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PST-38            Issued: February 1985                             Revised: July 2024  
 
 
THE PROVINCIAL SALES TAX ACT 
 
NON-RE SIDENT REAL PROPERTY AND SERVICE CONTRACTORS  
 
 
This bulletin has been prepared to help you apply and report 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. Registration and Reporting Requirements 
B. Collection and Remittance of Tax 
C. Services to Real Property 
D. Definition of Real Property 
E. Contract Materials 
F. Consumables and Equipment 
G. Surety Bonds 
H. Subcontractors 
I. Builders of Residential or Commercial Premises 
J. Land Development Services 
K. Renovations to Real Property for Resale 
L. Exempt Services 
M. Consulting and Supervision Services 
N. Calculation of Tax on Equipment, Vehicles and Tools 
O. Out of Province Repair Services 
P. Fuel Tax 
Q. Contractors Who Make Retail Sales 
R. Services to Real Property on Indian Reserves 
S. Bonding and the Clearance Process and Ensuring Contractor Holds a Valid Licence 
T. Tax Tips Line 
U. Saskatchewan eTax Services (SETS) 
 
 
A. R
EGISTRATION AND REPORTING REQUIREMENTS  
 
 A ll non-resident contractors carrying on business in Saskatchewan, providing services to real 
property, are required to be registered with the Revenue Division as Licensed Vendors for the 
purpose of collecting and remitting PST on their sales of taxable goods and services. They must 
also report the tax payable on supplies, equipment, vehicles and tools used in Saskatchewan. 
  
 
Information Bulletin

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Non-resident contractors not previously registered for PST are required to become licensed by 
completing the Application for Vendor’s Licence/Consumer Registration. 
 
Note: A resident contractor is defined as having a permanent place of business in 
Saskatchewan and includes having an established branch office with full time staff and 
complete accounting records for Saskatchewan operations. Resident contractors please 
see PST-12, Services to Real Property. 
 
 
B. COLLECTION AND REMITTANCE OF TAX 
 
Generally, PST must be collected on the invoice to the customer and remitted to the Ministry 
of Finance by the return due date regardless of whether the customer has paid their 
invoice/account in full. 
 
For construction contracts where construction extends over a period of time, the written 
contract often calls for the purchaser to make progress payments as work on the project 
proceeds. These payments are not deposits and are usually for work completed, but may also 
be made in anticipation of work being completed. 
 
The requirement for the collection of PST on progress payments aligns with the guidelines in 
place for the collection of GST. PST is collectible on each progress payment on the earlier of: 
 
• the day the purchaser pays the progress payment; or, 
• the day the progress payment becomes due. 
 
Where there are contract holdback amounts, PST is collectible on the amount of the holdback 
on the earlier of: 
 
• the day the purchaser pays the amount of the holdback; or, 
• the day the holdback period expires. 
 
For detailed information regarding vendor responsibilities, and tax return filing (including 
filing frequencies and due dates), please see Information Bulletin 
PST-5, Registration and 
Reporting Requirements. 
 
 
C. SERVICES TO REAL PROPERTY 
 
Taxable services to real property include construction, alteration, repair, erection, demolition, 
remodeling, improvement, or any other service in relation to real property or a building or 
other structure on real property. Please see Section L
 for services that are exempt from PST. 
 
A contractor engaged in services to real property is required to collect PST on the total charge to 
the customer for the services, including all related charges and fees such as charges for labour, 
materials, transportation, insurance, permits, service fees, and any tax, levy or duty, other than 
the GST. PST must be shown as a separate line item on the invoice to the customer.

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D. DEFINITION OF REAL PROPERTY 
 
Real Property includes land or buildings or property that is permanently attached to land or 
buildings. In general, goods become real property upon installation when affixed or attached to 
the land or building in a permanent manner (i.e. sunk into, cemented into, bolted to, built or 
framed into, plumbed or wired into, or otherwise secured), thereby becoming an integral 
component of the property. The goods become a permanent and substantial improvement to 
the real property, being attached to the building such that they add value and cannot be easily 
removed. 
 
