A charitable foundation appealed a decision of the Minister of Revenue denying a refund of retail sales tax paid on prepared food products served at fundraising events where attendees paid a single ticket price.
The dispute concerned whether food provided at such events was supplied “without specific charge” under s. 12 of Regulation 1012 made under the Retail Sales Tax Act.
The court applied modern principles of statutory interpretation and concluded that the phrase requires a distinct charge for the food itself, not merely that food costs be embedded within a bundled event price.
Because the ticket price for the events did not itemize or separately allocate a charge for the prepared food products, the food was provided “without specific charge.” The foundation was therefore entitled to the exemption and the requested refund.
