Guide for Completing the Application for Refund Summary and Schedule 12 TES - Tax Exempt Sales – Export Out of Ontario

Published: March 2010
Content last reviewed: March 2010

The information in this guide will help you complete the Tax Exempt Sales – Export Out of Ontario Aviation Fuel Schedule 12 - TES [PDF - 251 KB]. The guide also provides information about supporting documents, records retention, time limit for applying for a refund, direct bank deposit, and will help you to determine whether you are eligible to claim a refund. The information in this guide is provided as a guideline only and does not replace the law found in the Gasoline Tax Act and related regulations.

Who May Use This Form?

The refund is available to registered exporters, who export aviation fuel out of Ontario and have submitted all Returns for the refund period.

Supporting Documents

Please provide a copy of the details of exported product submitted with your tax return(s) covering this refund claim period.

The following documentation must be submitted in support of an application for refund of aviation tax for aviation fuel exported to the United States:

  1. Photocopy of the front and back of the U.S.
    Customs Proforma invoice, stamped by the U.S. Customs. The Customs stamp should show date, time of entry, entry number, manifest quantity and common commodity code.
  2. Where the product is exported via marine vessel, photocopy of the U.S. Customs document form
    1301; otherwise Form 7533, showing the:
    • name and address of the importer
    • destination of the cargo (full address)
    • entry point
    • date of entry
    • name of transporter
    • quantity of aviation fuel carried
    • product description, indicating type of aviation fuel
  3. Petroleum loading tickets showing the:
    • location where the cargo was loaded
    • loading date of the aviation fuel
    • quantity of aviation fuel loaded
    • name and address of the purchaser
    • name of the transporter
  4. A copy of a straight bill of lading, correctly completed and showing, but not necessarily limited to, showing the:
    • name of the consignor
    • name and address of the consignee
    • originating point of shipment
    • destination of the shipment
    • date of the shipment
    • name and address of the transporter
    • description of the goods
  5. Receipted invoice(s) from your supplier as proof of payment of Ontario tax on the aviation fuel exported.
  6. Sales invoice(s) issued by the exported. These invoices must include a statement to the effect that Ontario aviation fuel tax has not been charged on the sale.
  7. Any other evidence deemed necessary by the Ontario Minister of Finance, to prove delivery of product to a location outside Ontario.

Supporting Documents outlined in 1, 2 and 4 must be submitted together with the refund application. All other supporting documents must be retained at an Ontario location and made available for audit examination upon request.

When aviation fuel is exported in bulk out of Ontario to another Canadian province or territory, your refund application must be supported by:

  • all receipted invoices from the exporter's supplier, as proof of payment of Ontario tax on aviation fuel exported
  • a copy of the pipeline report, showing the amount of aviation fuel loaded into the pipeline and the location where the aviation fuel left the pipeline, if exported through a pipeline
  • a copy of a properly completed straight bill of lading if exported by road or rail
  • a copy of each survey report, prepared when the gasoline is loaded onto a marine vessel and when
    it is off-loaded at the delivery point
  • all export sales invoices issued by the exporter
  • any other evidence deemed necessary by the Ontario Minister of Finance, to prove delivery of product to a location outside Ontario

Copies of invoices previously claimed must not be included in support of this claim unless you are claiming an adjustment for a previous claim.

Claims under $500

If your annual claim total is less than $500, you are not required to send the supporting documentation to the Ministry of Finance (ministry) with your refund application. However, you must retain the supporting documentation noted in the above section, for a period of seven years and provide the information to the ministry upon request.

Change of Information (Preprinted Application Only)

When completing a preprinted form please make any required corrections by hand on the refund application before submitting.

Tax Rates

The Ontario tax rates are found on the tax rate table provided on the Application for Refund Tax Exempt Sales (TES).

When completing the Application for Refund online the Ontario tax rates are automatically provided on the schedules.

When completing the Application for Refund manually, use the tax rates found on the tax rate table provided.

Identification Number

Provide your federal business number or your MFTT reference number as your Identification No. on the Application. When communicating with the ministry, include your identification number on all correspondence and forms.

Direct Bank Deposit

For your refund to be deposited directly into your bank account, please provide a cheque marked VOID, showing your name and address, and attach it to your refund application or mail it to the Ministry of Finance with a letter requesting direct deposit. Remember to quote your Identification Number (Business Number or MFTT Reference Number) on your letter.

If you want to cancel direct deposit, please send a letter to the Ministry of Finance requesting a cancellation.

Records Retention and Time Limit

The application must be received, by the Ministry of Finance, within four years from the date of your payment of the tax. All records, documents and receipts pertaining to your tax refund claim must be kept for seven years for audit purposes.

For further information regarding records retention, please refer to the Tax Information Bulletin entitled Retention/Destruction of Books and Records. Copies are available at ontario.ca/finance or by calling 1 866 ONT-TAXS (1 866 668-8297).

