Definitions

1  In this Act:

"commissioner" means the Commissioner of Income Tax;

"fiscal year" means the period, not longer than 12 months, for which the accounts of the business of a taxpayer have been or are ordinarily made up and accepted for purposes of assessment under this Act, and in the absence of such an established practice the fiscal period is that which the taxpayer adopts, except that if a taxpayer purports to change the taxpayer's usual and accepted fiscal period the minister may in his or her discretion disallow the change;

"income" includes

(a) the gross amount received or receivable as the product of capital, labour, industry or skill,

(b) all money earned and all gratuities and annuities, and

(c) all income, fees, revenue, rent, interest, dividends or profits arising from any source, including the federal, British Columbia and municipal governments

but nothing in paragraphs (a), (b) and (c) is to be construed as limiting the generality of any other of those paragraphs;

"mine" includes a work or undertaking in which mineral ore is extracted or produced, including a quarry;

"mineral ore" includes all unprocessed minerals or mineral bearing substances;

"minerals" includes every naturally occurring inorganic or fossilized organic substance that is mined, quarried or otherwise obtained from the earth at or below its surface, but does not include petroleum or natural gas or a mineral as defined in the Mineral Tax Act;

"mining operations" means the extraction or production of mineral ore from or in a mine, or its transportation to or any part of the distance to the point of egress from the mine, including its processing before or in the course of the transportation and includes, after removal from the mine,

(a) the processing of mineral ore,

(b) the manufacturing of mineral ore or processed mineral ore into any product, and

(c) the sale of any product which results from the processing or manufacturing referred to in paragraphs (a) or (b);

"owner", when used in respect of a mine or mineral claim, means

(a) the registered owner unless one of the following paragraphs applies,

(b) if a certificate of purchase or agreement for the sale of the land or mineral claim has been registered, the registered holder of the last registered certificate of purchase or agreement for sale,

(c) if a Crown grant has been issued and has not been registered, the grantee named in it,

(d) if a mine or mineral claim or a location within the meaning of the Coal Act has been leased or is operated under licence, royalty agreement or other such arrangement, the lessee or operator, or

(e) for a placer claim or lease, the holder or lessee;

"processing", as applied to mineral ore, includes all forms of beneficiation, smelting and refining and transporting and distributing, but does not include any of these operations that are performed with respect to mineral ore before its removal from the mine;

"taxes" includes all taxes on income imposed, assessed assessable or payable under this Act and all penalties and interest that are or may be added to taxes under this Act;

"taxpayer" includes person, partnership, syndicate, association, corporation, agent and trustee.

 Imposition of tax on net income from mining operations

2  (1)  As provided in this Act and for the raising of a revenue for Provincial purposes, every owner of a mine is to be assessed and taxed on the owner's net income derived from mining operations.

(2)  For the purposes of determining net income derived from mining operations, any income derived from the acquisition, storage or transportation of materials used in the manufacturing of mineral ore or processed mineral ore into any product must be included.

(3)  If the net income for the fiscal year exceeds

(a) in the case of the fiscal year being a full year, $50 000, or

(b) in the case of the fiscal year being less than a full year, the proportion of $50 000 that the number of days in the fiscal year bears to the number in the full year,

the tax must be assessed, levied and paid at the rate of 12.5% of the entire net income.

(4)  As a limit on subsection (3), the total tax payable under that subsection for a fiscal year must not exceed half the amount by which the entire net income exceeds

(a) $50 000 if the fiscal year is a full year, or

(b) the proportion of $50 000 referred to in paragraph (b) if the fiscal year is less than a full year.

(5)  The tax on the net income for a fiscal year is deemed to be the tax for the calendar year in which the fiscal year commenced.

(6)  For the purposes of this section, all mines owned, leased, worked or operated by the same person, or under the same general management or control or the income of which accrues to the same person, are, for the purpose of determining liability to taxation, deemed to be and must be dealt with as one and the same mine and not as separate mines.

(7)  If mining operations are carried on by 2 or more affiliated or associated corporations under the same general management or control or the income of which accrues for the benefit of the same shareholders, the income from the various operations must be combined and dealt with as the income of one and the same taxpayer.

(8)  Despite anything in this Act, if a corporation has computed its total net income for the purposes of section 4 in accordance with section 5 (1) during the period in which the corporation did not include in computing its income, income derived from the operation of a mine under the Income Tax Act (Canada), the aggregate of the amounts that, but for this subsection, would have been allowed under section 5 (2) in any subsequent year as expenses for

(a) costs incurred or disbursements laid out on account of the mine during, or in respect of, a period before the commencement of production of the mine as evidenced by notice to the commissioner under section 6, or

(b) depreciation of any matter used in or in relation to the mine

must be reduced by the aggregate of expenses claimed and allowed in computing total net income under section 5 (1).

