Section 358 — Excise Tax Act: Transportation of individuals

Where a supply is made by a person in a participating province of a service that is the transportation of an individual (other than a service to which subsection (4) applies) and the service begins before the implementation date for that province, no tax is payable under subsection 165(2) in respect of any consideration, that is paid or becomes due before the day that is four months after the implementation date, for that supply or for a supply of a service provided by the person of transporting the individual’s baggage in connection with the transportation of the individual. Where any consideration for a supply made in a participating province of a service that is the transportation of an individual (other than a service to which subsection (4) applies) becomes due, or is paid without having become due, on or after the specified pre-implementation date for that province and before the implementation date for that province for any part of the service that was not performed before the implementation date for that province, for the purpose of applying subsection 165(2) to the supply, that consideration is deemed to have become due on that implementation date and not to have been paid before that implementation date. No tax is payable under subsection 165(2) in respect of a supply made in a participating province by a person to an individual of a transportation pass that entitles the individual to transportation services, during a period beginning before the implementation date for that province and ending before the day that is one month after that implementation date, without payment of consideration by the individual each time a supply of a transportation service is made to the individual. Where a supply is made in a participating province by a person to an individual of a transportation pass that entitles the individual to transportation services, during a period beginning before the implementation date for that province and ending on or after the day that is one month after that implementation date, without payment of consideration by the individual each time a supply of a transportation service is made to the individual and consideration for the pass becomes due, or is paid without having become due, on or after the specified pre-implementation date for that province and before the day that is four months after the implementation date for that province, the part of the consideration for the pass determined by the formula A × B/C where A is amount of the consideration for the pass, B is the number of days in the period that are on or after that implementation date, and C is the number of days in the period, is deemed, for the purpose of applying subsection 165(2) to the supply, to have become due on that implementation date and not to have been paid before that implementation date.