26 March 2002 GST/HST Interpretation 38619 - Temporary Importation of Amusement Rides

Dear XXXXX:

I refer to your letter dated December 20, 2001, requesting partial relief of the Goods and Services Tax/Harmonized Sales Tax (GST/HST) payable on the temporary importation of amusement rides, concessions and other goods.

Statement of Facts

1. XXXXX, intends to temporarily import the following amusement rides, for use at fairs and exhibitions across Canada:

XXXXX

2. The initial crossing of the amusement rides will be at the Port of XXXXX, at the Port of XXXXX, at the Port of XXXXX, at the Port of XXXXX, at the Port of XXXXX, at the Port of XXXXX, at the Port of XXXXX and at the Port of XXXXX[.] The amusement rides will be in Canada for less than one year.

3. Neither title to nor beneficial use of the amusement rides is intended to pass, or passes, to a person while the amusement rides are in Canada.

4. The amusement rides are not imported for the purpose of further manufacture, alteration, processing, repair or maintenance.

TEMPORARY IMPORTATION OF AMUSEMENT RIDES

Based on the above facts, the CCRA will recommend that the GST/HST payable on the importation of the amusement rides be partially relieved by way of a special Order in Council. The GST/HST will be payable only on 1/60th of the value of the amusement rides for each month or portion thereof that the rides are in Canada. This recommendation is supported by the Department of Finance.

In view of the facts of the case, it was not possible to complete the order and obtain approval of the Governor in Council prior to the importation. Consequently, CCRA will allow the importation on a 1/60th basis pending approval by the Governor in Council of the order, on the understanding that GST/HST, together with any interest and penalty, would be payable if approval is not granted or if the terms of the order are not met.

This letter is valid for a period of five months from XXXXX, to permit the importation of the amusement rides. Special authority number XXXXX is to be shown in the special authority field on the Customs accounting document as applying to the amusement rides. A copy of this letter will be sent to Mr. David Hotchkiss, Manager, Remissions Policy Unit, Customs and Trade Administration Branch in Ottawa. Please contact your local Customs office with this letter for additional information concerning import procedures and export requirements.

TEMPORARY IMPORTATION OF OTHER GOODS

In your letter, you state that you will also be importing food concessions, game concessions and other goods like living quarters. Please note that some of these goods may qualify for partial relief of the GST/HST under the Side Shows and Concessions Remission Order, which is administered by Customs. If you need information concerning the temporary importation of these goods, please contact your local Customs office.

Yours truly,

John Sitka
Director
General Operations and Border Issues Division}
Excise and GST/HST Rulings Directorate
Policy and Legislation Branch