gst came into effect in canada in 1993.
gst came into effect in canada in 1993.
when did gst come into effect in canada?
1993
goods and services tax (canada)









































the goods and services tax (gst) () is a multi-level value added tax introduced in canada on january 1, 1991, by then-prime minister brian mulroney and his finance minister michael wilson. the gst replaced a hidden 13.5% manufacturers' sales tax (mst); mulroney claimed the gst was implemented because the mst was hindering the manufacturing sector's ability to export competitively. the introduction of the gst was very controversial. the gst rate is 5%, effective january 1, 2008.
goods and services tax (canada)
gst must be included in the lease rentals and the residual by the lessor, which actually increased the total amount of gst to be paid, especially when gst exempt items such as stamp duty are bundled in the lease. gst on the residual is paid by the employee if they keep the car at the end of the lease. gst on the rental payments can be claimed by the employer as an input tax credit, but if the ecm is used to offset the fringe benefit, then the gst owing on the ecm payments offsets the input tax credit. since claiming the gst on running costs other than lease rentals, such as fuel, is also claimed as a benefit of salary packaging a novated lease, in reality the employee salary packaging a novated lease with ecm usually ends up paying more gst on the "purchase" of the vehicle that if they had bought it outright. if the ecm is not used, all the gst except that on the residual could be claimed by the employer, but the additional cost of paying fbt is always greater or equal to any possible gst benefit.
novated lease