Great news for Canadians! The Tax Break for All Canadians Act (Bill C-78) has received Royal Assent, which means it is now law. There is a temporary GST/HST break on certain items from December 14, 2024, to February 15, 2025. During the tax break, no GST or HST (whichever applies in your province or territory) will be charged on qualifying items.
Which types of items qualify for the GST/HST break
No GST/HST will be charged on certain qualifying items from December 14, 2024, to February 15, 2025. Here’s a list of the qualifying items:
- Food
- Beverages
- Restaurants, catering, and other food or drink establishments
- Children’s clothing and footwear
- Children’s diapers
- Children’s car seats
- Children’s toys
- Jigsaw puzzles
- Video game consoles, controllers, and physical video games
- Physical books
- Printed newspapers
- Christmas and similar decorative trees
How to get this tax break on your purchases
You should automatically receive this tax break from the seller on the qualifying items you purchase between December 14, 2024, and February 15, 2025. There should be no GST/HST charged on the item when you make your purchase, whether you are making a purchase as an individual or in a business-to-business transaction.
What to do as a business that charges the GST/HST
From December 14, 2024, to February 15, 2025, do not charge the GST/HST on the qualifying goods and services listed above. Keep your records and remit and report your regular GST/HST as usual.
In detail: zero-rating supplies of the qualifying goods and services
For detailed guidance on zero-rating supplies of the qualifying goods and services, please refer to the Canada Revenue Agency (CRA) website link https://ow.ly/UHR250Uwfzw
Related information
- Residents of Québec can benefit from 5% GST break. Find more information the GST/HST break at https://www.revenuquebec.ca/en/gst-break/
- Questions and Answers about the GST/HST tax break for all Canadians – Canada.ca
We hope this blog post has been helpful. Please contact SJT CPA if you have any questions about the GST/HST break.
Disclaimer
This blog post is intended for general information purposes only and does not constitute professional advice. Please consult with a qualified professional for advice specific to your situation.
Stay tuned for more updates!
The SJT CPA Team
Contact us https://www.cpainmontreal.com
