Games of Chance (GST/HST) Regulations — 5
authority means a registrant that is prescribed by section 3, other than paragraph 3(g) or (m). ( administration provinciale de jeux et paris ) reimbursement means an amount of consideration (as defined in subsection 123(1) of the Act) that (a) is paid or payable by a provincial gaming authority to a distributor of the authority as an allowance or reimbursement in respect of an expense incurred or to be incurred by the distributor otherwise than as an agent of the authority; and (b) is invoiced or charged to the authority separately from amounts that are not in respect of specific expenses incurred or to be incurred by the distributor. ( montant de remboursement ) right of a provincial gaming authority has the meaning assigned by subsection 188.1(1) of the Act. ( droit ) Basic cost (2) For the purposes of this Part, the basic cost to a provincial gaming authority of personal property or a service is equal to (a) in the case of food or a beverage prepared by the authority, the total of all consideration paid or payable by the authority to purchase the food or beverage and the ingredients used in its preparation, to the extent that the consideration is a cost to the authority of the prepared food or beverage; (b) in the case of particular tangible personal property (other than food or a beverage) manufactured in whole or in part by or for the authority, the total of all consideration paid or payable by the authority to purchase the following property and services to the extent that the consideration is a cost to the authority of the particular property: (i) tangible personal property incorporated into or forming a constituent or component part of the particular property, (ii) tangible personal property consumed or expended directly in the process of manufacturing the particular property, and (iii) services of manufacturing the particular property in whole or in part; (c) in the case of tangible personal property that is purchased by the authority and is not further manufactured by or for the authority, the consideration paid or payable by the authority to purchase the property; and (d) in the case of intangible personal property or a service, the consideration paid or payable by the authority to purchase the property or service. Exclusion from promotional supply (2.1) Despite the definition promotional supply in subsection (1), a supply of a particular property or service made by a provincial gaming authority is not included in that definition if the authority would, in the absence of this subsection, be entitled to include, in determining a total for A 2 in subsection 7(7), or a total for B in section 8, all or a portion of an input tax credit in respect of (a) the particular property or service; (b) a service of manufacturing the particular property; or (c) other tangible personal property acquired, imported or brought into a participating province by the authority for use as an ingredient in preparing the particular property or for the purpose of being incorporated into, forming a constituent or component part of, or being consumed or expended directly in the process of manufacturing, the particular property. Reduction in consideration (2.2) For the purpose of the definition promotional supply in subsection (1), if, in making a supply of property or a service, a provincial gaming authority (a) accepts from the recipient of the supply a coupon, a voucher, a receipt, a ticket, a device that, without regard to section 181.2 of the Act, is a gift certificate or any other device that may be exchanged for the property or service or that entitles the recipient to a reduction of, or a discount on, the price of the property or service (the amount of the reduction or discount is in this subsection referred to as the “coupon value”), or (b) applies, as a discount on, or credit against, the price of the property or service, an amount (in this subsection referred to as the “credit value”) that has been credited in favour of the recipient