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SOCIAL SERVICE TAX ACT
Social Service Tax Act Regulations — Continued
B.C. Reg. 84/58
Division 3 — Application of Tax
3.1 Repealed. [B.C. Reg. 305/81, s. 1.]
3.2 The expression "as part of one transaction" occurring in section 18 (2) of the Act shall not include a transaction or transactions where several articles are purchased from different departments of the same vendor.
3.3 Repealed. [B.C Reg. 92/66.]
3.4 (1) If a person who sells tangible personal property at a sale in British Columbia is not required to collect tax from the person acquiring the tangible personal property because
(a) the sale is not a retail sale, or
(b) the sale is a retail sale and
(i) the tangible personal property is exempt from tax under section 76 (1) (b), (c) or (c.1) of the Act or section 13.10.3 (2) of this regulation, or
(ii) the purchaser is exempt from tax in relation to the sale under section 78 (1) of the Act,
the person selling the tangible personal property must
(c) record on the invoice or other similar document the number of the registration certificate issued under section 92 (2) of the Act to the person acquiring the tangible personal property, or
(d) obtain from the person acquiring the property a completed Certificate of Exemption in a form authorized by the commissioner.
(2) A person who in the Province leases tangible personal property to a lessor is not required to collect tax from the lessor and shall record on the invoice or other similar document the number of the registration certificate issued to the lessor under section 92 (2) of the Act.
[en. B.C. Reg. 244/90, s. 1; am. B.C. Reg. 105/2002, s. 2.]
3.4.1 Repealed. [B.C. Reg. 126/2001, s. 2.]
3.5 and 3.6 Repealed. [B.C. Reg. 244/90, s. 1.]
3.7 Wood, when used as a fuel, is exempt from the application of the tax.
3.8 Repealed. [B.C. Reg. 96/88, s. 3.]
3.9 (1) Sales of any form of animal life, of a kind the products of which ordinarily constitute food for human consumption, are exempt from the application of the tax.
(2) Sales of any plants or trees that produce food for human consumption are exempt from the application of the tax.
3.10 Sales of feed for any form of animal life, of a kind the products of which ordinarily constitute food for human consumption or are to be sold in the regular course of business, are exempt from the application of the tax.
3.11 Repealed. [B.C. Reg. 79/87, s. 4.]
3.12 (1) Household goods and equipment brought into British Columbia by an individual for the individual's sole personal use are exempt from tax under section 11 of the Act if it is shown to the satisfaction of the commissioner that the goods and equipment
(a) arrived in British Columbia within 6 months of the individual becoming a resident of British Columbia, or would have so arrived if it was not for circumstances that made it impractical for the individual to have brought them in within that time, and
(b) are owned, physically possessed and used by the individual for at least 30 days before the individual became a resident of British Columbia.
(2) Approval is given for the remission of the obligation that an individual pay tax under section 11 of the Act on household goods and equipment brought into British Columbia between the date this subsection comes into force and 6 years before that date provided, within 6 years of the date on which the goods and equipment were brought into British Columbia, it is shown to the satisfaction of the commissioner that the goods and equipment
(a) arrived in British Columbia within 6 months of the individual becoming a resident of British Columbia, or would have so arrived if it was not for circumstances that made it impractical for the individual to have brought them in within that time, and
(b) are owned, physically possessed and used by the individual for at least 30 days before the individual became a resident of British Columbia.
(3) Tangible personal property that qualified for exemption under subsection (1) or (2) at the time that property entered British Columbia and that is subsequently used for a business purpose is exempt from tax imposed under section 9 (1.1) of the Act
(a) if the conversion to business use does not occur within the first 6 months after that property is brought into British Columbia, and
(b) if both of the conditions set out in the following subparagraph (i) or both of those set out in the following subparagraph (ii) are met:
(i) it is shown to the satisfaction of the commissioner that
(A) tax was paid to another province by the individual referred to in subsection (1) or (2) in respect of the tangible personal property, and
(B) that individual was not eligible for a refund or rebate under the law of the other province;
(ii) the tangible personal property
(A) is not a vessel, motor vehicle or aircraft, and
(B) was owned, physically possessed and used by the individual referred to in subsection (l) or (2) for more than 3 years before he or she moved to British Columbia.
[en. B.C. Reg. 100/96; am. B.C. Reg. 259/99, s. 1.]
3.12.1 (1) In this section, "vehicle" and "vehicle registration legislation" have the same meaning as in section 5.18 (1).
