Search - consideration

Consideration, Price Adjustment, or Tax We will now consider whether the GA is consideration for the supply of electricity, a price adjustment for the supply of electricity, or a tax, fee, or duty. Is the GA Consideration? The issue is whether the GA is part of the consideration for the supply of energy (which includes ancillary services) or whether it represents a separate supply. Section 123 defines consideration to include any amount that is payable for a supply by operation of law. ...

The present ruling deals with the value of the consideration on which the GST was applicable. ... Under paragraph 153(1)(a) of the ETA, where the consideration or that part is expressed in money, the value of the consideration is the amount of money. ... As such, the consideration payable for the sale of the Property does not include the consideration payable for the Lease and is $XXXXX. ...

13 August 2004 GST/HST Ruling 53953- Definition of "consideration" for GST/HST purposes Unedited CRA Tags ETA 212 Please note that the following document, although correct at the time of issue, may not represent the current position of the Agency. / Veuillez prendre note que ce document, bien qu'exact au moment émis, peut ne pas représenter la position actuelle de l'Agence. ...

Value of consideration Subsection 165(1) of the ETA states, Subject to this Part, every recipient of a taxable supply made in Canada shall pay to Her Majesty in right of Canada tax in respect of the supply calculated at the rate of 5% on the value of the consideration for the supply. Subsection 153(1) of the ETA states, Subject to this Division, the value of the consideration, or any part thereof, for a supply shall, for the purposes of this Part, be deemed to be equal to (a) where the consideration or that part is expressed in money, the amount of the money; and (b) where the consideration or that part is other than money, the fair market value of the consideration or that part at the time the supply was made. Consideration is defined to include any amount that is payable for a supply by operation of law. ...

A “recipient” of a supply of property or a service is generally defined in subsection 123(1) to be the person liable to pay the consideration for the supply (where consideration is payable). ... The premiums are consideration payable for the Insurer’s supplies of insurance to the Employer, and the Employer is liable to pay the premiums to the Insurer under the Policies. ... Since the segregated fund is deemed to be a separate person from the Insurer, it has paid (and was required to pay) the consideration, for GST/HST purposes. […]. ...

Section 159 of the ETA will apply such that the value of the consideration for the supply shall be computed on the basis of the value of the U.S. dollars in Canadian currency on the day the tax is payable, or on such other day as is acceptable to the Minister. By virtue of subsection 168(1) of the ETA, tax is generally payable by the recipient on the earlier of the day the consideration for the supply is paid and the day the consideration for the supply becomes due. As indicated, the Minister may accept alternative days for computing the value of the consideration for a supply in Canadian currency. ...

Section 159 of the ETA will apply such that the value of the consideration for the supply shall be computed on the basis of the value of the U.S. dollars in Canadian currency on the day the tax is payable, or on such other day as is acceptable to the Minister. Tax is generally payable by the recipient on the earlier of the day the consideration for the supply is paid and the day the consideration for the supply becomes due by virtue of subsection 168(1) of the ETA. As indicated, the Minister may accept alternative days for computing the value of consideration for a supply in Canadian currency. ...

The Retailer, among other things, supplies gift cards, namely XXXXX, to its customers generally for consideration, although some are supplied for no consideration to certain customers for various reasons; for example, XXXXX. 3. ... Further, no consideration has been given for the voucher, so the criterion of a gift certificate of consideration being given is not met and, therefore, a gift card supplied for no consideration as described in the above facts is not a gift certificate within section 181.2. ... Subsequently, when the free gift card is used by the bearer as full or partial payment towards the consideration for a supply to the bearer, the payment or receipt of the value of the gift card towards that consideration is treated in the same manner as the payment of money as consideration for the supply. ...

With respect to determining when consideration becomes due, subsection 152(1) provides that the consideration, or a part thereof, for a taxable supply shall be deemed to become due on the earliest of (a) the earlier of the day the supplier first 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 an 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. ... Therefore, pursuant to paragraph 152(1)(c), the consideration for the supply is deemed to become due on the day the purchaser is required to pay that consideration or part to the Company pursuant to the Agreement. As a result, and pursuant to subsection 168(2), the purchaser is required to pay GST/HST on the supply of the memorialization merchandise on the earlier of the day he/she pays the consideration or part and the day he/she is required to pay the consideration or part under the Agreement. ...

Amounts representing the hauling fee were included in the consideration for supply. ... The XXXXX and XXXXX are not excluded from consideration under the Taxes, Duties and Fees (GST) Regulation and they therefore form part of the consideration for the supply of the fuel in question. ... As such it forms part of the consideration on which the GST/HST is to be calculated. ...