Excise Tax Act

Marginal note:Definitions

• 256 (1) In this section,

  relation

  proche

  relation of a particular individual means another individual who is related to the particular individual or who is a former spouse or common-law partner of the particular individual; (proche)

  single unit residential complex

  immeuble d’habitation à logement unique

  single unit residential complex includes

  • (a) a multiple unit residential complex that does not contain more than two residential units, and

  • (b) any other multiple unit residential complex if it is described by paragraph (c) of the definition “residential complex” in subsection 123(1) and contains one or more residential units that are for supply as rooms in a hotel, motel, inn, boarding house, lodging house or similar premises and that would be excluded from being part of the residential complex if the complex were a residential complex not described by that paragraph. (immeuble d’habitation à logement unique)

• Marginal note:Rebate for owner-built homes

  (2) Where

  • (a) a particular individual constructs or substantially renovates, or engages another person to construct or substantially renovate for the particular individual, a residential complex that is a single unit residential complex or a residential condominium unit for use as the primary place of residence of the particular individual or a relation of the particular individual,

  • (b) the fair market value of the complex, at the time the construction or substantial renovation thereof is substantially completed, is less than $450,000,

  • (c) the particular individual has paid tax in respect of the supply by way of sale to the individual of the land that forms part of the complex or an interest therein or in respect of the supply to, or importation by, the individual of any improvement thereto or, in the case of a mobile home or floating home, of the complex (the total of which tax under subsection 165(1) and sections 212 and 218 is referred to in this subsection as the “total tax paid by the particular individual”),

  • (d) either

    • (i) the first individual to occupy the complex after the construction or substantial renovation is begun is the particular individual or a relation of the particular individual, or

    • (ii) the particular individual makes an exempt supply by way of sale of the complex and ownership of the complex is transferred to the recipient before the complex is occupied by any individual as a place of residence or lodging,

  the Minister shall, subject to subsection (3), pay a rebate to the particular individual equal to the amount determined by the formula

  A × ($450,000 - B)/$100,000

  where

  A

  is the lesser of 36% of the total tax paid by the particular individual before an application for the rebate is filed with the Minister in accordance with subsection (3), and

  • (i) if all or substantially all of that tax was paid at the rate of 6%, $7,560, and

  • (ii) in any other case, the lesser of $8,750 and the amount determined by the formula

    (C × $1,260) + $7,560

    where

    C

    is the extent (expressed as a percent­age) to which that tax was paid at the rate of 7%, and

  B

  is the greater of $350,000 and the fair market value of the complex referred to in paragraph (b).

• Marginal note:Homes occupied before substantial completion

  (2.01) Where an individual acquires an improvement in respect of a residential complex that the individual is constructing or substantially renovating and tax in respect of the improvement becomes payable by the individual more than two years after the day the complex is first occupied as described in subparagraph (2)(d)(i), that tax shall not be included under paragraph (2)(c) in determining the total tax paid by the individual.

• Marginal note:Rebate in Nova Scotia

  (2.1) Where

  • (a) an individual is entitled to a rebate under subsection (2) in respect of a residential complex that the individual has constructed or has engaged another person to construct and that is for use, in Nova Scotia, as the primary place of residence of the individual or a relation of the individual or the individual would be so entitled if the fair market value of the complex, at the time the construction thereof is substantially completed, were less than $450,000, and

  • (b) the individual has paid all of the tax payable by the individual in respect of the supply by way of sale to the individual of the land that forms part of the complex or an interest therein or in respect of the supply to, or importation, or bringing into Nova Scotia, by the individual of any improvement to the complex or, in the case of a mobile home or floating home, of the complex (the total of which tax under subsection 165(2), and sections 212.1, 218.1, 220.05, 220.06 and 220.07 is referred to in this subsection as the “total tax in respect of the province paid by the individual”),

  the Minister shall, subject to subsection (3), pay a rebate to the individual, in addition to the rebate, if any, payable under subsection (2) to the individual, equal to the lesser of $2,250 and 18.75% of the total tax in respect of the province paid by the individual.

• Marginal note:Mobile homes and floating homes

  (2.2) For the purposes of this section, where

  • (a) a particular individual purchases, imports or brings into Nova Scotia a mobile home or floating home that has never been used or occupied by any individual as a place of residence or lodging and does not file with the Minister, or submit to the supplier, an application for a rebate in respect of the home under section 254 or 254.1,

  • (b) the particular individual is acquiring, importing or bringing into Nova Scotia the mobile home or floating home for use as the primary place of residence of the particular individual or of a relation of the particular individual, and

  • (c) the first individual to occupy the mobile home or floating home at any time is the particular individual or a relation referred to in paragraph (b), or the particular individual at any time transfers ownership of the home under an agreement for an exempt supply by way of sale of the home,

  the particular individual is deemed to have constructed the mobile home or floating home and to have substantially completed the construction immediately before the earlier of the times referred to in paragraph (c) and, in the case of a mobile home or floating home imported by the individual, any use or occupation of the home outside Canada is deemed not to be use or occupation of the home.

• Marginal note:Application for rebate

  (3) A rebate under this section in respect of a residential complex shall not be paid to an individual unless the individual files an application for the rebate within two years after the earliest of

  • (a) the day that is two years after the day the complex is first occupied as described in subparagraph (2)(d)(i),

  • (a.1) the day ownership is transferred as described in subparagraph (2)(d)(ii); and

  • (b) the day construction or substantial renovation of the complex is substantially completed.