BILL 30
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 heading “INTERPRETATION” preceding section 1 of the Gasoline and Motive Fuel Tax Act, chapter G-3 of the Revised Statutes, 1973, is repealed and the following is substituted:
DEFINITIONS AND INTERPRETATION
2 Section 1 of the Act is amended
aby repealing the definition “gasoline pump” or “motive fuel pump”;
bin the definition “consumer” by striking out “gasoline or motive fuel” wherever it appears and substituting “gasoline, motive fuel or a carbon emitting product”;
cin the definition “retailer” by striking out “gasoline or motive fuel” and substituting “gasoline, motive fuel or a carbon emitting product”;
din the definition “wholesaler” by striking out “gasoline or motive fuel,” and substituting “gasoline, motive fuel or a carbon emitting product,”;
ein the definition “refiner” by striking out “gasoline, motive fuel or any product of petroleum” and substituting “gasoline, motive fuel, any product of petroleum or any carbon emitting product”;
fby adding the following definitions in alphabetical order:
“carbon emitting product” means any product listed in Schedule C; (produit émetteur de carbone)
“carbon emitting product pump”, “gasoline pump” or “motive fuel pump” means a tank or receptacle of not less than 50-gallon or 227-litre capacity that is used or intended to be used for the storage of a carbon emitting product, gasoline or motive fuel, as the case may be, and is equipped with a pump for dispensing the carbon emitting product, gasoline or motive fuel; (pompe à produit émetteur de carbone) (pompe à essence) (pompe à carburant)
3 The Act is amended by adding after section 1 the following:
Interpretation
1.1( 1) For greater certainty, in the interpretation of the expression “tax exempt motive fuel”, the term “tax” is a reference to the tax referred to in subsection 6(1), 6.1(1) or 6.2(1), as the case may be.
1.1( 2) For greater certainty, in the interpretation of the expression “tax exempt carbon emitting product”, the term “tax” is a reference to the tax referred to in subsection 6.3(1).
4 The Act is amended by adding after section 6.2 the following:
IMPOSITION OF THE TAX – CARBON EMITTING PRODUCTS
Tax on carbon emitting products
6.3( 1) In addition to any other tax imposed under this Act, every consumer of a carbon emitting product listed in Column 1 of Schedule C shall pay to Her Majesty in right of the Province for the public use of the Government a tax on the carbon emitting product purchased or consumed by the consumer at the rate for that type of carbon emitting product as set out in Column 2 of Schedule C, except
aa tax exempt carbon emitting product as provided for in subsection (10), and
bdiesel fuel, light fuel oil or propane exempted from the tax as provided for in subsection (11).
6.3( 2) If a consumer acquires a carbon emitting product from a retailer, the consumer shall pay the tax to the retailer at the time the carbon emitting product is purchased or delivered.
6.3( 3) If a consumer acquires a carbon emitting product other than from a retailer and respecting which the tax has not been paid, the consumer shall pay the tax as provided in section 12 and the regulations.
6.3( 4) Despite subsection (3), if a consumer acquires a carbon emitting product from a wholesaler and the tax on the carbon emitting product has not been paid, the consumer shall pay the tax to the wholesaler at the time the carbon emitting product is purchased or delivered.
6.3( 5) If a consumer brings into the Province a carbon emitting product in the fuel tank of an internal combustion engine of a commercial vehicle or a railway locomotive, the consumer shall pay the tax in the manner provided in section 12 and the regulations on the amount of the carbon emitting product used in the Province as computed in accordance with the regulations.
6.3( 6) If a consumer brings into the Province a quantity of a carbon emitting product other than in the fuel tank of an internal combustion engine, the consumer shall pay the tax in the manner provided in section 12 and the regulations on the amount of the carbon emitting product brought into the Province less any amount taken out of the Province other than in the fuel tank of an internal combustion engine.
6.3( 7) For the purposes of this section, the Minister may determine a person to be a farmer, wood producer, fisher, aquaculturist or silviculturist if the person meets the criteria established by regulation and submits the information and documentation required by regulation.