(2) A vehicle that
(a) is purchased
(i) primarily for use outside the Province, and
(ii) where the purchaser is an individual, by a person who is not resident in the Province,
(b) will not be registered or licensed pursuant to the vehicle registration legislation except for the purpose of removing it from the Province under an interim vehicle licence issued under section 12.01 of the regulations pursuant to the Motor Vehicle Act, and
(c) will not be used for a business purpose in the Province
is exempt from the application of the tax.
(3) On the sale of a vehicle described in subsection (2), the purchaser and the vendor shall complete a form specified by the commissioner.
(4) All forms completed by a vendor and purchaser under this section during a reportable period referred to in section 5.2 shall, within 15 days after the end of the reportable period, be delivered by the vendor to the commissioner with the vendor's return for that reportable period.
[en. B.C. Reg. 64/85, s. 4; am. B.C. Reg. 344/87, s. 2; 57/92, s. 1.]
3.12.2 (1) An aircraft that
(a) is purchased
(i) primarily for use outside the Province, and
(ii) where the purchaser is an individual, by a person who is not resident in the Province, and
(b) will not be used for a business purpose in the Province
is exempt from the application of the tax.
(2) On the sale of an aircraft described in subsection (1), the purchaser and the vendor shall complete a form specified by the commissioner.
(3) Section 3.12.1 (4) applies also in respect of forms completed under this section.
[en. B.C. Reg. 64/85, s. 4; am. B.C. Reg. 22/93, s. 1.]
3.13 (1) Where a motor vehicle is sold within the Province to a non-resident of the Province and the vehicle is subsequently taken out of the Province within 30 days of the date of such sale to be used primarily outside the Province, then the tax collected at the time of sale may be refunded by the minister on receipt of satisfactory evidence.
(2) Where a motor vehicle is sold within the Province, but the vehicle is subsequently resold within 7 days to another person, the first sale shall be deemed to be a sale for resale, and the tax paid by the purchaser in the first instance may be refunded by the minister on receipt of satisfactory evidence that the tax was wrongly paid.
(3) Where a motor vehicle is sold within the Province to a resident of the Province and the vehicle is subsequently taken out of the Province to another jurisdiction by the purchaser within 30 days of the date of such sale, to be used solely outside the Province, then the tax collected at the time of sale shall be refunded by the minister on receipt of evidence that the purchaser
(a) established residence in that other jurisdiction within 30 days of the date of the sale,
(b) was required to pay a retail sales tax on registration of the vehicle under the laws of that other jurisdiction, and
(c) purchased the vehicle on or after March 1, 1981.
(4) The minister, on evidence satisfactory to the minister, may refund tax paid by a purchaser of a motor vehicle if
(a) the motor vehicle is purchased within British Columbia by a non-resident of British Columbia,
(b) the motor vehicle is taken out of British Columbia within 6 months of the date of its purchase for use primarily outside the Province, and
(c) a retail sales tax is paid by the purchaser on registration of the motor vehicle under the laws of the jurisdiction to which the motor vehicle is taken.
[am. B.C. Regs. 85/81; 64/85, s. 5; 46/92.]
3.13.1 (1) In this section:
“dealer” means a person registered as a motor dealer under the Motor Dealer Act;
“dealer use vehicle” means a new or used motor vehicle that is
(a) readily available for sale or lease by the dealer, and
(b) used only in one or more of the following ways:
(i) by a dealer or an officer, salesperson or employee of the dealer for any purpose related to the dealer’s business as a motor dealer;
(ii) by a dealer or an officer, salesperson or employee of the dealer for transportation between home and the dealer’s place of business;
(iii) as a courtesy car;
“donated vehicle” means a new or used motor vehicle that is
(a) except while being used for a purpose described in paragraph (b), readily available for sale or lease,
(b) provided by the manufacturer or dealer, at his or her own expense, to organizers of or participants in a community event solely for use during the event,
(c) returned to the manufacturer or dealer at the conclusion of the event, and
(d) on return under paragraph (c), either returned to the resale or lease inventory of the manufacturer or dealer, or sold by the manufacturer or retailer;
“manufacturer” means a person who makes motor vehicles and sells them at wholesale to dealers for subsequent retail sale;
“parts delivery vehicle” means a new or used motor vehicle that is
(a) temporarily removed from a dealer’s sale or lease inventory on or after February 19, 2003,
(b) used only by the dealer, or by an officer, salesperson or employee of the dealer, and
(c) used only to transport motor vehicle parts in the course of the dealer’s business.
