Search - consideration

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. ...

Interpretation Given Based on the information provided, we confirm that under the transitional rules for the HST in Ontario, the HST will only apply to consideration paid for memberships for the 2010 golf season supplied on or after May 1, 2010, to the extent that the consideration relates to the part of the membership period that occurs on and after July 1, 2010. If the consideration for the membership for the 2010 golf season becomes due, or is paid without having become due, before May 2010, the Company will only need to charge GST on the consideration. For any outstanding amounts due on a membership that is sold before May 1, 2010, the day that the consideration becomes due determines how the transitional rules would apply. ...

Interpretation Given Pursuant to subsection 165(1), every recipient of a taxable supply made in Canada shall pay tax in respect of the supply calculated at the rate of 5% on the value of the consideration for the supply. Pursuant to subsection 165(2), every recipient of a taxable supply made in a participating province shall pay in addition to the tax imposed by subsection 165(1), tax in respect of the supply calculated at the rate of tax for that province (i.e., the HST), on the value of the consideration for the supply. ... Where this is the case, the supplier may calculate the tax payable on the total consideration for these supplies instead of calculating the tax separately on the consideration for each supply. ...

A gift certificate is a device (e.g. voucher, receipt, ticket): • that usually has a monetary value or is for a supply of property or service, • that can be redeemed on the purchase of property or a service from a particular supplier; i.e. the supplier agrees to accept the device as consideration, or a part thereof, towards the purchase of property or a service, • for which consideration was given, and • that has no intrinsic value. The vouchers described above are redeemable for goods or services supplied by the merchants, are sold for consideration (i.e., the promotional price) and have no intrinsic value. ... Section 181.2 provides that, for GST/HST purposes, the issuance or sale of a gift certificate for consideration is deemed not to be a supply and, when given as consideration for a supply of property or a service, the gift certificate is deemed to be money. ...

Rather than pay Husband for these assets, Wifeco paid an amount equal to the consideration and GST to Husband's creditors, at Husband's request. 3. ... Under section 168, tax is payable the earlier of the date the consideration was paid or becomes due. Subsection 152(1) deems consideration for a taxable supply to become due on the earliest of: (a) the earlier of the day the supplier issues an invoice in respect of the supply for that consideration or part, and the date of that invoice, (b) the day the supplier would have, but for undue delay, issued an invoice in respect of the supply for that consideration or part, and (c) the day the recipient is required to pay that consideration or part to the supplier pursuant to an agreement in writing. ...

[i] *: Proposed subsection 153(4) of the ETA provides that the value of the consideration for the supply of tangible personal property made by the supplier can be reduced to, at least, nil. This will occur where the value of the consideration for the trade-in is equal to, or greater than, the value of the consideration for the supply of tangible personal property made by the supplier. ... This will occur where the value of the consideration for the trade-in is equal to, or greater than, the value of the consideration for the supply of tangible personal property made by the supplier. ...

You state that you often act for clients who, for estate planning purposes, transfer title to fee simple mines and minerals interests to their children for no consideration. ... Where no consideration has been paid in respect of the supply, section 155 of the ETA also provides that the deemed consideration equal to the fair market value of the supply is deemed to have been paid at the time that the supply was made. ... Subsection 162(1) of the ETA deems the supply of such a right not to be a supply and any consideration paid or due, or any fee or royalty charged or reserved, in respect of the right is deemed not to be consideration for the right. ...

GST/HST becomes payable on the consideration for the travel service on the earlier of the day on which the consideration was paid or became due whether or not the service is actually rendered. ... Paragraph 232(2)(b) of the ETA states that where the tax calculated on the consideration for a supply or part thereof was collected for any reason, and that consideration is subsequently reduced, the supplier may refund or credit to the purchaser the portion of the GST/HST that was calculated on the amount by which the consideration was so reduced. Since there has been no reduction in consideration (i.e., the airfare has not been refunded), the supplier may not refund or credit under paragraph 232(2)(b) of the ETA the amount of the GST/HST calculated on the consideration for the travel service. ...

The land is subsequently transferred to the municipality for nominal consideration of perhaps $2. 5. ... Interpretation Requested You are asking what the value of consideration is for the transfer of land from a developer to a municipality under these circumstances and if the municipality is required to file a GST60 Tax Return and remit the tax payable (i.e. 14 cents in the case of nominal consideration of $2) in respect of a transfer of land from the developer to the municipality. ... However, if the municipality is required to pay the GST on consideration equal to the fair market value of the land, it will only be entitled to a rebate. ...

In such cases, subsection 168(7) of the ETA does not apply and the tax is payable on the earlier of the day consideration is paid and the day consideration becomes due in respect of the supply. ... " The provincial sales tax (PST) would not be included in the value of the consideration for the supply. Therefore, PST and GST are each calculated separately based on the value of the consideration of the supply in accordance. ...