Search - consideration

These beer bottles are ordinarily acquired by consumers, are ordinarily acquired by consumers when filled and sealed, and are ordinarily supplied empty by consumers for consideration. ... The rules of the simplified method apply to all registrants except those who are specifically excluded in subsection 226(5) of the ETA: "Subsections (3) and (4) do not apply to a registrant in respect of a supply of a returnable container of a particular class made by or to the registrant where, at the time tax in respect of the supply becomes payable, the usual practice of the registrant is (a) to charge consideration for supplies of filled and sealed containers of that class that exceeds the consideration the registrant pays to registrants for supplies of filled and sealed containers of that class; (b) to charge consideration for supplies of empty containers of that class made to other registrants that exceeds the consideration the registrant pays or would pay to other registrants for supplies of empty containers of that class; (c) to pay consideration for supplies of empty containers of that class received from persons who are not registrants that is less than the total of the consideration that the registrant charges for supplies of empty containers of that class and tax calculated on that consideration; (d) to import filled and sealed containers of that class; (e) to engage other persons to fill and seal containers of that class for the registrant; or (f) to manufacture, produce or fill and seal returnable containers of any class. ... This is accomplished by the deeming provisions of subsection 226(2): "For the purposes of this section, where a person supplies a beverage in a returnable container, (a) the provision of the container shall be deemed to be a supply separate from, and not incidental to, the provision of the beverage; (b) section 137 does not apply to deem the container to form part of the beverage; and (c) the consideration for the supply of the container shall be deemed to be equal to that part of the total consideration for the beverage and the container that is reasonably attributable to the container. ...

The consideration paid or payable must be directly linked to a supply of a health care service that is in fact rendered by a physician to a particular individual. ... As consideration for a supply of “property”, the hospital on-call fee is not consideration paid or payable for a supply of a service for GST/HST purposes. ... Accordingly, the hospital on-call fee paid by a hospital to a physician is consideration for a taxable supply. ...

EXPLANATION Section 165 of the ETA imposes GST/HST on taxable supplies made in Canada, calculated at the applicable rate, on the value of the consideration paid or payable for the supply, except where the supply is a zero-rated supply. Subsection 123(1) of the ETA defines “consideration” to include “any amount that is payable for a supply by operation of law.” ... As the supply of natural gas made by a gas distributor in Alberta to its customers in Alberta is a taxable supply, the consideration payable for this supply (which includes the carbon levy) is subject to the GST. ...

As well, the Host Rewards have to be consideration for a supply of a service, made by the sales representative, of arranging for the sale of a select product or a sales aid of the person to be a “network commission.” As defined in subsection 123(1), “consideration” includes any amount that is payable for a supply by operation of law, while a “service” means anything other than property, money, and anything that is supplied to an employer by a person who is or agrees to become an employee of the employer in the course of or in relation to the office or employment of that person. ... Therefore, hosting a party as described in the facts set out above would be considered part of the Representative’s single supply of a service of arranging for the sale of select products of the Company, and all amounts provided as consideration, including the select products provided as Host Rewards, are “network commissions.” ...

The Corporation must charge GST/HST on the value of the consideration for the supply. 3. ... For GST/HST purposes a recipient includes “where consideration for the supply is payable under an agreement for the supply, the person who is liable under the agreement to pay that consideration”. ... Based on the information provided, the Corporation is supplying a “program management service” to [Member #1] for consideration. ...

In a situation where subsection 153(4) does not apply, the trade-in does not reduce the consideration being paid for the other property. ... If it is a taxable supply that is not zero-rated, the supplier (if a registrant) must collect tax on the value of the consideration. ... This is not only evident from contract principles, but in fact is expressly spelled out in subsection 153(1) of the ETA, which provides that the consideration for a supply is equal to the amount expressed in money plus, where the consideration or a part is other than money, the fair market value of the non-monetary consideration. ...