Excise and GST/HST Rulings Directorate
Place de Ville, Tower A, 15th Floor
320 Queen Street
Ottawa, Ontario K1A 0L5XXXXXAttention: XXXXX
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13388
XXXXX XXXXX
XXXXX
XXXXXJanuary 27, 2000
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Subject:
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GENERAL INFORMATION LETTER
Municipal Road Repair and Construction Services
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Dear XXXXX
Thank you for your letter of November 8, 1999, requesting whether the guidelines provided in XXXXX, XXXXX also apply in the context of the GST/HST.
Please note that as of November 1, 1999, Revenue Canada became the Canada Customs and Revenue Agency.
XXXXX
We appreciate that XXXXX mirrors paragraph (d) of section 21.1 of Part VI of Schedule V to the Excise Tax Act. However, the guidelines provided in the XXXXX are understood to cover the application of the XXXXX to specific municipal services provided to the XXXXX and should not be applied equally when determining the application of the GST/HST to road construction and repair services provided by municipalities.
In our view, the determination of whether a particular supply made by a municipality is a service of road repair that is exempted under the GST/HST by paragraph (d) of section 21.1 of Part VI to Schedule V, or a taxable supply of construction services will be a question of fact that should be determined by examining the particular contracts for each project to establish the nature of the work being performed.
Should you have any further questions or require clarification on the above matter, please do not hesitate to contact me at (613) 952-9590.
Yours truly,
c.c.: |
R. Osudar
E. Bonnah
O. Newell |
Legislative References: |
21.1(d)/VI/V |
NCS Subject Code(s): |
G 11847-7 |
Elaine Bonnah
Government Sectors Unit
Public Service Bodies & Governments Division
Excise and GST/HST Rulings Directorate