Gross Revenue Charge (GRC) Instalment Instructions

Published: September 2016
Content last reviewed: September 2016

Owners of hydro‑electric generating stations and water power lease holders are required to make monthly or quarterly instalment payments on account of amounts payable under section 92.1 of the Electricity Act, 1998 (Act). Commencing 2010, however, instalment payments are no longer required for persons whose total amounts payable under section 92.1 of the Act for the immediately preceding year is less than $1,000.

These instalment payments are to be made using one or a combination of the enclosed remittance advice forms A, B and C. Please complete and send the applicable remittance advice form(s) to the Ministry of Finance, together with your payment, in the enclosed self-addressed envelope. Instalment payments must be received by the ministry on or before the instalment due date. Refer to the information provided on the reverse side to determine which remittance advice form(s) will apply to your particular situation.

Monthly Instalments

If the total of the amounts payable for all of your stations under section 92.1 of the Act for the immediately preceding year is $10,000 or more, you are required to pay monthly instalments on or before the 16th day of each month, calculated as follows:

  • If the month is January or February, the instalment is the lesser of,
    • 1/12th of the total of the amounts payable for the year, and
    • 1/12th of the total of the amounts payable for the year immediately before the immediately preceding year.
  • If the month is after February, the instalment is the lesser of,
    • 1/12th of the total of the amounts payable for the year, and
    • 1/12th of the total of the amounts payable for the immediately preceding year.

Quarterly Instalments

If the total of the amounts payable for all of your stations under section 92.1 of the Act for the immediately preceding year is $1,000 or more and less than $10,000, you may pay quarterly instalments for the year, instead of monthly instalments, on the 16th day of March, June, September and December of the year, equal to one quarter of the lesser of:

  • the total of the amounts payable for the year, and
  • the total of the amounts payable for the immediately preceding year.

Payment of the GRC Property Tax Component Payable to the Minister of Finance and payment of the GRC Water Rental Component must be in the form of cheque or money order made payable to the Minister of Finance. Payment of the GRC Property Tax Component Payable to the Ontario Electricity Financial Corporation must be in the form of cheque or money order made payable to the Ontario Electricity Financial Corporation. Payments cannot be made at financial institutions.

If more than one of your hydro-electric generating stations are subject to the same GRC component, please consolidate the amounts payable by such stations in respect of that GRC component onto one remittance advice form.

Debit interest is calculated and charged daily on the unpaid portion of any amount payable, from the day on which the payment is due to the day on which the amount plus interest is received. Credit interest is allowed on instalment payments in the same manner that interest is allowed on instalment payments under the Corporations Tax Act.

Remittance Advice A

GRC Property Tax Component Payable to the Minister of Finance

Remittance Advice A is to be completed by hydro-electric generating station owners paying the tax under subsection 92.1(1) of the Electricity Act, 1998. The tax under subsection 92.1(1) represents the property tax component of the GRC payable to the Minister of Finance. Remittance Advice A applies to any hydroelectric generating station other than a station owned by Ontario Power Generation Inc., Hydro One Inc., their subsidiaries, or a municipal electricity utility, or a station that was owned by any of these entities after March 31, 1999.

Remittance Advice B

GRC Property Tax Component Payable to the Ontario Electricity Financial Corporation (OEFC)

Remittance Advice B is to be completed by hydro-electric generating station owners paying the charge under subsection 92.1(2) of the Electricity Act, 1998. The charge under subsection 92.1(2) represents the property tax component of the GRC payable to the OEFC. Remittance Advice B applies to any hydro‑electric generating station owned by Ontario Power Generation Inc., Hydro One Inc., their subsidiaries, or a municipal electricity utility, or a station that was owned by any of these entities after March 31, 1999.

Remittance Advice C

GRC Water Rental Component Payable to the Minister of Finance

Remittance Advice C is to be completed by water power lease holders paying the water rental charge imposed under subsection 92.1(5) of the Electricity Act, 1998. The charge under subsection 92.1(5) represents the water rental component of the GRC payable to the Minister of Finance. Remittance Advice C applies in respect of any person who has entered into an agreement, lease or other writing respecting the use of water under subsection 42(2) of the Public Lands Act or under the Niagara Parks Act or The St. Lawrence Development Act, 1952 (No. 2) or who is required to enter into such agreement, lease or other writing in order to be entitled to occupy public lands.

For Further Information

Write:

Ministry of Finance
Account Management and Collections Branch
33 King Street West
PO Box 625
Oshawa ON L1H 8H9

Phone: 1‑866‑ONT‑TAXS (1‑866‑668‑8297)

Fax: 905‑436‑4511

Teletypewriter (TTY): 1‑800‑263‑7776

For information on other Ministry of Finance programs, please call the ministry toll free at 1‑866‑ONT‑TAXS (1‑866‑668‑8297) or visit our website at ontario.ca/finance.

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