T-0.1 - Act respecting the Québec sales tax

Section 327.6.3 Disposition versions

2022-06-08

327.6.3. For the purposes of this division and of any of sections 18, 18.0.1.1 and 18.0.1.2, where a registrant (in this section referred to as the “lessee”) acquires—as the recipient of a particular taxable supply of corporeal movable property made by way of lease, licence or similar arrangement by a particular non-resident person—physical possession of the property at a particular time and either of the conditions of the second paragraph applies, the lessee is deemed to retain physical possession of the property at all times throughout the period that begins at the particular time and ends at the earliest of

(1)  the time at which the lessee causes physical possession of the property to be transferred to another registrant that

(a)  is acquiring physical possession of the property for the purpose of making a taxable supply in Québec of a commercial service in respect of the property to the particular non-resident person or to another non-resident person, and

(b)  retains physical possession of the property during a part of the period during which possession or use of the property is provided to the lessee under the arrangement;

(2)  the time at which the lessee causes physical possession of the property to be transferred to the particular non-resident person or to another non-resident person; and

(3)  the time at which the lessee causes physical possession of the property to be transferred to a person that is not referred to in subparagraphs 1 and 2, if that time is not included in

(a)  the period during which possession or use of the property is provided to the lessee under the arrangement, or

(b)  another period during which the lessee has possession or use of the property as the recipient of another taxable supply of the property made by way of lease, licence or similar arrangement by the particular non-resident person or by another non-resident person.

The conditions to which the first paragraph refers are as follows:

(1)  the lessee gives a certificate described in subparagraph 4 of the first paragraph of section 327.2 in respect of the acquisition of physical possession of the property; and

(2)  the lessee claims an input tax refund in respect of tax that is deemed to have been paid by the registrant under subparagraph 1 of the first paragraph of section 327.7 in respect of the property.

2021, c. 14, s. 232; 2022, c. 23, s. 194.

2021-06-02

327.6.3. For the purposes of this division and of section 18, where a registrant (in this section referred to as the “lessee”) acquires—as the recipient of a particular taxable supply of corporeal movable property made by way of lease, licence or similar arrangement by a particular non-resident person—physical possession of the property at a particular time and either of the conditions of the second paragraph applies, the lessee is deemed to retain physical possession of the property at all times throughout the period that begins at the particular time and ends at the earliest of

(1)  the time at which the lessee causes physical possession of the property to be transferred to another registrant that

(a)  is acquiring physical possession of the property for the purpose of making a taxable supply in Québec of a commercial service in respect of the property to the particular non-resident person or to another non-resident person, and

(b)  retains physical possession of the property during a part of the period during which possession or use of the property is provided to the lessee under the arrangement;

(2)  the time at which the lessee causes physical possession of the property to be transferred to the particular non-resident person or to another non-resident person; and

(3)  the time at which the lessee causes physical possession of the property to be transferred to a person that is not referred to in subparagraphs 1 and 2, if that time is not included in

(a)  the period during which possession or use of the property is provided to the lessee under the arrangement, or

(b)  another period during which the lessee has possession or use of the property as the recipient of another taxable supply of the property made by way of lease, licence or similar arrangement by the particular non-resident person or by another non-resident person.

The conditions to which the first paragraph refers are as follows:

(1)  the lessee gives a certificate described in subparagraph 4 of the first paragraph of section 327.2 in respect of the acquisition of physical possession of the property; and

(2)  the lessee claims an input tax refund in respect of tax that is deemed to have been paid by the registrant under subparagraph 1 of the first paragraph of section 327.7 in respect of the property.

2021, c. 14, s. 232.