Exemption for newspapers

Information Notice 70
Published: December 2008
Content last reviewed: August 2010
ISBN: 978-1-4249-8500-5 (Print), 978-1-4249-8502-9 (PDF), 978-1-4249-8501-2 (HTML)

Notice to the reader: For Retail Sales Tax (RST) – On July 1, 2010 the 13 per cent Harmonized Sales Tax (HST) took effect in Ontario replacing the existing provincial Retail Sales Tax (RST) and combining it with the federal Goods and Services Tax (GST). As a result, RST provisions described on this page and in other publications ended on June 30, 2010.

Effective July 1, 2010 this publication was archived for RST purposes only. Use caution when you refer to it, since it reflects the law in force for RST at the time it was released and may no longer apply.

On December 15, 2008 the definition of newspaper in Regulation 1013 under the Retail Sales Tax Act was amended. This Notice explains the change and its effect on the application of Retail Sales Tax (RST) to newspapers.

Exemption

As a result of this amendment, an exempt newspaper is defined as a printed publication which contains news, advertising and literary matter, is published on or after January 1, 2000, and accumulates at least five points as set out in the following table.

Characteristics of Newspapers	Number of Points
1. Printed in broadsheet, tabloid or outsized format and larger than 8.5 inches by 11 inches	2
2. Unbound	2
3. Published at least once a week	2
4. If published less frequently than once a week, published at least once a month	1
5. Printed on newsprint of any quality but front and back covers may be of any quality or type of paper	1
6. Identified as a newspaper in the publication	1
7. Front page is divided into columns or boxes and may contain narrative text, photographs and advertisements	1

Magazines

The definition of newspaper continues to include magazines that are issued annually or more frequently, contain advertising and also contain articles from various identified contributors, but only if the magazine is distributed with the printed newspaper.

Excluded Publications

Specifically excluded from this exemption are advertising inserts or supplements, celebrity tabloids, and wrapping materials for the distribution of promotional materials. Celebrity tabloids are publications specializing in celebrity news, entertainment, photographs and advertisements that are printed on newsprint in tabloid or outsized format and sold at a retail sale.

How to Claim the Exemption

Publishers may claim an exemption on printing costs by providing their suppliers with a valid Purchase Exemption Certificate. Retailers should not charge RST on the sale of qualifying newspapers.

Refunds

Where RST has been paid in error, the purchaser may apply to the ministry for a refund by completing a General Application for Refund of RST [PDF-485K] form. Refund applications must be received by the ministry within four years from the date the tax was paid.