GST/HST Considerations

Small supplier exemption

>$30K sales

Effective Registration Date

date of supply in which $30k sales occured

1st day of the second month following quarter end when sales > $30k

Registration Date

29 Days After The Effective Registration Date

Start Collecting

Day Small Supplier Exemption Expires.

Late penalty fees

1% of unpaid + 0.25% per month up to 12 months

Interest Amount

Prescribed Rate + 4%

exempt supplies (CHUMP-FE)

• Child Care

• Health/Dental

• Used Homes

• Music Lessons

• Personal care

• Financial

• Education

ITCs on Exempt Supplies

Denied

Zero-Rated Supplies (GEM-D)

Groceries

Exported Goods and Services

Medical Devices

Drugs

ITCs on Zero-Rated Supplies

Permitted

ITC calc - expense has GST included

(Tax Rate) / (1 + Tax Rate) * Expense Amount

ITC calc - expense has GST excluded

(Tax Rate) / 100 * Expense Amount

Instalements are required when

net tax > $3,000

Quarterly Filing

$1.5 - 6 million

Annual filing

<$ 1.5 million

Monthly filing

>$6 million

Monthly and quarterly filers file + pay _ months after reporting period

one

annual filers who are corporations pay _ months after reporting periond

3

annual filers who are individuals due ____

April 30