23 May 2006 GST/HST Interpretation 78908 - PROPOSED LAW/REGULATION 2006 Budget Proposal of Rate Reduction for GST

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 XXXXX concerning the status of XXXXX under Part IX of the Excise Tax Act (ETA). Your current understanding is that XXXXX does not fall within the meaning of "government" as defined in subsection 123(1) of the ETA.

Statement of Facts

We understand

XXXXX is a Crown Corporation established pursuant XXXXX.

XXXXX the Corporation is for all purposes an agent of Her Majesty in right of Canada. XXXXX.

Section 123(1) of the ETA provides that "government" means Her Majesty in right of Canada or a province".

Ruling Requested

You would like to know whether XXXXX falls within the definition of "government" set out in subsection 123(1) of the ETA.

Ruling Given

Based on the facts set out above, we rule that XXXXX falls within the definition of "government" set out in subsection 123(1) of the ETA.

This ruling is subject to the qualifications in GST/HST Memorandum 1.4, Goods and Services Tax Rulings. We are bound by this ruling provided that none of the above issues is 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

As the XXXXX constituent statute sets out that it is an agent of Her Majesty in right of Canada for all purposes, it is "government" for the purposes of the ETA.

If you require clarification with respect to the issue discussed in this letter, please call Roy Osudar at (613) 954-3551 or call me directly at 954-7656.

Yours truly,

Danielle Laflèche
Director
PSBs and Governments Division
Excise and GST/HST Rulings Directorate

2006/04/28 F — RITS 79840 — Valeur de l'importation temporaire d'un aéronef loué