28 June 1994 GST/HST Interpretation 1994-06-28 - Federal Sales Tax Inventory Rebate and Notional Input Tax Credits on Leased Automobiles

Dear XXXXX

Thank for your letter dated May 11, 1994 to Mr. Brian Shackleton, Director of Consultation and Client Relations, Excise GST Branch, in which you request an interpretation on claiming the Federal Sales Tax inventory rebate and notional input tax credits on leased automobiles. Mr. Shackleton has asked that I reply to your letter.

In your letter, and in the background information, you state that your client, XXXXX, was recently audited by our Department and was issued a Notice of Assessment dated XXXXX, disallowing notional input tax credits on certain leased automobiles. You also explain that your client was informed that these leased vehicles would not qualify for the Federal Sales Tax inventory rebate. Lastly, you advise us that your client has filed a Notice of Objection to the Notice of Assessment with the XXXXX[.]

We have confirmed that the above Notice of Objection has been received by the XXXXX. As a result, it is inappropriate for me to comment on issues that are under objection, however, please assure your client that, in reconsidering the assessment, a comprehensive review of the facts will be performed by the appeals section of the XXXXX[.]

If your client requires further information or explanation with respect to their objection, please contact XXXXX[.]

Yours truly,

H.L. Jones
Director
General Tax Policy
Policy and Legislation
Excise/GST

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