Acts and Regulations

84-250 - General

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NEW BRUNSWICK
REGULATION 84-250
under the
Tobacco Tax Act
(O.C. 84-843)
Filed September 28, 1984
Under section 22 of the Tobacco Tax Act, the Lieutenant-Governor in Council makes the following Regulation:
1This Regulation may be cited as the General Regulation - Tobacco Tax Act.
2In this Regulation
“Act” means the Tobacco Tax Act;
“Atlantic Region” Repealed: 94-50
“carton” means a paperboard box or wrapper containing less than sixteen packages of cigarettes or less than two hundred tobacco sticks;
“case” means
(a) with reference to cigarettes or tobacco sticks, a package containing at least twenty-five cartons, and
(b) with reference to loose tobacco, a package containing at least ten packages of loose tobacco;
“Commissioner” Repealed: 94-144
“imported cigarettes” means cigarettes that
(a) are manufactured in a country other than Canada and the United States of America and under a brand name that is not manufactured in Canada or the United States of America, and
(b) are contained in a package that is not marked in accordance with subsection 4.5(1);
“loose tobacco” means tobacco other than cigarettes, tobacco sticks, pipe tobacco, snuff, chewing tobacco and cigars;
“manufacturer” means a person who manufactures, fabricates or produces tobacco for distribution, sale or storage in New Brunswick;
“teartape” means the plastic tape that is wrapped around a package of cigarettes, tobacco sticks or loose tobacco for the purpose of opening the package;
“unmarked tobacco” means a package, carton or case of cigarettes or tobacco sticks or a package or case of loose tobacco that is not marked in accordance with section 4.5.
91-188; 92-143; 94-50; 94-144
3(1)A retail vendor’s licence shall be on a form provided by the Minister.
3(2)A wholesale vendor’s licence shall be on a form provided by the Minister.
3(3)The fee for a retail vendor’s licence is $15.00.
3(4)The fee for a wholesale vendor’s licence is $1000.00.
92-96; 93-148; 97-56
3.1(1)Licences issued under the Act before the commencement of this subsection shall be deemed to have no expiry date.
3.1(2)Licences issued under the Act on or after the commencement of this subsection shall have no expiry date.
3.1(3)A retail vendor proposing to sell tobacco at more than one retail location shall apply for and obtain a retail vendor’s licence in relation to each such location.
3.1(4)A retail vendor’s licence issued after the commencement of this subsection may authorize the sale of tobacco at only one location.
3.1(5)If a retail vendor’s licence issued under the Act before the commencement of this subsection applies to more than one retail location, the Minister may, after the commencement of this subsection, without a fee issue additional retail vendor’s licences to the holder of that licence so that the holder holds a separate retail vendor’s licence for each such retail location.
94-144; 97-56
3.2(1)In this section
“Administered Act” means the Admission and Amusement Tax Act, the Gasoline and Motive Fuel Tax Act, the Liquor Control Act, the Lotteries Act, the Pari-Mutuel Tax Act, the Real Property Tax Act, the Revenue Administration Act, the Tobacco Tax Act or the Social Services and Education Tax Act.
3.2(2)If a person who has previously violated or failed to comply with a provision of an Administered Act applies under the Act for the issuance or reinstatement of a licence, the terms and conditions that may be imposed on the licence are as follows:
(a) the applicant shall, before the licence is issued or reinstated,
(i) pay in full all taxes and remittances that are due and payable by the applicant under all Administered Acts or make a written agreement with the Minister setting out an arrangement for full payment of those taxes in a manner that is satisfactory to the Minister, and
(ii) file all reports, returns, statements and other like documents that the applicant was required to file under any Administered Act and that are not filed as required; and
(b) the applicant shall, after the licence is issued or reinstated,
(i) if a written agreement is made with the Minister under subparagraph (a)(i), fully observe the terms and conditions of the agreement,
(ii) obtain and maintain every licence, permit, registration, certification or other like authorization that the applicant is required to obtain under any Administered Act, and
(iii) file all reports, returns, statements and other like documents that the applicant is required to file under any Administered Act.
