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
Case Number: 121023
Attention: XXXXX
XXXXX
February 9, 2010
Dear XXXXX:
Subject:
GST/HST RULING
Temporary Importation - Racing Vehicles and Related Equipment
Thank you for your letter of XXXXX concerning the application of the Goods and Services Tax (GST)/Harmonized Sales Tax (HST) to the temporary importation of racing vehicles and related equipment.
All legislative references are to the Excise Tax Act (ETA) unless otherwise specified.
Statement of Facts
We understand the facts to be as follows:
1. The XXXXX is a non-resident located in XXXXX. XXXXX.
2. The XXXXX and XXXXX will each be holding XXXXX events in Canada, to be held in XXXXX.
3. In order to hold the events, the XXXXX intends to temporarily import racing vehicles, trailers and conveyances for moving racing vehicles, repair parts and repair equipment, tools and portable shop equipment required to maintain the racing vehicles, mobile accommodations and related equipment for support staff, safety vehicles and up to XXXXX full fuel tanker trucks for the races in XXXXX. Following each race, any fuel remaining in the tanker trucks will be exported.
4. The racing vehicles and related equipment are not for sale, for lease or for further manufacturing or further processing while in Canada.
5. The Canada Border Services Agency has determined that the conditions of items 38 and 41 of the schedule to the Temporary Importation (Excise Levies and Additional Duties) Regulations are met for the temporary importation of the racing vehicles and related equipment.
Ruling Requested
You would like to know whether the temporary importation of the racing vehicles and related equipment is a non-taxable importation for GST/HST purposes.
Ruling Given
Based on the facts set out above, we rule that the temporary importation of the racing vehicles and related equipment is a non-taxable importation for GST/HST purposes.
This ruling is subject to the qualifications in GST/HST Memorandum 1.4, Excise and GST/HST Rulings and Interpretations Service. We are bound by this ruling provided that none of the above issues are currently under audit, objection, or appeal, that no future changes to the ETA, regulations or our interpretative policy affect its validity, and all relevant facts and transactions have been fully disclosed.
Explanation
Generally, all goods imported into Canada are taxable for GST/HST purposes unless specifically relieved under section 213 of the ETA. Importations of goods relieved of tax under section 213 of the ETA are set out in Schedule VII to the ETA. Section 8 of Schedule VII to the ETA deems prescribed goods that are imported in prescribed circumstances into Canada to be non-taxable for GST/HST purposes. Paragraph 3(i) of the Non-Taxable Imported Goods (GST/HST) Regulations includes goods described in items 38 and 41 of the schedule to the Temporary Importation (Excise Levies and Additional Duties) Regulations when a non-resident imports the goods in circumstances where the terms and conditions of the regulations have been met.
For your convenience, please find enclosed a copy of GST/HST Memorandum 1.4, Excise and GST/HST Rulings and Interpretations Service.
If you require clarification with respect to any of the issues discussed in this letter, please call me directly at 613-952-8530. Should you have additional questions on the interpretation and application of GST/HST, please contact a GST/HST Rulings officer at 1-800-959-8287.
Yours truly,
Carolle Mercier
Border Issues Unit
General Operations and Border Issues Division
Excise and GST/HST Rulings Directorate
UNCLASSIFIED
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