Examples of items that become real property when installed in a building or attached to land 
include windows, doors, light fixtures, furnaces, central air conditioners, railings, underground 
sprinklers, fences and plumbing materials. 
 
In addition, items that are so large and heavy they cannot be moved may also be considered 
real property, even if they are not otherwise affixed to the land or a building. For example, 
most production machinery and equipment is considered to become real property after being 
permanently installed and becoming an integral component of a processing activity, regardless 
of being attached or affixed to the land or building. 
 
 
E. CONTRACT MATERIALS 
 
Contractors and subcontractors acquiring materials that are resold or incorporated into a real 
property contract may purchase these items exempt from PST by quoting their vendor’s licence 
number to their suppliers. This includes the following: 
 
• Materials that are resold as part of the contract;  
• Nails, screws, staples and other fasteners; and, 
• Materials such as dimensional lumber, plywood and similar building materials used on site 
for bracing or to build forms for use on a particular contract (Note: contractors must pay 
PST on metal or lumber used for bracing or to build forms that are capitalized in the 
contractor’s records and used repeatedly as tools/equipment). 
 
Contractors may claim a credit for any PST that has been paid on materials sold or incorporated 
into a real property contract where PST is collected. Credits claimed will be subject to audit 
verification and can be used to reduce the tax reported and remitted. 
 
Note: Internal credits cannot be taken on goods or services purchased for own use. See 
Information Bulletin PST-5, Registration and Reporting Requirements
 for more details on 
internal credits. 
 
When materials are taken from an exempt resale inventory for the contractor’s own personal or 
business use, the PST must be self-assessed on the cost of the materials and remitted directly to 
Finance using the regular PST return form. PST continues to apply to new and used equipment, 
supplies/consumables and taxable services purchased for use in the contractor’s business 
operations.

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Suppliers are required to search the customer’s business name on the PST On-Line Registry to 
verify that a business holds a valid PST vendor licence before selling the goods or services tax free 
for resale. If valid, the vendor number must be recorded on the invoice at the time of sale or 
retained in the supplier’s records. The online registry is available 24/7 and may be accessed at the 
following link: sets.saskatchewan.ca/rptp/portal/footer/pst-registry/. 
 
 
F. CONSUMABLES AND EQUIPMENT 
 
Contractors engaging in services to real property must not use a vendor’s licence number to 
purchase materials or equipment exempt from PST when acquiring such goods for their own 
use or consumption. 
 
Contractors and subcontractors are required to pay PST on their purchase cost of consumables 
and equipment used in the completion of a real property contract. These items may not be 
purchased exempt from PST. Examples include: 
 
• All equipment and hand tools; 
• Scrapers, pails, paint brushes, rollers, sleeves, trays and tape; 
• Cutting attachments for power and air tools, such as blades and drill bits; 
• Abrasives such as grinding wheels, sanding belts, discs and sandpaper; 
• Electrical cords and extension cords;  
• Gloves, safety glasses and coveralls; and, 
• Tarps and blankets. 
 
If PST is not collected by the supplier on the purchase of equipment and consumables, the 
contractor must self-assess and remit the tax directly to Finance using their regular PST return 
form. 
 
 See Section N
 for the application of PST to equipment, vehicles and tools brought into 
Saskatchewan for use in completing contracts. 
 
Rented and Leased Equipment 
 
Contractors are required to pay tax on charges for rented and leased equipment. All tools and 
equipment used by the contractor to complete real property work are considered to be for the 
contractor’s own use. 
 
PST also applies to the rental of cranes and scaffolding but differs from the usual application of 
tax for rental equipment. See Information Bulletin PST-72, Rental Businesses
 for further 
information. 
 
 
G. SURETY BONDS 
 
A surety bond protects a principal against losses, up to the limit of the bond, should the 
contractor fail to perform their obligations under the contract. The contractor purchases the 
bond at the request of the principal, who is the beneficiary of the bond. The principal will then 
reimburse the contractor for this expense.

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Since a surety bond provides protection to the principal against loss should the contractor 
default, it is considered an insurance product and the fees and/or premiums paid by the 
contractor to acquire the insurance are subject to PST. 
 
