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Tax

CBA National Commodity Tax, Customs and Trade Section

CBA Commodity Tax, Customs and Trade Section articles are published under the banner Sales Tax. Members interested in posting articles are encouraged to send them to the Section’s editors.

Editors: Allan Gelkopf and Maryse Janelle

Today
Today

Big Trouble for Little Carriers?

  • March 04, 2020
  • Robert G. Kreklewetz & Stuart G. Clark

The GST/HST zero-rating rules for interline freight (which apply to both domestic and international freight movements) were supposed to be straightforward and help small Canadian freight carriers, their employees, and independent contractors (who are often tasked with moving the freight with company-owned or independently owned trucks).

Commodity Tax, Customs and Trade

Top Ten Issues For Direct Sellers Doing Business In Canada

  • February 07, 2020
  • Cyndee Todgham Cherniak

Direct sellers (also known as network sellers) enter the lucrative Canadian market, often without asking about relevant laws. Canadians sign up as independent sales contractors and start to build their sales networks before all questions are asked and answers are received.

Commodity Tax, Customs and Trade

Certain services outsourced by fund manager ruled to be GST/HST-exempt

  • December 24, 2019
  • Jean-Guillame Shooner

Reversing a ruling of the Tax Court of Canada, the Federal Court of Appeal has determined—with respect to a complex funding arrangement for broker commissions in connection with the sale of mutual funds’ securities to investors—that the mutual funds received a GST-exempt supply of a financial service from a single-purpose entity established by a U.S. bank.

FCA rules against Crown regarding GST/HST leakage for services rendered to a Canadian bank's foreign permanent establishments

  • November 29, 2019
  • Jean-Guillaume Shooner

In the Federal Court of Appeal decision, CIBC World Markets Inc. v Canada, 2019 FCA 147, the Canadian investment banking subsidiary (investment dealer) of a large Canadian bank won its appeal of an adverse 2018 Tax Court of Canada ruling with respect to its claim for input tax credits (ITCs). The ITCs in question related to GST/HST paid on expenses attributable to certain exported supplies made by the investment dealer in connection with the bank’s activities outside Canada.

Commodity Tax, Customs and Trade

Tax Court of Canada rules that bank owes GST/HST on loyalty miles services

  • November 04, 2019
  • Jean-Guillaume Shooner

The Tax Court of Canada dismissed a large Canadian bank’s appeal for eligibility to claim a rebate for GST/HST that it was charged in connection with its payments in a credit-card loyalty rewards program. The bank subsequently took the view that GST/HST should not have applied and sought to recover the monies.

Commodity Tax, Customs and Trade

Customs paper reporting to end in 2020

  • October 03, 2019
  • Cyndee Todgham Cherniak

Form B13A, the Export Declaration form, will be eliminated from use as of June 30, 2020 and no longer accepted. The Canada Border Services Agency issued Customs Notice 19-14 Mandatory electronic export reporting for exporters on July 8, 2019, in which it announced the end of paper reporting.

Commodity Tax, Customs and Trade

Evidence Satisfactory to Minister?

  • October 03, 2019
  • John G. Bassindale & Robert G. Kreklewetz

By way of background, Canadian exports are treated as zero-rated supplies under Part V of Schedule VI to the Excise Tax Act (Canada)– provided certain requirements are met. 

Commodity Tax, Customs and Trade