Search - consideration

In other words, is the XXXXX payment for royalties, as indicated on the Agreement, or is it part of the consideration for the supply of land and equipment? ... Response Subsection 123(1) of the ETA defines "consideration" as "any amount that is payable for a supply by operation of law". ... It is therefore possible to conclude that the total consideration for the supply is in fact ascertained at the time the supply is made, in the amount of XXXXX[.] ...

(ii) The other fees charged as "additional rent" represent consideration for a long term lease of real property and, as such, are consideration for an exempt supply of real property. ... Further, the actual consideration for the management services is determined and itemized in the agreement and the amount charged by XXXXX[.] ... It is probable that these charges, if any were made, would be treated as consideration for the lease of the premises. ...

No money or consideration passes between the parties at this time. 4. ... (a) Should the dealer charge tax on the full consideration for the supply of the car to the consumer equal to $700 (7% of $10,000) (b) Should the dealer charge tax on the difference between the consideration for the supply by the dealer and the trade-in supplied by the consumer equal to $560 (7% of $8,000)? ... Question 2: Calculation of Tax Payable on the Supply by the Dealer Tax is payable on the full consideration of the supply made by the dealer to the consumer. ...

The agreement between the Director and the Railways provides for the supply by way of lease of grain hopper cars by the Government of Canada to the Railways for consideration. ... In essence, the Settlement Values paid or payable by the Railways represent further consideration for the supply of grain hopper cars by way of lease. As the original supply is subject to tax, any further consideration would also be subject to tax. ...

Question Is the reduction in the price of marked fuel by the amount of XXXXX a reduction of the consideration for GST purposes? Reply The value of the consideration for the purposes of the Excise Tax Act is the amount charged by dealers before the reduction in price of marked fuel under XXXXX. ... For the purpose of the Excise Tax Act, the XXXXX paid does not reduce the consideration for the fuel. ...

That is, pursuant to subsection 169(1) of the Excise Tax Act, the GST is imposed on the consideration for a "taxable supply. ... That is, this funding is not subject to GST whether it is viewed as consideration for an exempt supply, or a municipal grant. If, for some reason, you require a ruling on whether the municipal funding is a grant rather than consideration for a supply, we would be pleased to respond. ...

Alternatively, the above FNT sign could be used in conjunction with an indication, on an invoice, of the amount of the consideration for a taxable supply, that is not fuel or tobacco nor a zero-rated supply, and the amount of the tax payable in respect of that supply. ... Pursuant to subsection 165.2(1) of the ETA, a registrant may calculate the tax payable under section 165 of the ETA on the total consideration payable for taxable supplies that are taxed at the same rate. As such, it would appear that a registrant with supplies that are subject to GST at 7% and FNT at 7% could total the consideration for those supplies and calculate the total tax payable based on 7% of the total consideration. ...

My previous letter concerned whether a particular document was an invoice to determine if consideration is deemed due under paragraph 152(1)(a) of the Excise Tax Act (ETA). ... Interpretation Given An amount paid equaling the total of both the consideration and the tax to become due may be regarded as deposit. ... For example, a payment will not be regarded as a deposit where the supplier: 1. gives possession of a good to a customer; 2. requires the payment equal to the consideration and tax; and 3. calls the amount paid a deposit. ...

It is our opinion that the late penalties and vaccination charges can be considered part of the consideration for the supply of the zero-rated hogs. ... On the other hand the charge made for "employee services" is not considered to be part of the consideration for the supply of the hogs. ... Therefore it is our opinion that the consideration for the supply of the "employee services" is subject to the GST at 7%. ...

(b) XXXXX sells XXXXX to their customers at the current market price, and charges and remits the GST on the transactions based on the consideration received (i.e. the market price). ... You request our view as to whether the amount of money that XXXXX receives from XXXXX representing the difference between the XXXXX selling price and the Guaranteed Price is consideration for a taxable supply or consideration for an exempt supply. ... We note that when XXXXX is required to make a payment to XXXXX under the XXXXX Agreement, XXXXX is not making the payment as consideration for the supply of any specific property or services by XXXXX[.] ...