(2) For the purpose of the definitions of “dealer use vehicle” and “donated vehicle” in subsection (1), a vehicle is not readily available for sale or lease if the vehicle
(a) is dedicated to a specific use, including, for example, a vehicle used for racing, a tow truck, or a van used to transport customers, or
(b) is not usually left on the business premises of the dealer or manufacturer during normal business hours.
(3) In order to relax the strictness of the tax imposed by the Act, the amount of tax payable by
(a) a dealer in respect of a dealer use vehicle,
(b) a dealer or a manufacturer in respect of a donated vehicle, or
(c) a dealer in respect of a parts delivery vehicle,
is a reduced amount of tax calculated in accordance with subsection (4) and payable monthly.
(4) The amount of tax payable by a dealer or manufacturer at the end of each calendar month in respect of a vehicle that is used as a dealer use vehicle, parts delivery vehicle or donated vehicle during that month is 1.75% of the tax that, but for this section, would have been payable by the dealer or manufacturer under section 9 (1) of the Act.
[en. B.C. Reg. 117/94; am. B.C. Regs. 180/2000; 55/2003, s. 3.]
3.13.2 Repealed. [B.C. Reg. 126/2001, s. 2.]
3.14 (1) In this section:
"parent corporation" means a corporation which owns beneficially at least 95% of the outstanding shares of each class of the share capital of another corporation;
"related corporation" means a corporation which is associated with another corporation because that other corporation is
(a) its parent corporation,
(b) its wholly owned subsidiary, or
(c) another wholly owned subsidiary of the same parent corporation;
"wholly owned subsidiary" means a corporation at least 95% of the outstanding shares of each class of the share capital of which is beneficially owned by another corporation.
(2) Where tangible personal property is purchased by a corporation from a related corporation and
(a) tax was paid on the tangible personal property by a related corporation of either the purchaser or the seller, or
(b) except for the case described in section 3.14.2, no tax was payable by the seller on its purchase of the tangible personal property in British Columbia, or on its bringing or sending into British Columbia or receiving of delivery in British Columbia of the tangible personal property, as the case may be,
no tax is payable by the purchaser in respect of the acquisition as long as the seller and purchaser continue to be related corporations for a period of not less than 8 months after the date of the purchase.
(3) Where tangible personal property is leased by a corporation from a related corporation and
(a) tax was paid on the tangible personal property under section 5 or 11 of the Act by a related corporation of either the lessee or person granting the lease, or
(b) except for the case described in section 3.14.2, no tax was payable by the corporation granting the lease on its purchase of the tangible personal property in British Columbia, or on its bringing or sending into British Columbia or receiving of delivery in British Columbia of the tangible personal property, as the case may be,
no tax is payable by the lessee in respect of the lease as long as the person granting the lease and lessee continue to be related corporations.
(4) Where tangible personal property is purchased by a corporation from a related corporation and
(a) tax was paid on the tangible personal property by a related corporation of either the purchaser or the seller, or
(b) except for the case described in section 3.14.2, no tax was payable by the seller on its purchase of the tangible personal property in British Columbia, or on its bringing or sending into British Columbia or receiving of delivery in British Columbia of the tangible personal property by any related corporation of either the purchaser or the seller, as the case may be,
no tax is payable by the purchaser in respect of the acquisition if all the following requirements are met:
(c) the seller and the purchaser were related corporations for a period of not less than 8 months before the date of purchase;
(d) at or after the time of the purchase, the seller is dissolved or wound up under the Company Act, the Canada Business Corporations Act (Canada), the Bank Act (Canada) or the Winding Up Act (Canada);
(e) the seller and the purchaser remain related corporations until such time as the seller is dissolved or wound up.
[en. B.C. Reg. 127/88; am. B.C. Regs. 45/89, s. (a); 120/95, s. 2; 161/99, s. 1.]
3.14.1 (1) In this section, a person wholly owns and controls a corporation if he owns beneficially at least 95% of the outstanding shares of each class of the share capital of the corporation.
(2) Where a corporation purchases tangible personal property, at any time on or before the day it starts to carry on business, from a person that wholly owns and controls it, and
(a) tax was paid by the seller on the tangible personal property, or
(b) except for the case described in section 3.14.2, no tax was payable by the seller on its purchase of the tangible personal property in British Columbia, or on its bringing or sending into British Columbia or receiving of delivery in British Columbia of the tangible personal property, as the case may be,
no tax is payable by the purchasing corporation in respect of that purchase if the seller continues to wholly own and control the purchasing corporation for a period of not less than 8 months after the date of purchase.
