CRA releases Luxury Tax Guidance and opens registration for businesses
July 25, 2022
NMMA Canada President Sara Anghel has sent the following message to their members;
Despite all the advocacy work of the last 2.5 years, (by all of Canada’s marine trade associations – ED) the federal government is proceeding with the luxury tax on new boats over $250,000 which comes into effect on September 1st. The Canada Revenue Agency (CRA) has published a technical memo and forms to enable your business to register under the luxury tax regime. Persons required to register include manufacturers, wholesalers, retailers and importers of boats priced above $250,000.
We recommend you begin by reading the technical memo; instructions on how to register can be found here. Please visit the CRA’s luxury tax landing page for more information: https://www.canada.ca/en/services/taxes/excise-taxes-duties-and-levies/luxury-tax.html . As well, we are told that the CRA will be releasing a dedicated bulletin on boats in the next couple of weeks.
If you have questions on the luxury tax, please call CRA directly at 1-866-330-3304. NMMA Canada also has a direct contact at CRA, so if you are not getting the answers you need, contact Jim Wielgosz at jwielgosz@nmma.org and we will reach out to CRA on your behalf.
