FEDERAL REG

SOR/2016-60: Regulations Amending the Artists' Representatives (GST/HST) Regulations

REGISTRATION OF FEDERAL REGULATION - VIA OIC DATABASE, PRIOR TO PART II OF THE GAZETTE

Registered
March 29, 2016


REGULATORY IMPACT ANALYSIS STATEMENT (This statement is not part of the Regulations.) Issues Under Part IX of the Excise Tax Act, special rules apply in respect of supplies of intangible personal property (such as the right to broadcast a recording of an artist) made by artists’ representatives (generally collective societies) prescribed by regulations on behalf of an author, performing artist, p... (Click for more)


House

1st Reading 2nd Reading 3rd Reading

Senate

1st Reading 2nd Reading 3rd Reading

Published on March 29, 2016

Bill Summary

SOR/2016-60: Regulations Amending the Artists' Representatives (GST/HST) Regulations

REGULATORY IMPACT ANALYSIS STATEMENT (This statement is not part of the Regulations.) Issues Under Part IX of the Excise Tax Act, special rules apply in respect of supplies of intangible personal property (such as the right to broadcast a recording of an artist) made by artists’ representatives (generally collective societies) prescribed by regulations on behalf of an author, performing artist, painter, sculptor, or other artist. These rules ease compliance with the Goods and Services Tax/Harmonized Sales Tax (GST/HST). The Artists’ Representatives (GST/HST) Regulations (the Regulations) list the collective societies that are eligible to use these GST/HST simplification rules. Under the special rules, if a GST/HST registrant that is a prescribed collective society makes a supply of intangible personal property on behalf of an artist who is a member of the collective society, that supply is deemed to be made by the collective society and not the artist. The special rules further provide that no tax is charged when the collective society passes on the royalties collected to the artist. As a result of these simplifying rules, it is the collective society that is responsible for collecting and accounting for the GST/HST on these supplies of intangible personal property. Musicians’ Rights Organization Canada has requested that it be added to the list of prescribed registrants in the Regulations. Objectives To enable Musicians’ Rights Organization Canada and the artists it represents to use the special GST/HST simplification rules for artists’ representatives. Description The amendment to the Regulations adds, as of the date of publication in Part II of the Canada Gazette, the Musicians’ Rights Organization Canada to the list of artists’ representatives that are eligible to use the GST/HST simplification rules. “One-for-One” Rule It is expected that the amendment will decrease administrative burden for the Musicians’ Right Organization Canada and the artists they represent. As the Regulations relate to tax or tax administration, the amendment is carved out from the “One-for-One” Rule. Small business lens The small business lens does not apply to the amendment, as there are no additional costs imposed on business. Rationale Eligible artists’ representatives that are prescribed by the Regulations are entitled to use special simplification rules that ease compliance with the GST/HST. The amendment to the Regulations enables Musicians’ Rights Organization Canada and the artists it represents to use the special rules. Contacts François Beaulieu Sales Tax Division Department of Finance Canada 90 Elgin Street Ottawa, Ontario K1A 0G5 Telephone: 613-369-3789 Patrick McKinnon General Operations and Border Issues Excise and GST/HST Rulings Directorate Canada Revenue Agency Place de Ville, Tower A, 16th Floor 320 Queen Street Ottawa, Ontario K1A 0L5 Telephone: 613-954-7959 Footnote a S.C. 1993, c. 27, s. 125(1) Footnote b R.S., c. E-15 Footnote 1 SOR/91-25; SOR/99-174, s. 1; SOR/2014-248, s. 1

This Bill does not amend any statutes.

Sign up for alerts on this Bill

Receive emails tracking this Bill's progress.

See all your alerts in a dashboard.

Set an alert with one click and you're done!