 Nisg̱a'a exemption

2.1  (1)  In this section:

"Nisga Final Agreement" has the same meaning as in the Nisg̱a'a Final Agreement Act;

"person" has the same meaning as in paragraph 1 of the Fiscal Relations Chapter of the Nisg̱a'a Final Agreement;

"Taxation Agreement" means the Nisg̱a'a Nation Taxation Agreement tabled in the Legislative Assembly on November 30, 1998, but does not include any amendments made to that agreement after that date.

(2)  Despite section 2, a person is not subject to tax under this Act if and to the extent that the Taxation Agreement provides that the person is not subject to tax under this Act.

 Exclusion of certain income from calculation of tax

3  (1)  The income derived from the operation of a mine to which this section applies, other than a brine well, sand pit, gravel pit, clay pit, shale pit or stone quarry, during the period of 36 months commencing with the day on which the mine came into production, subject to the regulations made under this Act, must not be included in computing the income of the taxpayer for the purposes of this Act.

(2)  The exemption granted by this section applies to the income of a taxpayer from the mine earned on or after October 1, 1953.

(3)  If the exemption under this section expires during the course of a fiscal year of a taxpayer, the income of the taxpayer subject to taxation under this Act must be taxed in a proportion that the number of days in a fiscal year of that taxpayer after the date of the expiration of the exemption is to the number of days in a whole fiscal year.

(4)  This section applies only to a mine for which notice that the mine is in active production has been given to the commissioner, under section 6, before February 9, 1968.

(5)  Despite anything in this Act, if income earned after February 9, 1968 in this subsection referred to as "excluded income" is exempted under subsection (1), the aggregate of the amounts that, but for this subsection, would have been allowed under section 5 in any subsequent year as expenses for

(a) the costs incurred or disbursements, on account of the mine from which the excluded income was derived, during or in respect of, a period before the commencement of production of the mine as evidenced by notice to the commissioner under section 6, and the costs and disbursements during, or in respect of, a period of exemption granted by subsection (1), and

(b) depreciation of any matter used in or in relation to the mine in respect of a period of exemption granted by subsection (1),

must be reduced by the aggregate of the excluded income.

 Determining net income for tax purposes

4  (1)  The net income derived from mining operations must be ascertained for the purposes of taxation by deducting from the total net income of a taxpayer from all sources all of the following:

(a) the net income, if any, derived from dividends, interest or other similar payments from stock, shares, bonds, debentures, loans or other similar investments;

(b) the net income, if any, derived by the taxpayer from, and attributable in accordance with sound accounting principles to, the carrying on of a business or derived from and so attributable to a source other than mining operations, and other than as a return on investments mentioned in paragraph (a);

(c) an amount by way of return on capital employed by the taxpayer in processing or manufacturing mineral ore or products derived from it, equal to 8% of the original cost to the taxpayer of the depreciable assets including machinery, equipment, plant, buildings, works and improvements, owned by the taxpayer and used by the taxpayer during the fiscal year in the processing or manufacturing of mineral ore or products derived from it, but the amount to be deducted under this paragraph must not be less than 15% nor more than percentages, not exceeding 70%, prescribed by or calculated in accordance with regulations, of that portion of the total net profit remaining after deducting the amounts specified in paragraphs (a) and (b);

(d) the net income, if any, derived from mining operations outside British Columbia.

(2)  The Lieutenant Governor in Council may, for the purposes of subsection (1) (c), prescribe percentages or methods by which the percentages are to be calculated.

(3)  A regulation under subsection (2) may provide for different percentages according to the extent of the taxpayer's use of or investment in

(a) processing assets, and

(b) manufacturing assets.

 Determining total net income for taxation purposes

5  (1)  For the purposes of section 4, the total net income of the taxpayer must be ascertained by deducting from the taxpayer's gross income all expenses incurred in its production, but no deduction by way of expenses must be allowed for any of the following:

(a) disbursements not wholly, exclusively and necessarily laid out or expended for the purpose of earning the income;

(b) an outlay, loss or replacement of capital or a payment on account of capital or any depletion or obsolescence;

(c) the annual value of property used in connection with the business, except rent actually paid for the use of the property;

(d) amounts transferred or credited to a reserve, contingent account or sinking fund, except the amount for bad debts as is allowed at the discretion of the minister;

(e) carrying charges or expenses of unproductive property or assets not acquired for the purposes of the business or of a liability not incurred in connection with the business;

(f) an allowance for depreciation, except the amount as is allowed at the discretion of the minister for depreciation of vehicles, machinery, plant and buildings used in the production of the income if the depreciation has been actually charged by the taxpayer to the taxpayer's profit and loss account;

(g) a loss or expense recoverable under an insurance policy or contract of indemnity;

(h) the domestic or personal expenses of the taxpayer and the taxpayer's family;

(i) the net loss, if any, incurred in any business referred to in section 4 (1) (b) or (d).