The contractor is not required to collect PST on this item, providing it is listed and identified 
separately on the invoice to the customer. 
 
 
H. SUBCONTRACTORS 
 
Subcontractors are not required to collect PST on services provided to a contractor who is 
licensed as a vendor and indicates they are acquiring the subcontractor’s service for resale, 
since the contractor will collect PST on the total charge to their customer. To purchase the 
services of the subcontractor without paying the PST, the contractor must quote their vendor’s 
licence number to the subcontractor and the subcontractor must record this number on the 
invoice. 
 
 
I. BUILDERS OF RESIDENTIAL OR COMMERCIAL PREMISES 
 
Builders of new residential or commercial premises for resale are required to collect PST on the 
retail selling price of the premises, excluding the fair market value of the land. 
 
In these instances, the builder is not considered the consumer or user in the building of the 
premises, providing: 
 
(a)  T he premises are sold to the customer at fair market value; 
(b)  T he builder includes in the sale to the customer all materials and services to real property 
acquired and provided by the builder that form part of the value of the premises sold to 
the customer; and, 
(c)  The premises remain in the builder’s salable inventory and use of the premises does not 
change (i.e. the premises remain for sale by the builder and is not used, rented, or 
otherwise occupied). 
 
Note:  When the builder retains ownership of a new residential or commercial premises, they 
are considered to be the consumer or user of the building. The builder is required to 
pay tax on subcontractor services and all contract materials consumed in the build. 
Examples include the construction of apartment complexes, corporate offices and life 
lease housing. 
 
 
J. LAND DEVELOPMENT SERVICES 
 
Land development services, generally consisting of improvements to land such as adding 
roads, landscaping, bridges, sewer systems, water supply, electrical grids, 
telecommunication systems, etc., are subject to PST, as outlined below:  
 
• The sale of residential and commercial lots or land is not subject to PST. Therefore, the 
land developer is considered to be the consumer of the land development services as 
they will not collect PST upon sale of the land to their customers.

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• Contractors are required to collect PST on the total charge to the land developer for 
the land development services. The contractor will purchase materials for resale 
exempt from PST by quoting their vendor’s licence number to their suppliers.  
• In situations where specific services will be rebilled to the municipality, the land 
developer must quote their vendor ’s licence number to the contractor in order to 
purchase the service exempt from PST and must collect the PST on the services when 
rebilled to the municipality.  
 
 
K. RENOVATIONS TO USED REAL PROPERTY FOR RESALE 
 
The application of PST in relation to used residential and commercial properties (land and 
buildings) purchased by businesses or individuals for the purpose of renovating and reselling 
them is outlined below: 
 
• Used residential and commercial properties with existing homes or buildings are not 
subject to PST at the time of purchase (other than on taxable realtor commissions). 
• The purchaser of the used property is considered to be the consumer of the improvements 
made to the land and existing structures, and must pay PST on their cost of all taxable 
goods and services acquired for the completion of the project, including engineering 
design, contract materials and subcontractor services etc. 
• The renovated property is not subject to PST when it is resold. 
 
 
L. EXEMPT SERVICES 
 
The following services are exempt from PST if they are provided separately and are not billed in 
connection with taxable services to real property. The contractor must pay PST on the laid-
down cost of all equipment, materials and consumables used in providing these services. 
 
• Collection, clearing and removal of garbage or debris from land that does not alter the land 
and does not form part of an otherwise taxable service such as a landscaping or demolition 
service; 
• Snow clearing and snow removal services; 
• Lawn & yard care services, including fertilizer or chemical application, aeration, thatching, 
mulching or mowing (Note: Sprinkler blowout services are exempt from PST, however 
irrigation system installation and repairs are taxable.); 
• Maintenance, such as tree and bush trimming/pruning services, of plants grown in the 
ground or in containers that qualify as real property These services improve the overall 
health of the plant or return an overgrown plant to the desired shape or size. (Note: 
Planting saplings, tree relocation, tree removal and stump grinding are taxable real 
property services.); 
• Pest control services; 
• Septic services that involve emptying or pumping out sewage or effluent storage tanks, 
• Routine services to empty and clean grease traps and oil collection drains (Note: services 
to unclog/repair drains are taxable.); 
• Grave digging services;