6.3( 8) Subject to subsection (9), if a consumer who keeps records in accordance with the regulations applies on a form provided by the Minister, the Minister may refund any tax paid under subsection (1) by the applicant in connection with the purchase or consumption of a carbon emitting product if the carbon emitting product was purchased, acquired, used or consumed in accordance with paragraph 3(6)(a), (b), (b.1), (b.2), (c), (c.1), (c.2), (c.3), (d), (e), (f) or (k) or paragraph 6(6)(a), (b), (b.1), (b.2), (c), (c.1), (c.2), (c.3), (d), (e), (f) or (k) or in accordance with the regulations.
6.3( 9) If a consumer who keeps records in accordance with the regulations applies on a form provided by the Minister, the Minister may refund any tax paid under subsection (1) by the applicant in connection with the purchase or consumption of diesel fuel, gasoline, light fuel oil or propane if the diesel fuel, gasoline, light fuel oil or propane was purchased, acquired, used or consumed in accordance with paragraph 3(6)(a), (b), (b.1), (b.2), (c), (c.1), (c.2), (c.3), (d), (e), (f), (j) or (k) or paragraph 6(6)(a), (b), (b.1), (b.2), (c), (c.1), (c.2), (c.3), (d), (e), (f), (i.1), (j) or (k) or in accordance with the regulations.
6.3( 10) Subject to subsection (11), a tax exempt carbon emitting product may be purchased, acquired, used or consumed in accordance with paragraph 6(6)(a), (b), (b.1), (b.2), (c), (c.1), (c.2), (c.3), (d), (e), (f) or (k) or in accordance with the regulations.
6.3( 11) Diesel fuel, light fuel oil or propane may be purchased, acquired, used or consumed exempt from the tax referred to in subsection (1) in accordance with paragraph 6(6)(a), (b), (b.1), (b.2), (c), (c.1), (c.2), (c.3), (d), (e), (f), (i.1), (j) or (k) or in accordance with the regulations.
6.3( 12) Subject to the regulations and despite the definition of “gasoline” in section 1, the term “gasoline” in this section and Schedule C has the same meaning as in section 3 of the Greenhouse Gas Pollution Pricing Act (Canada).
6.3( 13) Subject to the regulations and for the purposes of this section and Schedule C, the following terms have the same meaning as in section 3 of the Greenhouse Gas Pollution Pricing Act (Canada):
a“gas liquids”;
b“heavy fuel oil”;
c“light fuel oil”;
d“methanol”;
e“naphtha”;
f“petroleum coke”;
g“pentanes plus”;
h“coke oven gas”;
i“marketable natural gas”;
j“non-marketable natural gas”;
k“still gas”;
l“coke”;
m“high heat value coal”;
n“low heat value coal”; and
o“combustible waste”.
5 Section 7 of the Act is amended
ain subsection (2) of the French version by striking out “Nul ne doit” and substituting “Nul ne peut”;
bby adding after subsection (2) the following:
7( 2.1) No person shall use or purchase a tax exempt carbon emitting product except as provided in subsections 6.3(10) and (11).
6 The heading “LOSSES OF GASOLINE AND MOTIVE FUEL” preceding section 7.01 of the Act is repealed and the following is substituted:
LOSSES OF GASOLINE, MOTIVE FUEL OR A CARBON EMITTING PRODUCT
7 The heading “Penalty for unverifiable losses of gasoline or motive fuel” preceding section 7.01 of the Act is repealed and the following is substituted:
Penalty for unverifiable losses of gasoline, motive fuel or a carbon emitting product
8 Section 7.01 of the Act is amended
ain subsection (1) by striking out “gasoline or motive fuel” and substituting “gasoline, motive fuel or a carbon emitting product”;
bin subsection (2) by striking out “losses of gasoline or motive fuel” and “quantity of gasoline or motive fuel” and substituting “losses of gasoline, motive fuel or a carbon emitting product” and “quantity of the gasoline, motive fuel or carbon emitting product” respectively.
