Canadian government axes visitor rebates

Emily Pacey

1-Oct-2006

CANADA. The Canadian government has abolished the country's visitor rebate programme, which refunds visitors' goods and services tax (GST), harmonised sales tax and provincial sales tax on goods and services worth over C$178 ($159). Its abolition—worth C$78.8m ($70.3m) to the government— is likely to have a strong impact on duty-free sales at the Canada US border, said lobbyists

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Under the programme, visitors leaving Canada could stop at participating Canadian land border duty-free shops and obtain cash refunds for claims up to C$446 ($398). Retailers benefited from rebate holders

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(2-Oct-2006) - Operators on the Canada-US border suffer setback as government dissolves visitor tax rebates system
(15-Nov-2006) - The Tourism Industry Association of Canada has told Canadian border retailers that government programmes hampering the trade are short-sighted and disastrous
(15-Nov-2006) - CANADA. The introduction of a private visitor tax rebate programme (VRP) was the main focus for discussion at the annual Frontier Duty Free Association’s (FDFA) operators’ meeting on November 12, held during the association’s twenty-second annual convention in Niagara Falls.
(16-Jan-2007) - A new study highlights the extent of the damage caused by the Canadian government's decision as the local border duty-free industry reveals another drop in sales