Exclusions and Restrictions – ITCs and ITRs
You cannot claim input tax credits (ITCs) or input tax refunds (ITRs) for tax-exempt sales or supplies.
The following items also do not give entitlement to ITCs or ITRs because they are not subject to the GST or QST:
- salaries and wages
- interest and dividends
- municipal taxes, provincial taxes (other than the QST) and federal taxes (other than the GST)
- most charges, fines and contributions
In addition, you cannot claim ITCs or ITRs in respect of goods and services acquired for personal use.
You also cannot claim ITCs and ITRs with respect to membership fees or dues paid to an association whose main purpose is to provide recreational, dining or sporting facilities (including fitness clubs, golf clubs, and hunting and fishing clubs), unless you pay the fees or dues for the purpose of selling the membership because your commercial activity consists in supplying such memberships.