Section 2
Intermediary
See Also
Agence du revenu du Québec v. Stamatopoulos, 2018 QCCA 474
The respondent (“Stamatopoulos”) served as an intermediary between clothing manufacturers and subcontractors, who would sew and assemble the...
| Locations of other summaries | Wordcount | |
|---|---|---|
| Tax Topics - Excise Tax Act - Section 169 - Subsection 169(4) | burden shifted to ARQ once taxpayer showed that it had business dealings with suppliers named in invoices | 272 |
| Tax Topics - General Concepts - Onus | onus shifted to ARQ once the taxpayer had demonstrated that he had business deaings with issuer of mooted invoice | 209 |
SNF L.P. v. The Queen, 2016 TCC 12
The appellant ("SNF"), acquired metal scrap from 12 suppliers, who were registered for GST purposes, but who did not remit the GST which they...
| Locations of other summaries | Wordcount | |
|---|---|---|
| Tax Topics - Excise Tax Act - Section 169 - Subsection 169(4) | ITCs where reasonable efforts to verify suppliers and registration numbers, where GST not remitted | 402 |
| Tax Topics - Excise Tax Act - Section 261 - Subsection 261(1) | no rebate entitlement for an error caused by the applicant’s own inattention and carelessness | 114 |
| Tax Topics - General Concepts - Agency | "prête‑nom" contract is a valid contract | 217 |
PDM Royalties Limited Partnership v. The Queen, 2013 TCC 270
In an attempt to obtain input tax credits for GST incurred on the IPO of an income fund, the income fund and a subsidiary LP (which held the...
| Locations of other summaries | Wordcount | |
|---|---|---|
| Tax Topics - Excise Tax Act - Section 123 - Subsection 123(1) - Recipient | intragroup expense-bearing agreement did not change the recipient of services rendered on IPO | 280 |
| Tax Topics - Excise Tax Act - Section 169 - Subsection 169(1) | internal agreement to allocate IPO costs was ineffective/services consumed rather than re-supplied | 380 |
Tchebotar v. The Queen, [2013] GSTC 43, 2013 TCC 32 (Informal Procedure)
The appellants shredded all their sales records but "were fastidious in recording and categorizing their business expenses" (para. 25). Campbell...
| Locations of other summaries | Wordcount | |
|---|---|---|
| Tax Topics - Excise Tax Act - Section 285 | sales records shredded | 51 |
Administrative Policy
GST Memorandum (New Series) 8.4
The documentary requirements would be satisfied where a sales representative for a supplier ("who may or may not be the agent of that supplier")...
Finance
Regulatory Impact Analysis Statement (accompanied the 2000 amendment in 2000 to add "intermediary" definition):
These Regulations are amended to...
Supporting Documentation
See Also
Fiera Foods Company v. The King, 2023 TCC 140
The two bakery plants of the appellant in Toronto were staffed in significant part by temporary workers (“TWs”), who were sourced from third...
| Locations of other summaries | Wordcount | |
|---|---|---|
| Tax Topics - Excise Tax Act - Section 169 - Subsection 169(4) - Paragraph 169(4)(a) | no particular form of supplier documentation is required for ITC purposes | 328 |
| Tax Topics - Excise Tax Act - Section 169 - Subsection 169(1) | no requirement that the tax be payable to a particular person | 285 |
Axamit Versa Inc. v. The King, 2022 CCI 163
The ARQ denied input tax credits claimed by the appellant (“Axamit”) for its 2015 year regarding GST charged by its landlord. Axamit did not...
| Locations of other summaries | Wordcount | |
|---|---|---|
| Tax Topics - Excise Tax Act - Section 223 - Subsection 223(2) | purpose of s. 223(2) | 253 |
| Tax Topics - Excise Tax Act - Section 169 - Subsection 169(4) | unnecessary that the GST registration number be set out in a document issued by the supplier | 191 |
CFI Funding Trust v. The Queen, 2022 TCC 60
The appellant (“CFI”) carried on the business of securitizing automobile dealer leases through concurrent lease structures under which it...
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|---|---|---|
| Tax Topics - Excise Tax Act - Section 169 - Subsection 169(4) | information stored on recipient's computer server qualifies as a "form" | 241 |
Administrative Policy
23 March 2017 CBA Commodity Taxes Roundtable, Q.19
Yco misaddressed its invoice to Xco (also a registrant) for a taxable supply by either (i) misspelling Xco’s name, or (ii) using the name of...
| Locations of other summaries | Wordcount | |
|---|---|---|
| Tax Topics - Excise Tax Act - Section 232 - Subsection 232(3) - Paragraph 232(3)(a) | incorrect invoice could be corrected with a letter | 71 |
Section 3
Paragraph 3(a)
See Also
Rochus Geissel, as liquidator of RGEX GmbH v Finanzamt Neuss (Neuss Tax Office), C 374/16, [2017] BVC 58 (European Court of Justice, 5th Chamber)
The European VAT rules required that an invoice provide the “full” name and address of the supplier. The Court held that this requirement can...
| Locations of other summaries | Wordcount | |
|---|---|---|
| Tax Topics - Excise Tax Act - Regulations - New Harmonized Value-Added Tax System Regulations - Subsection 13(1) | a letter box address is a valid address for VAT purposes | 477 |
Les Ventes et Façonnage de Papier Reiss Inc v. The Queen, 2016 TCC 289
The taxpayer operated a business that bought and sold recycled or non-compliant paper. Input tax credits were denied for the GST on invoices...