(2)  Except as provided in this Act, if a taxpayer is a corporation assessable under the Income Tax Act (Canada), its total net income must be ascertained by adding to the taxable income computed in accordance with that Act an allowance or deduction made under it for any of the following:

(a) depletion or exhaustion of a mine;

(b) an amount deducted as a resource allowance under paragraph 20 (1) (v.1) of that Act;

(c) scientific research to the extent that the expenditures are made outside British Columbia;

(d) Provincial taxes on income from mining and logging operations;

(e) charitable donations to the extent that they are made to charities outside British Columbia and to the extent that the amount is greater than 5% of the net income taxable under this Act;

(f) losses sustained in other fiscal years;

(g) the net loss, if any, incurred in a business referred to in section 4 (1) (b) or (d);

(h) prospecting, exploration and development expenses to the extent that the expenditures are made outside British Columbia.

(3)  As an exception to subsection (2), for the duration of the period under the Income Tax Act (Canada) in which a corporation does not include in computing its income, income derived from the operation of a mine, or if no returns are filed under that Act, its total net income for the purposes of this Act must be ascertained in accordance with subsection (1) of this section.

(4)  In subsection (2), taxable income computed in accordance with the Income Tax Act (Canada) may be calculated for purposes of this Act as if sections 12 (1) (o), 18 (1) (m), 20 (1) (v.1) and 69 (6) and (7) of the Income Tax Act (Canada) had not been enacted, on the basis specified in the regulations.

(5)  Despite this section, no deduction must be made for purposes of this Act for royalties assessed for 1976 under the Mineral Royalties Act.

 Owner must give notice of production and shipping

6  (1)  It is the duty of the owner of every mine from which ore or mineral is being extracted or removed to promptly notify the commissioner of the fact that the mine is in active production and on discontinuance of active production to notify the commissioner of the discontinuance.

(2)  A person who ships, sends, takes or carries away or permits to be shipped, sent, taken or carried away from the premises of a mine any mineral or ore before the first notice required by subsection (1) has been given to the commissioner commits an offence.

 Return of income

7  (1)  Every owner of a mine liable to taxation under this Act must, within 6 months after the close of the owner's fiscal year, without any notice or demand, deliver to the commissioner a return of the owner's income during the fiscal year.

(2)  Every trustee in bankruptcy, assignee, liquidator, receiver, administrator and other similar person administering, managing, winding up, controlling or otherwise dealing with the property or business of a mine, the owner of which has failed to make a return under this Act, must make the required return.

 Power to demand information or return

8  (1)  If the commissioner desires information or a return from a person who has not made a return or a complete return, the commissioner may, by registered letter, demand from the person the information or return.

(2)  The person must deliver to the commissioner the information or return required within 30 days after the date of the mailing of the letter making the demand.

(3)  In proceedings under this Act an affidavit by the commissioner in which are stated the facts necessary to establish compliance by the commissioner with this section or default by the person on whom a demand is made must be admitted as evidence in a court, and is proof in the absence of evidence to the contrary of the facts stated.

(4)  An affidavit under subsection (3) must have attached to it as an exhibit a copy of the letter making the demand.

 Form of return

9  (1)  A return required to be made under this Act must

(a) be in the form prescribed by the commissioner, and

(b) set out fully the information that the form calls for.

(2)  The person required to make the return must deliver it to the commissioner within the time set for the making of the return.

(3)  The commissioner may at any time extend the time for the making of a return.

(4)  A return in the case of a corporation or partnership must be made and signed by an officer or member having a personal knowledge of the affairs of the corporation or partnership.

 Power of commissioner to make assessment

10  (1)  The commissioner is not bound to accept as correct the return made by a person, but if the commissioner thinks it necessary or expedient or if the commissioner suspects that a person who has not made a return is liable to assessment, the commissioner or an officer designated by the commissioner must make an independent investigation of the income of that person.

(2)  For the purposes of subsection (1), the commissioner or officer

(a) may enter any premises and examine any property there,

(b) is to have access to and may examine and take copies of and extracts from all books, accounts, vouchers and documents of that person,

(c) may make his or her own valuation and assessment of the taxable amount of the income, and

(d) may in any case examine the person on oath or otherwise.

(3)  For the purposes of subsection (2) (d), on request by the commissioner or officer, the person must attend and submit to an examination.

(4)  If the minister has reason to believe that

(a) a transaction relating to mining operations or processing or to the sale of mineral ore has not been conducted between the parties at arm's length, and

(b) the consideration for the transaction is less than the amount or other consideration that would have been reasonable in the circumstances if the parties had been dealing at arm's length,

the minister may determine a reasonable consideration and the income of the appropriate party, if a taxpayer, is deemed to include a sum equal to the difference between the consideration and the consideration so determined by the minister.