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• Services that are a primary farming activity, including land clearing, land levelling, land 
reclamation or other services provided to a farmer for the purpose of either expanding 
cultivated acreage to grow crops or expanding the land available to animals for forage or 
grazing; 
• Labour for the installation of exempt farm equipment incorporated into real property, 
effective April 1, 2020 (Note: For further information on exempt farm equipment, please 
see Information Bulletin PST-16, Farm Implements and Supplies
); 
• On-farm trenching services provided to a farmer for the purpose of electrifying grain bins, 
or for the purpose of installing pipe for irrigation of crops or watering of livestock, effective 
April 1, 2022; 
• On-farm dugout excavation services provided to a farmer for the purpose of spraying, 
irrigation of crops, or watering of livestock, effective April 1, 2022; 
• Installation of exempt special equipment designed solely for the use of blind persons, 
physically handicapped persons or chronic invalids, that is not purchased by or for use in a 
hospital, nursing home or similar institution providing medical or palliative care, effective 
April 1, 2023 (Note: The exemption includes contracts involving individuals, schools, places 
of worship, office buildings, private residences, etc. Examples of exempt special equipment 
include wheelchair lifts, stairway elevators, and walk-in safety baths. For further 
information please see Information Bulletin PST-42, Medical Equipment and Supplies
.); 
• Inspection services provided in relation to the purchase of real property; and, 
• Inspection or examination services completed:  
o For the purpose of providing a quote with respect to evaluating damages and 
estimating the cost of repairs; 
o As part of a general preventative maintenance schedule for the purpose of detecting 
or identifying potential repairs, and the repair or maintenance is completed separately 
from the inspection, not forming part of that inspection service; 
o For the purpose of ensuring that safety standards as required by law are met; 
o For the purpose of determining the remaining useful life of a component of tangible 
personal property that has been installed into real property; and, 
o To monitor the operations of a plant or facility, or a processing activity, or to collect 
data for further analysis. 
 
Note: Real property inspection services become taxable when the service is provided in 
connection with the repair of real property. 
 
Non-resident contractors providing exempt services are required to obtain a Registered 
Consumer number for the purpose of reporting tax payable on materials, supplies, equipment, 
vehicles and tools used in Saskatchewan. 
 
 
M. CONSULTING AND SUPERVISION SERVICES 
 
The application of PST to consulting and supervision services will depend on the nature of the 
services as follows: 
 
• PST applies to charges for consulting and supervision when the duties directly relate to 
overseeing or assisting with the completion of taxable services, such as those outlined in 
Section C
.

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• Consulting and supervision services that relate to an exempt or non-taxable service, such 
as those outlined in Section K, are not subject to PST. 
 
 
N. CALCULATION OF TAX ON EQUIPMENT, VEHICLES AND TOOLS 
 
 A non-resident contractor who brings equipment, vehicles and tools into Saskatchewan is 
required to pay PST by using one of the methods outlined below. 
 
 If equipment, vehicles and tools are purchased in Saskatchewan, the tax must be paid to the 
vendor at the time of purchase.  
 
(a) Depreciated Value 
 
• Calculate tax on the depreciated value of equipment, vehicles and tools. 
• To determine depreciated value, straight-line depreciation of 1.5 per cent per month 
or part month to a maximum of 60 per cent is allowed from the date of purchase to 
the original date of entry into Saskatchewan. Depreciation applies to the contractor's 
original purchase price (excluding all taxes) before deduction of a trade-in. 
• Calculate the tax on the full amount of any freight charges incurred on the first entry 
to bring the equipment, vehicles or tools into Saskatchewan. 
   
Note: Resident and non-resident businesses bringing owned or capitalized equipment 
into Saskatchewan permanently must use the depreciated value method for PST 
calculation. 
 
