CRA finds that the GST/HST exemption for valuing damages to insured property did not extend to valuing the property’s replacement value
Para. (j.1) of the financial service definition exempts “the service of providing an insurer … with an appraisal of the damage caused to property, or in the case of a loss of property, the value of the property, where the supplier of the appraisal inspects the property, or in the case of a loss of the property, the last-known place where the property was situated before the loss.” CRA ruled that this exemption did not apply where the service provider merely reported on the replacement value of the damaged property rather than of the damage to the property and (respecting the lost property situation), where it did not inspect the last known place where the property was situated before the loss.
Neal Armstrong. Summary of 20 December 2018 Ruling 189221 under ETA s. 123(1) – financial service – para. (j.1).