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: 121057
Attention: XXXXX
XXXXX
January 27, 2010
Dear XXXXX:
Subject:
GST/HST RULING
Importation of Souvenirs for XXXXX
Thank you for your XXXXX of XXXXX concerning the application of the Goods and Services Tax (GST)/Harmonized Sales Tax (HST) to souvenirs that are being imported for free distribution at an XXXXX event.
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 XXXXX in the XXXXX.
2. XXXXX, XXXXX will be holding an XXXXX event in XXXXX for its employees XXXXX and their families. XXXXX anticipates approximately XXXXX people to be in attendance.
3. Because it is an XXXXX event, XXXXX will be providing souvenirs that will be distributed for free to the attendees. These items are: XXXXX.
4. The Canada Border Services Agency (CBSA) has determined that when the souvenirs are imported, they may be classified under tariff item 9830.00.00 of the Customs Tariff, and that the requirements of the Foreign Organizations Remission Order, 1983 are met. In addition, the CBSA states that the event must not be open to the Canadian public at large, and that all undistributed souvenirs must be exported from Canada.
Ruling Requested
You would like to know whether the importation of the souvenirs is a non-taxable importation for GST/HST purposes.
Ruling Given
Based on the facts set out above, we rule that the importation of the souvenirs 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 the ETA and its regulations. There are, however, also a number of remission orders administered by the CBSA that provide full or partial GST/HST relief on imported goods where the conditions of those orders have been met. Because the CBSA has determined that the requirements of the Foreign Organizations Remission Order, 1983, are met in respect of the imported souvenirs, the goods are fully relieved of GST/HST.
For your convenience, 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 613-954-4291. 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,
Geoff Macmillan
Border Issues Unit
General Operations and Border Issues Division
Excise and GST/HST Rulings Directorate
UNCLASSIFIED
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