  Example:   
 
A piece of equipment entered Saskatchewan for the first time on February 1, 2011. It 
was purchased on July 15, 2008, for $80,000. The number of months or part months 
from the date of purchase to the date of first entry into Saskatchewan is 31; therefore, 
the purchase price will be depreciated by 46.5% (31 x 1.5%) or $37,200. This results in a 
taxable value of $42,800. The PST due is $42,800 x tax rate. This is a one-time payment 
and you are not required to pay additional PST on this equipment upon re-entry into 
Saskatchewan. 
 
 (b) Temporary Use Formulas  
 
(i) If a retail sales tax, other than Harmonized Sales Tax (HST) or Quebec Sales Tax (QST), 
has been paid in full to another jurisdiction the PST is determined as follows: 
 
• Calculate the tax on equipment, vehicles and tools on the contractor's original 
purchase price (excluding all taxes) before the deduction of a trade-in (no 
depreciation is allowed). 
• Remit 1/36 of the tax calculated above for each month or part month the 
equipment, vehicles, or tools are in Saskatchewan. Payment will continue for 
each 30-day period the unit enters the province until full tax (36/36) has been 
paid or the equipment, vehicles, or tools are permanently removed from 
Saskatchewan.

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• Calculate the tax on the full amount of any freight charges incurred to bring the 
equipment, vehicles or tools into Saskatchewan, once per 12-month period 
freight charges are incurred, until the equipment, vehicles and tools are fully tax 
paid. 
   
  Example: 
 
  A vehicle is brought into Saskatchewan from Manitoba on August 26, 2011, and is 
removed November 4, 2011. The original purchase price of the vehicle was $45,000. 
Manitoba Retail Sales Tax was paid at the time of purchase. 
 
  The number of months or part months the vehicle was in Saskatchewan is three. The PST 
due is $45,000 x 1/36 x 3 x tax rate. Note that if the vehicle enters Saskatchewan again 
after November 24, 2011, additional tax will be due. 
 
(ii) If a retail sales tax has not been paid in full to another jurisdiction, including where 
HST or QST was paid, the PST is determined as follows: 
 
• Calculate the tax on equipment, vehicles and tools on the contractor's original 
purchase price (excluding all taxes) before the deduction of a trade-in (no 
depreciation is allowed). 
• Remit 1/3 of the tax calculated above for each year or part year the equipment, 
vehicles or tools are in Saskatchewan. Payment will continue until full tax (3/3) 
has been paid or the equipment, vehicles, or tools are permanently removed 
from Saskatchewan. 
• Calculate the tax on the full amount of any freight charges incurred to bring the 
equipment, vehicles or tools into Saskatchewan, once per 12-month period 
freight charges are incurred, until the equipment, vehicles and tools are fully tax 
paid. 
 
Example: 
 
A piece of equipment is brought into Saskatchewan from Alberta on August 6, 2010, and 
is removed January 25, 2011. The original purchase price of the equipment is $120,000. A 
retail sales tax has not been paid on the equipment. The PST due is $120,000 x 1/3 x tax 
rate. Note that if the equipment is brought into Saskatchewan again after  
August 5, 2011, the second 1/3 of the PST will be due. 
 
Note: Equipment that has tax paid in full on the depreciated value or has tax paid in full 
by installments will be considered as coming from a taxing jurisdiction. Equipment 
on which partial tax (e.g. 1/36) has been paid will be treated as entering from a 
non-taxing jurisdiction. Equipment on which a province accepts less than the full 
rate of tax will be treated as coming from a taxing jurisdiction. 
 
Contractors from the United States are allowed to use the 1/36 formula if a state sales 
tax has been paid in full. If a state sales tax has not been paid in full, the 1/3 formula 
applies.

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 (c) Leased or Rented Units 
 
  Leased or rented vehicles, equipment and tools brought into Saskatchewan are subject 
to tax on the total daily, weekly, monthly or yearly lease/rental charges, including 
financing, freight, maintenance charges etc., with no pro-ration allowed. For vehicles, 
equipment and tools leased or rented in Saskatchewan, the PST must be paid to the 
vendor at the time of lease/rental. 
 
