Bill C-78: An Act respecting temporary cost of living relief (affordability)

Short Title Short title 1 This Act may be cited as the Tax Break for All Canadians Act . R.S., c. E- 15 Excise Tax Act 2 (1) Schedule VI to the Excise Tax Act is amended by adding the following after Part X: PART XI Temporary Zero-Rating – December 14, 2024 to February 15, 2025 1 The following definitions apply in this Part. eligible beverage  means a beverage that is (a) beer or malt liquor; (b) wine, or another beverage, that is produced without distillation, other than distillation to reduce the absolute ethyl alcohol content, by the alcoholic fermentation of a plant or product described by subparagraphs (a)(i) to (iii) of the definition wine in section 2 of the Excise Act, 2001 ; (c) sake; (d) a beverage described by paragraph (b) or (c) that is fortified not in excess of 22.9% absolute ethyl alcohol by volume; (e) an alcoholic beverage that is packaged , as defined in section 2 of the Excise Act, 2001 , and that does not contain more than 7% of absolute ethyl alcohol by volume at the time that it is packaged; or (f) an alcoholic beverage that is a mixture containing one or more of the beverages described in paragraphs (a) to (e) and not containing any other alcoholic beverage. ( boisson admissible ) eligible period  means the period beginning on December 14, 2024 and ending on February 15, 2025. ( durée admissible ) eligible supply  means a supply (other than an exempt supply), made no later than the end of the eligible period, of property in respect of which the following conditions are met: (a) all of the consideration for the supply is paid during the eligible period; and (b) the property is delivered or made available to the recipient during the eligible period. ( fourniture admissible ) printed book  has the same meaning as in subsection 259.1(1) of the Act. ( livre imprimé ) 2 For the purposes of this Part, if a supply of property is made to a recipient, the property is deemed to be delivered to the recipient at a particular time and is deemed not to be delivered or made available to the recipient at any other time if the supplier at the particular time (a) transfers possession of the property to a common carrier or consignee that the supplier has retained on behalf of the recipient to ship the property to the recipient; or (b) sends the property by mail or courier to the recipient. 3 A supply that is an eligible supply of a children’s car seat , children’s clothing , a children’s diaper or children’s footwear , as those terms are defined in section 1 of the Deduction for Provincial Rebate (GST/HST) Regulations . 4 A supply that is an eligible supply of a printed book or an update of a printed book. 5 A supply that is an eligible supply of an audio recording all or substantially all of which is a spoken reading of a printed book. 6 A supply that is an eligible supply of a bound or unbound printed version of scripture of any religion. 7 A supply that is an eligible supply of a composite property , as defined in section 1 of the Deduction for Provincial Rebate (GST/HST) Regulations . 8 A supply that is an eligible supply of a qualifying newspaper , as defined in section 1 of the Deduction for Provincial Rebate (GST/HST) Regulations . 9 A supply that is an eligible supply of a Christmas tree, or a similar decorative tree, whether natural or artificial. 10 A supply that is an eligible supply of tangible personal property that is (a) a product designed for use by a child under 14 years of age in learning or play that is (i) a game (other than a video game) that is a board game, a card game or another game that is played using one or more physical components with a structured set of goals and rules, (ii) playing cards, dice or a replacement, refill or supplemental component of a game described in subparagraph (i), (iii) a toy, toy set or toy system that imitates a person or thing, whether real or imaginary, including an animal, building, clothing, food, household item, imaginary or fantastical creature, jewellery, machine, musical instrument, personal care item, plant, real or fictional character, tool, vehicle or workplace item, (iv) a doll, plush toy or soft toy or its accessories, or (v) a toy, toy set or toy system that involves (A) building, creating or assembling structures, objects or models by using pieces, parts, materials or modelling compound, or (B) sorting, stacking or organizing pieces, parts or materials; (b) a jigsaw puzzle; (c) a video game console that is designed primarily for use in playing video games; (d) a video game controller that is designed primarily for use in playing video games on a video game console described in paragraph (c); or (e) a tangible medium that (i) is designed for the read-only storage of information in digital format, and (ii) contains a video game designed for use with a video game console described in paragraph (c). 11 A supply that is an eligible supply and that would be a supply included in section 1 of Part III if that section were read without reference to paragraphs (c) to (o.5) and (q). 12 A supply that is an eligible supply of an eligible beverage. 13 A supply (other than an exempt supply), made no later than the end of the eligible period, of a service of providing, preparing and serving food, non-alcoholic beverages or eligible beverages (other than food or beverages included in paragraph 1(b) of Part III) for human consumption, including a catering service, whether the food or beverages are for consumption at the premises where they are prepared or served or for consumption at another location, if (a) all of the consideration for the supply is paid during the eligible period; and (b) the service is rendered entirely during the eligible period. (2) Subsection (1) comes into force or is deemed to have come into force on December 14, 2024. It also applies in respect of a supply made before that day. 3 (1) Schedule VII to the Act is amended by adding the following after section 6: 6. 1 Goods that are imported during the eligible period , as defined in section 1 of Part XI of Schedule VI, and the supply of which would be included in that Part if (a) sections 3 to 10 and 12 of that Part were each read without reference to “that is an eligible supply”; and (b) the reference to “a supply that is an eligible supply and that would be a supply” in section 11 of that Part were read as a reference to “a supply that would be”. (2) Subsection (1) comes into force or is deemed to have come into force on December 14, 2024. 4 (1) Part I of Schedule X to the Act is amended by adding the following after section 15: 15. 1 Property that is brought into a participating province during the eligible period , as defined in section 1 of Part XI of Schedule VI, and the supply of which would be included in that Part if (a) sections 3 to 10 and 12 of that Part were each read without reference to “that is an eligible supply”; and (b) the reference to “a supply that is an eligible supply and that would be a supply” in section 11 of that Part were read as a reference to “a supply that would be”. (2) Subsection (1) comes into force or is deemed to have come into force on December 14, 2024.