The GST/HST and QST must be collected on the earlier of the following dates:

• the date an amount of money is paid for property or a service
• the date an amount of money is due for property or a service

An amount of money is considered to be paid when you receive it.

An amount of money is considered to be due, in whole or in part, on the earliest of the following dates:

• the date an invoice is first issued
• the date given on an invoice
• the date an invoice would have been issued had it not been for an undue delay
• the due date given in a written agreement

Specific rules

Motor vehicle sold in the course of your commercial activities

If you make a retail sale of a motor vehicle, the QST is payable to the Societe de l'assurance automobile du Québec (SAAQ) when the vehicle is registered. However, if the vehicle is not registered within 15 days following its delivery to the purchaser, the QST is payable when the vehicle is delivered.

Payment of an amount over time

The taxes on each payment must be collected on the earlier of the following dates:

• the date the payment is made
• the date the payment is due

However, when corporeal movable property (tangible personal property for GST purposes) is sold and ownership or possession is transferred to the purchaser before payment of the amount in full, the taxes on each payment not yet made must be collected no later than the last day of the month following the month of the transfer.

Vending machine

The taxes are deemed to have been collected on the date the money is removed from the machine.

Rental property

The taxes must be collected no later than the date the lessee is required to pay the rent under the written contract.

Construction contracts

A portion of a construction contract payment is often withheld by the purchaser as security until the transaction is completed in accordance with a federal or provincial law, or a written agreement relating to the construction, renovation, alteration or repair of a building, boat or other sea-going vessel. In this case, the GST/HST and QST must be collected on the earlier of the following dates:

• the date the amount is withheld
• the date the amount is due

Conditional sales and instalment sales

Conditional sales are sales that are subject to one or more conditions. Sales made on a trial basis (that is, sales that become final only after possession on a trial basis has yielded conclusive results) are the most common type of conditional sale.

An instalment sale is where possession of the property is transferred to the purchaser but ownership of the property is transferred only after all instalments for the total sale price have been paid.

In all conditional and instalment sales, the GST/HST and QST must be collected, on any amount that has not already been paid or become payable, on the last day of the month following the month in which ownership or possession of the property is transferred to the recipient.