29 April 2005 GST/HST Interpretation 60261 - Temporary Importation of Amusement Rides

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.

Dear XXXXX:

Thank you for your letter XXXXX requesting partial relief of the Goods and Services Tax (GST)/Harmonized Sales Tax (HST) payable on the temporary importation of amusement rides.

Statement of Facts

1. The XXXXX intends to temporarily import the following amusement rides for use at fairs and exhibitions across Canada:

1) XXXXX

XXXXX

2) XXXXX

XXXXX

3) XXXXX

XXXXX

2. The amusement rides will be imported through the Ports of XXXXX. The rides will be imported into Canada during the months of XXXXX and will be in Canada for less than one year.

3. Neither title to nor beneficial use of the amusement rides is intended to pass, or passes, to a person while the amusement rides are in Canada.

4. The amusement rides are not imported for the purpose of further manufacture, alteration, processing, repair, or maintenance.

Temporary Importation of Amusement Rides

Based on the above facts, the Canada Revenue Agency (CRA) will recommend that the GST/HST payable on the importation of the amusement rides be partially relieved by way of a special Order in Council. The GST/HST will be payable only on 1/60th of the value of the amusement rides for each month or portion thereof that the rides are in Canada. This recommendation is supported by the Department of Finance.

In view of the facts of the case, it was not possible to complete the order and obtain approval of the Governor in Council prior to the importation. Consequently, CRA will allow the importation on a 1/60th basis pending approval by the Governor in Council of the order, on the understanding that GST/HST, together with any interest and penalty, would be payable if approval is not granted or if the terms of the order are not met.

This letter is valid for a period of XXXXX to permit the importation of the amusement rides. Special authority number 97-0024 is to be shown in the special authority field on the Canada Border Services Agency (CBSA) accounting document as applying to amusement rides. A copy of this letter will be sent to Ms. Debbie Arcand, Manager, Trade Incentives and Refunds Unit, Trade Policy and Interpretation Directorate, CBSA in Ottawa. Please contact your local CBSA office with this letter for additional information concerning import procedures and export requirements.

Temporary Importation of Other Goods

In your letter, you state that you will also be importing other goods like living quarters, office trailers and shop vans. Please note that some of these goods may qualify for partial relief of the GST/HST under the Side Shows and Concessions Remission Order, which is administered by CBSA. If you need information concerning the temporary importation of these goods, please contact your local CBSA office.

Should you have any further questions or require clarification on the above matter, please do not hesitate to contact Donato Licursi at (613) 952-4294.

Yours truly,

John Sitka
Director
General Operations and Border Issues Division
Excise and GST/HST Rulings Directorate
Policy and Planning Branch

2005/03/24 — RITS 31539 — Application of GST/HST to an Incentive Card Program