- British Columbia Supreme Court clarified definition of “non-qualifying activity” under PSTERR
- Issue was whether Steam Pipes at Tolko’s manufacturing site qualified for PST exemption
- Steam Pipes used to transfer steam from Co-Generation Plant to wood products production plants
- PSTERR intended to encourage PST exemptions for machinery and equipment
- Section 101 of PSTERR relieves machinery and equipment from PST under certain conditions
- Dispute was whether steam met definition of “qualifying TPP” for exemption
- Core issue was whether steam manufacturing was combined with non-qualifying activity
- Tolko argued steam production was part of fully integrated manufacturing activities
- Court clarified that steam production was combined with activities that were not non-qualifying
Source: thor.ca
Note that this post was (partially) written with the help of AI. It is always useful to review the original source material, and where needed to obtain (local) advice from a specialist.