94-144; 97-56
3.3The periods of time during which licences may be suspended are as follows:
(a) for the first suspension of that licence, one calendar month; and
(b) for each following suspension, double the number of months for which that licence was suspended in the previous suspension.
94-144
4Repealed: 92-96
92-96
4.1(1)No person, other than the holder of a wholesale vendor’s licence acting in accordance with subsection (2) or a retail vendor acting in accordance with subsection (4) or (5), shall purchase, possess, store or sell cigarettes, tobacco sticks or loose tobacco in New Brunswick unless the packages, cartons or cases in which the cigarettes or tobacco sticks are contained or the packages or cases in which the loose tobacco is contained are marked in accordance with section 4.5.
4.1(2)The holder of a wholesale vendor’s licence may purchase, possess, store or sell unmarked cigarettes, tobacco sticks or loose tobacco in New Brunswick if
(a) the sale and delivery of the unmarked cigarettes, tobacco sticks or loose tobacco is to consuls-general, consuls, vice- consuls, trade commissioners or assistant trade commissioners who
(i) are career officers,
(ii) are not nationals or permanent residents of Canada, and
(iii) do not operate a business or fulfil a function of employment in New Brunswick other than their appointment on behalf of the country they represent,
(b) the holder resells the unmarked cigarettes, tobacco sticks or loose tobacco in a jurisdiction outside New Brunswick and is designated in writing by a competent authority in that jurisdiction to collect the tobacco tax levied in that jurisdiction,
(c) the holder resells the unmarked cigarettes, tobacco sticks or loose tobacco to another holder of a wholesale vendor’s licence,
(d) the holder is also a manufacturer who has a valid permit issued under this Regulation to mark packages, cartons or cases of cigarettes or tobacco sticks or packages or cases of loose tobacco and possesses or stores unmarked tobacco in New Brunswick for the purpose of marking packages, cartons or cases of cigarettes or tobacco sticks or packages or cases of loose tobacco in accordance with section 4.5,
(e) the holder has a valid permit issued under this Regulation to mark cartons or cases of cigarettes or tobacco sticks or cases of loose tobacco and possesses or stores unmarked tobacco in New Brunswick for the purpose of marking cartons or cases of cigarettes or tobacco sticks or cases of loose tobacco in accordance with section 4.5, or
(f) the holder sells unmarked tobacco from a ship chandler operation to consumers situated outside the territorial waters of Canada.
4.1(3)No wholesale vendor shall purchase, possess, store or sell imported cigarettes that are contained in a package marked by a retail vendor in accordance with subsection 4.5(1.1).
4.1(4)No retail vendor shall purchase, possess or store imported cigarettes in New Brunswick unless
(a) the retail vendor has marked the package in which the imported cigarettes are contained in accordance with subsection 4.5(1.1) or is purchasing, possessing or storing the imported cigarettes for the purpose of marking the package in which the imported cigarettes are contained in accordance with subsection 4.5(1.1), and
(b) the retail vendor holds a permit to mark packages of imported cigarettes that is issued under this Regulation and is in force at the time of marking.
4.1(5)No retail vendor shall sell imported cigarettes in New Brunswick unless the package in which the imported cigarettes are contained is marked by the retail vendor in accordance with subsection 4.5(1.1), the retail vendor holds a permit to mark packages of imported cigarettes that is issued under this Regulation and is in force at the time of marking and the sale is to a consumer.
4.1(6)No person shall mark packages of cigarettes, tobacco sticks or loose tobacco unless the person is a manufacturer who is the holder of a wholesale vendor’s licence and a permit to mark packages of cigarettes, tobacco sticks or loose tobacco that is issued under this Regulation and is in force at the time of marking or is a retail vendor who has a permit to mark packages of imported cigarettes that is issued under this Regulation and is in force at the time of marking.
4.1(7)No person shall mark cartons or cases of cigarettes or tobacco sticks or cases of loose tobacco unless the person is a manufacturer who is the holder of a wholesaler’s licence and a permit to mark cartons or cases of cigarettes or tobacco sticks or cases of loose tobacco that is issued under this Regulation and is in force at the time of marking.
