12 January 2017 Internal T.I. 2016-0636911I7 - Standby Charge - PST and the cost of an automobile -- summary under Subsection 6(2)

Under ETA s. 153(4)(c) and a similar approach under the western provincial sales tax regimes, the sales tax payable where a trade-in allowance is provided on a purchased automobile is reduced accordingly. CRA confirmed that this also has the effect of reducing the automobile cost for standby charge purposes.