaser and the seller before February 20, 2018, and

(b) specify the quantity of gasoline or motive fuel to be delivered under the contract.

(4) No refund is to be paid under subsection (2) if

(a) the purchaser is entitled, under the fixed-price contract, to recover the tax imposed under section 12.1 (2) of the Motor Fuel Tax Act on the gasoline or motive fuel, or

(b) the purchaser receives delivery of the gasoline or motive fuel after March 31, 2019.

(5) No refund is to be paid under subsection (2) in respect of a quantity of gasoline or motive fuel that exceeds the quantity specified in the fixed-price contract.

Motor Fuel Tax Act transition –
tax on purchase

108  (1) Subject to subsection (2), words and expressions used in this section have the same meaning as in the Motor Fuel Tax Act.

(2) In this section, "purchaser" does not include a person who is a registered consumer with respect to gasoline or motive fuel as specified on that person's registered consumer certificate.

(3) If a purchaser buys gasoline or motive fuel before April 1, 2018, and the purchaser receives delivery of the gasoline or motive fuel within the Victoria regional transit service area on or after that date, the purchaser must pay to the government tax on that gasoline or motive fuel at the rate set out in section 12.1 (2) of the Motor Fuel Tax Act that applies as of April 1, 2018.

(4) If a retail dealer sells gasoline or motive fuel to a purchaser before April 1, 2018, and the purchaser receives delivery of the gasoline or motive fuel within the Victoria regional transit service area on or after that date, the retail dealer must collect tax on that gasoline or motive fuel at the rate set out in section 12.1 (2) of the Motor Fuel Tax Act that applies as of April 1, 2018.

Property Transfer Tax Act transition –
tax on residential property value exceeding $3 million

109  (1)  In this section, "Act" means the Property Transfer Tax Act.

(2)  Unless a contrary intention appears, words and expressions in this section have the same meaning as in the Act.

(3)  If section 3 (2) of the Act applies in respect of a transferee who applied before February 21, 2018 for registration, at a land title office, of the taxable transaction referred to in section 3 (2) (a) of the Act, the tax owing on the taxable transactions referred to in section 3 (2) (b) of the Act must be calculated under section 3 (2) of the Act in accordance with section 3 (1) of the Act as that section read immediately before February 21, 2018.

(4)  If section 3 (3) of the Act applies in respect of taxable transactions and the transferee referred to in section 3 (3) (a) of the Act applied before February 21, 2018 for registration, at a land title office, of the taxable transaction referred to in that provision, the tax owing on the taxable transactions referred to in section 3 (3) (a) and (b) of the Act must be calculated under section 3 (3) of the Act in accordance with section 3 (1) of the Act as that section read immediately before February 21, 2018.

(5)  If section 3 (3.2), (3.21), (3.3) or (3.4) of the Act applies in respect of a transferee who applied before February 21, 2018 for registration, at a land title office, of a taxable transaction referred to in that provision, the tax payable by the transferee under that provision must be calculated under that provision in accordance with section 3 (1) of the Act as that section read immediately before February 21, 2018.

(6)  If section 3 (4) of the Act applies in respect of taxable transactions and the transferee referred to in section 3 (4) (a) of the Act applied before February 21, 2018 for registration, at a land title office, of the taxable transaction referred to in that provision, the tax owing on the taxable transactions referred to in section 3 (4) (a) and (b) of the Act must be calculated under section 3 (4) of the Act in accordance with section 3 (1) of the Act as that section read immediately before February 21, 2018.

(7)  If section 3 (6) of the Act applies in respect of a taxable transaction described in paragraph (g) of the definition of "taxable transaction" in section 1 (1) of the Act and the application for registration of a transaction referred to in paragraph (g) (i) of that definition was made at a land title office before February 21, 2018, the tax owing on the taxable transaction must be calculated under section 3 (6) of the Act in accordance with section 3 (1) of the Act as that section read immediately before February 21, 2018.

(8)  If the administrator makes an assessment of tax under section 20 (1) of the Act in respect of taxable transactions referred to in subsection (4) or (6) of this section, the tax payable under the Act in respect of a taxable transaction referred to in section 20 (1) (b) of the Act must be calculated under section 20 (3) (a) of the Act in accordance with section 3 (1) of the Act as that section read on the date of registration of the taxable transaction.

Provincial Sales Tax Act transition – definition

110  In sections 111 to 116, "Act" means the Provincial Sales Tax Act.

Provincial Sales Tax Act transition –
purchases of passenger vehicles

111  (1) If a passenger vehicle is purchased before April 1, 2018, for the purposes of section 37 of the Act, the applicable rate under section 34 (3.1) or (6) of the Act, as it read on April 1, 2018, applies in respect of any consideration for the purchase of the passenger vehicle that

(a) becomes due on or after April 1, 2018, and

(b) is not paid before April 1, 2018.

