Canada: Reminder, financial institutions’ annual GST/HST and QST returns due 30 June 2021

A reminder for 30 June 2021 deadline for annual GST/HST and QST information returns

A reminder for 30 June 2021 deadline for annual GST/HST and QST information returns

Financial institutions in Canada are reminded of the 30 June 2021 deadline for filing annual goods and services tax (GST), harmonized sales tax (HST), and Quebec sales tax (QST) returns.

The 30 June 2021 deadline for the annual GST/HST and QST information returns applies to:

  • Listed financial institutions
  • Selected listed financial institutions
  • Other types of entities deemed to be financial institutions under the GST/HST and QST rules and having a 31 December year-end
  • Financial institutions that qualify as selected listed financial institutions and having a 31 December year-end

KPMG observation

Affected entities—including many financial institutions, pension plans, limited investment partnerships, and entities that are not typical financial institutions—need to consider preparing for filing their annual GST/HST and QST returns and to determine they are accurate and are filed on time.

The Canada Revenue Agency (CRA) continues to closely review these returns, including the self-assessment obligations, and are cross-referencing them with details on other reports, such as transfer pricing and other income tax filings. For the annual GST/HST information return, the CRA can assess a penalty of up to $1,000* for each qualifying line on the form for failure to file or for misreporting amounts. Similar rules apply for QST.

“Qualifying financial institutions" may also be required to act soon to provide they elect to renew or change their 2022 input tax credit allocation method by 5 July 2021.

Read a May 2021 report prepared by the KPMG member firm in Canada


*$=Canadian dollar

 

 

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