Decrease to the Manitoba retail sales tax
The Government of Manitoba announced a reduction to its retail sales tax (RST). The Manitoba RST will decrease from 8% to 7% effective July 1, 2019.
All insurance premiums subject to Manitoba’s RST will be affected by the 1% decrease. Starting July 1, iA Financial Group will apply the new RST rate to group premiums charged by iA Financial Group and to premiums for self-administered groups.
Groups billed by iA Financial Group
The new rate of 7% will apply to all premiums in default for periods beginning on July 1, 2019 or later. Prior coverage periods for which payment is due on July 1 or later will also be affected by this decrease. The new rate will be used when billing groups whose premiums are subject to the RST.
The total amount of premiums, including adjustments, for the July 2019 coverage period, will be subject to the new rate of 7%. Administrators will have to change the RST that is added to their remittance and inform iA Financial Group of the amount of taxable premiums.
If you have any questions about the new Manitoba RST, please feel free to contact your iA Financial Group advisor or business development manager.