Saskatchewan has updated several bulletins to address the PST treatment of the sale of used assets and the provision of real property services in the province.
With respect to real property services, the revised bulletins clarify that the supply and installation of ready-mix concrete are taxable when an operator acts as its own contractor. Similarly, the supply and installation of funeral monuments are now taxable, and purchases in relation to such installations may be eligible for a resale exemption.
The updated bulletins also remind taxpayers that used goods acquired for commercial use are generally subject to PST. However, individuals purchasing used goods (except for vehicles) for personal use are entitled to a deduction of $300 per item before calculating the tax due. Where a trade-in is made, a deduction of $300 or the trade-in value, whichever is greater, is available.
The following bulletins have been updated for the above noted changes:
- Information Bulletin PST-10, ”Information Regarding Ready-Mix Delivery Charges";
- Information Bulletin PST-16, “Information for Farm Implement and Farm Supply Dealers"; and
- Information Bulletin PST-52, “Information for Funeral Homes and Funeral Home Suppliers.”
Information Bulletin PST-12, “Information for Businesses Providing Services to Real Property,” contains additional information on the application of PST to services to real property, including the changes which took effect on April 1, 2017. Further information regarding the PST treatment of the sale of used goods is available in Information Bulletin PST-58, “Information on the Taxation of Used Goods.”