9 The Act is amended by adding after section 7.1 the following:
RETAILERS OF A TAX EXEMPT CARBON EMITTING PRODUCT
Responsibility of retailers of a tax exempt carbon emitting product
7.2 No retailer shall sell or deliver a tax exempt carbon emitting product to any consumer, unless the retailer ensures, in accordance with guidelines under the regulations, that the consumer is authorized to purchase or acquire the tax exempt carbon emitting product under subsection 6.3(10) or (11).
10 Section 8.1 of the Act is repealed and the following is substituted:
Invoice
8.1 Every person authorized to sell aviation fuel, gasoline of any quality or kind, motive fuel of any quality or kind or a carbon emitting product of any quality or kind shall record on an invoice for each sale, at the time of delivery, the name and address of the purchaser, the type of fuel or carbon emitting product purchased, the quantity purchased, the amount of each tax, if applicable, and the price.
11 Section 10 of the Act is amended
ain subsection (3) by striking out “tax exempt motive fuel” and substituting “tax exempt motive fuel or a tax exempt carbon emitting product”;
bin subsection (3.1) by striking out “tax exempt motive fuel” and “those sales of the motive fuel” and substituting “tax exempt motive fuel or a tax exempt carbon emitting product” and “those sales” respectively.
12 Section 12 of the Act is amended
ain subsection (1) by striking out “aviation fuel, gasoline or motive fuel,” and substituting “aviation fuel, gasoline, motive fuel or a carbon emitting product,”;
bin subsection (2) by striking out “aviation fuel, gasoline or motive fuel,” and substituting “aviation fuel, gasoline, motive fuel or a carbon emitting product,”.
13 Section 12.1 of the Act is amended
ain subsection (1) by striking out “gasoline and motive fuel” and substituting “gasoline, motive fuel and carbon emitting products”;
bby adding after subsection (1) the following:
12.1( 1.1) For the purposes of calculating the tax payable under subsection (1), the applicable tax rate shall be the sum of
athe tax rate for gasoline under subsection 3(1) or the tax rate for motive fuel under subsection 6(1), as the case may be, and
bthe tax rate under subsection 6.3(1) for the type of carbon emitting product in question.
cin paragraph (2)(a) by striking out “tax on gasoline and motive fuel” and substituting “the tax imposed at the applicable rate referred to in subsection (1.1)”.
14 Section 12.4 of the Act is amended
ain subsection (1) by striking out “gasoline or motive fuel” and substituting “gasoline, motive fuel or a carbon emitting product”;
bin subsection (1.1)
( i) by repealing subparagraph (a)(i) and substituting the following:
( i) by dividing 1.77 into the applicable tax rate calculated in accordance with subsection 12.1(1.1) at the time the motive fuel is brought into the Province,
( ii) by repealing subparagraph (b)(i) and substituting the following:
( i) by dividing 1.25 into the applicable tax rate calculated in accordance with subsection 12.1(1.1) at the time the gasoline is brought into the Province,
15 Subsection 12.5(2) of the Act is amended by striking out “gasoline or motive fuel” and substituting “gasoline, motive fuel or carbon emitting product”.
16 Section 13 of the Act is amended
ain subsection (1) by striking out “gasoline or motive fuel” and substituting “gasoline, motive fuel or a carbon emitting product”;
bin subsection (2) by striking out “gasoline or motive fuel” and substituting “gasoline, motive fuel or a carbon emitting product”;
cin subsection (3) by striking out “gasoline or motive fuel” and “such gasoline or motive fuel” and substituting “gasoline, motive fuel or a carbon emitting product” and “the gasoline, motive fuel or carbon emitting product” respectively;
din subsection (4) by striking out “gasoline or motive fuel” and substituting “gasoline, motive fuel or a carbon emitting product”;
eby repealing the heading “Licence to sell tax exempt fuel” preceding subsection (5) and substituting the following:
Licence to sell tax exempt motive fuel or a tax exempt carbon emitting product
fin subsection (5) by striking out “tax exempt motive fuel” and substituting “tax exempt motive fuel or a tax exempt carbon emitting product”;
gby repealing the heading “Sale of tax exempt motive fuel by wholesaler” preceding subsection (5.1) and substituting the following:
Sale of tax exempt motive fuel or a tax exempt carbon emitting product by wholesaler
hby repealing subsection (5.1) and substituting the following:
13( 5.1) Despite subsection (5) and any other provision in this Act or the regulations under this Act, the holder of a wholesaler’s licence may sell tax exempt motive fuel or a tax exempt carbon emitting product directly to a consumer, or keep it for sale directly to a consumer, if the tax exempt motive fuel or tax exempt carbon emitting product is not sold from, or kept for sale in, a motive fuel pump or carbon emitting product pump.
