General Informatiion Concerning the QST and the GST/HST - Ryan

Filing your GST and QST returns
You are ready to complete your GST and QST returns once you have calculated
y the GST and QST you collected and were required to collect (that is, tax billed but not paid) on your
taxable sales (excluding zero-rated sales) during the reporting period; and
y the ITCs and ITRs to which you are entitled for the GST and QST you paid and were required to pay
on your purchases during the reporting period.
If the amount of your ITCs and ITRs is higher than the amount of the GST and QST you collected
or were required to collect during the same reporting period, the difference is your refund. In the
opposite case, the difference is the amount you must remit to Revenu Québec. Whether you have a
refund or an amount payable, any adjustments that you have made must be taken into account no
later than the filing deadline for your return.
Reporting periods (filing frequency)
Registrants must have the same fiscal year under the GST and QST systems so that their reporting
periods (and consequently, the frequency with which they file their returns) are identical for the two
taxes. As a rule, the fiscal year is identical to the taxation year for income tax purposes.
Your filing frequency for GST and QST purposes is assigned to you on the basis of your and your
associates’ total annual taxable sales made in Canada. If you wish, you may elect to increase your
filing frequency when you file form LM-1-V, Application for Registration. Your assigned filing
frequency (monthly, quarterly or annual) is indicated on your confirmation of registration.
If you file on a monthly or quarterly basis, you must remit the amount of net GST and QST payable,
or claim your refund, each time you file your return for a reporting period.
If you file on an annual basis, you may be required, as of the second year, to remit the taxes in four
instalments each year and to file form FPZ-558-V, GST/HST and QST Instalments. A copy of the form
will be sent to you before the due date for each instalment. Instalments must be paid no later than
one month after the last day of each quarter in your fiscal year. Any adjustments to take into account
the actual amounts of GST or QST remittable can be made on your return, which you file at the end
of the year. However, you are not required to make instalments if your net GST or QST payable for
the current year or the previous year is less than $3,000. 1 Simply file the annual return and remit the
net GST or QST payable, or claim your refund. The $3,000 limit refers to the total net GST or QST of
your business as a whole, including all its branches and divisions, even if your branches or divisions
file separate returns.
The table on the next page shows the assigned filing frequencies and the possible elections you can
make to change the assigned frequency. The table does not apply to charities, which can choose their
filing frequency regardless of their annual sales, or to garment manufacturers, which are required to
file monthly returns under the QST system.
1. This limit was $1,500 for fiscal years beginning before 2008.
39 Filing your GST and QST returns