Search - consideration

As previously noted, two factors we would take into consideration are: •   where the payment is processed, and, •   where the payment is deposited. ... For example, if 90% of the short-term accommodation or tour packages acquired by a non-resident non-registered TSP is provided to non-resident individuals and 10% is provided to resident individuals, the TSP would only be entitled to the Rebate on the GST/HST paid on the amount of consideration for the 90% provided to non-resident individuals. ... Answer #6 In this scenario, we assume that the TSP also pays the GST/HST to the supplier on the individual's personal expenses, and that the TSP recovers an amount equal to the tax paid from the individual, along with the consideration for the expenses, when it invoices the individual for these personal expenses. ...

All possible benefits, both direct and indirect, accruing to members must be taken into consideration in determining the tax status of a membership. ... These are not insignificant discounts when compared to the consideration for XXXXX Membership in XXXXX. ... Therefore, as no other provisions in Schedule V apply to exempt XXXXX supplies of XXXXX Memberships made in XXXXX, they are taxable supplies subject to the GST on the consideration for the memberships. ...

With the exception of the one-time XXXXX, the consideration for this supply is payable monthly and the fees are based on a daily amount. ... Further, consideration for each supply is separately identified such that a resident knows the amount paid for accommodations and for the care and services package. ... It must also be noted that the consideration charged by S Ltd. to OPCO for the two deemed supplies must be fairly and reasonably attributed to each supply in accordance with the provisions of subsection 153(2). ...

Where the supplier of the financial service pays a portion of the surcharge fee (paid by the ABM user) to another person, such as a merchant who has provided a location for the ABM, the payment will, generally, be considered to be consideration for a taxable supply. ... The surcharge fee paid by the cardholder using the ABM is considered to be consideration for an exempt supply of a financial service. ... For example, with respect to the surcharge fee, generally, the person entitled to receive the fee as consideration for an exempt supply will not be eligible to claim ITCs on any inputs related to the making of the exempt supply. ...

If the laundry detergent was supplied free of charge to the washing machine manufacturer in return for an undertaking to advertise the particular detergent in a specified manner (i.e. no cash consideration) would the GST also be nil due to the operation of section 232.1? ... Pursuant to paragraph 232.1(c), where the preceding requirements are met, the promotional allowance is deemed not to be consideration for a supply. ... Given the preceding, it is our view that section 232.1 applies to particular tangible personal property that is acquired with the intent/for the purpose of resale 'as is' for consideration. ...

As the artisan is involved in shipping the work of art to the purchaser, consideration must be given to whether the shipping is considered to be part of the supply of the work of art, in which case it is subject to tax at the same rate as the TPP, or, a separate supply of a freight transportation service, in which case it may be subject to tax at a different rate. ... As a GST/HST registrant, an agent has the obligation to collect tax from the principal on the value of the consideration for its service of acting as agent (such as a commission) where the service is a taxable (other than zero-rated) supply made in Canada. ... In summary, with respect to the election described above, the amendments: •   ensure that amounts collected by the agent as or on account of tax are deemed held in trust by the agent for the Crown separate and apart from other funds of the agent and that the agent is eligible to claim a net tax deduction in respect of a refund or credit given by the agent of excess tax collected or tax relating to a reduction of consideration; •   ensure that the principal and agent are jointly and severally liable with respect to any claims the agent may make with respect to a net tax deduction relating to bad debts or price or tax adjustments relating to the supply, and any failure to pay an amount as a result of the agent erroneously claiming or over-claiming a net tax deduction in respect of a bad debt or a price or tax adjustment; •   ensure that if the agent claims bad debt deduction relating to the supply, the agent and principal are jointly and severally liable for a determined amount in respect of the tax on the supply if all or part of the bad debt is subsequently recovered; •   require the consideration for the supply made on behalf of the principal to be included in the agent's threshold amounts for purposes of determining the agent's reporting periods. ...

Explanation Every recipient of a taxable supply made in Canada is required to pay GST/HST at the rate of 5%, 12%, 13% or 15% (depending on the place of supply) on the value of the consideration for a supply unless it is an exempt supply. ... Homemaker service Section 13 of Part II of Schedule V exempts a supply of "homemaker services" where the services are rendered to an individual in the individual's place of residence, whether the recipient (Footnote 1) of the supply is the individual or any other person, and one of the following conditions apply: 1 Subsection 123(1) defines a "recipient" of a supply to mean the person who is liable to pay the consideration for the supply, where consideration for the supply is payable under an agreement for the supply. ... However, if the personal hygiene activities and assistance with activities of daily living were incidental to, or formed part of, a supply of a homemaker service and were provided together for a single consideration, it is CRA's view that the personal hygiene activities would be considered a homemaker service. ...

INTERPRETATION GIVEN Tips/Gratuities Subsection 123(1) “consideration”, 153(1) and 165(1) require that the GST/HST be applied to gratuities when they are included as part of the total invoice to be paid. ... Under the Act a payment will constitute consideration if it has been made pursuant to a legal obligation and is linked closely enough to a supply that it may be regarded as having been made for that supply. ... The Platform service fee paid by [delivery drivers] is consideration for a taxable supply of a service. ...