How to: Collect, file and remit (pay) GST/HST
CRA SOURCE ARTICLE
GST/HST is collected on most taxable supplies of property and services made in Canada, with some exceptions. The Canada Revenue Agency (CRA) has information to help GST/HST registrants file and remit the GST/HST that they have collected.
Register for a GST/HST account if you are an eligible entity and haven’t already registered
To find out if you should register for a GST/HST account, click When to register and start charging the GST/HST.
A GST/HST account number is part of a business number (BN) that is received after registering for a GST/HST account online, by mail or by fax, or by telephone.
Non residents who want to register for a GST/HST account can visit: Guide RC4027, Doing Business in Canada – GST/HST Information for Non-Residents.
Charge and collect GST/HST
1. Which rates to charge
To calculate the amount of tax to charge with the CRA’s GST/HST calculator, GST/HST registrants must know their place of supply and type of supply. If the location in which they make their sale, lease, or other supply charges provincial sales tax (PST), calculate the GST based on the price without the PST.
Note: Whether or not registrants should charge the tax may depend on who the taxable supply is made to as well as who makes the supply. To find out more, click Charge and collect the tax – which rate to charge.
2. Receipts and invoices
Registrants are required to:
let customers know if the GST/HST is being applied to their purchase
use cash register receipts, invoices, contracts, or post signs at their place of business to inform customers whether the GST/HST is included in the price, or added separately
if showing the tax payable or rate on tax in an invoice or receipt, show the total amount of GST/HST payable for the supply or show the total GST/HST rate that applies to the supply (note, if the HST applies to the supply, show the total HST rate. Do not show the federal and provincial parts of the HST separately)
if requested, provide customers with information that is required to claim an input tax credit or rebate
understand how to record the amount payable for a supply
The date of an invoice will generally determine when registrants need to report and remit the GST/HST they charge (but there are exceptions).
3. What to do with collected GST/HST
GST/HST registrants are responsible for the tax that they collect until they send it to the CRA. Registrants are equally responsible for keeping records that will allow to calculate the amount of:
GST/HST that was required to be collected and GST/HST collected
GST/HST paid and payable on eligible business purchases and expenses
tax to be refunded, rebated, or deducted from their net tax
File a GST/HST return and remit the tax you collected
At the end of each reporting period, GST/HST registrants must:
Generally, registrants must file a return even if they don’t have any business transactions or net tax to remit. There are exceptions to this rule; filing deadlines depend on the registrants’ filing period.
A registrants’ remittance deadline is different than their filing deadline if they are either:
an annual filer and have to pay the GST/HST by instalments
an individual who is an annual filer with a December 31 fiscal year-end and has business income for tax purposes
If you are filing a personalized GST/HST return, the due date is located at the top of your GST34-2, GST/HST Return for Registrants.
Note: When a due date falls on a Saturday, a Sunday, or a public holiday recognized by the CRA, your remittance is considered on time if we receive it on the next business day.
GST/HST returns can be filed electronically, by TELEFILE, or on paper. Before you choose a method, you must determine if you are required to file online and which online method you can use.
To find out how to calculate your net tax and what to include in your return, click Complete and file a return – Calculate the net tax.
Once the CRA receives a registrant’s GST/HST return, the CRA will send a notice of assessment if either:
the CRA owes you a refund or rebate
your amount owing is more than the amount you remitted
A note on GST/HST refunds/rebates
If you have to file any returns under the Excise Tax Act, the Income Tax Act, the Excise Act, 2001, or the Air Travellers Security Charge Act, but have not done so, any GST/HST refund or rebate you are entitled to will be held until all required returns are filed. If you are a sole proprietor or partnership, your personal income tax refund will also be held.
Resources for you – the CRA is here to help
The Liaison Officer service is a free service offered by the CRA to owners of small businesses and self-employed individuals to help them understand their business tax obligations. A visit from a Liaison Officer is 100% confidential; the information you choose to discuss with a Liaison Officer will not be shared with other areas of the CRA, or anyone else.
There are two ways that businesses or self-employed individuals can use the Liaison Officer service:
personalized visits by phone or online (videoconference).
webinars for associations or groups.
You can find online information and resources that you need to help you and your business online. Our website also has information on how you can make changes to your business and CRA program accounts, inform the CRA of changes, and other related actions.
Our Business Enquires line is another resource available if you are still having difficulties or have questions. You can call our Business Enquiries line at: 1-800-959-5525.
CRA call agents are available:
Monday to Friday: 8 a.m. - 8 p.m. (local time)
Saturday: 9 a.m. to 5 p.m. (local time)
For more information about our hours of service, visit Contact the Canada Revenue Agency.
You can find information about Non-resident GST/HST Enquiries online.
You can learn more about tax filing, tax debts and payments by visiting the links above or by scheduling a free consultation with us.