BILL 27
An Act to Amend the Gasoline and Motive Fuel Tax Act
Her Majesty, by and with the advice and consent of the Legislative Assembly of New Brunswick, enacts as follows:
1 The Gasoline and Motive Fuel Tax Act, chapter G-3 of the Revised Statutes, 1973, is amended by adding after section 7 the following:
LOSSES OF GASOLINE AND MOTIVE FUEL
Penalty for unverifiable losses of gasoline or motive fuel
7.01(1) Every collector shall justify and establish to the satisfaction of the Minister any claim made by the collector for the loss of gasoline or motive fuel.
7.01(2) Every collector who has excess unverifiable losses of gasoline or motive fuel, calculated in accordance with the regulations, shall pay a penalty, when assessed therefor by the Minister, equal to the amount of the tax that would have been collectable by the collector if the quantity of gasoline or motive fuel that exceeds the threshold prescribed by regulation for an unverifiable loss had been sold to a consumer liable to pay the tax under this Act.
7.01(3) The Minister is not bound by any return or information provided by the collector to verify losses of gasoline or motive fuel and may, despite any return or information delivered or if no return or information has been delivered, assess the penalty payable under this section.
7.01(4) If an assessment or reassessment was done between January 1, 1997, and the date of the enactment of this section, inclusive, pertaining to the tax payable on excess unverifiable losses of gasoline or motive fuel, the tax so determined shall be deemed to be the penalty payable under subsection (2) and, unless collected by the Province before the date of the enactment of this section, is due and payable immediately to the Province by the person subject to the assessment or reassessment despite any judgment to the contrary, whether the judgment is obtained before, on or after the enactment of this section.
7.01(5) If any amount of the tax referred to in subsection (4) was collected by the Province, the amount shall by this section be conclusively deemed to have been collected and retained by the Province, without compensation, as payment for the penalty despite any judgment obtained by any person for recovery of the amount, whether the judgment is obtained before, on or after the enactment of this section.
7.01(6) The Taxpayer Protection Act does not apply to the penalty referred to in this section.
2 Section 45 of the Act is amended
(a)  in subsection (2) by adding after paragraph (d) the following:
(d.01)  prescribing one or more methods for calculating unverifiable losses and excess unverifiable losses for the purposes of section 7.01 and prescribing one or more thresholds for the purposes of that section;
(b)  by adding after subsection (2) the following:
45(2.1) Regulations made under paragraph (2)(d.01) may be made retroactive to January 1, 1997, or to any date after January 1, 1997.
CONSEQUENTIAL AMENDMENT
Revenue Administration Act
3 Section 1 of the Revenue Administration Act, chapter R-10.22 of the Acts of New Brunswick, 1983, is amended in the definition “tax” by adding “the penalty referred to in section 7.01 of the Gasoline and Motive Fuel Tax Act before “and all deposits made”.
COMMENCEMENT
4 This Act shall be deemed to have come into force on January 1, 1997.