GST & PST

Retail Sales Tax Exemptions
GST on Sales to Native Canadians
GST Registrant vs. Non-Registrant

Retail Sales Tax Exemptions

There are two categories of customers that would qualify for a Retail Sales Tax Exemption. They are Non-Residents, and Indians and Indian Bands. The details for each are listed below.

1. Sales to Non-Residents - PST does not apply on vehicles purchased for out-of-province
   use by non-residents of Manitoba. The Dealer must:

 
1. Either deliver or ship the vehicle outside the province, by common carrier.
2. Or can deliver the vehicle in Manitoba by issuing an interim registration permit. (the permit number must be recorded on the sale invoice)
3. Or can deliver the vehicle in Manitoba by recording the purchasers home province validated license plate number on the sale invoice.
    
2. Sales to Indians and Indian Bands - Indians and Indian Bands may purchase vehicles PST-exempt provided:

 
1. The title to the vehicle is transferred on a reserve;
2. And the purchase documents are signed on a reserve,
3. And the purchaser takes possession of the motor vehicle on a reserve. (the dealer delivers the vehicle or ships it by common carrier F.O.B to the reserve.)
4. To qualify for exemption on a lease the Indian must reside on a reserve, in addition to the above conditions.

Requirements:

1. Customer must be a Status Indian, but is NOT required to reside on a reserve. The rules
   are the same whether the customer is purchasing or leasing the vehicle.
2. Legal transfer of ownership must be completed on a reserve.
3. Native must produce treaty number.
4. Vendor must maintain proof that delivery was made to a reserve
   Suggestions for proof of delivery to reserve and proof of Status of
   Indian:
1. Photocopy his/her picture ID with treaty number.
2. Have picture taken of person delivering the vehicle and native purchasing the
   vehicle in front of the band office on the reserve.
3. Purchase $5.00 worth of gas at closest station to the reserve. Even better if you
   can purchase gas on the reserve; No Tax To Pay.
4. Signature of the purchaser.

GST: Registrant vs. Non-Registrant

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