 Inquiry respecting income

11  (1)  An officer authorized in writing by the minister may make the inquiry he or she considers necessary to ascertain the income of the owner of a mine.

(2)  For the purpose of an inquiry under subsection (1), the officer has all the powers and authority conferred on commissioners under Part 2 of the Inquiry Act.

 Taxpayer must keep records and accounts

12  (1)  A taxpayer must keep adequate books of account and records for the purpose of this Act.

(2)  If the books or records kept by a taxpayer are in the opinion of the commissioner inadequate for those purposes, the commissioner may specify the books and records to be kept by that person.

(3)  The minister may direct the commissioner to make the commissioner's own valuation and assessment of the taxable amount of the income of a taxpayer if,

(a) in the opinion of the minister, the books of account and records kept by a taxpayer are inadequate for the purpose of this Act,

(b) a taxpayer, on the request of the commissioner, fails or refuses to produce the taxpayer's books of account or records for examination by the commissioner, or

(c) a taxpayer alleges that the books of account or records kept by the taxpayer have been lost or destroyed.

 Duty of certain persons to give information

13  A person who, in any capacity, is in receipt of any money, thing of value or profits or gains arising from any source of or belonging to an owner of a mine must, when required to do so by notice from the commissioner, prepare and deliver to the commissioner information required within 30 days after the date of the mailing of the notice.

 Information must be kept confidential

14  A person who has custody of or control over information or records under this Act must not disclose the information or records to any other person except as follows:

(a) in the course of administering or enforcing this or another taxation Act;

(b) in court proceedings relating to this or another taxation Act;

(c) as provided in, or ordered under, section 39 (3), 40 (1), 99 (5) or 100 (1) of the Family Relations Act or section 8 (3) or 9 (2) of the Family Maintenance Enforcement Act;

(d) under an agreement that

(i)  is between the government and another government,

(ii)  relates to the administration or enforcement of taxation enactments, and

(iii)  provides for the disclosure of information and records to and the exchange of similar information and records with that other government;

(e) for the purpose of the compilation of statistical information by the government or the government of Canada.

 Duty to pay tax with return

15  (1)  Taxes imposed by this Act are deemed to be due on the last day of the fiscal year of the taxpayer for which the taxes are imposed.

(2)  An owner of a mine liable to pay a tax under this Act must pay on account of tax,

(a) not later than the close of the fiscal year for which the tax is payable, an amount equal to 1/2 of the tax as estimated by the owner on the income for the last preceding fiscal year or for the fiscal year for which the tax is payable at the rate currently applicable under this Act,

(b) not later than the last day of the third month following the month in which the fiscal year for which the tax is payable closed, an amount equal to 1/2 the unpaid balance of the tax so estimated, and

(c) at the time of making the return required under section 7, the balance of tax payable as estimated by the taxpayer in the return.

(3)  If the amount paid under subsection (2) is less than the amount of tax payable for the fiscal year, the taxpayer must pay interest at a rate prescribed by the Lieutenant Governor in Council on the difference between the 2 amounts from the end of the time for filing the return to the date of payment.

(4)  If a taxpayer, being required to make a payment under subsection (2), has failed to pay all or any part of it as required, in addition to interest payable under subsection (3), the taxpayer must pay interest at a rate prescribed by the Lieutenant Governor in Council on the amount the taxpayer failed to pay from the earlier of

(a) the day on which the taxpayer was required to make the payment to the day of payment, or

(b) the beginning of the period for which the taxpayer became liable to pay interest on it under subsection (3).

(5)  For the purposes of subsection (4), the taxpayer is deemed to have been liable to pay a part or instalment under subsection (2) computed by reference to the tax payable for

(a) the last preceding fiscal year, or

(b) the fiscal year in respect of which the tax is payable,

whichever is the lesser.

 Duty of trustee to pay tax

16  A person who is required by section 7 (2) to make a return respecting an owner's income must, to the extent of the property or business that the person is administering, managing, winding up or otherwise controlling or dealing with, pay any tax and interest and penalties assessed and levied with respect to the income before making any distribution of the property or business.

 Certificate for distribution of estate

17  A trustee in bankruptcy, assignee, administrator and other similar person, before distributing any assets under the person's control, must obtain a certificate from the commissioner certifying that no unpaid assessment of income tax, interest and penalties properly chargeable against the person, property or business remains outstanding.

 Examination of returns

18  The commissioner must cause all returns received by the commissioner to be examined as soon as practicable after their receipt.

 Notice of assessment

19  (1)  After completion of the examination of a taxpayer's return of income, the commissioner must

(a) by assessment verify or alter the amount of the tax as estimated by the taxpayer in the return, and

(b) give a notice of the assessment to the taxpayer, which notice must be dated as of the day on which it is mailed.

