19 November 2003 GST/HST Interpretation 47071 - Code 1 General Rebate and Original Documentation

Please note that the following documents, although correct at the time of issue, may not represent the current position of the Agency. / Veuillez prendre note que ces documents, bien qu'exacts au moment émis, peuvent ne pas représenter la position actuelle de l'Agence.

Dear XXXXX:

Thank you for your letter XXXXX (with attachments) concerning the application of the Goods and Services Tax (GST)/Harmonized Sales Tax (HST) to an application for a rebate of tax paid in error.

It is our understanding that a supplier invoices customers via facsimile. A claimant receives a facsimile invoice and writes in pen that the facsimile invoice was processed as an original invoice.

Form GST189, General Application For Rebate of GST/HST, indicates that a claimant applying for a rebate of tax paid in error must send original receipts with the application.

Interpretation Requested

Will the facsimile invoice be considered to be an original invoice for purposes of claiming a rebate of tax paid in error?

Interpretation Given

Section 261 of the Excise Tax Act (ETA) does not specifically require that an invoice be filed with the rebate application to justify that tax was paid in error. However, subsection 262(1) of the ETA requires that the rebate application be made in prescribed form containing prescribed information and filed in prescribed manner. For a form or the manner of filing a form, "prescribed" means authorized by the Minister. In the case of information to be given on a form, "prescribed" means specified by the Minister.

The requirement to provide an original document for a Code 1 rebate is included in the rebate application form (Form GST189) and is part of the prescribed information, manner and form for filing a rebate application under subsection 262(1) of the ETA.

An invoice sent by fax is not considered to be an original invoice. The supplier is required by virtue of subsection 223(2) of the ETA to provide the recipient, in writing, with the required information to substantiate the rebate claim.

The foregoing comments represent our general views with respect to the subject matter of your letter. Proposed amendments to the Excise Tax Act, if enacted, could have an effect on the interpretation provided herein. These comments are not rulings and, in accordance with the guidelines set out in section 1.4 of Chapter 1 of the GST/HST Memoranda Series, do not bind the Canada Customs and Revenue Agency with respect to a particular situation.

Should you have any further questions or require clarification on the above matter, please do not hesitate to contact me at (613) 954-7931.

Yours truly,

Anne Kratz
General Operations Unit
General Operations and Border Issues Division
Excise and GST/HST Rulings Directorate