Excise Act, 2001

Marginal note:Penalty in respect of unaccounted excise stamps

• 238.1 (1) Every person who is issued excise stamps is liable to a penalty if the person cannot account for the stamps as being in their possession unless

  • (a) the person can demonstrate that the stamps were affixed to tobacco products, cannabis products or their containers in the manner prescribed for the purposes of the definition stamped in section 2 and that duty, other than special duty, has been paid on the tobacco products or cannabis products; or

  • (b) in the case of stamps that were cancelled, the person can demonstrate that the stamps were returned or destroyed as directed by the Minister.

• Marginal note:Amount of the penalty

  (2) The amount of the penalty for each excise stamp that cannot be accounted for is equal to

  • (a) in the case of a tobacco excise stamp, the duty that would be imposed on a tobacco product for which the stamp was issued under subsection 25.1(1); or

  • (b) in the case of a cannabis excise stamp, five times the total of the following amounts:

    • (i) the dollar amount set out in subparagraph 1(a)(i) of Schedule 7,

    • (ii) if the stamp is in respect of a specified province, three times the dollar amount set out in subparagraph 1(a)(i) of Schedule 7, and

    • (iii) if the stamp is in respect of a prescribed specified province, $5.00.