Specified property and services

Generally, the requirement to recapture input tax credits (RITCs) will apply to specified property and services that are acquired, or brought into Ontario or British Columbia (BC), by a large business for consumption or use by that business in that province. Property and services that are acquired in Ontario or BC for consumption or use outside the province will generally not be subject to the RITCs requirement.

Generally, specified property and services include:

• qualifying motor vehicles, including certain vehicle parts and services, and in Ontario only, fuel (other than diesel fuel) to power those vehicles;
• specified energy;
• specified telecommunication services; and
• specified meals and entertainment that are currently subject to an ITC repayment requirement (generally at a 50% repayment rate).

However, the RITCs requirement generally does not apply to:

• specified property acquired by a large business for the sole purpose of being re-supplied by that business (by sale, lease, licence or similar arrangement);
• specified property that is acquired by a large business for the sole purpose of it becoming a component part of a good that is to be supplied by that business; or
• a specified service acquired by a large business for the sole purpose of being resupplied by that business.
  

Forms and publications

• GST/HST Technical Information Bulletin B-104, Harmonized Sales Tax - Temporary Recapture of Input Tax Credits in Ontario and British Columbia
• GST/HST Info Sheet GI-100, Harmonized Sales Tax: Builders and Recaptured Input Tax Credits