Regulation - Minister

Raw Leaf Tobacco Oversight - Tracking, Labelling and Reporting

Regulation Number(s):
TBD
Instrument Type:
Regulation - Minister
Bill or Act:
Tobacco Tax Act
Summary of Decision:
As noted in the 2016 Ontario Budget, the Tobacco Tax Act (TTA) was amended in December 2015 to further strengthen oversight of Raw Leaf Tobacco (RLT). To support these amendments to the TTA, a regulation to prescribe baling or packaging, labelling, transportation, record keeping and reporting requirements and exemptions for RLT registrants came into effect July 27, 2016. Learn more about the new requirements, as well as existing requirements that relate to the changes.

Ontario Regulation 271/16 is available on the Ontario's e Laws website.
Further Information:
Proposal Number:
16-MOF011
Posting Date:
April 7, 2016
Summary of Proposal:
The Ministry of Finance (MOF) seeks comments on a regulatory proposal under the Tobacco Tax Act (TTA) to support its oversight of raw leaf tobacco in Ontario.

Oversight of raw leaf tobacco helps MOF effectively manage and monitor the movement of tobacco throughout the products' supply chain and helps ensure that raw leaf flows into the regulated tobacco market.

On January 1, 2015, MOF assumed full oversight of all raw leaf tobacco (RLT) in the province including flue-cured, dark-fired and burley tobacco.

Building on lessons learned from previous oversight of RLT by the Ontario Flue-Cured Tobacco Growers' Marketing Board, and those identified during the 2015 transition year, the Budget Measures Act, 2015 included a number of amendments to the TTA to enhance the raw leaf oversight regime that:
• Require tracking labels to be affixed to bales and packages of RLT;
• Include fines, penalties and seizure provisions related to non-compliance with RLT tracking requirements, and increase fines and penalties to address non-compliance with RLT registration requirements; and
• Strengthen RLT record-keeping, reporting requirements and enhance information sharing.

This regulatory proposal sets out the requirements for the regulatory and administrative measures required to support the amendments to the TTA. The Minister's regulation to support these provisions will be filed and come into force in advance of the 2016 RLT harvest.

An attached discussion paper is intended to help interested parties understand the proposal and to invite feedback.
Contact Address:
Ministry of Finance
Program Policy and Analytics Branch
33 King Street West, 3rd floor
Oshawa ON L1H 8H5
Fax: 905-433-5952
E-mail: MOF-PPAB@ontario.ca
Effective Date:
July 27, 2016
Decision:
Approved