(2)  An additional amount of tax found due over the estimated amount, as shown by the notice of assessment, must be paid by the taxpayer to the commissioner not later than 30 days after the day on which the notice of assessment is issued.

 Continuing liability for assessment of tax

20  (1)  Despite a prior assessment, if any, a taxpayer continues to be liable for taxes and to be assessed for them, and the commissioner may assess or reassess a taxpayer for taxes at any time if the taxpayer has made a misrepresentation or committed a fraud in making his or her return or supplying information under this Act.

(2)  Unless subsection (1) applies, the commissioner may assess or reassess a taxpayer for taxes only

(a) within 5 years after the date of the original assessment, or

(b) during the effective period of a waiver filed with the commissioner under subsection (3).

(3)  If, under the Income Tax Act (Canada), a taxpayer has filed a notice of objection or a waiver of the assessment period, the taxpayer must file with the commissioner a waiver of the assessment period under this Act.

(4)  A waiver referred to in subsection (3) is of no effect for the purposes of subsection (2) (b) unless it is filed within 5 years of the date of the original assessment.

(5)  A waiver filed under subsection (3) continues in effect until 6 months after the commissioner receives from the taxpayer

(a) notice that the objection or waiver filed under the Income Tax Act (Canada) has been terminated, and

(b) a copy of any resulting reassessment under the Income Tax Act (Canada).

 Overpayment must be refunded or applied to further taxes

21  (1)  If the examination of a taxpayer's return discloses that an overpayment has been made by the taxpayer, the minister, on the certificate of the commissioner as to the facts, must cause a refund of the amount overpaid to be made to the taxpayer from the consolidated revenue fund.

(2)  Despite subsection (1), if further tax payable by that taxpayer is due or accruing due, the amount overpaid must, to the extent of it, be applied in satisfaction of the tax, and notice of it must be given to the taxpayer, accompanied by the refund of any remainder of the amount overpaid remaining unapplied.

(3)  A refund under this section may be made with the notice of assessment or before or after the giving of the notice of assessment, but a refund of an amount of less than $1 must not be made.

 How a notice of assessment is to be given

22  (1)  A notice of assessment under this Act must be in writing, and is sufficiently given if it is

(a) delivered to the taxpayer personally, or

(b) delivered at or is mailed addressed to the address of the taxpayer as stated in the taxpayer's last return made under this Act or as last known to the commissioner.

(2)  For the purposes of subsection (1), if the address is not known to the commissioner, the notice of assessment may be mailed addressed to the taxpayer at the post office nearest to the place where the income arose.

(3)  The notice of assessment is, for all purposes of this Act, deemed to be given to the taxpayer on the day on which it is delivered or mailed.

(4)  Subject to an appeal provided by this Act, the entry by the commissioner or by a person under the commissioner's direction of particulars of the assessment and taxation of a person for income under this Act in any book or document kept by the commissioner, or the giving of a notice of assessment to a person under this Act, constitutes due assessment and taxation of that person for all purposes of this Act for the income set out in the entry or notice.

 Assessment may be appealed to minister

23  (1)  Except as otherwise provided in this Act, a person who objects to the amount at which the person is assessed or who considers that he or she is not liable to taxation, may personally or by agent, within 90 days after the date of the giving of the notice of assessment provided for in this Act, serve a notice of an appeal from it to the minister by mailing it by registered mail addressed to the Commissioner of Income Tax, Victoria, British Columbia.

(2)  The notice must

(a) state the name and address of the taxpayer, the amount of the tax and date of the notice of assessment, and

(b) set out clearly and fully the reasons for the appeal and the facts on which it is based.

(3)  On receipt of the notice of appeal, the commissioner must place the notice before the minister.

(4)  The minister must

(a) consider the notice and the information and documents on file in the office of the commissioner,

(b) affirm or amend the assessment appealed from, and

(c) notify the appellant of the minister's decision.

 Further appeal to Supreme Court

24  (1)  A decision of the minister under section 23 (4) may be appealed to the Supreme Court by way of an originating application.

(2)  The Rules of Court relating to originating applications apply, but Rule 49 does not apply.

(3)  A petition must be filed in the court registry within 90 days after the date on the minister's notification of decision.

(4)  Within 14 days after the filing of the petition under subsection (3), it must be served on the government in accordance with section 8 of the Crown Proceeding Act and the government must be designated "Her Majesty the Queen in right of the Province of British Columbia".

(4.1)  An appeal under this section is a new hearing that is not limited to the evidence and issues that were before the minister.

(5)  The court may

(a) dismiss the appeal,

(b) allow the appeal,

(c) vary the decision from which the appeal is made, or

(d) refer the decision back to the commissioner for reconsideration.

 Further appeal to Court of Appeal

25  An appeal lies from a decision of the Supreme Court under section 24 to the Court of Appeal with leave of a justice of the Court of Appeal.