(3) Where tangible personal property is purchased by a corporation, at any time on or before the day it starts to carry on business, from a person that does not wholly own and control it, and any one of the conditions referred to in subsection (2) (a) or (b) apply, the purchaser is exempt from tax as set out in subsection (4) if
(a) the consideration for the purchase of the tangible personal property by the purchasing corporation is the concurrent issue or transfer of its own shares to the seller, and
(b) the seller owns beneficially and holds legal title to all the shares so acquired for a period of not less than 8 months after the date of their issue or transfer.
(4) If the actual value of the shares issued or transferred in consideration of the purchase is
(a) at least equal to the actual value of the tangible personal property purchased, all the purchase price is exempt from tax, or
(b) less than the actual value of the tangible personal property purchased, the difference between the actual value of the tangible personal property purchased and the actual value of the shares issued or transferred is subject to the tax.
[en. B.C. Reg. 127/88; am. B.C. Regs. 45/89, s. (b); 406/89; 161/99, s. 2.]
3.14.2 (1) The case referred to in section 3.14 (2), (3), and (4) and in section 3.14.1 (2) occurs where no tax was payable by the seller or the person granting the lease because that person
(a) purchased the tangible personal property, or brought or sent the tangible personal property into British Columbia or received delivery of the tangible personal property in British Columbia, for resale or lease, or
(b) qualified for exemption by reason of that person's use of the tangible personal property, and the purchaser or lessee is not entitled to the same exemption.
(2) Despite subsection (1), the case referred to in sections 3.14 (2), (3) and (4) and 3.14.1 (2) does not occur in respect of software that is transferred to a related corporation if the transferor did not pay tax on the original acquisition of the software because, at the time of purchase, the software was not taxable by operation of paragraph (a), (b) or (c) of the definition of "software" in section 1 of the Act.
[en. B.C. Reg. 127/88; am. B.C. Regs. 45/89, s. (c); 57/92, s. 2; 120/95, s. 3; 52/98, s. 3; 161/99, s. 3.]
3.14.2.1 Repealed. [B.C. Reg. 52/98, s. 2.]
3.14.3 If a condition which renders a purchaser exempt from payment of tax under section 3.14 or 3.14.1 is not fulfilled, the purchaser shall immediately
(a) report the matter in writing to the commissioner, and
(b) pay to Her Majesty the tax that would, but for the exemption, be payable at the date of purchase.
[en. B.C. Reg. 127/88.]
3.15 Sanitary napkins, tampons and sanitary belts are exempt from the application of the tax.
[en. B.C. Reg. 270/71.]
3.16 Drugs and medicaments taken internally, whether orally or otherwise, or applied externally, that alleviate pain are exempt from the application of the tax.
[en. B.C. Reg. 52/72.]
3.17 Repealed. [B.C. Reg. 287/82, s. 1.]
3.18 (1) A manufactured home is
(a) a mobile home manufactured to Canadian Standards Association Standard Z240;
(b) any other mobile home which is similar in design and construction to a mobile home constructed to Canadian Standards Association Standard Z240;
(c) a modular home manufactured to Canadian Standards Association Standard A277;
(d) any other modular home built to a standard required by the National Building Code and qualifying for Central Mortgage and Housing Corporation financing;
provided that the unit or each module is in all essential features completely constructed prior to delivery from the factory.
(2) A dealer who sells a manufactured home which will be used for residential purposes by the purchaser is a contractor and is required to pay social service tax as follows:
(a) where the dealer is the manufacturer of the home, tax is payable on his purchase price of materials;
(b) where the dealer is not the manufacturer of the home, tax is payable on 50% of his purchase price of a mobile home and on 55% of his purchase price of a modular home, and on 100% of the purchase price of other materials used in placing the home on a site.
(3) Manufactured homes to be used for residential purposes do not include
(a) manufactured homes used for any non-residential purposes. Bunk houses, wash houses, kitchen and dining units are all considered non-residential;
(b) recreational vehicles or components such as travel trailers, tent trailers, motor homes, slide on campers, chassis mounted campers or other vehicles or structures of the same general classes;
(c) free standing appliances, free standing furniture and draperies sold with a manufactured home;
(d) repair parts.
[en. B.C. Reg. 174/77.]
