John asked:

I recently had some pants altered at a Tailor shop and was charged PST on the altering services. As a consumer I beleive that this service is Tax Excempt. Am I right or wrong?

CO Staff answered:

To answer your question we contacted the Ontario Ministry of Finance. (We could tell you were in the Hamilton area from your email address.)

Their representative explained that pant alterations are taxable with both the GST & PST, because the alteration is classified as "taxable labour".

More detailed information on what services are deemed to be taxable labour can be found here:

http://www.trd.fin.gov.on.ca/userfiles/page_attachments/Library/3/Rsie_601.htm

I trust that answers your question.

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