 Example: 
 
A piece of equipment is brought into Saskatchewan on September 1, 2011, and is 
removed October 10, 2011. It is leased for $5,000 per month. The number of months or 
part months the equipment is in Saskatchewan is two. The PST due is $5,000 x 2 x tax 
rate.  
 
 (d)    Employee Owned Vehicles 
 
Note: Company owned vehicles and vehicles plated personally by owners and directors 
of the company, where the vehicles are either capitalized or expensed in the 
company records, are subject to the methods outlined in (a) to (c) above.  
 
Businesses are required to self-assess PST on reimbursement charges paid to employees, 
owners, or directors for use of their vehicles in the following circumstance: 
 
• a non-resident employee, owner or director brings their personal vehicle into 
 Saskatchewan;  
• the vehicle is utilized in the performance of the contract (other than for  
       personal transportation to the job site); and, 
• the business reimburses the employee, owner, or director by some method. 
 
Note: Vehicles registered inter-jurisdictionally for the transportation of goods or passengers 
will be subject to the Prorated Vehicle Tax at the time of registration and not the 
methods outlined above. If you require further information regarding the Prorated 
Vehicle Tax, please see PST-50, Interjurisdictional Carriers or contact the Revenue 
Division at 1-800-667-6102. 
 
 
O. OUT OF PROVINCE REPAIR SERVICES 
 
Non-resident contractors are required to self-assess PST on repair services, including parts and 
labour, when in the course of carrying on business in Saskatchewan, equipment or component 
parts are shipped outside the province for repairs and subsequently returned. Freight charges 
in and out of the province related to these repairs are not subject to tax. 
 
Repair services provided by a person to that person’s employer for the sole use of the employer 
are not subject to tax. 
 
Note: In province services for the repair and installation of tangible personal property are 
subject to tax. For further information, please see 
PST-57, Repair and Installation 
Services.

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P. FUEL TAX 
 
Saskatchewan fuel tax must be paid on all purchases or imports of gasoline and diesel fuel, 
except where specifically exempt under The Fuel Tax Act, 2000. No exemption is available in 
Saskatchewan for off-road use of these fuel products. 
 
Every person who imports fuel in bulk (i.e. more than 200 litres) into Saskatchewan must 
either: (a) report and pay an amount equal to the tax that would be payable if the fuel had 
been purchased in Saskatchewan prior to the fuel entering Saskatchewan; or, (b) become a 
licensed importer, report monthly and make semi-monthly payments. 
 
For further information on the Fuel Tax, please refer to FT-1, General Information
 and  
FT-7, Fuel Importers. 
 
 
Q. CONTRACTORS WHO MAKE RETAIL SALES 
 
A contractor who makes supply only sales must collect tax from the customer on the retail 
selling price of the items sold and show PST collected on the customer’s invoice.  
 
PST that was paid to the supplier or self-assessed on the cost of those goods may be deducted 
from the tax collected and the difference reported when submitting your tax return form. The 
contractor may purchase the materials exempt from PST by quoting their vendor’s licence 
number to their Saskatchewan suppliers. 
 
 
R. SERVICES TO REAL PROPERTY ON INDIAN RESERVES 
 
Services to real property provided to Status Indians, Indian bands and non-commercial band-
empowered entities are exempt from PST providing the services are performed on the reserve. 
To qualify for the exemption, an individual must present their Certificate of Indian Status card 
to the supplier/contractor, and the complete 10-digit card number must be recorded on the 
sales invoice. For an Indian band or non-commercial band-empowered entity, the band 
number and band name must be recorded on the sales invoice. A band-empowered entity 
must also certify that the purchase is for non-commercial band-management activities. The 
service provider must retain evidence that the services were performed on reserve. Please 
see Information Bulletin PST-63, Sales to First Nations Individuals and Organizations
 for further 
information. 
 
 
S. BONDING AND THE CLEARANCE PROCESS AND ENSURING CONTRACTOR HOLDS A VALID 
LICENCE 
 
1. Bonding/Clearance Requirement when Hiring Non-resident Contractors 
Under Section 29 of The Provincial Sales Tax Act, non-resident contractors consuming or 
using equipment or other goods during the completion of a contract in Saskatchewan are 
required to: 
 
a) post a Guarantee Bond or cash deposit in an amount equivalent to 6% of the total 
contract amount, or

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b) obtain a clearance letter from the Ministry of Finance to provide to the principal. 
 