91-188; 92-143; 94-50; 97-56
4.2(1)The Commissioner may issue a permit to a manufacturer to mark packages, cartons or cases of cigarettes or tobacco sticks or packages or cases of loose tobacco, to a wholesale vendor to mark cartons or cases of cigarettes or tobacco sticks or cases of loose tobacco or to a retail vendor to mark packages of imported cigarettes where the manufacturer, wholesale vendor or retail vendor
(a) submits an application to the Commissioner,
(b) has paid all taxes due under the Act,
(c) has made all returns in accordance with the Act and regulations,
(d) in the case of a manufacturer or wholesale vendor, has a valid wholesale vendor’s licence issued under the Act,
(e) in the case of a retail vendor, has a valid retail vendor’s licence issued under the Act, and
(f) has not had a permit issued under this section that has been cancelled or suspended within five years before the date of the application.
4.2(2)An application referred to in paragraph (1)(a) shall contain the following information respecting the business operation of the manufacturer, wholesale vendor or retail vendor:
(a) the name and address of the operation;
(b) whether the operation is a sole proprietorship, company, corporation, body corporate, limited partnership or firm;
(c) the names, addresses, telephone numbers and titles of the proprietor, partners or principal officers of the operation;
(d) the location of the business records of the business operation;
(e) where the applicant is a manufacturer, a description of the operation in relation to the manufacture, fabrication, production and sale of tobacco;
(f) where the applicant is a wholesale vendor, a description of the operation in relation to the sale of tobacco;
(f.1) where the applicant is a retail vendor, a description of the operation in relation to the sale of tobacco;
(g) the location from which the operation distributes, sells or stores tobacco;
(h) the name and address of the person who supplies tobacco to the operation;
(i) the location where the packages, cartons or cases in which cigarettes or tobacco sticks are contained or the packages or cases in which loose tobacco is contained will be marked;
(j) sales information pertaining to
(i) the total sales in New Brunswick by the operation during the preceding twelve months,
(ii) the estimated total sales in New Brunswick by the operation for the next twelve months,
(iii) the quantity of tobacco from outside New Brunswick that is received by the operation during the preceding twelve months,
(iv) the estimated quantity of tobacco from outside New Brunswick to be received by the operation during the next twelve months,
(v) where the applicant is a manufacturer or wholesale vendor, the quantity of tobacco delivered or sent outside New Brunswick by the operation during the preceding twelve months, and
(vi) where the applicant is a manufacturer or wholesale vendor, the estimated quantity of tobacco to be delivered or sent outside New Brunswick by the operation during the next twelve months; and
(vii) Repealed: 94-50
(viii) Repealed: 94-50
(k) any tobacco tax account numbers that the manufacturer has in other jurisdictions and the names of the jurisdictions.
4.2(3)The Commissioner may cancel or suspend a permit issued under this section where, in the opinion of the Commissioner, the person who holds the permit refuses or fails to comply with a provision of the Act or the regulations.
91-188; 92-143; 94-50
4.3A person who holds a permit issued under section 4.2 shall immediately notify the Commissioner in writing
(a) of a change in the name of the person’s business operation,
(b) of a change in the nature of the person’s business operation,
(c) of a change in the directors of the person’s business operation,
(d) if the person’s business operation ceases to operate, or
(e) if the person’s business operation changes the location where the packages, cartons or cases in which cigarettes or tobacco sticks are contained or the packages or cases in which loose tobacco is contained are marked.
91-188; 94-50; 97-56
4.4Repealed: 97-56
91-188; 94-50; 97-56
4.5(1)Subject to subsection (1.1), a package of cigarettes or tobacco sticks that is sold in New Brunswick to a consumer shall be marked on the teartape with an indicium that shall
(a) state “CANADA DUTY PAID - DROIT ACQUITTÉ - NEW BRUNSWICK - NOUVEAU-BRUNSWICK”,
(b) be at least 4.5 millimetres in width,
(c) have a background colour of Pantone 207, 100%,
(d) have the text coloured in process black, 100%, and
(e) have the text printed in Helvetica 8.
