In its 2022 budget, Saskatchewan introduced a few measures that impact the way provincial sales tax (PST) applies to many supplies made in the province. In addition, while not specifically addressed in the budget, the government has implemented two other significant PST changes. To provide guidance on these changes, the province has released or revised several Information Notices and Bulletins. Unless otherwise noted, the changes discussed below are effective as of April 1, 2022.
Credit rating agency services provided to Saskatchewan residents and businesses related to physical locations or current or anticipated activities and transactions in Saskatchewan are subject to PST, as noted in Information Notice IN 2022-03, Provincial Sales Tax on Credit Rating Agency Services. Updated Saskatchewan Information Bulletin PST-55, Credit Reporting, Credit Rating and Collection Agencies, states that taxable services acquired from a licensed supplier will be subject to PST. Taxable credit rating services acquired from unregistered suppliers will require self-assessment of PST by recipients on the purchase price of the services.
Admissions, entertainment, and recreation will be subject to PST, effective October 1, 2022. Information Notice IN 2022-01, Provincial Sales Tax on Admissions, Entertainment and Recreation, provides further details on the application of PST to events, shows, conferences, various recreational memberships, and other taxable services. Exemptions will be available for recreational programs for those 14 and under organized by non-profit organizations or schools, certain charity-related fundraising events, and public sector body events featuring unpaid participants. Information Bulletins PST-76, Admissions, Entertainment and Recreation, and PST-31, Tourist Outfitters, Vacation Farms and Bed & Breakfast Facilities, have been updated to reflect this budget measure.
Audio books are exempt of PST, as noted in Information Notice IN 2022-02, Provincial Sales Tax Exemption on Audio Books. The following publications have also been updated to reflect this change:
- Information Notice IN 2020-08, Electronic Distribution Platforms, Online Accommodation Platforms and Marketplace Facilitators;
- Information Bulletin PST-9, Books, Magazines, Periodicals, Newspapers and Other Reading Materials; and
- Information Bulletin PST-27, Boards of Education.
Saskatchewan has expanded the PST exemptions available to farmers and primary producers for real property services and livestock farm production equipment. Information Notice IN 2022-04, Provincial Sales Tax on Farm Equipment, Supplies and Services, highlights the services and supplies eligible for exemption from PST. Eligible real property services include trenching services to electrify grain bins and install crop irrigation or livestock watering pipes, as well as dugout excavation services provided on-farm to help water livestock or spray or water crops. Electrified livestock fence insulators and prefabricated windbreaker panels used by farmers to protect and handle livestock have been added to the list of exempt items acquired for use directly in a primary farming activity.
Further details on Saskatchewan’s PST exemptions for agricultural operations may be found in:
- Information Bulletin PST-12, Services to Real Property;
- Information Bulletin PST-16, Farm Implements and Supplies; and
- Information Bulletin PST-38, Non-Resident Real Property and Service Contractors.