When to Register for GST & PST

When should you register for GST?

If your business’s revenue exceeds $30,000 of taxable sales, leases or other supplies in a calendar quarter or over the last four consecutive calendar quarters, you must register and charge GST on your revenue that made you exceed $30,000 beginning on your effective date of registration. Certain businesses are considered exempt or zero-rated for GST.

You can also voluntarily register for GST even if your revenue is below the $30,000 threshold.

Registering for GST not only means charging and remitting GST on your revenue but it also means you are able to claim Input Tax Credits (ITCs), which allows you to recover the sales tax paid/payable on purchases and operating expenses.

When should you register for Manitoba PST?

PST (RST) is charged on all items sold, unless exempt. Any person carrying on a business in Manitoba (except for small businesses with annual taxable sales under $10,000) must have a valid RST number issued under The Retail Sales Tax Act before making any taxable sales in the province.