Section 18 — Excise Tax Act: Duty of licensed air carrier

Every licensed air carrier is an agent of the Minister and as such shall, as provided in this section, levy and collect any taxes imposed by this Part for the transportation of a person by air; and make adjustments in or refund any portion of the tax paid on the transportation of a person by air that has not been provided or only partially provided or any tax that has been collected in error by the licensed air carrier. The tax imposed by this Part on each amount paid or payable in Canada for transportation of a person by air shall be collected by the licensed air carrier to whom payment for the transportation is made or is owing. The tax imposed by this Part on each amount paid or payable outside Canada for transportation of a person by air that is payable by the person at the time when he emplanes on an aircraft at an airport in Canada shall be collected by the licensed air carrier on whose aircraft the person emplanes, in this subsection referred to as the “emplaning air carrier”, except where the air transportation tax has been paid before that time to a licensed air carrier or his agent and evidence of the prepayment of tax is submitted by the person to the emplaning air carrier in a manner and form prescribed by regulation of the Governor in Council. In the case of tax imposed by this Part on any amount paid or payable in Canada for transportation of a person by air, where the transportation of a person by air is being provided by several air carriers, one or more of whom are licensed, the tax, where applicable, shall be collected by the licensed air carrier who sells the transportation by air or, if the transportation is not sold by a licensed air carrier, by the first licensed air carrier who provides any part of the transportation. Where tax has been reduced pursuant to subsection 13.1(1) in respect of two or more amounts paid or payable at the same time for transportation of a person by air on a continuous journey, no adjustment in or refund of all or any portion of the tax paid shall be made unless all of the tickets purchased at the same time for the transportation are cancelled at the same time.