Published: January 25, 2022
Last Updated: October 21, 2022
Case Issue
A client approached us to handle a denial of more than $1 million in input tax credit (ITC) refunds for the not-for-profit organization.
Approach
We sent a notice of objection to the Canada Revenue Agency, arguing that the disallowed ITCs involved legitimate businesses offering services to the public. The Appeals Division allowed the objection in part and reassessed the Goods and Services Tax/Harmonized Sales Tax (GST/HST) of the not-for-profit for the relevant period.
Result
The client received an ITC refund of $1,413,445.59 and was paid to the corporation.
Disclaimer:
"This article provides information of a general nature only. It is only current at the posting date. It is not updated and it may no longer be current. It does not provide legal advice nor can it or should it be relied upon. All tax situations are specific to their facts and will differ from the situations in the articles. If you have specific legal questions you should consult a lawyer."
