Part 2, Volume 158 #15
Highlights
- The Minister of the Environment has updated the Domestic Substances List, adding new chemicals, polymers, and living organisms, and removing certain strains of Pseudomonas aeruginosa.
- The Minister of Public Safety and Emergency Preparedness has updated the list of terrorist entities to reflect current intelligence.
- The Treasury Board has amended regulations to streamline the administration of low-materiality fees.
- The Governor General has designated specific ministers for the Canadian Sustainable Jobs Act.
- The Digital Services Tax Act has been enacted, imposing a 3% tax on certain digital services revenues.
- New regulations provide a temporary 100% GST/HST rebate for new purpose-built rental housing to address housing shortages.
- Special Economic Measures have been amended to address violence by Israeli extremist settlers in the occupied Palestinian territories, listing individuals and entities involved in such actions.
Amendment to the Domestic Substances List under the Canadian Environmental Protection Act
The Minister of the Environment, having received necessary information under the Canadian Environmental Protection Act, 1999, and being satisfied with the manufacturing and importation quantities, has amended the Domestic Substances List. The amendments include the addition of several substances to Part 1 and Part 3 of the List. These substances have been assessed, and no conditions under the Act are currently in effect for them. The Order comes into force upon registration. [Source]
Updates to the Domestic Substances List under CEPA 1999
The Minister of the Environment, with the Minister of Health, has added certain living organisms to the Domestic Substances List under the Canadian Environmental Protection Act, 1999. These organisms have been manufactured or imported by the person who provided the necessary information, and no conditions are in effect for these organisms. The amendments include adding specific strains of Escherichia coli and human autologous T lymphocytes to Part 5 of the List and removing certain strains of Pseudomonas aeruginosa from Part 6, as their risks are managed under other regulations.
The Domestic Substances List is an inventory of substances in the Canadian marketplace, ensuring new substances are assessed for environmental and health risks. The List is regularly updated to include new substances and manage significant new activities (SNAc) requirements. The recent amendments add 11 chemicals and polymers and two living organisms to the List, facilitating business access to these substances. Additionally, SNAc requirements for three Pseudomonas aeruginosa strains have been rescinded as their risks are managed under the Human Pathogens and Toxins Act and Regulations.
The orders do not impose new regulatory requirements or costs on businesses and are administrative in nature. They ensure compliance with CEPA obligations and do not impact small businesses or international agreements. No significant environmental or gender-based impacts were identified. The orders are now in force, and compliance is enforced under CEPA’s compliance and enforcement policy. For questions or compliance concerns, individuals can contact the Substances Management Information Line. [Source]
Updates to Canada’s Terrorist Entity List to Enhance National Security and Counter-Terrorism Efforts
The Minister of Public Safety and Emergency Preparedness has amended the Regulations Establishing a List of Entities under the Criminal Code to update the names and aliases of 23 listed terrorist entities. These changes ensure the list reflects current intelligence and supports Canada’s counter-terrorism efforts. The amendments involve removing outdated aliases and making grammatical and stylistic adjustments to align with recent Security Intelligence Reports and Criminal Intelligence Reports.
The list of terrorist entities is crucial for applying Canada’s counter-terrorism laws, facilitating the prosecution of terrorism-related activities, and countering terrorist financing. The amendments ensure that government departments, agencies, and financial institutions have accurate information to uphold these regulations.
Consultations were conducted with the Royal Canadian Mounted Police (RCMP) and the Canadian Security Intelligence Service (CSIS) to align the list with strategic priorities and international considerations. No public consultation was undertaken due to the sensitive nature of the information.
The amendments are administrative and incur minimal costs for financial institutions, which need to update their lists to reflect the changes. The updates help prevent terrorist groups from evading consequences by using new names and ensure that non-listed groups with similar names are not penalized.
The amendments support Canada’s national security and fulfill international obligations, including implementing United Nations conventions and resolutions. Compliance is enforced through criminal law sanctions, with severe penalties for those participating in or contributing to terrorist activities. [Source]
Streamlined Amendments to Low-materiality Fees Regulations for Efficiency
The Treasury Board has amended the Low-materiality Fees Regulations under the Service Fees Act. These amendments establish factors the President of the Treasury Board must consider when amending fee schedules, including the fee amount, the context of the fee, annual revenue from the fee, and any inaccuracies in fee descriptions. Administrative updates to the schedules were also made to ensure accuracy, such as removing outdated fees.
