Entrepreneurship & Small Business

Register for a GST account

  • Last Updated:
  • Jul 27th, 2020 4:55 pm
[OP]
Newbie
Jul 15, 2020
3 posts
1 upvote

Register for a GST account

I am a sole proprietor but I provide services only for non Canadian clients. Do I have to register for a GST account?
3 replies
Newbie
Dec 31, 2013
37 posts
19 upvotes
Mississauga
If your income exceeds $30,000, you have to register an HST/GST account.
If all your clients are not in Canada you do not have to collect and pay taxes, but you have to file a tax return to CRA and mention that it is zero-rated sales.
Alex Shapovalov
Taxory accounting services
[OP]
Newbie
Jul 15, 2020
3 posts
1 upvote
The following is written at canada.ca:
You have to register for a GST/HST account if both situations apply:
- You make taxable sales, leases, or other supplies in Canada (unless your only taxable supplies are of real property sold other than in the course of a business).
- You are not a small supplier.


The first requirement is not met. So I believe I don't have to register for a GST account.
Deal Addict
User avatar
Jan 19, 2007
1323 posts
672 upvotes
Torontario
AltAlt wrote: The following is written at canada.ca:
You have to register for a GST/HST account if both situations apply:
- You make taxable sales, leases, or other supplies in Canada (unless your only taxable supplies are of real property sold other than in the course of a business).
- You are not a small supplier.


The first requirement is not met. So I believe I don't have to register for a GST account.
What's the nature of the business and how many clients?

The reason I am asking in the following fringe scenario: if you happen to exceed $30K sales and not HST registered, that CRA is actually suggesting is that you need to go back to all your clients and ask them to pay HST on the top of each invoice.
That's hardly practical nor a good client practice.

If you have a reasonable prospect of hitting 30K sales, just register and charge HST from the start - everyone is expecting it.
In that case you can remit the HST once a year with the T2

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