21 August 2006 GST/HST Interpretation 46254 - Independent Medical Examinations and Other Independent Assessments

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 concerning the application of the Goods and Services Tax (GST)/Harmonized Sales Tax (HST) to flight colleges in the Province XXXXX. We apologize for the delay in our response.

You have written to us concerning the status of the flight colleges as a public college for purposes of the Excise Tax Act (the ETA) XXXXX. For confidentiality reasons we will not be able to discuss the specific contents of that letter however we can answer the general questions posed in your letter.

You have inquired whether or not a flight college would meet the definition of public college in section 123(1) of the ETA if the flight college were registered under the XXXXX Act and Regulation (POTA). You have stated that the purpose of the POTA is to provide financial protection to students attending registered private training organizations operating within the province.

As indicated in policy paper P-186R - Funding for Public Colleges, in order for a facility in Canada to be considered a public college, it must be established and operated pursuant to the relevant federal or provincial legislation governing the establishment of colleges. In XXXXX, to be considered a college, an organization would have to be established and operated pursuant to the XXXXX Act. In similar fashion, in order for a facility to be considered a technical institute, it should be established, registered or licensed as such, pursuant to relevant provincial or federal legislation.

The Canada Revenue Agency (CRA) would not consider an organization registered under the POTA to be established and operated pursuant to the relevant federal or provincial legislation governing the establishment of colleges. Additionally, the CRA would not consider an organization registered under the POTA to be established, registered or licensed as a technical institute pursuant to relevant provincial or federal legislation.

If you require clarification with respect to any of the issues discussed in this letter, please call me directly at (613) 952-0329.

Yours truly,

Trent MacDonald
Charities, Non-Profit Organizations and Educational Services Unit
Public Service Bodies and Governments Division
Excise and GST/HST Rulings Directorate

2006/09/25 — RITS 46534 — Independent Medical Examinations and Other Independent Assessments