17 Section 15 of the Act is amended
ain subsection (1)
( i) by repealing paragraph (a) and substituting the following:
aissue a licence, herein called a wholesaler’s licence, to a person authorizing the person to sell or keep for sale, gasoline, motive fuel or a carbon emitting product at wholesale, to refine gasoline, motive fuel or a carbon emitting product and, despite any other provision in this Act or the regulations under this Act, to sell gasoline, motive fuel or a carbon emitting product, including tax exempt motive fuel or a tax exempt carbon emitting product, directly to a consumer, or keep it for sale directly to a consumer, if the gasoline, motive fuel or carbon emitting product, including the tax exempt motive fuel or tax exempt carbon emitting product, is not sold from, or kept for sale in, a gasoline pump, motive fuel pump or carbon emitting product pump;
( ii) in paragraph (b) by striking out “gasoline, motive fuel or tax exempt motive fuel” and substituting “gasoline, motive fuel, a carbon emitting product, tax exempt motive fuel or a tax exempt carbon emitting product”;
( iii) in paragraph (f) by striking out “tax exempt motive fuel” and substituting “tax exempt motive fuel or a tax exempt carbon emitting product”;
bin paragraph (2.2)(a) by striking out “gasoline or motive fuel” and substituting “gasoline, motive fuel or carbon emitting products”.
18 Subsection 30(1) of the Act is amended
ain the portion preceding paragraph (a) by striking out “aviation fuel, gasoline or motive fuel” and substituting “aviation fuel, gasoline, motive fuel or a carbon emitting product”;
bin paragraph (b) by striking out “aviation fuel, gasoline or motive fuel” and substituting “aviation fuel, gasoline, motive fuel or a carbon emitting product”;
cby repealing paragraph (c) and substituting the following:
cto ascertain whether the person has or has had in the person’s possession tax exempt motive fuel or a tax exempt carbon emitting product, or gasoline, motive fuel or a carbon emitting product in respect of which the tax is payable, and to make tests or take samples thereof; and
19 The heading “Fardeau de preuve concernant l’utilisation d’essence ou de carburant incombe au défendeur” preceding section 34 of the French version of the Act is repealed and the following is substituted:
Fardeau de preuve incombe au défendeur
20 Section 34 of the Act is amended by striking out “any tax exempt motive fuel, the onus of proof that the use of tax exempt motive fuel” and substituting “any tax exempt motive fuel or any tax exempt carbon emitting product, the onus of proof that the use of the tax exempt motive fuel or tax exempt carbon emitting product”.
21 Section 35 of the Act is repealed and the following is substituted:
Evidence of intention
35 In any prosecution for selling or keeping for sale gasoline, motive fuel, tax exempt motive fuel, a carbon emitting product or a tax exempt carbon emitting product, evidence that the gasoline, motive fuel, tax exempt motive fuel, carbon emitting product or tax exempt carbon emitting product was stored in a gasoline pump, motive fuel pump or carbon emitting product pump is prima facie proof that the gasoline, motive fuel or carbon emitting product was being kept for sale.
22 The heading “Offence respecting records to be kept by interjurisdictional carriers and consumers of tax exempt motive fuel” preceding subsection 36(4) of the Act is repealed and the following is substituted:
Offence respecting records to be kept by interjurisdictional carriers and consumers of tax exempt motive fuel or of a tax exempt carbon emitting product
23 Subsection 36(4) of the Act is amended by striking out “tax exempt motive fuel” and substituting “tax exempt motive fuel or a tax exempt carbon emitting product”.
