Quebec Sales Tax Changes May Impact Ontario Based Organizations

October 24, 2019 NPO Group No comments exist

If your organization provides taxable services to individuals who are resident in Quebec, and you had over $30,000 of taxable sales to those individuals in the 12 months ended August 31, 2019, the recent changes to the QST rules will impact your organization.   If your organization only has revenue from exempt sources such as donations, or non-taxable sponsorship or non-taxable memberships, then this change is not relevant for you.  (You should consider that some sponsorships and memberships are taxable.)

Affected suppliers outside Quebec are required to enroll in Quebec’s new registration system by using a new online registration website, and will be assigned quarterly reporting periods.  You will be required to collect QST on taxable sales to Quebec residents, and must remit the QST collected, net of any QST paid out on expenses, to Revenue Quebec every quarter.

If your organization is registered for HST in Ontario, and has customers, members, or supporters in Quebec, you should evaluate the impact of these changes as soon as possible.   For more detailed information, you can review the July 2019 newsletter on the Hendry Warren LLP website here.

Post Provided by Hendry Warren LLP

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