Refunds

	Refunds to Retailers Due to Theft
	Sales Written off as "Bad Debts"
	Refunds of Security Payments to Wholesalers
	Refunds of Overpayments

If your tobacco stock for retail sale is stolen, you may claim a refund of the tobacco taxes you paid on the stolen stock.

You apply for a refund by sending us a completed Application for Refund of Tobacco Tax Paid on Products Lost Due to Theft form (FIN 371).

Your refund claim must include supporting documents, as detailed on the reverse of the application form, including original purchase receipts and a copy of the police report completed at the time of the theft.

Please mail us the completed application form and required documents, keeping a copy for your records, addressed to:

Consumer Taxation Branch
Refunds Section
PO BOX 9628 STN PROV GOVT
VICTORIA BC  V8W 9N6

Please note, we do not provide a refund for a claim of less than $10. Refunds must be requested within four years of the payment of tax.

If you have any questions, please contact our Taxpayer Services Information Line at 604-660-4524 in the Vancouver area, or toll-free at 1-877-388-4440 from the rest of the province.

Under the Tobacco Tax Act, tax must be collected at the time of sale. If your business has extended credit to a customer and the account, or portion of the account, is uncollectable and later written off as a "bad debt", you may be entitled to a refund of the tax that was paid.

A refund should be claimed only if a tax credit cannot be obtained from the tobacco supplier. The refund claim must clearly indicate the reason for the claim and the amount being claimed. The claim must be accompanied by supporting documentation.

Refunds must be claimed within four years of the bad debt being written off your books.

You can apply for a refund by writing to:

Director, Consumer Taxation Branch
Ministry of Small Business and Revenue
PO BOX 9442 STN PROV GOVT
VICTORIA BC  V8W 9V4

If any or all of the amount written off as a "bad debt" is later paid, you are responsible for repaying the tax on the amount you received.

For more information, please see Bulletin GEN 001, Refund of Tax Remitted on Sales Written Off as "Bad Debts".

Wholesale dealers who make sales to out-of-province locations must either pay
the security or apply for a pre-authorized exemption on those sales. If
pre-authorization is not obtained, the wholesaler may apply for a refund of the security payment made on tobacco subsequently delivered out of province.

Applications for refund must be in writing and include the following:

	name, address, and permit number of applicant
	name and address of the customer(s) to whom the tobacco products will be shipped
	quantity of tobacco shipped
	documentation verifying payment of security on that shipment
	documentation verifying receipt of the tobacco at the out-of-province location
	proof that the shipment will be resold out of province (e.g. verification of payment of tax to the receiving jurisdiction)
	copies of sales invoices

Loss of Tobacco Due to Theft, Fire, Etc.

When tobacco products on which a security has been paid are not resold due to loss through fire, theft, or other circumstances, the wholesaler may apply for a refund of the security on those products.

Applications for refund must be in writing and include the following:

	name, address, and permit or registration number of applicant
	quantity of tobacco on which a refund is claimed
	documentation verifying that a security was paid on those products
	documentation verifying the quantity lost and cause of the loss

Please note, you cannot claim the security paid on lost tobacco as a credit on your Collector's Return.

Please send applications for refunds of security payments to:

Tobacco Tax Section, Consumer Taxation Branch
Ministry of Small Business and Revenue
PO BOX 9442 STN PROV GOVT
VICTORIA BC  V8W 9V4

Refund Limitations

Refund claims must be submitted within four years from the date
the security was paid. We do not provide a refund for a claim of less than $10.

Refunds may be claimed when an overpayment of tax has been made

due to a mistake of fact

Tax is considered to have been paid in error by mistake of fact when

	a taxpayer, through misinterpretation or lack of knowledge, voluntarily pays tax on a purchase that would not have been subject to tax
	a taxpayer makes an error in calculating the amount of tax due, resulting in an overpayment

Claims for refunds must be made within the following time frames:

for errors by mistake of fact, the claim must be submitted within four years from the time the tax was paid

All refund applications must include supporting documentation verifying payment and the date the tax was paid.

If it is later determined that the basis for the refund was inaccurate, you may be liable to repay the refund plus interest.

Contact us to request a refund application form, or you can obtain forms from Service BC - Government Agent offices.

Completed refund applications should be sent to:

Consumer Taxation Branch
Refund Section
PO BOX 9443 STN PROV GOVT
VICTORIA BC  V8W 9V4

Please note, we do not provide a refund for a claim of less than $10.