Freedom of Information

Personal information contained within the Application for Refund is collected under the authority of the Gasoline Tax Act, R.S.O. 1990, c.G.5, and will be used for the purposes of the Gasoline Tax Act. Questions about this information collection should be directed to:

Senior Manager, Account Management
Client Services Branch
Ministry of Finance
33 King Street West, PO Box 625
Oshawa ON  L1H 8H9

Mailing Address and Enquiries

Ministry of Finance
Motor Fuels and Tobacco Tax
33 King Street West, PO Box 625
Oshawa ON  L1H 8H9

Toll free 1 866 ONT-TAXS (1 866 668-8297)

Hours of Service Monday to Friday 8:30am to 5:00pm

Teletypewriter (TTY) 1 800 263-7776

Fax 905 433-5680

Website ontario.ca/finance

PLEASE NOTE

  1. An application for refund includes the Application for Refund - Summary form and an Application for Refund - Schedule.
  2. When completing the refund application online, you will be automatically taken from the application summary to the schedule and back. The calculation of your entries and carry forward of totals are usually performed automatically.
  3. When completing the refund application by hand, carry forward the totals from the schedule to the Application for Refund - Summary form.
  4. The Application for Refund - Summary form must be signed. Please mail the completed application to the Ministry of Finance.

DETAILED INSTRUCTIONS

Step 1 Completing the Upper Portion of the Application for Refund - Summary

  • When completing the application manually, provide your legal name and address along with your identification number. If preprinted, verify information and make the necessary corrections on the application.
  • When completing the application online, provide your legal name and address along with your identification number and this information will be carried forward throughout the application process.
  • Select the Gasoline, propane and aviation fuel box for the Product type.
  • Below the Schedule # Name, select box 12 as the Schedule to be completed. When completing the application online you will be taken to the schedule automatically.

Step 2 Completing Schedule 12 – TES

Provide a copy of each GT Schedule 5 – Details of Aviation Fuel Exports that was submitted with the Return(s) covering this refund claim period.

Step 3 [A] Current Claim Calculation

Your refund must be based on the actual tax paid per litre, at the rate in effect at the time of purchase.

Line 1. Litres Purchased
Enter the litres of aviation fuel purchased by applicant within the applicable tax period for which receipted invoices are attached to this application. Include with your application a separate worksheet that lists all the invoices, record the volume of litres purchased from each invoice and total all invoice volumes.

Line 2. Total Litres Exported
Enter the total number of litres exported out of Ontario as per documentation attached. Provide a worksheet or machine tape of the total litres.

Line 3. Ontario Tax Rate
Enter the applicable Ontario tax rate per litre. This is the tax rate in effect during the tax period dates identified in the column. Refer to the tax rate table found on the Application for Refund – Page 1.

Line 4. Current Refund Claim Amount
Multiply Total Litres Exported (line 2) by Ontario Tax Rate (line 3). Carry forward this Current Refund Claim Amount to Line C of the Application for Refund – Summary form.

Step 4 [B] Previous Claim Adjustment Calculation

Only use this section to adjust your previous refund claim for which you have already received a payment. Adjustments must be made within four years.

For example:

  • an invoice was not included or was incorrectly stated on your previous claim; and
  • the aviation fuel from that purchase was exported out of Ontario.

Line 5. Litres Purchased
Enter the total litres of aviation fuel purchased by applicant, applicable to your previous refund claim, for which receipted invoices are attached to this application. Include with your application a separate worksheet that lists all the claim adjustment invoices that were not included in your previous claim(s), record the volume of litres purchased fro each invoice and total all invoice volumes.

Line 6. Total Litres Exported
Enter the total number of litres exported out of Ontario that were not included on your previous claim(s). Provide a worksheet or machine tape of the total litres.

Line 7. Ontario Tax Rate
Enter the applicable Ontario tax rate per litre. This is the tax rate in effect during the tax period dates identified in the column. Refer to the tax rate table found on the Application for Refund – Page 1.

Line 8. Previous Refund Claim Adjustment Amount
Multiply Total Litres Exported (line 6) by Ontario Tax Rate (line 7). Carry forward this Previous Refund Claim Adjustment Amount to Line D of the Application for Refund – Summary form.

Step 5 Completing the Lower Portion of the Application for Refund - Summary

  • When completing the application manually, carry forward the refund amount calculated on either
  • Line 4 – Current refund claim amount ($) of the Application for Refund – Schedule to line C of the Application for Refund – Summary, or
  • Line 8 – Previous refund claim adjustment amount ($) of the Application for Refund – Schedule to line D of the Application for Refund – Summary.

When completing the application online the amount will be transferred automatically.

  • On line A Current refund claim or line B Adjustment to previous refund claim, enter the date of the first invoice and the date of the last invoice that are being submitted in support of the refund claim.
  • When completing the application online print 2 copies of the Application for Refund – Summary and Application for Refund – Schedule.
  • Complete the Certification section of the Application for Refund – Summary including an authorized signature and date.
  • Mail one completed Application for Refund – Summary and Schedule along with all supporting documentation to the ministry at the address shown at the top of the Application for Refund – Tax Exempt Sales (TES)
  • Maintain one copy for your records.

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