4.5(1.1)A package of imported cigarettes that is sold in New Brunswick to a consumer shall be marked with an indicium that
(a) shows the Province of New Brunswick galley logo,
(b) shows a six-digit serial number that is numbered sequentially and printed in black Helvetica, bold, 16 point,
(c) is 3.8 centimetres in width,
(d) is 1.3 centimetres in height,
(e) is printed on white self-adhesive stock with a peel-off backing,
(f) has a background colour that is PMS207 with the galley logo, number window and border in dropped out white,
(g) has a border that is 1 millimetre in width, and
(h) has a number window that is 2.1 centimetres in width and 0.7 centimetres in height.
4.5(1.2)A retail vendor who is the holder of a permit to mark packages of imported cigarettes shall apply to the Commissioner for a quantity of the indicium referred to in subsection (1.1) to mark packages of imported cigarettes.
4.5(2)A carton that is sold in New Brunswick to a consumer shall be marked with an indicium on each sticker that seals the end flaps of the wrapper, or if the carton is a paperboard box, at each end of the box.
4.5(3)The indicium under subsection (2) shall
(a) state “NB - N-B”,
(b) be at least 2.9 centimetres in width,
(c) be at least 1.4 centimetres in height,
(d) be surrounded by a border that is 1.5 point in width,
(e) have a background colour of Pantone 207, 100%,
(f) have the text and the border coloured in process black, 100%, and
(g) have the text printed in Helvetica bold 10 in uppercase lettering.
4.5(4)A case that contains cartons that are marked in accordance with subsection (2) and packages of cigarettes or tobacco sticks that are marked in accordance with subsection (1) shall be marked with the initials “NB” on one side of the case and the initials “N-B” on the opposite side which shall be
(a) printed in block letters,
(b) 38.1 millimetres in height, and
(c) coloured in process black, 100%.
4.5(5)A package of loose tobacco that is sold in New Brunswick to a consumer shall be marked
(a) on the teartape with an indicium that shall
(i) state “CANADA DUTY PAID - DROIT ACQUITTÉ - NEW BRUNSWICK - NOUVEAU-BRUNSWICK”,
(ii) be at least 4.5 millimetres in width,
(iii) have a background colour of Pantone 207, 100%,
(iv) have the text coloured in process black, 100%, and
(v) have the text printed in Helvetica 8, or
(b) on the stamp required under the Excise Act (Canada) with an indicium that shall
(i) state “NB DUTY PAID - N-B DROIT ACQUITTÉ”,
(ii) have a background colour of Pantone 207, 100%,
(iii) have the text coloured in process black, 100%, and
(iv) have the text printed in Helvetica 8.
4.5(6)A case that contains packages of loose tobacco that are marked in accordance with subsection (5) shall be marked with the initials “NB” on one side of the case and the initials “N-B” on the opposite side which shall be
(a) printed in block letters,
(b) 38.1 millimetres in height, and
(c) coloured in process black, 100%.
91-188; 92-143; 94-50; 97-56
4.6Repealed: 97-56
91-188; 97-56
4.7Repealed: 97-56
91-188; 94-50; 97-56
4.8A retail vendor who sells packages of imported cigarettes that are marked by the retail vendor in accordance with subsection 4.5(1.1) shall provide the Commissioner with such purchase and shipping documents and information as the Commissioner may require.
92-143
5(1)Every retail vendor shall act as an agent of the Minister and in that capacity
(a) shall collect the tax from the consumer, and
(b) where subsection (2) applies, shall remit the tax to the wholesale vendor.
5(2)Where a retail vendor buys tobacco from a wholesale vendor, the wholesale vendor shall act as an agent of the Minister and in that capacity shall collect the tax from the retail vendor except where the retail vendor becomes insolvent.
5(3)Notwithstanding subsection (2), the Minister may, during any period of time specified, require every retail vendor to remit the tax or any part of the tax directly to the Minister and to file a return with the Commissioner.
5(4)A retail vendor shall comply with any request of the Minister referred to in subsection (3) and remit this tax and file a return with the Commissioner.
5(5)A wholesale vendor who sells tobacco to a person other than a retail vendor shall act as an agent of the Minister and shall collect the tax from that person.
