Ontario has recently revised this guide to update the retail sales tax factors used in tax-included pricing, due to the GST rate reduction, which was effective January 1, 2008. In addition, the guide clarifies that a taxpayer must self-assess tax on any meals given away for free, if the cost is more than $4.00. A vendor has the option of using either the actual cost of the free meal or 60 per cent of the normal selling price to determine if the value of the meal is more than $4.00.
ON SBP 906