3.19 (1) For the purpose of section 70 (i) of the Act, a mobile home is a used mobile home and exempt from the Act where
(a) it is sold for residential use, and
(b) it has been previously sold at a retail sale and tax was paid on it under the Act or it was exempt from the Act and as a result no tax was paid on it.
(2) In subsection (1),
"mobile home" includes a mobile home referred to in section 3.18 (1) (a) or (b) but does not include a recreational vehicle or component referred to in section 3.18 (3) (b); and
"residential use" means for use as a single family dwelling unit.
[en. B.C. Reg. 290/80; am. B.C. Reg. 96/88, s. 2.]
3.20 For the purpose of section 74 (e) of the Act, the following materials and equipment are prescribed:
(a) thermal insulation material that is
(i) a bat, a blanket, loose fill or cellular plastic material, and
(ii) designed primarily for the purpose of preventing loss of heat from a building,
(iii) Repealed. [B.C. Reg. 106/93, s. 4 (a).],
but not including vapour barrier or any other material incorporated into or attached to a building and serving a structural or decorative function;
(a.1) polystyrene forming blocks used in the construction industry that
(i) are used initially as a form for concrete, and
(ii) remain permanently attached to the concrete to serve as the primary insulation for the completed building to prevent heat loss from that building;
(a.2) fastening components that are specifically designed for use with, and are used with, the polystyrene forming blocks referred to in paragraph (a.1);
(b) and (c) Repealed. [B.C. Reg. 106/93, s. 4 (b).]
(d) storm windows and storm doors, multiglazed windows and doors containing multiglazed windows;
(e) glass and other materials purchased by a vendor to be installed in the construction of multiglazed windows in a building for the purpose of creating a dead air space between panes as a thermal barrier;
(f) to (k) Repealed. [B.C. Reg. 106/93, s. 4 (b).]
(l) natural gas and propane conversion kits for internal combustion engines;
(m) weather stripping and caulking materials designed to prevent loss of heat from a building;
(n) wind powered generating equipment specifically designed to produce mechanical or electrical energy together with generators, controllers, wiring, and devices that convert direct current into alternating current, when they are sold with and as part of that equipment;
(o) solar photovoltaic collector panels, together with wiring, controllers, and devices that convert direct current into alternating current, when they are sold with and as part of that system;
(p) solar thermal collector panels, together with wiring, pumps, tubing, and heat exchangers, when they are sold with and as part of that system;
(q) micro-hydro turbines and generators designed to produce up to 150 kilowatts of mechanical or electrical energy together with controllers, wiring, tubing, and devices that convert direct current into alternating current, when they are sold with and as part of that equipment;
(r) chemicals used to make spray polyurethane foam insulation which is designed primarily for the purpose of preventing loss of heat from a building;
(s) window insulating systems consisting of a transparent or translucent film, including frames or integral parts of the systems, that are installed in an existing window and designed primarily to retain heat in a building by absorbing solar heat or reducing drafts;
(t) a kit to convert a motor vehicle to operate exclusively on electricity.
[en. B.C. Reg. 290/80; am. B.C. Regs. 239/81; 23/83; 240/87, s.2; 106/93, s. 4; 175/94, s. 4; 120/96, s. 3; 118/97, s. (b); 52/98, s. 4; 94/98, s. 2; 259/99, s. 2; 116/2000, s. 5.]
3.21 (1) Subject to subsection (2), for the purpose of section 71 (i) of the Act,
"patent medicines" are drugs and medicines commonly known as household medical aids that are sold for the purpose of treating, mitigating or preventing a disease or ailment in humans and include pain relievers, salve, ointment, nasal spray, inhalants, antiseptics, liniments, rubbing alcohol, porous plasters, foot powders, peroxides, boric acid, germicidals, laxatives, cough syrup, cold remedies, denture adhesives, first aid materials and shampoos and other substances used in the treatment of head lice.
(2) Patent medicines prescribed by subsection (1) do not include cosmetics, hair tonics, toothpaste, mouthwash, shaving cream, beauty aids, soap, toiletries, depilatories, perfume, after shave lotion, skin cream and shampoo, other than shampoo used in the treatment of head lice.
[en. B.C. Reg. 290/80; am. B.C. Regs. 95/99, s. 3.]
3.22 For the purpose of section 74 (b) and (c) of the Act,
"residential dwelling unit" means a detached house, cottage or other single family dwelling, duplex, apartment building, condominium, townhouse, rowhouse, rest home, nursing home, that portion of a multi-use building that is used for the purpose of single family dwellings, but does not include hotels, motels, lodges, resorts, hospitals or other institutional buildings, bunk houses or camp buildings for use on commercial or construction projects, or that portion of any building that is used for any purpose other than residential.
