Input tax credits
1 definition found for this term.
Definitions are presented in the order source books were published (most recent first).
Income Tax Law, 2/e$75.00 – $120.00
The input tax credit mechanism under the GST effectively provides a refund to registered businesses of all GST paid on inputs involved in the production and sale of taxable goods and services. In this manner, the input tax credit minimizes the amount of indirect tax embedded in the price of Canadian-produced goods and services, making them more competitive internationally and in the domestic market.