Administrative Policy
23 March 2017 CBA Commodity Taxes Roundtable, Q.11(b)
If A is assessed for failure to charge GST/HST to B, and then then amalgamate, Amalco may generally claim an input tax credit for the GST/HST that...
| Locations of other summaries | Wordcount | |
|---|---|---|
| Tax Topics - Excise Tax Act - Section 271 | an unpaid GST/HST remittance obligation can be offset against an ITC if the vendor and purchaser amalgamate | 235 |
Subparagraph 3(a)(ii)
See Also
International Hi-tech Industries Inc. v. The Queen, 2018 TCC 240
The auditing firm (“DMCL”) issued an invoice for audit services rendered to the appellant which it claimed not to have seen until it was...
| Locations of other summaries | Wordcount | |
|---|---|---|
| Tax Topics - Excise Tax Act - Section 152 - Subsection 152(1) - Paragraph 152(1)(b) | departure of supplier from its usual prompt invoicing | 274 |
| Tax Topics - Excise Tax Act - Section 169 - Subsection 169(1) | no contractual nexus between ITC claimant and supplier | 265 |
| Tax Topics - Excise Tax Act - Section 168 - Subsection 168(9) | possible deposits subsequently may have been applied by agreement as payments on account | 233 |
| Tax Topics - Excise Tax Act - Section 221 - Subsection 221(2) | unregistered purchaser | 35 |
| Tax Topics - Excise Tax Act - Schedules - Schedule V - Part I - Section 9 - Subsection 9(2) | sale by corporation not exempted | 30 |
Paragraph 3(b)
Cases
Dr. Kevin L. Davis Dentistry Professional Corporation v. The Queen, 2021 TCC 25, aff'd 2023 FCA 76
A professional corporation’s orthodontics practice claimed input tax credits on the basis of an administrative arrangement of CRA with the...
| Locations of other summaries | Wordcount | |
|---|---|---|
| Tax Topics - Excise Tax Act - Schedules - Schedule VI - Part II - Section 11.1 | orthodontic practices make two supplies of services and devices | 383 |
| Tax Topics - Excise Tax Act - Section 169 - Subsection 169(5) | agreement with the Canadian Dental Association was an exercise of discretion under s. 169(5) | 273 |
Subparagraph 3(b)(i)
See Also
1378055 Ontario Limited v. The Queen, 2019 TCC 149
The appellant, which was seeking to develop one of its residential rental properties as a commercial storage site, received services from...
THD Inc. v. The Queen, 2018 TCC 147
The appellant, which had a trucking business, acquired various supplies from a supplier (“Service Stakkers”) for which it was invoiced, with...
| Locations of other summaries | Wordcount | |
|---|---|---|
| Tax Topics - Excise Tax Act - Section 182 - Subsection 182(1) | damages received for the “modification” of a supply contract were deemed to be GST-inclusive irrespective of an ITC to the purchaser | 182 |
Administrative Policy
19 June 2019 GST/HST Interpretation 197123 - Documentary requirements for claiming input tax credits
The taxpayer, a GST/HST registrant engaged exclusively in commercial activities, purchases goods from Canadian suppliers for resale to...
| Locations of other summaries | Wordcount | |
|---|---|---|
| Tax Topics - Excise Tax Act - Regulations - Input Tax Credit Information (GST/HST) Regulations - Section 3 - Paragraph 3(c) - Subparagraph 3(c)(ii) | no requirement that trade name be registered/recipient name can be supported in the recipient's internal records | 386 |
8 March 2018 CBA Commodity Tax Roundtable, Q.15
Systematix Technology (2006 TCC 277, aff’d 2007 FCA 226) stated: “there must be a registration number assigned to the supplier in conformity...
| Locations of other summaries | Wordcount | |
|---|---|---|
| Tax Topics - Excise Tax Act - Section 169 - Subsection 169(5) | CRA has discretion to waive requirement for contemporaneously valid vendor registration number | 128 |
Paragraph 3(c)
Subparagraph 3(c)(ii)
See Also
Lohas Farm Inc. v. The Queen, 2019 TCC 197
A grey marketer (Lohas) of newly-released iPhones purchased them in Vancouver-area Apple stores for export to Hong Kong and Taiwan, where those...
