Reporting QST and GST/HST
If you are a registrant, you must file a GST and a QST return for each reporting period, even if you are not entitled to a refund or have no amount payable.
Because the GST and QST are both administered by Revenu Québec, you can use a combined GST/HST-QST return.
You must calculate the following for each reporting period:
- the GST and QST you collected and the GST and QST you were required to collect (that is, tax billed but not paid) during the reporting period; and
- the GST and QST you paid or were required to pay that entitle you to input tax credits (ITCs) and input tax refunds (ITRs).
If the difference between the results of these two calculations is positive, this is the net tax you must remit to us.
If the difference is negative, this is your refund.
Whether you have an amount payable or a refund, you must take any adjustment you've made into account no later than the filing deadline for the return.
To determine the GST and QST payable, use two columns in your sales book to enter the GST and QST that you billed on taxable sales (excluding zero-rated sales) for the reporting period concerned, and two columns in your purchase book to enter the GST and QST that were billed to you during the same reporting period and that entitle you to ITCs and ITRs.
Since the taxes may be included in the total price, it is important that your method allows you to identify the tax amounts.
See When to Collect GST and QST to find out when tax is considered paid and when it is considered due in the case of leases, vending machines, partial payments and conditional sales.
In addition, when calculating net tax on your return for a given period, you must take into account all ITCs and ITRs claimed for the period, including those applicable to previous periods. You may also take into account any amounts that, further to an adjustment, can be deducted in the calculation of your net tax for the period. These amounts generally correspond to the GST and QST you paid or were required to pay.
Small businesses and public service bodies (PSBs) can use the Quick Method of Accounting to calculate their GST and QST remittances. For more information, see the following sections:
- The Quick Method of Accounting for Calculating GST and QST Remittances
- Special Quick Method of Accounting for Public Service Bodies
Information about the simplified method can be found under Simplified Method for Calculating ITCs and ITRs.
Charities registered for the GST and the QST generally have to use the net tax calculation method for charities.
If you failed to fulfill your fiscal obligations or filed an incomplete or inaccurate return, you can rectify your tax situation by filing a voluntary disclosure application. By doing so, you may be able to benefit from relief in respect of the penalties and interest prescribed under fiscal legislation.