GST/HST Memorandum 17-11 [17.11] Determining Whether a Financial Institution is a Qualifying Institution for Purposes of Section 141.02 23 July 2021

A dual bank/insurer is an insurer

7. … Under section 1 of the Regulations, a bank is defined for purposes of the Regulations in respect of a...

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Foreign insurer that does not carry on an insurance business in Canada is not an insurer

8. An insurer is defined in subsection 123(1) to mean...

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Must be a bank, insurer or securities dealer

10. If a financial institution is not of a prescribed class at any time in a particular fiscal year,...

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Purpose of paras. (a) and (b), and (c), of the definition

14. Paragraphs (a) and (b) of the definition of tax credit amount generally apply when a...

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SLFIs only account for federal tax in residual input tax amount

16 … [T]hese provisions [in para. (a) of the definition, in contrast to para....

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Overview of election

27. A financial institution that is not a qualifying institution may be eligible to make an election under subsection...

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Potential motivation for becoming a designated qualifying institution

36. [S. 141.02(24)] allows a financial institution that is not a qualifying...

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Use of ss. 141.02(4) and (5)

41. Subsections 141.02(4) and (5) apply for the purpose of determining the tax credit amount and the tax credit rate...

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