8 February 1995 GST/HST Interpretation 1995-02-08[4] - Application of the Goods and Services Tax (GST) to the Supply of a Piece of Agricultural Equipment Called

                                                                        February 8, 1995
 XXXXX                                                                                11845(PDL)
CN1234

Dear XXXXX

Thank you for your letter of August 26, 1994 regarding the application of the Goods and Services Tax (GST) to the supply of a piece of agricultural equipment called XXXXX .

The XXXXX is designed to load and transport round bales. The equipment operates as follows:

1. a 'fork' is lowered to ground level and collects the bale,

2. the 'fork' lifts the bale and deposits it on the carrier bed,

3. the bale is moved back along the carrier bed by a pushbar mechanism and the process is repeated until the carrier bed is full,

4. the carrier bed is drawn behind a tractor to the storage location,

5. the carrier bed is then tilted back and as the tractor and equipment moves forward the bales are left behind in a row.

I have reviewed the literature submitted with respect to the XXXXX and have concluded that the XXXXX falls within the meaning of subparagraph 1(e)(iv) of the Argiculture and Fishing Property (GST) Regulations. This decision is effective January 1, 1991.

You may contact myself at (613) 954-7656 or Enikö Vermes, A/Manager, Goods and Health Care Services if you would like to discuss this matter further.

Yours truly,

J.A. Venne
Director
Tax Policy - Special Sectors
GST Policy and Legislation