Search - consideration

Pursuant to section 159 of the Act, when the consideration for a supply is expressed in foreign currency (e.g., U.S. dollars), the value of the consideration shall be calculated based on the value of the foreign currency in Canadian currency. ... GST/HST becomes payable on the earliest of the day on which consideration is paid or becomes due. Consideration generally becomes due on the earliest of the day on which the supplier first issues an invoice for the supply, the date of the invoice and the day the recipient is required to pay the consideration pursuant to an agreement in writing. ...

For an exempt or non-taxable supply of a residential complex, section 154 of the ETA does not provide for the consideration for such a supply or the FMV of such property at the time of its supply to be discounted to remove an imbedded or implicit amount of GST or HST. 3. ... In addition, where the consideration for a particular supply of another residential complex is used for purposes of a valuation methodology, any GST or HST that was imposed on that supply of the other residential complex can be excluded from the consideration. ... However, if a comparable used in the direct comparison method is an exempt sale of a residential complex, section 154 of the ETA does not provide for the consideration of that exempt sale to be discounted to remove an imbedded or implicit amount of GST or HST. ...

Consideration may be composed of money and/or goods and services that are exchanged in return for the supply by the PSB. In accordance with section 165 and 221 of the ETA, the PSB is required to collect GST on the fair market value of the consideration payable for the supply. Note, in the case where the consideration is other than money, GST is charged on the fair market value of the goods and services provided at the time the supply is made. ...

In consideration for the business referrals, XCo pays a fee to the bank pursuant to the terms of the national contract. ... Interpretation Given The contract outlining the terms of the referral services was not provided for our consideration. ... Subsection 165(1) of the ETA imposes GST at a rate of 7% on the consideration for taxable supplies (not zero-rated) made in Canada, subsection 165(2) imposes an additional tax at 8% with a resulting combined HST rate of 15% on the consideration for taxable supplies made in a participating province (New Brunswick, Newfoundland, or Nova Scotia). ...

You stated that as there is no consideration for the electronic coupon (the points), it would not be a gift certificate as defined in policy statement P-202. ... As consideration is not paid for the points, they generally would not be gift certificates pursuant to policy statement P-202. ... Pursuant to subsection 181(4) of the ETA the consideration for the property or service is reduced by the coupon amount before GST/HST is applied. ...

To the extent that such a payment is made in order to compensate the customer and not in order to obtain a supply, it should be regarded as other than consideration. GST/HST is only payable with respect to a payment that is other than consideration if it falls under subsection 182(1) of the ETA. ... In such a case, all or a portion of the payment could be regarded as consideration for a supply, rather than as a damage settlement payment. ...

However, where the FMV includes any tax amount specifically excluded under section 154 from the consideration of a supply, then for GST/HST purposes that FMV must be adjusted to exclude such an amount of tax. ... As such, HST that is payable by the recipient of a supply of the real property is excluded from the consideration for that supply of real property. ... For example, where the comparable used in the direct comparison approach is a recent re-sale of a RCU (i.e. an exempt sale of a RCU that was previously occupied as a place of residence or was sold by someone other than a builder) there is no legislative basis for discounting the consideration payable by the purchaser by an amount estimated to be the HST imbedded in that consideration. ...

" Therefore the deposits are applied to the consideration due upon the closing of the Sales Transaction and tax is payable on the earlier of the day the consideration for the supply is paid and the day the consideration for the supply becomes due. 5. ... We confirm that the fees paid would be consideration for a taxable supply. As explained above, the consideration is due upon the closing of the Sales Transaction and tax is payable on the earlier of the day the consideration for the supply is paid and the day the consideration for the supply becomes due. ...

You have asked our views on whether the price of such separately-invoiced upgrades form part of the consideration eligible for a section 254 NHR. ... Total Consideration and Elements of the Agreement To correctly account for tax and the NHR, 'total consideration' must be known. ... One might also expect to see agreement on when the supply is to be made and when the consideration is payable. ...

For your information, GST/HST does not apply to a donation where the donation is not consideration for a supply. If a donor receives something of value, the amount of the donation could be considered consideration for a supply. A gift at common law is considered a voluntary transfer of property without consideration. ...