Important Information about HST for Recreation & Culture Services
As announced in the 2009 Ontario Budget, the Provincial Sales Tax (PST) will be combined with the federal Goods and Services Tax (GST) to create a Harmonized Sales Tax (HST) for Ontario, effective July 1, 2010. The provincial portion of the HST will be 8% and the federal portion will be 5%, for a combined HST rate of 13%.
The following government websites provide additional HST information:
When does the HST come into effect?
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- On May 1, 2010 purchases made where the product/service comes into effect on or continues past July 1, 2010, the HST (13%) will be applicable on the portion of the program or service that runs on or beyond July 1, 2010
- For all goods received or services performed on or after July 1, 2010, HST will be applicable.
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How will the HST affect my children`s programs?
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Recreational programs for participants 14 years of age and under are not subject to HST.
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Which programs & services are affected by the HST?
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The following taxable services are currently GST taxable at 5% and will be HST taxable at 13%:
- All city programs identified as youth over 14 years of age
- All city adult programs
- All city facility and sport field rentals (rooms, gyms, soccer fields, baseball diamonds, ice pads, parks, picnic areas, etc.)
- All city memberships and admissions (fitness memberships, swim/skate/walk passes, etc.)
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How does this affect my current membership?
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Scheduled payments or monthly payments made on or after July 1, 2010 will have the 8% provincial tax applied for a total HST of 13%.
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How are rentals (ice, sport field, rooms, etc) affected by the HST?
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Booking dates for all rentals that occur on or after July 1, 2010 will be subject to 13% HST.
Existing rental contracts with booking dates on or after July 1, 2010 will be adjusted to reflect this change.
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What happens on May 1st or after?
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If your program or service is completed before July 1, 2010 the 8% provincial portion of the HST does not apply.
Programs and services that straddle July 1, the HST (13%) will be applicable on the portion of the program or service that runs on or beyond July 1, 2010.
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How are fees for minor sports or adult sports affected by HST?
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Contact the representatives for minor sports organizations or adult sports leagues as they are responsible for paying rental fees to the City of Oshawa.
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The following situations apply for purchases of memberships, program registrations (provided primarily to ages 15 and over) and rentals between May 1, 2010 and June 30, 2010.
Please note that base membership, program registration or rental fees remain the same.
Information contained in this document is based on the Ontario Government HST transitional rules. Information is subject to change.
