Posted on December 21st, 2017 in Commodity Tax (HST), Domestic Tax

NON-COMPLIANT GST/HST REGISTRANTS: Impact on Tax Refunds or Credits

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In a recent release (Excise and GST/HST News No. 102), CRA reminded taxpayers that they may place a non-compliance hold on a taxpayer’s account if they are a non-compliant GST/HST registrant. That is, for example, if income tax or GST/HST returns are outstanding. This would prevent the provision of any refund or credit to the taxpayer. In other words, refunds or credits will be held if returns are outstanding.

This may be the case, for example, if a taxpayer that is a quarterly GST/HST filer, prepares their GST/HST returns with their year-end work. The first quarter of the next year is generally late by the time the year-end is filed, so GST/HST or income tax refunds may not get paid out.

Action Item: Ensure that you are up to date with GST/HST filings and remittances.


Article originally published in: Tax Tips & Traps 2017 Fourth Quarter – Issue 120.