HomeMy WebLinkAboutM-200 Marketing Levy By-law (effective November 1, 2023) M-200
MARKETING LEVY BY-LAW
of the
CAPE BRETON REGIONAL MUNICIPALITY
BE IT ENACTED by Council for the Cape Breton Regional Municipality, pursuant to the Municipal
Government Act, as amended.
Short Title
1. This By-law shall be known as By-law M-200 and may be cited as the Cape Breton Regional
Municipality Marketing Levy By-law.
Definitions
2. In this By-law,
(a) "Accommodation" means the provision of one or more rental units or rooms as
lodging in hotels and motels and in any other facility required to be registered
under the Tourist Accommodations Registration Act and in a building owned or
operated by a post-secondary educational institution;
(b) "Marketing Levy" means a levy imposed pursuant to this By-law;
(c) "Municipality" means Cape Breton Regional Municipality;
(d) "Operator" means a person who, in the normal course of the person's business,
sells, offers to sell, provides or offers to provide Accommodation in the
Municipality;
(e) "Purchase Price" means the price for which Accommodation is purchased,
including the price in money, the value of services rendered and other
consideration accepted by the Operator in return for the Accommodation
provided, but does not include the goods and services tax.
Application of By-law
3. This By-law and the Marketing Levy imposed hereby shall be applicable to all
Accommodations in the Cape Breton Regional Municipality.
Application of Marketing Levy
4. A Marketing Levy is hereby imposed upon the purchase of Accommodations in the
Municipality, and the rate of the Marketing Levy shall be:
(a) Where the Accommodation will be provided on or before December 31, 2023,two
percent (2%) of the Purchase Price of the Accommodation;
(b) Where the Accommodation will be provided on or after January 1, 2024, three
percent (3%) of the Purchase Price of the Accommodation.
5. The Marketing Levy imposed under this By-law, whether the Purchase Price is stipulated
to be payable in cash, on terms, by installments or otherwise, must be collected at the
time of the sale on the total amount of the Purchase Price and must be remitted to the
Municipality at the prescribed times and in the prescribed manner.
6. If a person collects an amount as if were a Marketing Levy imposed under this By-law,the
person must remit the amount collected to the Municipality at the same time and in the
same manner as a Marketing Levy collected under this By-law.
Exemption from the Marketing Levy
7. The Marketing Levy shall not apply to:
(a) a person who pays for Accommodation for which the daily Purchase Price is no
more than twenty dollars ($20.00);
(b) a student who is accommodated in a building owned or operated by a post-
secondary educational institution while the student is registered at and attending
that post-secondary educational institution;
(c) a person who is accommodated in a room for more than thirty (30) consecutive
days;
(d) a person and the person's family, accommodated while the person or a member
of the person's family is receiving medical treatment at a hospital or provincial
health-care centre or is seeking specialist medical advice, provided the person
provides the Operator with the following:
i. a statement from a hospital or provincial health-care centre confirming the
person or a member of the person's family is receiving medical treatment
at the hospital or health-care centre and is therefore in need of
Accommodation and confirming the duration of the Accommodation; or
2
ii. a statement from a physician licensed to practice medicine in the Province
of Nova Scotia that the person or a member of the person's family is
seeking specialist medical advice and is therefore in need of
Accommodation and confirming the duration of the Accommodation.
(e) a person and the person's family, accommodated while the person and the
person's family have been temporarily displaced from their home due to a natural
disaster, including high wind event, flood event, fire or other naturally occurring
damaging event.
8. The By-law and the Marketing Levy imposed hereby shall not apply to Accommodations
containing fewer than ten (10) rooms where the Accommodation is provided on or before
December 31, 2023.
Registration of Operator
9. Every Operator of a facility providing Accommodations to which this By-law applies shall
apply for and be issued a registration certificate by the Municipality.
10. Where an Operator carries on business at more than one place, they shall obtain a
registration certificate in respect of each individual place of business.
11. The registration certificate shall be displayed in a prominent place on the premises.
12. Where an Operator changes their address, they shall forthwith return their registration
certificate to the Municipality for amendment.
13. Where an Operator changes the name or nature of their business, they shall forthwith
return their registration certificate to the Municipality and apply for a new registration
certificate.
14. Where an Operator ceases to carry on business in respect of which a registration
certificate has been issued, the certificate shall thereupon be void, and they shall return
the same to the Municipality within fifteen (15) days of the date of discontinuance.
15. Where a registration certificate is lost or destroyed, application shall be made to the
Municipality for a copy of the original.
16. A registration certificate granted under Section 9 is not transferable.
Return and Remittance of Marketing Levy
17. The Municipality may at any time require a return of sales and Marketing Levy collected
by any person selling Accommodation, such return to cover any period or periods.
3
18. Subject to the provisions of Section 17, unless otherwise provided, all Operators shall
make separate monthly returns to the Municipality.
19. A separate return shall be made for each place of business, unless a consolidated return
has been approved by the Municipality.
20. The returns by Operators shall be made and the Marketing Levy shall be remitted to the
Municipality by the fifteenth (15th) day of the month following the collection of the
Marketing Levy by the Operator.