[en. B.C. Reg. 290/80; am. B.C. Reg. 248/81, s. 1.]
3.23 Repealed. [B.C. Reg. 64/85, s. 6.]
3.24 For the purpose of section 74 (c) of the Act,
"fuel oil" means the liquid derived from petroleum or natural gas, and any other liquid, by whatever other name known or sold, containing any derivative of coal, petroleum or natural gas used to produce a flame for heating, cooking or raising steam and includes propane and butane when purchased for use in a residential dwelling unit as defined in section 3.22.
[en. B.C. Reg. 290/80.]
3.25 For the purpose of section 71 (g) of the Act the following specialized devices are prescribed:
(a) wheelchairs and carriages whether or not power operated, and parts and accessories designed for them; special controls to enable handicapped persons to motivate electronic wheelchairs and carriages;
(b) patient lifters;
(c) specially designed household elevators for the handicapped including wheelchair elevators, and materials used to build a specially designed household elevator for the handicapped if the elevator becomes real property upon installation;
(d) power and manually operated lifts designed to facilitate entry to otherwise inaccessible accommodation or vehicles, including automatic tailgates or side lifts for a motor vehicle, when purchased by or for the use of handicapped persons;
(e) specially designed ramps to move a wheelchair and occupant into a motor vehicle or building;
(f) hand or foot controls specially designed to assist the handicapped in the operation of a motor vehicle;
(g) car top lifts for lifting and storing a wheelchair on top of an automobile;
(h) parts and materials that
(i) are used for the sole purpose of modifying a motor vehicle to adapt it to facilitate its use by, or the transportation of, an individual using a wheelchair, and
(ii) are attached to and become part of that motor vehicle.
[en. B.C. Reg. 248/81, s. 2; am. B.C. Regs. 98/95, s. 4; 260/99, s. 4.]
3.26 The following tangible personal property is exempted from taxation under the Act:
(a) the following work related equipment designed to be worn by a worker:
(i) safety glasses, safety goggles, face shields, welding helmets;
(ii) respirators which offer protection from dust, toxic gases, vapours, gas masks, including protection cannisters;
(iii) hearing protectors, including ear down, ear plugs, muffs;
(iv) safety caps, hard hats, helmets, and not including optional weather liners, skull caps, hairnets, sweatbands;
(v) hoods for dust, chemical and heat protection;
(vi) clothing which is flame retardant or chemical resistant;
(vii) welders' jackets, sleeves, bibs, leggings;
(viii) clothing with protective features designed to protect the wearer including meat cutters' aprons, chainsaw safety pads, fallers' leggings, chaps, aprons;
(ix) gloves with built in safety features, such as aluminized asbestos welders' gloves, gauntlets, chainsaw operators' gloves, steel grip gloves, mesh guards;
(x) footwear with built in safety features such as safety toes, loggers' caulks, or acid resistant qualities, but not including footwear designed solely for protection against the weather;
(xi) metatarsal protectors, puncture resistant insoles, toe clips, shin guards, foot guards, skidmasters, ice cleats;
(xii) safety belts, straps, harnesses, lanyards, wristlets;
(xiii) traffic safety vests, gloves, sleeves, caps, capes and rainwear designed for the purpose of making a worker more visible;
(b) life jackets;
(c) floater coats;
(d) life saving throw rings;
(e) life saving cushions;
(f) man overboard buoys and flags;
(g) marine survival suits;
(h) emergency life saving rafts approved by the Ministry of Transport;
(i) emergency locator transmitters;
(j) the following emergency equipment for use on highways:
(i) triangle emblems;
(ii) reflectors;
(iii) fluorescent tape;
(iv) reflective strips for barriers;
(v) distress flares;
(k) children's restraint car seats;
(l) portable fire extinguishers and their refills;
(m) bicycle lights and reflectors;
(n) bicycle helmets;
(o) motorcycle helmets;
(p) oxygen, oxygen containers or oxygen dispensing apparatus where the oxygen is purchased or the container or apparatus is purchased or leased by a person
(i) for medical or emergency use by him, or
(ii) for medical or emergency use by another person at the place the purchaser or lessee locates the oxygen container or dispensing apparatus;
(q) safety vests and safety bibs, the sole purpose of which is to enhance the visibility of the wearer;
(r) medical alert transmitters designed to be used to communicate the existence of a medically related emergency, which transmitters are purchased or leased by a person
(i) for that use in his residence, or
(ii) for that use by another person at that other person's residence;
(s) gas detection monitors;
(t) distress flares purchased for use on vessels to draw attention to the vessel when it is in distress;
(u) personal intercom systems designed to be worn by workers to allow for safe, hands-free communication while working in environments that are confined or hazardous;
(v) personal alert safety systems designed to be worn by persons working in hazardous or potentially hazardous conditions, which alert the wearer to unsafe conditions or which alert rescuers as to the location of the wearer;
(w) emergency gas shut-off devices
(i) that are designed for manually turning off the gas supply of a building, or
(ii) that are attached to the gas line and designed for automatically cutting off the gas supply in response to significant movement;
(x) first aid kits.
