WHEREAS the provincial government provides a provincial sales tax exemption for individuals purchasing work-related safety equipment; however no corresponding exemption applies to volunteer search and rescue organizations for the purchase of critical equipment and supplies such as rescue vehicles, rescue apparatus, and search and rescue supplies; AND WHEREAS these organizations provide a vital service to rural BC and rely heavily on fund raising initiatives to purchase the equipment and supplies required to provide this service: THEREFORE BE IT RESOLVED that the Union of BC Municipalities petition the Ministry of Small Business and Revenue to provide an exemption from provincial sales tax for search and rescue equipment and supplies for volunteer search and rescue organizations within the province.
MINISTRY OF FINANCE The provincial sales tax Social Service Tax Act will be eliminated effective July 1, 2010. After that date, purchases of items such as rescue vehicles, rescue apparatus and search and rescue supplies will be subject to the harmonized sales tax HST. The tax treatment of these items will be the same as under the existing Goods and Services Tax GST. Purchases made by municipalities, registered charities and qualifying not-for-profits will be eligible for a partial rebate of the provincial portion of the HST. Questions regarding application of the HST to purchases of equipment and supplies by volunteer search and rescue organizations should be directed to the Canada Revenue Agency.