24 Section 45 of the Act is amended
ain subsection (2)
( i) in paragraph (b) by striking out “tax exempt motive fuel” and substituting “tax exempt motive fuel or a tax exempt carbon emitting product”;
( ii) by adding after paragraph (c) the following:
c.1for the purposes of subsections 6.3(12) and (13), including or excluding any substance within or from the definition of “gas liquids”, “gasoline”, “heavy fuel oil”, “light fuel oil”, “methanol”, “naphtha”, “petroleum coke”, “pentanes plus”, “coke oven gas”, “marketable natural gas”, “non-marketable natural gas”, “still gas”, “coke”, “high heat value coal”, “low heat value coal” or “combustible waste”;
c.2for the purposes of section 6.3 and Schedule C, expanding or narrowing the meaning of the term “butane”, “diesel fuel” “ethane” or “propane”;
( iii) in paragraph (d.1) by striking out “section 7.1” and substituting “section 7.1 or 7.2”;
( iv) in paragraph (e) by striking out “which tax exempt motive fuel” and “of tax exempt motive fuel” and substituting “which tax exempt motive fuel or a tax exempt carbon emitting product” and “of tax exempt motive fuel or of a tax exempt carbon emitting product” respectively;
( v) in paragraph (f) of the English version by striking out “tax limiting” and substituting “tax, limiting”;
( vi) in paragraph (g) by striking out “of aviation fuel, gasoline and motive fuel” and substituting “of aviation fuel, of gasoline, of motive fuel and of a carbon emitting product”;
( vii) in paragraph (g.02) by striking out “of tax exempt motive fuel” and substituting “of tax exempt motive fuel or of a tax exempt carbon emitting product”;
( viii) in paragraph (k.1) by striking out “subsections 3(6), 4(6), 6(7), 6.1(3) and 6.2(1.1)” and substituting “subsections 3(6), 4(6), 6(7), 6.1(3), 6.2(1.1) and 6.3(8) and (9)”;
( ix) in paragraph (k.2) by striking out “subsections 3(6), 4(6), 6(7), 6.1(3) and 6.2(1.1)” and substituting “subsections 3(6), 4(6), 6(7), 6.1(3), 6.2(1.1) and 6.3(8) and (9)”;
( x) in paragraph (k.3) by striking out “subsections 3(6), 4(6), 6(7), 6.1(3) and 6.2(1.1)” and substituting “subsections 3(6), 4(6), 6(7), 6.1(3), 6.2(1.1) and 6.3(8) and (9)”;
bby adding after subsection (2.1) the following:
45( 2.2) Regulations made under paragraph (2)(b) or (f) may be made retroactive to April 1, 2020, or to any date after April 1, 2020.
25 The Act is amended by adding the attached Schedule C.
26 This Act comes into force on April 1, 2020.
SCHEDULE C
Column 1
Type of Carbon Emitting Product | Column 2
Rate |
Butane ............... | 0.0534 $/litre |
Diesel fuel............... | 0.0805 $/litre |
Ethane ............... | 0.0306 $/litre |
Gas liquids ............... | 0.0499 $/litre |
Gasoline ............... | 0.0663 $/litre |
Heavy fuel oil............... | 0.0956 $/litre |
Light fuel oil............... | 0.0805 $/litre |
Methanol............... | 0.0329 $/litre |
Naphtha............... | 0.0676 $/litre |
Petroleum coke............... | 0.1151 $/litre |
Pentanes plus............... | 0.0534 $/litre |
Propane............... | 0.0464 $/litre |
Coke oven gas............... | 0.0210 $/cubic metre |
Marketable natural gas............... | 0.0587 $/cubic metre |
Non-marketable natural gas............... | 0.0776 $/cubic metre |
Still gas............... | 0.0810 $/cubic metre |
Coke............... | 95.39 $/tonne |
High heat value coal............... | 67.55 $/tonne |
Low heat value coal............... | 53.17 $/tonne |
Combustible waste............... | 59.92 $/tonne |