Policy on the Collection and Remittance of Provincial Sales Taxes (Application of Reciprocal Taxation Agreements and Comprehensive Integrated Tax Coordination Agreements)

4. New Brunswick

4.1 Participation

CITCA participating province.

4.2 Contact office

Manager
Consumer Tax
Revenue Division
Department of Finance
P.O. Box 3000
Fredericton, New Brunswick
E3B 5G5

(506) 453-2404

4.3 Account number

An exemption certificate must be used.

4.4 Harmonized sales tax

Federal departments are required to pay HST in New Brunswick. Federal departments are also required to pay HST on third party purchases by employees in the course of employment related travel including supplies and transportation, meals, accommodation, taxi services and incidental travel related expenses, as well as purchases out of petty cash.

4.5 Ancillary taxes and other fees

Canada will pay the ancillary taxes and other fees levied or collected under the following legislation and as though such taxes and fees were applicable to Canada:

4.6 Additional information

Canada is presently negotiating the renewal of reciprocal taxation administrative arrangements with New Brunswick. Until the arrangements are renewed, both governments will continue to follow the terms of the agreements concluded in March 1991.

5. Quebec

5.1 Participation

RTA partaking province.

5.2 Contact office

Directeur des taxes à la consommation
Direction générale de la législation
3800, rue Marly
Sainte-Foy, Québec
G1X 4A5

(418) 652-4632

5.3 Registration number

An exemption certificate must be used.

5.4 Provincial general sales tax

Federal departments are exempt from paying provincial general sales tax in Quebec. However, federal departments are required to pay general sales tax on third party purchases by employees in the course of employment related travel including supplies and transportation, meals, accommodation, taxi services and incidental travel related expenses, as well as purchases out of petty cash.

5.5 Ancillary taxes and other fees

Canada will pay the ancillary taxes and other fees imposed under the provincial sales tax legislation, as established for the purposes of Part VII of the Federal-Provincial Fiscal Arrangements and Federal Post-Secondary Education and Health Contributions Act (1985 Revised Statutes) and levied or collected under the following legislation as though such taxes and fees were applicable to Canada:

5.6 Exemption certificate

This is to certify that the property and/or services ordered or purchased by (insert name of Department/Agency) are being purchased with Crown funds, and are therefore not subject to sales and consumption taxes of the Province of Quebec.

________________________________

Signature of Authorized Official

5.7 Additional information

5.7.1 Quebec Sales Tax (QST) on taxi and limousine services

(a) Since July 1, 1992, QST has applied to taxi and limousine services in Quebec. However, under the reciprocal taxation agreements, the Government of Canada is exempt from provincial sales taxes, including taxes on services received. QST therefore does not apply to taxi and limousine services, provided that:

(b) However, QST does apply to taxi and limousine services paid for in cash by employees traveling on official business. The department or agency is required to reimburse the employee for the price of the trip (including QST) and this cost is then charged to departmental or agency appropriations.

(c) Since it would be difficult for the taxi or limousine driver not to add QST to the prices shown on the meter, departments and agencies must ensure, in verifying their accounts, that QST does not appear on invoices sent to the government by taxi and limousine companies.

5.7.2 Quebec tax on insurance premiums

(a) Under the reciprocal taxation agreement with Quebec, the tax on insurance premiums is considered an ancillary tax. The federal government is therefore required to pay the sales tax on insurance premiums relating to life, health or physical integrity policies, since part of the policy is assigned to the assumption of risk in Quebec.

(b) The sales tax which applies to the employer's share of premiums for employee group insurance plans, such as disability insurance and the Public Service Medical Insurance Plan, is calculated and remitted directly to the Province of Quebec by the regional pay offices of Public Works and Government Services Canada (PWGSC).

5.7.3 Motor vehicle fleet management services

Federal departments are exempt from paying provincial general sales tax where they have entered into an agreement for motor fleet maintenance service for vehicles owned by Canada and where the contractor has accepted the liability for payment to third parties for goods and services to maintain the vehicles. Such payments to third parties are deemed to be made by Canada, and, as a result, are exempt from provincial sales tax at point of purchase.

6. Ontario

6.1 Participation

RTA partaking province.

6.2 Contact office

Senior Manager
Legislation
Ontario Ministry of Finance
Retail Sales Tax Branch
33 King Street West
Oshawa, Ontario
L1H 8H7

(905) 433-6322

6.3 Permit number

11708174G

6.4 Provincial general sales tax

Federal departments are exempt from paying provincial general sales tax in Ontario. However, federal departments are required to pay general sales tax on third party purchases by employees in the course of employment related travel including supplies and transportation, meals, accommodation, taxi services and incidental travel related expenses, as well as purchases out of petty cash.

6.5 Ancillary taxes and other fees

Canada will pay the ancillary taxes and other fees imposed under the provincial sales tax legislation, as established for the purposes of Part VII of the Federal-Provincial Fiscal Arrangements and Federal Post-Secondary Education and Health Contributions Act (1985 Revised Statutes) and levied or collected under the following legislation as though such taxes and fees were applicable to Canada:

6.6 Federal vendor

This province considers all federal departments and agencies as a single vendor. As a result, federal vendors cannot claim commissions individually.

6.7 Additional information

Federal departments are exempt from paying provincial general sales tax where they have entered into an agreement for motor fleet maintenance service for vehicles owned by Canada and where the contractor has accepted the liability for payment to third parties for goods and services to maintain the vehicles. Such payments to third parties are deemed to be made by Canada, and, as a result, are exempt from provincial sales tax at point of purchase.

7. Manitoba

7.1 Participation

RTA partaking province.

7.2 Contact office

Manager
Tax Information and Advisory Services
Retail Sales Tax Branch
Department of Finance
Room 101, Norquay Building
401 York Avenue
Winnipeg, Manitoba
R3C 0P8

(204) 945-6444

7.3 Registration number

390-516-0

7.4 Provincial general sales tax

Federal departments are exempt from paying provincial general sales tax in Manitoba. However, federal departments are required to pay general sales tax on third party purchases by employees in the course of employment related travel including supplies and transportation, meals, accommodation, taxi services and incidental travel related expenses, as well as purchases out of petty cash.

7.5 Ancillary taxes and other fees

Canada will pay the ancillary taxes and other fees imposed under the provincial sales tax legislation, as established for the purposes of Part VII of the Federal-Provincial Fiscal Arrangements and Federal Post-Secondary Education and Health Contributions Act (1985 Revised Statutes) and imposed or collected under the following legislation as though such taxes and fees were applicable to Canada:

7.6 Additional information

Federal departments are exempt from paying provincial general sales tax where they have entered into an agreement for motor fleet maintenance service for vehicles owned by Canada and where the contractor has accepted the liability for payment to third parties for goods and services to maintain the vehicles. Such payments to third parties are deemed to be made by Canada, and, as a result, are exempt from provincial sales tax at point of purchase.

8. Saskatchewan

8.1 Participation

RTA partaking province.

8.2 Contact office

Saskatchewan Finance
Revenue Division
2350 Albert Street
Regina, Saskatchewan
S4P 4A6

(306) 787-6645 (From Regina)
1-800-667-6102 (From elsewhere)

8.3 Account number

An exemption certificate must be used.

8.4 Provincial general sales tax

Federal departments are exempt from paying provincial general sales tax in Saskatchewan. However, federal departments are required to pay general sales tax on third party purchases by employees in the course of employment related travel including supplies and transportation, meals, accommodation, taxi services and incidental travel related expenses, as well as purchases out of petty cash.

8.5 Ancillary taxes and other fees

Canada will pay the ancillary taxes and other fees imposed under the provincial sales tax legislation, as established for the purposes of Part VII of the Federal-Provincial Fiscal Arrangements and Federal Post-Secondary Education and Health Contributions Act (1985 Revised Statutes) and imposed or collected under the following legislation as though such taxes and fees were applicable to Canada:

Canada does not pay provincial tax or fee imposed under the Fuel Tax Act, 1987, S.S., 1986-87, c. F-32.2. An exemption certificate must be presented.

8.6 Exemption certificate

This is to certify that the property and/or services ordered or purchased by (insert name of Department/Agency) are being purchased with Crown funds, and are therefore not subject to sales and consumption taxes of the Province of Saskatchewan.

________________________________

Signature of Authorized Official

8.7 Additional information

Federal departments are exempt from paying provincial general sales tax where they have entered into an agreement for motor fleet maintenance service for vehicles owned by Canada and where the contractor has accepted the liability for payment to third parties for goods and services to maintain the vehicles. Such payments to third parties are deemed to be made by Canada, and, as a result, are exempt from provincial sales tax at point of purchase.

9. Alberta

9.1 Participation

Non-partaking province.

9.2 Contact office

Province of Alberta - Treasury
Revenue Administration
9811 109th Street
Edmonton, Alberta
T5K 2L5

(780) 427-3044

9.3 Account number

Not applicable

9.4 Provincial general sales tax

Alberta has no provincial sales tax. However, if a provincial sales tax is introduced, the sales tax exemption certificate would have to appear on purchasing orders or other purchase documents.

9.5 Ancillary taxes and other fees

Not applicable

9.6 Exemption certificate

This is to certify that the property and/or services ordered or purchased by (insert name of Department/Agency) are being purchased with Crown funds, and are therefore not subject to sales and consumption taxes of the Province of Alberta.

