News & Insights

CRA Issues Memoranda on Exempt Residential and Respite Care Services

Tax Development Jan 23, 2019

The Canada Revenue Agency recently issued GST/HST Memorandum 21.2, “Residential Care Services” and GST/HST Memorandum 21.3, “Respite Care Services”.

The memoranda provide information on the exemptions related to residential care services and respite care services under sections 2 and 3, respectively, of Schedule V, Part IV of the Excise Tax Act.  In particular, the memoranda provide relevant definitions, examples of exempt and taxable care services, and other possible exemptions which may apply to the services supplied.