![]() On the invoice date of September 11, 2017, the exchange rate was: $1 US dollar = $1.2478 Canadian dollars. The payment of the amount invoiced was made in US dollars and received by the registrant on October 19, 2017. The value of the consideration in equivalent Canadian currency may be calculated on the day the payment in respect of a supply is paid to the supplier.Ī registrant made a taxable supply in Ontario that was subject to the HST at a rate of 13% and issued an invoice for $1,000 US on September 11, 2017. If the method chosen to convert foreign currency into Canadian currency results in the date of conversion occurring on a weekend or a holiday, the rate of exchange for the previous business day should be used. A registrant with separate business lines may use different days for the conversion of foreign currency for the different business lines where circumstances merit such treatment with the approval of the Minister.ĩ. Where a registrant uses a particular day for the conversion of foreign currency, as per paragraph 5 above, the registrant is to use the particular day consistently and for a reasonable period of time, such as one year.Ĩ. An average rate of exchange for the month in which the tax becomes payable can also be used.ħ. the day the foreign currency is acquiredĦ.the day the consideration for the supply is paid.The following days are acceptable to the Minister for converting the value of the consideration for a supply into Canadian currency from a foreign currency: Alternative days for conversion of foreign currencyĥ. ![]() For additional information about when the GST/HST becomes due, refer to GST Memorandum 300-6, Time of Liability. the day the recipient is required to pay that consideration or part pursuant to an agreement in writing.Ĥ.the day the supplier would have, but for an undue delay, issued an invoice in respect of the supply for that consideration or part and.the earlier of the day the supplier first issues an invoice in respect of the supply for that consideration or part and the date of that invoice.Under subsection 152(1), the consideration, or a part thereof, for a taxable supply is deemed to become due on the earliest of: Generally, under subsection168(1), the GST/HST is payable by the recipient of a taxable supply on the earlier of the day the consideration for the supply is paid and the day the consideration for the supply becomes due.ģ. such other day as is acceptable to the Minister.Ģ.Under section 159, where the consideration for a supply is expressed in a foreign currency, the value of the consideration shall, for GST/HST purposes, be calculated based on the value of that foreign currency in Canadian currency on: If you are uncertain as to whether a supply is made in a participating province, see GST/HST Technical Information Bulletin B-103, Harmonized Sales Tax – Place of Supply Rules for Determining Whether a Supply is Made in a Province.ġ. The GST applies in the rest of Canada at the rate of 5%. The HST applies in the participating provinces at the following rates: 13% in Ontario and 15% in New Brunswick, Newfoundland and Labrador, Nova Scotia, and Prince Edward Island. Reference in this publication is made to supplies that are subject to the GST or the HST. If you wish to make a technical GST/HST or QST enquiry related to SLFIs, please call 1-85. ![]() You may also visit the Revenu Québec website at revenuquebec.ca to obtain general information.įor listed financial institutions that are selected listed financial institutions (SLFIs) for GST/HST or Quebec sales tax (QST) purposes or both, whether or not they are located in Quebec, the CRA administers the GST/HST and the QST. If you are located in Quebec and wish to request a ruling related to the GST/HST, please call Revenu Québec at 1-80. GST/HST Memorandum 1-4, Excise and GST/HST Rulings and Interpretations Service explains how to obtain a ruling or an interpretation and lists the GST/HST rulings centres. If you require certainty with respect to any particular GST/HST matter, you may request a ruling. If this information does not completely address your particular situation, you may wish to refer to the Act or relevant regulation, or call GST/HST Rulings at 1-80 for additional information. The information in this publication does not replace the law found in the Act and its regulations. All legislative references in this publication are to the Excise Tax Act unless otherwise specified.
0 Comments
Leave a Reply. |