(2) If a passenger vehicle is purchased before April 1, 2018 and all or any portion of the consideration for the purchase of the passenger vehicle is not ascertainable before April 1, 2018, for the purposes of section 37 of the Act, the applicable rate under section 34 (3.1) or (6) of the Act, as it read on April 1, 2018, applies in respect of all or any portion of that consideration that becomes ascertainable on or after April 1, 2018.

Provincial Sales Tax Act transition –
leases of passenger vehicles

112  (1) This section applies to leases of passenger vehicles that are entered into before April 1, 2018.

(2) For the purposes of section 39 of the Act, the applicable rate under section 35 (3) of the Act, as it read on April 1, 2018, applies in respect of any consideration for a lease of a passenger vehicle that

(a) becomes due on or after April 1, 2018, and

(b) is not paid before April 1, 2018.

(3) For the purposes of section 41 of the Act, the applicable rate under section 35 (3) of the Act, as it read on April 1, 2018, applies in relation to a lease of a passenger vehicle if

(a) the passenger vehicle is brought or sent into British Columbia before April 1, 2018,

(b) the rental period under the lease ends on or after April 1, 2018, and

(c) any consideration for the lease price of the passenger vehicle attributable to the rental period

(i) becomes due on or after April 1, 2018, and

(ii) is not paid before April 1, 2018.

Provincial Sales Tax Act transition –
passenger vehicles brought into British Columbia

113  (1) In this section, "applicable rate" means

(a) the applicable rate under section 49 (7.1) or (8) of the Act, as it read on April 1, 2018, or

(b) for the purposes of section 52 of the Act, the applicable rate under section 34 (3.1) or (6) of the Act, as it read on April 1, 2018.

(2) Subsections (3) to (5) apply to passenger vehicles that are purchased outside British Columbia but inside Canada and whose delivery is received in British Columbia before April 1, 2018.

(3) The applicable rate applies in respect of any consideration for a passenger vehicle that

(a) becomes due on or after April 1, 2018, and

(b) is not paid before April 1, 2018.

(4) The applicable rate does not apply in relation to a purchase of a passenger vehicle if

(a) all or any portion of the consideration for the purchase of the passenger vehicle has neither been paid nor become due on or before the last day of the month immediately following the first month in which,

(i) in relation to a purchase of a passenger vehicle by way of sale, other than a purchase described in subparagraph (ii), the ownership or possession of the passenger vehicle is transferred to the purchaser, or

(ii) in relation to a purchase of a passenger vehicle by way of sale under which the seller delivers the passenger vehicle to the purchaser on approval, consignment, sale-or-return basis or other similar terms, the purchaser acquires ownership of the passenger vehicle or makes the passenger vehicle available to any person, other than the seller, and

(b) the last day of the month immediately following the first month referred to in paragraph (a) is before April 1, 2018.

(5) Despite subsection (4), if all or any portion of the consideration for the purchase of the passenger vehicle is not ascertainable before April 1, 2018, the applicable rate applies in respect of all or any portion of that consideration that becomes ascertainable on or after April 1, 2018.

(6) The applicable rate applies in relation to a passenger vehicle if,

(a) before April 1, 2018,

(i) the passenger vehicle is brought or sent into British Columbia from a place outside Canada, or

(ii) delivery of the passenger vehicle is received in British Columbia from a place outside Canada, and

(b) on or after April 1, 2018, the passenger vehicle is accounted for under section 32 (1), (2) (a) or (5) of the Customs Act (Canada) or released in the circumstances set out in section 32 (2) (b) of the Customs Act (Canada).

Provincial Sales Tax Act transition –
contract for modification of purchased passenger vehicles

114  If a contract referred to in section 117 (2) (a) (i) or (ii) of the Act in relation to a passenger vehicle is entered into before April 1, 2018, the applicable rate under section 117 (3) (b) of the Act as it read on April 1, 2018 applies in respect of a contract amount, as defined in section 117 (1) of the Act, that

(a) becomes due on or after April 1, 2018, and

(b) is not paid before April 1, 2018.

Provincial Sales Tax Act transition –
retroactive regulation-making power

115  A regulation made under section 239 of the Act on or before August 31, 2018 that prescribes a period with respect to software described in paragraph (c) of the definition of "software" in section 1 of the Act may be made retroactive to April 1, 2013 or a later date, and if made retroactive is deemed to have come into force on the specified date.

Provincial Sales Tax Act transition –
retroactive regulation-making power

116  A regulation made under section 241 of the Act on or before August 31, 2018, with respect to the sale or lease of tangible personal property, or the provision of a telecommunication service or related service at a retail sale, in British Columbia on a passenger-carrying commercial vessel, may be made retroactive to April 1, 2013 or a later date, and if made retroactive is deemed to have come into force on the specified date.

Commencement

117  The provisions of this Act referred to in column 1 of the following table come into force as set out in column 2 of the table: