Covid-19: Deferral of Sales Tax Remittance

The Federal government announced on March 27, 2020 that taxpayers will have until June to make their GST and HST payments. Regarding the QST, the Québec government has also announced that taxpayers will have until June 30 to make their payment.

IMPORTANT NOTICE: This content is up to date as of April 2, 2020. New facts or government directives which have occurred may invalidate certain information. Please take this factor into consideration.

The following deadlines would be postponed to June 30, 2020:

  • Monthly filers have to remit amounts collected in February, March and April 2020 reporting periods;
  • Quarterly filers have to remit amounts collected for the January 1, 2020, through March 31, 2020, reporting period; and
  • Annual filers, whose GST/HST and QST return or instalment are due in March, April or May 2020, have to remit amounts due and unpaid for their previous fiscal year and instalments of GST/HST and QST in respect of the filer’s current fiscal year.

The filing deadline remains unchanged for both GST/HST and QST. Businesses who are able to do so should file their GST/HST and QST returns within the usual time frame to facilitate compliance and administration. However, the Canada Revenue Agency and Revenue Québec have indicated that, given the difficult situations faced by businesses, penalties will not be imposed in cases where a return is filed late provided that it is filed no later than June 30, 2020.

For further details:

https://www.canada.ca/en/department-finance/news/2020/03/additional-support-for-canadian-businesses-from-the-economic-impact-of-covid-19.html

http://www.finances.gouv.qc.ca/index_en.asp

CONTACT PERSON

For further information, please contact Pierre Nadeau, Indirect Tax senior manager  or your trusted Mazars advisor.