The Canadian Revenue Agency (CRA) expects you to return the GST/HST you collect on purchases. You must first deduct the ITCs received on your tax. If your filing results in a balance owing, Tax Accountant Toronto team listed various payment options for that amount.

4 Ways To Pay GST/HST If You Have A Balance Owing

Electronic Payments

The Canada Revenue Agency provides an electronic payment service that allows small companies to settle their tax obligations. This solution permits business owners to send money from their online account using Interac Online. Look for “My Payment” on the CRA’s website to discover how to use this electronic payment service.

Regular Banking Service

Tax Accountant Toronto team state that you may also make a GST/HST payment through your bank’s or credit union’s internet or phone banking services. The majority of banks and credit unions enable their customers to pay their taxes using their services.

Pre-Authorized Debt Payment

You can create online accounts for your business using the CRA. You may authorize the CRA to take money from your HST/GST account on a certain date using the “My Business Account” service.

Cash Payments

You can pay your HST/GST using the RC158 form or the GST/HST Netfile/Telefile Remittance Voucher at any financial institution that accepts it.

Payment Via Mail

Tax accountant Toronto team state that when you get a personalized GST return, include the remittance voucher with a cheque or money order for payment. Simply make sure to write your company number on the back of the cheque or money order.

For payments over $50,000, you must either transmit them electronically or through a financial institution.

Must You File GST/HST Returns Electronically?

The Canadian Revenue Agency (CRA) just introduced a new regulation that requires certain sorts of businesses to submit their GST/HST electronically. If your company has more than $1.5 million in taxable supplies, for example, you must submit your returns electronically. Tax Accountant Toronto team affirms that registers in Ontario and British Columbia who are required to recoup ITCs must also submit electronic returns.

Options For Electronic GST/HST Filing

The CRA has made available a variety of ways for taxpayers to submit their tax returns electronically:

  • You may submit your return using the GST/HST Netfile, which simply enables you to file your tax return online and send it to the CRA. To use the GST Netfile, you must obtain a code from the CRA.
  • Filing your return by mail is another alternative; you may use the services of a tax preparer or do it yourself. You can pay via money order, bank/credit union transfer, or online using the GST/HST Telefile system. Simply call 1-800-959-2038 and follow the instructions to submit your return.
  • You may submit your GST/HST return through electronic data exchange (EDI). You’ll need to submit payment and other information via computer or phone, after which it will be converted to the appropriate format and sent to the CRA.
  • You can also file GST/HST returns directly to the CRA using a third-party accounting program. You may then make a payment to the CRA by mail, through your bank, or via an electronic service.