It is recommended that the principal maintain a holdback of 6% until a clearance letter is 
provided or proof of bonding is obtained. 
 
It is the responsibility of the principal to ensure that contractors comply with this provision 
as failure to do so can leave the principal liable for any taxes which the contractor fails to 
remit, in addition to possible fines and penalties.  
 
Proof of Guarantee Bond 
 
In the majority of cases, bonding is obtained prior to work commencing. Original bonds are 
to be forwarded to the Revenue Division and written confirmation will be provided upon 
receipt.  
 
If proof of bonding has been obtained, the principal is not required to also maintain 
holdbacks for PST purposes.  
 
However, in the event that change orders are subsequently issued which increase the total 
contract value, a holdback must be maintained on those change orders, or a bond rider 
must be obtained. 
 
Clearance Letter on Final Payment 
 
In cases where proof of bonding has not been obtained, before the final payment is made 
on a contract, the contractor must obtain a clearance letter from the Revenue Division and 
provide a copy of the letter to the general contractor or principal. To obtain a clearance 
letter, please: 
 
• Visit our website at saskatchewan.ca/pst; or, 
• Call 1-800-667-6102, extension 0956; or,  
• Email contractorclearance@gov.sk.ca.  
 
If the contractor does not pay the PST payable with respect to the contract, the general 
contractor or principal will be requested to withhold from any hold back an amount equal 
to the tax due, to a maximum of 6% of the contract amount, and remit this amount to the 
Revenue Division.  
 
Generally, a clearance letter covers a specific contract for a specific customer. However, 
non-residents contracted for Master Service Agreements or similar arrangements are 
encouraged to request clearances on a monthly basis covering all jobs per customer within 
that month, versus on a job-by-job basis. For larger contracts spanning over a period of 
several months or years, a clearance may be requested for each progress period. 
 
2. Principal’s Obligation to Ensure Contractor Holds a Valid Licence 
 
Section 29.01 of The Provincial Sales Tax Act requires the principal to ensure a contractor 
holds a valid Saskatchewan PST vendor’s licence, whether the contractor is a resident or a 
non-resident, before making payment of PST to the contractor.

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The principal can verify that a contractor holds a valid PST vendor licence by accessing the 
PST On-Line Registry at sets.saskatchewan.ca/rptp/portal/footer/pst-registry/. It is 
recommended that the principal maintain a print from the registry for audit purposes.  
 
Alternatively, a clearance letter for the contract would act as sufficient evidence that the 
contractor holds a valid licence. 
 
 
T. TAX TIPS LINE 
 
When a business or individual does not comply with provincial tax legislation, businesses face 
unfair competition and a burden is placed on all taxpayers who do comply. It causes significant 
loss in the revenue available to fund services such as health, education and other important 
government programs. 
 
Tax Tips Line provides an anonymous, fully confidential way for the public to report businesses 
or individuals who are participating in tax fraud.  
 
If you suspect that a business or individual is being dishonest with their provincial taxes or is 
misrepresenting their activities to reduce their taxes, you can report them using Tax Tips Line. 
 
Please visit our website at 
saskatchewan.ca/business/taxes-licensing-and-reporting/provincial-
taxes-policies-and-bulletins/tax-tips-line t o find out more regarding types of tax fraud and the 
information to report, if possible. 
 
Tax Tips Line is specifically and solely for information related to provincial tax compliance. Any 
unrelated inquiries or information will not be addressed by the Tax Tips Line, and should be 
directed to the appropriate organization. 
 
How to Report: 
1) Toll-free 1-833-334-8477 
2) Write: Ministry of Finance 
Revenue Division 
PO Box 200 
REGINA SK S4P 2Z6 
3) Online Form Submission
 
 
 
U. 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.

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• 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 
  
Internet:  Tax bulletins, forms and information are available at saskatchewan.ca/business-taxes.
 
                         
To receive automatic email notification 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
