Hyperlawhypertext legal database Customs and Excise Offshore Application Act current to 2022-09-11

C-53 Customs and Excise Offshore Application Act

Current to 2022-09-11 · last amended 2022-09-01

Contents

Short Title

s. 1 — Short title

This Act may be cited as the Customs and Excise Offshore Application Act.

Interpretation

s. 2 — Definitions
s. 2(1)

In this Act,

s. 2(1), definition “british ship”

British ship[Repealed, 1998, c. 16, s. 33]

s. 2(1), definition “canadian lessee”

Canadian lessee means a lessee that is an individual, a corporation or a group referred to in the definition Canadian-owned and that carries on business in Canada; (locataire canadien)

s. 2(1), definition “canadian owned”

Canadian-owned means wholly owned by any of the following individuals, corporations or groups carrying on business in Canada:

s. 2(1), definition “canadian owned”, para (a)

an individual who is a resident of Canada within the meaning of section 250 of the Income Tax Act,

s. 2(1), definition “canadian owned”, para (b)

a corporation incorporated in Canada under federal or provincial law, or

s. 2(1), definition “canadian owned”, para (c)

a group comprised of individuals or corporations or both at least one of the members of which is a person referred to in paragraph (a) or (b); (appartenance canadienne)

s. 2(1), definition “canadian ship”

Canadian ship has the same meaning as in the Canada Shipping Act; (navire canadien)

s. 2(1), definition “continental shelf”

continental shelf[Repealed, 1996, c. 31, s. 76]

s. 2(1), definition “designated goods”

designated goods means

s. 2(1), definition “designated goods”, para (a)

artificial islands, ships, vessels, installations, structures or apparatus, including drilling rigs, drilling ships, production platforms, storage vessels, storage tanks, docks, caissons and pipelines, permanently or temporarily attached to or resting on the continental shelf of Canada for the exploration, development, production or transportation of the mineral or other non-living natural resources thereof,

s. 2(1), definition “designated goods”, para (b)

ships, vessels, equipment, structures, apparatus or conveyances used for the construction, erection or servicing of any artificial island, ship, vessel, installation, structure or apparatus referred to in paragraph (a) or for the transportation of goods between any such thing and a point in Canada or between any such things, and

s. 2(1), definition “designated goods”, para (c)

goods for use or consumption on any artificial island, ship, vessel, installation, structure, apparatus, equipment or conveyance referred to in paragraph (a) or (b); (biens désignés)

s. 2(1), definition “federal customs laws”

federal customs laws includes

s. 2(1), definition “federal customs laws”, para (a)

Acts of Parliament,

s. 2(1), definition “federal customs laws”, para (b)

regulations within the meaning of the Statutory Instruments Act, and

s. 2(1), definition “federal customs laws”, para (c)

rules of law applicable in connection with those Acts or regulations,

s. 2(1), definition “federal customs laws”

that relate to customs or excise, whether those Acts, regulations or rules come into force before or after June 30, 1983 and, for greater certainty but without restricting the generality of the foregoing, includes the following Acts, namely, the Excise Act, the Excise Tax Act, the Export and Import Permits Act, the Importation of Intoxicating Liquors Act, the Special Import Measures Act, the Customs Act, the Customs Tariff, the Excise Act, 2001 and the Select Luxury Items Tax Act; (législation douanière fédérale)

s. 2(1), definition “internal waters”

internal waters[Repealed, 1996, c. 31, s. 76]

s. 2(1), definition “lease”

lease includes charter; (bail)

s. 2(1), definition “renewal”

renewal, in respect of a lease, includes the extension of the lease and the exercise of any option to continue the lease; (reconduction)

s. 2(1), definition “territorial sea”

territorial sea[Repealed, 1996, c. 31, s. 76]

s. 2(1), definition “warehouse”

warehouse has the same meaning as in the Customs Act. (entrepôt)

s. 2(2) — Presumption

Designated goods shall be deemed to be Canadian-owned if they are held under a lease by any individual, corporation or group referred to in the definition Canadian-owned in subsection (1) that wholly owned the goods immediately before the lessor owned them.

s. 2(3)

[Repealed]

