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Charging Hst

Discussion in 'Commercial Snow Removal' started by NickSnow&Mow, Sep 24, 2016.

  1. NickSnow&Mow

    NickSnow&Mow Senior Member
    Messages: 669

    Hey guys, Got a bit of a legal question for you. After January 1st I have to start charging Hst. For my seasonal customers I'll just have to add it on top of their price of course but I'm wondering about the per time customers. For a $30 driveway should I start charging $35 all in or charge $30 plus hst? Is there any rule saying I can't just charge $35 taxes in? I just don't want to tell people they owe me $33.90.
    Thanks, Nick
  2. Randall Ave

    Randall Ave PlowSite Veteran
    Messages: 3,582

    I take it that is a sales tax. Don't no Canada's tax laws. Talk to your accountant. Here, if you get audited. You can't be guessing. You charge your fee, then add on the tax. Have you been claiming your plowing as income?
  3. Hysert

    Hysert PlowSite.com Addict
    Messages: 1,676

    Hey Nick. If I was you I would just log all there plowable dates for each month and bill them monthly! So if you did Mr.Jones 10 times in the month of January, bill him 300 plus HST. But you will need to inform your customers of the change and your invoice needs to have your HST # on it.. start saving all your receipts for every purchase you can that is justifiable, and come year end your HST spent will be Deductible from your HST charged and the difference is the amount you owe CRA! If you spent more HST, then they will cut you a check for the difference! I'm not sure of your revenues but an accountant mite be in your future to keep everything legal... I would also Incorporate the business!!!
  4. schrader

    schrader PlowSite.com Addict
    Messages: 1,325

    Nick why do you have to start charging HST after Jan 1? You can make up to 30k before you need to charge HST. You can charge for your services including HST if you want to round up to $35 but the invoices would still need to show the price plus the HST and your HST number on the invoice.
  5. cet

    cet PlowSite Fanatic
    Messages: 7,257

    If you invoice over 30k in a business year you need to have charged hst on all of it, you can't start charging once you reach the 30k as I'm sure you're aware Corey. He might know he's already going to exceed the 30k.
    Nick did someone else buy the JD last year, you were entitled to the hst back if the buyer has a hst #