Farmers are exempt from Provincial Sales Tax (PST) when purchasing certain farm supplies and equipment. Some purchases are automatically exempt, while others require the farmer to certify that the goods purchased will be used solely in the operation of their farm.
What items are PST exempt in Saskatchewan?
Examples of non-taxable items: basic groceries, reading materials, agricultural equipment and prescription drugs and medicine. One common PST exemption is on the purchase of goods for resale.
Is there PST on used equipment in Saskatchewan?
PST is a six per cent sales tax that applies to taxable goods and services consumed or used in Saskatchewan. It applies to goods and services purchased in the province as well as goods and services imported for consumption or use in Saskatchewan. New and used goods are subject to tax.
Do you pay GST on farm equipment?
Farm equipment supplied by way of sale is zero-rated where the equipment meets certain design criteria or specifications (e.g., size, capacity or power). Where the criteria or specifications are not met, the equipment is subject to the GST/HST.
What items are not taxed in Saskatchewan?
Goods and services that are zero-rated from GST include:
Some foods including snack foods, liquor, and carbonated beverages are charged HST. Prescription drugs, but not any drugs available over-the-counter (OTC). Medical devices. Feminine hygiene products.
Is there PST on equipment rentals in Saskatchewan?
EQUIPMENT RENTALS
Businesses may purchase their equipment rental inventory exempt from PST by quoting their vendor’s licence number to the supplier. Repairs to rental inventory may also be purchased exempt from tax. If the customer is billed for the repair, PST must be collected on the charge.
What are the exempt items?
Exempt items are goods where you don’t pay or charge VAT, but they still need to be on the VAT Return. Examples of goods that fall into this classification are items such as: Land.
Do you charge GST on used equipment?
Generally the sale of what is referred to as personal use property is not subject to GST/HST. Personal use property is an item that people own and use for their own personal use. If you sell a used personal use item then the transactions is generally not subject to GST/HST.
When should you not charge PST?
You don’t charge your customers GST/PST/HST for goods and services that are zero-rated such as: ê Basic groceries from a grocery store (meat, fish, dairy, vegetables, etc.)
What is exempt from GST and PST?
The following exemptions are available to everyone and don’t require any documentation: Food for human consumption (e.g. basic groceries and prepared food such as restaurant meals) Books, newspapers and magazines. Children-sized clothing. Bicycles.
Which is considered a farm equipment?
farm machinery, mechanical devices, including tractors and implements, used in farming to save labour. Farm machines include a great variety of devices with a wide range of complexity: from simple hand-held implements used since prehistoric times to the complex harvesters of modern mechanized agriculture.
Is there GST on a farm tractor?
When purchasing a tractor, you must only pay the GST and QST if the tractor is equipped with a power take-off (PTO) under 44.74 kW (60 HP).
How is sale of equipment taxed?
If you owned the equipment for one year or less, they will charge your regular income tax rate on the gain. If you owned the equipment for over a year, you owe the long-term capital gains rate, which will be 0, 15 or 20 percent of your profit depending on your tax bracket.
What are 3 items that are not taxable?
What’s not taxable
- Inheritances, gifts and bequests.
- Cash rebates on items you purchase from a retailer, manufacturer or dealer.
- Alimony payments (for divorce decrees finalized after 2018)
- Child support payments.
- Most healthcare benefits.
- Money that is reimbursed from qualifying adoptions.
- Welfare payments.
Which goods are the goods which are not subjected to tax?
Example: Fresh milk, Fresh fruits, Curd, Bread etc. Exports Supplies made to SEZ or SEZ Developers. Supplies that have a declared rate of 0% GST. Example: Salt, grains, jaggery etc.
Which goods are exempted in entry tax?
| S.No. | Description of goods |
|---|---|
| 15. | All kinds of metal castings. |
| 16. | Ferrous and non-ferrous metals and alloys; non-ferrous metals such as aluminium, copper, zinc, metal scrap. |
| 17. | Wire rods, sheets, ingots and circles, of Aluminium, brass, copper and zinc. |
Do you pay PST on used trailers in Saskatchewan?
Private Used Vehicle Purchases
The private purchase of a used vehicle for $5,000 or less is exempt from PST when registered for private use. The private purchase of a used vehicle for greater than $5,000 is subject to PST on the full amount.
What is the PST rate in Saskatchewan?
6%
Provincial Sales Tax (PST) is a 6% sales tax that applies to the purchase, rental or importation of taxable goods and services for consumption or use in Saskatchewan.
Is there PST on used boats in Saskatchewan?
New and used vehicles eligible to be licensed under The Highway Traffic Act, are subject to tax. These include leisure vehicles such as boats, personal water craft, all-terrain vehicles, dirt bikes, campers and snowmobiles.
What is a non exempt item?
If the court deems your assets unnecessary in maintaining a minimal standard of living, those assets are nonexempt. According to The Balance: “Nonexempt assets are those that can be sold by the trustee assigned to your case by a bankruptcy court.”
What are exempt supplies Canada?
Exempt supplies means supplies of property and services that are not subject to the GST/HST. GST/HST registrants generally cannot claim input tax credits to recover the GST/HST paid or payable on property and services acquired to make exempt supplies.