The Harmonized Sales Tax (HST) replaces the federal Goods and Services Tax (GST) and Provincial Sales Tax (PST) in Ontario and some other provinces, combining both the federal and provincial sales tax on most products and services. The new HST has many new and complex rules that, if misapplied, could result in penalties and interest being levied.

If you are registered for GST, then you’ll be required to collect HST. By claiming input tax credits for the tax you pay on purchases and expenses, you’ll be able to recover the full HST. As PST was not recoverable before the introduction of HST, you’ll increase your tax credits and lower the cost of doing business.

If you require assistance or have any questions regarding HST, please contact us.