When to File GST and HST? Deadline, Eligibility & Filing Procedure!

The CRA has the authority to levy any GST/HST refund or rebate, impose fines and interest on delinquent returns, and withhold individual income tax refunds for partnerships or sole proprietors. It is required that you file your final return if you want to close a GST/HST account.

When to File GST and HST? 

The provincial and federal governments of Canada impose the Goods and Services Tax GST/HST on taxable goods that are sold. The majority of goods and services that are sold are typically considered taxable supplies; however, exempt and supplies with zero rates are two other categories of supplies that are not subject to GST/HST.

In case we fail to receive any returns or sums by the deadline, the CRA has the right to impose fines and interest. Until all remaining returns and amounts are received, the CRA will retain any GST/HST return or credit to which you are entitled.

 

Also held will be your revenue tax refund whether you operate as a partnership or sole proprietor. It is required that you file your final return if you intend to close a GST/HST account.

Your reporting period determines when your return is due. The top page of your customized GST/HST return Form GST34-2 will indicate your deadline. A GST/HST return needs to be submitted regardless of whether you have:

  • no exchanges of business
  • not required to remit net tax

In cases when a deadline comes on a Saturday, Sunday, or a CRA-observed public holiday, your payment is considered received on time provided it reaches us by the next working day.

When are the deadlines for filing taxes under GST and HST for self-employment?

Depending on their revenue, every business will have different submitting and payment due dates also called payment times or reporting periods. The choices are as follows: 

When to File GST and HST? 

  • Every month or every quarter
  • Every year: without a fiscal year ending on December 31.
  • Every year on December 31st, the fiscal year ends.

Which reporting period is appropriate for your business?

Your company’s yearly revenue should be from:

  • Amounts under $1,500,000, the reporting period you are assigned is one year. Additionally, you can choose a more frequent disclosure period, like monthly or quarterly.
  • Your designated reporting period is quarterly for amounts between $1,500,000 and $6,000,000. You can choose to report monthly as well.
  • If your income exceeds $6,000,000, you must file a monthly report.

Assess whether filing online is required

If your circumstances are shown on the chart below, you are required to file your GST/HST returns electronically (GST34). If you don’t file online, you can face penalties.

Builders that are registered for GST/HST

  • Reporting recovered input tax credits (RITCs)
  • Reporting a transitional tax modification amount
  • Selling grandparents’ housing when the total price paid for the sale is $450,000 or even more.
  • Including awareness for any other taxable provide made to the recipient of an ownership stake in the grandparents’ housing.
  • You are selling dwellings that are liable for the HST when you bought the property on a grandparent basis.

Builders that are not registered for GST/HST

Non-builders who register for GST/HST and do not qualify as a charity must submit recaptured input tax credits (RITCs) if their taxable supply exceeds $1.5 million annually.

Eligibility For GST /HST Refunds

  • A minimum of 19 years old
  • Individuals under the age of 19 are required to fulfill one of two requirements: either they are a parent and live with their child, or they have a partner or common-law partner.
  • The GST/HST gives credit for that kid may be split in half between the parents if they have shared custody.

How To File GST/HST Refunds? 

The CRA is in charge of the entire application filing procedure. The eligibility will be verified by the authorities before the benefits are deposited.

  • Visit the https://www.canada.ca/ website.
  • The applicant must first register for a My Business Account to submit the online application. 
  • A user ID and password will be needed if you make a new account. It can take several hours for the account to be activated.
  • After the account has been activated, log in to the portal and provide the necessary information. 
  • Once all of your information has been verified, the portal will inform you of your eligibility. 
  • The forms GST34 or RC7200 should be completed by the qualified applicants.
  • The last step is to click the file button. 

Other Methods To File GST/HST Refunds

GST/HST TELEFILE

  • Qualifying participants can file their GST/HST returns in a couple of minutes with GST/HST TELEFILE, a quick, free, and user-friendly filing option that requires only a touch-tone phone and a toll-free number.

GST/HST NETFILE

  • A service called GST/HST NETFILE enables registrants to electronically file their GST/HST returns and qualifying rebates to the Canada Revenue Agency (CRA).

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