For many small businesses, registering for GST/HST becomes mandatory once their taxable supplies exceed $30,000 in a calendar quarter or over four consecutive calendar quarters. However, voluntary registration can be advantageous, allowing you to recover the GST/HST paid on business expenses.

Keep in mind that HST rates vary among provinces. For example, in Ontario, the HST rate is 13%, while in Nova Scotia and New Brunswick, it’s 15%. Familiarize yourself with the specific rates applicable to your province to ensure accurate invoicing and pricing.

Proper record-keeping is crucial for GST/HST compliance. Maintain detailed records of all transactions, including sales, expenses, and receipts. Ensure that your invoices indicate whether GST/HST is included, and keep a record of any GST/HST collected or paid.

Navigating the world of GST/HST may seem daunting. Still, you can confidently manage your tax obligations with a clear understanding of the basics and a commitment to diligent record-keeping. For personalized assistance and consultation on simplifying your accounting tasks, JMK Accounting is always available and ready to help. Contact us to book a consultation today.