Certain general partners (GPs) must consider the impact of the 2018 federal budget.
GPs of investment limited partnerships (ILPs) may be able to benefit from a transitional rule included in the recent 2018 federal budget if they act by their March 31, 2018 GST/HST deadline. The federal budget proposed a transitional rule that essentially deems the GST/HST payable on management or administrative services rendered by the GPs to their ILPs since September 8, 2017 (that has not yet been remitted) to become payable on February 27, 2018 (i.e., budget day). GPs should review their transactions with ILPs and their GST/HST registration status immediately to determine if they can use the transitional rule.
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