GST/HST Applies To A Bank’s Payments In Connection With Its Participation In A Loyalty Rewards Program: Federal Court Of Appeal Upholds Tax Court Decision

In a decision released on May 20, 2021, the Federal Court of Appeal (“FCA”) upheld the Tax Court of Canada’s decision that the supply of Aeroplan Miles to a Canadian bank (the “Bank”) pursuant to the Aeroplan Mile loyalty program (“Aeroplan Mile Program”) was in fact part of a single supply of promotional and marketing services by Aeroplan Limited Partnership (“Aeroplan”) to the Bank and thus subject to GST/HST.

Source: stikeman.com

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