[en. B.C. Reg. 43/84; am. B.C. Regs. 79/87, s. 5; 286/87; 120/95, s. 4; 120/96, s. 4; 118/97, s. (c); 95/99, s. 4; 55/2001.]
3.26.1 The following tangible personal property is exempted from taxation under the Act:
(a) Remembrance Day poppies and wreaths;
(b) natural, cut evergreens sold as Christmas Trees.
[en. B.C. Reg. 345/85; am. B.C. Reg. 249/86.]
3.26.2 Tangible personal property acquired under the Freedom of Information and Protection of Privacy Act and described in the Schedule of Maximum Fees in B.C. Reg. 323/93, the Freedom of Information and Protection of Privacy Act Regulation, is exempt from taxation under the Social Service Tax Act.
[en. B.C. Reg. 392/93.]
3.27 Repealed. [B.C. Reg. 175/94, s. 5.]
3.28 (1) Under section 77 (a) of the Act, film, photographic paper and chemicals used in developing film are exempt from taxation under the Act when purchased or leased by a commercial photographer or by a person in the business of photograph processing or finishing for use in the course of his business.
(2) Under section 77 (a) of the Act,
(a) typeset products,
(b) cuts,
(c) plates,
(c.1) blankets used in the printing process to transfer the ink to the product being printed,
(d) artwork,
(e) engravings,
(f) photographs,
(g) negatives,
(h) film,
(i) transparencies,
(j) flats,
(k) paste ups,
(l) signatures, and
(m) materials used to manufacture or produce any of the items listed in this subsection
are exempt from taxation under the Act when purchased or leased by printers or publishers for their own use in a printing or publishing process.
(3) Under section 77 (a) of the Act,
(a) abrasive paper, emery paper or other fabric backed abrasives suitable for use by hand or for use with hand held tools,
(b) sand used for sand blasting,
(c) grinding wheels and discs other than refiner plates and discs used for manufacturing pulp,
(d) steel wool,
(e) steel, plastic and glass shot and similar material used for blasting clean a surface,
(f) polishing wheels,
(g) rotary steel brushes,
(h) molds,
(i) jigs,
(j) dies, and
(k) patterns
which will be consumed or used during the manufacture, production, service or repair of tangible personal property are exempt from taxation under the Act when purchased or leased by a person for consumption in the course of his business or for use in the course of his business.
(4) For the purposes of subsection (3) and subject to subsection (5),
"die" means a solid or hollow form used for shaping or marking goods in process by cutting, stamping, pressing or extruding, but does not include
(a) planers, saws, knives or blades, or
(b) a die set or tap set used for cutting threads;
"jig" means a device used in the accurate machining of goods in process which holds the goods firmly and guides the working tools, or which bends the goods in process;
"mold" means a hollow form into which materials are placed to produce desired shapes, matrices or cavities which shape or form goods in process.
(5) A "die", "jig" or "mold" does not include
(a) components or materials used to manufacture or produce the die, jig or mold,
(b) any machinery, equipment, apparatus or device
(i) to which the die, jig or mold may be attached, or
(ii) that is necessary to carry out the function or process of the die, jig or mold, and
(c) rolls, cylinders, wires, fabrics, felts or screens used in a manufacturing or production process.
[en. B.C. Reg. 64/85, s. 7; am. 1988-46-54; B.C. Regs. 79/87, s. 6; 22/93, s. 2; 173/94; 120/96, s. 5; 116/2000, s. 6.]
