On February 1, 2010, the Ontario Ministry of Finance issued this notice to provide guidance on the temporary recapture of input tax credits requirement (“RITC”) for the provincial component of the HST in Ontario that has been placed on large businesses and certain financial institutions. This notice has now been amended to include clarifications concerning the definition of a telecommunication service and the annual calculation and reconciliation that is required under the Estimation/Installment Approach. In addition, this notice includes an expansion of the production exemption that is available for energy used in the production of tangible personal property that will enable contract manufacturers and road builders to take advantage of the exemption.
For more details on the ITC recapture requirements, please refer to:
ON Info Notice No. 5