Please note that the following document, although correct at the time of issue, may not represent the current position of the Agency. / Veuillez prendre note que ce document, bien qu'exact au moment émis, peut ne pas représenter la position actuelle de l'Agence.
Excise and GST/HST Rulings Directorate
Place de Ville, Tower A, 15th floor
320 Queen Street
Ottawa ON K1A 0L5
XXXXX
XXXXX
XXXXX
XXXXX
Case Number: 114477
Business Number: XXXXX
Attention: XXXXX
XXXXX
May 13, 2009
Subject:
_GST/HST Interpretation
Value of temporary importation of leased aircraft
Dear XXXXX:
Thank you for the XXXXX of XXXXX respecting the request for authorization for partial relief from the Goods and Services Tax (GST)/Harmonized Sales Tax (HST) with respect to the importation of a leased aircraft.
We understand that:
• XXXXX (the "Lessee") has entered into an agreement to lease the following aircraft from XXXXX. (the "Lessor"), a non-resident person with whom the Lessee deals at arm's length:
Aircraft Type
Model Number
Serial Number
Registration Number
XXXXX
XXXXX
XXXXX
XXXXX
• The lease agreement is for a period beginning on XXXXX and ending on XXXXX
• The aircraft will be imported at the Airport of Entry (XXXXX) on XXXXX and will be exported on XXXXX.
• The total number of months that the aircraft is to be held in Canada by the Lessee under a lease with the Lessor will not exceed 24 months.
Based on the information provided as set out above, authorization is hereby granted to determine the value of the imported aircraft under subsection 215(2) of the Excise Tax Act and section 14 of the Value of Imported Goods (GST/HST) Regulations, as 1/60th of the value for duty of the aircraft for each month or part of a month that the aircraft remains in Canada, plus any remaining duties payable in respect of the aircraft. This authorization will expire on XXXXX if the aircraft is not imported on or before that date. Any request for an extension to the authorization period should be submitted to this office for approval prior to the expiry date of the authorization.
In order to qualify for partial relief pursuant to section 14 of the Value of Imported Goods (GST/HST) Regulations, an imported conveyance must be exported on or before the earlier of the day that is 24 months after the day on which the conveyance is imported, and the day on which the lease is terminated. Also, if the conveyance is imported more than once, the cumulative number of months in the periods throughout which the conveyance is held in Canada by the lessee under a lease with the lessor must not exceed 24 months.
The importer is required to meet the Customs requirements as outlined in Customs Memorandum D8-1-1 Temporary Importation (Tariff Item No. 9993.00.00) Regulations with respect to the processing and control of temporary import documents and export documentation and procedures.
A copy of this letter has been sent to the Canada Border Services Agency, Canada Border Service Office - XXXXX, XXXXX at 1-800-461-9999 (for service in English) or 1-800-959-2036 (for service in French). Please contact this office regarding the importation of the aircraft for additional information regarding import procedures and export requirements.
If you require clarification with respect to any of the issues discussed in this letter, please call me directly at (613) 957-8220.
Yours truly,
Kevin W. Smith
Border Issues Unit
General Operations and Border Issues Division
Excise and GST/HST Rulings Directorate
UNCLASSIFIED
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