The amendments aim to streamline the administration of low-materiality fees, allowing for more efficient updates without requiring Treasury Board approval. This change is expected to benefit government departments by expediting the process and reducing the resources and time needed for regulatory amendments. The public and fee payers are not directly affected by these changes, but the government will gain efficiencies and potentially reduce costs associated with the amendment process. The amendments do not impact small businesses, do not require a strategic environmental assessment, and have no identified gender-based analysis plus impacts. The changes will take effect upon registration. [Source]
Designation of Ministers for Canadian Sustainable Jobs Act
The Governor General in Council, based on the Prime Minister’s recommendation and under section 5 of the Canadian Sustainable Jobs Act, has designated the Minister of Labour and the Minister of Employment and Social Development as the specified ministers for the purposes of this Act. [Source]
Minister of Natural Resources Designated for Canadian Sustainable Jobs Act
The Governor General in Council, based on the Prime Minister’s recommendation and under section 4 of the Canadian Sustainable Jobs Act, has designated the Minister of Natural Resources as the Minister responsible for the purposes of this Act. [Source]
Canada Enacts Digital Services Tax Targeting Tech Giants
The Governor in Council has enacted the Digital Services Tax Act (DSTA) as part of the Fall Economic Statement Implementation Act, 2023. This decision follows Canada’s commitment to a multilateral approach to taxing digital services, as outlined in the October 2021 OECD/G20 Inclusive Framework agreement. The DSTA imposes a 3% tax on revenues from certain digital services, targeting businesses that meet specific revenue thresholds. These services include online targeted advertising, online marketplaces, social media platforms, and the sale or licensing of user data.
The tax applies retroactively to revenues earned from January 1, 2022, and is expected to generate $2.3 billion in 2024-2025 and $900 million annually thereafter. The government has allocated funds for the administration of the tax, including $24 million for initial start-up costs and $4 million per year ongoing. Public consultations were held to shape the DSTA, incorporating feedback from various stakeholders. [Source]
GST/HST Rebate for New Purpose-Built Rental Housing
The Real Property (GST/HST) Regulations establish eligibility conditions and define which properties qualify for a temporary 100% rebate of the GST or the federal component of the HST on new purpose-built rental housing. This initiative aims to address housing shortages and affordability issues by incentivizing the construction of rental homes. The rebate applies to properties where construction begins after September 13, 2023, and before 2031, and is substantially completed before 2036.
To qualify, a property must first meet the conditions of the existing New Residential Rental Property Rebate (NRRPR) and be classified as “purpose-built rental housing.” Eligible properties include multiple unit residential complexes with either four or more units containing private facilities or ten or more units. All or substantially all units must be held for rental purposes.
The regulations also implement similar rebates for the provincial component of the HST in Ontario, Nova Scotia, Prince Edward Island, and Newfoundland and Labrador. These provincial rebates generally mirror the federal rebate but may have specific conditions, such as caps on the rebate amount in Prince Edward Island.
The regulations exclude substantially renovated residential complexes that were used as residential complexes before renovation and ensure that new buildings cannot qualify by first being used non-residentially and then converted to residential use.
The regulations were developed following consultations and are administered by the Canada Revenue Agency. They aim to reduce construction costs for rental housing, potentially lowering rents and increasing housing supply. [Source]
Canada Imposes Sanctions on Israeli Settlers for Violence in Occupied Palestinian Territories
The Canadian government has amended its Special Economic Measures to address the violence perpetrated by Israeli extremist settlers in the occupied Palestinian territories (oPt). The amendments list seven individuals and five entities believed to be involved in violent actions against Palestinian civilians and their property. These measures include a dealings ban, prohibiting Canadians from engaging in transactions with the listed persons, and rendering them inadmissible to Canada.
The sanctions aim to hold accountable those responsible for the violence, deter future attacks, and emphasize Canada’s opposition to settler violence and the expansion of settlements in the oPt. The amendments align with Canada’s longstanding policy and international partners’ positions against settlement expansion and violence in the oPt.
The regulatory impact is expected to be minimal, with limited effects on Canadian businesses and no significant administrative burden. The amendments are enforced by Canadian authorities, and violations can result in fines or imprisonment. The listed names will be available online to facilitate compliance. [Source]