How to File Your GST/HST Return Using CRA My Business Account
As of January 1, 2024 Revenue Canada will require all business (except for a handful of exceptions such as some financial institutions and charities) to file their returns electronically. This means that you can no longer use the paper form. The good news is that it is quite easy to file the return online and, in most cases, probably saves you time since you don’t have to put it in an envelope, affix a stamp and take a walk to a mailbox.
There are essentially two ways to file your GST/HST online:
CRA My Business Account
Online Business Banking
In this post, I will be reviewing how to do it via CRA My Business Account.
Please note that this tutorial is for simple GST/HST returns. If you have more complex transactions, that I don’t discuss here and you are not sure, I recommend speaking to an accountant.
Step 1: First, make sure you have signed up for CRA My Business Account. If you haven’t, you take a look at my blog post on how to do it.
Step 2: Next, you will need to have your GST/HST report. If you use accounting software such as QuickBooks Online, you can simply find the report there. My video below explains how to do this in QuickBooks Online:
If you use another accounting software that is geared towards Canadians, there will likely be a sales tax report. If not, or if you are using a different accounting software or a spreadsheet, you will need the following information:
Total Sales within Canada (before sales tax) (Box 101)
Total Sales Outside of Canada (sales tax does not apply to international customers)
Total GST/HST collected from customers on sales within Canada (Box 105)
Total GST/HST paid on expenses within Canada (Box 108)
Step 3: Login into CRA My Business Account and find the section on GST/HST from the left hand menu. Click on this.
Step 4: Click on File my Return
Step 5: Click on GST/HST Return for registrants (GST 34)
Step 6: Enter the reporting period. This should correspond to the reporting period that CRA provided you when you signed up. If it is your first year, your reporting period may start on a date other than January 1st. The end date usually, but not always, corresponds with your year end date. If you are an unincorporated business such as a sole proprietorship or partnership, your year end date will likely be December 31st.
Step 7: If you have sales to customers outside of Canada, these are considered to be zero rated. In this case you would check that you want to report these types of sales (zero rated exports)
Step 8: Enter the amounts indicated in step 2. Note, the majority of small business/self employed GST/HST registrants only need to enter boxes 101, 105 and 108. If you have paid instalments towards your GST/HST, you will also want to reflect the amount of instalments on Box 110.
Step 9: Click on next and review the GST/HST return. Make sure it agrees to your report. If all is ok, then click on Submit.
Step 10: Save the submitted return as a PDF.
Step 11: CRA will ask you for payment options. The easiest way to make payment is to use the debit option. You can also, use online business banking where you would add the payment type “GST 34”. See my post on how to pay through online banking for GST/HST returns filed through CRA my account (scroll down to “GST payment only”). You should make sure that this payment is made by the due date otherwise you will be charge penalties, which can be steep, and interest.
A final note is to ensure that maintain the GST/HST report from your accounting software or spreadsheet detailing all the amounts that you are reporting as CRA might want to see this information if they audit you.
And that’s it! You have successfully submitted the GST/HST return and made payment. If you are an annual filer, then you don’t have to do this for another year. If you file quarterly or monthly, this becomes easier each time you do it.
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