Business owners in Canada need to file this Harmonized Sales Tax to prevent penalties or interest charges, if their profit crosses the threshold set by the Canada Revenue Agency (CRA). There are some aftereffects of not filing the tax return.
This article will give you comprehensive information about the HST, How and when to File HST Return and other essential details. Managing your responsibility to file HST is important and protects you from several potential consequences in future.
Canada HST Netfile Payment Dates 2024
HST is a withholding, value-added tax that every business owner in Canada has to remit. This federal and provincial Sales Tax plays a very crucial role in Canada as it allows the citizens of the nation to become eligible for the GST/HST credit.
Harmonized Sales Tax includes some important and essential goods and services in the participating provinces. Let’s dive more into the details of HST that includes filing HST through Netfile.
Highlights of Canada Harmonized Sales Tax
| Title | Canada HST Netfile Payment Dates |
| Country | Canada |
| Payee | Business owners in Canada |
| Payment Dates | A month after the ending of a fiscal year |
| Authority | Canada Revenue Agency |
| Post Category | Finance |
| Official Portal | https://www.canada.ca/ |
HST return 2024
There are a few factors that are important to note while filing the Harmonized Sales Tax:-
- Income Threshold: Businesses that exceed the verge of the income set by the Revenue authority of Canada, i.e., Canada Revenue Agency (CRA) needs to file the HST return. Such businesses are required to make a HST account and file the return regularly. The registration process is mentioned below in the article.
- Documents Required: While filing the Harmonized Sales Tax return, there are some important documents and information which are important to mention during the filing process. These documents include some relevant financial records, Sales and Purchase invoices, Business number, and receipt or statement of expenses.
Reporting Period of HST
Typically, the reporting period of filing the HST return is every 3 months (quarterly). However, some of the businesses file their HST return annually, according to their annual sales. So, it’s better to know about your schedule of filing HST from Canada Revenue Agency or your accountant.
Knowing about the reporting period is important as it keeps you informed about the filing details such as when is the due date and how frequently you are required to file the return. CRA is authorized to put penalty and interest charges on those who have filed the tax inaccurately or those who have missed the deadline.
Process of filing the HST return
Using Netfile is a better way of filing the HST return. The below steps will guide you to how to file the HST return.
- Sign up in your account using the official portal of Canada. If you have not created an account, then consider creating a HST account first.
- Go to the GST/HST Netfile page on the CRA portal.
- Enter all the necessary details including your business number, reporting period and statement of sales expenses.
- Validate all the information before submitting the HST return to avoid becoming a victim of providing wrong information to the CRA.
Note: People who are filing the HST return can use online banking, debit or credit card while making the payment. They can also use email to make payment by mailing the cheque to the CRA.
Payment Dates 2024
The various business owners of Canada decide their frequency of filing the payment according to their sales. Some file their tax return annually after a month of fiscal year-end. Some people file their return monthly or quarterly. Those who file it monthly need to submit their tax return at the end of each month. However, those who file their return every three months need to file the tax return within a month after the end of every quarter.
Note: Not filing the tax return or forgetting to file it can lead to major consequences including penalties of up to 4% in the amount they owe. To acquiesce with the deadlines, it’s important to file it on time or to regular reminders to avoid any delay.
FAQs of Canada HST 2024
HST is the harmonized Sales Tax filed by the business owners of Canada. Harmonized Sales Tax applies on some important and essential goods and services in only some accompanying provinces.
Business owners who exceed the income threshold set by the CRA, need to submit the tax return to avoid getting penalties or interest charges.
If you do not file the HST return or forgets to file it, then you will have to face some significant consequences such as being penalized for the amount you owe.