________________________________

Signature of Authorized Official

9.7 Additional information

(a) Canada does not pay ancillary taxes in Alberta. Nevertheless, taxes are to be paid on third party purchases for temporary accommodations (hotel tax) and gasoline in order to facilitate administration.

(b) The "Advance Disposal Surcharge" (sometimes referred to as the "Alberta Tire Tax") is not considered to be a tax and must therefore be paid.

10. British Columbia

10.1 Participation

RTA partaking province.

10.2 Contact office

Manager
Taxable Services
Ministry of Finance
Consumer Taxation Branch
500-605 Robson Street
Vancouver, British Columbia
V6B 5J3

(604) 660-4524

10.3 Account number

005521

10.4 Provincial general sales tax

Federal departments are exempt from paying provincial general sales tax in British Columbia. However, federal departments are required to pay general sales tax on third party purchases by employees in the course of employment related travel including supplies and transportation, meals, accommodation, taxi services and incidental travel related expenses, as well as purchases out of petty cash.

10.5 Ancillary taxes and other fees

Canada will pay the ancillary taxes and other fees imposed under the provincial sales tax legislation, as established for the purposes of Part VII of the Federal-Provincial Fiscal Arrangements and Federal Post-Secondary Education and Health Contributions Act (1985 Revised Statutes) and levied or collected under the following legislation as though such taxes and fees were applicable to Canada:

10.6 Federal vendor

This province considers all federal departments and agencies as a single vendor. As a result, federal vendors may not claim commissions individually.

10.7 Additional information

10.7.1 "Green" tax levied by British Columbia

(a) In British Columbia, a "green" tax applies to the purchase of lead batteries weighing more than 2 kg and to the purchase of new tires with a unit price in excess of $30.

(b) Departments and agencies shall continue to pay these fees at the rate of $5 per battery and $3 per tire directly to suppliers when purchasing these items, including the purchase of vehicles. These payments are to be charged to departmental appropriations.

10.7.2 Motor vehicle fleet management services

Federal departments are exempt from paying provincial general sales tax where they have entered into an agreement for motor fleet maintenance service for vehicles owned by Canada and where the contractor has accepted the liability for payment to third parties for goods and services to maintain the vehicles. Such payments to third parties are deemed to be made by Canada, and, as a result, are exempt from provincial sales tax at point of purchase.

11. Northwest Territories

11.1 Participation

RTA partaking territory.

11.2 Contact office

Director
Taxation
Department of Finance
Yellowknife, NWT
X1A 0L9

(403) 873-3470 (From Yellowknife)
1-800-661-0820 (From elsewhere)

11.3 Tax number

An exemption certificate must be used.

11.4 Provincial general sales tax

The NWT has no provincial sales tax. However, if a provincial sales tax is introduced, the sales tax exemption certificate would have to appear on purchasing orders or other purchase documents.

11.5 Ancillary taxes and other fees

Under the agreement with the Northwest Territories, the federal government is not required to pay ancillary taxes.

11.6 Exemption certificate

This is to certify that the property and/or services ordered or purchased by (insert name of Department/Agency) are being purchased with Crown funds, and are therefore not subject to consumption taxes of the Northwest Territories.

________________________________

Signature of Authorized Official

12. Yukon Territory

12.1 Participation

RTA partaking territory.

12.2 Contact office

Commodity Tax Clerk
Department of Finance
P.O. Box 2703
Whitehorse, Yukon
Y1A 2C6

(403) 667-5345

12.3 Provincial general sales tax

The Yukon Territory has no provincial sales tax. However, if a provincial sales tax is introduced, the sales tax exemption certificate would have to appear on purchasing orders or other purchase documents.

12.4 Ancillary taxes and other fees

Under the agreement with the Yukon Territory, the federal government is not required to pay ancillary taxes.

12.5 Exemption certificate

This is to certify that the property and/or services ordered or purchased by (insert name of Department/Agency) are being purchased with Crown funds, and are therefore not subject to consumption taxes of the Yukon Territory.

________________________________

Signature of Authorized Official

13. Provincial Tax and Harmonized Sales Tax Status Summary

Note:

T = Tax payable by federal departments

E = Exempt

N/A = Not applicable (goods and services exempt from tax under current provincial legislation)

(1) The Admission and Amusement Tax must be paid in Nova Scotia and New Brunswick

(2) The Broadcast Advertising and Insurance Tax must be paid in Quebec

(3) The Environmental Fees (batteries and tires) must be paid in British Columbia

(4) The Hotel Room Tax must be paid in British Columbia

(5) The "Advance Disposal Surcharge" (sometimes referred to as he "Alberta Tire Tax") is not considered to be a tax and must therefore be paid.

(6) Provincial general sales tax was removed concurrent with the introduction of the HST.