 Irregularity in procedure does not affect assessment

26  An assessment must not be varied or disallowed because of an irregularity, informality, omission or error on the part of a person in the observation of a directory provision up to the date of the issuing of the notice of assessment.

 Due date of tax not affected by appeal

27  (1)  Neither the giving of a notice of appeal by a taxpayer or any delay in the hearing of the appeal in any way affects the due date, the interest or penalties or liability for payment provided by this Act for tax that is the subject matter of the appeal or in any way delays the collection of the tax.

(2)  Despite subsection (1), if the tax is set aside or reduced on appeal, the minister must refund to the taxpayer

(a) the amount of the tax or excess tax paid by the taxpayer, and

(b) any additional interest or penalty imposed and paid on the tax or excess.

 Tax constitutes a lien in favour of the government

28  (1)  A tax imposed or assessed under this Act forms a lien and charge in favour of the government on the entire assets of the taxpayer or of the taxpayer's estate in the hands of a trustee, effective on the last day of the fiscal year of the taxpayer for which the tax is imposed, and has priority over all other claims of every person, except claims secured by liens, charges or encumbrances registered prior to that date.

(2)  The liens and charges created by this section and their priority are not lost or impaired by

(a) neglect, omission or error of the commissioner or of any agent or officer or by the taking or failure to take proceedings to recover the taxes due,

(b) the tender or acceptance of partial payment of the taxes, or

(c) want of registration.

 Notice of tax recovery proceedings

29  (1)  Before taking proceedings for the recovery of a tax under this Act, the commissioner must give notice to the taxpayer of the intention to enforce payment.

(2)  Failure to give a notice under subsection (1) does not affect the validity of proceedings taken for the recovery of a tax under this Act.

 Recovery of tax by court action

30  (1)  The amount of a tax that is due and payable may be recovered by action in a court as for a debt due to the government.

(2)  The court may make an order as to the costs of the action under subsection (1) in favour of or against the government.

 Recovery of tax by filing certificate of nonpayment with court

31  (1)  If default is made in the payment of a tax that is due and payable under this Act, or any part of the tax, the commissioner may

(a) issue a certificate stating that the tax was assessed, the amount of it remaining unpaid, including interest and penalties, and the name of the person by whom it is payable, and

(b) file the certificate with a district registrar of the Supreme Court.

(2)  When filed, a certificate under subsection (1) has the same effect and all proceedings may be taken on it as if it were a judgment of the court for the recovery of a debt of the amount stated in the certificate against the person named in it.

 Recovery of tax by attachment of amounts owed to taxpayer

32  (1)  If the commissioner has knowledge or suspects that a person is or is about to become indebted or liable to make a payment to a taxpayer, the commissioner may demand that the person pay the money otherwise payable to the taxpayer in whole or in part to the commissioner on account of the taxpayer's liability under this Act.

(2)  Without limiting subsection (1), if the commissioner has knowledge or suspects that a person is about to advance money to, or make a payment on behalf of, or make a payment in respect of a negotiable instrument issued by a taxpayer, the commissioner may demand that the person pay to the commissioner on account of the taxpayer's liability under this Act the money that would otherwise be so advanced or paid.

(2.1)  A demand under this section may be served by

(a) personal service,

(b) registered mail, or

(c) electronic mail or fax.

(3)  If under this section the commissioner demands that a person pay to the commissioner, on account of the liability under this Act of a taxpayer, money otherwise payable by the person to the taxpayer as interest, rent, remuneration, a dividend, an annuity or other periodic payment, the demand

(a) is applicable to all of those payments to be made by that person to the taxpayer until the liability under this Act is satisfied, and

(b) operates to require payments to the commissioner out of each payment of the amount stipulated by the commissioner in the demand.

(4)  Money or a beneficial interest in money in a savings institution

(a) on deposit to the credit of a taxpayer at the time a demand is served, or

(b) deposited to the credit of a taxpayer after a demand is served

is money for which the savings institution is indebted to the taxpayer within the meaning of this section, but money on deposit or deposited to the credit of a taxpayer as described in paragraph (a) or (b) does not include money on deposit or deposited to the credit of a taxpayer in the taxpayer's capacity as a trustee.

(5)  A demand under this section continues in effect until

(a) the demand is satisfied, or

(b) 90 days after the demand is served,

whichever is earlier.

(6)  Despite subsection (5), if a demand is made in respect of a periodic payment referred to in subsection (3), the demand continues in effect until it is satisfied unless no periodic payment is made or is liable to be made within 90 days after the demand is served, in which case the demand ceases to have effect on the expiration of that period.

(6.1)  Money demanded from a person by the commissioner under this section becomes payable

(a) as soon as the person is served with the demand, if the person is indebted or liable to make a payment to the taxpayer at the time the demand is served, or

(b) as soon as the person becomes indebted or liable to make a payment to the taxpayer, in any other case.

