Canadian Commodity Tax

On December 22, 2014, TEI submitted a letter to the Canadian Revenue Agency (CRA) listing concerns with the new filing obligations under section 156 of the Excise Tax Act raised by TEI members that would be best addressed in the new election form and its instructions. The letter was prepared under the aegis of TEI’s Canadian Commodity Tax Committee, whose chair is Richard Taylor of Rogers Communications Inc. Contributing substantially to the development of TEI’s comments was Chantal Grouix of SNC-Lavalin Group, Inc.

On November 18-19, 2014, representatives from Tax Executives Institute, led by 2014-2015 President Mark C. Silbiger and 2014-2015 Vice President for Canadian Affairs Paul T. Magrath, met with officials from Canada Revenue Agency and the Canadian Department of Finance to discuss tax policy and administrative matters.

On September 19, 2014, TEI submitted a letter to the Canadian Revenue Agency (CRA) and Canadian Department of Finance on proposed changes to the section 156 election for nil consideration. The election allows supplies between qualifying members of a closely related group to be made free of GST/HST.

On August 26, 2014, TEI submitted a letter to the British Columbia Ministry of Finance suggesting various amendments to the Provincial Sales Tax Act, the Motor Fuel Tax Act, and associated regulations. The proposed amendments would streamline administration for businesses and the Ministry and address a number of policy issues. The Institute's letter builds on earlier comments made to the Ministry in letters and meetings with Ministry officials.

On July 18, 2014, TEI submitted a letter to the Canadian Revenue Agency and Canadian Department of Finance expressing appreciation for proposed changes to the GST/HST joint venture election. The new rules will expand the availability of the election to all joint ventures engaged in commercial activities where all participants of the joint venture are also engaged exclusively in commercial activities.

On June 27, 2014, TEI submitted a letter to the Canadian Department of Finance observing that requiring foreign e-commerce suppliers to register with Canadian Revenue Authority and collect GST/HST on sales to final consumers would restore neutrality to the Canadian sales tax system and mitigate the pricing difference resulting from the ineffectiveness of self-assessment of the tax. The Institute's comments went on to discuss several areas to be addressed if a mandatory registration system for foreign e-commerce providers is created.

On February 12, 2014, TEI filed a letter urging the British Columbia Ministry of Finance to address issues that would improve the administrability of the provincial sales tax (PST) system, including requesting additional guidance identifying products and services as nontaxable or exempt, and relief from the tax for export sales.

On December 3-4, 2013, representatives from TEI, led by 2013-2014 Vice President for Canadian Affairs Shiraz J. Nazerali, met with officials from Canada Revenue Agency and the Canadian Department of Finance to discuss tax policy and administrative matters.

On August 5, 2013, TEI submitted three recommendations for consideration by the Canadian government in connection with its annual Pre-Budget Consultations. The recommendations were submitted to the House of Commons Standing Committee on Finance through its web-based template form.

On March 29, 2013, TEI filed a letter to the Manitoba Ministry of Finance urging the province to establish a statutory four-year limitation period for assessments of the Provincial Sales Tax. Manitoba is the only jurisdiction in Canada without a legislated limitation period for tax audit assessments.