News and Insights

Revenu Quebec Revises Various Guides on the Application of QST and GST/HST

Tax Development Jun 28, 2013

Revenu Quebec has recently revised several guides which deal with the application of QST and GST/HST to specific types of supplies, including medical devices and drugs, food and beverages, and freight transportation services. The province also revised a guide targeted to non-profit organizations. All of the guides noted below should be used as a complement to the general information guide IN-203-V, “General Information Concerning the QST and the GST/HST”.

IN-211-V, “The QST and the GST/HST: How They Apply to Medical Devices and Drugs” 

This guide offers a general administrative overview for dealing with the zero-rating provisions that may apply to certain medical and assistive devices, which are generally subject to GST/HST and QST.  In some circumstances, medical and assistive devise may be zero-rated unconditionally, while others may only qualify for zero-rating under certain conditions.

For example, some medical devices may be zero-rated if supplied on prescription to an individual, while for other devices, no prescription may be required.

It also has details and examples concerning the following:

  • parts, accessories and attachments;
  • services related to these medical devices (e.g. installation, maintenance, etc.); and
  • zero-rated drugs and dispensing services.  

IN-216-V, “The QST and the GST/HST: How They Apply to Foods and Beverages” 

Those in the food-services sector will find this brochure useful as it contains several examples for:

  • suppliers of meals, foods and beverages;
  • grocery and convenience stores;
  • special situations, including coupons, gift certificates, deposits, tips and service charges; and
  • various specific categories of food products.  

IN-218-V, “QST, GST/HST and Fuel Tax: How They Apply to Freight Carriers” 

This guide summarizes the general rules for fuel tax for both freight carriers and broker drivers.  It also lists zero-rated supplies relevant to the industry and discusses zero-rated freight transportation services along with the rules for broker drivers.  As contained within previous versions of this guide, a reference chart is included which summarizes the tax status of freight transportation services based on the origin and destination from in/outside of Canada and Quebec.  In addition, this document contains a convenient listing of key forms required by freight carriers.

IN-229-V, “The QST and the GST/HST: How They Apply to Non-Profit Organizations”  

This comprehensive document covers all the information needed by non-profit organizations (“NPOs”), including details on registration, taxable and exempt property and services, input tax credit/input tax rebates, rebates, simplified accounting methods, real property and related forms and publications.

Please note that this guide should not be used by an individual, succession, trust, charity, public institution, municipality or government as these entities are not considered NPOs for GST/HST or QST purposes.