GST remittance

[Sandra]

Dear friends,

I have some questions about GST/PST remittances:

In Canada, only GST of the goods, which the company will resale, or use as materials of a product, can be remmited to the government, right?

The GST/PST of goods that is the expense (like utilities, office supplies) can't be remitted, right?

Thanks

[billiam]

You should refer here for information regarding GST:

http://www.cra-arc.gc.ca/tx/bsnss/tpcs/ ... u-eng.html

Under GST you report GST Collectible on taxable revenues and claim Input Tax Credits (ITC's) on goods purchased for resale & business expenses. Your remittance is the Net of these two amounts.

For PST on business expenses I am not aware of any ITC type mechanism other than in the province of Quebec for relief of tax paid on business expenses.