| Locations of other summaries | Wordcount | |
|---|---|---|
| Tax Topics - General Concepts - Agency | buyers made purchases of iPhones as agents for a grey market reseller | 450 |
| Tax Topics - General Concepts - Onus | no burden of displacing an assumption as to a factual matter which the taxpayer could not be reasonably expected to know | 286 |
| Tax Topics - Excise Tax Act - Section 169 | purchases were made as agent for grey market registrant | 278 |
2253787 Ontario Inc. v. The Queen, 2014 TCC 121 (Informal Procedure)
The appellant operated a small grey market business to buy iPhone 4 units from Apple's Canadian retail channels and resell them in Hong Kong,...
| Locations of other summaries | Wordcount | |
|---|---|---|
| Tax Topics - General Concepts - Agency | grey market buyers cannot be agents | 175 |
Administrative Policy
19 June 2019 GST/HST Interpretation 197123 - Documentary requirements for claiming input tax credits
The taxpayer, a GST/HST registrant engaged exclusively in commercial activities, purchases goods from Canadian suppliers for resale to...
| Locations of other summaries | Wordcount | |
|---|---|---|
| Tax Topics - Excise Tax Act - Regulations - Input Tax Credit Information (GST/HST) Regulations - Section 3 - Paragraph 3(b) - Subparagraph 3(b)(i) | GST/HST registration number can be obtained in any manner prior to claiming ITC | 179 |
23 March 2017 CBA Commodity Taxes Roundtable, Q.18
Where a partner makes a purchase for use in the partnership business and receives a satisfactory invoice other than that it is in his name rather...
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|---|---|---|
| Tax Topics - Excise Tax Act - Section 175 - Subsection 175(1) | where a partnership reimburses a partner for a partnership expense, an invoice on file in the partner’s name is satisfactory | 212 |
11 September 2000 Ruling File Nos. 11601-3, 11650-10 and 11750-5-1
The Nominee holds legal title to lands (the "Property") as bare trustee for and on behalf of the Owner. Under the terms of the Nominee Agreement,...
| Locations of other summaries | Wordcount | |
|---|---|---|
| Tax Topics - Excise Tax Act - Section 123 - Subsection 123(1) - Recipient | beneficial owner was recipient of contracts entered into in name of nominee | 61 |
Subparagraph 3(c)(iii)
See Also
1378055 Ontario Limited v. The Queen, 2019 TCC 149
The appellant, which was seeking to develop one of its residential rental properties as a commercial storage site, received services from...
Subparagraph 3(c)(iv)
See Also
Construction S.Y.L. Tremblay Inc. v. Agence du revenu du Québec, 2018 QCCA 552
In the federal Construction S.Y.L. Tremblay case, Bédard J found that house-repair invoices, that did not give the house address or describe the...
| Locations of other summaries | Wordcount | |
|---|---|---|
| Tax Topics - General Concepts - Stare Decisis | Court of Quebec not bound by Tax Court decisions/stare decisis does not preclude relitigation where unfairness would otherwise result | 239 |
| Tax Topics - General Concepts - Abuse of Process | taxpayer’s attempt to relitigate an adverse TCC decision in the Court of Quebec was an abuse of process given that the new evidence to be tendered did not address its defective invoices | 412 |
| Tax Topics - Excise Tax Act - Section 169 - Subsection 169(4) | failure of invoices to describe supply was in itself sufficient to deny credit | 180 |
Barlis 06 - Investimentos Imobiliários e Turísticos SA v. Autoridade Tributária e Aduaneira, [2016] EUECJ C-516/14 (European Court of Justice (Fourth Chamber))
A law firm’s invoice paid by a Portuguese registrant which, for example, simply referred to “Fees for legal services rendered until the...
| Locations of other summaries | Wordcount | |
|---|---|---|
| Tax Topics - Excise Tax Act - Section 169 - Subsection 169(4) | requirement to grant credit if registrant provides non-invoice back-up | 453 |
Construction S.Y.L. Tremblay inc. v. The Queen, 2013 TCC 406 (Informal Procedure)
The appellant was retained by insurance companies to repair houses that had been damaged by fire or flood. He did not check the GST registration...
Bijouterie Almar Inc. v. The Queen, 2010 TCC 618, [2010] GSTC 181
The Minister disallowed the ITCs claimed for $15 million of gold jewellery purchases made over four years on the grounds inter alia that the...
| Other locations for this summary | |
|---|---|
| Tax Topics - Excise Tax Act - Section 169 - Subsection 169(1) | Vendor had capacity to provide goods |
Administrative Policy
23 March 2017 CBA Commodity Taxes Roundtable, Q.3
When a business purchases more than $150 (e.g., the purchase of a computer) from a retail store, the cash register receipt will not identify the...