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XXXXX
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Leg. Ref: Section 8 of Part III of
Schedule V to the Excise Tax Act
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Subject:
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GST INTERPRETATION
Educational Services
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Dear XXXXX
This is in response to your July 14, 1993 facsimile message to, and telephone conversation with Mr. Don Dawson, during which you requested an interpretation regarding the application of the Goods and Services Tax (GST) to supplies of educational services by XXXXX. We regret the delay in responding.
Facts
During your telephone conversation with Mr. Don Dawson, you indicated that XXXXX qualifies as a non-profit organization as defined in the Excise Tax Act ("Act"), that it is providing courses in field corrosion, and that its courses lead to certificates attesting to the competence of individuals to perform certain occupations. You stated that XXXXX has not been certified as an educational institution by the Minister of Employment and Immigration. However, you indicated that XXXXX was established and operated primarily to provide students with instruction in courses that develop or enhance students' occupational skills.
Interpretation Requested
You requested an interpretation as to whether XXXXX supplies of courses in field corrosion technology would be exempt of tax pursuant to section 8 of Part III of Schedule V to the Act.
Interpretation Provided
On the basis of the information you have provided, XXXXX would qualify as a vocational school as defined in section 1 of Part III of Schedule V to the Act. Section 1 defines a vocational school, in part, as an organization that is established and operated primarily to provide students with correspondence courses or instruction in courses that develop or enhance students' occupational skills. In addition, a vocational school also includes an educational institution that is certified as such by the Minister of Employment and Immigration for the purposes of subsection 118.5(1) of the Income Tax Act.
The supplies at issue would appear to be exempt of GST pursuant to section 8 of Part III of Schedule V to the Act as they would appear to qualify as supplies by a vocational school that is a non-profit organization of a service of instruction in, or the administration of examinations in respect of, courses leading to certificates attesting to the competence of individuals to practise or perform a trade or vocation.
This interpretation is based upon our current understanding of the Excise Tax Act and regulations thereunder in their present form and does not take into account the effects of any proposed or future amendments thereto or future changes in interpretation. Further, while we trust that our comments are of assistance to you, we would advise that they do not constitute a GST ruling and are, therefore, not binding upon the Department in respect of any particular fact situation.
We hope that the information provided is of assistance to you. If you have any questions regarding this letter, please do not hesitate to contact Mr. Dawson at 954-4393.
Sincerely
J.A. Venne
Director
Tax Policy - Special Sectors
Policy and Legislation
Excise/GST
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J.A. Venne
J. Houlahan
D. Dawson |
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