Exemption for consumable goods

Contractors who provide services to goods or real property must pay PST on the purchase of consumable supplies that do not become part of or attached to the goods being serviced, unless a specific exemption applies.  

You do not need to pay PST on the following items if they are obtained for use in the manufacture, production, service or repair of goods or real property:

• Abrasive paper, emery paper or other fabric-backed abrasives suitable for use by hand or for use with hand-held tools
• Dies
• Grinding wheels
• Jigs
• Moulds (moulds designed for food production must be for commercial food manufacturing or production)
• Patterns
• Polishing wheels
• Rotary steel brushes
• Sand for use in sand blasting
• Steel, plastic and glass shot and similar material for use in blasting clean a surface
• Steel wool

You do not need to provide any documentation to claim this exemption. However, your supplier’s records must clearly show the reason why the goods were sold exempt from PST (e.g. if you purchased grinding wheels, the supplier documented on the receipt that the grinding wheels were purchased exempt for use in the manufacture of goods.)