Dear Subscribers:
We were recently made aware of a post on the OandP-L forum concerning our
company that we would like to address.
Listed below is a copy of my email response sent to Ms. Halliday addressing
her concerns.
Sincerely,
Brian Moynihan, CA
Executive Vice President and CFO
OrtoPed Inc.
_____
Dear Ms. Halliday:
In response to your recent post on oandp.com, I would like to address your
points. These sales taxes are fully refundable to you when you prepare your
next HST declaration. Your business will not be out of pocket for these
funds. In fact, you can declare these sales taxes on your August 2012 HST
statement and receive a reduction or refund back from the federal government
before you even need to pay our invoice.
These products had been previously reviewed by the tax authorities without
any issue. At the time of invoicing, these products were classified as
tax-exempt according our best determination as to their tax status.
Therefore, we did not intentionally neglect to charge you the sales at the
time of invoicing. These additional sales taxes charges are the result of
the government’s new interpretation of the sales tax regulations.
We vigorously defended our position with the government on these products,
yet ultimately they insisted that these products were indeed taxable. We
regret that we had to send out these adjustment invoices and we have spoken
to many other Canadian customers who fully understand our position. In fact,
many customers have already settled their invoices since they understand
that this is not an expense of the business and that any payment to us
related to the sales taxes is fully reimbursable to them.
OrtoPed is fully committed to satisfying all customers with the best service
and products and we take your concerns and frustrations seriously. I would
like the opportunity to personally discuss with you our commitment to all
customers, the steps we took to mitigate this unfortunate occurrence and the
impact of this on your business cash flow.
If acceptable to you, I propose to contact you by phone or you may contact
me at any time at 514-342-6161 x246 at your earliest convenience.
Sincerely,
Brian Moynihan
Brian Moynihan, CA
Executive Vice-President and CFO
OrtoPed Inc.
373 McCaffrey
Montreal, QC
CANADA H4T 1Z7
Tel. 1.514.342.6161 x 246
