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New Phone Bill

dibanez
Just Moved In

Anyone ever got a bring it back contract and had to pay alot of tax?

 

My bring it back contract for my old phone ended on january and returned it. I got a new phone (s22) with a bring it back contract. I, of course have to pay a one time connection fee of $50. With my plan I am paying 52$ + Bring it Back Easy Payment $30 + Connection fee $50 = $132.. plus with my wifes phone bill adds up to $208. Make sense... but what doesnt make sense is I am getting charged $150 tax... TAX.. $150?? on a $208 PHONE BILL... I believe that tax here in Manitoba is 12%... not 75%. and the device payment I chose is $0 upfront...

 

Can anyone explain or experienced the same situation? Thank you

1 ACCEPTED SOLUTION

NFtoBC
Community Power User
Community Power User

The government gets its share up front. The tax is charged on the value of the new phone.

NFtoBC
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2 REPLIES 2

NFtoBC
Community Power User
Community Power User

The government gets its share up front. The tax is charged on the value of the new phone.

NFtoBC
If you find a post useful, please give the author a "Kudo"

xray
Guardian

CRA doesn't care how you actually pay for your phone, they tax the full value when you receive the phone.