When must a self-employed person register for GST/HST in Canada?

Self-employed individuals in Canada must register for a GST/HST account when their total taxable revenues exceed C$30,000 over four consecutive calendar quarters or in a single calendar quarter. This is known as the small supplier threshold.

Key rules about the C$30,000 threshold:

• The threshold includes worldwide taxable supplies of goods and services.
• It is calculated over four consecutive calendar quarters, not just a calendar year.
• Once you exceed C$30,000, you must register within 29 days and begin collecting GST/HST.
• If you exceed C$30,000 in a single quarter, you must register immediately and collect GST/HST on the supply that pushed you over the threshold.

GST/HST rates (depend on your province):

Benefits of voluntary registration:

Even if you are below the C$30,000 threshold, you may want to register voluntarily because:

• You can claim Input Tax Credits (ITCs) to recover GST/HST paid on business purchases and expenses.
• It gives your business a more professional appearance.
• It avoids the scramble to register and charge GST/HST mid-transaction when you cross the threshold.

Filing requirements:

• Most small businesses file annually, but you can elect to file quarterly or monthly.
• The Quick Method of Accounting simplifies GST/HST remittances for eligible small businesses with taxable sales of C$400,000 or less.
• GST/HST returns are filed using Form GST34 or through the CRA's online portal.