B.C. Reg. 439/2004, deposited October 1, 2004, pursuant to the SOCIAL SERVICE TAX ACT [Sections 70, 77 and 138] and the SOCIAL SERVICE TAX AMENDMENT ACT, 2004 [Section 18]. Order in Council 942/2004, approved and ordered September 30, 2004.

On the recommendation of the undersigned, the Administrator, by and with the advice and consent of the Executive Council, orders that the Social Service Tax Act Regulations, B.C. Reg. 84/58, are amended

(a) effective April 1, 2000, as set out in section 1 of the attached Schedule,

(b) effective October 1, 1993, as set out in section 2 of the attached Schedule,

(c) effective February 18, 2004, as set out in sections 3, 8 and 14 of the attached Schedule,

(d) effective February 18, 1998, as set out in section 4 of the attached Schedule,

(e) effective January 24, 1977, as set out in sections 5 and 6 of the attached Schedule,

(f) effective May 5, 1977, as set out in section 7 of the attached Schedule,

(g) effective March 11, 1980, as set out in section 9 of the attached Schedule,

(h) effective March 15, 1985, as set out in section 10 of the attached Schedule, and

(i) effective on the date of deposit, as set out in sections 11 to 13 of the attached Schedule.

— G. COLLINS, Minister of Finance; R. NEUFELD, Presiding Member of the Executive Council.

Schedule

1 Section 2.29 (1) of the Social Service Tax Act Regulations, B.C. Reg. 84/58, is amended by striking out "and" at the end of paragraph (b) and by repealing everything after paragraph (c) and substituting the following:

(d) public service listings of events, activities or attractions for which no consideration of any kind is paid or exchanged and for which editorial control rests solely with the publisher,

(e) business market quotations,

(f) sports scores,

(g) movie, theatre and other reviews,

(h) weather forecasts,

(i) comics,

(j) crosswords and similar puzzles,

(k) horoscopes,

(l) television listings, and

(m) letters to the editor,

but do not include covers, indices, tables of content, borders and duplicated or blank pages.

2 Section 2.45 (d) is repealed and the following substituted:

(d) a manufactured home that is a family residential dwelling unit; .

3 The following section is added to Division 2:

Inheritance

2.53 For the purposes of section 11 (4.2) (c) of the Act, section 11 (4.1) of the Act does not apply to tangible personal property transferred as part of the distribution of a deceased's estate.

4 The following section is added to Division 2:

Container

2.54 A container used by a seller to deliver a product for sale is exempt from tax under section 8 of the Act unless:

(a) the container is subject to a deposit, credit, penalty or replacement charge to encourage its return for reuse as a container,

(b) the seller retains an interest in the container after the sale of the product,

(c) the container, or a similar container, is required to be returned to the seller after the sale, or

(d) the product is sold in a jurisdiction where the container is subject to a regulatory or contractual scheme to recover the container for reuse by the seller or by other participants in the scheme.

5 Section 3.18 is repealed.

6 The following section is added:

Tax on manufactured homes

3.18.1 (1) For the purposes of section 6 (4.1) of the Act, tax is payable on 50% of the purchase price of the manufactured home.

7 Section 3.18.1 is amended by adding the following subsection:

(2) For the purposes of section 6 (4.2) of the Act, tax is payable on 55% of the purchase price of the manufactured home.

8 Section 3.18.1 is amended by adding ", or the fair market value if section 11 (4.1) of the Act applies," after "purchase price" wherever it appears.

9 Section 3.19 is amended

(a) by repealing subsection (1) (a) and substituting the following:

(a) it is a manufactured home referred to in section 6 (4.1) of the Act, and , and

(b) by repealing subsection (2).

10 Section 3.30 (1) (a) is repealed and the following substituted:

(a) a manufactured home that is designed for, and will be used as, a family residential dwelling unit, or .

11 The heading to Division 12 is repealed and the following substituted:

Division 12 — Taxable and Non-taxable Tangible Personal Property
Sold for a Single Price

12 Section 12 (2) (e) is amended by striking out "$25" and substituting "$50".

13 The following section is added to Division 12:

Purchase price

12.1 For the purposes of paragraph (f.1) (i) of the definition of "purchase price" in section 1 of the Act, the prescribed amount is $500.

14 The following Division is added:

Division 16 — Tangible Personal Property Incidental to a Sale

Incidental provision of tangible personal property

16.1 (1) For the purposes of the definition of "sale" in section 1 of the Act, the provision of tangible personal property is merely incidental to a contract for the provision of services that are not subject to tax under the Act in the following prescribed circumstances:

(a) in respect of the contract,

(i) the fundamental and overriding objective of the contract is the acquisition of the service and not the acquisition of the tangible personal property,

(ii) there is no separate purchase price for the tangible personal property, and

(iii) the total consideration payable for the service, including the tangible personal property provided, is the same as, or only marginally different from, what would be the total consideration payable for the service if the tangible personal property were not provided;

(b) the tangible personal property is an original blueprint on paper, disk or other medium provided by an engineer or architect under a contract for professional services;

(c) the tangible personal property is a scale model provided by an engineer or architect under a contract for professional services;

(d) the tangible personal property is a master audio recording on tape, disk or other medium provided under a contract with a recording studio for the use of their facilities and professional services;

(e) the tangible personal property is a master recording on tape, disk or other medium intended for general distribution, of

(i) a motion picture production,

(ii) a television production,

(iii) a radio production, or

(iv) a training video or film,

provided under a contract with a producer for professional services;

(f) the tangible personal property is an original graphic design on paper, disk or other medium provided by a graphic designer under a contract for professional services;

(g) the tangible personal property is the original design of advertising material on paper, disk, tape or other medium provided under a contract for professional services.

(2) For the purposes of subsection (1), "original" and "master" mean the first final version and do not include any subsequent copies.

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