Abbotsford CPA serving the Fraser ValleyMon–Fri 9:00am–5:00pm info@everstonecpa.com (604) 832-1743
HomeSales tax › GST/HST and PST filing
Sales tax · GST/HST and PST

GST/HST and PST filing

Sales tax is the filing most owners get wrong, because it is the one where money you collected was never yours and the deadline arrives whether the books are ready or not.

Quick answer: We prepare and file GST/HST returns on your assigned reporting period, and PST returns where the province has its own tax. That includes claiming input tax credits with the records to support them, reconciling the sales tax accounts to the ledger, and keeping the registrations right when you start selling into another province.

What is included

  • The return prepared and filed on your reporting period, monthly, quarterly or annual.
  • Input tax credits claimed and supported, because a claim without records is a claim that gets reversed.
  • The sales tax accounts reconciled to the ledger, so the filed figure and the books agree.
  • PST handled where it applies, which in British Columbia is a separate registration on a separate schedule.
  • Instalments tracked for annual filers who cross the threshold.
  • Registration changes when you begin supplying into a new province.

The part that catches people

GST and PST are different taxes with different rules, and in British Columbia a business usually files both. GST is recoverable through input tax credits; PST generally is not, which means PST paid on the way in is a cost rather than a credit. Treating them as one thing is the most common error we see.

The other is the money itself. Sales tax collected is held on behalf of the government, and a business that has spent it has a specific and dated problem. Cash flow management keeps the remittance on the forecast rather than as a surprise.

Filing frequency is assigned, not chosen

The CRA sets your reporting period from your revenue, and it does not lower it again on its own when revenue falls. Filing more often than you need to is a cost in time; filing less often than you should is a compliance problem. Changing your filing frequency sets out how to move it deliberately.

Who this is for, and who it is not

A good fit: a registrant filing GST/HST on any period, and BC businesses filing PST alongside it. It suits owners who are behind, or who have crossed into a new province and are unsure what changed.

Not a fit: a business still under the small supplier threshold with no equipment purchases to recover tax on, where registering adds paperwork without adding a credit. In either case we say so on the first call rather than quoting for work you do not need.

Common questions about sales tax filing

When do we have to register?+
A business generally registers once it passes the small supplier threshold on worldwide taxable revenue, and it can register voluntarily before that. Registering early lets you claim input tax credits on start-up costs, which for a business buying equipment is often worth more than the paperwork costs. Ask us →
We sell into other provinces. Which rate applies?+
The place of supply decides it, not where your office is. Place of supply rules works through goods, services and the exceptions that override the general rule. Ask us →
What if we are behind on filings?+
They are brought current oldest first. Penalties and interest apply, but they stop accruing once filed, and the Voluntary Disclosures Program may offer relief where you come forward first. Ask us →
Do you handle the Quick Method?+
Yes, where it is genuinely better. It suits businesses with low input tax credits and costs money for businesses with high ones, so it is worth calculating rather than assuming. Ask us →

Talk to a CPA about this

One Chartered Professional Accountant, start to finish. Fixed fees, quoted in writing before any work begins, and no obligation from a first conversation.

★★★★★
“Sunny and his team have been completing my bookkeeping, taxes and financials for the last 2 years and they have been amazing. Thank you!”
R. H. · Google review