Harmonized Sales Tax (HST) – What you should charge

The Ontario Ministry of Finance and the Canada Revenue Agency holds you responsible for collecting and remitting GST/HST, as well as charging the correct amounts.

Are you in compliance with HST?

• GST/HST provincial rates
• Place of supply rules for determining whether a supply is made in province - GST/HST application.
• New place of supply rules for specified motor vehicle sales GI-119
• Point-of-sale rebate on newspapers GI-060
• Point-of-sale rebate on feminine hygiene products GI-062
• Point-of-sale rebate on children's goods GI-063
• Point-of-sale rebate on prepared food and beverages GI-064
• Point-of-sale rebate on books GI-065
• Transition to the Harmonized Sales Tax- direct sellers and independent sales contractors GI-069
• CRA invoice requirements when charging or paying HST; claiming input tax credits (ITC’s).
• New electronic reporting requirements for some GST/HST registrants
• Retail Sales Tax (RST) continues to be charged on some products and services: RST on some Insurance premiums and benefits.

If you have a Status Indians/First Nations customer, what should you do?

Status Indians, Indian bands and councils of an Indian band are entitled to an exemption from paying the eight per cent Ontario component of the HST on qualifying property or services at point-of-sale.

• Point of Sale Relief: You are also required to report it to the CRA.
• Collecting Evidence: Documentary Evidence (GI-127) when Making Tax-Relieved Sales to Indians and Indian Bands over the Telephone, Internet and Other Electronic Means
• On/Off Reserve Information: GST/HST information for off-reserve businesses (GI-117) that sell goods or provide services to Indians, Indian bands, or band-empowered entities
• Credit of Purchase: CRA will process your claims for a credit of qualifying amounts that they have credited to Status Indian purchasers at the point of sale. Complete the GST 189 general application for rebate of GST/HST form under "reason code 23" for this credit.
• Lease information: Application of the Excise Tax Act (ETA) to leases, licenses and similar arrangements of tangible personal property by Indians, Indian bands and Band empowered entities (GST/HST Policy Statement P-230)
• Additional Resource: Application of the GST/HST to Indians in Ontario.

Do you require further assistance?

For Ontario specific tax questions, contact the Ontario Ministry of Finance for a tax ruling at 1-866-668-8297.

For federally related questions on GST/HST, contact the GST/HST Rulings Department which provide expert advice and direction on the application of the GST/HST tax by calling at 1 800-959-8287.

It is highly recommended that you hire an accountant that is familiar with your particular industry.