21. If an Operator during the preceding period has collected no Marketing Levy, they shall
nevertheless make a report to that effect on the prescribed return form.
22. Where an Operator ceases to carry on or disposes of their business, they shall make the
return and remit the Marketing Levy collected within fifteen (15) days of the date of
discontinuance or disposal.
Records
23. Every Operator shall keep books of account, records and documents sufficient to furnish
the Municipality with the necessary particulars of
(a) Sales of Accommodations,
(b) Amount of Marketing Levy collected, and
(c) Disposal of Marketing Levy.
24. All entries concerning the Marketing Levy in such books of account, records and
documents shall be separate and distinguishable from other entries made therein.
25. Every Operator shall retain any book of account, record or other document referred to in
this section for a period of seven (7) years or until the Municipality authorizes its
destruction.
26. Where a receipt, bill, invoice or other document is issued by a person selling
Accommodation, the Marketing Levy shall be shown as a separate item thereon.
Calculation of Marketing Levy
27. Where an Operator sells Accommodation in combination with meals and other
specialized services for an all-inclusive package price, the Purchase Price of the
Accommodations shall be deemed to be the Purchase Price of the Accommodations when
4
such Accommodations are offered for sale in the same facility without such specialized
services.
Refund of Marketing Levy Written Off
28. The Municipality may refund to an Operator who sells Accommodation a portion of the
amount sent by the Operator to the Municipality in respect of Marketing Levy payable on
that sale under this By-law, if
(a) the Operator, in accordance with this By-law, remits the Marketing Levy required
under this Act to be levied and collected for the sale;
(b) the purchaser subsequently fails to pay to the Operator the full amount of the
consideration and Marketing Levy payable on that sale; and
(c) the Operator writes off as unrealizable or uncollectible the amount owing by the
purchaser.
29. An Operator may deduct the amount of the refund payable to the Operator under this
section from the amount of Marketing Levy that the Operator is required to remit under
this By-law.
30. If an Operator who has obtained a refund under Section 28 or made a deduction under
Section 29 recovers some or all of the amount referred to in Section 28(c) with respect to
which the refund was paid or the deduction was made,the Operator must add an amount
to the Marketing Levy to be paid or remitted by the Operator under this By-law with
respect to the reporting period in which the recovery was made.
Refund of Marketing Levy Collected in Error
31. If the Municipality is satisfied that a Marketing Levy or a portion of a Marketing Levy have
been paid in error, the Municipality shall refund the amount of the overpayment to the
person entitled.
32. If the Municipality is satisfied that an Operator has remitted to the Municipality an
amount as collected Marketing Levy that the Operator neither collected nor was required
to collect under this By-law, the Municipality must refund the amount to the Operator.
Claim For Refund
33. In order to claim a refund under this By-law, a person must
(a) submit to the Municipality an application in writing signed by the person who paid
the amount claimed, and
5
(b) provide sufficient evidence to satisfy the Municipality that the person who paid
the amount is entitled to the refund.
34. For the purposes of section 33(a), if the person who paid the amount claimed is a
corporation, the application must be signed by a director or authorized employee of the
corporation.
Interest
35. Interest payable under the By-law shall be payable at the rate of 4%above the prime rate
as set by a Canadian bank located in the Municipality calculated on a daily basis.
Inspection, Audit and Assessment
36. The Chief Administrative Officer or their designate may enter at a reasonable time the
business premises occupied by a person, or the premises where the person's records are
kept:
(a) to determine whether or not
i. the person is an Operator, orthe premises are Accommodations within the
meaning of this By-law, or
ii. this By-law is being and have been complied with, or
(b) to inspect, audit and examine books of account, records or documents.
Offense
37. A person who contravenes any provision of the By-law is subject on summary conviction
be liable to a fine as follows:
First Offence
(a) Not less than $500.00 and not more than $1,000.00.
Subsequent Offence
(b) For a subsequent conviction for the same or another provision of this By-law, not
less than $1,500.00 and not more than $5,000.00.
6
Administration of By-law
38. This By-law shall be administered on behalf of the Municipality by the Chief
Administrative Officer or any persons designated by the Chief Administrative Officer.
Severability
39. If a court of competent jurisdiction should declare any section or part of a section of this
by-law to be invalid, such section or part of a section shall not be construed as having
persuaded or influenced Council to pass the remainder of the by-law and it is hereby
declared that the remainder of the by-law shall be valid and shall remain in force.
Effective Date
40. This By-law shall take effect from the 151 day of November, 2023.
41. By-law No. M-200, cited as the Cape Breton Regional Municipality Marketing Levy By-law
pursuant to the Cape Breton Island Marketing Levy Act, and all amendments thereto, are
hereby repealed.
PASSED AND ADOPTED by a majority of the whole of Council at a duly called meeting of the Cape
Breton Regional Municipality held on August 22nd, 2023.
MAYOR AMANDA M. MCDOUGALL-MERRILL DEMETRI KACHAFANAS, KC
ACTING MUNICIPAL CLERK
7