Revised Policy Statement Issued by the Canada Revenue Agency on GST/HST and Gift Certificates, Gift Cards

The Canada Revenue Agency (CRA) issued an updated Policy Statement 202 “Gift Certificates” in April 2012 specifically addressing the GST/HST implications related to the issuance and acceptance of gift cards. The revised policy reiterates the CRA’s view that the issuance…

Canada GST/HST Rate Reduction in 2008

Effective January 1, 2008, the GST rate and the federal component of the HST rate was reduced from 6% to 5%. The provincial component of the HST will remain at 8%. This means that the rate of HST is reduced…

Canadian GST/HST Rates to Decrease

A proposal to reduce Canada’s Goods and Services Tax (GST) rate from 7% to 6% was approved in the May 2, 2006 Federal Budget. The new rate, effective July 1, 2006, will have no effect on the Goods and Service…