(2) In certain cases, he may claim exemption under Section 32(1)
Schedule Il. (See appendix I).

(3) He may pay the 11% excise tax, probably jeopardizing his ability
to keep himself on what he can earn.

(4) He may break the jaw.

Recommendation
By expanding Section 32(1) (See appendix I) to include all forms of
visual art, the following suggested amendment retains the intent of
present regulations:
Amendment to Section 32(1), Schedule UI of the Excise Tax
Act, re items of visual art:

Original art, regardless of materials used, the manufacture
of which does not employ the use of jigs, moulds, dies or
forms or any reproductive machines and are thus essentially
handmade, unique, individual items of produce.

Original reproductions produced in limited series of not more
than 25, each piece of which bears the original signature or
hall-mark of the artist.

Favourable action on the part of the government would benefit all
professional craftsmen in Canada.
GEORGE SHAW, Chairman,
Canadian Craftsmen's Association

APPENDIS I
GENERAL EXCISE ANE SALES TAX REGULATIONS - Circular ET 1, 1961

Section 2(4)

Any manufacturer in any of the following classes

(a) Whose manufacturing operations are confined solely to the manu-
facture of goods to the order and requirements or specifications
of each individual customer, and

(b) who sells the taxable goods of his manufacture exclusively to
consumers or users.

shall be exempt from payment of sales tax on the taxable goods which

he manufactures, regardless of the annual volume of his sales thereof,

and not required to obtain a sales tax licence: 9.