New Harmonized Value-added Tax System Regulations, No. 2

Marginal note:Non-application — paragraph 218.1(1)(a) of Act

7.02 Paragraph 218.1(1)(a) of the Act does not apply in respect of an amount of consideration for an imported taxable supply of intangible personal property or a service made to a person if

• (a) the person is a provincial stratified investment plan at the time the amount of consideration becomes due or is paid without having become due; and

• (b) the amount determined by the following formula, expressed as a percentage, is less than 10%:

  A/B

  where

  A

  is the total of all amounts, each of which is the extent to which the property or service is acquired for consumption, use or supply in the course of activities relating to a provincial series of the person for a participating province, as determined in accordance with section 51 of the Selected Listed Financial Institutions Attribution Method (GST/HST) Regulations, and

  B

  is the total of all amounts, each of which is the extent to which the property or service is acquired for consumption, use or supply in the course of activities relating to a provincial series of the person for any province, as determined in accordance with section 51 of the Selected Listed Financial Institutions Attribution Method (GST/HST) Regulations.