87-29
5.1(1)A retail vendor who sells tobacco shall keep
(a) copies of all invoices for all tobacco purchased by the retail vendor,
(b) records verifying the amounts of all tobacco imported or exported by the retail vendor, including the names and addresses of all persons from whom the tobacco was imported or to whom it was exported and the dates of the transactions,
(c) a list of the serial numbers of all imported cigarette marking stamps obtained by the retail vendor from the Minister,
(d) a record of all imported cigarettes marked by the retail vendor, including the number of cigarettes recorded by brand and product name, and
(e) inventory records supporting all tax remittance or refund claims resulting from changes in the tobacco tax rate.
5.1(2)Invoices, records and lists required to be kept under subsection (1) shall be
(a) kept in accordance with the directions of the Minister, and
(b) made available for audit or inspection by all persons designated under the Revenue Administration Act for that purpose by the Minister to act on behalf of the Minister or on behalf of the Commissioner.
5.1(3)Where a retail vendor required to keep records under subsection (1) is an individual, the retail vendor shall keep them
(a) for six years after the end of the calendar year to which the records relate, or
(b) for such shorter period as the Commissioner may permit in writing.
5.1(4)Subject to subsection (5), where a retail vendor required to keep records under subsection (1) is a corporation or partnership, the retail vendor shall keep them
(a) for six years after the end of the fiscal year to which the records relate, or
(b) for such shorter period as the Commissioner may permit in writing.
5.1(5)Where a retail vendor required to keep records under subsection (1) is a corporation or partnership that has dissolved, the retail vendor shall keep them
(a) for two years after the date of dissolution, or
(b) for such shorter period as the Commissioner may permit in writing.
97-56; 2003-42
6Repealed: 92-96
92-96
6.1(1)Where
(a) a person purchases tobacco from a wholesale vendor and pays the tax in respect of the tobacco, and
(b) the tobacco is shipped outside the Province,
a rebate of the tax paid in respect of the tobacco may be made to the person if the person makes an application for a rebate of the tax to the Minister in accordance with subsection (2).
6.1(2)An application for a rebate of the tax referred to in subsection (1) shall be
(a) made in writing and set forth such information as the Minister considers necessary,
(b) accompanied by
(i) invoices verifying the purchase of the tobacco and the payment of the tax,
(ii) documentary evidence satisfactory to the Minister that the tobacco shipped outside the Province was delivered in another jurisdiction, and
(iii) certification by the jurisdiction to which the tobacco was shipped from the Province for consumption confirming that the tax has been paid to that jurisdiction on the tobacco with respect to which the application for a rebate of the tax is made or that no tax is payable on the tobacco, and
(c) made within six months after the day on which the tax was paid.
87-29
6.2(1)Where
(a) a vendor has paid the tax in respect of tobacco in anticipation of collecting the tax from a consumer, and
(b) the tobacco in respect of which the tax has been paid is stolen, damaged or destroyed,
a rebate of the tax paid in respect of the tobacco may be made to the vendor if the vendor makes an application for a rebate of the tax to the Minister in accordance with subsection (2).
6.2(2)An application for a rebate of the tax referred to in subsection (1) shall be
(a) made in writing and set forth such information as the Minister considers necessary,
(b) accompanied by
(i) invoices verifying the purchase of the tobacco and the payment of the tax, and
(ii) documentary evidence satisfactory to the Minister of
(A) the date of the theft, damage or destruction of the tobacco,
(B) the amount of the tobacco stolen, damaged or destroyed,
(C) the proof of loss, and
(D) where tobacco is damaged or destroyed, the nature and extent of the damage or destruction, and
(c) made within six months after the day on which the tax was paid.
87-29
7Repealed: 91-131
91-131
8(1)For the purposes of section 3 of the Act, the normal retail price of cigars shall be the suggested retail price of the manufacturer.
8(2)Repealed: 89-136
8(3)Repealed: 91-131
89-136; 91-131
9Repealed: 91-131
85-51; 85-113; 85-201; 86-48; 86-148; 86-193; 87-80; 88-53; 88-144; 88-225; 88-259; 89-34; 89-86; 89-131; 89-188; 90-29; 90-124; 90-162; 91-52; 91-131
10Repealed: 92-96
92-96
11Regulation 163, Statutory Orders and Regulations, 1963, under the Tobacco Tax Act is repealed.
12This Regulation comes into force on October 1, 1984.
N.B. This Regulation is consolidated to September 30, 2003.