Updated on January 30, 2024
If you run a business in Canada, it’s crucial to check out this article for information on GST/HST Netfile. Learn about filing, important dates, and get a comprehensive guide.
To submit your goods and services tax/harmonized sales tax (GST/HST) returns and eligible rebates directly to the Canada Revenue Agency (CRA) online, you can utilize the GST/HST NETFILE program. This service is available to all GST/HST registrants, excluding those with accounts managed by Revenu Québec.
Visit the Ready to File page on the CRA website to access online forms and input the required information. Opting for this method ensures faster returns, usually within 7 days, along with swift confirmation – a notable advantage. Dive into this article for a comprehensive understanding of GST/HST Netfile and its processes.
What is GST/HST?
In Canada, you’ll encounter two types of sales taxes: provincial sales taxes and the goods and services tax (GST/harmonized sales tax, or HST). The GST/HST, categorized as value-added taxes, operate on an input/output model. Referred to as consumer taxes, they are indirect taxes.
With a few exceptions, such as the grocery industry, these taxes apply to the majority of goods and services produced or consumed in Canada. When individuals buy goods or services, they pay the input tax, or GST/HST. The same individual, acting as a taxpayer, collects the output tax, or GST/HST, from customers when selling their goods. To fulfill their tax obligations, the taxpayer deducts the input tax from the output tax and remits the remaining amount to the taxing body.
GST/HST Netfile Details
|Canada Revenue Agency
|Online filing of GST/HST returns.
|GST/HST Filing Due Date
|July 15 of the next year for annual filers.
|CRA Online Portal
How to File GST HST Netfile?
To submit your HST and GST Netfile online, the CRA’s netfile service stands out as the most efficient option. Kickstart the filing process by visiting the CRA website. If you meet the criteria for GST/HST NETFILE, input your details on the online form found on the Ready to File page.
For a swift and straightforward submission, opt for the “File a return” feature in My Business Account, granting you access to GST/HST NETFILE. This method is the fastest way to file your tax return. Payment for your returns can be conveniently made through internet banking or the CRA’s My Payment service.
Upon successfully NETFILING your return, the CRA will furnish you with a confirmation number after a quick preliminary review. Within a few seconds, the confirmation number should appear on your screen. Make sure to retain this confirmation number for your records.
GST/HST Netfile Dates
GST/HST registrants can choose from monthly, quarterly, or yearly filing periods, influencing their payment due dates. For monthly and quarterly filers, the return and payment are due one month after the reporting period ends. Those opting for a yearly return must meet the June 15 deadline, applicable to the year following the tax year.
It’s crucial to submit your GST/HST Netfile return on the CRA’s official website before the due date to avoid potential penalties imposed by the CRA. In cases where meeting the deadline is challenging, you have the option to request an extension for filing your GST/HST netfile amount.
GST/HST Netfile Guide
When filling out your GST/HST return through Netfile, keep the following points in mind:
- Ensure you have a valid business number and that your company is registered for GST/HST with the CRA.
- Have a CRA login ID and password ready to log into your CRA account. You can also authorize someone else to file on your behalf.
- Prepare the appropriate returns for the specific time period covered by your GST/HST return.
- Have your company’s complete financial statements ready, gathering data from quarterly or annual financial reports.
- After obtaining the confirmation number, be aware that the CRA may contact you for additional information or to verify specific details. If not, expect to receive a Notice of Assessment after your return has been processed.
When Does CRA Receive and Process My Tax Return?
Once you receive the confirmation number from the CRA, they will have your return. The CRA initiates the processing of your return right away, and it typically takes around 8 working days to complete.
Is GST/HST NETFILE Secure and Private?
Certainly, GST/HST Netfile is secure and private, as it is offered by the Canadian government through its official CRA portal. The website prioritizes the protection of your personal information by utilizing advanced encryption technologies and security measures.
We appreciate your trust in our portal and for exploring the information on GST/HST Netfile with us. Feel free to explore our website for more articles on different tax procedures.