British columbia insurance premium tax act

[Last amended May 15, 2023 by B.C. Reg. 121/2023]

Definition

1 In this regulation, "Act" means the Insurance Premium Tax Act.

Taxable insurer — prescribed insurer

2 For the purposes of paragraph (b) of the definition of "taxable insurer" in section 1 of the Act, the Insurance Corporation of British Columbia is a prescribed insurer.

Taxable insurer — prescribed class of insurers

3 (1) For the purposes of paragraph (c) of the definition of "taxable insurer" in section 1 of the Act, each of the following groups of persons constitutes a prescribed class of insurers:

(a) persons who are members of a reciprocal exchange, as defined in section 186 of the Financial Institutions Act, for which a permit under section 187 of that Act has been issued and is in effect;

(b) companies that are registered under the Insurance (Captive Company) Act;

(c) insurers that meet the requirements of subsection (2).

(2) For the purposes of subsection (1) (c), an insurer must be a purely mutual corporation

(a) that is exempt from the application of Parts 1 to 10 of the Financial Institutions Act, and

(b) whose insurance business in British Columbia is restricted solely to the insurance of churches, schools or other religious or charitable institutions.

Taxable premium — approved medical services and health care plans

4 For the purposes of paragraph (d) of the definition of "taxable premium" in section 1 of the Act, a medical services or health care plan that meets the following criteria is approved:

(a) the plan is established and managed by an insurance company or an extraprovincial insurance corporation that

(i) is authorized to carry on insurance business under the Financial Institutions Act, and

(ii) is a non-profit corporation;

(b) the plan provides for the payment of benefits directly to a person entitled to practise a designated health profession under the Health Professions Act.

Classes of insurance

5 For the purposes of the Act, "accident and sickness insurance" , "aircraft insurance" , "automobile insurance" , "hail insurance" , "life insurance" and "marine insurance" have the same meanings as in the Classes of Insurance Regulation under the Financial Institutions Act.

Instalment payments threshold

6 For the purposes of section 7 (1) of the Act, the amount prescribed is $25 000.

Calculation of interest

7 For the purposes of sections 7 (5), 11 (2) and (3) and 15.1 (1) of the Act, interest payable on amounts due to the government must be

(a) calculated at the rate prescribed under the Interest Rate under Various Statutes Regulation, B.C. Reg. 386/92, and

(b) calculated on a daily basis and compounded monthly.

[am. B.C. Reg. 229/2018, s. 1.]

Information sharing — prescribed enactments

8 For the purposes of section 38 (5) (m) of the Act, the following enactments are prescribed:

[en. B.C. Reg. 121/2023, Sch. 3.]

[Provisions relevant to the enactment of this regulation: Insurance Premium Tax Act, R.S.B.C. 1996, c. 232, ss. 15.1 and 41.]

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