CRA finds that an Ontario long-term care home qualified for enhanced GST/HST rebates

Elim Housing found that a B.C. long-term care facility, whose residents mostly had dementia, severely impaired mobility, complex medical issues and a life expectancy of between three months and three years, was making "facility supplies," so that it was eligible for the enhanced 83% federal public service body rebate. In response to this decision, CRA effectively reversed an earlier ruling and ruled in 138196 that an Ontario nursing home that was operated by a registered charity qualified for the federal 83% PSB rebate as well as the Ontario 87% PSB rebate. CRA has now provided essentially the same rulings for an Ontario (government funded) “long-term care home,” that sounds generally similar to the nursing home ruled upon in 138196.

Neal Armstrong. Summaries of 26 September 2017 Ruling 126881 under ETA s. 259(1) – facility supply.