Exempt Goods and Services
(Rev.M03D21Y00)

Company X does not add GST to the sales of its "exempt" goods and services. 

Company X cannot claim Input Tax Credits on the expenses it incurred related to the "exempt" goods and services it sells.

 Examples of exempt goods and services include: 

• sales of used residential housing; 

• long - term residential rent (of one month or more) and residential condominium fees;

 • most health, medical, and dental services that licensed physicians or dentists perform for medical reasons; 

• child care services (daycare services provided usually for less than 24 hours a day) provided primarily to children 14 years old and younger; 

• bridge, road, and ferry tolls (ferry tolls are zero - rated if the ferry service is to or from a place outside Canada); 

• legal aid services;

 • most educational services, such as courses leading to certificates or diplomas and tutoring provided for a credit course;

 • music lessons; 

• most services provided by financial institutions (e.g., arrangements for a loan or mortgage); arranging for and issuing insurance policies by insurance companies, agents, and brokers;

• most goods and services provided by charities; and

• certain goods and services that non - profit organizations, governments, and other public - service organizations provide (e.g., municipal transit services and standard residential services such as water distribution).