(7)  A person who fails to comply with a demand under subsection (1) or (3) is liable to pay to the government an amount equal to the amount that the person was required to pay to the commissioner under the applicable subsection.

(8)  A person who fails to comply with a demand under subsection (2) is liable to pay to the government an amount equal to the lesser of

(a) the aggregate of the money advanced or paid, and

(b) the amount that the person was required under that subsection to pay to the commissioner.

(9)  The receipt of the commissioner for money paid under this section is a good and sufficient discharge of the original liability to the extent of the payment.

(10)  Money paid by any person to the commissioner in compliance with a demand under this section is deemed to have been paid by the person to the taxpayer.

(11)  If a person carries on business under a name or style other than his or her own name, the demand under subsection (1), (2) or (3) may be addressed to the name or style under which the person carries on business and, in the case of personal service, is deemed to have been validly served if it was left with an adult person employed at the place of business of the addressee.

(12)  If persons carry on business in partnership, the demand under subsection (1), (2) or (3) may be addressed to the partnership name and, in the case of personal service, is deemed to have been validly served if it was served on one of the partners or left with an adult person employed at the place of business of the partnership.

 Recovery of tax by distress of taxpayer's goods and chattels

33  (1)  The commissioner or the commissioner's agent may levy the amount of a tax that is due and payable, with costs, by distress of goods and chattels

(a) of the person liable to pay the tax or in the person's possession, wherever they may be found in British Columbia, or

(b) found on the person's premises the property of or in the possession of any other occupant of the premises and that would be subject to distress for arrears of rent due to a landlord.

(2)  The costs chargeable under subsection (1) are those payable as between landlord and tenant.

(3)  If distress is made for the recovery of a tax, the commissioner or the commissioner's agent must, by advertisement posted up in at least 3 conspicuous public places in the locality where the sale of the property distrained is to be made, give at least 10 days' public notice of the time and place of the sale and of the name of the taxpayer whose property is to be sold.

(4)  At the time named in the notice under subsection (3), the commissioner or the agent must sell at public auction the property distrained or so much of it as may be necessary.

(5)  If the property distrained is sold for more than the amount of the tax and costs and if no claim to the surplus is made by any other person on the ground that the property sold belonged to that person or that the person was entitled by lien or other right to the surplus, the surplus must be paid to the person in whose possession the property was when the distress was made and that person's receipt must be taken for it.

(6)  If a claim is made by the person for whose taxes the property was distrained and the claim is admitted, the surplus must be paid to the claimant and that person's receipt must be taken for it.

(7)  If the claim is contested, the surplus must be retained by the commissioner until the respective rights of the parties have been determined by action at law or otherwise.

 More than one recovery power may be exercised

34  (1)  The powers conferred by this Act for the recovery of taxes by action in court, by filing a certificate under section 31, by distress under section 33 and by a demand under section 32 may be exercised separately, concurrently or cumulatively.

(2)  The liability of a person for the payment of a tax under this Act is not affected in any way by the fact that a fine or penalty has been imposed on or paid by the person for a contravention of this Act.

 Limitation period

34.1  (1)  In this section, "proceeding" means

(a) an action for the recovery of taxes,

(b) the filing of a certificate,

(c) the making of a demand, and

(d) the registration or enforcement of a lien

under this Act.

(2)  A proceeding may be commenced at any time within 7 years after the date of an assessment or re-assessment of the amount claimed in the proceeding.

(3)  Despite subsection (2), a proceeding that relates to a contravention of this Act or the regulations and that involves willful default or fraud may be commenced at any time.

 Offence of failing to make return

35  (1)  A taxpayer who fails to deliver a return under section 7 (1) within the time prescribed must pay a penalty of an amount equal to 10% of the tax payable by the taxpayer that was unpaid when the return was required to be delivered.

(2)  A taxpayer who fails to complete the information required on the return to be delivered under section 7 (1) must pay a penalty of an amount equal to 1% of the tax payable by the taxpayer but the penalty must not be less than $20 or more than $100.

 Failure to make returns under section 7 (2)

36  A person who fails to deliver a return under section 7 (2) within the time prescribed is liable to a penalty of $10 for each day during which the default continues.

 Offences of contravening specified sections

37  (1)  A person who fails to comply with section 8, 10, 12, 13, 16 or 17 commits an offence.

(2)  A person who commits an offence under subsection (1) is liable on conviction to a fine of not less than $10 for each day the failure to comply continues.

 Offence of contravening section 14

38  (1)  A person who contravenes section 14 commits an offence.

(2)  A person who commits an offence under subsection (1) is liable on conviction to a fine of up to $2 000.