Customs Jurisdiction

s. 3 — Application of federal customs laws to designated goods
s. 3(1)

Subject to sections 5 to 8, federal customs laws apply in respect of goods on their arrival within the limits of the continental shelf of Canada for use as designated goods as if those goods were for use or consumption in Canada, and for those purposes references in federal customs laws to importation of goods into Canada shall be deemed to include bringing goods within the limits of the continental shelf of Canada for use as designated goods.

s. 3(2) — Relocation of goods for use as designated goods

Goods in respect of which all duties and taxes are paid under federal customs laws and that are moved directly from one place to another within the limits of the continental shelf of Canada or from a place in Canada to a place within the limits of the continental shelf of Canada, for use as designated goods, shall be treated under federal customs laws as if they are moved from one place to another in Canada.

s. 3(3) — Relocation of designated goods

Designated goods in respect of which all duties and taxes are paid under federal customs laws and that are moved directly from a place within the limits of the continental shelf of Canada to a place in Canada shall be treated under federal customs laws as if they are moved from one place to another in Canada.

Information and Documentation

s. 4 — Information and documentation
s. 4(1)

The President of the Canada Border Services Agency may require from any person, within any reasonable time that the President stipulates, the production of any book, record, writing or other document or any information that the President considers necessary for ascertaining whether any of sections 5 to 10 apply in any particular case.

s. 4(2) — Offence

Every person who fails to comply with a requirement of the President under subsection (1) is guilty of an offence punishable on summary conviction.

Acquired Rights

Goods For Use on Site

s. 5 — Goods for use on site
s. 5(1)

Subject to this section and section 8, section 3 does not apply in respect of goods for use as designated goods that, on June 30, 1983,

s. 5(1)(a)

were within the limits of the continental shelf of Canada,

s. 5(1)(b)

were ships stores or were in warehouse or storage in Canada, or

s. 5(1)(c)

were imported for temporary use in Canada,

when the goods are used or consumed within the limits of the continental shelf of Canada.

s. 5(2) — Leased goods

Subject to section 8, section 3 does not apply in respect of goods for use as designated goods that are under lease pursuant to a written contract, that were not Canadian-owned on June 30, 1983 and that, on that date,

s. 5(2)(a)

were within the limits of the continental shelf of Canada,

s. 5(2)(b)

were ships stores or were in warehouse or storage in Canada, or

s. 5(2)(c)

were imported for temporary use in Canada,

throughout the term of the lease to the first Canadian lessee or any renewal thereof or, where the lease has no fixed term, for a period of twelve months after June 30, 1983, if the lease or any renewal thereof was entered into prior to January 6, 1983 and the goods are used or consumed within the limits of the continental shelf of Canada.

s. 5(3) — Where exemption period expires

On the expiration of the exemption period provided by subsection (2), section 3 applies in respect of the goods referred to in that subsection as if those goods were arriving within the limits of the continental shelf of Canada for use as designated goods.

Goods Under Prior Order

s. 6 — Goods under prior order
s. 6(1)

Subject to this section and section 8, section 3 does not apply in respect of goods for use as designated goods that are brought within the limits of the continental shelf of Canada after June 30, 1983 pursuant to a written contract entered into prior to January 6, 1983, when the goods are used or consumed within the limits of the continental shelf of Canada.

s. 6(2) — Leased goods

Subject to section 8, section 3 does not apply in respect of goods for use as designated goods that

s. 6(2)(a)

are under lease pursuant to a written contract entered into prior to January 6, 1983,

s. 6(2)(b)

are not Canadian-owned, and

s. 6(2)(c)

are brought within the limits of the continental shelf of Canada after June 30, 1983,

throughout the term of the lease to the first Canadian lessee or any renewal thereof, excluding renewals entered into on or after January 6, 1983, or, where the lease has no fixed term, for a period of twelve months after the day the goods are brought within the limits of the continental shelf of Canada, if the goods are used or consumed within the limits of the continental shelf of Canada.

s. 6(3) — Application

Subsections (1) and (2) do not apply in respect of goods for use as designated goods that are brought within the limits of the continental shelf of Canada or that are under lease, pursuant to a written contract entered into prior to January 6, 1983, unless the goods are brought within the limits of the continental shelf of Canada within twelve months after the date that the persons acquiring the goods pursuant to the contract take possession of the goods.

s. 6(4) — Idem

Subsection (1) applies to any successor in title to any goods for use as designated goods that are referred to in that subsection when the goods are used or consumed within the limits of the continental shelf of Canada.

s. 6(5) — Where exemption period expires

On the expiration of the exemption period provided by subsection (2), section 3 applies in respect of the goods referred to in that subsection as if those goods were arriving within the limits of the continental shelf of Canada for use as designated goods.

