Canadian tax compliance isn't one deadline a year. It's a steady rhythm of GST/HST returns, payroll remittances, slips, instalments and year-end filings. Businesses that stay on top of it all share one habit: their bookkeeping is current every month.
Use this checklist to keep your GST/HST bookkeeping, payroll and tax obligations on track all year.
First: GST/HST basics
Do you need to register?
You generally must register for GST/HST once your taxable supplies exceed $30,000 in a single calendar quarter or over the last four consecutive calendar quarters. Below that, you're a small supplier and registration is optional — though registering lets you claim input tax credits (ITCs).
What rate applies?
It depends on where you supply. In participating provinces, HST combines the federal and provincial portions — 13% in Ontario, for example. Provinces such as Alberta charge only the 5% GST. British Columbia, Saskatchewan and Manitoba charge 5% GST plus their own provincial sales tax, administered separately by the province, and Quebec charges GST alongside its own QST.
How often do you file?
The CRA assigns your reporting period based mainly on your annual taxable supplies:
| Annual taxable supplies | Assigned reporting period | Options |
|---|---|---|
| $1.5 million or less | Annual | You can choose quarterly or monthly |
| More than $1.5 million up to $6 million | Quarterly | You can choose monthly |
| More than $6 million | Monthly | — |
Monthly and quarterly returns are generally due one month after the end of the reporting period. Annual returns are generally due three months after your fiscal year-end — but if you're an individual with business income and a December 31 year-end, the return is due June 15 and any balance owing by April 30.
Every week
- Record sales and the GST/HST charged on each
- Capture receipts and supplier invoices — and check they show the supplier's GST/HST number where required for your ITC claims
- Categorize transactions in your accounting software
- Send invoices and follow up on overdue ones
Every month
- Reconcile every bank and credit card account
- Reconcile GST/HST accounts: tax collected and ITCs claimed should match your records
- Remit payroll source deductions — CPP, EI and income tax — on your remitter schedule (for most regular remitters, by the 15th of the following month)
- File GST/HST if you're a monthly filer
- Review your profit and loss statement and balance sheet
Every quarter
- File GST/HST returns if you're a quarterly filer
- Pay corporate tax instalments if required — generally when your corporation's tax payable exceeded $3,000 in the current or previous year (instalments are monthly, or quarterly for eligible CCPCs)
- If you're self-employed, pay personal instalments if the CRA has sent you reminders
- Review cash flow and set aside money for upcoming tax payments
Every year
January–February
- Issue T4 slips to employees and file the T4 Summary by the last day of February
- Issue T5 slips for dividends paid, also due by the end of February
- Issue T4A slips where required, such as for certain fees paid to individuals
Spring
- Personal T1 returns are generally due April 30; self-employed individuals have until June 15 to file, but any balance owing is still due April 30. Our T1 filing service can help
Fiscal year-end
- Reconcile every account through year-end
- Count inventory and review fixed assets
- Prepare year-end financial statements
- Meet with your accountant to plan before year-end: owner compensation, timing of purchases and the small business deduction
- File the annual GST/HST return if you're an annual filer
After year-end
- Pay any corporate tax balance — generally within two months of year-end, or three months for certain Canadian-controlled private corporations
- File the T2 return within six months of year-end. See our corporate tax services
Records to keep
The CRA generally requires you to keep books and records — including the documents supporting GST/HST and ITC claims — for six years from the end of the last tax year they relate to. Digital records are acceptable if they're complete and readable.
Common GST/HST bookkeeping mistakes
- Charging the wrong rate for the customer's province
- Claiming ITCs without proper supporting documents
- Claiming ITCs on personal or exempt expenses
- Missing the registration threshold and failing to collect tax
- Filing late because the books weren't ready
If the CRA comes calling
Clean, current bookkeeping is your best defence in a GST/HST review or audit. If you've received a letter, our CRA audit support team can help you respond.
Let ADYZER keep you on schedule
ADYZER's HST/GST services cover registration, choosing the right filing schedule, Quick Method evaluation, return preparation and filing, and ITC recovery. Our outsourced bookkeeping team keeps your records current every month, so every deadline on this checklist is met from accurate numbers.
Contact us to hand over the checklist.