Medical Cannabis Fee Exemption Fix
Order Amending the Cannabis Fees Order (Exemptions — Sale for Medical Purposes): SOR/2020-8
This order amends the Cannabis Fees Order to allow licence holders who start selling medical cannabis partway through a fiscal year to declare intent within 30 days of their licence’s earliest effective date and qualify for the annual-fee exemption for that entry year. It came into force on 2020-01-22 and is paired with the Cannabis for Medical Purposes Remission Order to refund or waive eligible annual regulatory fees (including for 2018–2019 and 2019–2020) with a 30-day application window for remission.
- Published
- January 22, 2020
- Department
- Unavailable
- Section
- Order Amending the Cannabis Fees Order (Exemptions — Sale for Medical Purposes)
- Comment deadline
- Unavailable
- Effective date
- January 22, 2020
- Publication part
- Part II
Summary
Summary#
The Order Amending the Cannabis Fees Order (Exemptions — Sale for Medical Purposes) fixes a timing problem in the fee rules so licence holders who begin selling medical cannabis partway through a fiscal year can still qualify for the annual-fee exemption for that first year. It came into force on January 22, 2020 and is paired with the Cannabis for Medical Purposes Remission Order, which lets eligible licence holders get fees refunded or waived.
What it does#
- Changes the Cannabis Fees Order so a licence holder who is in their first year of selling medical cannabis can declare their intent to sell only for medical purposes within 30 days of the earliest effective date of their licence.
- Keeps the normal yearly deadline of April 30 for declaring intent in later years.
- Requires licence holders to submit, by April 30 following the fiscal year, a statement of cannabis revenue and a confirmation that all sales were to people authorized for medical use.
- Makes a small wording clarification about the financial documents sellers must provide.
- Establishes the Cannabis for Medical Purposes Remission Order to refund or waive annual regulatory fees already paid or payable for affected licence holders for 2018–2019 and 2019–2020. Eligible licence holders have 30 days from the remission order’s coming-into-force date to apply.
Who's affected#
- Licence holders who sell cannabis exclusively for medical purposes—especially those who received their licence after April 30 in a fiscal year.
- Health Canada, which will notify licence holders and process declarations and remission applications.
- Patricia Hajdu is the Minister of Health who registered the order.
- The change is aimed at businesses (licence holders). It does not directly change patient access rules.
Why it matters#
- It prevents new medical cannabis sellers from losing a planned fee exemption just because their licence started after the old April 30 deadline.
- It lets eligible licence holders recover fees they already paid for 2018–2019 and 2019–2020, reducing unexpected costs.
- According to the government’s analysis, no negative impacts on small businesses are expected.
Key topics
Source: Canada Gazette