3.28.1 Under section 77 (a) of the Act, parts and materials are exempt from taxation under the Act when
(a) they are purchased by a vendor registered under section 92 of the Act,
(b) they are purchased for the purpose of being attached to or incorporated into tangible personal property to which a taxable service is applied by that vendor, and
(c) tax on the provision of the taxable service is payable under Part 2, Division 5 of the Act
(i) by the person purchasing the taxable service from the vendor, or
(ii) if the taxable service is to be sold by the vendor to a person prescribed under section 2.47 (a) of this regulation, by the ultimate purchaser of the taxable service.
[en. B.C. Reg. 333/93.]
3.28.2 Under section 77 (a) of the Act, the purchase of human organs, tissue and semen is exempt from taxation under the Act.
[en. B.C. Reg. 419/95.]
3.28.3 Under section 77 (a) of the Act, the purchase of human blood and human blood constituents is exempt from taxation under the Act.
[en. B.C. Reg. 95/99, s. 5.]
3.29 (1) Where any of the following tangible personal property is purchased outside the Province and is brought into the Province after March 14, 1985 by a person who establishes to the satisfaction of the commissioner that it was brought into the Province for
(a) temporary use or consumption, and
(b) the purposes of
(i) Repealed. [B.C. Reg. 242/2001, s. 3.]
(ii) petroleum or natural gas exploration or development,
that person shall promptly pay to Her Majesty, at the end of each continuous period in a month during which the property is in the Province, 1/36th of the tax otherwise payable, at the time the property was first brought into the Province after March 14, 1985, on the purchase price of the property:
(c) Repealed. [B.C. Reg. 242/2001, s. 3.];
(d) cementing trucks;
(e) acid fracturing trucks;
(f) any vehicle on which seismic recording equipment or well logging equipment is permanently mounted.
(2) No tax is payable under this section on tangible personal property listed in subsection (1) where tax has been paid in respect of 36 periods described in that subsection.
(3) Where subsection (1) and section 12 (2) of the Act both apply, the tax payable is reduced to
(a) the amount payable by the application of subsections (1) and (2), or
(b) the amount payable by the application of section 12 (2) of the Act,
whichever is the lesser.
[en. B.C. Reg. 64/85, s. 7; am. B.C. Regs. 47/90; 116/2000, s. 7; 242/2001, s. 3.]
3.30 (1) "Portable building" means a building that is designed to be moved from location to location whether or not it is affixed to the land, but does not include
(a) a manufactured home to be used for residential purposes referred to in section 3.18, or
(b) a building that is designed for use on residential property.
(2) Portable buildings that are manufactured and sold in the Province for use in the Province are exempt from taxation under the Act.
[en. B.C. Reg. 173/85, s. 2; am. B.C. Reg. 175/94, s. 6.]
3.31 Gold, silver or platinum in the form of bullion or coin, when purchased at a purchase price equivalent to the market value of its gold, silver or platinum content, is exempt from taxation under the Act.
[en. B.C. Reg. 255/89.]
3.32 Under section 77 (a) of the Act, steam heat is exempt from taxation under the Act when it is purchased or leased for residential use.
[en. B.C. Reg. 174/94.]
3.33 For the purposes of the exemption provided under section 76 (1) (d) of the Act, software is prescribed as not eligible for that exemption unless the software is specifically designed for, and integrated into, the prototype referred to in that section.
[en. B.C. Reg. 126/2001, s. 3.]
3.34 For the purposes of section 76 (1) (d) or (d.1) of the Act, an exemption applies in respect of a copy of a prototype if the copy is made solely for the purpose of testing the prototype as part of research and development activities.
[en. B.C. Reg. 94/98, s. 3; am. B.C. Reg. 126/2001, s. 4.]
3.35 Nicotine gum, nicotine patches and similar items produced and sold for the sole purpose of assisting the purchaser to stop smoking tobacco are exempt from taxation imposed by sections 5 to 25 of the Act.
[en. B.C. Reg. 284/98.]
3.36 (1) For the purposes of section 76 (1) (i.1) of the Act, boom gear is used boom gear if
(a) the boom gear was previously sold at a retail sale,
(b) tax was paid on the boom gear under the Act, and
(c) the boom gear was previously used as boom gear.
(2) The following used boom gear is exempt from taxes under sections 5 to 25 and 112.3 of the Act:
(a) boom chains used to tie the boomsticks together to form a frame;
(b) bundle and continuous wires used to secure the logs that are transported within the frame;
(c) swifter wires used to secure the bundled logs to the frame.
[en. B.C. Reg. 126/2001, s. 5.]
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