File: 11860-2
C.N.: 1636
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Subject:
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The Application of the GST to the Supply of Certain "Lift-Chairs".
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This is further to your telephone of February 26, 1996, with Ken Syer of this office regarding the application of the GST to the supply of certain lift chairs. A review of rulings on the GST status of the supply of this type of good has revealed some confusion in the application of this provision. This letter is to clarify this matter.
Lift chairs are understood to be chairs which aid an incapacitated person move from a sitting position to a standing position. This type of chair incorporates a mechanism, generally an electric motor, which raises the seat platform and seat back to a vertical or near-vertical position to aid an incapacitated person to reach a fully standing position. Some of the chairs are also able to move to a fully reclining position. They can resemble La-Z-Boy chairs and in fact some of them are made by that manufacturer.
Section 14 of Part II of Schedule VI to the Excise Tax Act provides GST relief for supplies of the following:
"A supply of an invalid chair, commode chair, walker, wheelchair lift or similar aid to locomotion, with or without wheels, including motive power and wheel assemblies therefor, that is specially designed for use by a disabled individual."
The supply of a lift chair as described above is considered to be "an invalid chair...or similar aid to locomotion" which is specially designed for use by a disabled person. The supply of lift chairs as described above is zero-rated for GST purposes. Please note the chair must be examined to clearly determine that the "specially designed" criteria in the provision has been met. "Specially designed" implies intent on the part of the manufacturer to design a product to meet a certain need. Evidence of this intent may be found in the manufacturer's promotional literature.
If you would like to discuss this matter further, please contact Ken Syer, A/Senior Policy Officer, at (613) 952-9590.
Enikö Vermes
Manager
Health Care, Goods and Services
GST Rulings and Interpretations
c.c.: M. Brulé
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