Special Rules

s. 7 — Five year successive operation

Where, after June 30, 1983, goods referred to in section 5 or 6, other than goods under lease that are not Canadian-owned, are used exclusively for a period of five successive years after June 30, 1983

s. 7(a)

within the limits of the continental shelf of Canada, or

s. 7(b)

in Canadian waters, including the inland waters within the meaning of section 2 of the Customs Act,

s. 7(c)

[Repealed]

those goods shall, after that five year period, be deemed to be duty and tax paid goods under federal customs laws.

s. 8 — Goods removed and returned

Where goods referred to in section 5 or 6 are removed from Canada or from a place within the limits of the continental shelf of Canada to a place outside Canada and the continental shelf of Canada, section 3 applies in respect of the goods if

s. 8(a)

they are returned to a place within the limits of the continental shelf of Canada having been advanced in value or having been improved in condition by any means or combined with any other goods outside Canada and the continental shelf of Canada; or

s. 8(b)

they are returned to a place within the limits of the continental shelf of Canada after five years following the day of their removal.

Ships

s. 9 — Canadian ships in coasting trade
s. 9(1)

Canadian ships, the product of a country entitled to the benefits of the British Preferential Tariff or the product of the United Kingdom of Great Britain and Northern Ireland, the Channel Islands, the Isle of Man, the Republic of Ireland or Hong Kong, that, on June 30, 1983, are engaged in the coasting trade of Canada pursuant to Part X of the Canada Shipping Act shall be deemed to be duty and tax paid ships under federal customs laws.

s. 9(2) — British ships in coasting trade

British ships, other than Canadian ships, the product of a country entitled to the benefits of the British Preferential Tariff or the product of the United Kingdom of Great Britain and Northern Ireland, the Channel Islands, the Isle of Man, the Republic of Ireland or Hong Kong, that, on June 30, 1983, are under lease and are engaged in the coasting trade of Canada pursuant to Part X of the Canada Shipping Act shall be deemed to be duty and tax paid ships under federal customs laws throughout the term of the lease to the first Canadian lessee or any renewal thereof if the lease or renewal was entered into prior to January 6, 1983.

s. 10 — Canadian ships under prior order
s. 10(1)

Canadian ships, the product of a country entitled to the benefits of the British Preferential Tariff or the product of the United Kingdom of Great Britain and Northern Ireland, the Channel Islands, the Isle of Man, the Republic of Ireland or Hong Kong, ordered pursuant to a written contract entered into prior to January 6, 1983 for the purpose of engaging in the coasting trade of Canada pursuant to Part X of the Canada Shipping Act, shall be deemed to be duty and tax paid ships under federal customs laws.

s. 10(2) — British ships under prior lease

British ships, other than Canadian ships, the product of a country entitled to the benefits of the British Preferential Tariff or the product of the United Kingdom of Great Britain and Northern Ireland, the Channel Islands, the Isle of Man, the Republic of Ireland or Hong Kong, under lease pursuant to a written contract entered into prior to January 6, 1983 for the purpose of engaging in the coasting trade of Canada pursuant to Part X of the Canada Shipping Act, shall be deemed to be duty and tax paid ships under federal customs laws throughout the term of the lease to the first Canadian lessee or any renewal thereof, excluding renewals entered into on or after January 6, 1983.

s. 10(3) — Application

Subsections (1) and (2) do not apply in respect of a ship ordered or under lease pursuant to a written contract entered into prior to January 6, 1983, unless the ship has been released under the Customs Act within twelve months after the date that the persons acquiring the ship pursuant to the contract take possession of the ship.