 Offence of tax evasion

39  (1)  A person who does any of the following commits an offence:

(a) makes or participates in or acquiesces in the making of false or deceptive statements in a return, certificate or statement made as required under this Act;

(b) evades the payment of tax by destroying, altering, mutilating or hiding or otherwise disposing of the records of an owner of a mine;

(c) makes or acquiesces in the making of a false or deceptive entry or omits or acquiesces in the omission of entering a material particular in the records of an owner of a mine;

(d) wilfully in any manner evades or attempts to evade the payment of tax;

(e) conspires with another person to do anything referred to in paragraphs (a) to (d).

(2)  A person who commits an offence under subsection (1) is liable on conviction to a fine of not less than $200 and not more than $10 000 and double the amount of tax that the owner of a mine failed to pay, attempted to evade or conspired to evade or to imprisonment for a term of not longer than 2 years or to both a fine and imprisonment.

 Officers and directors of corporation liable for offence of corporation

40  If a corporation is guilty of an offence under this Act, an officer, director or agent of the corporation who directed, authorized, assented to, acquiesced or participated in the commission of the offence is a party to and guilty of the offence.

 Prosecution of offences

41  (1)  An information or complaint under this Act may be laid or made by a person authorized by the minister.

(2)  An information or complaint for contravening this Act may be for one or more offences.

(3)  No information, complaint, warrant, conviction or other proceeding in a prosecution under this Act is objectionable or insufficient only because it relates to 2 or more offences.

 Limitation of time for prosecutions

42  An information for an offence against this Act must be laid within 6 years from the time when the matter of the information arose.

 Fines into consolidated revenue fund

43  All fines recovered under this Act must be paid to the minister and form part of the consolidated revenue fund.

 Method of providing notices and demands

44  (1)  Other than a notice of assessment, a notice or a demand that the minister or the commissioner or any officer is authorized or required to give to or make on a person under this Act

(a) must be in writing directed to the person, and

(b) is sufficiently given or made if it is delivered to the person personally or if it is delivered at or is mailed by registered mail addressed to the person's address as stated in the person's last return made under this Act or as last known to the commissioner.

(1.1)  A demand under section 32 is sufficiently given if it is delivered as set out in subsection (1) of this section or is sent by electronic mail or fax to the electronic mail address or fax number stated in the person's last return or to the last electronic mail address or fax number known to the commissioner.

(2)  Proof of the receipt by any person of any notice or demand referred to in subsection (1) may be established in a court by showing that the notice or demand was delivered, mailed or sent in a manner provided in that subsection.

(3)  For the purposes of subsection (2), the burden of proof is on the person seeking to establish the fact that the notice or demand was not received by the person.

(4)  For the purpose of a prosecution or proceeding in respect of a matter arising under this Act, the facts necessary to establish the giving of a notice or the making of a demand or to establish compliance on the part of the commissioner or other officer with this Act or to establish the failure of a person to comply with this Act may be sufficiently proved in a court by the production of an affidavit of the commissioner or other officer of the Ministry of Finance setting out the facts.

 Appointment of ministry officials

45  There are to be appointed in the ministry, under the Public Service Act, the officers and employees considered necessary for the administration of this Act.

 Delegation of commissioner's powers

46  (1)  With the approval of the minister, the commissioner may authorize an officer of the ministry to perform and exercise those of the duties imposed and powers conferred by this Act on the commissioner as may, in the opinion of the commissioner, be conveniently performed or exercised by that officer.

(2)  The performance or exercise of the duties or powers by an officer authorized under subsection (1) has the same effect as if they were performed or exercised by the commissioner.

 Power to make regulations

47  The Lieutenant Governor in Council may make regulations referred to in section 41 of the Interpretation Act.

 Transition

48  (1)  In this section, "quarry material" means a mineral that is

(a) limestone,

(b) dolomite,

(c) marble,

(d) shale,

(e) clay,

(f) volcanic ash, or

(g) diatomaceous earth.

(2)  Despite any other provision of this Act, if, in the fiscal year of an owner that includes December 31, 2000, any of the owner's net income is derived from mining operations involving quarry material,

(a) if the fiscal year ends on December 31, 2000, this Act applies to that fiscal year,

(b) if the fiscal year ends after December 31, 2000, this Act applies to the fiscal year except that the amount of tax that the owner must pay under this Act for the fiscal year is the amount of tax that the owner would, without this paragraph, be obliged to pay under this Act for the fiscal year multiplied by the number of days in the fiscal year before January 1, 2001 and divided by the number of days in the fiscal year, and

(c) this Act does not apply to any fiscal year of the owner after the fiscal year referred to in paragraph (a) or (b) of this subsection.

(3)  Despite any other provision of this Act, if, in the fiscal year of an owner that includes December 31, 2000, none of an owner's net income is derived from mining operations involving quarry material, this Act does not apply to any fiscal year of the owner that begins on or after July 1, 2000.

(4)  Nothing in this section affects the application of this Act to fiscal years of an owner that end before December 31, 2000.