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saskatchewan.ca 
 
 
 
 
 
PST-22 Issued: April 2002             Revised: March 22, 2017 
 
 
 
THE PROVINCIAL SALES TAX ACT 
 
COMMERCIAL REFRIGERATION VENDORS AND CONTRACTORS 
 
 
This bulletin has been prepared to help you apply and collect the Provincial Sales Tax (PST). It is a general 
guide and not a substitute for the legislation. 
 
Changes to this bulletin are indicated by a (|) in the left margin. 
 
The contents of this bulletin are presented under the following sections: 
A. Tangible Personal Property Sales Contracts 
B. Real Property Contracts 
C. Combined Tangible Personal Property and Real Property Contracts 
D. Retail Sales of Parts and Supplies 
E. Sales of Used Business Assets 
F. Goods and Services for Your Own Use 
G. Saskatchewan eTax Services (SETS) 
 
 
A. TANGIBLE PERSONAL PROPERTY SALES CONTRACTS 
 
Stand-alone refrigeration equipment, such as self-contained coolers and freezers, are considered 
to be tangible personal property. The tax applies as follows: 
 
 Sale: Collect tax on the selling price of the refrigeration unit. 
 
 Installation charge: Collect tax on the labour and supplies and installation 
materials used to install the equipment. 
 
 Servicing: Collect tax on the parts and labour to service the 
equipment.  
  
 Maintenance or extended warranty Collect tax on the selling price of the  
 contracts: contract.  Any labour, parts, or materials covered under 
the terms of the contract are tax exempt.  Parts and labour 
charged to the customer and deductibles not covered 
under the contract are subject to tax.    
 
Refrigeration vendors and contractors may purchase the equipment, parts and installation 
materials exempt from tax by quoting their vendor’s licence number to their suppliers. 
 
Information Bulletin

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B. REAL PROPERTY CONTRACTS  
 
Effective April 1, 2017, PST applies to the total charge to the customer for real property supply and 
install contracts. This includes the supply and installation of equipment such as walk-in freezers 
and coolers.   
 
Supplies and installation materials: Collect tax on the selling price of the equipment as well as 
labour and material charges for the installation.   
 
Servicing and repair: Collect tax on the parts and labour to service the 
equipment.   
 
Maintenance or extended warranty Collect tax on the selling price of the  
contracts:  contract. Any labour, parts, or materials covered under the 
terms of the contract are tax exempt. Parts and labour 
charged to the customer and deductibles not covered 
under the contract are subject to tax.    
 
Refrigeration vendors and contractors may purchase the equipment, parts and installation 
materials exempt from tax by quoting their vendor’s licence number to their suppliers. 
 
 
C. COMBINED TANGIBLE PERSONAL PROPERTY AND REAL PROPERTY CONTRACTS  
 
Equipment in this category would include refrigerated display cases, preparation tables, and similar 
equipment with a “remoted” compressor or condenser.     
 
Effective April 1, 2017, PST applies to the total charge to the customer for these contracts. 
 
 
D. RETAIL SALES OF PARTS AND SUPPLIES 
 
Tax must be collected on the selling price of parts and supplies. 
 
 
E. SALES OF USED BUSINESS ASSETS 
 
Businesses are required to collect tax on the sale of used assets, such as taxable vehicles and 
equipment. When used assets are being sold as part of the closure of a business, the purchaser is 
required to self-assess and report the tax. 
 
When individuals purchase used goods for personal use, other than vehicles, tax applies to the 
selling price of the goods less a deduction of $300 per item. If a trade-in is involved, the purchaser 
is entitled to a deduction of $300 or the value of the trade-in, whichever is greater. If the goods are 
for commercial use, the $300 deduction does not apply. 
 
For further information please see Information Bulletin PST-58, Used Goods.

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F. GOODS AND SERVICES FOR YOUR OWN USE 
 
Businesses are required to pay tax on purchases of new and used equipment, supplies and taxable 
services purchased for use in their business operations. Tax is payable as follows: 
 
• When purchased from a licensed supplier, the tax must be paid to the supplier at the time of 
purchase. 
• When purchased from a supplier who did not collect the tax, or when taken from an exempt 
resale inventory, the tax must be self-assessed and remitted with the regular tax return. This 
includes goods taken for personal or business use. 
• When purchased from an unlicensed supplier located outside Saskatchewan, the tax must be 
self-assessed and remitted with the regular tax return on the laid down cost, which includes 
currency exchange, transportation charges, customs and excise duties, and importation 
charges; but not the GST. 
 
 
G. SASKATCHEWAN eTAX SERVICES (SETS) 
 
Finance has made it possible to report and remit tax electronically through a secure, fast, easy and 
convenient online self-service portal. Several services are currently available to businesses through 
SETS (sets.saskatchewan.ca): 
 
• Register for secure, self-managed access to all your tax accounts. 
• Apply for a new tax account. 
• File and pay returns and amend previously filed returns. 
• Make payments on account, including post-dated payments. 
• View account balance and statement information. 
• Authorize employees or accountants to file on your behalf. 
• Receive notifications by email when a tax return should be filed. This replaces the paper forms 
usually sent in the mail. 
• Submit a service request to update the mailing address or add a new business location. 
• Submit a service request to receive tax information, interpretations or rulings related to your 
specific business activities. 
• View and download up-to-date tax information promptly. 
• Subscribe to receive email notifications when new and revised tax publications are available. 
 
 
FOR FURTHER INFORMATION 
 
Write: Ministry of Finance Telephone: Toll Free 1-800-667-6102 
 Revenue Division  Regina    306-787-6645 
 PO Box 200 
 REGINA SK  S4P 2Z6 Email: sasktaxinfo@gov.sk.ca

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Internet:  Tax bulletins, forms and information are available at saskatchewan.ca/business-taxes. 
 
To receive automatic email notifications when this or any other bulletin is revised, go to 
sets.saskatchewan.ca/subscribe. 
 
To provide feedback or suggest changes to this bulletin, please complete a Bulletin Survey. 
 
  Government website: Saskatchewan.ca
