Are sales accounting functions that are part of a debt factoring arrangement subject to GST?
Item 14 of subregulation 40-5.12 excludes sales accounting services under a factoring arrangement, or an arrangement having the same effect as a factoring arrangement as a financial supply. Any charges relating to these supplies are therefore taxable. Item 13 of subregulation 40-5.12 excludes debt collection services as a financial supply.
