19 May 1995 GST/HST Interpretation 11645-5-2 (ms) - Rebate of GST Paid On Temporarily-Imported Commercial Goods

                                                                        11645-5-2 (ms)
May 19, 1995

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This is in reply to a telephone conversation between your audit officer, XXXXX and Susan Mailer, A/Manager, Imports Unit, on October 6, 1994, regarding the above-referenced subject. Additional information was subsequently received by facsimile transmission. We regret the delay in replying.

We understand that, in a particular scenario, the goods in question were imported under the authority of the Temporary Importation Regulations (TIR). GST was paid for 12 months on a 1/60th basis, under the Value of Imported Goods (GST) Regulations. However, the goods were exported earlier than the 12 months paid for. Under these circumstances, an application should be made to Customs to amend the initial accounting documents and provide proof of export. Upon approval of these documents, Customs will forward the information to the Summerside Processing Centre for processing of the GST rebate.

It is suggested that the following paragraph be included in the letter issued by the District Office when a rebate application is returned to the applicant because a prior application to Customs is required:

"This application is being returned to you. Revenue Canada Customs is responsible for ensuring proper accounting of goods imported and subsequently exported, in accordance with the Customs Act and the Temporary Importation Regulations. Therefore, an application should be made on Customs Adjustment Form B2 to amend the original accounting documents. Proof of Export should be submitted with this form."

A copy of this letter will also be provided to the Audit Directorate, for their consideration and use in drafting general guidelines for all audit staff.

Should you have further questions regarding this matter, please contact Mark Seigel of the Imports Unit at (613) 952-1512.

H.L. Jones
Director
General Applications Division
GST Rulings and Interpretations

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