Reports do not Constitute Taxable Supply Clause Samples
The 'Reports do not Constitute Taxable Supply' clause clarifies that any reports or deliverables provided under the agreement are not considered taxable supplies for the purposes of value-added tax (VAT) or similar taxes. In practice, this means that the transfer or provision of such reports does not trigger a tax liability, and the recipient is not required to pay VAT on them. This clause is important for ensuring that both parties understand the tax treatment of reports, preventing misunderstandings or disputes over tax obligations related to these deliverables.
Reports do not Constitute Taxable Supply. Alberta Innovates requires the Applicant to submit Reports to ensure accountability and to validate that the Investment was spent as agreed upon. Accordingly, and because Alberta Innovates’ Investment is made for a public purpose and in the public interest, such Reports do not constitute a taxable supply or "consideration" in return for a transfer payment for the purposes of the Excise Tax Act (Canada).