New Harmonized Value-added Tax System Regulations, No. 2 — 23
Non-taxable property 23 For the purposes of section 23 of Part I of Schedule X to the Act, the following property is prescribed: (a) property that would be non-taxable property under section 6 of Part I of Schedule X to the Act if (i) the reference to “non-participating province” were read as a reference to “participating province”, (ii) the reference to “a participating province” were read as a reference to “another participating province”, (iii) the reference to “who is not resident in the participating provinces” were read as a reference to “who is resident in a participating province”, and (iv) the reference to “that participating province” were read as a reference to “the particular participating province”; (b) property that is given as a gift or bequest to an individual who is resident in a participating province and that is brought into a participating province, if the property is (i) personal and household effects of an individual who died in a participating province and was, at the time of death, resident in a participating province, or (ii) personal and household effects received, by an individual who is resident in a participating province, as a result or in anticipation of the death of an individual who was resident in a participating province; (c) medals, trophies and other prizes, not including usual merchantable goods, that are won in a participating province in competitions, that are bestowed, received or accepted in a participating province or that are donated by persons in a participating province, for heroic deeds, valour or distinction; (d) property that is brought into a participating province at a particular time by a person after having been acquired in, or brought into, a particular participating province by the person at another time in circumstances in which tax was payable by the person under subsection 165(2) or 218.1(1) of the Act or Division IV.1 of Part IX of the Act if (i) the rate at which that tax was calculated is greater than, or equal to, the tax rate for the participating province at the particular time, (ii) the person was not entitled to a rebate of any part of that tax under section 261.1 of the Act, and (iii) the property was not a specified item in respect of the particular participating province at the other time; (e) property that a person brings at any time into a participating province and that at that time is being supplied in a participating province to the person by way of lease, licence or similar arrangement under which continuous possession or use of the property is provided for a period of more than three months and in circumstances in which tax under subsection 165(1) of the Act is payable by the person in respect of that supply; (f) property that is brought into a participating province at a particular time by a person after having been imported by the person at another time in circumstances in which tax was imposed under subsection 212.1(2) of the Act at the tax rate for a particular participating province if (i) the rate at which that tax was calculated is greater than, or equal to, the tax rate for the participating province at the particular time, (ii) the person was not entitled to a rebate of any part of that tax under section 261.2 of the Act, and (iii) the property was not a specified item in respect of the particular participating province at the other time; (g) property that is brought into a participating province at a particular time by a person after having been used in and, at another time, removed from any participating province (in this paragraph referred to as the “specified province”) by the person if (i) the tax rate for the specified province at the other time is greater than, or equal to, the tax rate for the participating province at the particular time, (ii) where tax was payable by the person under subsection 165(2) of the Act in respect of a supply of the property to the person made in the specified province, the person was not entitled to a rebat